NAPC – NEDA – DBM – DILG

Joint Memorandum Circular No. 1

Series of 2021

FOR : Heads of National Government and Regional Line Agencies and Offices (CHEd,
CDA, CFO, CWC, DA, DAR, DBM, DepEd, DENR, DILG, DoF, DoH, DoLE, DSHUD,
DSWD, DTI, NAPC, NCIP, NDRRMC, NEDA, NYC, OPAPP, PCUP, PCW, TESDA,
GOCCs, and GFIs); LGU Leagues, All Provincial Governors and Members of the
Sangguniang Panlalawigan; All City/Municipal Mayors and Members of the
Sangguniang Panglungsod/Bayan, NAPC Sectoral Representatives Council and
Basic Sectoral Councils; and Private Sector

SUBJECT : Guidelines and Procedures for the Formulation of the National Poverty Reduction
Plan

Pursuant to Section 8 of the Republic Act No. 11291, otherwise known as the Magna Carta of the Poor, and
Section 19 of its Implementing Rules and Regulations, the following guidelines and procedures for the
formulation of the National Poverty Reduction Plan are hereby promulgated.

I. GENERAL FRAMEWORK

The formulation of the National Poverty Reduction Plan shall subscribe to the following framework and
principles as governed by the 1987 Philippine Constitution and Republic Act (RA) No. 8425 or the Social
Reform and Poverty Alleviation Act:

1.1. Autonomy and independence of the basic sectors and their meaningful participation and active
representation in the planning, decision-making, implementation and monitoring and
evaluation process must be ensured
1.1.1 Section 15, Article XIII of the 1987 Philippine Constitution cites the independence of
organizations to enable the people to pursue and protect, within the democratic
framework, their legitimate and collective interests and aspirations through peaceful
and legal means;
1.1.2 Section 16 of the same article also promotes the rights of the people and their
organizations to effectively participate at all levels of social-political and economic
decision-making.

1.2. Institutionalization of the Social Reform Agenda (SRA) and the four multi-dimensional
approaches to poverty, including social, economic, ecological and governance reforms, for
adoption and integration in the National Anti-Poverty Action Agenda (NAPAA).
1.2.1. Section 5 (1) of the RA No. 8425 states the incorporation of the SRA into the
formulation of development plans at the national, regional, sub-regional and local
levels;
1.2.2. There shall also be efficiency in the implementation of anti-poverty programs through
strengthening and streamlining of present poverty alleviation processes and
mechanisms and non-duplication of functions and activities among government
agencies, per Section 5 (2) of RA No. 8425;
1.2.3. Section 7 of RA No. 8425 emphasized among the functions to be exercised by NAPC
include the coordination with local government units in the formulation of social
reform and poverty alleviation programs for their respective areas in conformity with
the NAPAA;
1.2.4. Section 12 of RA No. 8425 further cited the role of the LGU, through local development
councils of province, city, municipality or barangay, in formulating, implementing and
monitoring and evaluating of the NAPAA in their respective jurisdictions.

Office of the Vice Chairperson for Basic Sectors

3F LWUA Building, MWSS-LWUA Compound, Katipunan Avenue, Quezon City 1105
 1.3. All actions in relation to the formulation of the National Poverty Reduction Plan (NPRP) must
be in accordance with the National Anti-Poverty Action Agenda (NAPAA) to ensure
coordination and synchronization of the social reform and poverty alleviation programs of the
government, as mandated in Section 5 (3) of RA No. 8425.

1.4. Transparency and Accountability in the planning and budgeting process must be ensured.
1.4.1. All concerned stakeholders, particularly the basic sectors, must be empowered and
completely informed to actively participate in the planning and budgeting process;
1.4.2. Internal and external oversight mechanisms must be put into effect on this matter.

II. STATEMENT OF POLICY

This Joint Memorandum Circular (JMC) recognizes the policy of the State to comply with its international
obligations to end poverty in all its forms. In accordance with Section 8 of the Magna Carta of the Poor, all
government agencies are mandated to formulate the National Poverty Reduction Plan (NPRP) within one
hundred (100) days from the approval of the Implementing Rules and Regulations of the said Act.

The NPRP, with its strategic goal to eliminate deprivation of the poor, shall adhere to the following
principles:

2.1. Fundamental Rights of the Poor. Implementation of anti-poverty programs, projects and
activities to provide the requirements, conditions and opportunities for the full enjoyment or
realization of the following fundamental rights as stipulated in the Magna Carta of the Poor:
2.1.1. Right to Adequate Food;
2.1.2. Right to Decent Work;
2.1.3. Right to Relevant and Quality Education;
2.1.4. Right to Adequate Housing; and
2.1.5. Right to the Highest Attainable Standard of Health

2.2. Progressive Realization. Following Section 4 of the Act and Section 5 (b), Rule I of the IRR, the
NPRP shall be a time-bound and resource-bound plan.
2.2.1. The NPRP ends its effectivity upon the sustainable elimination of the deprivations of
the poor based on the five rights.
2.2.2. The length of NPRP’s life, in turn, shall be dependent on the resources that the
government can commit per budget cycle.
2.2.3. The NPRP’s life cycle shall be divided into a three year-period, which allows for review
of existing context and revision of thresholds or target outcomes.

2.3. Participatory Targeting and Validation Process, and Equitable Participation of Stakeholders.
Following Sections 2 (d), 3 (g); 7, 9 and 11 of the Magna Carta of the Poor, and Section 4, Rule
I and Section 18, Rule V of its IRR, the NPRP shall adopt a focused and bottom-up approach on
poverty reduction.
2.3.1. Resources will be concentrated on targeted individuals and households among the
poor to maximize poverty impact, notwithstanding the recognition of the non-
diminution of the rights of the poor as specified in Section 5 of the Act;
2.3.2. Participatory targeting and validation process shall be guided by available evidence
and data, specifically on household and community conditions, deprivations,
endowments, and capabilities;
2.3.3. The NPRP shall be formulated in a bottom-up approach involving the autonomous and
independent formations from basic sectors, which shall be engaged via inclusive and
participatory processes;
2.3.4. The genuine participation of the basic sectors and civil society organizations, along
with their significant roles in the NPRP formulation, implementation and monitoring
must be fully realized from the local and regional to national level;
2.3.5. The NPRP shall also recognize the important role and active participation of the local
government units (LGUs) in poverty reduction and operationalization of the Social
Reform Agenda (SRA), pursuant to RA 8425 and its IRR.

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 2.4. Convergence. Following Section 8 of the Act and Sections 18 and 20, Rule V of the IRR, the
NPRP shall be formulated through the convergence of anti-poverty programs, activities,
projects of government agencies that are already engaged in service delivery and poverty
reduction efforts. This convergence shall include initiatives and actions of the following
institutions:
2.4.1. National Government Agencies (NGA),
2.4.2. Local Government Units (LGUs),
2.4.3. Government-Owned and Controlled Corporations (GOCC),
2.4.4. Government Financial institutions (GFI),
2.4.5. Constitutional Bodies and/or Chartered Bodies,
2.4.6. State Universities and Colleges (SUCs), and
2.4.7. Other instrumentalities of the government towards the progressive realization of the
five fundamental rights of the poor.

2.5. Accountability. Following Section 4 of the Act and Section 5 (e), Rule II of the IRR, all targets
under the NPRP shall be assigned to specific lead agencies, which shall ensure that the targeted
thresholds are met and properly attributed within the specified period, resources and
performance.
2.5.1. Accountability of the government agencies and other instrumentalities, including the
Local Government Units must always be ensured in the formulation and
implementation of the NPRP.
2.5.2. The basic sectors accountability to actively participate in the formulation process and
during the monitoring and evaluation of the NPRP implementation must also be
ensured to hold the agencies to account.

2.6. Transparency. In pursuit of the open governance, all stakeholders are required to be
transparent in the processes of formulation, implementation and monitoring and evaluation
of the NPRP.
2.6.1. Provision of an enabling environment for greater accountability and following the
process as prescribed in the provisions of Budget Accountability under Book VI of the
1987 Administrative Code of the Philippines;
2.6.2. Commitment to allow the basic sectors and civil society organizations to actively
participate in the process; and
2.6.3. Allowing other stakeholders to inquire, have access to, and to a certain extent
recommend policies to further improve efficiency of the NPRP operationalization

III. PURPOSE

This Circular provides the guidelines and procedure for the formulation, approval, implementation,
mainstreaming, and monitoring and evaluation of the National Poverty Reduction Plan (NPRP), as detailed
in Rule VI of the Implementing Rules and Regulations (IRR) of Republic Act 11291 or the Magna Carta of
the Poor, in order to make it an effective instrument to eliminate deprivation vis-à-vis the five rights of the
poor.

IV. DEFINITION OF TERMS

For the operationalization of this Circular, the following terms are hereby defined:

4.1. Basic Sectors refer to Filipinos belonging to the 14 disadvantaged sectors of the society as
stipulated in Republic Act No. 8425 or the Social Reform and Poverty Alleviation Act, namely
the Artisanal Fisherfolk, Children, Cooperatives, Farmers and Landless Rural Workers, Formal
Labor and Migrant Workers, Indigenous Peoples and Cultural Communities, Non-Government
Organizations (NGOs), Persons with Disabilities (PWD), Senior Citizens, Urban Poor, Victims
of Disasters and Calamities (VDC), Women, Workers in the Informal Sector, and Youth and
Students. Basic Sectors may also refer to the duly elected Council Members, serving as

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 representatives of different organizations in the NAPC Basic Sectoral Councils, including their
affiliates.
4.2. Basic Sectoral Councils (BSCs) refer to the 14 Sectoral Councils of the National Anti-Poverty
Commission composed of official basic sector representatives/council members, who are duly
elected following the process of the National Sectoral Assembly (NSA), as provided in Republic
Act No. 8425 or the Social Reform and Poverty Alleviation Act. Each Sectoral Council,
representing different organizations and covering all regions nationwide, is composed of a
maximum of twenty-five (25) organization leaders, who are geographically distributed in
different provinces across the country.
4.3. Civil Society Organizations (CSOs) refer to the non-state, non-profit and voluntary entities
formed by the people in the social sphere that are separate from the State and the market, and
representing a wide-range of issues and interests. CSOs include peoples’ organization,
community-based organizations and other non-government and/or faith-based and issue-
based organizations nationwide.
4.4. Comprehensive Development Plan (CDP) refers to the multi-sectoral plan developed by the
city/municipal LGU as described by the documents “Rationalizing the Local Planning System:
A Source Book, 1st Edition”, pursuant to the DILG-NEDA-DBM-DOF Joint Memorandum
Circular (JMC) No. 1 s. 2007, and “Local Planning Illustrative Guide: Preparing and Updating
the Comprehensive Development Plan”, pursuant to DBM-DILG-DOF-NEDA JMC No. 1 s. 2016.
4.5. Core Regional Indicator System (CoRe-IS) refers to the set of indicators that aims to monitor
the social, economic, political, cultural, and environmental developments at the regional level
approved for adoption by the Philippine Statistics Authority (PSA) Board through Resolution
No. 10, s. 2017.
4.6. Local Development Investment Program (LDIP) refers to the program developed by the
city/municipal LGU to allocate the investible portion of the annual general fund budget for
funding the development programs, projects, and activities identified in the CDP.
4.7. Local Development Indicator System (LDIS) refers to the system established by Annex 3.1
of “Rationalizing the Local Planning System: A Source Book, 1st Edition” issued by the DILG in
2008, pursuant to Section 5.1.1 of DILG-NEDA-DBM-DOF JMC No. 1 s. 2007.
4.8. Local Poverty Reduction Action Plan (LPRAP) refers to the LGU plan which contains
programs and projects collectively draw through a participatory process by the LGU with
NAPC Basic Sectors, CSOs and other stakeholders, and which will directly address the needs of
the poor constituencies and the marginalized sectors in the city or municipality, pursuant to
Department of Interior and Local Government’s (DILG) Memorandum Circular (MC) No. 2001-
109 issued August 21, 2001 and MC 2001-105 issued August 31, 2001 as improved by MC
2003-92 issued April 29, 2003, and DILG’s Guide to LPRAP Workshop for Grassroots
Participatory Process (GPP) issued 2016.
4.9. Local Poverty Reduction Action Team (LPRAT) refers to the group to spearhead the
formulation and monitoring of the LPRAP, as initially defined DILG MC 2003-92 issued April
29, 2003. LPRAT was further refined to a refer to city/town level body by the National Budget
Memorandum (NBM) No. 121 issued March 18, 2014, DBM-DILG-DSWD-NAPC Joint MC No. 7
issued November 3, 2015, and DILG’s Guide to LPRAP Workshop for GPP issued 2016. Under
all processes relevant to the implementation of the Act, the LPRAT shall be defined under Rule
VII (Institutional Mechanisms).
4.10. National Anti-Poverty Commission (NAPC) refers to the agency created under the Office of
the President, which shall serve as the coordinating and advisory body for the implementation
of the Social Reform Agenda. In accordance with Republic Act No. 8425, the President of the
Republic of the Philippines chaired the NAPC with Vice Chairperson for the Government Sector
and heads of national government agencies and LGU Leagues, Vice Chairperson for Basic
Sectors and the 14 Basic Sectoral Councils and the Lead Convenor, which heads the Secretariat
of the Commission.
4.11. NAPC Secretariat refers to the body headed by the Lead Convenor, which is primary
responsible to provide technical and administrative support to the National Anti-Poverty
Commission. It is composed of the Office of the Secretary, Administrative and Finance
Management Service (AFMS), Basic Sector Coordination and Advocacy Service (BSCAS), Local
Affairs Coordinating and Monitoring Service (LACMS), and Policy and Planning Service (PPS).
4.12. Philippine Development Plan (PDP) refers to the six-year development plan of the current
administration, developed by NEDA pursuant to Section 5, Executive Order (EO) No. 230 s.
1987.

