State of the Nation

Media

Part of The Local Government Review

Title: State of the Nation
Language: English
Source: Local Government Review
Year: 1949
Subject: Quirino, Elpidio; State of the Nation Address
Rights
Fulltext: STATE OF THE NATION [Message by His Excellency Elpidio Quh~no'. .P'·?sident of the P~ilippin~s, to the First Congress of the Republic of the Philippines, Fourth Session, delivered at the Joint Session of Congress in the Session Hall, Legislative Building, Manila, on Monday, January 24, 19·19, at 4 p.m.] Mr. President, Mr. Speaker, :fidence in the government. My first act Gentlemen of the Congress: ln . this direction was to order the reduction in the price of Cla&s· E rice, then selling at one .peso, to eighty-fhe centavos a ganta. This order reduced the cost not only of. other grades of rice but also of other essential commodities whose price structure is dependent on the cost of rice. I am happy indeed to meet you in this historic hall. Its rehabilitation is the most recent evidence of owr efforts at rapid reconstruction. We agreed to reconstruct the Legislative Building and the Finance and Agriculture buildings yonder only last September. Today is our homecoming to this hall. It is my hope .that before long the ruins and scars of battle in this hallowed area will disappear. I have had the pleasant experience of working with you during your last legislative session. iB'ut I have not had as yet the formal occasion to thank you all for the splendid cooperation you have been giving me from the initial months of. my adminish:ation. Without that cooperation I could not have carried on. I am in hopes that during the session,s just starting we shall continue to work together with understanding and devotion, to the end that we may go ahead with the task of nationbuilding without unnecessary interruptions and distractions. This is an election year. We have barely ten months before most of us will have to account for our acts to the people. We have to present a work well done. As you. already know, I ascended the Presidency under ~he most depressing and distressing circumstances. But deep in my heart I was determined to carry on silently the work so auspidously begun by my illustrious predecessor. ornr dear friend the late President Roxas, on our common venture to lay the fou.nd11.tions of this new Republic. Restoration of Peace My first concern was to complere the restoration of peace and order and to strengthen our people's morale and conMARCH. 1949 Then I made the first of my visits · to the troubled areas in Central Luzon. Here the dissident elements were terrorizing the population with kidnappings and depredations. They were preying for food and other necessities upon the poor people of Pampanga, 'B:ufacan Nueva Ecija and Tarfac, the very 'people whose irirerests they were pretending to protect, whose welfare they were professing to promote. That tour elicited the offer of cooperation from the leader of the dissident elements. It resulted eventually, with your concurrence, in the issuance of an Amnesty Proclamation. During the period of. the Amnesty, the people of Ce11tral Luzon, especially those seeking shelter in the poblaciones and those hiding .in the hills, found it safe once more to return to their homes and resume the cultivation of their farms. No less than six thousand one hundred hectares in the troubled areas that had Iain idle for four or five years · were planted to rice. Upon the expiration of the proclamation period, the misguided elements resumed their defiance of the government. They began agai·n to harass the people during harvest time. But the government, through an effective Constabulary campaign, has been able not only to break their organization, driving the remnants to the deep recesses of the Sierra Madre, but to · secure the biggest rice harvest since the outbreak of the war despite a drought and other natural calamities. (Continued on page 147) Page 145 State ... The Amnesty also served to unmask the dissidents. It exposed their commu~istic inspiration and direction. It uncovered their real purpose fo overthrow the government, which they had cloaked by agifa:tion for so-called social agrarian reforms. Realizing this as they never had before, our law-abidi1•g citizens gav·e the government all their loyalty and support in the subsequelit policy it followed of going after the dissidents with all its strength and power to uphold the law. I am glad to report to you that the sporadic depredations of these outlaws in isolated areas of the country are but the last paroxysms of a dying movement. 