An Ordinance Enacting the Annual Investment Plan (AIP) CY 2018 of the Provincial Government of Misamis Occidental

November 27, 2017 Excerpts from the MINUTES of the REGULAR SESSION of the Sangguniang Panlalawigan of Misamis Occidental held at the Sangguniang Panlalawigan Session Hall, Misamis Occidental Provincial Capitol Building, Oroquieta City on November 27, 2017. MISAMIS OCCIDENTAL PROVINCIAL ORDINANCE NO. 059-17 AN ORDINANCE ENACTING THE ANNUAL INVESTMENT PLAN (AIP) CY 2018 OF THE PROVINCIAL GOVERNMENT OF MISAMIS OCCIDENTAL BE IT ORDAINED by the Sangguniang Panlalawigan of Misamis Occidental in Session: SECTION 1. Title . This Ordinance shall be known as, "An Ordinance Enacting the Annual Investment Plan (AIP) CY 2018 of the Provincial Government of Misamis Occidental"; SECTION 2. Annual Investment Plan (AIP) . The AIP of CY 2018 constitutes the annual splice of the Provincial Development Investment Plan (PDIP) 2017-2019. The AIP criteria have been anchored on the Vision, Mission, Goal and Objectives of the Province, envisioning Misamis Occidental to be: "A leading agri-fishery industry and tourism destination in the region; with God loving people in economically sustainable communities living in peaceful and disaster-resilient environment governed with the principles of integrity." The GO! HERMIE Program is the development blueprint of Governor Herminia Ramiro's leadership. Pivoted on the vision of Misamis Occidental, GO! HERMIE sets the flagship of the development direction the province is seeking to achieve. Thus, programs, projects and activities (PPAs) are prioritized and matched towards this direction. 1. GO! HERMIE G - Good Governance O - Order of Law and Safety H - Health and Social Services; Human Resource Development E - Education and Youth Development R - Rural and Agricultural Development M - Micro-Enterprise Development I - Infrastructure Development and Investment Promotion E - Environmental Enhancement, Event and Eco-tourism 2. PRIORITY SECTORS The Annual Investment Plan 2018 aims to address the needs of the public and government operations through efficient and cost-effective utilization of financial resources. Culled out from the multi-stakeholder consultations, the Provincial Development Physical Framework Plan (PDPFP) 2013-18 and the Provincial Development Investment Plan (PDIP) 2017-2019, the following basic sectors have been identified as the priority areas of strategic intervention and PPA implementation, to wit: a. Economic Sectors b. Social Sectors c. Environment Sectors d. Infrastructure Sectors e. Macro Sectors f. General Sectors SECTION 3. Policy Decisions in the AIP 2018 . Policy-decisions in the AIP 2018 pivot on three-pronged approach, namely: 1) income generation; 2) income utilization; and 3) resource mobilization. The CY 2018 financial resources are earmarked for the following priority expenditures: [ ] Provision of basic services as mandated by the Local Government Code (LGC); [ ] Implementation of development projects following the approved PDIP and AIP; [ ] Administrative and Legislative services; [ ] Other LGC mandated expenses; [ ] Priority development projects following the approved Provincial Commodity Investment Plan (PCIP) 2015-2020; [ ] Priority PPAs in the Executive-Legislative Agenda (ELA) 2017-2019 [ ] Priority projects integrating DRR-CCCA; [ ] Priority projects integrating GAD Mainstreaming and Child's Rights Protection; [ ] Office Performance Commitment and Review (OPCR) Targets; [ ] Priority roads embodied in the Provincial Road Network Development Plan; [ ] Priority PPAs embodied in the Provincial Tourism Master Plan; [ ] Priority PPAs embodied in the 10-year Integrated Solid Waste Management Plan. Surplus or "free resources" shall be used to expand delivery of basic services, implement other priority development projects embodied in the AIP. 3.1 Income-Generating Sectors Socio-economic, agri-fishery and tourism activities are set as the prime movers of economic growth for the province. Projected economic returns and income are aimed at helping the Province increase capital to conduct priority programs and activities that will promote inclusive growth. Inclusive growth of Misamis Occidental is projected to ensure equal redistribution of the province's wealth. The poor and vulnerable must verifiably benefit from the growth and feel its impact through their improved quality of living. 3.2 Socio Economic An innovative initiative by the Province is the implementation of the Drug Consignment System that will involve the five (5) Government-Owned and Operated Hospitals (PG-OOH) of Misamis Occidental, namely: 1. Misamis Occidental Provincial Hospital (MOPH) 2. Don Maria D. Tan Memorial Hospital (DMDTMH) 3. Jimenez Medical Community Hospital (JMCH) 4. Calamba District Hospital (CDH) 5. Tudela Municipal Hospital (TMH) The conceptualization of the Drug Consignment System commenced in 2014. Drug Consignment was first implemented in the last quarter of 2015. This year, the Drug Consignment will continue on a fuller scale. Consignment System is a method of assuring availability of stocks wherein a consignor places its goods at the PG-OOH pharmacy for sale, and the former being paid by the latter for only the actual quantity consumed using the money generated from the sale of the consigned goods within the agreed period of time. The Drug Consignment System is aimed to both increase the income of hospitals and to cure the perennial problem on the constant shortage of medical/dental/laboratory supplies caused by procurement delays. 