Law Summary
Objective of the Guidelines
- Sets procedures for the operationalization of the AWQMF for each designated WQMA.
Scope and Coverage
- Applies to all AWQMF designated in all WQMAs.
- Supports maintenance, management, and protection of water bodies within WQMAs.
Definitions of Key Terms
- Accrual: Acquisition of fees and charges.
- AWFP: Annual Work and Financial Plan detailing activities and funding.
- Eligible Entities: Registered POs, NGOs, private sector, NGAs, LGUs, PAWBs, councils with management authority.
- Fund Code: Special Account code assigned to AWQMF.
- Goods: Supplies and services excluding consulting and infrastructure for WQMA projects.
- Infrastructure Projects: Construction and maintenance projects related to water management.
- Rural Areas: Non-urbanized localities under the Local Government Code.
- Sub-Fund Code: Account codes for specific AWQMFs assigned by DENR-EMB.
- Wastewater Charge (WWC): Fees based on wastewater discharge as per RA 9275.
Operational Establishment of AWQMFs
- DBM designates the Fund Code for AWQMF Special Account in the Bureau of the Treasury.
- EMB-CO assigns Sub-Fund Codes to each WQMA.
- Sub-Fund Codes are provided to DENR-EMB Regional Offices for remittance.
Administration and Management
- AWQMF administered by WQMA Governing Board (GB).
- A Fund Committee of five members from WQMA GB including LGUs, NGOs, NGAs, and industries is created.
- Administrative and Finance Group (AFG) manages daily operations.
- Use and disbursement based on AWFP.
- AFG handles planning, budgeting, accounting, fund management, fundraising, and administration.
Sources of AWQMF Funding
- Fines from rural establishments before RA 9275 effectivity.
- Fees from Wastewater Charge system.
- Donations, grants, and endowments.
- Collections from loans to eligible entities.
Collection of Fees and Receipts
- EMB cashiers act as Special Collection Officers (SCOs).
- SCOs collect WWC and issue official receipts showing fund accrual.
- All collections deposited daily to accredited government banks.
- Accounting unit records deposits and reports collections to WQMA GB and authorities.
Handling of Fines and Collections Prior to WQMA Designation
- EMB Regional Offices authorized to collect fees and fines in rural areas before WQMA designation.
- Collection data must include payer names and locations for accurate AWQMF accrual.
- Funds transferred to appropriate AWQMF upon WQMA designation.
Permissible Uses of AWQMF
- Rewards and incentives for effluent quality better than standards.
- Loans for wastewater reduction facility acquisition and repair.
- Maintenance of water bodies aligned with LGU compliance plans.
- Purchase of water quality monitoring equipment.
- Costs for public campaigns and events related to water quality.
- Operational expenses of WQMA GB capped at 10% of prior year’s balance.
- Allocation of a percentage for grants and loans to eligible projects.
- 15% of annual AWQMF disbursements dedicated to support EMB-RO activities.
AWQMF Planning Process
- Fund Committee drafts Annual Work and Financial Plan (AWFP) aligned with 10-year WQMA Action Plan.
- Eligible entities submit funding requests to Fund Committee, forwarded with priority assessment to WQMA GB.
- WQMA GB reviews, approves, and submits AWFP to EMB Director.
- Approval by EMB Director ensures conformity with Water Quality Management Framework.
- Approved AWFP underpins Special Budget Requests to DBM.
- Releases made by DBM to WQMA GB through EMB Regional Office.
Fund Availment and Release Procedures
- Fund Committee prepares Special Budget Request with documentation:
- Approved AWFP with expenditure breakdown
- Cash program
- Previous accomplishments
- Updated trial balance
- Supporting management plans and resolutions
- Treasury certification of fund availability
Criteria for Grants and Rewards
- EMB formulates procedures and sets criteria for grants, rewards, and loans.
- WQMA GB may impose counterpart or maximum contribution requirements from applicants.
Procurement Regulations
- Infrastructure, goods, and consulting procurement governed by RA 9184 and DENR Customized Procurement Manual.
- Foreign-funded procurements governed by RA 9184 Part B IRR.
Roles and Responsibilities
- WQMA GB: Approves AWFP, supervises Fund Committee, prioritizes fund use, administers fund, maintains accounts, and reports annually.
- EMB-CO: Assigns sub-Fund Codes.
- EMB Regional Offices: Collect fees, report collections to WQMA GB.
- DBM: Designates Fund Code, issues Budget Release and Cash Allocation orders.
Auditing and Accountability
- AWQMF transactions subject to government auditing rules.
- Annual audit by WQMA’s elected auditor.
- Audit report submitted within 30 days after fiscal yearend.
- WQMA GB members accountable to their board and offices for AWQMF use.
Reporting Requirements
- WQMA GB prepares annual financial and accomplishment reports detailing funded projects and water quality improvements.
- Reports transmitted via board resolution to EMB Director and DENR Secretary.
Separability Clause
- Unconstitutional or invalid provisions do not affect the rest of the Order’s validity.
Repealing Clause
- Rule 10 of DENR Administrative Order 2005-10 is repealed.
- Inconsistent orders and circulars are also repealed or modified accordingly.
Effectivity
- The Order takes effect 15 days after publication and upon receipt by the Office of the National Administrative Register (ONAR).