1. One of the conditions of the Loan Agreement for the Low Income Upland Communities Project (LIUCP) is for the Government of the Philippines to make available, promptly as needed, the funds, facilities, services, land, and other resources which are required for the carrying out of the said Project.

2. Specifically, Section 13, Schedule 6 of the Loan Agreement mandates the DENR to ensure that appropriate land tenure instruments are issued to Project beneficiaries prior to the scheduled delivery of Project services.

3. To ensure the availability of the areas needed by the Project and in compliance with the provisions of the Loan Agreement, the Project areas of LIUCP as herein specified are hereby exempted from the prohibitions contained in Section 7 of DENR Administrative Order No. 4, Series of 1991:

Malaylay-Bucayao Watershed - 32,017 Has. Forest Zone     Pola Watershed - 15,694 Has. Bongabong     Watershed - 40,283 Has.     Kabilyan Watershed - 5,312 Has.     Caguray Watershed - 36,159 Has.     Abra de Ilog-Mamburao Watershed. - 32,926 Has

provided, existing Contract Reforestation Projects and established plantations under Regular Reforestation Projects shall be excluded from the areas being applied for CSC/CFSA.

4. All concerned offices shall coordinate closely with the Provincial Project Management Offices of LIUCP to effect this exemption.

5. This Order takes effect immediately and shall be in force for the entire Project duration or until otherwise revoked.

Adopted: 24 June 1991