supplemental guidelines for the management of the pamana - dilg fund

7/28/2019 Supplemental Guidelines for the Management of the PAMANA - DILG Fund

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TO

Republic f the PhilippinesDEPARTMENT FTTIE NTERIORAT.ID OCALGOVERNMENTOFFICEOF TTTE RESIDENTIALDVISERON

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fiIE PEACEPROCESSfoint Memorandum ircularNo.0! DatedJan. 11.Seriesf2013: REGIONALDIRECTORSCA& fV-,{' fV-B, V, VI, VII, VIII, D(, X )C,)OI, )O$; GO\aERNORS,W MAYORS, DILGPROVINCIAL and CITY DIRECTORS,CLGOOgand MLGOG OFPAIvIANAFT]ND GUs;A}ID, ALL OTHERSCONCERNED

: SUPPI,EMENTALT,IIDEIJNESORTIIE MANAGEMENTOF THEPAI&{NA- DILGFTJI{D

The DILG-OPAPP|oint MemorandumCircular No. 01, Seriesof 2012 RE:GUIDELINESIN THE MANAGEMB{T OF THE PAyapa.at tvlAsagananag amayat.IAnor PAMANADILG-FIJNDwas issuedon March 28,2012. To better respond o emerging ssuesandvarying situations in the coveredareas,SupplementaryGuidelines are hereby iszued oensure he smooth mplementation of the PAIvfANA-DILG Fund.1.0zuGrBrEPROIECIS

Pillar 3, which is beiag funded by the PAMANA-DILG Fund for 2012,coverssub-regional or regiond proiects or those that create high impacts andinterconnectivity in the target areas. Community-basedprojectszuch asDay-Care Centers, School Buildiug;s, I-evel-l Water Supply Sptems are thusconsidered as non-eligible proiects under the PAMANA-DILG Fund andshouldbe appropriatelyproposedunder Prllar 2 of the PA\dANA Program.Clarifrcationoa Anas B" Item F of MC No. 1, seriesof 2012 vlhich contaiasthe eligibleprojectsfor which PAIvIANA-DILG Fuad may fu utilized:

1.2.1 As one of the sourcesof subsidyfor LGU projects funded from othersources i.e. ODA" other National Government Agencies,GFI lonns),with similar objectives, e.9., those that are included in the peaceanddevelopmentagmdaof the LGU:1.2.1.1The PAMANA-DILG Fund may be usedonly ro fina"ce at most5096 of the counterlrart requiremmt from tbe LGU. Forexample, if the Total Project Cost is Php 200.0M, thecounterpart requirement is 109oof the Total Project Cost orequivalent ro Php 20.0M, the PAIvIANA-DILG Fundcontribution shouldnor be more than Php 10.0M.

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L.z.l.zlf the proposed tilization of PAMANA-DILG Fund srceeds heabovethreshold, tlie LGU slguld be able to clearly present ajustification to be reviewed by the RegionaVProvincialTechnicalWorking Group(R/PTWG)and endorsed o the DILGRegionalProjectManagement eam RPMT), or approval.1.2.1.3 LGU should submit five (5) copies of the approvedprojectFeasibility Study (FS)/ProjectProposal (PP) of the motherproject indicating the estimated Total Project Cost andcolrnterpart requirement, as well as the proof of approval of theproject, for reviednotation of the PTWG. The provisions ofSection II.B.3 of |MC No. 1, seriesof 2Ol2 shall likewise befollowed in the review andappraisalof the FSi?P.t.2.L.4Utilization of the PAIvIANA-DILGFund for zuchpurposeshallbe validated tfuough LGU submissionof Certificate of StatusofFunds(CSF),Statementof Receiptsand Disbursement SORD),DisbursementVoucher (DV), checksand receipts szued. tem3.C.1of IMC No. l,1eriesof 2012shall ikewisebe followed.