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 4.13. Philippine Investment Program (PIP) refers to the rolling six-year public investment plan
developed by NEDA and anchored on the existing PDP that serves as the primary basis for
public sector resource allocation, pursuant to Section 5, Executive Order (EO) No. 230 s. 1987.
4.14. Provincial Development and Physical Framework Plan (PDPFP) refers to the provincial plan
as described in the Provincial/Local Planning and Expenditure Management (PLPEM)
Guidelines, pursuant to DILG-NEDA-DBM-DOF JMC No. 1 s. 2007.
4.15. Provincial Development Investment Program (PDIP) refers to the program developed by
the provincial LGU to allocate the investible portion of the annual general fund budget for
funding the development programs, projects, and activities identified in the PDPFP, consistent
with the Regional Development Investment Program (RDIP) and PIP.
4.16. Rationalized Planning Indicator and Data Set (RaPIDS) refers to the information system
established by the “Local Planning Illustrative Guide” issued by the DILG in 2016.
4.17. Regional Basic Sectors Coordinating Council (RBSCC) refers to the regional platform
adopted by the Basic Sectoral Councils and supported by the HDPRCC to push for local sectoral
engagement for the advancement of the basic sector agenda and complementation of the
operation of the Sectoral Councils. The RBSCC is composed of all the duly elected NAPC Basic
Sectoral Council Members residing and/or whose organization operates in the corresponding
region. The RBSCC Executive Council is composed of Regional Coordinator, Regional Co-
Coordinator and Provincial Coordinators. The NAPC Secretariat – LACMS serves as the
secretariat of the RBSCC, in coordination with the OVCBS-SRC.
4.18. Regional Development Councils (RDC) refers to the body created by Article X, Section 14 of
the 1987 Constitution composed of local government officials, regional heads of departments
and other government offices, and representatives from non-governmental organizations
within the regions for purposes of administrative decentralization to strengthen local
autonomy and to accelerate the economic and social growth and development of the units in
the region.
4.19. Regional Development Plan (RDP) refers to the regional-level development plan drafted by
the RDCs consistent with the PDP, pursuant to Executive Order (EO) No. 308, s. 1987.
4.20. Regional Development Investment Program (RDIP) refers to the rolling multi-year public
investment plan at the regional level developed by RDCs and anchored on the existing PIP,
consistent with the PIP, pursuant to Executive Order (EO) No. 308, s. 1987.
4.21. Results Matrix (RM) refers to the set of indicator statements and annual targets based on the
national, regional, provincial, or local development plans.

V. TECHNICAL PREPARATION FOR THE NPRP FORMULATION

The NPRP operates under the principle of progressive realization; therefore, its performance vis-à-vis the
realization of the rights should be measurable. Set of ndicators, baselines, thresholds and consolidated
plans shall form part of the references for the formulation of the NPRP.

5.1. Identification of the Indicators, Baselines and Thresholds. Section 14 (4), Rule IV of the
IRR tasks the Inter-Agency Committee on Poverty Statistics (IAC-PovStat) to develop a set of
indicators and baseline for the NPRP, while NAPC with technical assistance from NEDA per
Section 19 (5) of the IRR shall prepare the national, regional and provincial thresholds,
considering geographic differences in unit costs to the extent that is feasible.

5.1.1. The IAC-PovStat, unless otherwise specified by the PSA, shall refer to the specific body
created by PSA Memorandum Order no. 11 S. 2017 superseded by PSA Memorandum
Order No. 1 S. 2020.

5.1.2. To the extent possible, the set of indicators and sub-indicators, as well as the relevant
definitions, shall be made compatible and consistent with the following:
5.1.2.1. “Sustainable Development Goals (SDGs)” of the United Nations (UN);
5.1.2.2. “Principles and Guidelines for a Human Rights Approach to Poverty
Strategies” by the United Nations (UN) Office of the High Commissioner for
Human Rights (OHCHR);
5.1.2.3. Global Multidimensional Poverty Index (MPI) developed by the Oxford
Poverty and Human Development Initiative (OPHI);

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 5.1.2.4. Philippine MPI developed by the PSA;
5.1.2.5. NEDA’s CoRe-IS;
5.1.2.6. Existing local indicator systems including the LDIS and RaPIDs.

5.1.3. For national, regional, and provincial level estimates, the Annual Poverty Indicators
Survey (APIS) shall be used as the primary data source for the indicators, which shall
be repurposed to measure non-income correlates of poverty and the aforementioned
set of indicators and non-indicators.

5.1.4. A Multidimensional Poverty Index (MPI) for capturing aggregate societal progress on
the fulfillment of the fundamental rights, derived from the aforementioned
deprivation indicators, shall be designed and computed. Estimates of the Alkire-
Foster family of indices, which includes headcount ratio (poverty incidence), poverty
gap, and squared poverty gap, as well as multidimensional inequality estimates, shall
be released;

5.1.5. The baseline shall be a geographic dashboard of deprivations, i.e. the number of
people suffering from deprivations per each indicator (for each right) and per each
region and province, and if wherever possible, per municipality/city and barangay, as
computed at the start of the NPRP. A baseline figure for the multidimensional poverty
measure will likewise be included.

5.1.6. The indicators, sub-indicators, the multidimensional poverty index methodology, and
the baseline shall be released within fifteen (15) days from the issuance of this JMC.
The IAC-PovStat shall be asked to present to NAPC and the 14 Sectoral
Representatives (SR) the proposed indicators. This shall commence a period of one
(1) week for the revisions of the indicator list and the subsequent recalculations of
baseline based on the comments.