'With the recent surrender of two hundred Moro outlaws in Jolo, the only ithreat of disorder in the traditional trouble area in the SuJu Archipelago during many regimes, has also disappeared. The government shall continue its vigilance against potential disruptive elements which impair the efficiency of our productive efforts. We will not to!erate further interference with rthe steady prosecution of our social and economic program. Social Amelioration My second immediate objective was to provide for relief to the people in the troubled areas. By executive order I created the Action Commi,ttee on Social \Amelioration. I charged it with the duty to go to the field and minister to the needy, the hungry, the homeless and the sick, to victims of dissident depredations and violence. I placed the four million pesos appropriated by Congress for peace and order and relief at the disposal of the Committee. The Action {jommittee has carried out a. program of social amelioration on a systematic and comprehensive scale. Some 700,000 needy peop.Je in thirteen provinces and chartered cities secured direct assistance in food, clothing, medicine and, in some cases, direct cash loans. These loans amounted to 1"1205,000 and were given to tenantfarmers in Tarlac, Nueva Ecija, Biulacan, Pampanga, IBataan, Rizal, Laguna and Quezon. In addition, the Committee distributed P333,000 worth of seeds, mainly palay, for distribution to farmers to augment the production of rice. Other food crops have likewise been planted. To provide employment to long unemployed people, the construction of public works projects in the t.roubled area was speeded up. In order to encourage the establishment of homes for the landless, the acquisition of big landed estates to be parcelled for resale to bona fide tenants at cost was also accelerated. Besides the :purchase of thirty-five haciendas comprising 161.3 million square meters valued at 13.3 million pesos, we are acquiring (Continued on page 150) D. D. MADRIAGA 421 Florentino Torres, . Sta. Cruz, Manila Exclusive Supplier of High Quality Leather Articles for Government RequisitionsMANUFACTURERS: Wallets, Kodak Cases, Belts, Holsters, Medical Bags, I Traveling Bags, Portfolios, Brief Cases and Saddles. Speccal prices for Government Orders, approved by the Purchasing Agent. 100 % Filipino Capital _ MARCH, 1949 Page 147 State ... additional estates in Arayat and Sta. Ana, Pampanga, and in Jalajala, Rizal, for the same purpose. These proposed new acquisitions involve an area of about 49.3 million square meters valued approximately at i.2· million pesos. The social amelioration program has i>een extended to otlier portions of the archipelago as far as Mindanao and SuJ,u, and has become a major policy of the Administration. By the approval of Republic Act No. 304, we have solved the long standing demand among our thousands of gov.ernment employees for bacl)pay, under conditions which will do justice to the beneficiaries wi,thout unduly straining the finances of our government. By Acts Nos. 312 and 315, we have increased the minimum salaries of teachers, enlisted men and other small government employees. We'-have also elevE-ted the status of the nurses in the Army by the creation .under Act No. r················~··~·~·~1 • N. 0. Barrios Trading J ~ ~ ( General Merchandising ~ I OF.FICE SUPPLIES ~ PAPER SUPPLIES : ~ ENGINEERING SUPPLIES ~ i CRYSTAL SOUND DEVICES ~ : ~ : ~ ~ 403 Sta. Mesa Blvd. j ~ Manila, Philippines ~ . ~ t. ..•...•. .,.. ................................................... ~ Page 150 ~03 of the Nurses Corps in the Medica:l Service. · Republic Act No. 312 provides for the standardization of teachers' salaries on the basis of occupational assignments and educational qualifications. The 1948-1949 Appropriation Act had already been passed when this law was enacted. It will be my concern to make adeqr.iate p.rovision in our next budget iw order to carry out within our financial capacity the standardized rates provided for by this law. ~. We have further improved the l9t of temporary government employees and workers, including those in the cotporations owned or controlled by the government, regardless of status, by giving them fifteen days vacation ieave and fifteen days sick leave_, with full pay each year. This past year additional relief ac· crued to our people from a substaII• tial increase in employment. 'Wage8 increased by,o 'P'er cent, while the cost of living, based ·on the price index ot essential commodities, dropped 39 per cent, a most gratifying development. Verily, the rising level of earning and the decreasing cost of Ii ving are converging upon a point. of economic stability favorable to the great masses of our people. We have obtained from · the . United States Government provision for the hospitalization of our veterans. Our government has extended to our heroes of the war and the resis:tance such benefits as we have been able initially to afford. At our invitation, a mission of the United States Veterans Administration will arrive in Manila next month to look further into the possibility of improving the assistance that has been given to Filipino veterans. We have warded off epidemics. Large-scale immunization work has been accomplished. Medical care and facilities have been extended. Traveling clinics have been established. Hosoitals and puericulture centers have been rehabilitated. We are faking THE LOCAL GOVERNMENT REVIE'li s·teps to introduce on a big scale in our country the latest advances in medical science, including new drugs and vaccines f.or the treatment or prevention of leprosy and tuberculosis. We have solved the heretofore recurrent school crises. Nine thousand additional classes were opened throughout the country. We have made possible the admission of every child of school age seeking e" ntrance to our public schools. F'or the firsrt time in the history of civil administration in this country there was no such thing as a school crisis this school year. To minimize the delay in :the adjudication of cases, we have expanded our judiciary by increasing the num;.:,er of judges. 