National Policy Roll-Out of the

Operational Guidelines on the

Implementation of the FY 2022
Seal of Good Local Governance
Incentive Fund
February 9, 2023
9:00 AM – 12:00 NN
Zoom Online Conference
 Reminders
Participants are advised to rename using the format: DILG Office –
Name (e.g., DILG-BLGD Juan Dela Cruz or DILG -Juanna Dela Cruz)

Keep your microphones muted so as not to capture background

noises.

Use the Chatbox or the “Raise Hand” Button for questions and to
prompt the secretariat should you wish to say something.

This activity will be recorded for documentation purposes.

All presentation materials and recording will be shared to all

participants.
 Reminders
Participants are advised to rename using the format: DILG Office –
Name (e.g., DILG-BLGD Juan Dela Cruz or DILG -Juanna Dela Cruz)

Keep your microphones muted so as not to capture background

noises.

Use the Chatbox or the “Raise Hand” Button for questions and to
prompt the secretariat should you wish to say something.

This activity will be recorded for documentation purposes.

All presentation materials and recording will be shared to all

participants.
 Agenda
I. PRELIMINARY ACTIVITIES HEIDI S. PILAPIL
- Prayer PCF/SGLG IF Team, BLGD - LADD
- Acknowledgement of Participants

II. WELCOME REMARKS ANNA LIZA F. BONAGUA

Director -BLGD
III. OVERVIEW OF THE ACTIVITY JAN MARLON EROLES
PCF PMO BLGD
ENGR. VINCENT A. MALAVI
PCF/SGLG IF Team, BLGD – LADD
IV
OVERVIEW OF THE PCF | MS. NATHALIE FAYE A. VILORIA
SGLG INCENTIVE FUND OPERATIONAL GUIDELINES PCF/SGLG IF Team, BLGD - LADD

MR. Mark Benedict D. Jarabese

PCF/SGLG IF Team, BLGD - LADD
V FREQUENTLY ASKED QUESTION | QUESTIONS AND ANSWERS BLGD-LADD Secretariat

VI CLOSING REMARKS JOSELITO S MAGUMUN

OIC ADC-BLGD
WELCOME REMARKS
01

ANNA LIZA F. BONAGUA, CESO III

Director, Bureau of Local Government
Development, DILG
OVERVIEW OF THE ACTIVITY
NATIONAL ROLL-OUT OF THE OPERATIONAL GUIDELINES ON THE IMPLEMENTATION OF THE FY
2022 SEAL OF GOOD LOCAL GOVERNANCE INCENTIVE FUND
February 9, 2022 / Zoom Online Conferencing
BACKGROUND
The Birth of a paradigm Program – The Performance Challenge
Fund
– During its kick-off stage in 2010, a total of 30 Million pesos sourced from the
Department’s savings was released to 30 Pilot LGUs with 1 Million pesos
each.
– A year after, the PCF was allocated with 500 Million pesos under the General
Appropriations Act (GAA) of 2011 cognizant of the success of the project’s
initial implementation and the promise that it holds.
– Throughout the years, the PCF has continued to evolve alongside the
LGPMP. Guidelines for operations were updated annually to make sure
that the program could adapt to developments and adjust based on
learnings and experiences from PCF implementation.
Background
• FY 2015 onwards- PCF was provided to the LGUs that pass
the SGLG
• with 6 areas of assessment
• Good Financial Housekeeping
• Disaster Preparedness
• Social Protection
• Peace and Order
• Environmental Management
• Business Friendly and Competitiveness
 SEAL OF GOOD LOCAL GOVERNANCE (SGLG) SGLG IF
2022
SEAL OF GOOD PCF PCF PCF P: 9.5M
HOUSEKEEPING P: 7M P: 3M P: 4.5M C: 7M
(SGH) C: 5M C: 2.4M C: 3.5M M: 5M
PCF (P,C,M): 7M, 3M, M: 3M M: 2M M: 352 Passers
1M 2.3M

