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DILG urges LGUs to "make good use" of P980-M PCF incentive

October 22, 2018

Make good use of the Performance Challenge Fund (PCF) incentive through effective utilization of the grant on projects that will benefit the general majority of your constituents.

This is the message of Department of Interior and Local Government (DILG) OIC-Secretary Eduardo M. Año following the issuance of the directive for the release of PCF 2018 grant of more than P980-M to deserving local government units (LGUs).

For 2018, 263 LGU Seal of Good Local Governance (SGLG) winners are declared eligible to access the PCF incentives in the amount of P7-M per province, P5.1-M per city and P3.2-M per municipality.

Año says that as an exclusive grant awarded to SGLG winners, the PCF prize money can make a big difference in financing local development projects of LGUs.

"The SGLG criteria is harder this year so make good use of the PCF prize money. Sana ay ilaan ito ng mga LGU sa mga proyektong lalo pang magpapabuti sa antas ng pamumuhay ng kanilang mga kababayan," Año says.

"Ang premyong ito ay isa na naman pong pagkakataon upang ating mapabuti ang ating serbisyo at makapagbigay Matino, Mahusay at Maaasahang paglilingkod sa ating mga kababayan, huwag po nating sayangin," he adds.

Año also warns LGUs against plundering the PCF grant saying that there is a system in place to monitor and ensure that every centavo of the money will be earmarked to legitimate projects for the people.

"Pakiusap po, gamitin po ninyo ang inyong premyo sa makabuluhang mga proyekto sapagkat tinitiyak ko po sa inyo na ang DILG ay matiyagang magbabantay upang masiguro na ang pondong ito ay para sa bayan at sa bayan lamang mapupunta," he explains.

The DILG will soon release the PCF Operational Guidelines for LGUs' guidance on the process and management of their proposed projects and its fund. It will contain the general policies and procedures in the implementation of the PCF program.

The said operational guidelines shall specifically assist PCF LGU beneficiaries to effectively and efficiently implement their PCF-supported projects, and shall contain DILG's roadmap on the management of PCF which includes release of financial subsidy, monitoring, and reporting of implementation of the PCF project.

In the recently released directive, the PCF incentive shall be given to LGU beneficiaries upon the submission of the checklist of project indicating the proposed project duly approved by the local chief executive, and the Government Bank Certification that states that LGU has an existing trust fund for first time LGU recipients.

The LGU must also present a certified true copy of the of the Annual Investment Program or Local Development Investment Program or Provincial Development Investment Program by the Secretary of the Sanggunian.

Implemented by the DILG in 2010, PCF is a financial subsidy to qualified LGUs under the Local Governance Performance Management Program of the Department.