'We 'now have a full complement of the Judiciary, which has been completely reorganized. under the Judiciary Act of 1948. Assessment of Human Resources We have taken a new census of the country. After a long and destructive war, it was necessary to assess our resources for recovery .and to plan for continued growth. The report shows our total population to be over 19 milJ.ion as of October· first, last. It indicates that. we have sufficient manpower to carry out our program of national development. The Administrl\tion is wt.taching particular ·importance to the adequacy of the coverage and the quality of the results produced by 1ha( census. 'Ye hope that it will give us a correct basis from which to draw a quantitative and quaJ.itative analysis of the manpower resources of o~ courutry. We mu\St provide alt the earliest practicable time facilities for efficient utiHzation of these resources. Ml e need a more diversified oceu.pational pattern, a reduction in the volume and duration of unemployment, an increase in the worker's share in a bigger national output. We must insure those social welfare oenefits so necessary to the attainment of full stature of a selfrespecting citizen- education, recreatfon, secudty against illness and the infirmities of old age. l\IARCH, 1949 Reconstruction During the last twelve months, we have rehabilitated 25,260 kilometers of roads, built 663 kilometers of new roads, constructed or rehabilitated 605 school houses, erected or rehabilitaited 381 public buildings, cons:tructed or repaired 2,241 temporary and six permanent bridges, built or rehabilitated irrigation systems, at a total cost of 68.8 minion pesos. This sum came from our general appropriations, from funds obtained from the RehabJlitaition ;Finance 'Corporation, and from 1the Philippine War Damage Commission. National Economy We have balanced our na'.1 ional budget. We shall again have at the end of the current fiscal year a sizeable surplus. But it is important that we continue with v• igor ou• r efforts to increase the revenue collections and to limit eirpenses to the most essential needs of the public service. 'We have greatly improved the economic and financial conditions of the country. Through the Rehabilitation Finance Corporation, loans amounting to 1'90,480,136 have been granted for reconstruction and rehabilitation :purposes. These loans have gone to farmers, tenants, industrialists, builders of homes and other elements as::;isting ·in the general economic uplift. We have set up the Cerntral Bank to expand our credit, stabilize our c:irrency and provide a new source of financing for the agricultural and industrial development of the nation. With the operation of the Central Bank, we expect to maintain our domestic monetary stability, the international value of the peso, the free convertibility of the peso into United States dollars and other freely convertible currencies, and the ,p.romotion of a rising level of production, employment and real income. The greatest service of the !B'ank to the growth and prosperity of the national economy will lie in its use ~ its prerogatives under the law to -..create that financial environment in which the growth of sound pro\ , Page 151 ductive enterprises and the creation of ~ diversified pattern of. production will be greatly encouraged. It is an obligation of the Bank to promote and increase the rate of savings and channel them into productive investment outlets. We have taken a long step forward in the financing of our industr.ial development. We have successfully concluded negotiations with the International Bank for Reconstruction and Development for a loan cover.ing our dol~ar needs in the construction of two of the four hydro-electric - water power projects intended to spark our industrializaUon program. A definite commitment by the Bank in the sum of fifteen million dollars has been made. Btrt that amount w.ill be adequate only for the Ambuklao and Lumot projects. Further negotiatiqns will be conduCted for the financing of the Itogon and the Maria Cristina p rojeots, particularly th!' latter. The inte'I1sification of t he agricuJtural and industrial development o'f. Mindanao occupies a top priority in our program. The commitment thus far made is not only a favorable sign ushering in finally the implementation of our plans of economic development, but a significantly successful test of the solvency of our foreign credit, f~it · $as accepted only after a thorou·gn·· exan'frnaii on of ·our resources and development plani by ' a board of economists of international ::iuthor.ity. 'We have effected export control to retain for our own use articles and materials in short supply here, and import control to conserve our dollar resources so necessary for the expansion of our own productive enterprises. If in the process greater participa~ ion by our own countrymen in the import trade is fostered, a greater ga,in will have been achieved. The ·import control order is not a finality. If. .it be found that supplies limited by 1he order will nof adequately meet legitimate and justifiable demal)d the satisfaction of which wiH serve the national interest, increased quotas will be Page 15~ authorized . . ,BJut the fondamental objective df conserVing the foreign ex• change resources so that they ma'y be available for economic development and of giving impetus to domestic production will loom large in the