DBM issues guidelines on Bayanihan grant use

MANILA, Philippines — The Department of Budget and Management (DBM) has issued the guidelines on the use of the P30.82-billion grant to city and municipal governments in their fight against the coronavirus disease 2019 or COVID-19.

Based on Local Budget Circular 125 signed by DBM Secretary Wendel Avisado on April 7, the local government units (LGUs) should be given the Bayanihan Grant to Cities and Municipalities (BGCM) to strengthen their capacity in responding to the health crisis.

The grant is equivalent to the one-month shares in the internal revenue allotments of the LGUs for the fiscal year 2020.

According to the DBM circular, municipal and city governments will receive P18.39 billion and P12.44 billion, respectively.

The BGCM should be used exclusively for COVID-related programs, projects, activities and expenses including procurement of personal protective equipment, testing kits, medicine and vitamins, hospital equipment and supplies, and disinfectants, the DBM said.

The grant may also be used for the purchase of food, transportation and accommodation expenses of medical and other LGU personnel involved in the COVID-19 response, as well as food assistance and provision of other relief goods for affected households.

The LGUs may also use the grant for the construction, repair or lease of additional space for use of COVID-19 patients and persons under investigation and monitoring.

The grant can also be used for the operation of stand-alone or mobile testing laboratories, purchase or lease of spaces for temporary shelters of the homeless, training of personnel and other necessary expenses related in the fight against the virus.

The DBM clarified that the BGCM could not be used as financial or cash assistance, payment of salaries or wages of LGU employees, administrative and travel expenses and other projects or expenses not related to the pandemic.

“The fund may be utilized by cities and municipalities for the duration of the state of calamity as declared by the President by virtue of Proclamation 929 signed on March 16,” the DBM circular read.

Funds that are unused after the state of calamity is lifted will be reverted to the national treasury.

LGUs are required to prepare monthly reports on the use of the grant as well as the status of implementation of their projects or programs related to COVID-19.

These reports should be posted on the LGUs’ website and in three conspicuous public places in the locality at the end of every month.

Meanwhile, the DBM also released Budget Circular 2020-2, which contained the guidelines on the grant of special allowances to frontline public health workers involved in the COVID response.

Under the circular, public health workers will receive a one-time special risk allowance equivalent to a maximum of 25 percent of their monthly basic salary.

Health workers who worked for three to seven days will receive 25 percent of the total amount of incentive.

Those who reported to work for eight to 12 days will receive 50 percent; 13 to 17 days, 75 percent, and those who worked for 18 days or more will received 100 percent.