2011 2013 2015 2017 2019 2022

2012 2020-202
2014 2016 2018 1

GFH/SGL PCF PCF COVID-19

PANDEMIC
PCF: DILG G P: 4M P: 7M
(No SGLG
2010 SAVINGS (M) PCF C: 3.4M C: 5.1M
Assessment
1M P: 7M M: 3M M:
C: 3M 3.2M / SGLGIF)
M: 1M
BACKGROUND
The SGLG Incentive Fund was
institutionalized further by virtue of RA
11292 otherwise known as the Seal of
Good Local Governance Act of 2019,
and became a flagship Local Government
Development Program managed by the
Council of Good Local Governance
(CGLG).
BACKGROUND

•Council of Good Local Governance

o Department of the Interior and Local Government;
o Department of Budget and Management;
o Department of Finance;
o Department of Social Welfare and Development;
o Department of Education;
o Department of Tourism;
o Department of Environment and Natural Resources;
o National Economic and Development Authority;
o Office of Civil Defense; and
o National Anti-Poverty Commission
BACKGROUND
Program Coverage
•Primarily, LGUs conferred with the Seal of Good Local
Governance (SGLG) will be eligible to receive the SGLG
Incentive Fund, by passing the following 10 areas under the
SGLG Assessment criteria in accordance to RA 11292
1. Good Fiscal or Financial Administration or Financial Sustainability
2. Disaster Preparedness
3. Social Protection and Sensitivity Program
4. Health Compliance and Responsiveness
5. Programs for Sustainable Education
6. Business Friendliness and Competitiveness
7. Safety, Peace and Order
8. Environmental Management
9. Tourism, Heritage Development, Culture and Arts
10. Youth Development
DILG MC OPERATIONAL GUIDELINES ON THE IMPLEMENTATION OF THE FY 2022 SEAL OF GOOD
2023-01 LOCAL GOVERNANCE INCENTIVE FUND

PURPOSE OF THE MC
• To prescribe general policies and procedures in the
implementation of the SGLGIF in 2022.
• It serves as a guide to the following:
• SGLG Incentive Fund LGU beneficiaries to be able to
effectively and efficiently implement their respective
program-funded projects;
• DILG on the management of SGLG Incentive Fund which
includes release of financial subsidy, monitoring and
reporting; and
• Other concerned stakeholders.
DILG MC THE LONG & ARDUOUS JOURNEY OF THE FIRST EVER SGLGIF OPERATIONAL GUIDELINES:
2023-01 FROM FORMULATION TO ROLL-OUT
Drafting Editing and Consolidation Roll-out

Today
SEP JAN
2022 2023

AUG NOV FEB

2022 2022 2023

Circulation (for comments) Approval and Recording

 WHAT TO EXPECT
Detailed discussion of the Operational Guidelines

Question and Answer

BUREAU OF LOCAL GOVERNMENT DEVELOPMENT

DILG MC OPERATIONAL GUIDELINES ON THE IMPLEMENTATION OF THE FY 2022 SGLGIF
2023-01 NATIONAL ROLL-OUT

WHAT WILL YOU GAIN?

• Knowledge of the Seal of Good Local Governance

Incentive Fund

• Expertise in the Operational Guidelines

• Familiarity with the related laws

• Skill set relative to the implementation of the Operational

Guidelines
DILG MC OPERATIONAL GUIDELINES ON THE IMPLEMENTATION OF THE FY 2022 SGLGIF
2023-01 NATIONAL ROLL-OUT

OBJECTIVES
At the end of the activity, participants are expected to:

Obtain
Obtain expertise in Develop an aligned
knowledge
the Operational roll-out plans for
about the SGLG
Guidelines their respective
Incentive Fund
regions
“Operational Guidelines on the Implementation
of the FY 2022 Seal of Good Local Governance
Incentive Fund”

Engr. Vincent A Malavi || Mr. Mark Benedict D. Jarabese || Ms. Nathalie Faye A. Villoria
PCF/SGLG IF Team, BLGD-LADD
3. Scope/Coverage
• All DILG Regional/Provincial/City Directors
• Cluster Leaders
• City and Municipal Local Government Operations Officers (LGOOs/MLGOOs)
• Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) Chief Minister
• Governors and Mayors of SGLG Incentive Fund Recipient LGUs
• Others concerned.
4. Legal Bases/References

