House body approves bill on NGO accreditation

MANILA, Philippines - The House panel approved a bill providing a system for the accreditation of non-government organizations (NGOs) and people’s organizations (POs) eligible to access government funds to ensure accountability and transparency in the use of public money.

The House Committee on People’s Participation chaired by Manila Rep. Benjamin Asilo, approved House Bill 4688 or the "NGO Accreditation for Government Fund Releases Act."

Ifugao Rep. Teddy Baguilat Jr. said the bill aims to recognize the need of the state to establish a central accrediting agency for the NGOs and POs seeking to be entrusted with government funds.

He said it also aims to provide for a system of accountability and transparency by pinpointing responsibility over the proper utilization of government funds and the successful implementation of the projects.

The bill provides that as facilitators of the people’s interests at the grassroots level, these organizations may implement programs and projects using public funds.

The bill covers all NGOs and POs that seek to implement programs and projects public funds from any department, agency and instrumentality of the national government and local government units, including government-owned and controlled corporations, and their subsidiaries, either through competitive bidding or through direct releases to beneficiaries.

It provides for the criteria and procedures for the accreditation of NGOs and POs which are applying for government funding, and which shall only be valid for one year and may be renewed yearly.

The measure requires accredited NGOs and POs to prove and provide documents on the following: years of existence; legal personalities; fund sources and financial condition; place of business; successful track record; compliance to all reportorial requirements; non-existence of a conflict of interest and nepotism; and legitimacy and commitment to public service.

The bill also provides for a multi-partite body validation of the legitimacy and capacity of the NGOs and POs, within 30 days of accreditation.

It also mandates the Department of Social Welfare and Development to act as central accrediting and repository agency for NGOs seeking to be entrusted with government funds.

It limits the types of programs and projects to those that the government is not capable to undertake which include, but not limited to, any undertaking that involves construction, maintenance, operation and management of infrastructure projects and of livelihood programs and projects.

It makes NGOs and POs eligible to participate in the procurement of goods and services as contractor and enhances the transparency of the procurement process by inviting the representatives of Commission and Audit and some observers in the process by the Bids and Awards Committee.

It requires all related information to be posted in public information boards and in the websites of the government organizations, NGOs and POs, and the Philippine Government Electronic Procurement System.

It also requires the respective government agencies, in coordination with the NGO or PO representatives, to monitor the proper use of government funds entrusted to the organizations, the proper implementation of the subject programs and projects, the proper distribution of intended beneficiaries, and compliance with time schedules for the completion of programs and projects.

The bill provides that any NGO or PO that fails to complete the program and project or fails to liquidate the funds upon demand by the government organization, shall suffer a penalty ranging from suspension of accreditation, revocation of accreditation or disqualification from obtaining programs and projects from any government organization, without prejudice to further civil or criminal liabilities.

Any government organization that releases public funds to unaccredited NGOs or POs shall be liable to administrative, civil or criminal liabilities under relevant laws.