5.1.7. Setting the thresholds is a technical exercise, to be calculated from the baseline and
the unit costs and resource constraints specified by the DBM. To fully comply with the
intent of the IRR, the tentative thresholds will be prepared by a Technical Working
Group (TWG) composed of the following:
5.1.7.1. Technical Committee on Baselines, Thresholds and Targets, NAPC
(coordinator)
5.1.7.2. National Policy and Planning Staff (NPPS), NEDA
5.1.7.3. Fiscal Planning and Reforms Bureau (FPRB), DBM

5.1.8. To set the thresholds, the following procedure shall be done:

5.1.8.1. The total cost of expanding the government’s Programs, Activities, and
Projects (PAPs) to close the gap in the full realization of the rights of the poor
(based on the baselines) shall be calculated. Accordingly, the PAPs types
shall be categorized to correspond to the indicators. The costs of these PAPs
shall be broken down per indicator, unit (individual, household, family, or
community), and geographic area.
5.1.8.2. Given the total cost and cost breakdown, there shall be annual estimates of
fiscal resources that can be allocated towards the full realization of the
rights of the poor.
5.1.8.3. From the annual estimates of resources, an annual optimal allocation of
resources across the PAPs types corresponding to the NPRP indicators shall
be determined until the full realization. From the annual allocation, the
projected number of units lifted from each deprivation will be estimated per
geographic area. These annual projected numbers shall be the tentative
thresholds.
5.1.8.4. For each of the PAPs referred to in Rule III of the IRR, the corresponding
Organizational Outcomes (OOs) and Major Final Outputs (MFOs) will be
extracted from the corresponding implementing agency’s Program
Expenditure Classification (PREXC). These OOs and MFOs shall be matched

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 to the closest NPRP indicator, and shall be translated in terms of
contribution to the elimination of deprivations in that indicator.
5.1.8.5. The gap between the tentative thresholds and the MFOs shall be calculated
as the final thresholds. The final thresholds shall be used as a basis for the
recommended expansion of existing PAPs or the creation of new ones. The
thresholds shall be measured by indicators and expressed as triennial
reduction – at the provincial, regional, and national levels – of (i) the
proportion of the units suffering from the deprivation in each of the
specified indicators and (ii) the multidimensional poverty measure,
assuming the optimal use of resources during the period.

5.1.9. The calculation of the costs shall proceed as follows:

5.1.9.1. The DBM shall provide regionally-disaggregated estimates of the units costs
(per household or per community) of the fulfillment of the rights of the poor
based on the cost of providing the relevant PAPs.
5.1.9.2. The unit costs shall be multiplied to the existing baseline to estimate the
total cost.
5.1.9.3. Assuming that the number of units increases per year at the general rate of
population increase, the additional costs per year shall be calculated. The
estimates shall be based on the regional price levels and annual projected
periods for all the years the NPRP is expected to be in operation, as provided
for the PSA.
5.1.9.4. The cost calculations shall assume that the necessary programs and services
will continuously be funded at a level necessary so that the previously
deprived won’t fall back to deprivation.

5.1.10. The estimation of available resources shall proceed as follows:

5.1.10.1. The DBM shall calculate, for the expected years the NPRP will be in
operation, the annual estimates of fiscal resources that can be allocated by
the national government towards the elimination of deprivation across the
NPRP indicators, given the projected sectoral composition of expenditures
and forward estimates (FE) of the DBM.
5.1.10.2. The DBM shall calculate, for the expected years the NPRP will be in
operation, the annual estimates that will be made available to LGUs as
National Tax Allotments (NTA) given the Supreme Court (SC) ruling on
Mandanas, et al. v. Executive Secretary, et al. (G.R. Nos. 199802 and 208488)
and the subsequent Executive Order (EO) No. 138 s. 2021 that provided
guidelines for the further devolution of government services.

5.1.11. Given the constraint of available annual resources, distribution of resources among
deprivations to be addressed in each year shall be decided following a system of
allocation. The expected reduction of the deprivations due to resources allocated shall
define the annual target outcomes. The algorithm for the precise allocation of
resources given the baseline shall be described in a technical annex to this JMC, to be
provided by NAPC Secretariat, in coordination with government and basic sectors.

5.1.12. Each target outcome will be assigned to an agency or a group of agencies with a
particular lead agency, as the primary measure of the agency’s/lead agency’s
performance vis-à-vis the NPRP. Accordingly, the target outcomes will be
incorporated as an organizational objective of the agency/lead agency, upon
harmonization of the NPRP, PREXC, and the PDP RM.

5.2. Consolidation and Assessment of Existing Sectoral and Local Plans, including
Development Plans and Roadmaps

5.2.1. Sectoral plans shall refer to national-level or agency-level plans or roadmaps that
influence the achievement of the rights of the poor. They shall be considered as inputs
in the formulation of target outputs and programs per Section 19 (1) of the IRR.

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 5.2.1.1. A Technical Working Group with NAPC Basic Sectors and NEDA, and with
the assistance from the NAPC Secretariat, shall be tasked to consolidate all
sectoral plans and roadmaps, which will form part of the reference for the
NPRP formulation. The TWG shall be composed of:
a. NAPC Basic Sectors, through the OVCBS-SRC;
b. National Policy and Planning Staff (NPPS), NEDA;
c. Social Development Staff (SDS), NEDA; and
b. Policy and Planning Service (PPS), NAPC Secretariat
5.2.1.2. The following sectoral plans and roadmaps will be considered in the
consolidation process:
a. PDP, particularly its social components, and the corresponding entries
in the PDP RM;
b. Roadmap of the Human Development and Poverty Reduction Cluster
(HDPRC) of the Cabinet;
c. National Housing and Urban Development Sector Plan (NHUDSP) of
DHSUD;
d. Philippine Labor and Employment Plan (PLEP) 2017-2022 of DOLE;
e. Philippine Plan of Action for Nutrition (PPAN) 2017-2022;
f. Social Protection Plan 2020-2022;
g. Health Sector Reform Agenda (HSRA) of DOH;
h. Roadmap for Public Higher Education Reform of CHED;
i. Philippine Water Supply and Sanitation Master Plan (PWSSMP) 2017-
2040;
j. DepEd’s various roadmaps, including but not limited to the Commons
Roadmap and the Alternative Learning System (ALS) Strategic
Roadmap; and
k. Priority Sectoral Agenda of the NAPC Basic Sectors

5.2.1.3. From the sectoral plans, the target outcomes and outputs will be
systematically extracted by the TWG into a list, which will then be
recategorized and aligned following the triennial thresholds so it can be
determined to what extent the fulfillment of the five rights can already be
covered by existing sectoral plans and roadmaps.

5.2.1.4. The TWG shall conduct a series of inter-agency and multi-sectoral

convergence meetings to present and validate the list of sectoral plan
outcomes and outputs aligned with the thresholds. The TWG will also collect
proposals from various agencies and basic sector representatives on
proposals and interventions.

5.2.2. Local plans shall refer to LGU-level plans or roadmaps that influence the achievement
of the rights of the poor. They shall be considered as inputs in the formulation of target
outputs and programs per Section 19 (1) of the IRR.
5.2.2.1. A Technical Working Group with NAPC Basic Sectors and DILG, and with
assistance from the NAPC Secretariat, shall consolidate all local plans. This
TWG shall be composed of:
a. NAPC Basic Sectors, through the OVCBS-SRC;
b. Bureau of Local Government Development (BLGD), DILG; and
c. Local Affairs Coordinating and Monitoring Service (LACMS), NAPC
Secretariat

5.2.2.2. The following local plans will be considered in the consolidation process:
a. LPRAP;
b. LDIP and AIP; and
c. CDP, PDPFP and its social component

5.2.2.3. The TWG, via the LACMS, shall systematically categorize the project
proposals contained in the LPRAPs already with NAPC, with each project
assigned to the appropriate threshold to the extent possible, or according to

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 the five rights. The TWG shall prepare a report on the distribution of projects
across geography and rights in terms of number and total costs.

5.2.2.4. Obtaining Additional Information from the CDP, LDIP, and AIP – The BLGD
shall present to the TWG any poverty-related information which can be
extracted from DILG’s database of local plans. The TWG can also sample the
LDIPs and AIPs of some LGUs without LPRAPs for poverty-related projects
which can be added to its earlier list of projects.

5.3. Identification of Beneficiaries. Following Section 7 of this Act, a Single System of

Classification for the Targeting of Beneficiaries shall be developed by the NEDA, in
consultation with PSA, while the DSWD, in coordination with NEDA and NAPC shall identify
the beneficiaries of the government’s poverty alleviation programs and projects.

5.3.1. The database of targeted beneficiaries to be developed by the DSWD in coordination

with NAPC and NEDA, in accordance with Section 16 (1) of the IRR, shall also serve as
the source of information in identifying the poor households and individuals, who
shall benefit from the government’s anti-poverty interventions.

5.3.2. The NAPC Basic Sectors and the concerned LGUs shall validate the selected
beneficiaries of the government’s programs and projects, in accordance with Section
16 (3) of the IRR.

VI. BOTTOM-UP PLANNING PROCESS

The process of generating the local poverty reduction action plans and consolidating and harmonizing it
for the formulation of the NPRP shall follow the bottom-up planning process, in accordance with existing
mechanisms of NAPC.

6.1 Institutionalizing the Mechanisms of NAPC. The full realization and implementation of the
NPRP depends on the combined efforts of the government and basic sectors, who are part of
the National Anti-Poverty Commission. The NAPC Government Sector is duty-bound to fulfill
its obligations to the poor, while the NAPC Basic Sectors serves as the partners in governance
and the primary client in the implementation of the Magna Carta of the Poor.

6.1.1. In institutionalizing the Social Reform Agenda (SRA) as mandated in RA No. 8425,
mechanisms must be put in place for the incorporation of the sectoral agenda in the
NPRP.