3.3 Agri-Fishery The implementation Philippine Rural Development Project (PRDP) under the Department of Agriculture (DA) covers 2015-2020. In partnership with Worldbank and DA, Php165.7 million budget is intended for every province and its component cities/municipalities to fund the promotion and increase the production of significant commodities in the province, to wit: [ ] cardava banana, cassava, abaca, rubber, cacao and seaweeds for the first batch; and [ ] mango, coffee and coco coir for the second batch. This is contingent on the approval of the Provincial Commodity Investment Plan (PCIP) and counterpart equity is also required. This project is expected to spur economic growth in the agriculture sector all throughout the province, increase the income of farmers and build stronger market linkage thru the construction/rehabilitation of farm-to-market roads. 3.4 Tourism REPUBLIC ACT No. 9593 or otherwise known as the Tourism Act of 2009 iterates: "The State declares tourism as an indispensable element of the national economy and an industry of national interest and importance, which must be harnessed as an engine of socio-economic growth and cultural affirmation to generate investment, foreign exchange and employment, and to continue to mold an enhanced sense of national pride for all Filipinos." The formulation of the Tourism Master Plan and the Tourism Code is expected to boost economic activities as the major existing Tourism Sites (TS) will be competitively packaged and developed into Tourism Development Areas (TDAs) to attract more tourists and business investors. The projected outcomes are increased income generation, livelihood creation and wider employment opportunities for the people. 3.5 Fiscal Utilization In fiscal management, the following are general rules implemented by the Province: [ ] Adherence to DILG-NEDA-DBM-DOF Joint Memorandum Circular No. 1, Series of 2016 and other laws on Planning-Budget Linkage is strongly observed by the Province; [ ] Conduct of annual plan review by E-LFC. The financial resources for the Budget Year 2018 are estimated at PHP1,072,269,000.00 from the General Fund and PHP398,400,000.00 income and subsidy from the operation of the Misamis Occidental Medical Economic Enterprise (MOMEE). The Internal Revenue Allotment (IRA) is a local government unit's (LGU) share of revenues from the Philippine national government. Provinces, independent cities, component cities, municipalities, and barangays each get a separate allotment. The allotment is largely based upon the type of government they are and a formula based upon their land area and population. Section 284 of the Local Government Code of the Philippines (RA 7160) sets up the formula for the distribution of the allotment. All or nearly all of the revenue that a local government has to spend comes from their IRA, though some local governments also have additional local sources of revenue such as property taxes and government fees. Typically for municipalities, the IRA accounts for 90% of total revenues. Since cities have more sources of local revenues, their IRA ranges from 50% to 70% of their total budget. Being a 2nd class province, IRA for Misamis Occidental is at PhP1,035,890,000.00 or 70% of the total financial resources of the province. Dependence on national funds is quite high at present. Consequently, the Province is aiming to increase its local revenues to improve independent financial capability through resource mobilization. The total financial resource is at PHP1,470,669,000.00 .Table 1 shows the breakdown for the financial resources of Misamis Occidental. 3.5.1.a Financial Resources of Misamis Occidental 2018 I. GENERAL FUND General Fund (In Pesos) Internal Revenue Allotment (IRA) PHP1,035,890,000.00 Local Local Tax Revenues PHP9,970,000.00 Sources Non-Tax Revenue PHP26,409,000.00 Less Special Education Fund Tax P- TOTAL PHP1,072,269,000.00 II. MOMEE MOMEE (In Pesos) GENERAL INCOME (ECONOMIC ENTERPRISE) PHP298,400,000.00 SUBSIDY FROM GENERAL FUND TO MOMEE PHP100,000,000.00 TOTAL PHP398,400,000.00 III. TOTAL REVENUE FOR 2018 GENERAL FUND PHP1,072,269,000.00 MOMEE PHP398,400,000.00 TOTAL PHP1,470,669,000.00 3.5.1.b Local Development Fund (LDF) Pursuant to DILG-DBM Joint Memorandum Circular No. 2017-1, dated February 22, 2017, the allocation of 20% Local Development Fund (LDF) shall be made on the basis of pre-determined project prioritization criteria. Utilization of fiscal reserves, including savings from continuing appropriation shall be subject to SP Approval. All development projects to be funded under the 20% Development Fund shall contribute to the attainment of desirable socio-economic development and environmental management outcomes of the LGU, and shall partake the nature of investment or capital expenditures. I. Projects Covered Based on the above-cited JMC, the 20% of the IRA intended for development projects shall be utilized for the following priority programs and projects: [ ] Social Development [ ] Economic Development [ ] Environmental Management 3.5.1.c 5% LOCAL DISASTER RISK REDUCTION AND MANAGEMENT FUND Section 21 of the Republic Act No. 10121 also known as the Philippine Disaster Risk Reduction and Management Act of 2010 (PDRRM Act of 2010) provides that the Local Calamity Fund shall henceforth be known as the LDRRMF and not less than five percent (5%) of the estimated revenue from regular sources be set aside as Special Trust Fund to be spent in the succeeding five years. I. Utilization of the Local Disaster Risk Reduction and Management Fund (LDRRMF) Five percent (5%) of the estimated revenue from regular sources shall be set aside to support disaster risk management activities such as, but not limited to, pre-disaster preparedness programs including training, purchasing life-saving rescue equipment, supplies and medicines, for post-disaster activities, for the payment of premiums on calamity insurance and construction of evacuation centers. The Local Disaster Risk Reduction and Management Council (LDRRMC) shall monitor and evaluate the use and disbursement of the LDRRMF based on the Local Disaster Risk Reduction and Management Plan (LDRRMP) as incorporated in the local development plans and annual work and financial plan. Upon the recommendation of the LDRRMO and approval of the Sanggunian concerned, the LDRRMC may transfer the said fund to support disaster risk reduction work of other LDRRMCs which are declared under state of calamity. II. Quick Response Fund Of the amount appropriated to LDRRMF, thirty percent (30%) shall be allocated as Quick Response Fund (QRF) or stand-by fund for relief and recovery programs in order that situation and living conditions of people in communities or areas stricken by disasters, calamities, epidemics, or complex emergencies, may be normalized as quickly as possible. III. Special Trust Fund Unexpended LDRRMF shall accrue to a special trust fund solely for the purpose of supporting disaster risk reduction and management activities of the LDRRMCs within the next five (5) years. Any such amount still not fully utilized after five (5) years shall revert back to the general fund and made available for other social services to be identified by the local sanggunian. 3.5.1.d 5% GAD BUDGET The investment and financing policy of PDIP 2017-19 also takes into account the Joint Memorandum Circular No. 2012-01 issued by the Philippine Commission on Women (PCW), National Economic Development Authority (NEDA) and the Department of Budget and Management (DBM) entitled Guidelines for the Preparation of Annual Gender and Development (GAD) Plans and Budgets and Accomplishment Reports to Implement the Magna Carta of Women. Section 2.3 of JMC No. 2012-01 provides that all government departments, including their attached agencies, offices, bureaus, state universities and colleges (SUCs),government-owned and controlled corporations (GOCCs),local government units (LGUs) and other government instrumentalities shall integrate in the regular activities of the agencies, the cost of implementation of which shall be at least five percent (5%) of their local budgets. The computation and utilization shall be implemented in accordance with the specific guidelines provided therein. 3.5.1.e 1% of IRA for the Protection of Children Section 15 of Republic Act 9344, known as the "Juvenile Justice and Welfare Act of 2006" mandates LGUs to establish their respective Local Councils for the Protection of Children (LCPC) at the city, municipal and barangay levels and allocate 1% of Internal Revenue Allotment (IRA) for its strengthening and implementation of programs, projects and activities. 3.6 Composition of Financial Resources a. Internal Revenue Allotment 70% b. Local Sources 3% c. MOMEE 27% Total 100% 3.7 Resource Mobilization Limitations on the funding capacity of the province are inevitable. But this gap can be mitigated by progressively addressing it through resource mobilization. a. Domestic Borrowings One of the options that the province may look into is debt servicing. But domestic borrowing is guided by certain policies. According to the Department of Finance (DOF), under the Local Government Code (LGC), local governments may contract loans, credits, and other forms of indebtedness to finance the construction, installation, improvement, expansion, operation, or maintenance of public facilities, infrastructure, housing projects, the acquisition of real property, and the implementation of other capital investment projects, subject to terms and conditions as may be agreed upon by the LGU and the lender. The proceeds from such transactions accrue directly to the LGU. However, an LGU can only incur expenditures for debt servicing up to 20% of its annual regular income. Every loan application must comply with the requirements of the DOF, the Bureau of Local Government Finance (BLGF),and the Bangko Sentral ng Pilipinas (BSP). b. National Government Assistance Based on the Joint Memorandum Circular No. 2017-2 dated April 26, 2017 of the DILG and DBM, the province is a beneficiary of the Conditional Matching Grant to Provinces for Road Repairs, Rehabilitation and (CMGP).The CMGP is the successor of the KALSADA Program. Based on CMGP allocation, the province of Misamis Occidental has an allocation of PhP278,115,000.00 for 2018. PGMO will also avail financial assistance from national agencies for PPAs qualified for their funding, namely: [ ] Department of Agriculture (DA)-PRDP [ ] Department of Interior and Local Government (DILG) [ ] Department of Health (DOH) [ ] Department of Tourism (DOT)-Tourism Infrastructure and Enterprise Zone Authority (TIEZA) [ ] Department of Public Works and Highways (DPWH) [ ] Mindanao Development Authority (MinDA) [ ] Philippine Coconut Authority (PCA) [ ] Department of Trade and Industry (DTI) [ ] Other National Government Agencies (NGAs) c. Foreign Aid or Grant PGMO's program implementation performance as evidenced in its Monitoring and Evaluation (M&E) Activities is the primary indicator looked into by foreign donors. PPAs that focus on tourism, climate change, global warming and agri-fishery development usually gain foreign funding and will be therefore pursued by the province. d. Private-Public Partnership (PPP) PPP is basically any one of the variants of permitted schemes under the BOT law or RA 6957 as a contractual arrangement whereby the contractor undertakes the construction, including financing, of a given infrastructure facility, and the operation and