Revised Rules in the Certification of Science Foundation, and Specific Research and Development Project of 2021

November 2, 2021

DOST ADMINISTRATIVE ORDER NO. 015, S. 2021

 

1.0 RATIONALE

1.1 Article XIV, Section 10 of the 1987 Philippine Constitution provides that science and technology are essential for national development and progress. The State shall give priority to research and development, invention, innovation, and their utilization; and to science and technology education, training, and services. It shall support indigenous, appropriate, and self-reliant scientific and technological capabilities and their application to the country's productive systems and national life. HTcADC

1.2 Moreover, Section 11 thereof also declares that Congress may provide for incentives, including tax deductions, to encourage private participation in programs of basic and applied scientific research. Scholarships, grants-in-aid, or other forms of incentives shall be provided to deserving science students, researchers, scientists, inventors, technologists, and specially gifted citizens.

1.3 Further, Section 12 thereof provides that the State shall regulate the transfer and promote the adaptation of technology from all sources for the national benefit. It shall encourage the widest participation of private groups, local governments, and community-based organizations in the generation and utilization of science and technology.

1.4 Under Section 9 of Republic Act (R.A.) No. 2067, otherwise known as the "Science Act of 1958," approved on 13 June 1958, the Board (now DOST) shall have, for all legal purposes, all the duties, powers, and prerogatives of a Board of Directors and shall function as such, unless otherwise provided for in this Act. The Board shall promulgate such rules and regulations as may be necessary for the conduct and exercise of its functions, duties, and powers under this Act.

1.5 Furthermore, Section 24 thereof provides that the Board shall promote and, in its discretion, assist in the establishment of private foundations for scientific advancement, as well as specific research and development projects by private individuals, firms, and institutions. All funds contributed to the support and maintenance of such foundations and their projects as well as specific research and development projects undertaken by private individuals and educational institutions, shall be tax-exempt and deductible from the donor's income tax return, upon certification by the Board that such foundations and funds are dedicated to scientific pursuits.

1.6 Pursuant to Section 6 of R.A. No. 3589, in addition to the benefits provided for under Section 24 of R.A. No. 2067, all income of whatever kind and character which such foundations may derive from any of their properties, real or personal, or from their investments shall also be tax-exempt.

1.7 Pursuant to the provisions of Section 9 of the Science Act of 1958, the NSDB Regulations No. 1 (4th Revision) dated 03 December 1982, and subsequently, DOST Administrative Order No. 007, s. 2016 dated 04 March 2016 were issued providing for the rules and regulations for the implementation of Section 24 of the "Science Act of 1958."

1.8 Recognizing the role of the science foundations and private individuals, firms, and educational institutions in the attainment of national development and progress, there is a need to strengthen and expand the programs of the DOST to provide the necessary and relevant services and assistance to strengthen the collaborative linkages with certified science foundations and private individuals, firms and educational institutions undertaking specific research and development projects.

1.9 DOST Administrative Order No. 007, s. 2016 is hereby being amended to provide for the rules and regulations for certifying specific research and development projects that are implemented for scientific advancement within the meaning of Section 24 of R.A. No. 2067, as amended by R.A. No. 3589, as well as other purposes.

2.0 TITLE

These Rules shall be cited as the "Revised Rules in the Certification of Science Foundation, and Specific Research and Development Project of 2021."

3.0 PURPOSES/OBJECTIVES

3.1 To review and revise, as needed, the existing implementing rules and policies governing the S&T Foundation Unit (STFU) of the Department of Science and Technology (DOST);

3.2 To update, strengthen, expand the role, programs, and services of the STFU for the availment and benefit of the certified science foundations, and private individuals, firms, and educational institutions undertaking specific research and development projects; and

3.3 To integrate DOST-certified science foundations and specific research and development projects undertaken by private individuals, firms, and educational institutions to DOST programs and projects, aligned with the latter's agenda and major final outputs.

4.0 COVERAGE

These Rules cover all science foundations, and private individuals, firms, and educational institutions undertaking specific research and development projects for scientific advancement within the meaning of Section 24 of R.A. No. 2067, as amended by R.A. No. 3589.

5.0 DEFINITION OF TERMS

For purposes of these rules and unless otherwise indicated, the terms herein enumerated shall have the following meaning:

5.1 Development — technical activity on non-routine problems encountered in translating research findings or other scientific knowledge into products or processes including their dissemination.