consideration of questions involving the relaxation of these controls. Our means and our remedies will be product.ive rather than speculative or merely restrictive. We have yet to expand our foreign markets and cultivate . and 'stabHize them with the continu.ous flow of. ex~ portable · products in ·improved and standardized forin'. : '' Our Prestige Abroad With special ·pride I call your attention to the . fact that today the Philippines has the friendship and respe<:it of all nations. Our internatiorial relations ·'"have become stronger. Although the United States continues to be the only count ry that maintains an (Continued on ~~ge 155) , ~·••••••••••••••••••••v••••••••i ~ ' . ! JARDIEL AND SONS i• ~ TRADING . CO., INC. ~ • GENERAL MERCHANTS • ~· ~ t • -~ ~ ' ~ • • • • ~ Main Office : ~ : j ; 1130 Quezon Boulevard ~ ~ Manila ~ • • ~ . ~ t ~ . ~ • Branch: • • • : 63 E. Gmmco Street ~ : Iloilo City ~ t • . ~ • • ~ ............................................................................................................................. i THE LOCAL GOVERNMENT REVIEW State ... embassy here, eight other countries now have legations, and twenty-four nations in all have set up ei·ght consulates general, fourteen consulates and four consular agencies. For our part, we have diplomatic establishments in eight nations and consular representatives in seventeen cities. We have recently established PhiHppine legations in London, Rome,- Madriod, Nankiing, !Buenos Aires and a special mis;,ion in Tokyo. Our participations in international conferences, especially in the United Nations and its various agencies, and in 'interparliamentary unions and scientific and cultural conventions, have been conspicuous• with constructive contributions to world understanding and peace. The bi-partisan policy in foreign affairs which we adopted at the beginning of our international life as a Republic has resulted in effective representation abroad and virtually unanimous support at home. Our delegates have been honored with appointments to positions of leadership in many jnternational conferences in which we have participated. The nations have shown an increasing res:pect for the integrit. y and wisdom of our counsel. Our special relationship with the United States has been productiv·e of goodwill invaluable to our growth as a young nation. We have shared in the rejoicing of the people of the United States in the re-election of President Truman and in the return o:t' a Congress sympathetic to his liberal program. It was President Truman who proclaimed the independence of the Philippines barely two years ago. His continuance as the head of · that great nation insures an abiding American concern over the future of our young Republic. With the entire East threatened by the onrushing tide ·Of Communism, the Phiaippines, the most strategic crossroads linking the West and the East, remains the one safe, at. tractive home for free men in our part of the world, MARCH, 1949 a haven for the masS"es of humanity fleeing from that · flood. Morale in the Public Service I have reorganized rthe Cabinet. New members with proven ability, experience and integrity have been appointed. I have elevated the lady Commissioner of Social Welfare to Cabinet rank, giving :to that :position· the importance commensurate with the ·new tasks assigned to it of. carrying out the policy of the government on social ame'lioration. I have advan:ced in both the judicial and the executive departments, men of high standard of efficiency, thus giving encouragement to those in the lower ranks who have shown merit and loyalty fo the service. I have opened opportunities for younger men to prepare themselves for high responsibilities in the public service. I am determined to pursue a line of action that will insure to our people honest and efficient service and will provide full enjoyment of the liberty and 'equal opportunity that we have uear.Jy fought for and won, in peace and in war, at home and abroad. We have laid the foundations of a .~table, efficient, honored and dignified government. And we have brought it nearer to our people. We have been taking every opportunity to talk directly to them in their cities and towns, to observe their manner of living, to hear them diSCUS·S their needs, express their criticisms, thei~ hopes, . their aspirations. We have strengthened further their confidence in ou-r sincerity and integ!·ity. We have demonstrated our willingness to invite and face public scrutiny. 'We have eliminated whatever evils have been uncovered. We have proved the primacy of public interest over party, · grou'p or personal claims. More than as the supreme head of the Liberal Party, in accordance with whose rules I am "the authorized :ipokesman of its decisions and policies", as President of the Republic I declare this to be the unequdvocal policy and determination of the Administration. Page 155 I cannot believe that God will not allow us to maintain this 'kind of government. We must consecrate our lives and all our efforts to its attainment and dare while we pray, and pray while we dare. Tasks Ahead Let me turn now to the immediate tasks before us. Production and Social Amelioration The most important and urgent aim of this administration at this stage is incr· eased production and social amellioration. We cannot indefinitely ride on the foam of foreign