maintenance thereof. Concessions, Build-Operate-Transfer (BOT) Projects, and Design-Build-Operate (DBO) Projects are types of public-private partnerships that are output focused. BOT and DBO projects typically involve significant design and construction as well as long term operations, for new build (greenfield) or projects involving significant refurbishment and extension (brownfield). d.1 Concessions gives a concessionaire the long term right to use all utility assets conferred on the concessionaire, including responsibility for operations and some investment. Asset ownership remains with the authority and the authority is typically responsible for replacement of larger assets. Assets revert to the authority at the end of the concession period, including assets purchased by the concessionaire. In a concession the concessionaire typically obtains most of its revenues directly from the consumer and so it has a direct relationship with the consumer. A concession covers an entire infrastructure system (so may include the concessionaire taking over existing assets as well as building and operating new assets). The concessionaire will pay a concession fee to the authority which will usually be ring-fenced and put towards asset replacement and expansion. A concession is a specific term in civil law countries. To make it confusing, in common law countries, projects that are more closely described as BOT projects are called concessions. d.2 Build Operate Transfer (BOT) Project is typically used to develop a discrete asset rather than a whole network and is generally entirely new or greenfield in nature (although refurbishment may be involved). In a BOT Project the project company or operator generally obtains its revenues through a fee charged to the utility/government rather than tariffs charged to consumers. In common law countries a number of projects are called concessions, such as toll road projects, which are new build and have a number of similarities to BOTs. In a Design-Build-Operate (DBO) Project the public sector owns and finances the construction of new assets. The private sector designs, builds and operates the assets to meet certain agreed outputs. The documentation for a DBO is typically simpler than a BOT or Concession as there are no financing documents and will typically consist of a turnkey construction contract plus an operating contract, or a section added to the turnkey contract covering operations. The Operator is taking no or minimal financing risk on the capital and will typically be paid a sum for the design-build of the plant, payable in installments on completion of construction milestones, and then an operating fee for the operating period. The operator is responsible for the design and the construction as well as operations and so if parts need to be replaced during the operations period prior to its assumed life span the operator is likely to be responsible for replacement. PGMO's initial PPAs that will prospectively be under PPP are medical services, equipment for PGMO owned hospitals and infrastructure projects. SECTION 4. Prioritizing Programs, Projects and Activities . Programs, projects and activities (PPAs) are ranked based on the development goals identified in the PDIP 2017-2019 in consonance with the National Government's Medium Term Development Plan and Budgeting Laws, Executive Legislative Agenda (ELA) 2017-2019 and the GO! HERMIE Development Thrust. A summary of the CY 2018 Budget Proposal will show the allocation by sector and item, as follows: a. Budget Allocation by Sector Budget Item Amount (In Pesos) % to Total 1. Social Services [ ] MOMEE [ ] Drug Revolving Fund PhP551,714,000.00 38% 2. General Services [ ] Aid to Barangays [ ] Lump Sum for Salary Increase Php537,331,000.00 37% 3. Economic Services [ ] 20% Development Fund PhP328,010,000.00 22% 4. Other Services [ ] 5% LDRRMF PhP53,614,000.00 4% Total PhP1,470,669,000.00 100% b. Budget Allocation b.1 Social Services 37% b.2 General Services 37% b.3 Economic Services 22% b.4 Other Services 4% TOTAL 100% c. Breakdown of Expenditures by Sector c.1 Rank #1: Social Services Social services are allocated 38% or equivalent to PhP551,714,000.00 .Social services include programs/projects on health and social welfare and development, to wit: [ ] Health Services [ ] Social Welfare & Dev. Services [ ] Operation of Bahay Pag-asa [ ] Gender and Development Services [ ] Drug Treatment & Rehabilitation Services [ ] MOMEE-CEO [ ] Misamis Occ. Provincial Hospital [ ] Calamba District Hospital [ ] Doa Maria D. Tan Memorial Hospital [ ] Tudela Municipal Hospital [ ] Jimenez Medicare Community Hospital [ ] Subsidy to MOMEE [ ] Drug Revolving Fund MOMEE SUBSIDY MOMEE SUBSIDY is an annual budget allocation for the subsidized operation of the five (5) Provincial Government- Owned and Operated Hospitals (PG-OOH) under the Misamis Occidental Medical Economic Enterprise (MOMEE).These hospitals are: 1) Tudela District Hospital; 2) Jimenez Municipal Hospital; 3) Calamba District Hospital; 4) Doa Maria D. Tan Memorial Hospital; and the 5) Misamis Occidental Provincial Hospital. For 2018, MOMEE Subsidy is at PhP100,000,000.00 . DRUG REVOLVING FUND FOR DRUG CONSIGNMENT SYSTEM Pursuant to SP Ordinance No. 33-14 dated November 14, 2014 otherwise known as an Ordinance Instituting the Misamis Occidental Drugs, Medicines and Medical Supplies Consignment System, the Drug Revolving Fund is created. For 2018, PhP5,000,000.00 is allocated for this fund. c.2 Rank #2: General Public Services The primary mandate of the Provincial Government is to deliver efficient, quality and timely public service. Thirty-seven percent (37%) of 2018 Provincial Annual Budget or equivalent to PHP537,331,000.00 is earmarked for General Public Service. This category includes: [ ] Executive Services [ ] Legislative Services [ ] Operation and Maintenance of both Executive and Legislative Offices [ ] ICT-GIS Services [ ] Procurement Services [ ] Peace and Order Services [ ] Special Programs and Social Projects Initiated by Provincial Governor's Office [ ] Administrative Support to National Agencies Based in the Province [ ] Human Resource Development [ ] Tax Collection Services [ ] Mitigation of Illegal Drug Trade [ ] Aid to Barangays [ ] Lump Sum Salary Increase AID TO BARANGAYS The Annual Provincial Budget has earmarked every year a splice for Aid to Barangays. For 2018, this amounts to PhP2,450,000.00 . LUMP SUM SALARY INCREASE The Provincial Government of Misamis Occidental (PGMO) has targeted to increase the salary of its employees. For 2018, PGMO has set aside PhP31,000,000.00 for salary increase. Rank #3: Economic Services Economic Services take 22% or equivalent to PhP328,010,000.00 .Its goal is to spur economic development by funding the operation of frontline economic-service offices, critical financial support to finance economic infrastructure like roads, irrigation system, tourism and agri-fishery initiatives province-wide. These include the following: [ ] Cooperative's Services [ ] Environment & Nat. Resources [ ] Veterinary Services [ ] Animal Breeding Services [ ] Engineer's Services [ ] Prov'l Road Routine & Periodic Maintenance: o Calamba-Siloy, Calamba, 3.38 kms o Calamba-Magsaysay-Lumipac, Calamba, 3.55 kms o Jimenez-Guintomoyan, Jimenez, 4.557 kms o Mohon-San Juan, Pang-on, 9.34 kms o Sapang Dalaga-Medallo, Sapang Dalaga, 4.5 kms o Sinonoc-Camanse Tipan, Sinacaban, 3.36 kms o Taguima-Locsoon-Canibungan Proper, Tudela, 6.677 kms o Locsoon-Silongon-Maribojoc, Tudela, 3.5 kms o Lupagan-Pan-ay, Clarin, 1.382 kms o Casusan-Burgos, Aloran, 3.5 kms o Mitacas-Sinian, Baliangao, 2.05 kms o Tudela-Taguima, Tudela, 2 kms [ ] Agricultural Services [ ] Tourism Services (MOAP) [ ] Enterprise Development & Research Services [ ] Economic Enterprise Services 20% Development Fund Section 287 or RA 7160 or the Local Government Code mandates that each local government shall appropriate in its annual budget no less than twenty percent (20%) of its Annual Internal Revenue (IRA) to fund projects pursuant to the local development plan of the province. The same shall be utilized in pursuant to DILG-DBM JMC No. 2017-1 dated February 22, 2017. The 20% Development Fund for 2018 is equivalent to PhP207,178,000.00 .Table below reflects priority programs, projects and activities under the 20% Development Fund. Table 3. Programs, Projects and Activities 20% Development Fund CY 2018 PPAs Amount (in Million Pesos) 1. DBP Loan Amortization 964,000.00 2. PVB Loan Amortization (Grandstand) 14,137,000.00 3. Rural Development Projects for LGUs Cities = P3 M x 3 = P9 M Mun. = P2 M x 14 = 28 M [ ][ ] Concreting of Barangay Matipas FMR, Aloran 2,000,000.00 [ ][ ] Concreting of Sinian-Mitacas Road, Baliangao 2,000,000.00 [ ][ ] Concreting of Lower Usogan Farm to Market Road FMR (Purok 3),Bonifacio 2,000,000.00 [ ][ ] Construction of Multipurpose Evacuation Center Phase XVIII, Calamba 2,000,000.00 [ ][ ] Construction of Multipurpose Hall Phase I at Purok 7, Lapasan, Clarin 2,000,000.00 [ ][ ] Additional Improvements of Municipal Circumferential Road, Concepcion 2,000,000.00 [ ][ ] Concreting of Road at Lalud-Napangan Road Section (near old DVNHS),Don Victoriano 2,000,000.00 [ ][ ] Concreting of Barangay Mialem-Road (Boundary Section),Jimenez 1,000,000.00 [ ][ ] Concreting of Guintomoyan Road, Jimenez 1,000,000.00 [ ][ ] Concreting of Rizal-Ilihan Farm to Market Road, Lopez Jaena 2,000,000.00 [ ][ ] Completion of Multipurpose Building Lutao, Panaon 1,000,000.00 [ ][ ] Repair of Multipurpose Building Lutao, Panaon 1,000,000.00 [ ][ ] Rehabilitation of Multipurpose Hall, Barangay Kauswagan, Plaridel 2,000,000.00 [ ][ ] Concreting (Shoulder Paved) Casul Road, Sapang Dalaga 2,000,000.00 [ ][ ] Installation of Solar Additional Street Lights along National Highway from Cagay-anon to Libertad Bajo, Sinacaban 2,000,000.00 [ ][ ] Establishment/Construction of Sanitary Landfill/MRF, Tudela 2,000,000.00 [ ][ ] Concreting of Deloso Street at Upper Loboc to Proper Langcangan, Oroquieta City 3,000,000.00 [ ][ ] Construction of Poliken Water System-Source at Barangay Gala, Ozamiz City 1,500,000.00 [ ][ ] Construction of Linusas-Laburak Water System-Source at Barangay Stimson Abordo (Montol),Ozamiz City 1,500,000.00 [ ][ ] Concreting of Kalaw Street, Tangub City 3,000,000.00 4. Sectoral Development Projects Gov 3.5 M [ ][ ] Completion of Multi-purpose Building-Phase III, Barangay Apil, Oroquieta City 500,000.00 [ ][ ] Improvement/Renovation of Multi-purpose Building, Brgy. Lam-an, Ozamiz City 500,000.00 [ ][ ] Reclamation Area (Filling of Materials),Barangay Catadman-Manabay, Ozamiz City 1,000,000.00 [ ][ ] Improvement/Renovation of Multipurpose Building, Barangay Tabid, Ozamiz City 500,000.00 [ ][ ] Solar Dryer/Palay Shade, Barangay Bacolod, Ozamiz City 500,000.00 [ ][ ] Improvement/Renovation of Multipurpose Building, Barangay Aguada, Ozamiz City 500,000.00 [ ][ ] Installation of Street Lights, Barangay Annex, (Carmen),Ozamiz City 500,000.00 [ ][ ] Concreting of Barangay Road, Barangay Manaka, Ozamiz City 500,000.00 [ ][ ] Concreting of Barangay Road, Barangay Bongbong, Ozamiz City 500,000.00 [ ][ ] Improvement of Multipurpose Building (Tile Flooring),Barangay Cogon, Ozamiz City 500,000.00 [ ][ ] Improvement of Multipurpose Building, Barangay Malaubang, Ozamiz City 500,000.00 [ ][ ] Improvement/Renovation