5.2 DOST — Department of Science and Technology (formerly National Science and Technology Authority).

5.3 DOST-certified Science Foundation — a private science foundation that complies with the requirements set forth in Item 9.1 of these rules and is duly certified by DOST as such. aScITE

5.4 Development of scientific and technological manpower — identification, development, and utilization of scientific and technological manpower.

5.5 Economic evaluation — the process of appraising, estimating, or determining the economic value of a given process or product with a view to its commercial exploitation.

5.6 Family foundation — one established and/or supported mainly by relatives within the 4th civil degree of consanguinity or affinity.

5.7 Science and Technology — Science is the systematic way of acquiring knowledge through observation and experimentation, whereas technology is the practical application of science. Technology is used to design products that improve the quality of human life.

5.8 Scientific and Technological Activities (STA) — all systematic activities which are closely concerned with the generation, advancement, dissemination, and application of scientific and technical knowledge in all fields of natural science and technology, which may be classified into three broad groups, namely:

5.8.1 Research and Experimental Development (R&D) — any systematic and creative work undertaken in the physical, natural, mathematical, and applied sciences by using methods to increase the stock of knowledge, and the use of this knowledge in these fields to devise new applications through the conduct of any of the following activities:

5.8.1.1. Applied Research — any investigation undertaken to utilize data/information gathered from basic/fundamental researches to acquire new knowledge directed primarily towards a specific practical aim or objective with direct benefit to society.

5.8.1.2. Basic/Fundamental Research — any experimental or theoretical work undertaken primarily to acquire new knowledge on underlying phenomena and observable facts; this can either be (a) without immediate or specific application (fundamental research) or (b) geared to come up with information toward the solution of a specific problem that has not been solved before (oriented basic research). This category includes natural and social sciences, among others.

5.8.1.3. Experimental Development — any systematic work that draws from existing knowledge gained from research and/or practical experience that is directed to produce new materials, products, and devices, installs new processes, systems, and services, and substantially improve those already produced or installed.

5.8.2 Scientific and Technological Services (STS) — activities in support of scientific research and development, dissemination, and applications of scientific and technical knowledge; and

5.8.3 Scientific and Technical Education and Training (STET) — all activities comprising higher education and training leading to a university degree, post-graduate and further training, organized lifelong training for scientists and engineers, and specialized non-university higher education.

5.9 Scientific Pursuit — the systematic and organized activities concerned with the scientific research, development, advancement, dissemination, and application of scientific and technical knowledge in all fields of natural science and technology for the public interest.

5.10 Specific Research and Development Project — activity and/or program proposed or undertaken by an applicant foundation, private individuals, firms, or educational institutions which should be Scientific and Technological Activities (STA) in character and documented in a plan or program of accomplishments.

5.11 Unrestricted donations — funds contributes for no specific projects/purposes and the use thereof is left to the discretion of the recipient foundation.

6.0 CERTIFICATION

6.1 PRIVATE FOUNDATIONS

6.1.1 WHO MAY APPLY

Private foundations engaged in, and whose funds are dedicated to scientific pursuits may apply to avail of the benefits of Section 24 of the Science Act of 1958, as amended. HEITAD

6.1.2 APPLICATION REQUIREMENTS

6.1.2.1  The following are the documentary requirements in the application for certification of a private foundation, which shall be submitted to the DOST in two (2) copies:

a. Letter of intent to apply as a DOST-certified science foundation addressed to the Department Secretary;

b. A certified true copy of the applicant's:

i. Articles of Incorporation,

ii. By-laws, and

iii. Certificate of registration of said Articles of Incorporation and By-laws as well as their amendments issued by the Securities and Exchange Commission (SEC);

c. Scientific and Technological Activities (STA) program with a proposed budget for a period of three (3) years covered by the certification signed by the Executive Director or equivalent officer of the foundation, accomplished using the DOST approved and prescribed forms;

d. A list of officers and working staff other than the trustees; and

e. A certification by the Treasurer of the foundation that it has an initial capital of at least one million pesos (P1,000,000.00).

6.1.2.2  The application shall be accompanied by the accomplished prescribed form STFU 0015 which shall be filed under oath before a notary public or a competent officer or person authorized by law.

6.2 SPECIFIC RESEARCH AND DEVELOPMENT PROJECTS

6.2.1 WHO MAY APPLY

a. Private individuals, firms, and educational institutions undertaking specific research and development projects; and

b. Private foundations which do not qualify for certification under Item 6.1 hereof.

