Draft Planning Guidelines BOTTOM-UP BUDGETING Draft Planning Guidelines for FY 2015

OBJECTIVES 1 BUDGET REFORM - making the national budget more responsive to local needs LOCAL GOVERNANCE REFORM - providing incentives for local good governance - strengthening the devolution of basic services delivery DEMOCRATIC AND EMPOWERMENT PROJECT - creating a conducive environment for people’s participation - generating demand for good governance at the local level 2 3

PARTICIPATORY POVERTY REDUCTION PLANNING OBJECTIVES BUDGET PROCESS LOCAL GOVERNMENTS BUDGET FORMULATION LEGISLATIVE APPROVAL IMPLEMENTATION EVALUATION / ACCOUNTABILITY PARTICIPATORY POVERTY REDUCTION PLANNING COMMUNITY / CIVIL SOCIETY ORGANIZATIONS

Cities & Municipalities COVERAGE 2013: 609 2014: 1,233 2015: 1,634 2016: 1,634 2017: ??? Cities & Municipalities

COVERAGE Participating Agencies (for FY 2015): Oversight Agencies: DA, DAR, DEPED, DOE, DENR, DOH, DILG, DOLE, DSWD, DOT, DTI, TESDA and NEA Oversight Agencies: DBM, DILG, DSWD, NAPC and NEDA 5

BUDGET CAP Allocations per city/ municipality - Formula: No. of poor x P700 (Rounded up to nearest million) - Minimum of P15million, Maximum of P50 million 6

HARMONIZATION WITH LOCAL PLANNING PROCESSES Two modes of BuB Regular: LPRAT as a sub-committee of the LDC (Non-functionality of LDC should not be an obstacle for the LPRAT to meet) Enhanced Process To be undertaken in 270 municipalities that have graduated from or are currently implementing KALAHI-CIDSS LPRAT to serve as a technical working group of an “Enhanced LDC”; Final decisions to be made in the “Enhanced” LDC

LPRAT Under Regular BuB, LPRAT composed of: Mayor, Sanggunian Appropriations Committee Chair, local department heads and representatives of NGAs at the city/municipal level (50% of LPRAT members) Representatives of CSOs elected during the CSO assembly + 1 business group representative (50% of LPRAT members) Elected officials, their immediate relatives (spouse, parent, sibling, child) and LGU employees are ineligible to be elected as CSO representatives

Regular BuB Process

STEPS 1: Civil Society Assemblies Orientation on BuB Election of LPRAT representatives and 3 CSO signatories to the LPRAP (including LPRAT co-chair) Report of LCE on status of 2013 BuB Projects Poverty Situation Analysis

STEPS 2: Local Poverty Reduction Action Planning Workshop Use LPRAP workshop modules which will be distributed Multi-year planning (submission of indicative list of projects for 2016 and 2017) Project Identification 80% within Menu of Programs (to be reviewed and validated by RPRAT) 20% outside of the Menu (to be reviewed and validated by NPRAT)

STEPS 3: Submission of List of Priority Projects and other supporting documents (hard and soft copy) Cover letter signed by mayor List of projects using template signed by LCE and 3 CSO representatives on every page Project brief for each project Report on compliance with participatory processes Conduct of CSO assembly – attendance sheet, photo of participants, documentation of election report, LGU report on status of BuB 2013 projects Conduct of LPRAP workshop – photo of participants, attendance sheet, minutes or highlights of the LPRAP workshop

STEPS 4: Consolidation of list of projects by DILG RO and submission to NAPC and distribution to RPRAT members 5: Validation, Review and Replacement of Projects Review / Validation by RPRAT and NPRAT RPRAT meeting/workshop with LPRAT to replace rejected projects Submission to NAPC of final list of projects

STEPS 6: Adoption of final list of priority projects by local Sanggunian (to be submitted to DILG RO) 7: Integration into the National Budget 8: Provision of funding for LGU Counterpart in local budget

