National calamity insurance agency philippines

Basic Information on the Calamity Fund (CF) and Quick Response Fund (QRF)

1. What is Calamity Fund?

The Calamity Fund (CF)

Nature and Purpose

The Calamity Fund is a lump sum fund appropriated under the General Appropriations Act (GAA) to cover aid, relief, and rehabilitation services to communities/areas affected by man-made and natural calamities, repair and reconstruction of permanent structures, including capital expenditures for pre-disaster operations, rehabilitation and other related activities.

2. What is Quick Response Fund?

The Quick Response Fund (QRF)

These are built-in budgetary allocations that represent pre-disaster or standby funds for agencies in order to immediately assist areas stricken by catastrophes and crises.

The following agencies have built-in QRFs to ensure immediate action during calamities:

Unlike the Calamity Fund, the QRF does not require the recommendation of the NDRRMC or the approval of OP to trigger the use and release of funds. When the QRF gets depleted, the agency may request for replenishment with a request to the DBM and to be approved by the Office of the President.

3. What agencies are involved on CF and QRF?

Agencies Involved :

a. The National Disaster and Risk Reduction and Management Council (NDRRMC)

Being the highest policy-making, coordinating, and supervising body at the national level for disaster management, the NDRRMC is headed by the Secretary of National Defense as Chairperson with the following as Vice-Chairpersons: Secretary of Interior and Local Government; Secretary of Social Welfare and Development; Secretary of Science and Technology and the Director-General of the National Economic and Development Authority.

The council is responsible in giving the President advice on the status of disaster preparedness, prevention, mitigation, response and rehabilitation operations being undertaken by the government as well as recommend to the President the declaration of a state of calamity in areas extensively damaged; and submit proposals to restore normalcy in affected areas to include calamity fund allocation.

b. Office of Civil Defense (OCD)

The OCD is the operating arm and secretariat of the National Disaster Risk Reduction and Management Council. It has the primary task of coordinating the activities and functions of the various government agencies and instrumentalities, private institutions and civic organizations for the protection and preservation of life and property during emergencies.

c. The Office of the President (OP)

The NDRRMC endorses Calamity Fund requests to the OP for approval. The Approval of fund requests is forwarded directly to the Department of Budget and Management (DBM) as basis for the release of funds.

d. The Department of Budget and Management (DBM)

The DBM then issues the Special Allotment Release Order (SARO) and Notice of Cash Allocation (NCA) directly to the appropriate implementing agency or LGU.

While the SARO is released fully, the issuance of cash requirements varies depending on the implementing unit:

(a) Projects to be implemented by NGAs and GOCCs (except the DPWH) may be given their full cash requirements.

(b) LGUs receive only 50% of the cash requirement- It is only upon the submission of fund utilization/ project implementation reports (to the DBM and NDRRMC) will the LGUs receive the balance of their cash requirement.

Releases shall be subject to existing and usual auditing, budgeting, and accounting rules.

4. How to request CF and QRF Assistance?

Process for RELEASE

I. Requesting for Calamity Fund Assistance

A. National Government Agencies (NGAs)/Government-owned and Controlled Corporations (GOCCs)

NGAs/GOCCs submit their requests to the NDRRMC through the Office of Civil Defense (OCD) for evaluation and recommendation to the Office of the President (OP). The following documents must support the request:

B. Local Government Units (LGUs)

Local government units (LGUs) submit their requests to the NDRRMC through the concerned Regional/Provincial/City/Municipal Disaster Risk Reduction and Management Council. Supporting documents include the following: