Question & AnswerQ&A (LETTER OF INSTRUCTIONS NO. 1030)
The purpose is to establish the implementing machinery and mechanism for the utilization of economic assistance proceeds from the Military Bases Agreement between the United States and the Philippines.
The Military Bases Agreement of 1947, as amended in 1979, provides the basis for the economic assistance to Philippine development programs.
The Bagong Lipunan Sites and Services Program is specifically prioritized for the utilization of ESF proceeds.
The President of the Philippines has the authority to approve the allocation and utilization of ESF proceeds pursuant to Section 14, General Provisions of the General Appropriations Act of 1980.
The ESF proceeds are treated as a Special Account in the Treasury of the Philippines, with certain provisions of P.D. 1177 and LOI 981 not applying.
The MAC is a committee created to advise the President on the allocation and utilization of the ESF proceeds. It determines eligible projects, programs allocation, represents government dealings with USAID, and submits utilization plans and reports to the President.
The Minister of Human Settlements chairs the Management Advisory Committee.
Members include the Ministers of Defense, Industry, Budget, Public Works, Education and Culture, Economic Planning, and Agriculture.
The MAC determines eligible development projects, programs ESF allocation, represents the Philippine government in ESF dealings with the USA, submits utilization plans for approval, prepares counterpart requirements, and submits accomplishment reports to the President.
Yes, pertinent provisions of P.D. 1177 (Sections 40, 50 and 51) and LOI 981 shall not apply to the ESF proceeds.