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April 17, 1953

Note: Entered into force retroactively as of November 15, 1952.

Reference: This Agreement is also published in II DFA TS No. 3, p. 84.

The Government of the Republic of the Philippines, hereinafter referred to as the GOVERNMENT, represented by Mrs. Asuncion Perez, Administrator of the Social Welfare Administration, a government entity, hereinafter referred to as SWA, with its principal office and place of business at Manila, and duly designated and authorized by the President of the Philippines, and the International Committee for the Mass Education Movement, Inc., the principal office and place of business of which is in New York, N.Y. hereinafter referred to as ICMEN, represented by its president, Dr. Y. C. James Yen, have agreed as follows:

1. Purpose.— The primary purpose of this agreement is to facilitate voluntary gifts of equipment, supplies and cash by individuals and organizations outside of the Philippines to individuals and lawfully existing organizations in the Philippines, designated by or on behalf of the donors. Gifts other than cash may be included under this agreement by mutual consent of the parties, but except to the extent that the parties shall so consent, the term "gifts" shall refer only to such equipment and supplies that will be needed for the implementation of the program of the Philippine Rural Reconstruction Movement,

2. ICMEN'S obligations. — ICMEN will:

a. Issue, against payments made by individuals and organizations outside of the Philippines, gift remittances representing commodities to be delivered to individuals or organizations in the Philippines designated by or on behalf of the donors.

b. Forward such gift remittances for delivery to beneficiaries in the Philippines, in whose favor such remittances are drawn.

c. Procure gifts from sources outside the Philippines, principally in the the United States, and send them to the Philippines, for delivery tobeneficiaries in the Philippines, in accordance with remittances drawn in their favor.

d. Ultimately appropriate for relief, rehabilitation, reconstruction or other charitable purposes for the benefit of the Philippines, a share of the balance of funds remaining with ICMEN after deductions of its costs and liabilities whenever incurred, the share for the benefit of the Philippines to be determined by ICMEN on the basis of that proportion of the balance from its remittance deliveries which have accrued from deliveries in the Philippines.

e. ICMEN will pay SWA for services rendered under this contract a fee which will be fixed by an exchange of letters, and may be revised from time to time by mutual agreement, on the basis of the quantity of the various kinds of commodities handled by SWA and of the cost necessary to perform this contract.

f. Where the performance of any remittance so authorized, ICMEN will be free to specify the particular recipients to whom the package are to be delivered. A remittance drawn in blank or in favor of any general relief 01 in favor of a group will be regarded as authorizing ICMEN to specify the particular recipient. ICMEN will, however, welcome the recommendations of SWA as to the recipient to be specified by ICMEN in such cases.

3. Use of the services of SWA. — The Government, recognizing the beneficial character of ICMEN's operations, authorizes ICMEN to contract for, or to employ, the services of SWA, as the operating agency for the ICMEN program.
Title to commodities delivered to SWA shall remain with ICMEN until said commodities are delivered to the beneficiaries or to the authorized representative of said beneficiaries.

4. The Government will:

a. Admit free of all duties, gifts or donations furnished by ICMEN under this agreement, supplies and equipment furnished by ICMEN to SWA for the purpose of carrying out the PRRM operations contemplated in this agreement, as well as the supplies and equipment imported by ICMEN for its own use in connection with the operation of this program.

b. Levy no duties, tolls, or taxes:

(1) On gifts of equipment and supplies admitted under paragraph 4 (a) either in the hands of ICMEN, SWA or the recipients thereof.

(2) And, to the extent that it is in conflict with Philippine legislation, and in conformity with treaties, and agreements between the Government of the United States and the Government of the Republic of the Philippines, on ICMEN, its assets, property, income, operations or transactions, or the salaries or other remunerations for personal services paid by ICMEN to its personnel of non-Philippine nationality and non-resident in the Philippines.

c. Treat all such gifts as supplementary and outside all ration regulations.

d. Undertake that no gift or donations furnished by ICMEN shall be subject to requisitioning, or official diversion to use other than that intended by the donors, beEore. or after delivery to the beneficiaries in the Philippines.