Counterpart Requirements For Municipalities: cash counterpart will be a % of the local development fund Proportion of BuB plus KALAHI-CIDSS funding to LDF Required Cash Counterpart Up to 100% of LDF 10% of LDF Over 100% up to 150% 15% of LDF Over 150% 20% of LDF For Cities: cash counterpart will be 40% of the BuB budget cap

Counterpart Requirements Counterpart funding need not be allocated on a per project basis. Cash counterpart may be used to fund projects that are 100% funded by the LGU. Projects to be funded by the LGU cash counterpart should be determined by the LPRAT, effectively adding it to the ‘BuB Funding Pot’. KALAHI-CIDSS will no longer ask for other cash counterpart, however, additional non-cash counterpart may be required

Project Identification Project Identification: NEGATIVE LIST Projects below P500,000 Expansion of Pantawid Pamilya, Social Pension for Indigents Senior Citizens, PhilHEALTH coverage, vaccination programs Housing Projects Construction of school buildings, classrooms and rural health units Farm to Market Roads Law enforcement, fire protection and jail management related projects Construction of city hall, training centers and other multi-purpose buildings Purchase of motor vehicles, except those used for rescue in times of disaster International Training, scholarships

Governance Requirements Attain Seal of Good Housekeeping for 2013 assessment Develop a PFM Improvement Plan or attain 2014 targets if already developed Counterpart requirements are provided for BuB 2014 budget Submission of proper financial and physical accomplishment reports for LGU implemented BuB 2014 projects Compliance with intent of BuB for meaningful participation Conduct of CSO assembly and LPRAT workshop Conduct of Quarterly LPRAT meetings IDENTIFIED PROJECTS WILL NOT BE FUNDED AND WILL NOT BE IMPLEMENTED IF THESE CONDITIONS ARE NOT MET

Enhanced BuB Process (For Municipalities that have graduated from or are currently implementing KALAHI-CIDSS)

Variances in the Process Barangay level planning Conduct of barangay poverty situation analysis and barangay assemblies (to be facilitated/ conducted by DSWD KALAHI-CIDSS) ‘Enhanced’ Local Development Council CSO members: Barangay Development Council Vice-Chairs to be elected from KALAHI-CIDSS volunteers (1 per barangay) 5 CSO representatives elected during the CSO assembly LPRAT to be created as a technical working group of the Enhanced LDC With 10 members from government, 5 members from Barangay BDC Vice-Chairs, and the 5 CSOs elected during the CSO assembly

Variances in the Process ‘Enhanced’ Local Development Council to approve list of priority projects prepared by the LPRAT List of projects to be submitted to also contain KALAHI-CIDSS and LGU funded projects Planning process to be harmonized with crafting of Comprehensive Development Plan

Calendar Activity Responsible Party Period For KALAHI-CIDSS areas only: Selection of BDC Vice-Chairs and Barangay-level poverty situation analysis DSWD Area Coordination Teams for KALAHI-CIDSS Prior to Sept 2013 1 Orientation of the RPRATS DILG PMO Sep 2 Conduct of Civil Society Assemblies DILG ROs Oct 3 Orientation workshops for LPRATs RPRATS Nov 1 – 15 4 Conduct of LPRAP Workshops / Enhanced LDC and LPRAT meetings LGUs Nov 16 - Dec 15 5 Submission of LPRAPs and list of priority projects / LDIPs to the DILG RO Dec 16 6 Forward copies of all LPRAPs with consolidated list of projects / LDIPs to NAPC and participating regional offices; NAPC to forward to all participating Agency Central Offices RPRAT Dec 23 Dec 30 - out to NGAs

