Supreme Court E-Library
Information At Your Fingertips

September 15, 1994

Memorandum N° ALA/PHI/93/26

of the one part, and

the Government of the Republic of the Philippines, hereinafter referred to as "THE RECIPIENT"

of the other part,

HAVE AGREED AS FOLLOWS :

The project referred to in Article 1 below shall be executed and financed out of the budget resources of THE COMMUNITY in accordance with the provisions set out in this memorandum. The technical, legal, and administrative framework within which the project referred to in Article 1 below shall be implemented is set out in the General Conditions annexed to the Framework Agreement of 8 November 1984 between THE COMMISSION and THE RECIPIENT, as supplemented by the terms of this Memorandum and the Special Provisions annexed hereto.

ARTICLE 1 - NATURE AND SUBJECT

As part of its 1993 aid programme, THE COMMUNITY shall contribute, by way of grant, towards the financing of the following project:

Project Number :	ALA/ PHI /9326
Title :	Aurora Integrated Area Development Project, Phase 2 (AIAD 2)

hereinafter referred to as "THE PROJECT".

ARTICLE 2 - COMMITMENT OF THE COMMUNITY

The commitment of THE COMMUNITY is fixed at 13,000,000.00 ecu (thirteen million ecu), hereinafter referred to as “THE EC GRANT”.

This commitment is subject to an expiry date, after which any balance of funds remaining available under THE EC GRANT shall be automatically cancelled. THE COMMISSION may however, depending on the circumstances, agree to an appropriate extension of this expiry date, should such an extension be requested and properly justified by THE RECIPIENT.

For the present project, the expiry date of THE EC GRANT is hereby set at 31 December 2000 (Thirty-first December Twenty hundred).

ARTICLE 3 - ADDRESSES

Correspondence relating to the execution of THE PROJECT, stating THE PROJECT'S number and title, shall be addressed to the following ;

for THE COMMUNITY :

Commission of the European Communities,
Directorate-General for External Economic Relations,
Rue de la Loi 200,
B-1049 Brussels, Belgium.

Telex : 21877 COMEUB
Facsimile: (32 2) 299 0204

for THE RECIPIENT :

National Economic and Development Authority,
NEDA Sa Pasig,
Amber Avenue, Pasig,
Metro Manila, Philippines.

Telex : 29058 NED PH
Facsimile: (63 2) 673 6518

ARTICLE 4 - NUMBER OF COPIES

This memorandum is drawn up in the English language in two copies each being equally valid.

ARTICLE 5 - ENTRY INTO FORCE

This memorandum shall enter into force on the date that it has been signed by both parties. The Annex shall be deemed an integral part of this memorandum.

Done at this day of 15 SEP. 1994	Done at this day of
(Sgd.)	(Sgd.)
THE COMMUNITY	THE RECIPIENT
Manuel MARIN GONZALEZ

Annex: Technical and Administrative Provisions

SIDE LETTER

The Commission of the European Communities and the Government of the Republic of the Philippines welcome the signing, on 15 September, 1994 of the Financing Memorandum pertaining to the Aurora Integrated Area Development Project, Phase II (AIADP II) - Project No. ALA/PHI/93/26.

As for previous rural development projects supported by the Commission of the European Communities, technical assistance for the project will be selected by the Commission of the European Communities, following terms of reference to be agreed between the Commission of the European Communities and the Philippine Authorities. Said technical assistance will be appointed by the Commission of the European Communities after the concurrence of the Philippine Authorities on the selected technical assistance has been obtained.

Likewise, community consultation shall determine general project planning and the identification, preparation, implementation and evaluation of specific project activities.
The approval of specific actions or programmes within the project shall be the responsibility of the two project Co-Directors after having consulted an internal review committee to be established within the Project Office. Decisions on the approval of specific actions or programmes will be taken on the basis of project abstracts prepared by the Project Office, and containing all relevant information.

To allow for continuity in project operations in the transition from Phase I to Phase II a brief interim workplan shall be presented by the selected consultant team for the agreement of the ESC and the Commission not later than 1 month after their arrival in the Philippines. Said interim workplan shall cover only those essential activities necessary to ensure a smooth transition between the two phases and shall be superseded by the first annual workplan as soon as that is approved.

This side letter shall be considered an integral part of the Financing Memorandum referred to above.

(Sgd.) JUAN PRAT	(Sgd.) ALBERTO PEDROSA
Director-General	Ambassador