(NAR) VOL. 19 NO. 2 / APRIL - JUNE 2008
A. Department of Budget and Management. The DBM shall:SECTION 4. Separability Clause. If any section or provision of this Executive Order shall be declared unconstitutional or invalid, the other sections or provisions not affected thereby shall remain in full force and effect.
1. Determine the share of each LGU from the P12,576,938,000.00 unreleased IRA differential on the basis of the formula prescribed in R.A. No. 7160 and issue the corresponding Notice of Payment Schedule (NPS) to inform the LGUs of their share' and the schedule of payment.
2. Compute the LGU shares based on the status of the LGUs existing in FYs 2001 and 2004. Conversions or creations of LGUs after FYs 2001 and 2004 respectively shall not be considered in the computation for the said years.
B. Department of Finance. The DOF shall:
1. Provide the confirmation letter of the National Government to acknowledge that the P12,576,938,000.00 constitutes an obligation of the Republic of the Philippines.
2. Favorably endorse to the Bangko Sentral ng Pilipinas and other regulatory agencies, as the case may be, the application to secure the necessary financial features for the investment certificates that may be issued to improve the net proceeds to the beneficiaries.
3. Open the necessary Special Trust with the trustee banks.
4. Make available the facilities of the Bureau of the Treasury, including but not limited to, the Registry of Scripless Securities (RoSS), the Automated Debt Auction Processing System (ADAPS), and such other facilities as may be reguired and necessary for the auctioning process and the implementation of the IRA Monetization Program.
C. Department of the Interior and Local Government. The DILG shall provide assistance to the LGUs that will participate.in the IRA Monetization Program and shall consolidate and submit to the DOF the relevant Subscription Agreement, if any, and the corresponding Sanggunian Resolution executed by the LGUs concerned that will state, among others, the Special Purpose Trust (SPT) to be constituted and designated, the authority of head of the LGU to bind the LGU for the IMP participation; and the trustee bank that will receive the proceeds of the monetized IRA.
D. Government Financial Institutions. The government financial institutions (GFs) designated for this undertaking shall serve as trustee banks for purposes of receiving the proceeds of monetized IRA shares of LGUs. A Special Trust Account shall be established by the LGUs with the GFIs for the purpose. All transactions relative to the IRA Monetization Program shall be undertaken in accordance with the existing accounting, auditing and budgeting rules and regulations. A list of LGUs that availed of the IMP shall be submitted to the DBM.
E. Local Government Units. LGUs that will participate in the IMP shall accomplish and submit the pertinent documents required herein. The utilization of funds shall be in accordance with accounting, auditing, budgeting and procurement rules and regulations.
F. Commission on Audit. The COA shall provide guidelines in the recording of the obligation in the books of account of the National Government.