Law Summary
Rationale for Merger and Reorganization
- LIVECOR no longer economically viable or self-reliant.
- Need for professionalized management and formal corporate personality for NLSF Management Committee.
- Medium Term Philippine Development Plan discourages creation of new government corporations.
- President’s continuing authority under 1987 Administrative Code to implement reorganization.
Merger and Corporate Formation
- NLSF and LIVECOR merged into a single non-stock, non-profit body corporate named Livecor.
- Livecor attached to LBP pursuant to RA 6657 mandate.
- NLSF employees absorbed and accorded benefits and privileges comparable to LBP employees, subject to Board-imposed conditions.
Mandate of Livecor
- Promote, generate, and develop livelihood and community-based enterprises, primarily in agri-business.
- Focus on Agrarian Reform Communities and low-income sectors.
- Administer livelihood programs funded by NLSF resources.
Capital Infusion
- Additional capital infusion of P100 million sourced from NLSF's accumulated earnings.
Board of Directors: Composition and Powers
- Policy-making body composed of:
- Secretary of Agriculture or designee as ex-officio Chairman.
- Executive Director of NLSF Secretariat as ex-officio Vice-Chairman.
- President’s nominee.
- Department of Agrarian Reform nominee (approved by President).
- Land Bank of the Philippines nominee (approved by President).
- Labor Sector representative (appointed by President).
- Department of Interior and Local Government nominee (approved by President).
- Board members serve one-year terms and hold over until successors qualify.
Officers of Livecor
- President of Livecor is the Executive Director of current NLSF Secretariat.
- Other officers (Vice-President, Treasurer, Secretary) elected by Board and approved by President.
Transfer of Administration and Assets
- Management of NLSF transferred from NLSF Management Committee to Livecor Board.
- All powers, functions, rights, duties related to NLSF programs, assets, liabilities, and records vested in Livecor Board.
Transfer Committee
- Composed of representatives from Agriculture Department, NLSF Secretariat, Office of the President, Department of Agrarian Reform, and LBP.
- Tasked with preparing measures for asset, liability, and program transfer within 30 days.
- Responsible for reporting to Presidential Management Staff within 30 days of Livecor reorganization.
Personnel Continuity and Options
- NLSF personnel performing transferred functions absorbed by Livecor.
- Personnel may opt for retirement or separation with entitlement to lawful benefits.
- Same conditions applied to LIVECOR personnel.
Funding and Operating Expenses
- Operating expenses charged against NLSF income and liquidation of LIVECOR assets.
Continuity of Existing Rules and Policies
- Existing policies and guidelines governing functions transferred to Livecor remain in effect until amended.
Repealing Clause
- All inconsistent prior executive issuances, rules, or regulations repealed or modified to conform with this Order.
Effectivity
- The Executive Order takes effect immediately upon issuance.