charity and friendship. We must produce our own immediate necessities and raise, by the sweat of ou'r brow, the lot of the men who toil on the farms and in the factories. We shall, where necessary, ·effect changes in the national economy to achieve this end. Our responsibility is no less u11gent to those di.splaced and rendered homelessi by public calamities. Social security measures are under ,preparation by the :ilocial' Security Study Commission which I created for the purpose. The complexity and farreaching consequences to our soC:iat .life of such measures call for the closest study of their provisions. I urge y.ou to approve adequate legislation providing for more health and housing facilities- to banish ou'r urban slums, to eliminate those fire hazards that are a daily menace to life and health, especially among the poorer sections of our towns and cities. We need more practical measures to impll.iment our objective of giving ou.r citizenry the maximum benefits to be derived from the development of our agricultural• and industrial potentialities. This is the age of. the common man. This government has long stopped :P_reaching. It now goes out to the field with an Action Committee and with a sizeable fund for its use in order to improve the lot of the common man. The activities of the Committee are only in their initial stage. We want to follow up the program of social amelioration with greater intensity and Page 156 give the masses a Straight Deal. This is my all-absorbing and consuming passion. We have to insure a standa-rd of living in the farms, in the fac-:;ories, in the homes that will be more in keeping and commensurate with our progress and advancement. Veterans and Guerrillas The pensions to war widows,' or.phans and disabled veterans must continue with adequate funds therefor. The nation owes an eternal debt of gratitude to them. Their sacrifices shall not be in vain. I beseech the Congress to give ·the· matter immediate consideration. Emergency Currency and Guerrilla Notes The redemption of emergency currency and guerrilla notes is a qegal and moral obligation of this Government. Our people are not concerned whether the funds for the purpose come from our Government or from the United States. The amount of 30 million pesos earmarked for the purpose and an additional ten million pesos made available by our government are insufficient to cover at par the full amount of 1'112,951,907 found by the Eimergency Cwrrency Board as having been duly issued. It is necessary that we evolve a redemption scheme, an equitaMe solution. But a qUJick zolution is i_ mperative. Labor There has been a notable readiness on the part of our laboring claSIS to cooperate .in the constructive activities of the country. The minimum wage for our laborers must be standardized and stabilized. I have urged the Labor-Management Commission, in which capital and labor are equally represented; to submit a schedule of wages applicable in the d.ifferent industries and· loca!i:ties. The Labor-Management Commission is now studying the problem of wage ~tandards in different - regions. We must forestall! wasteful periodic demands for revision of wages and the consequent uneconomic stoppages in THE LOCAL GOVERNMENT REVIEW our machinery of production. We need regulative rather 'than prohibitive measures against strikes. Both labor and capital must cooperate to achieve this ,end. The salaries of employees .in the Jower brackets must also be improved. Private enterprises are offering bet~er opportunities, and the Government is be.ginning to lose its most experienced personnel in the cO'!npetition. Public Health The outlook for tuberculosis' contrc.J in our country by the use of the vaccine called "Baei'llus Calmette Guerin" (BCG) is giving ws high hopes; it is opening a new horizon to the work ;:if reducing tuberculosis incidence to the mm1mum. Our · au,Uiorities are keeping abreast of .latest developments m medical research in other countries. We are a member of the World Health Organization through which the most recent medical discoveries and techniques are being made available to our people. While we ·should be discriminating in the adoption or application of remedies recently ·discovered, we :>hou'1d not lose time to utilize them to relieve our people once their efficacy is proven. In the construction of roads I recommend that we .provide sufficient fonds to facilitate the buildin:g of cement or asphalt roads not only for reas• ons of economy but for the health of our people. Our <lusty roads are the causes of so many ailmern'.s afflicting them, especially tuberculosis. In view of the lack of physicians in many of our communities, I recommend the immedate study and approval of legislation providing for pre•paid medical service to our population which cannot afford medical assistance, especially those in remote rural communities. Education Our edu.cational policy must be reviewed and revised for closer coordi<Jation with the objectives of our pro_ posed development program, without ;iacrificing the traditional aim of providing a liberal culture basic to the MARCH, 1949 good life. I hope that the Joint Educational! Commit.tee of the Congress engaged in this study will be able to evolve a revision of the school system more adaptable to and in keeping with our national requiirements. Economic Dev·elopment I urge total economic mobilization. Our economic structure should be built from below, making the foundation firm and accessible to the general population so that everyone can contribute to and share in the benefits of our materia~ progress. 