• Section 28, Chapter 4, Book VI of Executive Order No. 292, s. 1987, Reversion of Unexpended
Balances of Appropriations, Continuing Appropriations.—
• Republic Act 7160 - Local Government Code of 1991
• COA Circular No. 2016-003 dated August 16, 2016
• DBM Budget Circular No. 2016-5 dated August 22, 2016
• DBM BC No. 2019-2 dated March 4, 2019
• DBM BC No. 2019-3 dated May 16, 2019
• RA 11292 - SGLG Act of 2019
• RA 9184 – Government Procurement Reform Act and its Implementing Rules and Regulations
(IRR)
• General Appropriations Act of the Current Year under the Local Government Performance Oversight
and Recognition and Incentives Program of the Department of the Interior and Local Government

Link: http://bit.ly/3x1FmFJ
5. Guiding Principles

• Support the government’s advocacy of improving overall LGU performance in

governance and delivery of basic services;
• Expand opportunities for performing LGUs to accelerate local inclusive
development, giving constituencies better access to education, health care,
and tourism development among others;
• Foster and sustain cooperation among government stakeholders,
development partners, NGOs, and CSOs to influence greater LGU
performance;
• Enhance the LGU’s program/project conceptualization, implementation,
monitoring and evaluation;
6. Policy Content and Guidelines

Prohibitions on Validity of
Eligibility
the Use of Implementation
Requirements SGLG
SGLG Procedures
Incentive Fund
Incentive Fund

Transparency in
Fund Monitoring and the
Management Reporting Implementation
of Projects
6.1. Eligibility Requirements

LGUs that passed the Seal of Good Local Governance

(SGLG) for the current year

No pending (on-going and not-yet-started) PCF/SGLGIF

project/s during the previous years

Proposed SGLGIF project is included in their LDIP

6.1. Eligibility Requirements

2. Eligible Projects

Financial Health
Social
Administration Protection Compliance
Disaster
or Fiscal and and
Preparedness Responsive
Sustainability Sensitivity
Program ness
6.1. Eligibility Requirements
2. Eligible Projects

Program and Business

Friendliness Safety, Environmental
Sustainable
and Peace and Management
Education
Competitive Order
ness
6.1. Eligibility Requirements

2. Eligible Projects

Tourism,
Heritage Youth
Development, Development
Culture and
Arts
6.2. Prohibitions on the Use of SGLG Incentive Fund
The SGLG Incentive Fund shall not be utilized for the following:

● Project capacity development;

● Financing of micro credits and loans;
● Administrative expenses such as cash gifts, bonuses, food
allowance, medical assistance, uniforms, supplies, petroleum
products
● Travelling expenses, whether domestic or foreign;
● Registration or participation fees on training, seminars,
convention;
● Construction, repair or refurbishing of administrative offices;
6.2. Prohibitions on the Use of SGLG Incentive Fund

The SGLG Incentive Fund shall not be utilized for the

following:

● Renovation, maintenance, repair, or refurbishing of

current/existing projects;
● Purchase of administrative office furniture, fixtures,
equipment or appliances;
● Purchase of Lot;
6.2. Prohibitions on the Use of SGLG Incentive Fund
The SGLG Incentive Fund shall not be utilized for the
following:

● Purchase, maintenance or repair of any motor vehicle

and
● Loan Guarantee.

Note: The proposed project to be funded by the SGLG

Incentive Fund must be new, whole, and single project and
not a component of other projects. Also, no inter-agency or
LGU/NGO/Private counterpart for SGLG Incentive Fund
Projects is allowed.
Definition of New, Whole, and Single Project

● The Proposed Project must be “New

Construction”

● The Proposed Project must be “Whole

Structure Project”

● The Proposed Project must be “ Single

Project”
6.3. Validity of SGLG Incentive Fund
The SGLG Incentive Fund will be valid for utilization by recipient LGUs for
the Whole Fiscal Year. Any unutilized funds must be reverted to the
National Treasury per the following:

• For Cancelled Funds

a) No Notice to Implement Secured - If in case before December
31, 2023, an LGU recipient determines that the funds can no
longer be utilized .
6.3. Validity of SGLG Incentive Fund
The SGLG Incentive Fund will be valid for utilization by recipient LGUs.
Any unutilized funds must be reverted to the National Treasury per the
following:
• For Cancelled Funds

b) Notice to Implement has been Secured with no Implementation

- If in case within nine (9) months after receipt of Notice to
Implement, an LGU fails to begin the implementation of the
project, the whole amount received by the said LGU shall be
immediately reverted to the National Treasury.
6.3. Validity of SGLG Incentive Fund

The SGLG Incentive Fund will be valid for utilization by

recipient LGUs. Any unutilized funds must be reverted to the
National Treasury per the following:

• For Unexpended Funds - Any unutilized funds for

completed projects upon payment of the final billing,
including liquidated damages, shall be reverted to the
National Treasury.
 6.3. Validity of SGLG Incentive Fund

6.4. Timeline of SGLG Incentive Fund

Handling of LGUs must LGUs with NTI but

Check to no LGUs with
Secure NTI
LGUs implementation NO NTI

Submission of Project Proposal

December
Day 1 3 months 9 months
31, 2023

Revert to Revert to
National National
Treasury Treasury
6.4. Implementation Procedures

1. Issuance of Notice of Eligibility

The Ad Referendum Resolution

No. 4 issued on December 20,
2022, with the attached list of
recipient LGUs, Recommending
the CY 2022 Seal of Good Local
Governance-Incentive Fund
(SGLG-IF) Financial Subsidy
Package shall be deemed to
temporarily replace the Notice of
Eligibility for CY 2022.
6.4. Implementation Procedure

Administrative documents requirements

prior handling the PCF/SGLG Incentive
Fund Check
• Menu/Checklist of Projects (Annex
B)
• Certified True Copy of the
Operational Local Development
Investment Program
(LDIP)/Provincial Development
Investment Program (PDIP)
• A Government Bank Certificate
stating that the LGU has an
existing Trust Account
6.4. Implementation Procedures

3. Conduct of Regional Orientation

• The following officials shall attend the Regional Orientation, or
his/her representative who should provide a coaching or
re-echoing of the orientation on the SGLG Incentive Fund
Guidelines whenever necessary: Concerned LCEs, Engineers or
Budget Officer, Planning Officers or Accountants
• Concerned DILG Provincial/City Directors;
• Concerned DILG Cluster Leaders;
• Concerned City/Municipal Local Government Operations
Officers (C/MLGOOs); and
• Concerned Provincial Focal Persons.
 6.4. Implementation Procedures

4. Submission of Complete Administrative Documents

PRIOR the Issuance of Notice to Implement
Document Infrastructure Non-Infrastructure
Project
1 Project Proposal (Annex C) YES YES
• Administrative/Executive Order creating the LGU
SGLG Incentive Fund Project Implementation
Unit/Team (Annex M);
• Program of Works with Detailed Estimates and YES NO
Quantity Take-off;
• Detailed Engineering Design (DED);
• Bar chart/S-curve
• Billboards and Safety Signages;
• One (1) Picture of the proposed site (in
high-resolution geotagged photos taken).
 6.4. Implementation Procedures

4. Submission of Complete Administrative Documents

PRIOR the Issuance of Notice to Implement
Document Infrastructure Non-Infrastructure
Project (Motor
Vehicle/Equipment/Goods)
• Administrative/Executive Order creating the LGU YES YES
SGLG Incentive Fund Project Implementation
Unit/Team;
• Technical Specifications

Note: All SGLG passers shall submit for review all of the following
documentary requirements to the DILG Regional Office thru channels
upon receipt of the SGLG Incentive Fund check not exceeding 90
calendar days.
6.4. Implementation Procedures
 6.4. Implementation Procedures

4. Submission of Complete Administrative

Documents by the LGU for the issuance of
NTI.

