Supplemental Guidelines to MC No. 04 Series of 2020 on the Provision of Social Amelioration Measures by DSWD

March 31, 2020

DSWD MEMORANDUM CIRCULAR NO. 005-20

SUPPLEMENTAL GUIDELINES TO MEMORANDUM CIRCULAR NO. 04 SERIES OF 2020 ON THE PROVISION OF SOCIAL AMELIORATION MEASURES BY DSWD

I. RATIONALE

The Department of Social Welfare and Development has issued on March 30, 2020 an internal guideline 1 on the provision of social amelioration measures by the Department to the affected households of the community quarantine due to COVID-19 outbreak. Such guideline clarifies the provision of emergency subsidies through Assistance to Individuals in Crisis Situation (AICS), Food and Non-Food Items (FNI), and Livelihood Assistance Grants (LAG), the mechanisms by which the households shall be targeted, the quantum of benefits, and the processes on how the stipends shall be provided.

As espoused in the "Bayanihan to Heal As One Act," 2 the recipients of such emergency subsidy shall cover about 18 million low-income households, including Pantawid Pamilyang Pilipino Program (4Ps) beneficiaries, who will receive an amount ranging from PhP5,000 to PhP8,000 pesos per household per month for a maximum of two months, taking into consideration the cash transfers and rice subsidies that they will be getting from the 4Ps program in the computation of the emergency subsidy. 3 The same law also provides that the 4Ps program shall have an "expanded and enhanced" implementation to be responsive to the needs posed by the crisis through the provision of cash assistance adequate enough to restore capacity to purchase basic food and other essential items during the duration of the quarantine. 4

Additional cash transfers to 4Ps households in times of shocks and emergencies is supported by Tan, et al. (2020) in its paper "Addressing the Needs of Highly Vulnerable Households during the Lockdown" when it recommended: (i) to distribute financial aid (aside from in-kind assistance) to highly vulnerable households during the lockdown period and (ii) to use 4Ps in identifying such households to help them tide over during the lockdown period.

Such is also the position of Paloyo, et al. (2020) in its continuing paper entitled "A Philippine Social Protection and Economic Recovery Plan" for the government to immediately distribute emergency financial and non-financial assistance to the most vulnerable households, including 4Ps beneficiaries, as a form of social protection, "to save people's lives, provide subsistence, preserve employment, and affirm social solidarity."

II. OBJECTIVE

This supplemental guideline is being issued to clarify the provision of emergency subsidy to 4Ps households. Particularly:

1. Identify the 4Ps households eligible to receive the emergency subsidy.

2. Prescribe the amount of emergency subsidy per region based on the amounts indicated in MC 04, series of 2020 and in consideration of their cash grants and rice subsidy.

3. Clarify "expanded and enhanced" Pantawid Pamilyang Pilipino Program.

III. SUPPLEMENTAL GUIDELINES

1. All target 4.4 million households of 4Ps, including homeless street families, indigenous peoples, and families in need of special protection (FNSP), shall be the recipients of the emergency subsidy. The regional breakdown is as follows:

 

Table 1. 2020 Target Number of 4Ps Households by Region

Region	Target Households	Region	Target Households
NCR	227,341	VII	294,186
CAR	63,094	VIII	286,839
I	204,742	IX	323,074
II	106,212	X	272,074
III	297,237	XI	267,976
IV-A	325,640	XII	255,357
IV-B	200,534	CARAGA	189,279
V	378,232	BARMM	381,972
VI	325,411	Grand Total	4,400,000

 

2. Given the ongoing household replacement, in which some regions might exceed their targets, the excess households can still be covered since the National Program Management Office (NPMO) has a way of ensuring that the national coverage is kept well within 4.4 million households. Further, payroll processing is being done at the Central Office. The 4Ps NPMO is the one endorsing the list of 4Ps households to the Financial Management Service (FMS) for payroll processing.

3. The same amount of emergency subsidy based on Memorandum Circular 04, series of 2020, shall be provided to all 4Ps households. However, the cash grants and rice subsidies that they will get from 4Ps shall be deemed included already in the emergency subsidy that they will receive.

4. For households with children who do not have classes on April and May and will only receive health grants amounting to PhP750.00 and rice subsidy amounting to PhP600.00 or a total of PhP1,350.00 per household per month or PhP2,700.00 per household for two months, their emergency subsidy shall range from PhP3,650.00 to PhP6,650 per 4Ps household per month, depending on their region of origin. Refer to Table 2 for purposes of illustration:

 

Table 2. Emergency Subsidy for 4Ps Beneficiaries by Region

A Region	B Maximum Emergency Subsidy per 4Ps HH per month	C Less: 4Ps Health Grants (P750) and Rice Subsidy (P600)	D Emergency Subsidy per 4Ps HH for 2 Months (Apr-May)
NCR	8,000.00	6,650.00	13,300.00
CAR	5,500.00	4,150.00	8,300.00
I	5,500.00	4,150.00	8,300.00
II	5,500.00	4,150.00	8,300.00
III	6,500.00	5,150.00	10,300.00
IV-A	6,500.00	5,150.00	10,300.00
IV-B	5,000.00	3,650.00	7,300.00
V	5,000.00	3,650.00	7,300.00
VI	6,000.00	4,650.00	9,300.00
VII	6,000.00	4,650.00	9,300.00
VIII	5,000.00	3,650.00	7,300.00
IX	5,000.00	3,650.00	7,300.00
X	6,000.00	4,650.00	9,300.00
XI	6,000.00	4,650.00	9,300.00
XII	5,000.00	3,650.00	7,300.00
CARAGA	5,000.00	3,650.00	7,300.00
BARMM	5,000.00	3,650.00	7,300.00

 

5. For households with children enrolled in schools that adopted a different school year and have classes until May 2020, education grants shall be deemed included as well in the emergency subsidy that they will receive. Thus, Table 2 will not apply. The Financial Management Service shall adjust the amounts in column D, Table 2 to consider the education grants.