Calendar Activity Responsible Party Period 7 Convening of RPRAT to validate LGU proposals; clarify proposals with LGUs if necessary RPRAT Jan 20 – 31 8 Convening of NPRAT to review outside of the menu DILG PMO 9 Submission of accepted and rejected outside of the menu projects to the RPRATs Feb 3 10 Inform LPRATs of rejected projects for Replacement Feb 6 11 Validation workshop to replace projects with LPRATs RPRATs Feb 10 - 21 12 Submission of consolidated revised LPRAPs/ LDIP to RPRATs together with Sangunian Resolution LGUs Feb 28 13 Submission of consolidated list of validated projects to NAPC Mar 7 14 Endorsement of proposed BuB Projects to participating agencies Mar 14 15 Integration of BuB Proposals with NGA budget proposals in the NEP DBM and ACOs Mar 15 - April 14 16 Submission of agency proposed budget to DBM Participating Agencies April 15

Thank You 24

Menu of Programs DA - Irrigation projects (SIP/STW/OSP) - Infrastructure support to Agri and Fishery production (Tractor, Planter/Seeder, Harvester, Thresher, Sheller, Motorized Fishing Boat, Fish Nets) Agro-Processing Facilities and Expanded Agri-Business Activities Post-harvest Facilities and Equipment (Mechanical Dryers, Multi-Purpose Drying Pavement) Cold Storage Facilities/Vans Ports and Wharves Trading Posts Sustainable Agri-Fishery Based Livelihood and other Agri-Fishery Business Investments Tramlines Farm implements/ tools Agri-Fishery training Marine Reserve and Fish Sanctuaries Marine protected areas Organic fertilizer production

Menu of Programs DA - Irrigation projects (SIP/STW/OSP) - Infrastructure support to Agri and Fishery production (Tractor, Planter/Seeder, Harvester, Thresher, Sheller, Motorized Fishing Boat, Fish Nets) Agro-Processing Facilities and Expanded Agri-Business Activities Post-harvest Facilities and Equipment (Mechanical Dryers, Multi-Purpose Drying Pavement) Cold Storage Facilities/Vans Ports and Wharves Trading Posts Sustainable Agri-Fishery Based Livelihood and other Agri-Fishery Business Investments Tramlines Farm implements/ tools Agri-Fishery training Marine Reserve and Fish Sanctuaries Marine protected areas Organic fertilizer production

Menu of Programs DENR DTI DOT DOE NEA - National Greening Program Local Regional Economic Development Yaman Pinoy’ Rural Micro Enterprise Development Program Shared Service Facility OTOP Store Express Industry Clustering Development Program Philippine Traceability for Revitalized Agricultural Competitiveness Enhancement Program (P-Trace) DOT DOE NEA On-grid Sitio Electrification Program Barangay Line Enhancement Program

Menu of Programs DSWD DOLE TESDA Sustainable Livelihood Program: Microenterprise Development Track Sustainable Livelihood Program: Employment Facilitation Track KALAHI-CIDSS Protective Services – Infrastructure Projects Protective Services – Capacity Building DOLE Workers Income Augmentation Program (WIN AP) TUlong Panghanapbuhay para sa Ating mga Disadvantaged Workers (TUPAD) DOLE-AMP (DOLE- Adjustment Measures Program) OFWs REINTEGRATION PROGRAM SPES (Special Program for the Employment of Students) TESDA

Menu of Programs DepEd DOH Basic Education Facilities: Repair / rehabilitation of classrooms Basic Education Facilities: Provision of school furniture Gulayan sa Paaralan Innovative programs to promote access to Education/ Abot-Alam Program DOH Maternal, neonatal, child health and nutrition (MNCHN) Community Health Team (CHT) mobilization Infectious diseases (Filariasis Elimination, Schistosomiasis and Malaria Control, Rabies Elimination, Leprosy, TB Control, STI/HIV and AIDS Prevention, Dengue Control Health Emergency Mangement RNheals Rural Health Midwife Placement Program Health Facilities Enhancement Program

Menu of Programs DILG SALINTUBIG Capacity Building for CSOs School Computer Laboratory Birthing Facility Core Local Road Construction/ Maintenance / Rehabilitation Tourism Facility Public Market Slaughterhouse Transport Terminal Evacuation Facility Rescue Equipment Flood Control