ANNUAL

INVESTMENT
PROGRAM
Annual Investment Program

■ A document showing the total resource requirements for all programs, projects, and
activities (PPAs) of the LGU for the year
■ It reflects plans, such as the Comprehensive Development Plan (CDP), Local
Development Investment Plan (LDIP), and the Comprehensive Land Use Plan (CLUP),
into an annual consolidation of viable programs, projects, and activities (PPAs) of
the different sectors of the LGU

Source: Orientation on the Annual Investment Program, PPDO

PREPARING YOUR AIP
• The first three rows of the template shows the title and year covered by the document
• The fourth row indicates what sectoral service a particular department or office is under
• These sectoral services are General Public Services, Social Services, Economic Services,
and Other Services. You may keep this row blank as the MPDO will sort the AIPs upon
consolidation
• The first column contains the AIP Reference Codes
• Each sectoral service, each department, and each program, project, and activity (PPA) are
assigned a unique code
• The codes will allow for easier identification of the contents of the document
• The MPDO will be the one to fill out this column, so you may leave this blank upon
submission
• Under the second column, you have the Program/Project/Activity Description
• This column will contain the actual programs, projects, and activities that a department intends to
implement for the year
• Programs are plans that address specific needs. These are long-term measures that may span years
• Projects are measures to be implemented under a program. Projects are more specific than programs
and are usually bound for implementation within a specified period
• Activities are the specified processes that are undertaken and implemented by an office that
contribute to the completion of a project and that supports the realization of the goals of a program.
Activities are more definite tasks and functions and these tend to have short-term implementation
periods
• The third column indicates the offices or departments responsible for the implementation
and completion of a particular activity
• Columns 4 and 5 show the schedule of implementation, when an activity will begin and its
expected completion
• The sixth column contains the expected outputs of the identified activities
• This should indicate the intended results upon completion of the activities within the
specified implementation schedule
• If possible, try to be as specific with the outputs as possible, especially if the output is
quantifiable
• If applicable, do include who will benefit from the implementation of the acitivity
• The seventh column will show the funding source for the identified activities
• This will indicate where the funding for the implementation of the activities will be coming
from
• Funding sources include General Fund, 20% Development Fund, 5% Calamity Fund,
Special Education Fund, etc.
• Columns 8 to 11 contains the actual amounts allotted for the implementation of the activities
• Personal Services (PS) will include fund allocation for the Salaries, Wages, Allowances, Contributions,
and other employment benefits of Regular employees. Funding for the creation of new Plantilla
positions will also fall under PS
• Maintenance and Other Operating Expenses (MOOE) includes funds allocated to activities that involve
the day-to-day operations, functions, and responsibilities of an office. This would include
replenishment of office supplies, repair and maintenance of existing office equipment, etc.
Compensation for Job Order employees would also be included in the MOOE
• Capital Outlay (CO) includes funding for the implementation of major projects and
activities, large-scale government construction projects (construction of roads, hospitals,
bridges, parks, etc.), and purchase of assets such as land, vehicles, and equipment
• Column 11 simply sums up the amounts of columns 8 to 10
• Columns 12 to 14 are dedicated for the Climate Change Expenditure Tagging (CCET)
• Through JMC 2014-01, the DBM, DILG, and Climate Change Commission encourages LGUs
to “track their climate change expenditures in their respective AIPs”
• CCETs are used to identify, tag, and prioritize CC-related activities for offices and
departments in the LGU
• Tagging is based on the provided Typology Codes that represent different PPAs for different
sectors
• PPAs may fall either under Climate Change Adaptation or Climate Change Mitigation
 CLIMATE CHANGE
EXPENDITURE
How to tag programs, projects, and activities using Climate Change
Expenditure Typology Codes
Climate Change Expenditure Typologies

■ The National Climate Change Action Plan (NCCAP) classified climate change-related
activities into: Adaptation and Mitigation
■ The activities are also divided under eight (8) strategic priorities: Food Security,
Water Sufficiency, Ecological and Environmental Stability, Human Security, Climate
Smart Industries and Services, Sustainable Energy, Knowledge and Capacity
Development, and Finance
■ A copy of the List of Typologies will be provided to you as well

Source: Orientation on the Annual Investment Program, PPDO

Climate Change Adaptation

PPAs can be tagged with CCA typology codes if they:

• Reduce the exposure and/or sensitivity of human or natural systems to the impacts
of climate change and climate variability and;
• Increase the adaptive capacity and resilience to current and future climate risk
• have objectives that are intended to address climate change
• Directly address vulnerabilities, impacts of climate change and variability, and
increase adaptive capacity

Source: Orientation on the Annual Investment Program, PPDO

Climate Change Mitigation

PPAs can be tagged with CCM typology codes if they:

• Reduce greenhouse gas (GHG) emissions;
• Increase GHG sequestration;
• Protect carbon sinks;
• Have objectives intended to mitigate climate change;
• Include projects and activities in renewable energy generation, energy efficiency,
agriculture, forestry and land use, waste management, transport, which may lead to
reduction in GHG emissions, and/or improve and protect sinks
Source: Orientation on the Annual Investment Program, PPDO
 14

• To tag a PPA, indicate in either Column 12 or 13 the amount allocated for the CC expenditure, then put the
• The CC expenditure amount can be equal to but not more than the total project amount in Column 11
• If a project is tagged as adaptation, its typology code shall start with letter “A” to be indicated in Column 14, and the
amount dedicated for the project shall be under the Column 12. If a project is tagged as mitigation, typology code
shall start with letter “M” in Column 14 and the amount shall be under the Column 13
• In the case that there are multiple typologies that apply to one activity, use the code that accounts for the most
share in the expenditure