of Multipurpose Building, Barangay Carangan, Ozamiz City 500,000.00 [ ] Concreting of Barangay Road, Barangay Pulot, Ozamiz City 1,000,000.00 Vice Gov 3M [ ] Installation of LED Lights for Caluya Shrine, Sapang Dalaga 200,000.00 [ ] Construction of Evacuation Center, Jimenez 200,000.00 [ ] Rehabilitation of D. Fernan Barangay Road leading to Fire Station, Bonifacio 200,000.00 [ ] Rehabilitation and Improvement of Manpower Development Center Oroq. City Central School (OCCES),DepED Division of Oroquieta City 200,000.00 [ ] Purchase of Vehicle for Garbage Truck, Panaon 200,000.00 [ ] Installation of Street Lights, Don Victoriano 200,000.00 [ ] Concreting of Barangay Rizal Road, Lopez Jaena 200,000.00 [ ] Improvement/Rehabilitation/Repair of Road (Gravelling) Brgy. Tugas to Sitio Tinago, Baliangao 200,000.00 [ ] Installation of Street Lights, Clarin 200,000.00 [ ] Improvement of Multipurpose Building, Concepcion 100,000.00 [ ] Installation of Street Lights, Aloran 200,000.00 [ ] Improvement of Multipurpose Bldg./Evacuation Center, Brgy. Ilisan, Plaridel 100,000.00 [ ] Improvement/Gravelling of Barangay Danao Road, Plaridel 100,000.00 [ ] Installation of Street Lights, Brgy. Lao & Brgy. Sta. Cruz, Plaridel 100,000.00 [ ] Improvement of Hanging Bridge, Brgy. Catarman, Plaridel 100,000.00 [ ] Installation of Street Lights Highway, Brgy. Lao Proper, Plaridel 100,000.00 [ ] Rehabilitation of Multipurpose-Bldg.,Brgy. Puntod, Plaridel 100,000.00 [ ] Concreting of Farm to Market Road, Brgy. Mamanga Gamay, Plaridel 100,000.00 [ ] Installation of Solar Street Lights, Plaridel 200,000.00 SP Members 500,000 x 1 Completion of Multi-purpose Building, Barangay Manga 200,000.00 Barangay Mantik, 300,000.00 Tangub City 500,000.00 Rehabilitation of Manpower Development Center, Brgy. Barra, Tudela 100,000.00 Improvement of Water System, Brgy. Labo, Ozamiz City 100,000.00 Improvement of Manpower Development Center, Brgy. Dimaluna, Ozamiz City 100,000.00 Construction of Multipurpose Hall, Brgy. Guimad, Ozamiz City 100,000.00 Rehabilitation of Evacuation Center, Brgy. Doa Consuelo, Ozamiz City 100,000.00 Re-gravelling of Farm to Market Road, Brgy. Casusan, Municipality of Aloran 100,000.00 Improvement of Water System (Procurement of Pipes & Water Machine),Brgy. Bolibol, Oroquieta City 100,000.00 Improvement of Water System (Procurement of Pipes & Water Machine),Brgy. Dolipos Bajo, Oroquieta City 100,000.00 Improvement of Multipurpose Hall, Brgy. Unidos, Municipality of Plaridel 100,000.00 Improvement of Farmers Multi-purpose Building, Brgy. Makawa, Municipality of Aloran 100,000.00 [ ] Fin. Assistance for Regravelling of Barangay Ventura Road, Sapang Dalaga 500,000.00 [ ] Construction of Drainage Canal, Brgy. Butuay, Municipality of Jimenez 100,000.00 [ ] Gravelling of P-6 Sitio Catarman Road, Brgy. Conat, Aloran 100,000.00 [ ] Rehabilitation of Multipurpose Training Center, Brgy. Bunawan, Calamba 100,000.00 [ ] Improvement of Barangay Health Center, Brgy. Northern Poblacion, Calamba 100,000.00 [ ] Re-gravelling of Farm to Market Road, Brgy. Casusan, Municipality of Aloran 100,000.00 [ ] Improvement of Multi-purpose Building, Brgy. Small Potongan, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Upper Dioyo, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Guiban, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Capule, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Sosoon, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Lingatongan, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Mantukoy, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Bagong Nayon, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Upper Dapitan, Concepcion 50,000.00 [ ] Improvement of Multipurpose Building, Brgy. Maligubaan, Concepcion 50,000.00 [ ] Regravelling of Brgy. Road at Purok 4 & 5, Gata Daku, Clarin 500,000.00 [ ] Continuing Improvement of Multipurpose Building, Brgy. Poblacion, Panaon 100,000.00 [ ] Construction of Multipurpose Building, Purok Sampaguita, Brgy. Colupan Bajo, Sinacaban 100,000.00 [ ] Concreting of Barangay Road P-5, Brgy. Mansabay Bajo, Lopez Jaena 100,000.00 [ ] Improvement of Multipurpose Building, Brgy. Tigdok, Tudela 100,000.00 [ ] Completion of Salvador Multipurpose Hall, Brgy. Salvador, Calamba 100,000.00 [ ] Construction of Drainage Canal, Brgy. Southern Poblacion, Plaridel 500,000.00 5 PGMO Cash Counterpart Philippine Rural Development Program (PRDP) 10,000,000.00 6 Environmental Protection Management Project 1,500,000.00 7 Coastal Resource Management Projects 1,500,000.00 8 Periodic Maintenance of Fair to Good Road (KALSADA) [ ][ ] Aloran-Mitazan, Aloran, 2.3 kms 115,000.00 [ ][ ] Lobogon-Tuburan, Aloran, 4 kms 200,000.00 [ ][ ] Pines-Sinampongan, Aloran, 4.7 kms 235,000.00 [ ][ ] Maular-Monterico, Aloran, 10 kms 500,000.00 [ ][ ] Dullan-Calube, Aloran, 4.45 kms 222,500.00 [ ][ ] Laguerta-Caputol, Aloran, 1.45 kms 72,500.00 [ ][ ] Misom-Mabini, Baliangao, 2.133 kms 106,650.00 [ ][ ] Baliangao-Tugas-Tinago-Tamban, Baliangao, 6.26 kms 313,000.00 [ ][ ] Bonifacio-Dimalco, Bonifacio, 6.753 kms 337,650.00 [ ][ ] Calaran-Langub, Calamba, 4 kms 200,000.00 [ ][ ] Siloy-Mamalad-Silangat, Calamba, 2.31 kms 115,500.00 [ ][ ] Sulipat-San Isidro-Quibol, Calamba, 2 kms 100,000.00 [ ][ ] Bunawan-Dapacan Bajo, Calamba, 3.5 kms 175,000.00 [ ][ ] Capalaran-Dapacan Alto, Calamba, 4.463 kms 223,150.00 [ ][ ] Clarin-Tinaclaan-Segatic, Clarin, 6.98 kms 349,000.00 [ ][ ] Malibangcao-Sebase, Clarin, 6.2 kms 310,000.00 [ ][ ] Lapasan-Gata-Kinangay, Clarin, 5 kms 250,000.00 [ ][ ] Pan-ay-Dolores, Clarin, 3.63 kms 181,500.00 [ ] Dolores-Canibungan-Putol, Clarin, 1.02 kms 51,000.00 [ ] Lupagan-Baybay, Clarin, 1.1 kms 