6.2.2 APPLICATION REQUIREMENTS

6.2.2.1  The following are the documentary requirements in the application for certification of specific research and development project, which shall be submitted to the DOST in two (2) copies:

a. Letter of intent to apply for certification addressed to the Department Secretary;

b. Specific research and development program accompanied by a detailed project study in the form prescribed and approved by the DOST with proposed budget covering the duration of the said project, signed by the Project Leader/Proponent and endorsed by the Head of the implementing organization or equivalent officer.

6.2.2.2  The application shall be accompanied by the accomplished prescribed form STFU 0016, which shall be filed under oath before a notary public or a competent officer or person authorized by law.

7. PROCESSING OF APPLICATION

Applications under these rules shall be processed by the S&T Foundation Unit of the DOST. Staff from the STFU may conduct an investigation of the applicant foundation and/or private individuals, firms, and educational institutions applying for the certification of their specific research and development projects. The Unit may request the views and recommendation of any government official or private individuals and may require the applicant or its representative to appear before it to clarify or substantiate the statements in the application.

8.0 FEES

8.1 PRIVATE FOUNDATIONS

a. REGISTRATION FEE

A registration fee shall be collected from every foundation for every new registration or renewal thereof in accordance with existing laws, rules, and regulations, or guidelines issued by DOST.

b. ANNUAL SERVICE FEE

The foundation shall pay an annual and/or service fee in accordance with existing laws, rules, and regulations, or guidelines issued by DOST.

8.2 SPECIFIC RESEARCH AND DEVELOPMENT PROJECTS

a. REGISTRATION FEE

A registration fee shall be collected from private individuals, firms, and educational institutions for each certified specific research and development project in accordance with existing laws, rules and regulations, or guidelines issued by DOST. ATICcS

9.0 ISSUANCE OF CERTIFICATION

9.1 PRIVATE FOUNDATIONS

9.1.1 CONDITIONS FOR ISSUANCE OF CERTIFICATION

9.1.1.1  Conditions to be stated in the Articles of Incorporation

a. It is a non-stock and non-profit and organized and operated in the public interest and no portion of its funds shall inure to the benefit of private individuals or juridical entities whether domestic or foreign;

A foundation shall be considered to be organized and operated in the public interest if it is essentially engaged in the activities specified in Item 9.1.1.1b of these rules and, if it undertakes research (i) the results of its researches (including patents, copyrights, process or formulae resulting from such researches) are made available to the public on a non-discriminatory basis unless the granting of the exclusive right is the only practicable manner in which patent, copyright, process or formula can be utilized to benefit the public; or (ii) its researches are performed for the Republic of the Philippines or any of its agencies, instrumentalities or political subdivision; or (iii) its researches are directed toward benefiting the public;

b. That at least sixty (60%) percent of its gross income [total income and donations (restricted and unrestricted donations)], as defined in the Revised Internal Revenue Code, shall be devoted to undertaking, directly financing, or assisting pure, fundamental, or basic and applied scientific and technological research and development activities and/or economic evaluation, improvement of laboratory and library facilities, development of scientific and technological manpower including the establishment of professorial chairs, and scientific and technological services, in any or all of the following fields:

i. Industry

ii. Agriculture and Natural Resources

iii. Health Science

iv. Biological and Physical Sciences

v. Energy

vi. Food and Nutrition

vii. Environment

viii. Engineering

ix. Social Science and the Humanities

Not more than thirty (30%) percent of the total income and restricted donations, and not more than ten (10%) percent of the unrestricted donations to the foundation shall be devoted to general and administrative expenses;

c. That (a) upon its dissolution as a DOST-certified foundation, its remaining assets shall be disposed of and turned over to any DOST-certified foundation of its choice or the Republic of the Philippines or any of its agencies, instrumentalities, or political subdivisions; and (b) in case of the failure on the part of the foundation to secure renewal of its certification as a DOST-certified foundation, or failure to comply with the requirements as prescribed in Items 13, 14 and 15 of these regulations, the foundation shall be charged an amount equivalent to the taxes that should have been paid without the benefit of DOST certification from the date of the last certification, the amount to determined jointly by DOST and the BIR;

d. That any management contract, trust agreement or any other contract to be entered into by the foundation for the management of any of its activities shall be submitted to the DOST for information;

e. That all donations received by the foundation from another foundation certified under these rules shall be subject to approval by the DOST;

f. That the foundation shall allow the DOST to inspect its investment portfolio for verification purposes; and

g. That any proposed amendment to it or its by-laws shall be subject to approval by the DOST prior to registration with the Securities and Exchange Commission (SEC). TIADCc