e. Accord to the unloading, warehousing, handling and transportation of gift supplies and equipment furnished by ICMEN under this agreement, the same priority as is accorded to other imported relief or rehabilitation supplies, and provide all possible unloading, handling, warehousing, and transportation services at Government rates and all possible assistance in obtaining and facilitating such services by other sources where necessary and available.

f. Provide, wherever possible and without charge, effective protection against theft, including police protection, for all gifts, and for the supplies and equipment furnished under this agreement.

g. Authorize ICMEN to label the gift supplies and equipment furnished by it in such a way as it may wish in order to indicate their source and method of use, and assure that such labels will not be removed or defaced of official action.

h. Provide that ICMEN may obtain in exchange for United States currency such amount of Philippine currency as ICMEN may need at a rate as favorable as that accorded to representatives of governments or public organizations.

i. Permit ICMEN to effect, free of all export restrictions and duties, the export from the Philippines of any gift supplies and equipment that are not designated by ICMEN for distribution in the Philippines and for SWA has provided services and temporary storage facilities, including supplies or equipment belonging to ICMEN and not needed by ICMEN in the Philippines. ICMEN will, however, exert due and reasonable effort to effect the sales of remittance to equal all gift supplies and equipment imported into the Philippines before initiating the exportation of the same.

j. Authorize ICMEN and SWA to inform the public in the Philippines and elsewhere that the Government approves the purpose of this agreement and the operations to be undertaken under it.

k. Admit such American representatives or foreign experts of the International Committee for the Mass Education Movement, Inc., as may be necessary for the operation and furtherance of the ICMEN program in the Philippines, free of all visa fees, immigration fees, head taxes, and other such similar entrance and/or departure fees imposed upon aliens by the Philippine Immigration Act of 1940, as amended, upon prior certification of the competent officials of the ICMEN and approval by the Administrator of SWA that such American representatives or foreign exports of the ICMEN are necessary for the operation and furtherance of the ICMEN program in the Philippines and upon prior certification of the Department of Foreign Affairs that the exception for immigration fees or taxes requested are similarly granted by other countries in which ICMEN is likewise operating.

5. Responsibilities of SWA. — SWA will:

a. Receive the packages or commodities in Manila or at such other places in the Philippines as may later on be agreed upon, inspect, store and safeguard the same particularly against loss due to fire or pilferage and attend to the preparation of all documents that are necessary to the entry, unloading and distribution of said commodities to the beneficiaries thereof.

b. Deliver the packages or gifts to the beneficiaries.

c. Secure signed receipts for packages or gifts so delivered and transmit said receipts to ICMEN.

d. Report to ICMEN all loss or damage to packages received by it and furnish ICMEN with the necessary available information and evidence to export the claims by ICMEN for insurance payments or recovery against third parties.

e. Adopt and use the receipts and accounting forms as required by ICMEN in so far as same are not inconsistent with SWA forms, and maintain such records of its operations under this contract as ICMEN may be actually agreed upon.

f. Permit the representatives of ICMEN to examine all records with respect to operations under the contract and furnish ICMEN with such records, reports and information on such operations as ICMEN may request. SWA shall also accord these operations and to make inquiries of and to consult with the proper officials with respect to such operations.

g. Accord to ICMEN representatives necessary office and additional transportation facilities.

6. Termination. — Either party may terminate this agreement upon sixty (60) days written notice to the other.

Upon the termination of this contract, SWA shall transfer to ICMEN all supplies and equipment in SWA's possession belonging to ICMEN and all lists of beneficiaries on which deliveries have not been made. ICMEN shall bear the expenses of such transfer. SWA will also furnish a statement of all deliveries made since the end of the period covered by fhe last statement and furnish all receipts necessary to support those statements.

7. Effective date. — This agreement shall be effective as of November 15, 1952.

DONE this 17th day of April, 1953 in the City of Manila, Philippines.

For the Government of the Republic" of the Philippines:

(Sgd.) ASUNCION A. PEREZ
Administrator
Social Welfare Administration

For the International Committee of the Mass Education Movement:

(Sgd.) Dr. Y. C. JAMES YEN
President
International Committee of the Mass Education Movement, Inc.