For the information and guidance of all concerned, MC No. 27, s. 89 is hereby reissued as MC No. 64, s. 1991, for purposes of compliance with Executive Order No. 292, otherwise known as the Administrative Code of 1987 which requires the filing of agency issuances, rules and regulations with the UP Law Center within three (3) months from the actual dates of issuance, thereof.

In line with this Agency's efforts of strengthening its partnership with the farmer-beneficiaries of irrigation facilities and systems and of providing incentives for Irrigators' Associations (IA) participating in the prosecution of small labor-intensive projects, the requirement for labor contractor in small package contracts is hereby amended. Thus, item 3.3 of MC No. 18, s. 1985 requiring documented evidence that the labor contractor is capable of financing the initial capitalization (cash) of no less than 30% of the cost of the "pacquiao" contract shall be dispensed with in the case of Qualified Irrigators' Association Contractors, provided that:

a. the IA is duly registered with SEC/NIA; and

b. all other pertinent provisions of MC No. 18, s. 1985 are complied with.

A simplified Memorandum of Agreement shall be entered into with IAs concerned in lieu of the usual "pacquiao" contract form.

It is understood that rights and obligations which have been acquired by virtue of the provisions of MC No. 18, s. 1985 shall continue to be enforceable.

This MC shall take effect immediately and supersedes all other issuances on the matter.

Please be guided accordingly.

Adopted: 16 Sept. 1991

(Sgd.) JOSE B. DEL ROSARIO, JR.
Administrator