WHEREAS, the Katarungang Pambarangay (KP) was created under Presidential Decree No. 1508, dated 11 June 1978, to formally organize into a system the time-honored Filipino tradition of amicably settling interpersonal disputes in a barangay without judicial recourse;

WHEREAS, the Lupong Tagapamayapa, herein referred to as Lupon, was empowered under the system to mediate, conciliate and/or arbitrate disputes in a barangay to promote the speedy administration of justice;

WHEREAS, the committed and dedicated performance of the Lupons has brought the success of the Katarungang Pambarangay for more than seventeen years;

WHEREAS, in recognition of the Lupons ™ contributions in the promotion of the Katarungang Pambarangay objectives, Section 406b of the Local Government Code of 1991 (Republic Act 7160) mandates the Department of the Interior and Local Government to grant economic or other incentives to outstanding Lupons.

NOW, THEREFORE, I, FIDEL V. RAMOS, President of the Republic of the Philippines by virtue of the powers vested in me by law, do hereby order:

SECTION 1. Creation of the Awards. The Lupong Tagapamayapa Incentives Awards. herein referred to as the Awards, is hereby created as an annual National Awards with the following categories:

a. Outstanding Lupong Tagapamayapa in Highly-Urbanized Cities;

b. Outstanding Lupong Tagapamayapa in Component Cities,

Outstanding Lupong Tagapamayapa in First to Third Class Municipalities; and

d. Outstanding Lupong Tagapamayapa in Fourth to Sixth Class Municipalities.

SEC. 2. Objectives of the Awards. The Lupong Tagapamayapa Incentives Awards aim to:

a. Strengthen the Katarungang Pambarangay as an indigenous conflict resolution structure at the grassroots;

b. Institutionalize a system of granting economic benefits and other incentives to Lupons which demonstrate exemplary performance; and

c. Generate greater awareness among, and support from, the various sectors of Philippine society on the Katarungang Pambarangay as a potent vehicle toward social ordering and human development.

SEC. 3. Constitution of Awards Committee. There is hereby created Lupong Tagapamayapa Awards committees at the municipal, city, provincial, regional and national levels. The Lupong Tagapamayapa National Awards Committee shall be composed of:

The Chairman, upon the recommendation of the members of the National Awards Committee, shall select the private sector/NGO representatives.

The National Awards Committee may invite one (I) representative from the Supreme Court to sit as member of the National Awards Committee.

The composition of the National Awards Committee may be replicated at the municipal, city, provincial and regional levels.

The DILG, through the Bureau of Local Government Supervision, shall provide technical and secretariat support to the National Awards Committee.

SEC. 4. Functions of the Lupong Tagapamayapa National Awards Committee. The Committee shall have the following functions:

a. Initiate and coordinate necessary activities for the successful implementation of the Awards;

b. Set the guidelines and criteria for the selection of winners;

Organize the Regional, Provincial, City and Municipal Awards Committees;

d. Secure funding and additional prizes from the private sector;

e. Select from among the regional nominees the national awardees;

f. Proclaim the National Awardees; and

g. Plan and implement appropriate awarding ceremonies.

SEC. 5. Funding. For the 1996 Awards, the amount of TWO MILLION PESOS (P 2,000,000) for the operations of the National Awards Committee and THREE MILLION, EIGHT HUNDRED THOUSAND PESOS (P3,800,000) for cash awards shall be allocated from the President ™s Social Fund (PSF). Funding for the subsequent years of the Awards shall be incorporated in the annual budget of the Department of the Interior and Local Government. Additional funding may also be generated from the member-agencies of the Committee, and from the private sector.

SEC. 6. Awards and Prizes. The Awards shall be conferred to each national awardee, through the local chief executive concerned, in the form of a Presidential Trophy and a THREE HUNDRED THOUSAND (P 300,000) development grant. For each regional awardee, FIFTY THOUSAND PESOS (P 50,000) in development grant and a special plaque shall be awarded.

SEC. 7. Effectivity. This Executive Order shall take effect immediately.

DONE in the City of Manila, this 22nd day of January, in the year of Our Lord, Nineteen Hundred and Ninety-Seven.

(Sgd.) FIDEL V. RAMOS
President of the Philippines

By the President:

(Sgd.) RUBEN D. TORRES
Executive Secretary