1 \il/ e must increase on the one hand our receipts from exports of ii;nproving quality, and decrease on the other the amounts of our import bills. The display and sale or Philippine-made 1rnods must be .given emphasis to. bal; nce the entrenched position of imported articles.. We must not only proc duce more, but must educate o.ur people to consume more home ·products. National protectionism in this regard is a legit,imate ambition of ~Nery selfrespecting independent nation. The achievement of the first objective of increased production for export i"equires 'improvement of the cost con~ <litions of our e~isting export industries, the develo.pment of new export product,s, the creation and cultivation of new markets for our export trade. \Ye have heretofore overlooked or negijected our immediate neighbors in crienting our economic ·ties abroad. Our search for new markets and the intensification of our promotional acUvrnes should consider the hitherto closed areas of Latin America, Europe and . t.he Near East. To achiev·e the second objedive, we must give priority to the development of economic IJ.roiects which can be brought up, to the producin;g point within a relatively short time and will enable us to reduce the amount of dollars spent on impor.bs. Now is ou.r opportunity to initiate the adiustment of our economy to maintain a stable, high level of employment without unduly exposing our (Continued on page 160) Page 157 State ... program to the dangers of unpredictnble violent f.lucfo! atiorns of demand for basic export crops in the foreign markets. I shall urge the members of the National Economic Council to give priority consideration to the government's short term dev·elopment program. It should serve as the coordipating authority to knit together into a harmonious whole, bank credil po!lcy, government credit and fiscal policy, and developmental investment pdlicy. The Council will be clothed with authority to approve and schedule projects, to alloca;te on a fair basis the funds or credit which the Central Bank may fr:om ·Ume to time , mobilize to the loan portfo'!ios of government lending agencies, to keep them within the approved :pattern of alloca~fon of a·vailable capital and the .!imitations established by ~aw. We will draw upon OUT full credit capacity, backed by the guaranty of the National Government, to secure funds for this program. Government Enterprises There is need for coordination of the policies and operation of our government corporations to increase their usefulness to the national economY. It may be necessary to re-examine their structure and organization, their policies and their objectioves, the scope and nature of their activities, and fo gear all these to new goals set by a coherent development program. I recommend seriou•s consideration of the adr ......... ']ompz.iments of ............................................. . j • : ~ Datu AMBULO MARUHOM ~ ~ Member, ~ ! P""'""'' Bmd of L'"'·" : ...................................... ~ .... ~ Page 160 vfaability of creating a national central body or department that can more effect.i·v·ely direct, supervise and control t~e opera!iorns of. government corporatrnns. The coordination and consolidation of these corporations under one directing auithority will place under unified direction a.ssets worth over one billion pesos and corporate net worth valued at cNer 300 million pesos. In our economic mobilization, we should give priori:t.y to our already established major industries. The abaca industry needs replanting and expansion. The tobacco industry must be revi·v·ed and its forei,gn markets reopened. The industrial proces1 ses developed for the coconut industry must be fu1 lly exploited. The prewar sugar indu1 stry must be restored and markets for excess product.ion over domestic demand and the United States import quota limitations muist be found. I created the Sugar Rehabflitation and Readjustment Commission to advise the government on the proper measiu.res fo be adopted to revitalize and stabilize the sugar ind·1strY. In due time I will submit measures to realize these objectives. It is necessary that we cast our eyes ~nd exhaust our resourcefulness to secure the fuller utilization of o:ir other n~tural resou:rces and possibili:t.ies. 'W.e must speed up the digging of our mmes, hasten the ex~oit.atiorr of ou:r water power, and stimulate the search for new uses of our •varied ag-ricultural products. heretofore not efficiently or commercially utilized. Agricultural and lndiistrial Development The main problem of the country today is still to find ways and means of increasiog production not only of palay and corn which constitute the basic cerea'l foods of the Filipino people, bi:rt also of other food crops, as well as meat, milk and other livestock produo'..s, fish and other foodstuffs . More as a temporary solution of the worst rice crisis since liberation, I created the Rice Emel"gency ·Bloard THE LOCAL GOVERNMENT REVIEW which contrdls the procurement and distribution of locally-produced rice now and for the next two years. I fixed the price of this commodity for t.he two-Year period on an attractive basis for the direct benefit of the producers in order to encourage the production and steady supply of the cereal. Let us conduct a campaign for increased production, at least one more ca:van of rice or corn per hectare of ·the thousands we are now cultivarting. The. 