September 25, 1998
DAR OPINION NO. 97-98
MR. NELSON G. GENITO
National Programme Coordinator
Belgian Integrated Agrarian
Reform Support Programme
This Department
Dear Mr. Genito:
This has reference to your Memorandum dated 20 July 1998 requesting for legal opinion regarding the source of fund for claims of Representation and Transportation Allowance (RATA) of personnel on full-time assignment to the Programme Management Office in Foreign Assisted Projects (FAPs).
The issue was raised in the query of the personnel of Belgian Integrated Agrarian Reform Support Programme, Programme Management Office IX (BIARSP PMO IX) who have not received their RATA from their mother units because of the provision in the DAR Memorandum Circular No. 21, dated 21 May 1997, which states:
"IV. 1. Representation and Traveling Allowance. Personnel assigned to Foreign Assisted Projects (FAPs) who are entitled to Representation and Travelling Allowance (RATA) shall draw such allowance from GOP counterpart funds effective upon his assignment to FAPs."
First of all, please be clarified at the outset that a close look of the abovecited provision would bring to light that not all personnel assigned to FAPs are entitled to RATA. The phraseology of the said provision was couched in very plain and simple term wherein there is no room for other interpretation. The wordings "personnel assigned to FAPs who are entitled to RATA . . ." presuppose that even prior to their assignment, said personnel subsequently assigned to FAPs were already entitled to receive RATA by virtue of their original permanent positions. Thus, conversely, if prior to their assignment to the FAPs, they are not entitled to receive RATA, their assignment to such project will not entitle them to receive the same. Accordingly, only those holding ratable positions are generally entitled to RATA. This is evident from the provisions of DBM National Compensation Circular No. 67, Series of 1992 as amended, particularly, Sections 2 and 3 and subsections thereof, and No. 1 of the Memorandum of the DAR Secretary dated 07 July 1997.
Worth noting, likewise, is the provision in the Memorandum of the DAR Secretary dated 07 July 1997 No. 2 thereof which provides, quote:
"Holders of the abovementioned positions who are reassigned or in fulltime detail to another organizational unit or special project for one full calendar month or more, which detail or reassignment is without consent or involuntary in nature are authorized to continue to collect commutable RATA chargeable against their mother units, provided that the duties and responsibilities they perform are comparable with those of their regular positions as certified by the Head of Office concerned. In case of detail to foreign assisted projects, they may be paid the RATA provided they are not receiving the same in the project."
From the aforequoted provision, it could readily be inferred that the further tests of whether or not a detailed or reassigned official or employee, who is holding a ratable position, is entitled to RATA are the elements of involuntariness and comparability. In other words, the detail or reassignment is involuntary in nature, that is, it is not done at the instance or at the personal request of the employee, and that the duties and responsibilities he performs are comparable with those of his regular position as certified by the Head of Office concerned.
On the other hand, in the event that an official or employee is entitled to RATA by virtue of his position, and is subsequently involuntarily assigned to a Foreign Assisted Project whose duties and responsibilities are comparable to his regular position, wherein such employee or official is thus entitled to RATA, the following provisions are applicable:
1. Last sentence of Item No. 4 of DBM National Compensation Circular No. 67, dated 01 January 1992:
"No one shall be allowed to collect RATA from more than one source."
2. DAR Secretary's Memorandum dated 07 July 1997:
a. No. 2, last sentence:
"In case of detail to foreign assisted projects, they may be paid the RATA provided they are not receiving the same in the project."
b. No. 5:
"Those who are designated in concurrent capacity and the officials and employees so designated are already entitled to commutable RATA, they may be authorized to collect the difference only, if any, between the RATA of the two positions."
Briefly, the foregoing could be summarized as follows in order that a detailed or reassigned personnel to a foreign assisted project could be entitled to RATA under the following terms and conditions (which must all concur), to wit:
1. He must already be holding a ratable position in his regular position;
2. His reassignment or detail to the FAP is involuntary in nature; and
3. The duties and responsibilities he is performing in the FAP is comparable with those of his regular position as certified by the Head of Office concerned.
Should the employee be entitled to RATA based on the above terms and conditions, he may be paid the same in accordance with the following rules:
1. No one shall be allowed to collect RATA from more than one source;
2. He may be paid the RATA provided he is not receiving the same in the project (FAP); and
3. If he is designated in a concurrent capacity, he may be authorized to collect the difference only, if any, between the RATA of the two positions, on the presupposition that his position in the FAP is in itself ratable.
Now, as to the issue raised in your query regarding the sources of fund for claims of Rata by employees assigned to FAPs (on the assumption that the foregoing rules and regulations are duly observed and complied with), the following provisions are instructive:
1. No. 11, Dar Secretary's Memorandum dated 07 July 1997:
"Commutable RATA shall be paid from the amount appropriated for the purpose under the personal services fund. Reimbursable RATA shall be charged against the amount appropriated under maintenance and operating expenses, i.e. transportation allowance to object classification code 02 and representation allowance to object classification code 29."
2. Section 4, DBM National Compensation Circular No. 67, Series of 1992 as amended:
"In all cases, commutable and reimbursable RATA shall be paid from the amount appropriated for the purpose and other personal services savings of the agency or project from where the officials and employees covered under this Circular draw their salaries. No one shall be allowed to collect RATA from more than one source."
3. IV.1, Memorandum Circular No. 21, Series of 1997:
"Representation and Travelling Allowance (RATA). Personnel assigned to FAPs who are entitled to Representation and Travelling Allowance (RATA) shall draw such allowance from GOP counterpart funds effective upon his assignment to FAPs."
From the aforequoted and considering that only employees involuntarily assigned or detailed to FAPs performing functions comparable with those of their regular positions as duly certified and whose regular positions are ratable are entitled to RATA, it necessarily follows that the source of fund for payment of RATA of said employees should come from the same source as that of regular employees of DAR holding ratable positions who are not detailed but discharging the actual duties and responsibilities of their positions, pursuant to the aforequoted provisions of No. 11 of DAR Secretary's Memorandum dated 07 July 1997, Section 4 of DBM NCC No. 67, Series of 1992 as amended and IV.1 of DAR MC No. 21, Series of 1997. In other words, both category of employees, whether detailed or not, shall be entitled to RATA in the same manner and from the same source for there is actually no substantial distinction between them so as to warrant a different or unequal treatment.
Finally, worth noting is the provision of Section 5, DBM NCC No. 67, Series of 1992 as amended, quoted herein as follows:
"Responsibility of the Head of Agency. The Head of agency shall be held responsible and personally liable for any payment of RATA not in accordance with the provisions of this Circular, without prejudice, however, to refund of any excess payment by the official or employee concerned."
In compliance with the above and concomitant thereto, it bears stressing here, therefore, that this opinion should not be construed as an implied condonation or toleration of the obnoxious practice of purporting to detail involuntarily an employee or official to a project (e.g., FAP) for official reasons or exigencies (in order to avail of the privilege of receiving RATA) when in truth and in fact it is privately sought or initiated by the employee himself for some personal reasons of his own or is merely an accommodation made upon his request and is not actually in the official and/or to the best interest of the service. Such is not sanctioned and is strongly condemned in this jurisdiction. Accordingly, to foreclose commission and possible perpetuation in our Department of the aforesaid abominable practice, careful inquiry, screening, evaluation and verification must first be conducted before the payment of RATA may be validly authorized.
Please be guided accordingly and we hope to have clarified the matters with you.
Very truly yours,
(SGD.) DANILO T. LARA
Undersecretary for Legal Affairs, and Policy and Planning