Local Economic Assistance Program

Local Economic Assistance Program

The program is a package of interventions to assist select LGUs abate the impact of the on-going global financial crisis to local economy. The program shall provide assistance to these LGUs in steering local economic activities and creating opportunities supportive of employment generation and economic growth.

The program covers immediate measures and institutionalization of medium and long-term economic foundation

OBJECTIVES

• Strengthen LGU capacities to manage and implement livelihood projects and emergency employment activities
• Facilitate LGU access to financing facilities to finance projects for poverty alleviation, infrastructure and local development
• Assist LGUs implement strategic and innovative approaches to promote local economic development 

KEY STRATEGIES

• Immediate Measures: Support to LGUs Livelihood and Emergency Employment Projects
• Medium-Term Measures:  LGU Access to Financing
• Long-Term Measures:  Support to Local Economic Development

 

COMPONENT PROJECTS

1.0 Roadside Maintenance along Provincial and City Roads in Quezon and Rizal (SLRF Funded)

Project Objective: 

• Provide emergency employment for the protection of the most vulnerable sectors of society against the effects of global economic crisis. Activities for employment are geared towards roadside maintenance funded under the SLRF.

Project Assistance:

• Emergency Employment

Target Beneficiaries:

• Out of school youth and unemployed members of poorest families in Quezon and Rizal Provinces

2.0 Puhunan para sa Kabuhayan

Project Objective:

• Strengthen the capacities of LGUs to manage livelihood projects while providing livelihood support to cooperatives and peoples organization thru micro-credit financing

Project Assistance:

• Livelihood training and credit financing

Target Beneficiaries:

• Unemployed members of the communities particularly the displaced workers from local industries and overseas who are members of the cooperatives or peoples organizations such as Bayanihan Centers

3.0 Millennium Development Goals Fund (MDG-Fund)

Project Objectives:

• In partnership with the Department of Finance, the MDG Fund (P500M) was established as a financing facility for 4th-6th class municipalities to strengthen their capacities access available financing facility to finance projects that will, among others, generate employment, increase their income, provide access to safe and potable water supply thus improving health and sanitation.

Project Assistance:

• Financing for MDG-responsive projects for 4th-6th class municipalities
• Technical assistance (coaching/mentoring/training) to applicant LGUs in the preparation of their project feasibility studies and in project implementation for LGUs with approved projects

Target Beneficiaries:

• 4th-6th class municipalities and provinces willing to borrow for their 4th-6th class municipalities for MDG-responsive projects

4.0 Enhancing Access and Provision of Water Services with the Active Participation of the Poor (MDGF 1919)

Project Objectives:

• Establish investment support mechanism to improve efficiency, access, affordability and quality of water services provided by utilities at the local community level
• Enhance local capacities to develop, operate and manage water utilities by fostering inclusive participation in decisions relating to water service provision

Project Assistance:

• Policy formulation in terms of financing and programming
• Formulation of Water Supply and Sanitation Investment and Development Plan for 36 municipalities
• Localization of Costumer Service Code (tariff methodology)
• Intensive learning program to LGUs using WATSAN Toolbox 
• Formation of WATSAN Councils 
• Organization of Water User Associations with increased participation and membership especially among women
• Development of IEC Materials

Target Beneficiaries:

• 36 waterless municipalities in Region 2, 5, 9, 10, and CARAGA 

5.0 Provincial Road Management Facility (PRMF-AusAID)

Project Objectives:

• Improve sustainable GOP provision of management and maintenance of core provincial road networks in selected provinces in Visayas and Mindanao
• Strengthen provincial institutional capacity and governance system related to the provision and maintenance of provincial roads

Project Assistance:

• Institutional strengthening and road rehabilitation

Target Beneficiaries:

• 10 provinces in Visayas and Mindanao 

6.0 Grant-in-Aid for Barangay Poverty Projects based on CBMS

Project Objective:

• The project intends to provide grants to LGUs to implement poverty alleviation projects identified based on the results of CBMS and prioritized by the community. This is an expansion of the CBMS Grant being implemented by CBMS partner agencies (CBMS Network-DLSU, DILG, NAPC, NEDA) with the support of UNDP.

Project Assistance:

• Option 1: Financial support for poverty alleviation projects based on CBMS results
• Option 2: Financial support to establish CBMS (Quezon, Rizal and Laguna)

Target Beneficiaries:

• Option 1:Barangays with CBMS which are conflict areas and not KALAHI areas
• Option 2: Barangays without CBMS (which are conflict areas and not KALAHI areas) in Rizal, Quezon and Laguna

7.0 Local Government Support Program for Local Economic Development (LGSP-LED)

Project Objective:

• Reduce poverty by strengthening local governance and supporting local economic development

Project Assistance:

• At the national level: better enabling environment for local LGUs to fully harness their corporate capacities
• At the local level: assist LGUs implement programs that will steer local economies towards job generation and economic growth

Target beneficiaries:

• LGUs and/or LGU alliances