1.2.2 In the financingof the Detdiled EngrneeringDesign DED)cost of theproject:L.2.2.1LGUs hat do not have he capacity o or may not have he timeor enoughpersonnel o undertakeDED, shallbe allowed to availof the PAMANA-DILG Fund for the engagement f a consultantfor DEDpreparation.1.2.2.2The DED Cost to be chargedunder PAIVIANA-DILGFundshould not be morethan 3.0o/oof the Total ProjectCost(TPC).Any excess hall be borne by the LGU. Cost for DED may beinclusive of preliminary surveyssuch asgeo-resistivity tests onpotentialwell source or water supplyprojectand other relatedsurveys ecessaryor the development f the DED.t.2.2.3LGUs hat have he capacity o undertakeDetailedEnginssringDesign DED)shoulddo so n-house,using heir own resources.

1.3 For FY2012,eligible agricultural production-relatedAivelihood rojects mayinclude, in their project design,and in the computationof the total projectcost, the cost for support training/capacirybuilding interventions that shall beconsideredeligible for financing under the PAMANA-DILG Fund.2.0 PRXPARATIONAND SIIBMISSTONOF PROIECTPROPOSATAND SUPPORTTNG

DOCUMENTS2.I LGUsshouldsubmit five (5) copiesof the Project Proposalso the concernedDILG RegionaVProvincial Director as may be appropriate, n consonancewiththe provisionsof Section II, Item B.2of |MC No. 1,series f 2012. 2Y


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2.2 Staning 2013,proposalsor proiectsthat require multi-year fuodiog should besubmittedasone proposalat the initial year-of mplementation. Likewise,allsupporting documents such as, plans and sketches,bills of materials andestimated osts,mplementationperiod,costbreakdownper year,etc.,shall bedefined and shown in the appropriate documentsand submitted together withthe project proposal.Reviewof multi-year projectsshall be at the RTWG level,regardless fthe cost.3.0FUND ADMIMSTRATION

3.1 Ameadmeat oa Section II, sub-item C.2, tem C(Fund ulmini


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3.3.4 After releaseof the last tranche, any balances rom the total LGUallocation may be released o finance variation orders that will entailadditional costs, or capacity building interventions supportive of thecompletedproject.Utilization of such balances hall still be subject othe review of the RIPTWG and consequentapprovalby R/PPOC.

3.3.5 Further, utilization and liquidation of funds shall be subject to theprovisionsof COA Circular94-013-Seriesf 1994:The transferred unds shall be taken up as"Duefrom LGUs-138" ythe DILG and Due o NGAs-416by the LGUs;The check shall be issued n the nameof the LGU for deposit to itsTrust Account n its authorizedGovernmentDepositoryBank. lfigLGU shall iszue ts official receipt in acknowledgment;A separate ubsidiary ecord for each accountshall be maintainedby the LGU,whether or not a separate ank account s opened.TheLGU shall likewise maintain a zubsidiary ledger of the cashransferred peftaining to Jheproiect;The LGU shall liquidate the funds and submit to the DILG RegionalOffice concerned, either in printed or by the way of electroaicdocuments,separatequarterly reportson the liquidation of the saidamount;\I/ithin 10days after the end of the month, the LGU shall submit toDILG RegionalOffice concernedhe Reportof Checls Issued RCI),Statementof Receipts nd DisbursementSORD),and Statementofkpenditure (SOE) o repoft the utilization of the funds.Only actualprojectexpenses hallbe reported.The reportsshall be approvedbythe LocalChief Executive;The LGU Auditor shall audit the disbursementsout of the TmstAccount in accordancewith existingCOA Regulations;The LGU shall return to the DILG RegionalOffice concerned anyunusedbalance pon completionof the projeca;The DILG RegionalOffice concerned shall obligate the allotmentfor the projectto be implementedbasedon the adviceof allotmentand/or memorandumof agreementor similar document;The DILG RegionalOffice concernedshall maintain a subsidiaryledger of the cash transferred pertnining to the proiect; keepseparatesubsidiary records for the trust liability whether or not aseparate ankaccount s maingaingd;The DILG RegionalOffice concernedshall conduct periodic spotcheck on fund utilization, proper utilization of book of accounrs,andoverall financial managementof the LGU.

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4.0 IMPLEMENTATIONARRANGEMM{TS4.1 PAMANADITGFundProjectSteeringCommitteePSC)

The National BarangayOperations Office (NBOO) of the DILG and the ProgramDevelopmentUnit (PD{l) of OPAPPshall serveas he Secretariat f the PSC.

