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ANNEX N - Pro-Forma MOA For Implementation of Kabuhayan Program Thru Direct Administration

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ANNEX N

MEMORANDUM OF AGREEMENT FOR IMPLEMENTATION OF KABUHAYAN PROGRAM THRU


DIRECT ADMINISTRATION

KNOW ALL MEN BY THESE PRESENTS:

This Memorandum of Agreement (MOA) is made and entered into by and between:

The DEPARTMENT OF LABOR AND EMPLOYMENT - REGION ____ a government office


existing by virtue of the laws of the Republic of the Philippines with principal office address at
_____________(Office Address) ____________________________ , represented herein by its
Regional Director, __________________________, and herein referred to as “DOLE – REGION
____”;

and

(The) (Name of Beneficiary/Association), with principal addresses at


____________________________________________________, herein referred to as “PROPONENT
BENEFICIARY”.

WITNESSETH

WHEREAS, the current Administration’s thrust is to immediately implement poverty reduction


projects in all regions and promote inclusive economic development

WHEREAS, the Department of Labor and Employment (DOLE) is mandated to promote gainful
employment opportunities, develop human resources, protect workers and promote their
welfare, and maintain industrial peace;

WHEREAS, the DOLE endeavors to contribute to reducing poverty and vulnerability to risks of
the poor, vulnerable, and marginalized workers by providing them access to livelihood
undertakings;

WHEREAS, the DOLE Integrated Livelihood Program or Kabuhayan Program is being considered
as an important strategy towards transitioning informal workers to formal;

WHEREAS, the DOLE – REGION ____ has been given responsibility to directly implement the
approved Livelihood (KABUHAYAN) Project entitled “____________________________”, in
accordance with the Department Order No. ____, series of _____;
WHEREAS, DOLE – REGION ____ shall implement (livelihood formation or enhancement or
restoration) in the Municipality/ies of ______________________, Province of
______________________.

WHEREAS, this partnership is vital to ensure the successful implementation of the said projects
and achieve their desired social outcomes;

NOW, THEREFORE, for and in consideration of the foregoing premises, the parties hereto have
agreed to enter into this Memorandum of Agreement under the following terms and
conditions:

I. RESPONSIBILITIES OF THE PARTIES:

A. The DOLE-RO shall:

1. Provide the fund assistance for working capital to the PROPONENT BENEFICIARY of the
approved project amounting to (Amount in Words) only (P_____________.00), to be used
exclusively for the implementation of the project.

2. In case the fund assistance includes allocation for acquisition of equipment, purchase of
the necessary equipment indicated in the approved project proposal should comply
with RA 9184 (Government Procurement Reform Act) and government accounting and
auditing rules and regulations. All equipment purchased shall be the property of DOLE,
to be turned over to the proponent-beneficiary after one (1) year from date of purchase
through a Deed of Donation, provided the project is still in operation. If a project ceases
to operate within the 1-year period, the PO/FO shall recommend to the Regional Office
that said equipment be pulled-out from the proponent-beneficiary.

3. The DOLE-RO, shall conduct regular inventory of the equipment to determine their
physical condition
4. The DOLE-RO through FO shall provide orientation/briefing to PROPONENT BENEFICIARY
prior to issuance of fund assistance to ensure that both the technical and administrative
concerns relative to the Project are adequately addressed
5. The DOLE-RO through FO shall provide technical assistance to the PROPONENT
BENEFICIARY whenever necessary
6. The DOLE-RO and FO shall monitor and inspect the project implementation on a
periodic basis; verify the financial records and reports of the PROPONENT BENEFICIARY
7. Institute appropriate actions against the concerned PROPONENT BENEFICIARY which
may include, among others, suspension or termination of the project in case of violation
of the provisions of this MOA and/or legal action for misuse of equipment/s procured,
the legal costs of which shall be shouldered by the PROPONENT.

B. The PROPONENT BENEFICIARY shall:

1. Implement the approved livelihood project proposal which form as an integral part of
this Agreement, in accordance with the approved project objectives, standards, systems
and procedures for project implementation, time schedule and the project cost
estimates

2. Provide equity or counterpart which is equivalent to at least twenty percent (20%) of


the total project cost in the amount of (Amount in Words) only (P_____________.00) for
the supervision and monitoring of the project or for other needs related to the project;

3. Adhere to DO No. ____, the Revised DILEEP guidelines and other relevant government
regulations

4. Issue Certificate of Acceptance upon satisfactory receiving the equipment’s, tools and
jigs, etc.

5. Allow access to or make available all records and facilities pertaining to the project for
the visitorial audit and examination of the DOLE and/or COA authorized
representative/s

6. Create a Project Management Team and identify their respective roles and
responsibilities;

7. Implement a profit sharing scheme;

8. Ensure that streamers/banners and signages bear the DOLE and DILP Logo and are
prominently displayed in the project site and training venue.

9. Ensure that product packaging/labeling shall bear the DOLE and DILP Logo indicating
that it is a DOLE - assisted project.

10. Be responsible for the storage and maintenance of the equipment. It shall secure
written approval from DOLE for transfer of any equipment from the project site to
another location. In case the project ceases to operate within 1-year period, the
proponent beneficiary shall notify the DOLE regional office.

11. Keep and maintain financial records of the project in accordance with generally
accepted accounting principles. Funds shall not be combined with other funds owned
and controlled by the PROPONENT BENEFICIARY.

12. Secure prior approval of the Regional Director in case of deviation from the approved
project proposal

II. COMMENCEMENT OF PROJECT IMPLEMENTATION

a) The implementation of the project covered by this Agreement shall start, as soon as
practicable, after the receipt of equipment and other materials needed for project
operation, subject to adjustments upon written request of PROPONENT BENEFICIARY to
the DOLE.

III. MODIFICATION/AMENDMENT AND EFFECTIVITY

a) Any modification/amendment to this Agreement shall be subject to the mutual consent


of the parties hereto.

b) Any deviation from the approved project proposal shall require approval from the
Regional Director. In case of unauthorized deviations, the PROPONENT BENEFICIARY
shall be obliged to return any unutilized portion of the financial assistance without need
of prior demand from DOLE. Unauthorized deviations shall also give the DOLE the right
to stop payment of the check and/or succeeding releases covering the amount of the
grant.

c) This Agreement takes effect upon signing of the parties hereto and shall remain in force
until mutually revoked by both parties.
IN WITNESS WHEREOF, the parties have hereunder affixed their signatures this ____ day of
____________ 20__ __.

DEPARTMENT OF LABOR AND EMPLOYMENT- PROPONENT BENEFICIARY


REGIONAL OFFICE No.

By: By:

__________________________________ _____________________________________
Regional Director Representative of Proponent Beneficiary

Signed in the Presence of:

_____________________________________ _____________________________________
Witness Witness

Certification of Availability of Funds:

_____________________________________
Chief Accountant

ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES)


CITY OF ________________) S.S.

BEFORE ME, in the City of ________________, this ____ day of ____________ 20__ __,
personally appeared the following:

VALID IDENTIFICATION DATE/PLACE OF


NAME
CARD/NUMBER ISSUE
All known to me and to me known to be the same persons who executed the foregoing
instrument and acknowledged before me that the same is their free and voluntary act and deed
as well as those of the entities they represent.

Said instrument refers to a Memorandum of Agreement consisting of ____ pages


including this page of acknowledgement, signed by the parties and their witnesses and sealed
with my notarial seal.

NOTARY PUBLIC
Book No. ____
Doc No. ____
Page No. ____
Series of ____

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