6.1.1.1. Among the principles governing NAPC include the institutionalization of

basic sectoral and non-government organizations’ participation in effective
planning, decision-making, implementation, monitoring and evaluation of
the SRA at all levels.
6.1.1.2. Among the roles of the LGUs, per Chapter IV, Section 34 of RA No. 7160 or
the Local Government Code, include the promotion of establishment and
operation of people’s and non-governmental organizations to become active
partners in the pursuit of local autonomy.
6.1.1.3. The Governance Dimension as one of the provisions in AO 21, s. 2011 also
states that the SRA involves reforms that will address the issue of political
equity and equal participation in all venues of society, especially on
decision-making and management processes that affect their rights, interest
and welfare. The government shall ensure that sectoral representation is
institutionalized at all levels of government with particular emphasis on
decision-making structures of the different LGUs.

6.1.2. SRA Mechanism of the NAPC, including the formation of Flagship Teams from national
to local level shall be an effective strategy in the incorporation of the basic sectoral

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 agenda in the NPRP, as anchored on the four (4) multi-dimensional approaches to
poverty.

6.1.3. Through the mechanisms already provided in NAPC, accountability as enshrined in

the Act, along with the harmonization and synchronization of the poverty eradication
measures and public mobilization and participation shall serve as significant
components of the NPRP.

6.1.4. If the identified local and national anti-poverty interventions is still found to be weak
on addressing specific deprivations and pathways into poverty in specific areas, or
the target outcomes are projected not be fulfilled given existing NPRP PPAs, then
NAPC, pursuant to its powers and responsibilities under Rule IV of the IRR of RA 8425,
shall propose a set of flagship anti-poverty programs (APPs) to be implemented by
flagship lead agencies.

6.2. Convening of the Reconstituted LPRAT. Following the DBM-DILG-DSWD-NAPC Joint

Memorandum Circular No. 7, s. 2015, the LPRATs shall be reconstituted in every local
government unit for the formulation of the LPRAP.

6.2.1. DILG, in coordination with the concerned Local Chief Executives and NAPC Basic
Sectoral Councils, shall lead the process of convening the LPRATs, particularly the
representation of the civil society organizations.
6.2.2. In reconstituting the LPRAT, the previously elected CSO leaders following the last
conducted Local CSO Assembly shall be reinstated as the CSO representatives to the
LPRAT.
6.2.3. If the CSO representation is no longer complete, the other recognized CSOs shall fulfill
the remaining slots, with guidance from the NAPC Basic Sectoral Councils. They shall
also elect the LPRAT Co-Chair if the Co-Chair is no longer available to perform its
duties and functions.
6.2.4. If the original CSO representatives to the LPRAT are no longer present, then another
Local CSO Assembly shall be organized by the DILG, in coordination with the NAPC
Basic Sectoral Councils.
6.2.5. Succeeding Local CSO Assemblies and reconstitution of the LPRAT shall be done in
accordance with the periodic review of the NPRP every three (3) years.

6.3 Local Poverty Reduction Action Planning Workshop. Pursuant to DILG’s Memorandum
Circular (MC) No. 2001-109 issued August 21, 2001 and MC 2001-105 issued August 31, 2001
as improved by MC 2003-92 issued April 29, 2003, and the DILG’s Guide to LPRAP Workshop
for GPP issued 2016, the LGUs shall formulate and/or conduct a periodic review and updating
of their respective LPRAPs.

6.3.1. The Technical Working Group, created under Section 5.2.2.1 of this Circular, and in
coordination with the SRA Flagship Teams and concerned LGUs, shall facilitate a
series of Local Poverty Reduction Action Planning Workshops in every LGU to either
update their existing LPRAPs or draft new ones, using the identified NPRP indicators
as categories for the budget proposals and the thresholds for stating the intended
beneficiaries.

6.3.2. The LPRAP formulation, review and updating by the LPRAT shall follow the
prescribed planning process as stipulated in the DBM-DILG-DSWD-NAPC Joint
Memorandum Circular No. 7, s. 2015.

6.4. Consolidation, Validation and Finalization of LPRAPs at the Regional Level. All LPRAPs
shall be consolidated for harmonization, in accordance with the identified indicators, baselines
and thresholds.
6.4.1. A Technical Working Group shall be established at the regional level to lead the
consolidation and harmonization of the LPRAPs.
6.4.2. The Regional Technical Working Group shall be composed of the following:
6.4.2.1. NAPC Basic Sectors, through the RBSCC

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 6.4.2.2. NEDA Regional Field Office
6.4.2.3. DILG Regional Field Office
6.4.2.4. DBM Regional Field Office

6.4.3. The Technical Working Group shall be assisted by the NAPC Secretariat, through its
Local Affairs Coordinating and Monitoring Service (LACMS).

6.4.4. Regional Workshops shall be conducted, with representatives from Agencies, LGUs
and Basic Sectors, to validate, analyze and finalize the LPRAPs, for consolidation and
submission at the national level.

6.5. Review of the Consolidated Local Poverty Reduction Plans at the National Level. Per
Section 19 (5) of the IRR, NAPC shall consolidate all outputs of the processes outlined above
into the final form of the NPRP.