The Appraisal Review and Approval Form

(ARAF) (Annex D) shall serve as checklist
in the review of the LGU’s compliance to
the SGLG Incentive Fund administrative
requirements.
 6.4. Implementation Procedures

List of Documentary requirements;

AFTER the Issuance of Notice to Implement

Document Infrastructure Non-Infrastructur
e
1. Proof of land ownership YES NO

2. Land Use/Zoning YES NO

3. Waiver/ consent letter of land owners–for water supply system YES NO

4. No non-compensable negative effects on affected indigenous YES YES
peoples (IPs)/marginalized sector/s
 6.4. Implementation Procedures

List of Documentary requirements;

AFTER the Issuance of Notice to Implement

Document Infrastructure Non-Infrastructure
5. Authority to Purchase of Motor Vehicle NO YES
6. Building Permit NO YES
7. Target Delivery Schedule NO YES
8. Availability of Vehicle/Goods/Equipment to support the NO YES
operation of the project;
9. Technical Specifications; Unit Cost of the Proposed Motor NO YES
Vehicle; Report of the Physical count of
Vehicle/Goods/Equipment.
 For Vertical Projects

Construction of School on different Barangays

figure 1:

Barangay 1 Barangay 2
Construction of Hospital and School on different Barangays

figure 2:

Barangay 1 Barangay 2
 For Horizontal Projects

Concreting of roads should be one horizontal stretch

figure 1:

Barangay 1 Barangay 2

Different stretch of road in two different barangays

figure 2:

Barangay 1 Barangay 2
 For Procurement of Motor Vehicle

Procurement of Motor vehicle must be same type and purpose

or different type but the same purpose/project category

figure 1:

Procurement of different type of Motor vehicle for a different

project category

figure 2:
 List of Motor Vehicle allowed:

Project Category Type of vehicle

Good Fiscal or Financial Administration or Not allowed

Fiscal Sustainability

Disaster Preparedness
 List of Motor Vehicle allowed:

Project Category Type of vehicle

Social Protection and

Sensitivity Program

Health Compliance and

Responsiveness
 List of Motor Vehicle allowed:

Project Category Type of vehicle

Safety, Peace and Order

Environmental
Management
 List of Motor Vehicle allowed:

Project Category Type of vehicle

Tourism, Heritage
Development, Culture and Not allowed
Arts

Youth Development
6.4. Implementation Procedures

5. Notice to Implement
• Within five (5) working days
upon approval of the final
project proposal, the
Regional Office shall issue
a Notice to Implement
(NTI) (Annex E) authorizing
the LGU’s start of the fund
utilization.

Note: The date of receipt of Notice

to Implement (NTI) from the DILG
regional office shall be considered
the project’s start-up date
6.4. Implementation Procedures

5. Notice to Implement

• In case the proposed project is Purchase of

Motor Vehicle, LGU recipient should secure
first the NTI issued by the DILG Regional
Office before requesting the Authority to
Purchase Motor Vehicle (APMV).

• Concerned Regional Office shall secure a

receiving copy of the said NTI and upload it
in the SGLG Incentive Fund Web
Application.
 6.4. Implementation Procedures

5. Project Timeline

Submission of Time Scheduling of

Date of receipt Inauguration
Extension/ Catch-up
of NTI of the Project
Plan

Project Implementation Compressed bar chart/S-curve

Day 1 Variation Order 9 months 12 months 15 months

If the project Old Completion New

delay due to date of the Completion
force majeure Project date of the
Project

Note: Total change of the approved project proposal is not

allowed once the Notice to Implement was received.
6.5. Fund Management

1. Entry to Regional Books of 2. Refund of Unexpended Balance

Account After Project Completion
• SGLG Incentive Fund
• Entry to LGU Books of
Account

Note:
Once returned to the national treasury or claimed as “reverted”, request
for the use of said funds will no longer be allowed.