4.2 PAMANA-DIIG FundNational Proiect ManagementTeamQtIP}vfI)The NPMT shall include the NBOO with the designation of the NBOO as theOutcome Manager responsible for monitoring the DILGs Major ProgramOutcomeon "Safeand Conflict-FreeCommunities".

4.3 PAMANADILG FundRegionalProjectManagementTeams RPIvfTs)With the accountabiliry for fund release odgedwith the DILG RegionalOffices,the RPMTs, with DILG as chair, is also responsible for revalidatingrecommendations f the PPOC/RPOC, nd shall subsequently onduct firrtherreview of approvedProiect Proposalsendorsedby the latter, prior to the releaseof the first tranche, to verify satisfactory compliance to all requirements.Likewise, all other requests or fund releases hall be reviewedby the RPMTs.

4.4 Municipalities / Gties as mplementing Partner4.4.1Under Section V, item E (LocalGovemments), he fMC provides hatthe Provincial Government shall be the implementing partner of DILGand OPAPP. However, in situations wherein component cities/municipalities havethe capacity o implement, cities andmunicipalitiesmay act as he implementing partner provided that they haveerctribitedcapacrty o implement proiects hrough CompetitiueBidding. This is to

be assessedy the concernedR./PTWG,which should be madepart ofthe project appraisalprocess,andrevalidatedby the RPMT basedon thefollowing parameters:o Therearequalified personnelwho can managehe project. CitylMunicipalrty has he funds for the administrative costs. City/I\dunicipaliry haspreviousexperience in implementing similar

projects. Ciry/IMunicipaliry has the capacrty o monitor and evaluateproject

implementationo City/Municipality has the capacity and the funds to operate andsustain he Project

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4.4.2 As an implementing partner, MOAs shall be forged benveen theconcernedCiry/Itdunicipaliryand the_DILGRegionalOffice. TripartiteMOAwith the Provinceshallbe encouraged.4.4.3To streamline he fund flow, funds shall then be directly released o

Cities/Municipalities oncerned.4.5 Compositionof the R/PTWG

4.5.1 t is advised hat the R/?TWG members hallbe limited to a maximumof seven(7) members.However, it is acknowledged hat the multi-sectornature of the proposedprojects would require a variety ofexperts. The concerned TWG may then resort to invitation ofrepresentativesof other R/PPOCmembersasresourcepersons/expertsin the evaluationmeetings/sitevalidation visits.

4.5.2 Membership of National Commissionon Indigenous People(NCXP)nthe RIPTWGMembership n the R/PTWG by the NCIP representative s mandatoryif the proposedproject will be encroachingon ancestraldomains ormay affect IPs. This will ensureconsiderationof IP concerns n theprojectappraisal rocesshat could facilitatesecuringof the Free Priorand nformedConsent FPIC)or any appropriate learances.

4.6 Implementation in high risk areasdeclaredby the R/?POC4.6.1 n areas dentified by the R/PPOCas critical or with extremessnflis1,senrices of the AFP Engineering Brigade shall be engaged n theimplementationof the project.4.6.2MOA may either be forgedbenveen he LGU or the DILG RegionalOffice and he headof the AFP EngineeringBrigadecovering he area.

4.7 Administrative CostsIn no case shall the fund be used to cover adminisuative costs (i.e. travelexpenses,honorarium, supervisioncost) of LGU personnel overseeingandmonitoringthe project.Suchexpenseshall be borne by the implementingLGU.

4.8 Endorsementof Approved ProiectProposalsAII LGU projectsapproved or implementation shouldbe appropriately endorsedby the Regional/Provincial Peace and Order Councils to the concernedRegionaVProvincial Development Councils for appropriate adoption andintegration n their respective lansandprograms.

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5.0 ADHERENCETO NATIONAL GOVERNMENTSTAI{DARDSA}.ID POUCIES5.1 PAMANA-DILG Fund implementation shail ,an.r. to National Governmentstandards.Mode of implementation for PAMANA DILG-Fund projectsshall be

done through Competitive Bidding pursuant to RA 9184 (GovernmentProcurementReform Act), except in cases,wherein the AFP EnglneeringBrigadehasbeen dentified as he implementingpartner. n sucha case,modeofimplementation shall beby administration.