9.1.1.2  Conditions to be stated in the By-Laws:

a. That the foundation shall furnish the DOST a certified true copy of the minutes of and resolutions adopted in all meetings of the Board of Directors, committees or members of the foundation within thirty (30) days after such minutes have been approved; and

b. That in the Board of Trustees or Directors, in case it is a family foundation, the members of the family shall always be in the minority and the Treasurer shall not be an immediate member of the family.

9.1.1.3  S&T Program/Project/Activity:

The foundation has an S&T program/project/activity approved by the DOST consistent with its purposes as stated in its articles of incorporation and that the actual operations justify its continuing existence as a viable and actual science foundation rather than as a mere conduit for receiving tax-free contribution or funds raised by occasional fund drives. Results of its researches shall be copyrighted or patented in the name of the foundation.

9.1.2 ISSUANCE OF CERTIFICATION

If the application is in order, the DOST Secretary, after taking into consideration the findings and recommendation of the Undersecretary, shall issue a certification that the applicant is a DOST-certified science foundation as defined hereof.

9.2 SPECIFIC RESEARCH AND DEVELOPMENT PROJECTS

If the application is in order, the DOST Secretary, after taking into consideration the findings and recommendation of the Undersecretary, shall issue a certification that the specific research and development project undertaken by private individuals, firms, and educational institutions applying for certification, or foundations which do not qualify for certification under the provision of Item 9.1 of these rules, is to be implemented for scientific advancement/pursuit as defined herein.

10.0 LIFE OF CERTIFICATION

10.1 PRIVATE FOUNDATIONS

The certification for private foundations issued under these rules shall be effective not earlier than the date of filing of the application and shall be in force for a period of not longer than three (3) years unless sooner revoked by DOST.

10.2 SPECIFIC RESEARCH AND DEVELOPMENT PROJECTS

The certification for specific research and development project for the implementation for scientific advancement/pursuit issued pursuant to Item 9.2 of these rules shall be effective not earlier than the date of filing of the application and shall be in force until the completion of the project as stated in the application, unless sooner revoked.

11.0 BENEFITS AVAILABLE FOR CERTIFIED SCIENCE FOUNDATIONS, AND PRIVATE INDIVIDUALS, FIRMS, AND EDUCATIONAL INSTITUTIONS UNDERTAKING SPECIFIC RESEARCH AND DEVELOPMENT PROJECTS

11.1 CERTIFIED SCIENCE FOUNDATIONS

11.1.1 TAX EXEMPTION OF CONTRIBUTION

All funds contributed to the support and maintenance of science foundations and their projects shall be tax-exempt and deductible in their entirety from the income tax return of the donors upon certification issued by the DOST pursuant to existing laws, rules and regulations as may be issued by a competent authority.

11.1.1.1 Application Requirements

The application for the certificate of tax-exemption of donations shall be accompanied by the Deed of Donations and Acceptance duly notarized. In addition, thereto, the following shall be submitted:

11.1.1.1.1 When the amount donated is in check, a certification by the Treasurer of the donee foundation that said check has been duly cashed and/or credited to the account of the foundation;

11.1.1.1.2 When the donation consists of shares of stocks, the original, and a photocopy of the stock certificate in the name of the donee foundation;

11.1.1.1.3 When the donation consists of land, water, and aerial transport system, photocopy of the certificate of ownership or the certificate of registry, as the case may be, in the name of the donee foundation;

11.1.1.1.4 When the donation consists of registered land or any real property, the original and a photocopy of transfer certificate of title (TCT) in the name of the donee foundation; AIDSTE

11.1.1.1.5 When the donation consists of an unregistered land, a certificate of the Register of Deeds concerned that the deed of donation has been duly recorded in the register book in the name of the donee foundation, a certified true copy of the latest tax declaration of the donated property, and a declaration of the fair market value thereof by the donor;

11.1.1.1.6 If the donation involves cultural properties, such as artifacts, paintings, etc., the following shall be submitted:

a. Pictures of the donated items;

b. A certification from the curator of the foundation that he has actually received the said donations; and

c. A valuation by the Board of Curators of the National Museum.