Failure to revert unutilized funds for projects that cannot be implemented

(i.e. overlapping of funds, peace and order situations, legal concerns, and
among others) within the recommended period shall be considered
non-compliance to these Guidelines.
 6.6. Monitoring and Reporting

1. Progress Monitoring
6.6. Monitoring and Reporting

2. Conduct of Monitoring Visits

6.6. Monitoring and Reporting

3. Data Uploading on the SGLG Incentive Fund Web Application

• Cluster Leaders shall encode the accomplishment reports of recipient

component Cities/Municipalities under their coverage. Provincial Focal person
shall encode the accomplishment report of recipient Province as well as
oversee the reports encoded by their Cluster Leaders.
• Regional Office shall encode data for Highly-Urbanized Cities or LGUs that are
not under the coverage of Cluster leader or Provincial Focal Person. It shall
also oversee all the encoded data/reports within their respective region.
• For ready reference of the concerned LGUs, below is a list of documentary
requirements for submission to the concerned DILG Office/Personnel per
project implementation phase.
6.6. Monitoring and Reporting

3. Data Uploading on the SGLG Incentive Fund Web Application

• Start-up Phase
• Project Proposal;
• Existing Approved LDIP/PDIP (certified true copy by the Secretary to
the Sanggunian of the page indicating the project);
• Purchase Order (for vehicle);
• Project Implementing Team (Executive Order);
• Program of Works; and
• One (1) High-resolution geo-tagged Joint Photographic Experts
Group (.jpeg) photos of the project site.
6.6. Monitoring and Reporting

3. Data Uploading on the SGLG Incentive Fund Web Application

• Implementation Phase
• Monthly Accomplishment Reports through Statement of Work
Accomplished (SWA) vis-à-vis Program of Work (POW);
• Statements of Receipts and Disbursements (SORD), whenever
necessary;
• Authority to Purchase Motor Vehicle from DILG or DBM; and
• One (1) High-resolution geo-tagged jpeg photos of the on-going project.
6.6. Monitoring and Reporting

3. Data Uploading on the SGLG Incentive Fund Web Application

• Project Completion Phase

• List of corrective measures conducted based on the monitoring report of
the DILG monitoring team inspection;
• Final Statement of Receipts and Disbursement (SORD) ;
• Project Completion Report;
• Certificate of Completion
• Certificate of Turnover and Acceptance (if by Contractor)
• 12 months warranty certificate signed by the Contractor
• One (1) High-resolution geo-tagged jpeg photos of the completed project
(visible SGLG Incentive Fund marker); and
• Copy of OR/CR under the name of LGU for purchase of Brand-New Motor
Vehicle
6.6. Monitoring and Reporting
3. Data Uploading on the SGLG Incentive Fund Web Application

• The Regional Focal Person shall conduct regular monitoring of SGLG

Incentive Fund Web Application, updating by the Cluster Leader/ SGLG
Incentive Fund Provincial Focal Persons and provide technical assistance as
necessary.

• Regional Focal Persons/Cluster Leaders/Provincial Focal Persons are the only

authorized personnel to upload and encode data in the SGLG Incentive Fund
Web Application. LGU recipients shall not be given access to the said Web
Application as it may create conflict of interest and affect the integrity of data.
Flowchart
 Start

LGU
Project Proposal and
Documentary
Requirements Disapproved

B
Submit to the Respective
Focal Person

A
 A B

LGU’s Focal Person

Review Project Proposal and
Documentary Requirements
Disapproved

Disapproved

E
If Project
Proposal

Approved

Encode/Revise Project
Proposal to the Web
Application

C
 E C

LGU’s Focal Person

Upload Documentary
Requirements
Disapproved

Submit to the Regional

Focal Person

Review Project Proposal and Regional Focal Person

Documentary Requirements

If Project Approved
Issue Notice to Implement
Proposal to the concerned LGU

D
 D

LGU
Reports and
Documentary
Requirements

Submit to their Respective

Focal Person

Incomplete
LGU’s Focal Person
Review Reports and
Documents
F

E
 E F

LGU’s Focal Person

If Incomplete
Reports

Complete

Encode the Reports to the

Web Application

Upload the Documents to

the Web Application

G
 G

Web Application

If Project’s
Documentary Complete
Mark the project as
Requirements Completed

Incomplete

D End
6.6. Monitoring and Reporting

4. Reporting of Completed Projects

Within 10 calendar days: Submit the copy of their Project

Completion Reports (PCRs) (Annex H) to the DILG
Regional Office with the following attachments:

• Certificate of Project Completion by the Local Chief

Executive;
• 12 months warranty certificate signed by the contractor;
• Copy of Statement of Receipts and Disbursement
(SORD); and
• One (1) High-resolution geo-tagged .jpeg photos of the
completed project;
6.6. Monitoring and Reporting

4. Reporting of Completed Projects

• For projects involving acquisition of
motor vehicles, the LGU shall
accomplish and submit the Motor
Vehicle Report Form (Annex I) within 15
calendar days upon delivery or
completion of the procurement process.
6.6. Monitoring and Reporting
5. Inauguration of Completed Projects

Regional office shall submit letter of invitation hereto referred

as “Annex L” thru the Office of the Undersecretary for
Local Government copy furnished the BLGD a schedule
of inauguration ceremonies of completed projects and shall
ensure that the DILG is represented in these activities.

A picture of the said event shall be submitted by the recipient

Local Government Unit to the DILG Regional Office.
6.6. Monitoring and Reporting
6. Permanent Markers

For horizontal projects, permanent markers shall

be placed or displayed at the beginning of the
completed infrastructure on either a concrete
stand or a post signage (single or double
mounted), depending on the preference of the
implementing office. Whereas

For vertical projects, markers shall be installed

on the wall near the entrance or main door,
preferably within eye level. Material used for the
marker of both horizontal and vertical projects
should be weather-resistant, may be
non-corrosive metal (brass, aluminum, etc.) or
plastic (acrylic, fiberglass, corrugated, etc.).
Please refer to Annex J for Sample Marker with
corresponding specifications.
6.6. Monitoring and Reporting
6. Permanent Markers
For vehicles, goods and IT
equipment/systems, permanent markers to
be used are stickers.

For vehicles, stickers shall be installed at the

driver’s side (left front door) of the vehicle
whereas for

Goods/IT Equipment, stickers shall be

installed to the visible area where the
equipment is placed and/or on the CPU of the
main computer used. Scaling of the sticker
may be considered depending on the size and
type of equipment/vehicles (e.g. for vehicles –
8.5”x11”, for system/equipment/computers –
4”x4”, for birthing facilities – 3”x3”). Please
refer to Annex K for Sample Marker with
corresponding specifications.
6.6. Monitoring and Reporting

6. Permanent Markers

• the name of LCE

• Visage (Tag line)
• Appearance
• Logo of LCE
• Signature
• Other analogous of
any public official
6.6. Monitoring and Reporting

7. Reportorial Requirements under the General Appropriations Act (GAA)

• Based on the GAA, the DILG shall update the following: Department of
Budget and Management (DBM) through the unified reporting system,
House of Representatives, Senate of the Philippines, and the Commission
on Audit (COA) with quarterly and annual reports that note financial and
physical accomplishments of the SGLG Incentive Fund. The same report
shall also be posted on the DILG website in compliance to such reportorial
requirements; hence, submission of reports by the recipient LGUs
through channels and up-to-date encoding of DILG Field Officers in
the SGLG Incentive Fund Web Application is necessary.

8. CSO Participation
• The DILG Regional Office, through channels, must ensure the regular
monitoring of the implementation of SGLG Incentive Fund projects with
the local CSOs such as faith-based organizations and other sectoral
groups on a voluntary basis. CSO participation in field monitoring and
evaluation is highly encouraged.
6.7. Transparency in the Implementation of Projects

All recipient LGUs shall strictly follow the provisions of COA Circular No. 2013-004
dated January 30, 2013 entitled “Information and Publicity on
Programs/Projects/Activities of Government Agencies”, as amended by COA
Circular No. 2016-003 dated August 16, 2016.
7. Penal Provisions
Non-compliance to the provisions of this Memorandum Circular shall be dealt with in
accordance with pertinent laws, rules and regulations.