5.2 The RPMT may, by invitation of the procuring LGU, act as observer in thebiddingprocess.5.3 Local Governmentsshould abide by the standardsand policies set by theNational Government, complianceof which are to be checked n the review and

evaluation of proposalsand LGU requests for the releaseof funds. LocalGovernmentsshould adhere to existi.g national standards/guidelines, uch asthat for:o Buildings and other vertical structrures er the National Building CodeandNational StructuralCode of the'Philippineso Typicalurban and rural roadsand bridgesper DPWII technicalst"ndardsr Hospital, ying-in facilities, health centersper DOH established tandardso Saniury landfill, Material RecoveryFacility (MRF)per DEIR guidelinesr FMRs,post-harvestacilities,processing lants/facilities,rrigation, etc.perDA guidelineso Evacuation Centers and other DRRM and Climate Change Adaptation(CCA)required facilitieso RainwaterCollectionFacilitiespursuant o RA 6716o Tourism facilities per DOT guidelines

5.4 In considerationof the time needed o secure he necessary ermits, icenses,certificates, clearances, and other documentary requirements from otherNational Government Agencies (NGAs), copies of applications thereof mayzuffice as basis for releaseof finds. Such requirements, however, shall becomplied with prior to implementation. Indicated below .ue some of theserequirements hat need o be complied with:

5.4.1 Prior to the release f the 80.00/oo Proof that applicable egal instrument/s allowing use of the land orpropeffy for the project (where applicable) or Certificate of [.andOwnershipis beingsecured. Copy of the Application for the issuanceof Water Permit, for watersupplysystemprojects. Copy of the Application for the issuance of EnvironmentalComplianceCertificate ECC),f necessaryo For Water Projects,copy of the Application for the issuanceof

Certificateof Water Potabiliw(t


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o Pursuant o RA 8371, or project areaswith IPsthat will be affected,a certification that thb area affected does not overlap with anyancestral omainneedso be securedrom the NCIP.r Pursuant o Item e, Section21, RA 8559 lPhilippine AgriculturalEngineeringAct of 1998) and Item 4.9 of DILG MemorandumCircular No. 2008 - 167 datedNovember 11, 2008 implementingcertain provisions of RA No. 8559, LGUs shall ensure that allengineering designs, plans, specifications, relative to theconstruction, installation, operations and maintenance ofagricultural, aquaculture and fishery, and forest related LGUproposed proiects, (i.e. agricultural buildings and structures,irrigation and drainagesystems,arm-to market roads,post-harvestfacilities) shall be signedand sealedby a licensedand registeredAgriculturx] f,n gineer.However, in the absenceof a licensedand registeredfuriculturalEngineersin the area, Certification on the consistency withagricultural standards from the Provincial, City or MunicipalAgriculturist shall sufficg..

5.4.2 Prior to the release f the 20.tr/or All of the requireddocuments, ermitsand clearances houldhaveult "dy been securedby the concernedLGU (i.e.water permit andwater quality tests or water supply systemproiects,Environmental

ComplianceCertificatesECCs)or environmentally-criticalprojects(ECPs)and those ocated n environmentally-criticalareas ECAs),prior to the LGU request or the releaseof the lasttranche.o Proof of LandOwnership5.4.3.The Amended List of Requirements or Funds Releases shown inAnnex D, asamended.

6.0 ERRATA6.L Clarifrcatian on acronyrrrsused ia Section II, sub-item 3 (PeaceAgreement

Areas), tem C (PAMANA Coverage):r CAR should be Cordillera Administrative Regiono RPMPshouldbe Rebolusyonaryong artidoManggagawa-Pilipinaso RPA should be RevolutionaryProletarian Armyr ABB should be ABB-TPGwhich stands or Alex BoncayaoBrigadeTabara-

PaduanoGroup

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6.2 darificatioa oa SectionIl svb-itemC.I, tem C(FL\NDADMINS'I&ATION):COA ssuanceeing eferredo isCircularNo.94{13 instead f 9&103.

Issuancesnconsistenterewitharehereby escindedr repealed.

