Republic of the Philippines

CITY OF DAVAO
Office of the City Council
COMMITTEE ON RULES, PRIVILEGES, LAWS AND ORDINANCES

COMMITTEE REPORT ON ITEM NO. 1624

PROPOSED MEMORANDUM OF AGREEMENT (MOA) TO BE ENTERED
INTO BETWEEN THE DEPARTMENT OF INTERIOR AND LOCAL
GOVERNMENT (DILG) AND THE CITY GOVERNMENT OF DAVAO FOR THE
IMPLEMENTATION OF THE PERFORMANCE CHALLENGE FUND (PCF).
Background
1. This pertains to the Proposed Memorandum of Agreement to be entered into by and
between the Department of Interior and Local Government (DILG) and the Local
Government Unit of Davao for the implementation of the Performance Challenge Fund
(PCF);
Highlights
2. The Performance Challenge Fund (PC Fund) is a program of the Department of Interior
and Local Government (DILG) with the aim to help stimulate LGUs to put a premium on
transparency and accountability. It is an incentive fund to eligible LGUs to financial
support to jumpstart and sustain local socioeconomic development initiatives supportive
of national government goals and priorities;
3.

During the committee hearing to which Director Merilo Limbaro of the City DILG
attended, it was explained that the City Government of Davao has been awarded the
Seal of Good Local Governance (SGLG) for two (2) consecutive calendar years (CY)
under this program. The first was awarded in CY: 2012 which entitled the City to receive
the PC Fund Subsidy in the amount of Three Million Pesos (P 3,000,000.00). For CY:
2015, the City was again awarded the PC Fund Subsidy in the amount of Five Million
Pesos (P 5,000,000.00);

4.

Director Limbaro however explained that, the PC Fund for CY: 2015 cannot be
implemented until after the previously awarded PC Fund for CY: 2012 shall have been
liquidated;

5.

The Committee then instructed the City Planning and Development Office (CPDO),
represented by Mr. Rodolfo C. Arsua, to come up with a Project which is in line with the
Philippine Development Plan 2011-2016;

6.

To be an eligible project for the PC Fund, it must be such as those achieving the
Millennium Development Goals (MDGs), to wit; (1) preparedness in disasters and
adaptation to climate change; (2) sustainable environment management; (3) local
economic development; and (4) transparent and accountable local governance;

6.

The City is given one (1) year from the date of receipt of the Notice to Implement (NTI)
signed by the DILG Regional Director to implement the PCF for CY 2015, or one (1) year
from September 15, 2015;

7.

It is then important that this item be approved.

Recommendation

In view of the aforementioned facts, this Committee recommends the passage of a

resolution entitled A Resolution To Enact An Ordinance Granting Legislative Authority To City
Mayor Rodrigo R. Duterte To Sign For And In Behalf Of The City Government Of Davao The
Memorandum of Agreement (MOA) To Be Executed Between the City Government of Davao
and the Department Of Interior And Local Government For The Implementation of The
Performance Challenge Fund (PCF).
RESPECTFULLY SUBMITTED this _________ in the City of Davao, Philippines.

Item 1624/Committee on Rules, Privileges, Laws And Ordinances

SIGNED BY THE SUB-COMMITTEE MEMBERS:

COMMITTEE ON RULES, PRIVILEGES, LAWS AND ORDINANCES

HON. BERNARD E. AL-AG

Chairperson

HON. BONIFACIO E. MILITAR

S. ALEJANDRE
Vice Chairperson

HON. KARLO S. BELLO

LIBRADO
Member

Item 1624/Committee on Rules, Privileges, Laws And Ordinances

HON. AL RYAN
Member

HON. LEAH A.
Member

17th Legislative Body

____ Regular Session
Series of 2016
Republika ng Pilipinas
SANGGUNIANG PANLUNGSOD
Lungsod ng Dabaw
_____________________________________________________________________________________
RESOLUTION NO. __________
A RESOLUTION TO ENACT AN ORDINANCE GRANTING AUTHORITY TO CITY MAYOR
RODRIGO R. DUTERTE TO SIGN, FOR AND IN BEHALF OF THE LOCAL GOVERNMENT
UNIT OF DAVAO, THE MEMORANDUM OF AGREEMENT (MOA) TO BE EXECUTED
BETWEEN THE DEPARTMENT OF INTERIOR AND LOCAL GOVERNMENT UNIT (DILG)
AND THE CITY GOVERNMENT OF DAVAO FOR THE IMPLEMENTATION OF THE
PERFORMANCE CHALLENGE FUND (PCF).
WHEREAS, this is a Resolution to enact an Ordinance granting authority to the City Mayor
to sign and enter into a Memorandum of Agreement (MOA), for and in behalf of the Local
Government Unit (LGU) of Davao to be executed between with the Department of Interior
and Local Government (DILG) and the Local Government Unit (LGU) of Davao for the
implementation of the Performance Challenge Fund (PCF);
WHEREAS, the Performance Challenge Fund (PCF) for the Local Government Units is a
flagship program of the DILG that serves as a facility to help stimulate LGUs that put a
premium on transparency and accountability;
WHEREAS, the Performance Challenge Fund (PCF) is an incentive fund to eligible LGUs to
support the implementation of high-impact capital investment projects in the Annual
Investment Program (AIP) along the areas of: (1) Good Financial Housekeeping, (2) Disaster
Preparedness, (3) Social Protection, (4) Business Friendliness and Competitiveness, (5) Peace
and Order and (6) Environment Management;
WHEREAS, the City of Davao has been awarded the Seal of Good Local Governance
(SGLG) thereby entitling the City to receive the PC Fund Subsidy amounting to a maximum
of Five Million Pesos (P5,000,000.00) ;
WHEREAS, the Local Government Units (LGUs), as provided under the Local Government
Code of 1991 or Republic Act 7160, assume primary responsibility of providing basic services
and facilities and the implementation of quality of life of their constituents through the
implementation of these programs and projects;
NOW THEREFORE, be it resolved as it is hereby resolved TO ENACT AN ORDINANCE
GRANTING AUTHORITY TO THE CITY MAYOR OR HIS DULY AUTHORIZED REPRESENTATIVE TO
SIGN, FOR AND IN BEHALF OF THE LOCAL GOVERNMENT UNIT OF DAVAO, THE
MEMORANDUM OF AGREEMENT (MOA) TO BE EXECUTED BETWEEN THE DEPARTMENT OF
INTERIOR AND LOCAL GOVERNMENT UNIT (DILG) CITY GOVERNMENT OF DAVAO FOR THE
IMPLEMENTATION OF THE PERFORMANCE CHALLENGE FUND (PCF);
RESOLVED FURTHER, that copies of this Resolution be furnished to the Office of the City
Mayor through the City Administrators Office, the Office of the Vice Mayor, Department of
Interior and Local Government (DILG) and all other offices/departments concerned, for their
information, guidance and appropriate action.
ADOPTED, this ___________________, in the City of Davao.

DR. BERNARD E. AL-AG

Floor Leader, 17th Council

Sangguniang Panglungsod ng Dabaw

17th Legislative Body

____ Regular Session
Series of 2016

Item 1624/Committee on Rules, Privileges, Laws And Ordinances

Republika ng Pilipinas
SANGGUNIANG PANLUNGSOD
Lungsod ng Dabaw
ORDINANCE NO. _______
Series of 2016
AN ORDINANCE GRANTING AUTHORITY TO CITY MAYOR RODRIGO R.
DUTERTE TO SIGN, FOR AND IN BEHALF OF THE LOCAL GOVERNMENT UNIT
OF DAVAO, THE MEMORANDUM OF AGREEMENT (MOA) TO BE EXECUTED
BETWEEN THE DEPARTMENT OF INTERIOR AND LOCAL GOVERNMENT (DILG)
AND THE CITY GOVERNMENT OF DAVAO FOR THE IMPLEMENTATION OF THE
PERFORMANCE CHALLENGE FUND (PCF).
Be it ordained by the Sangguniang Panlungsod of Davao City in session
assembled that:
SECTION 1. TITLE This ordinance shall be known as AN ORDINANCE
GRANTING AUTHORITY TO CITY MAYOR RODRIGO R. DUTERTE TO SIGN, FOR AND IN
BEHALF OF THE LOCAL GOVERNMENT UNIT OF DAVAO, THE MEMORANDUM OF
AGREEMENT (MOA) TO BE EXECUTED BETWEEN THE DEPARTMENT OF INTERIOR
AND LOCAL GOVERNMENT (DILG) AND THE CITY GOVERNMENT OF DAVAO FOR THE
IMPLEMENTATION OF THE PERFORMANCE CHALLENGE FUND (PCF).
SECTION 2. DECLARATION OF POLICY - Section 455, (b) (1) (vi) of the
Local Government Code provides, to wit:
For efficient, effective and economical governance the purpose of
which
is the general welfare of the city and its inhabitants pursuant to Section 16 of this
Code, the city mayor shall represent the city in all its
business
transactions
and sign in its behalf all bonds, contracts, and
obligations, and such other
documents upon authority of the
Sangguniang Panlungsod or pursuant to law
or ordinance;
SECTION 3. MEMORANDUM OF AGREEMENT The Memorandum of
Agreement (MOA) will be executed by and between the City Government of Davao,
represented by the City Mayor, Hon. Rodrigo R. Duterte and the Department of
Interior and Local Government (DILG), represented by Director Merilo Limbaro. It
embodies the implementation of the Performance Challenge Fund (PCF) for CY:
2015.
SECTION 4. AUTHORITY The City Mayor Rodrigo R. Duterte is hereby
granted legislative authority to sign, for and in behalf of the City Government of
Davao, the Memorandum of Agreement (MOA) to be executed between the City
Government of Davao and the Department of Interior and Local Government (DILG)
for the implementation of the Performance Challenge Fund (PCF) CY: 2015.
SECTION 5. SEPARABILITY CLAUSE If for any reason, any section or
provision of this ordinance is declared unconstitutional or invalid, other sections or
provisions hereof not affected by such declaration shall continue to be in full force
and effect.
SECTION 6. EFFECTIVITY CLAUSE This Ordinance shall take effect
immediately upon approval.
ENACTED, ___________, by a majority vote of all the Members of the
Sanggunian present.

Item 1624/Committee on Rules, Privileges, Laws And Ordinances