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WHEREAS, in 2004, Executive Order No. 280 was issued to facilitate the implementation of preemptive, active measures by the Department of Health (DOH) and other concerned agencies to control or limit the spread and incidence of Avian Influenza in the country;

WHEREAS, pursuant to Section 7 of Executive Order No. 280 (s. 2004), the PCSO allocated Two Hundred Fifty Million Pesos (P250,000,000) to support the DOH-led efforts against Avian Influenza, out of which the amount of Twenty Million Pesos (P20,000,000) had been released;

WHEREAS, on January 21, 2004, the PCSO entered into an Agreement with the Philippine Health Insurance Corporation (Philhealth) and the Department of Budget and Management through Executive Order No. 276, (s.2004) to provide indigent families nationwide access to affordable, acceptable, quality health care services;

WHEREAS, the millions of families covered under the enhanced Greater Medicare Access (GMA) Program continuously avail of the in-patient or hospitalization benefits under the said Program;

WHEREAS, there is a need to improve access to and bring down the prices of medicines commonly bought by the poor through the implementation of the Low Priced Medicines Program that seeks to implement various strategies such as, and not limited to, the establishment of Botika-ng-Barangays;

WHEREAS, a total of Two Hundred Million Pesos (P200,000,000.00) was allotted by the PCSO for the Low Priced Medicines Program by virtue of 2 Memoranda of Agreement of One Hundred Million Pesos (P100,000,000.00) each, of which the amount of Forty Six Million Six Hundred Seventy Thousand Thirty Eight and 70/100 Pesos (P46,670,038.70) had been released;

WHEREAS, initiatives for addressing access issues to low-cost medicines in the private sector is addressed by the Botika-ng-Barangay Program of the Philippine International Trading Corporation;

WHEREAS, the government adopted the Safe Motherhood and Responsible Parenthood Program to promote family planning as an essential public health service, and to dramatically improve the access of men, women, and couples to family planning and safe motherhood services;

WHEREAS, there is a need to rationalize the allocation of funds from the PCSO for the Greater Medicare Access (GMA) and the Avian Influenza Programs, and to further allocate funds for the top priority health programs of the government, in order to protect and promote the health of the people and instill health consciousness among them, pursuant to Article II, Section 15 of the Constitution;

NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the Republic of the Philippines, by virtue of the powers vested in me by law, do hereby order:

SECTION 1. PCSO shall allocate a total of ONE BILLION FOUR HUNDRED SEVENTY FIVE MILLION PESOS (P1,475,000,000.00) to fund the top five health priority programs of the government as follows:

a. One Billion One Hundred Twenty Five Million Pesos (P1,125,000,000.00) for Philhealth to finance the Greater Medicare Access (GMA) Program;

b. One Hundred Million Pesos (P100,000,000.00) to finance the Low Priced Medicines Program;

c. One Hundred Million Pesos (P100,000,000.00) to finance the Safe Motherhood and Responsible Parenthood Program;

d. One Hundred Million Pesos (P100,000,000.00) to finance the Botika ng Bayan Program; and

e. Fifty Million Pesos (P50,000,000.00) to finance the Avian Influenza Program.

SECTION 2. The enhanced Greater Medicare Access (GMA) Program implemented in partnership with Philhealth, having been identified as one of the urgent health programs, shall be recipient of PCSO funding as payment for the LGU premium counterpart for the enrollment of qualified indigent families.

SECTION 3. The Low Priced Medicines Program, having been identified as another urgent health programs, shall be a recipient of the funds for use in making low cost medicines available for the poor through, but not limited to, establishment of Botika-ng-Bayan.

SECTION 4. The Safe Motherhood and Responsible Parenthood Program, having been identified as another health program, shall be a recipient of the PCSO funding.

SECTION 5. All Executive Orders, laws, issuances, rules and regulations, or parts thereof, which are inconsistent with the provisions of this Order are hereby repealed or amended accordingly.

SECTION 6. This Executive Order shall take effect immediately.

Adopted: 12 July 2005

(SGD.) GLORIA MACAPAGAL ARROYO

By the President:

(SGD.) EDUARDO R. ERMITA
Executive Secretary