2.0 Procedures

 2.1 Project Review Processes and Procedures

Projects proposed for RPDMF assistance shall undergo the following approval process:

-         Screening

-         Evaluation

-         Prioritization

-         Approval

-         Releases/Payments

-         Tendering (when applicable)

An elaboration of each stage follows:

2.1.1 Screening

    The first stage of the review process is the screening of the proposal(s) as to its eligibility and consistency with limits set by the Project Management Unit, viz:

a)     Eligibility of the Proponent LGU (capability in undertaking the project)

b)     Eligibility of the Project

c)      Consistency with the development thrusts

d)     Endorsement

    The Local Development Council (LDC) should endorse the project. Should there be more than one (1) proposal from an LGU, the endorsement should be according to their respective priority. In cases where the proponent is not an LGU, an endorsement from the beneficiary LGU thru the Local Development Council (LDC) shall be required, indicating among others, the support of the LGU/LDC to the project. For inter-municipal projects/provincial projects, beneficiary LGUs (within the framework of 4^th-6^th class income) must also endorse the project to the PDC. This set-up shall conform to the counterparting scheme of LGUS involved.

2.1.2 Evaluation

The evaluation process shall adhere to the demand-driven principles (i.e., proposals to be funded are those identified by the beneficiaries or stakeholders themselves). Yet, the process shall also reckon with some areal and sectoral ceilings.

    Each province/city of the region will be provided with a project fund ceiling. The allocation of the fund to each province/city would generally be based on population and poverty incidence. Allocable sectoral funds for each province or city will be based mainly on the needs of the province for social services delivery, resources generation (economic projects), support infrastructure, among others. The following criterion will be utilized in the determination of the allocable block per province/city:

1 - Based on NSCB 1994 figures

2 - Based on NSO 1995 Census

3 - Computed on weighted poverty incidence and population. Assigned weights are 60% for poverty incidence and 40% for population.

Similarly, sixty-percent (60%) of the RPDMF IX will be the LGUs (province) allocation, while the remaining forty-percent be set aside and shall be subjected to overbooking/competition principle.

The basis of project funds allocation within a province or city (i.e., between municipalities for provinces and barangays for the city) would be based on mainly on MBN results for social-related projects and level of financial resources of the municipality for economic (resource–generation) projects. Likewise, a rating criterion for allocation of funds across eligible municipalities will be utilized.

The PMU, with direction from the Directors, shall evaluate the merit and soundness of the project proposals. Basically, the evaluation shall be undertaken based on the Terms of Reference (TOR) submitted.

The TOR shall clearly and adequately define the objectives, scope and expected outputs of the proposed work, the expected time frame, financial requirements and the functions and duties to be assigned to the person/entity who will undertake the study, master plan, etc.

The TOR shall also indicate the minimum requirements for the consultant (if the project will be contracted out) especially on the expertise desired and qualification of individual personnel necessary for the undertaking. The TOR will be supplemented by additional information, such as summary of data, facilities, and services, which will be provided by the consultants to the proponent, evaluation rating sheets of contractors/consultants and profile of each of the contractor/consultant who bidded to undertake the project.

Upon review and evaluation, the gaps shall be communicated to the proponent for their consideration and enhancement of the proposal(s). If the evaluation is positive, the project shall be included in the prioritization stage.

2.1.3 Prioritization

Prioritization of the proposals would be based, among others, on the number of beneficiaries served, institutional capability, consistency with the Local Plan, and project cost counterparting.

Projects designed towards 6^th income class LGUs beneficiaries shall be given top priority without prejudice to the type of project. Should there be instances wherein projects (both from 6^th income class LGUs) are vying for PDMF assistance, projects that are aimed at increasing the local revenue resource base will be given preference (e.g., public markets, feeder ports, bus terminals, etc.), given the rationale that the LGU will be enabled to increase its financial base.

2.1.4 Approval

The PMU-TWG, after review and evaluation, shall recommend to the Project Director the proposals according to priority. Upon approval of the proposal, the Proponent LGU shall then be informed to prepare the necessary requirements- MOA, Sangguniang Bayan Resolution authorizing the Mayor to enter into a MOA with NEDA, and machine-validated bank certificate showing that the local counterpart funds have been deposited in a government depository bank. A notice to commence shall then be issued to the LGU who in turn will inform the contracting consultant to proceed with the project.

2.1.5 Releases/Payments

Upon completion of the required documents, the Proponent LGU shall utilize its counterpart (15%- 4^th Class municipalities, 10%-5^th class municipalities; 7.5%-6^th class municipalities) for project mobilization. Thereafter, the LGU shall notify the PMU that the project has commenced, attaching the duly notarized contract, and receipts of payment for mobilization activities.

2.1.6 Tendering (when applicable)

The NRO shall ensure that the method of tendering shall adhere to the NEDA Board-Approved Guidelines on the Procurement of Consulting Services for Government Projects (Implementing Rules and Regulations).