Meta PixelAnnual Audit Report 2024 — Municipality of Valencia — Page 67

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LDRRMF Utilization

10. Out of the total available Local Disaster Risk Reduction and Management Funds
    (LDRRMF) for the 70% Mitigation Fund, Continuing Appropriations, and
    unexpended LDRRMF from previous years totaling ₱51,085,135.04 for CY 2024,
    only ₱19,653,991.38 or 38.47% was utilized for the implementation of LDRRMF
    programs/projects/activities (PPAs). Thus, the use of the fund was not maximized to
    strengthen the capacity of the Municipality to reduce and manage the adverse
    effects in times of disasters or calamities.

   10.1. Pursuant to Republic Act (RA) No. 10121, otherwise known as the Philippine
         Disaster Risk Reduction and Management Act of 2010, not less than five percent
         (5%) of the estimated revenue from regular sources shall be set aside as the
         LDRRMF to support disaster risk management activities. These include, but are not
         limited to, pre-disaster preparedness programs such as training, procurement of life-
         saving rescue equipment, supplies and medicines, post-disaster activities, and
         payment of premiums on calamity insurance.

   10.2. Anent thereto, the National Disaster Risk Reduction and Management Council
         (NDRRMC), Department of Budget and Management (DBM), and Department of
         the Interior and Local Government (DILG) issued Joint Memorandum Circular
         (JMC) No. 2013-1 dated March 25, 2013, which provides guidelines for LDRRMF
         allocation and utilization. It explicitly provides the necessary measures to avoid,
         lessen, or limit potential adverse impacts of hazards and related disasters. It also
         capacitates governments, communities, and individuals to effectively anticipate and
         manage all types of emergencies and achieve orderly transitions from response to
         sustained recovery.

   10.3. Sections 5.1 to 5.4 of the JMC define disaster prevention and mitigation, disaster
         preparedness, disaster response, and disaster rehabilitation and recovery. The same
         sections enumerate the PPAs under the four thematic areas of disaster risk reduction
         and management for which the LDRRMF may be utilized.

   10.4. In addition, DILG Memorandum Circular No. 2012-73 dated April 17, 2012,
         provides a detailed list of allowable PPAs for which the LDRRMF may also be
         utilized.

   10.5. In CY 2024, the Municipality had a total available appropriation for LDRRMF
         amounting to ₱55,155,775.65, which includes ₱4,070,640.64 appropriated for the
         30% Quick Response Fund. This left a balance of ₱51,085,135.04 available for the
         implementation of LDRRM PPAs, consisting of the 70% Mitigation Fund,
         Continuing Appropriations, and unexpended LDRRMF from previous years.
         However, of this amount, only ₱19,653,991.38 or 38.47% was utilized during the
         year.




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