11.1.1.1.7 When the donor is a corporation or partnership and the amount involved is P5,000.00 and above, it is required that a board resolution or a certification by the managing partner authorizing such donation to be submitted; and

11.1.1.1.8 Such other requirements as may be prescribed from time to time by the DOST.

11.1.1.2 Valuation of Donation

11.1.1.2.1 Donation/gifts made in kind shall be determined at their fair market value as of the date such donations or gifts are made. Cash donation or gift shall be determined solely on the cash receipts and disbursement method of accounting, provided, however, that donation of services shall not be allowed;

11.1.1.2.2 If the donation consists of real property, the value thereof shall be based on the assessor's most recent valuation;

11.1.1.2.3 If the donation consists of personal property, the value shall be based on the acquisition cost thereof; but if said personal property had already been used at the time of donation, the depreciated or book value thereof; and

11.1.1.2.4 If the donation comprises cultural properties, it is required that the donation be valuated by the Board of Curators of the National Museum. Prior to the issuance of the certificate of tax exemption, a visit to the foundation is made by the DOST for an inventory of the items donated.

11.1.2 INCOME TAX EXEMPTION

All income of whatever kind and character which the foundation may derive from any of its properties, real or personal, or from its investments shall also be tax-exempt pursuant to existing laws, rules, and regulations as may be issued by a competent authority.

11.1.3 EXEMPTION FROM PAYMENT OF CUSTOMS DUTIES

Exemption from payment of customs duties on the importation of scientific instruments or apparatus intended exclusively for pure and scientific research upon certification to the Department of Finance by UNESCO National Commission of the Philippines pursuant to Annexes C(v) and D(b) of the UNESCO Florence Agreement classified as "Patterns and Models" and "Scientific Instrument or Apparatus" in relation to Section 105 (s) of the Tariff and Customs Code. However, such importation shall be subject to the payment of the Value-Added Tax (VAT) pursuant to Section 99 of the Internal Revenue Code of the Philippines, as amended.

11.1.4 INTEGRATION TO AND AVAILMENT OF DOST PROGRAMS

Certified science foundations, in coordination with the STFU, may be integrated into the programs of the DOST, provided that they are aligned with the latter's major final outputs (MFOs) and agenda. Upon the discretion of the DOST and in accordance with pertinent laws and implementing rules and regulations, certified science foundations may avail of the DOST's programs, projects, and services, such as the DOST Grants-in-Aid Program.

11.2 CERTIFIED SPECIFIC RESEARCH AND DEVELOPMENT PROJECTS

11.2.1 INTEGRATION TO AND AVAILMENT OF DOST PROGRAMS

Certified specific research and development projects, in coordination of the projects implementors with the STFU, may be integrated into the programs of the DOST, provided that they are aligned with the latter's major final outputs (MFOs) and agenda. Upon the discretion of the DOST and in accordance with pertinent laws and implementing rules and regulations, applicants may avail of the DOST's programs, projects, and services, such as the DOST Grants-in-Aid Program. AaCTcI

12.0 EVALUATION AND INSPECTION

12.1 Science foundations as well as private individuals, firms and educational institutions, or foundations that do not qualify for certification under the provision of Item 9.1 hereof, undertaking specific research and development projects certified under these rules shall be subject to inspection, review, and audit of their books (which should be duly registered with the BIR), facilities and projects at least semi-annually. The first visit shall be done anytime between the fourth week of April and the third week of May while the second visit shall be between October and November.

12.2 An Inter-Agency Technical Evaluation Group (IATEG) shall be constituted which shall have the primary duty to evaluate the proposed scientific and technological activities of private foundations, and specific research and development projects of private individuals, firms and educational institutions, or foundations which do not qualify for certification under the provision of Item 9.1 hereof, applying for certification as a new science foundation as well as for the renewal thereof, and certification of specific research and development project, respectively, for compliance with the provisions of applicable laws and relevant rules and regulations relative to the issuance of the DOST certification.

13.0 REPORTS

13.1 CERTIFIED FOUNDATIONS

During the period of certification, the foundation shall submit annually to the DOST within ninety (90) days after the end of its fiscal year in the forms prescribed for the purpose of the following:

a. Status reports on its projects and other related activities;

b. A statement of sources and application of funds; and

c. Comparative financial statements from the date of the last certification, together with all supporting schedules.