8. Dissemination
All DILG Regional Directors and the BARMM Minister of the Interior and Local
Government are hereby directed to cause the immediate and widest dissemination of
this Memorandum Circular within their respective areas of jurisdiction.
9. Effectivity

This Memorandum Circular shall take effect immediately and shall remain in force unless
otherwise superseded or modified by subsequent policies and other issuances.

10. Separability Clause

If any clause, part or provision of this MC is declared unconstitutional or invalid, the remaining
parts or provisions not affected shall remain in full force and effect.

11. Amendments and/or Modifications

All amendments to the provision of this MC shall be done separately by the DILG through
the issuance of appropriate supplemental guidelines.
Frequently Asked Questions ||
Question and Answers

February 9, 2023
Zoom Online Conference
 The LGU’s planned project per their LDIP exceeds the
amount of the subsidy. Can they do counterparting?

No, as provided under Section 6.2 of the Guidelines,

counterparting, of any kind - either inter-agency or
LGU/NGO/Private counterpart, is no longer allowed. The
proposed project must either be equal or less than the
amount of subsidy received by the LGU.
 “Rehabilitation/Improvement of Road” is indicated in the
LGU’s LDIP but the actual proposed project is a new
construction of road. Is this allowed?

Yes. LDIPs are just 3-year programmed plans and as long as the
actual project is a new construction, that will suffice. For instance,
“Rehabilitation of Farm-to-Market Road” is indicated in the LDIP of
the LGU, but the proposed project is a new construction of road. The
title of the proposed project, regardless of what is written in the LDIP,
must be “Construction of Farm-to-Market Road at Brgy.123”.
 Does the LGU need to secure Authority to Purchase
Motor Vehicle(APMV) first before the issuance of Notice
to Implement(NTI)?
For motor vehicle(non-infra) projects, NTI must go first before
the APMV as it takes a long while to secure one from the
appropriate approving authority (DBM and/or DILG).
 Should the LGU secure Building Permits for its
infrastructure projects?
Yes. The LGU should still secure Building Permits for its
infrastructure projects. This should also include ECC/CNC and
other necessary permits/certifications (per Annex D: Appraisal
Review and Approval Form), as may be applicable.

Note: The certifications must be duly signed by the LCE and/or LPDC.
The LGU may also opt to prepare only one(1) certification covering all
indicators.
 Is the renovation / upgrade / repair of old and existing
PCF projects allowed?

No. The renovation/upgrade/repair of old and existing PCF

projects is no longer allowed.
For non-infrastructure projects, like procurement of ICT
Equipment, should the LGU secure first the bidding
documents before the issuance of the NTI?

No, NTI must be secured first before the bidding documents.

Please note that what were provided under Section 6.4.3(b)
are just part of the completion documents for the
procurement of non-infrastructure projects.
 Can the LGU demolish an existing project and construct
its proposed project charged against the SGLG Incentive
Fund?
Yes. The LGU may demolish an existing building/project and
construct its planned/proposed SGLGIF project.
 Ano pong specific procurement documents ang requirement
before issuance ng NTI for non-infrastructure projects?
1. Letter of Intent (LOI) addressed to Regional Director
2. Administrative/Executive Order creating the LGU SGLG Incentive Fund Project
Implementation Unit/Team;
3. Technical Specifications
 Project site:
Is it acceptable if there would be several project sites like if the
project is installation of CCTV (along Central Business Dist)?

Yes, As long as the proposed project are the same type and
purpose
 CLOSING REMARKS
01

JOSELITO S. MAGUMUN
OIC Asst. Division Chief, Local Administrative
Development Division, BLGD-DILG
Thank you!
For inquiries:
Bureau of Local Government Development
Department of the Interior and Local Government
25th Floor, DILG-NAPOLCOM Center,
EDSA corner Quezon Avenue, West Triangle, Quezon City
Trunkline: (02) 8876-3453 local 4106
Tel No. (02) 0925-0356
E-mail address: blgd.ladddms@gmail.com
National Policy Roll-Out of the
Operational Guidelines on the
Implementation of the FY 2022
Seal of Good Local Governance
Incentive Fund
February 9, 2023
Zoom Online Conference