@AbTERESITAQUII\ffOSDEIISSecretary, PAPP

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Annex D: List of Requirementsor FundsReleaseAsAmended)FORffiPROIECT:First Tranche 8M of the hoject Design Cut (approvedcost)1. Request etter rom the LGU/Responsibleartner2. Cenified Copy of the SanggunianResolution Authorizing the Governor/I\dayorosign the MOA3. SignedMOA benveenDILG andLGU4. Certified copy of the EOon the designation f the FocalPerson5. Certificationon the Openingof SpecialAccount6. Certification of the availability of LGU equity in the form of cash or services ifrequired)7. Approved Programof Works

8. Detailed Engineering Plans and Technical Specifications (for InfrastructureProjects)and other technicaldrawings.9. Proof that applicable egal instrument/s allowing use of the land or properry forthe project (whereapplicable)or Certificate of Iand Ownership is being secured10.For Water Projects,Copy of the Appllcation for the issuanceof Certificate ofWater Potability11.Copy of the Application for the issuance of Environmental ComplianceCertificate/Certificateof Non-Coverage whichever is applicable)12.Copy of the Application for the issuanceof Water Permit for a Water Supplyproject

13.For projectareaswith IPs that will be affected,proof that a certification rom theNCIP, that the affectedareadoesnot overlapwith any ancestraldomain, s beingsecuredSecondTranche 2U6 of the hoject Desip Cost(approvedcost)1. Request etter from the LGU/Responsible artner2. Certified rue copyof BAC ResolutionRecommending ward of Contract3. Certified true copyof the approvedContract of Agreement4. Certified true copy of the Notice to Proceed/Commence rom LGU to thecontractor

5. Copiesof other bidding documents smay be required6. Statementof Receipts ndDisbursementSoRD)lStatement f Expenditure SOE)duly signedby the Treasurer/Accountantand the Auditor attesting that the initial80o/oeleased asbeendisbursed7. Project Status Report by the LGU, with Statement of Work Accomplished,showing l0fJf/ophysicalaccomplishment,duly signedby appropriateLGU staffandapprovedby LCEand verified by the CSOpartners8. Certificateof Completion/Turn-over nd Acceptance9. Audit InspectionReportof the TechnicalServicesDivisionof COA10.OperationsandSustainabilityPlan11.Applicable egal nstrument/sallowing useof the land or properryfor the project(whereapplicable)or Certificate of LandOwnership12.For Water Projects,Certificateof Water PotabilityQgalityTest 10


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13. Environmental ComplianceCertificate/Cenificate of Non-Coverage whichwer isapplicable)14.Water Permit for a Water Supplyproject15.For projectareaswith IPs that will be affected,Certification rom the NCIP thatthe affected areadoesnot overlapwith any ancestraldomain

FORTMELIHOODFint Tranche 8M af the hoject Des@ Cost(approuedcost)1. Request etter rom the LGU/Responsibleartner2. Certified Copy of the SanggunianResolutionAuthorizing the Governor/I\dayorosignthe MOA3. SignedMOA betweenDILG and LGU4. Cenifiedcopyof the EOon the designation f the FocalPerson

5. Certificationon the Openingof SpecialAccount6. Certification of the availability of LGU equity in the form of cashor services ifrequired)7. ApprovedWork and FinancialPlan ,'',:.r.8. Applicable Legal nstrument/s allowing useof the land or properry for the project(whereapplicable)SecandTranche 20% of the Project Dsip Cost(approuedcost)1. Request etter from the LGUlResponsibleartner

2. Certified true copy of Agreement for the Livelihood Project wirh otherimplementingentities, f applicable3. Statementof Receipts nd DisbursementSORD)/Statementf Expenditure SOE)duly signedby the Treasurer/Accountantand the Auditor artesring hat the inirial8ff/o releasedhasbeen disbursed4. Proiect Status Report by the LGU, with Statementof Work Accomplished,showing l0f,Vophysicalaccomplishment,duly signedby appropriateLGU staffandapprovedby LCEand verified by the CSOpartners5. Certificateof Completion/Turn-over nd Acceptance,f applicable6. Audit InspectionReport7. OperationsandSustainabiliryPlan