6. The 4Ps households, especially those with cash cards, shall therefore receive the emergency subsidy in full amount as top-up to their cash grants and rice subsidies. As such, other forms of assistance under MC 04, series of 2020, are deemed to have been provided already in principle and 4Ps households will no longer be eligible to other social amelioration measures covered by the said MC.

7. Unless modified, the top-up emergency subsidy shall be provided on a one-time basis during scheduled payouts for 2020 Period 2 covering months of April and May.

8. Meanwhile, for 4Ps households without cash cards, said emergency subsidy shall be provided through over the counter transaction at Landbank or through fund transfer to Local Government Units (LGUs) guided by M.C. No. 04, series of 2020, whichever is most efficient and applicable.

9. Conduct of payouts shall be carried out in accordance with the standing Memorandum of Agreement (MOA) between DSWD and Landbank of the Philippines (LBP). Payouts shall be done in strict observation of the physical distancing in support of the Enhanced Community Quarantine guidelines of the national government.

10. During the enhanced community quarantine period, 4Ps shall be "enhanced and expanded" through:

10.1. Suspension of the conduct of Family Development Sessions and other gatherings to support physical distancing during the enhanced community quarantine period.

10.2. Suspension of exit of household beneficiaries due to natural attrition, subject to adoption of a National Advisory Committee resolution, to ensure present 4Ps households who may have been affected by the lockdown shall continue to receive their cash grants, including the much-needed emergency subsidy.

10.3. Suspension of compliance monitoring due to force majeure as allowed under Section 11 of the 4Ps Act 5 and provision of cash grants in full amounts as allowed under Section 16 of the 4Ps Act Implementing Rules and Regulations, which states that full compliance with the 4Ps program conditions are deemed waived during force majeure and payments to household beneficiaries shall be given in full amount.

These measures are all consistent with the international experiences and response to COVID-19 such as anticipating payments of future cash transfer programs (Colombia and Indonesia); ensuring additional payments, often on a one-off basis (Argentina, Armenia, Australia, Turkey); providing more generous benefit levels (China); increasing the coverage of existing cash schemes (Brazil); and enhancing agility by suspending conditionalities (UK and Italy), and a universal, one-off cash payment to all citizens (Hong Kong and Singapore).

IV. INSTITUTIONAL ARRANGEMENTS

4Ps National Program Management Office

1. Provide the list of 4Ps household beneficiaries to Financial Management Service (FMS) through the Notice of Approved Payroll Action (NAPA).

2. Undertake information dissemination activities to inform the beneficiaries, staff, and other relevant stakeholders about the purpose, amount variabilities, and means of distribution (as top-up benefit) of emergency subsidy. For this purpose, caravans, meetings, and gatherings as means of information dissemination are prohibited to minimize close person to person physical contact.

Financial Management Service (FMS)

1. Compute the total amount to be provided to 4Ps households for 2020 Period 2 covering April and May. Such amount shall include: (i) 4Ps cash grants based on the NAPA to be provided by 4Ps NPMO and (ii) emergency subsidy per household based on the region of origin.

2. Coordinate with LBP on the early scheduling and conduct of payouts, as may be explored.

DSWD Field Offices

1. Work closely with LGUs and LBP servicing branches to ensure uninterrupted payouts with safeguard measures to prevent the contamination and spread of the corona virus (i.e., physical distancing, provision of alcohols, disinfectants and/or wash area, among others).

2. Collaborate with LGUs and DTI regional offices to ensure that markets are functioning, goods (food and non-food) are available and affordable for the 4Ps households. The purpose of the emergency subsidy is to provide financial assistance to the low-income households at a time when they are expected to have limited resources due to the lockdown.

V. REPEALING CLAUSE

All stipulations related to the provision of social amelioration benefits to CCT beneficiaries that are inconsistent with this circular are hereby superseded.

VI. EFFECTIVITY

This circular shall take effect upon signing and shall remain in full force so long as the M.C. No. 4, series of 2020 is in effect and shall be circulated to all DSWD Field Offices, Bureaus, Services, and Units.

Signed on 31st day of March 2020 in Quezon City, Philippines.

(SGD.) ROLANDO JOSELITO D. BAUTISTASecretary

 

Footnotes

1. Memorandum Circular 04, series of 2020 — Special Guidelines on the Provision of Social Amelioration Measures by the Department of Social Welfare and Development to the Most Affected Residents of the Areas under Community Quarantine and Continuation of the Implementation of the Social Pension for Indigent Senior Citizens and the Supplementary Feeding Programs.

2. Republic Act 11469 or "An Act Declaring the Existence of a National Emergency Arising from the Corona Virus Disease 2019 (COVID-19) Situation and a National Policy in Connection Therewith, and Authorizing the President of the Republic of the Philippines for a Limited Period and Subject to Restrictions, to Exercise Powers Necessary and Proper to Carry Out the Declared National Policy and for Other Purposes," otherwise known as the "Bayanihan to Heal as One Act."

3. Section 4 (c), RA 11469.

4. Section 4 (cc), RA 11469.

5. RA 11310 or An Act Institutionalizing the Pantawid Pamilyang Pilipino Program, otherwise known as the "4Ps Act."