6.5.1. The NAPC Basic Sectors, through the OVCBS-SRC, shall ensure that the NPRP shall be
aligned with the set of policy measures of the Social Reform Agenda, as mandated in
Republic Act No. 8425.

6.5.2. From the thresholds and inputs from the sectoral and local plans, the NAPC basic
sectors, in coordination with NEDA, DILG and DBM, and with assistance from the
NAPC Secretariat, shall prepare a list of recommended changes to agencies’ OOs and
MFOs in their respective PREXC for expanding the government capacity in fulfilling
the five fundamental rights under the Magna Carta of the Poor.

6.5.3. NAPC basic sectors, with assistance from the NAPC Secretariat, shall also prepare a
list of recommended targets for inclusion in the RMs of subsequent PDPs and RDPs
coming from the sectoral plans.

6.5.4. The final form of the NPRP shall contain the following:
6.5.4.1. Indicators and multidimensional poverty measurement of the rights of the
poor;
6.5.4.1. Triennial thresholds based on the unit cost of eliminating deprivations per
indicator and resource projections;
6.5.4.1. List of recommended changes to agencies’ OOs and MFOs in their respective
PREXC for expanding the government capacity in fulfilling the five rights;
6.5.4.1. List of recommended targets for inclusion in the RMs of subsequent PDPs
and RDPs coming from the sectoral plans;
6.5.4.1. List of locally proposed projects per province from LPRAPs and LDIPs
categorized according to the thresholds and the rights;
6.5.4.1. Proposed flagship anti-poverty programs and projects

6.5.5. Notwithstanding any other annexes the agencies would like to add to the NPRP, the
NPRP shall contain the following technical annexes:
6.5.5.1. Algorithm for allocation of resources across indicators based in resource
constraints
6.5.5.2. Assessment of the macroeconomic impact of fulfilling the threshold
6.5.5.3. Assessment of expert groups in multidimensional poverty and operations
research

6.6. Approval of the NPRP. NAPC Secretariat shall facilitate the consolidation of the NPRP,
following the above-stated process.

6.6.1. The NAPC Secretariat shall seek the concurrence of the NAPC Government Sector
headed by the Vice Chairperson for Government Sector and heads of national
government agencies (NGAs) and LGU leagues, and of the NAPC Basic Sectors headed
by the Vice Chairperson for Basic Sectors and the members of the Sectoral
Representatives Council (SRC), prior to submission of the final NPRP.

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 6.6.2. The NPRP and its technical annexes, along with the concurrences, shall be submitted
by the NAPC Secretariat to the President for approval.

6.6.3. Immediately upon approval, the NPRP shall be implemented accordingly, subject to
monitoring and evaluation and periodic review as mandated by the Act.

VII. MONITORING AND EVALUATION, GRIEVANCE REDRESS MECHANISM

The NPRP and all its component national and local programs shall be subjected to monitoring and
evaluation (M&E) processes and shall follow the Philippine National Evaluation Policy (PNEP) framework.

7.1. NAPC, particularly the basic sectors, will be tasked to monitor the compliance of the national
government agencies in aligning their respective development, investment and poverty
reduction plans, with the approved NPRP.
7.2. The NAPC basic sectors shall also monitor and evaluate the implementation of the NPRP
targets, programs and projects.
7.3. In compliance with the provision on reporting as stated in Section 14 of the Act, the NAPC basic
sectors shall be assisted by the NAPC Secretariat in producing the monitoring report, in
coordination with implementing departments, agencies and offices, subject to submission in
Congress.
7.4. A Grievance Redress Mechanism shall also be established, following the mechanism as
provided in the DBM-DILG-DSWD-NAPC Joint Memorandum Circular No. 7, s. 2015.
7.5. A system of assessment on poverty eradication measures shall also be initiated by the national
government agencies, focusing on the analysis of outcomes and impacts of the identified
assistance for the targeted beneficiaries.

VIII. REVIEW MECHANISM OF THE NPRP

Following Section 22 of the IRR, the NPRP shall be subject for review periodically every three (3) years by
the NAPC, following the provisions stated in this circular, considering the life cycle and stages of the NPRP.

8.1. The NAPC Basic Sectors and concerned local government units, in coordination with
implementing departments, agencies and offices, will ensure that the NPRP will continuously
be updated, following section 21 (1) of the IRR.
8.2. The review shall also determine whether the thresholds for the particular period have been
achieved.
8.3. The indicators and baselines on the fundamental rights of the poor will also be reviewed and
updated, if necessary.
8.4. The identified thresholds for achievements in the succeeding years shall also be revisited by
implementing agencies and offices.
8.5. LPRAPs shall also be updated, in consideration of the identified targets and deliverables.

IX. FUNDING REQUIREMENTS

The budget for the NPRP shall be sourced from the appropriations authorized under the General
Appropriations Act of the different implementing departments, agencies and offices.

The DBM shall review the proposed programs and projects proposed in the NPRP, for inclusion in the
budget of implementing departments, agencies and offices, subject to the usual government budgeting,
accounting and auditing rules and regulations.

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