'Plans are advanced for the setting up of a fe~·tilizer plant to encourage larger agricuttural production. I recommend that more appropriations be set aside for the construction of new irrigation sys:tems and the repair of those already in existence. In the face of a persistent world shortage of rice production, the Philippines cannot and should not be content to remain a rice importing nation. We are adopting measure& to increa:se domes:t.ic production as rapidly as possible and help, incidentally, to conserve our foreign exchange resources. Indep€ndently of other recommendations of the Rice Emergency <:;ommission, I have instructed the National Development Company to develop ·two 10,000hectare areas for rice and peanut production: one in Cotabato and the other in Mindoro. Work in Cotabab is under way. Sixteen hundred hectares are now under cultivation. In fact we have a handsome initial harvest of 130,000 pesos worth of peanuts this season. This is but the beginning of the developmernt work in .'lgriculture planned in Mindanao. Similar preparatory work is heing done in Mindoro. This program will be carried out in all parts of the coUintry where large tracts of public land may be available for rice production until this unwholesome dependence upon outside supplies r shal! have been sdl'Ved. It will insure abundance and conserve the 60 million pesos we remit a.broad annually for our rice importation. MARCH, 1949 We must .turn our concentrated attention to the development ·of Mindanao. Something must be done without Joss of time to convert that va:st region into a real empire of wealth. I recommend a general program of road construdicin fo encourage production and communication. The establishment of the planned hydro-electric and fertilizer plant in Maria Cristina Falls will give the proper agricultural and industrial .incentives. Locust pest is hampering the agricultural development of Northern Mindanao and even as far as Bohol and Cebu. I also recommend that sufficient appropriation be set aside to eradicate this winged enemy to our increased production. 'We are having difficulties ·in the proper storage of rice, tobacco, copra and sugar. The construction of private or bonded warehouses for these products shou~d be facilitated and encourraged. F~shi.ng is one of the most promising and flourishing indwsrtr.ies of the country. But we are destroying this rich resource by the wanton use of dynamite in our sea and river fishing. This must be stopped. Let us put more teeth to the Jaw on fishing. Act No. 2!:132 on the exploitation of our oil deposi:ts is now regarded as obsolete. We should give more facilities for the exploration and exploitation of our oil deposits. This is a promising industry. The world demand for oil is unlimited. I have sent abroad a special mission to study not only oil legislation but also methods and procedure of exploitation. I ho·pe that our representatives will be helpful in the revision of our legi>slation on the subject. R etail Trade 'We are still a long way from our goal of. wrestling control of our retail trade. No government in the world· can merelly legislate any people or any na~ ion into business superiority and prosPage 161 perity. But both our government and our people can cooperate to attain this natural and legitimate aim: the government, by providing a coordinate scheme of incentives to tide new enterprises over initial difficulties; and the people, by adopting a more courageous outlook and usfog opportunities and privileges with religious attention to attendant obligations. We shall continue the organization of PRATRA branches and agencies and of the consumers cooperaJtive associations, as procurement and distrifiuting agencies for their members, and encouirage the organization of provincial trading corporations to minimize profiteering. Public Finance We have progressed in our revenue collections bu.t we are stilll far from our ultimate goals. Those goals will hiwe been reached when our financial position will have ·so improved as to enable us to provide adequately for all public services. V\Te should have more effective 'legislation to encourage honest tax-paying and curtail tax evasion. The national revenues can be increased not only by raising the taxes not restrictive to new industrial enterprises but also by properly preventing tax evasion. National Security We are doing al.I in owr power to train and organize our manpower resources for the national defense. But trained and courageous soldiers are not all that make an army. We must provide these men with the necessary equjment and supplies within the financiaq capaci:ty of the government. We need to expand our mili tary training. What we have been able to provide thus far is not adequate to produce a citizen army that can oe mobilized on short notice and strong enough for national defense. It would be more productive of better results and more economical to encourage P'lilitary training throughout our schools, colleges and universities rather than maintain a big standing anmY. l"age 162 Foreign Relations We will continue to adhere to the United Nations and we reaffirm our faith in its capacity to adjust international conflicts for the permanent peace of the world. In the light of political developments in Southeast Asia, and the turbulent conditions in our immediate ·vicinity, the Phili:ppines s h o u 1 d further strengthen its position. Its leadership must be for constructi've freedom . and ueace and must insure the promotion ~nd pr0tection of the interests it shares in common with these states as well as its own. '\Ve should adopt, for the securiity '.-Ind stability of the Philippines, strictr.r safeguards against the entry or infiltration of subversive elements. Our home policy for peace and order must oe strong. There must be national c!isdpljne. The government must be respe0ted, its laws obeyed. '\Ve cannot expect outsiders to respect our government if we do not respect it ourselves. \Ye now enjoy that respect at home and abroad. Facing the Future Looking thus at the record since the establishment of our Republic and forward beyond the horizons of our charted course, I am deeply encouraged. We can face the future confident in our rnpacity to bring abundance, security and peace to our people, 'through the tested cons.titutional processes of freedom and democracy which constitute our enduring allegiance and .loyal1 ty. In spite of tremendous odds, our progress and the continually growing respec-t and friendship of other nations confirm our :potentialities and ac<.ive growth in stature. They sustain our br-oadening role in world affairs, particularly those ~.ffecting the Eastern world, definitely directing u<S towards a strategic position of. creative influence. 'Vve need continually to so build and discipline ourselves that we may attain and deserve the privilege of its ministry. Ou·r opportwnity to this end (Continued on page 164) THE LOCAL GOVERNMENT REVIEW Norm of Conduct . .. the fact that he is earning only seventy-five pesos ('P75) a month as detective-inspector with his wife and five ~hildren to support, it is impossible to believe that he could also afford to maintain a paramour within his lawful income. The conclusion is· therefore inescapable that the maintenance of the illicit relation between the respondent and complainant offers a great temptation for the former to obtain money from other sources and that most likely he. would make use of his office and authority to muld a few pesos to suppor-t his paramour. It )s therefore believed that his continuation in the Manila Police Department is detrimental to the public service. Taking into consideration, however, the misery and suffering that will ensue from his dismissal on the par·t of his innocent family and the twelve years' efficient and continuous, service that the respondent has rendered to the Government it is the sense of the Board that the penalty. of removal in this case is rather severe. In the light of a!J the foregoing considerations, it is the opinion of the ·Board and' it is so decided that the respondent ,should 1 be considered as having been required to resign from the service effective upon his last day of service with prejudice to reinstatement in the Manila Police Department. (Case No. 34, March 26, 1931, Civil Service Board of Appeals.) , - - 0 - - INCOME CONTRASTED WITH CAPITAL AND OUTLIAY Income as contrasted with capital or property is to be the test. The essential difference between capital and in- . come is tliai capital is a fund; income is a flow. Capital i& wealth, whHe income is the service of wealth. "The fact is that property i's a tree, income is the fruit; labor is a tree, income the ·fruit; capital is a tree, income the fruit; (Waring v. City of Savannah [1878] , 60 Ga., 93.) .-Madrigal and Paterno v. Rafferty and Concepcion, 38 Phil. 414. Page 164 · State . .. is to muster and organize a!J our resources, preserve our credit and prestige abroad, and guard against their dirni:pation at home. I ca!J on every man, woman and child of this nation to share in the privilege of the great tasks before us. I apppeal for the utmost courage, wisdom, vision and dedication in taking up the challenge of. our common objectives. · When . I assumed office, my only pledge was what I recited in my oath. I meant every word of it. My policy has been simple. I have ha:d only two main immediate objectives: the re£toration of peace and order, and the strengthening of the morale of. the people and their faith and confidence in the government. I pledge to you, gentlemen of 'the Congre~ s. my full cooperation in the greater tasks ahead, convinced that with Divine Guidance we wiN attain the goals we have set for ourselves to promote and safeguard-the welfare of our cou, ntry and our contribution to the peace and happiness of the world. --0- - r ............................................................................. ~ t ~~~ ;;;;~ 01 APARTMENTS li ~ "A decent lod.ging place for discriminating guests." ~ . ~ Honest & Friendly Service is Our Policy j ~ Vicente S. Rodriguez, Jr. . ~ Manager & Proprietor • ~ Elias Angeles Sh N aga City : l ................... ~ ............................................ ~ r ......................................................................... 1 ~ COZY CORNER LUNCH ~ ~ : ~ Legaspi City ~ t ................................................... J THE LOCAL GOVERNMENT REVIEW
pages: 145, 147, 150-152, 155-157, 160-162, 164