FOREQUTPMENT/GOODS:First Tranche 8096of the hoiect DesignCost(approuedcost)1. Request etter rom the LGU/Responsibleartner2. Certified Copy of the SanggunianResolutionAuthorizing the Governor/lVIayorosign the MOA

3. SignedMOA berweenDILG andLGU4. Certifiedcopy of the EOon the designation f the Focalperson5. Certificationon the Openingof SpecialAccountLL


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5. Certification of the availability of LGU equity in the form of cash or services ifrequired)7. ApprovedWork and FinancialPlanSecandTranche-2096 of the ProiectDuign C,astapprouedcost)1. RequestLetter from the LGUlResponsiblePartner2. Original and four copies of the Suppliers invoice showing Goods description,quantiry, unit price, andtotal amouat3. Delivery Receiptdetailing number and descriptionof items receivedsignedby theauthorized receiving personnel4. Statementof Receiptsand Disbursement SORD)/Statement f Expenditure(SOE)duly signedby the Treasurer/Accountantand the Auditor atrestrng hat the initial80o/oeleasedhasbeen disbursed.5. LGU Inspection epoft6. OperationsandSustainability Plan

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Annex D-1: List of Requirementsor Fund Releaseor LGUs hat will avail of the DEDCost of 3.0 % of the Total ProiectCost

For Infrastructure ProjectI. First Tranche 3.0olo f the Total ProjectCost inclusiveof DED costs)

a. RequestLetter from the LGU/ResponsiblePartnerb. Certified copyof the SanggunianResolutionAuthorizing the Governor/I\dayoro

sign MOAc. SignedMOA betweenDILG and LGUd. Certified copyof the EOon the designationof the Focal Persone. Certification from concernedGovernment Bank on the opening of I-GU

SpecialAccountil. Second ranche equivalento 80.0olo f the Total ProjectCostQess f DED costs)a. Request etterfrom the LGU/Responsibleartner

b. Certification of the availability of LGU equiry in the form of cashor services ifrequired)

c. Approved Programof Worlsd. Detailed Engineering Plans, Technical Specificationsand other technical

drawingse. Proof that applicable egal instrument/s allowing use of the land or properry for

the project (whereapplicable)or Certificate of land Ownership is beingsecuredf. For Water Proiects,Copy of the Application for the issuanceof Certificate ofWater Potability

g. Copy of the Application for the issuance of Environmental ComplianceCertificate/Cenificate f Non-Coveragewhichever s applicable)

h. Copy of the Application for the issuanceof Water Permit for a Water Supplyproject

i. For project areaswith IPsthat will be affected,proof that a certification from theNCIP, that the affectedareadoesnot overlapwith any ancestral omain, s beingsecured

m. ThfudlFinal Tranche - equivalent to a maximum of 20.U/oof the Project Allocation(based n the AwardedContractCost).a. Request etterfrom the LGU/Responsibleartnerb. Certified true copyof BAC ResolutionRecommendingAward of Conaactc. Cenifiedtrue copy of the approvedContractof Agreementd. Certified true copy of Notice to Proceed/Commencerom the LGU to theconEactore. Copiesof otherbidding documents smaybe required


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f. Statement of Receipts and Disbursement (SORD)/Statement of Expenditures(SOE)duly signedby the Treasurer/Accountant-:?ndhe Auditor attesting hat theinitial80.0oloeleased asbeendisbursed.

g. Proiect Stanrs Report by the LGU, with Statement of Work Accomplished,showing 100.tr/ophysical accomplishment,duly signedby appropriateLGU staffandapprovedby the LCEandverified by the CSOpartners.

h. Certificateof Completion/Turn-overAcceptancei. Audit InspectionReportof the technicalServicesDivision of COAi. Operationand SustainabilityPlank. Applicable legal instrument/s allowing use of the land or property for the project

(where applicable)or Certificateof LandOwnershipl. For Water Projects,Certificateof Water Potabilitym. Environmental ComplianceCenificate/Certificateof Non-Coverage whichever is

applicable)n. Water Permitfor aWater Supplyprojecto. For projecr areaswith IPs that will be affected,Certification from the NCIP that

the affectedareadoesnot overlapwithany ancestral omain

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supplemental guidelines for the management of the pamana - dilg fund

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