55,000.00 [ ] Lampasan-Tuno-Lalud-Napangan, Don Vic, 9.119 455,950.00 [ ] Jimenez-Corrales-Mialem-Sinorom, Jimenez, 7.812 kms 390,600.00 [ ] Lopez Jaena-Hasaan, Lopez Jaena, 3.5 kms 175,000.00 [ ] Estante-Dampalan, Lopez Jaena, 3 kms 150,000.00 [ ] Molatuhan-Alegria, Lopez Jaena, 5.7 kms 285,000.00 [ ] Pana-on-Baga-Vidope (Factoria),Pana-on, 12.296 kms 614,800.00 [ ] Sumasap-Salimpuno, Pana-on, 3 kms 150,000.00 [ ] Salimpuno-Magsaysay-Bangko, Pana-on, 5.35 kms 267,500.00 [ ] Lutao-Map-an, Pana-on, 2.35 kms 117,500.00 [ ] Panansalan-Macalibre, Plaridel, 5.929 kms 296,500.00 [ ] Looc-Mamanga-Cebulin, Plaridel, 7.95 kms 397,500.00 [ ] Plaridel-Sta. Cruz-Usocan-Bato-Unidos, Plaridel, 10.63 531,500.00 [ ] Clarin-Buena Voluntad, Plaridel, 4.42 kms 221,000.00 [ ] Sapang Dalaga-Casul, Sapang Dalaga, 3 kms 150,000.00 [ ] Cagay-anon-Macabayao, Sinacaban, 4.1 kms 205,000.00 [ ] Casoy-Libertad Bajo, Sinacaban, 2.95 kms 147,500.00 [ ] Sinacaban-San Isidro, Sinacaban, 8.9 kms 445,000.00 [ ] Colupan-Tipan-Maruba, Sinacaban, 2.15 kms 107,500.00 [ ] Sinonoc-San Vicente, Sinacaban, 2.026 kms 101,300.00 [ ] Sinacaban-Libertad Bajo, Sinacaban, 1.015 kms 50,750.00 [ ] Libertad Bajo-Libertad Alto, Sinacaban, 0.786 kms 39,300.00 [ ] Nailon-Cabol anonan, Tudela, 2.5 kms 125,000.00 [ ] Tudela-Taguima, Tudela, 2 kms 100,000.00 [ ] Tudela-Balon-Labongbalo, Tudela, 12.784 kms 639,200.00 9 Concreting of Core Road Section [ ] Landing-del Pilar, Baliangao 10,000,000.00 [ ] Sulipat-San Isidro-Quibol, Calamba 10,000,000.00 [ ] Macalibre-Soriano Yard, Lopez Jaena 10,000,000.00 [ ] Estante-Dampalan, Lopez Jaena 10,000,000.00 [ ] Sinonoc-Camanse-Tipan, Sinacaban 10,000,000.00 [ ] Burgos-Tugaya, Aloran 10,000,000.00 10 Procurement of Heavy Equipment 56,301,200.00 Total PhP207,178,000.00 Rank #4: Other Services Other Services covers the 5% Local Disaster Risk Reduction and Management Fund (LDRRMF) PPAs with a total amount of PHP53,614,000.00 ,taking 4% of the total Annual Budget. Republic Act 10121 mandates that five percent (5%) of the estimated revenue from regular sources shall be set aside as Local Disaster Risk Reduction and Management Fund n (LDRRMF) to support climate change adaptation, disaster risk reduction or mitigation, prevention and preparedness activities. Likewise, Joint Memorandum Circular No. 1, Series of 2011 states: 70% of the 5% LDRRMF may be utilized to procure early warning systems, preparedness equipment and other equipage. Reiterated in provisions of laws, rules and regulations. Further, Joint Memorandum Circular (JMC) No. 2014-01, dated August 7, 2014 by the Department of the Interior and Local Government (DILG), Department of Budget and Management (DBM) and Climate Change Commission (CCC), reiterated in the Local Budget Memorandum No. 70 by DBM dated June 15, 2015, has strongly underscored the tagging/tracking of Climate Change expenditures in the local budget. This adds emphasis on the continuous and even stronger inclusion of climate change adaptation (CCA) and mitigation (CCM) in the development strategies of the province. Thus, programs and projects included under this category include: Table below reflects the priority PPAs. Table 4. Programs, Projects and Activities 5% Local Disaster Risk Reduction and Management Fund (LDRRMF) CY 2018 PPAS AMOUNT (in Million Pesos) 1. Quick Response Fund 16,084,000.00 2. Construction of River Control Walling along Daisog River adjacent to Lopez Jaena Public Market 15,000,000.00 3. Construction of Shoreline Protection/Seawall at Brgy. Punta, Panaon 5,000,000.00 4. Construction of Cagay-anon Seawall, Sinacaban 7,500,000.00 5. Construction of Seawall/Sea Breaker at Brgy. Southern Poblacion, Baliangao 5,000,000.00 6. Construction of Flood Control System at Cawayan Creek, Brgy. Mabini, Baliangao 3,000,000.00 7. Continued Learning/Capability Development for LDRRM Council 280,000.00 8. Procurement of Equipment for Satellite Forecast 150,000.00 9. Procurement of Computers 80,000.00 10. Massive Planting of Mangrove along Coastal areas 100,000.00 11. Operationalization of Rescue Equipment 200,000,00 12. Planting of Trees along Riverbanks 100,000.00 13. Training/Seminar on Disaster & Climate Change for LDRRM staff and Council 120,000.00 14. Purchase of Additional Rescue Equipment 1,000,000.00 TOTAL Php53,614,000.00 SECTION 5. Priority Development Projects Funded by Foreign and Other External Sources . In development areas where funds are lacking or insufficient, foreign and other external funding sources have played major role in helping the Province meet the fiscal requirements. Development projects funded externally are mostly geared toward establishing or strengthening existing livelihood projects, environment protection initiatives, increase employment/job creation, ensure food security and build rural infrastructures like farm-to-market roads (FMRs) and other road infrastructures essential elements for both economic and inclusive growth. A pre-condition to availing these aids might take the form of equity or in-kind counterparts from the beneficiary LGUs the province, cities or municipalities. Partner Funding Institutions may include but are not limited to the following: 1. Conditional Matching Grant to Provinces (CMGP formerly KALSADA Program) by DILG 2. Philippine Rural Development Project by Department of Agriculture (DA-PRDP) in partnership with World bank 3. Tourism Infrastructure and Enterprise Zone Authority (TIEZA) by the Department of Tourism (DOT) 4. Department of Health (DOH) 5. Mindanao Development Authority (MinDA) 6. Department of Public Works and Highways (DPWH) 7. Public-Private Partnership (PPP) 8. Department of Trade and Industry (DTI) 9. Other National Agencies that provide Funding Assistance SECTION 6. Monitoring and Evaluation. The first letter in the GO! HERMIE Development Thrust stands for 'good governance.' Transparency and accountability are indispensable elements of good governance. In any development plan or policy cycle, monitoring and evaluation is the last component in the implementation phase that coils back to the first stage of problem identification to assess the success or failure of a program implemented. Good monitoring and evaluation contributes to ensuring that the objectives are achieved. The PGMO M & E system follows the guidelines, system and procedures set forth under the Regional Project Monitoring and Evaluation System (RPMES).This system is intended to achieve efficient and effective implementation of PPAs. Monitoring and evaluation are two complementary, but separate functions, which often serve distinct purposes. Monitoring is the routine on-going assessment of activities applied to resources invested (inputs) in the programme, services delivered (outputs) of the programme, outcomes that are related to the programme. Evaluation is concerned with assessment of the programme's impact on the efficiency and effectiveness of the overall governance of PGMO. The M & E system adopts a logical approach of input-process-output outcome-impact indicators to ensure on-going monitoring and evaluation of the goals and objectives of PGMO. SECTION 7. Appropriation of Funds . That in the AIP of FY 2018 of the Provincial Government of Misamis Occidental of the General Fund, the amount of ONE BILLION SEVENTY TWO MILLION TWO HUNDRED SIXTY NINE THOUSAND PESOS (P1,072,269,000.00) and Misamis Occidental Medical Economic Enterprise (MOMEE) in the amount of THREE HUNDRED NINETY EIGHT MILLION FOUR HUNDRED THOUSAND PESOS (P398,400,000.00) are allocated hereunder as follows: 7.1 Social Services 551,714,000.00 38% 7.2 General Services 537,331,000.00 37% 7.3 Economic Services 328,010,000.00 22% 7.4 Other Services 53,614,000.00 4% TOTAL P1,470,669,000.00 100% ============== ===== SECTION 8. The 20% Development Fund . The 20% Development Fund in the total amount of TWO HUNDRED SEVEN MILLION ONE HUNDRED SEVENTY EIGHT THOUSAND PESOS (P207,178,000.00) is allocated to fund the priority programs, projects and activities. SECTION 9. Sources of Funds . That the total resources of the Province for the General Fund is estimated at ONE BILLION SEVENTY TWO MILLION TWO HUNDRED SIXTY NINE THOUSAND PESOS (P1,072,269,000.00) and Misamis Occidental Medical Economic Enterprise (MOMEE) in the amount of THREE HUNDRED NINETY EIGHT MILLION FOUR HUNDRED THOUSAND PESOS (P398,400,000.00) which will come from the following sources: 9.1 General Fund: 9.1.a. Internal Revenue Allotment (IRA) 1,035,890,000.00 Local Sources 9.1.b. Local Tax Revenues 9,970,000.00 9.1.c. Non-Tax Revenue 26,409,000.00 9.1.d. Less Special Education Fund Tax P... TOTAL P1,072,269,000.00 9.2 MOMEE Fund: 9.2.a. General Income (Economic Enterprise) 298,400,000.00 9.2.b. Subsidy from General Fund to MOMEE-MOOE 100,000,000.00 TOTAL P398,400,000.00 SECTION 10. Programs and Projects of the Legislative Branch. The allocations of the programs and projects identified and approved by the Vice- Governor and the Members of the Sangguniang Panlalawigan coming from their Grants, Aids and Donations shall be deemed part of the Annual Investment Plan. SECTION 11. Disbursement of Authorized Expenditures . The disbursement of authorized expenditures shall be based on the approved work and financial plan and the advise of allotment issued by the Provincial Governor. SECTION 12. Modification of Expenditure Components . Except by act of the Sangguniang Panlalawigan, through an appropriate ordinance, no change or modification shall be made in the expenditure items authorized in this Annual Investment Plan. SECTION 13. Compliance with Existing Laws . This "Annual Investment Plan FY 2018" complies with the requirements of the applicable provisions of the Local Government Code, the Updated Budget Operations Manual for Local Government Units and all other pertinent rules, regulations and issuances relative thereto. SECTION 14. Penalty Clause . Funds appropriated herein shall be used and applied strictly in accordance with the specific purposes and services indicated herein. Any use or application of any amount in violation of its specific appropriation shall be null and void and shall subject the erring official or personnel to disciplinary and/or criminal action as may be provided under the existing administrative and penal laws. SECTION 15. Separability Clause . If for any reason, any section or provision of this Ordinance is declared unconstitutional or invalid, other sections or provisions which are not affected thereby shall remain and continue to be in full force and effect. SECTION 16. Authority . That this Ordinance is pursuant to Republic Act No. 7160, "The Local Government Code of 1991" and other pertinent laws, and issuances. SECTION 17. Effectivity . That this Ordinance shall take effect immediately upon its approval. ENACTED: November 27, 2017 . I HEREBY CERTIFY to the correctness of the foregoing Ordinance No. 59-17 which was duly enacted by the Sangguniang Panlalawigan during its REGULAR held at the Sangguniang Panlalawigan Session Hall, Misamis Occidental Provincial Capitol Building, Oroquieta City on November 27, 2017. (SGD.) TITO B. DECINA Temporary Presiding Officer ATTESTED: (SGD.) IRENE T. ZAPATOS Secretary to the Sanggunian APPROVED: (SGD.) HERMINIA M. RAMIRO Provincial Governor Date Approved: December 14, 2017 n Note from the Publisher: Written as "Local Risk Reduction and Management Fund" in the original document.