1.0

Purpose

1.1 To provide the necessary guidelines, rules and regulations in the implementation of Section 53, General Provisions of R.A. No. 7845, the 1995 General Appropriations Act.

1.2 To rationalize the procedures in the realignment/relocation of capital outlays and public works projects in order to facilitate and accelerate implementation of critical programs and projects.

2.0

Coverage

2.1 This Circular shall cover capital outlays and public works projects pertaining to the construction, replacement, rehabilitation and/or completion of school buildings, hospitals, sanitaria, health centers, clinics, herbal processing plants, warehouses and health stations, as well as roads/bridges, flood control, waterworks/supply and other public works projects appropriated under the General Appropriations Act (GAA).

3.0

Definitions

3.1 Realignment/relocation of Capital Outlays and Public Works Projects referred to in Section 53 of the GAA shall mean variation or alteration of the original description of the project which may involve modification, change in the scope of work, location/site of the capital outlays projects under the General Appropriations Act.

3.2 Project Category refers to the nature/type of project funded under the General Appropriations Act, e.g.

Department of Public Works and Highways:

    Roads and Bridges

    Flood Control

    Water Supply

    Other Public Works

Department of Transportation and Communication:

    Airport and Navigational Facilities

    Telecommunications Facilities

    Ports and Lighthouses

    Buildings

Guidelines

4.1 Agencies implementing infrastructure projects (capital outlays and public works projects) may realign relocate projects only in cases of imbalanced allocation of projects within the district, duplication of projects and overlapping of funding source and similar cases subject to the approval of the Department of Budget and Management (DBM).

4.2 Realignments/relocation involving locally-funded projects shall be processed and evaluated by the concerned DBM Regional Office where such projects are to be implemented except senatorial initiatives and those approved by the President.

4.3 Realignment/relocation involving foreign-assisted projects, senatorial initiatives, those with specific approval of the Office of the President and other centrally managed projects shall be processed and evaluated by the DBM Central Office.

4.4 Realignment/relocation of a particular project shall only be made once, subject to the following conditions and limitations:

4.4.1 It shall be made forty-five (45) days after the receipt of the original Allotment (General or Special Allotment Release Order-GARO/SARO) but not beyond the two-year validity period;

4.4.2 In cases where there is a duplication of projects and overlapping of funding source for the same project in the region/province/municipality, the agency concerned can implement the realignment immediately without waiting for the forty-five (45) days prescribed period;

4.4.3 It shall be within the same project category as defined in item 3.2 of this Circular;

4.4.4 It shall be within the same congressional district where the funds were originally allocated;

4.4.5 It shall not exceed the total amount originally allocated for the congressional district;

4.4.6 Except for the Countrywide Development Fund and initiatives of Senators, realignment/relocation of projects shall be made upon the initiatives and consent of the representative of the district concerned;

4.4.7 It shall be made with the concurrence of any of the following:

    - District Engineer;

    - The Regional Director or

    - The Secretary of the Department Concerned

4.4.8 The allotment released for the original project has not yet been obligated at the time of realignment as certified by the Chief Accountant of the Office concerned.

5.0

Responsibilities

5.1 Implementing Agencies shall:

5.1.1 Submit requests together with the certification of availability of funds and concurrence of concerned Senator/congressman/authorized official of the Office of the President to:

5.1.1.1 DBM-Central Office - for realignment/relocation of projects involving FAPs, senatorial initiatives and priority projects approved by the President.

5.1.1.2 DBM-Regional Office for realignment/relocation of projects involving locally funded projects.

5.1.2 Pending receipt of the SARO/Letter of Authority from DBM, implement the realignment/relocation of capital outlays and public works projects, provided that all the conditions and limitations as set forth in this Circular are strictly followed and complied with; and

5.1.3 Be primarily responsible for any realignment/relocation made not in accordance with this Circular.

5.2 The Department of Budget and Management shall:

5.2.1 Process and evaluate at the Central Office requests for realignment/relocation involving foreign-assisted projects, senatorial initiatives and other centrally managed projects including those with specific approval of the Office of the President;

5.2.2 Process and evaluate at the Regional Office requests for realignment/relocation involving locally-funded projects; and

5.2.3 Issue the corresponding SARO/Letter of Authority to effect the necessary adjustments/changes if the request for realignment/relocation is found to be in order.

6.0

Penalty Clause

The Heads of Departments/Offices shall be head liable for any realignment/relocation of capital outlays and public works projects not in accordance with the guidelines as provided herein;

7.0

Repealing Clause

Previous circulars, memoranda and other issuances inconsistent with this circular are hereby amended/modified accordingly.

8.0

Effectivity

This Circular shall take effect immediately.

Adopted: 15 Dec. 1995