The above-stated financial statements should be certified by an independent Certified Public Accountant.

13.2 CERTIFIED SPECIFIC RESEARCH AND DEVELOPMENT PROJECTS

Private individuals, firms and educational institutions certified pursuant to Item 9.2 of these rules shall submit within thirty (30) days after the completion of such projects, accomplishment, and technical reports thereof. A separate book of accounts certified by an independent Certified Public Accountant indicating the amounts contributed to the certified project and the purpose or purposes for which they were used shall likewise be submitted to DOST for inspection.

14.0 RENEWAL OF CERTIFICATION OF SCIENCE FOUNDATION

14.1 The certification may be renewed by the DOST Secretary for the same period. The application for the renewal of the certification shall be duly filed in two (2) copies not later than ninety (90) days after its expiration. The same should be submitted with the following requirements:

a. Detailed report of scientific and technological activities of the foundation during the period covered by the expired certification accomplished in the DOST approved and prescribed form;

b. Program of scientific and technological activities with a proposed budget for the period to be covered by the application for renewal, accomplished in the DOST approved and prescribed form;

c. A certified true copy of the amended articles of incorporation and by-laws, if any, or a sworn statement that there have been no such amendments; and

d. Results of financial operations covered by the expired certification, following the DOST approved and prescribed form.

14.2 In case of failure to submit the application for the renewal of the expired certification within the ninety (90)-day period, succeeding submissions shall be deemed an application for certification as a new science foundation. Thus, the requirements enumerated under Item 6.1 hereof must be complied with.

15.0 SUSPENSION OR REVOCATION OF CERTIFICATION

15.1 FOR PRIVATE FOUNDATIONS

The certification for private foundations shall be revoked or suspended by the DOST Secretary on any of the following grounds:

15.1.1 Failure to commence the operation within two (2) years from the date of certification;

15.1.2 Deviation from the scientific and/or technological purposes or objectives defined in the articles of incorporation and more specifically stated in its project study submitted to the DOST when it applied for certification, without the written permission of the DOST;

15.1.3 Channeling of the properties of certified foundations to the purpose or purposes different from that mentioned in the articles of incorporation;

15.1.4 Refusal to allow inspection, review, and audit by the DOST; EcTCAD

15.1.5 Any violation of the rules and/or the terms and conditions of the certification; or

15.1.6 Failure to comply with other reasonable requirements of the DOST.

15.2 FOR SPECIFIC RESEARCH AND DEVELOPMENT PROJECT

The certification for specific research and development project shall be revoked or suspended by the DOST Secretary on any of the following grounds:

15.2.1 Failure to commence the project operation within six (6) months from the date of certification;

15.2.2 Deviation from the purposes or objectives of the certified project without the written permission of the DOST;

15.2.3 Channeling of properties of the certified project to the purpose or purposes different from its objectives;

15.2.4 Refusal to allow inspection, review, and audit by the DOST;

15.2.5 Any violation of these rules and/or the terms and conditions of the certification; or

15.2.6 Failure to comply with other reasonable requirements of the DOST.

16.0 PENALTIES

16.1 Any person who evades or defeats or attempts to evade or defeat, in any manner, any tax imposed by law by availing himself of the provisions of Section 24 of the Science Act of 1958 through fraud and misrepresentations or violations shall be punished by a fine of not more than twenty-five thousand (P25,000.00) pesos or imprisonment for not more than one (1) year or both, in the discretion of the court.

16.2 In case the violator is a corporation or association the penalty shall be a fine of not more than fifty thousand (P50,000.00) pesos, without prejudice to the criminal responsibility of the member, officer, or employee thereof committing such violation.

17.0 REPEALING CLAUSE

Provisions of the DOST Regulations No. 1, s. 1982, DOST Administrative Order No. 007, s. 2016, and such other orders, rules and regulations, or parts thereof, inconsistent with the provisions of these rules are hereby amended or repealed accordingly.

18.0 SEPARABILITY CLAUSE

The provisions of these Rules are hereby declared separable. In the event that any provision hereof is rendered unconstitutional or unlawful, those that are not affected shall remain valid and effective.

19.0 EFFECTIVITY

These rules and regulations and amendments thereto shall take effect fifteen (15) days after publication in the Official Gazette.

Approved:

(SGD.) FORTUNATO T. DE LA PEÑASecretary

Published in the Official Gazette, Vol. 117, No. 49, Page 11433 on December 6, 2021.