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February 13, 2012


SUBJECT    :     Clarificatory Guidelines on Memorandum Circular 14-11 on the Grant of National Government Assistance to LGUs (NGALGU) under the Agrarian Reform Communities Project II (ARCP II)

     These guidelines are issued to clarify that the DAR signatories for the Memorandums of Agreement (MOAs) between the Department and Local Government Units intending to avail of the NGALGU under the ARCP II, as provided under Memorandum Circular No. 14, series of 2011, shall be in line with the delegation of signing authorities under General Memorandum Order No. 01, series of 2011. The DAR signatories shall be as follows:

                                                      Witnesses                            First Party

1.   Up to P5 million                  PARO II and                      Regional Director
      Total Subproject Cost        ARCP II National
                                                   Project Coordinator

2.   More than P5 million          Regional Director and       Undersecretary
      up to P10 million                ARCP II National                SSO/PIO, FAPsO
      Total Subproject Cost        Project Coordinator

3.   More than P10 million       Undersecretary SSO/             Secretary
      Total Project Cost              PIO, FAPsO and
                                                   ARCP II National
                                                   Project Coordinator

     As in GMO 01-11, the total subproject cost, and not the amount of NGALGU to be granted, shall be the basis for determining the signing authority. An approving official with a higher level of delegated authority is not precluded from signing MOAs involving total subproject costs lower than what is delegated to him or her. Nothing in this Memorandum Circular shall be construed as limiting the power of the Secretary to review, modify or reverse any action taken by the officials concerned, in accordance with existing laws, rules and regulations.

     Please be guided accordingly.

     Diliman, Quezon City February 13, 2012.

                                      (SGD.) VIRGILIO R. DE LOS REYES



Department of Agrarian Reform
Elliptical Road, Diliman
Quezon City, Philippines
Tel. No.: (632) 928-7031 to 39

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