MEMORANDUM OF AGREEMENT

KNOW ALL MEN BY THESE PRESENT:

This Memorandum of Agreement is made and entered into and executed this ____
day of _________, 2020 by and between:

The DEPARTMENT OF AGRICULTURE, a government agency created and existing

under the laws of the Republic of the Philippines with office address at Elliptical Road,
Diliman, Quezon City represented by its Secretary, HON.WILLIAM D. DAR, PhD herein
referred to as the “DEPARTMENT OF AGRICULTURE”;

-and-

The SOROSORO IBABA DEVELOPMENT COOPERATIVE, a Cooperative

Development Authority -accredited agri-based cooperative with office address at Sorosoro
Ibaba, Batangas City, Batangas represented herein by its Chairperson, DR. ANGELITO B.
BAGUI duly authorized by the Board of Directors to represent the Cooperative to enter into
this agreement through Resolution No. _________________, herein referred to as the “SIDC”

-and-

The AGRICULTURAL TRAINING INSTITUTE – INTERNATIONAL TRAINING

CENTER ON PIG HUSBANDRY, a government agency created and existing under the laws
of the Republic of the Philippines, with address at Maraouy, Lipa City, Batangas
represented by its Center Director, DR. RUTH S. MICLAT-SONACO, herein referred to as
the “ATI-ITCPH”.

WITNESSETH

WHEREAS, Republic Act No. 8435 otherwise known as Agriculture and Fisheries
Modernization Act of 1997 (AFMA) sets out the Government’s policies in the agriculture
sector in attaining equitable distribution of opportunities, income, and wealth, expanding
productivity and sustaining increase in production of goods and services thereby raising
the quality of life of the people;

WHEREAS, Republic Act No. 11494 or The Bayanihan To Recover As One Act
provides funds for other forms of assistance to qualified beneficiaries to finance the Plant,
Plant, Plant Program of DA ensuring food security, productivity and accessibility;

WHEREAS, under the funding of the Bayanihan Act To Recover as One Act, the
National Livestock Program will implement the “Nucleus and Multiplier Breeder Farms
for Poultry, Swine, Small Ruminants Project” in partnership with various local
government units, state colleges and universities, and farmers cooperatives, and
association;

WHEREAS, the Sorosoro Ibaba Development Cooperative is a duly registered agri-

based cooperative / hog producers association-accredited farmers association - and is
located in Sorosoro Ibaba, Batangas City, Batangas;
 WHEREAS, the Sorosoro Ibaba Development Cooperative was assessed and
evaluated to be eligible and qualified to receive funding for the establishment of a SIDC
Swine Multiplier Farm Project from the National Livestock Program’s “Nucleus and
Multiplier Breeder Farms for Poultry, Swine, Small Ruminants Project”;

WHEREAS, COA Circular No. 2007-001 dated October 25, 2007, COA Circular No.
2009-007 dated September 25, 2009, and Government Procurement Policy Board (GPPB)
Resolution No. 12-2007 dated June 29, 2007 prescribed the guidelines in the granting,
utilization, and accounting of funds released to Non-Government Organizations (NGOs)/
People’s Organizations (POs);

WHEREAS, pursuant to the Honorable Secretary’s intention, the DEPARTMENT OF

AGRICULTURE and the Sorosoro Ibaba Development Cooperative jointly pledge to extend
full support and cooperation for the successful implementation of the project entitled
“Swine Multiplier Farm Project” under the "Nucleus and Multiplier Breeder Farms for
Poultry, Swine and Small Ruminants Project" of the Stimulus Package for Agriculture
Bayanihan Act II of the National Livestock Program (NLP), herein referred to as the
PROJECT in the Province of Batangas;

NOW THEREFORE, for and in consideration of the above-premises and their

mutual covenant herein set forth, the parties hereby agree on the following:

A. COVERAGE OF THE MOA

1. This Memorandum of Agreement covers the Fund Transfer from DEPARTMENT OF

AGRICULTURE to the SIDC for the implementation of the PROJECT in Province of
Batangas.

B. RESPONSIBILITIES OF THE AGRICULTURAL TRAINING INSTITUTE

1. Allocate the amount of TEN MILLION PESOS (Php10,000,000), as determined by

the DA-Central Office, to be transferred to the SIDC through funding check for the
implementation of the PROJECT in the Province of Batangas;

2. Demand from the SIDC to submit liquidation report as prescribed by COA Circular
No. 94-013 dated December 13,1994 within six (6) months after completion of the
delivery and/or establishment of all the components of the PROJECT as specified in
the project proposal and documents;

3. Demand from the SIDC the return/refund of (a) that portion of the fund which
remains unused within six (6) months after the completion of the delivery and/or
establishment of all the components of the PROJECT as specified in the project
proposal and documents, and (b) any disallowed amount after the financial audit
pursuant to COA Circular No. 94-013 dated December 13,1994;

4. Demand from the SIDC the return/refund to the Department of Agriculture of the
full amount released in any of the following cases:

(a) Misappropriation of funds without prejudice to the filing of administrative

and/or criminal charges as circumstances may warrant;
(b) Non-compliance with any provision stated in this agreement; and
(c) Commission of any act inconsistent with or contrary to the spirit and avowed
intent of this agreement.
 5. Issue a certification through the ATI-ITCPH Accountant whenever the requirements
of liquidation, post-audit and accounting has been complied with, which states that
funds previously transferred to SIDC has been liquidated, post-audited, and
accounted for in the books;

6. Require the SIDC to submit physical and financial report of accomplishment to

DEPARTMENT OF AGRICULTURE after the completion of the delivery and
establishment of all the components of the PROJECT as specified in the project
proposal and documents;

7. Keep a copy of the Official Receipt (OR) issued by the SIDC to the DEPARTMENT OF
AGRICULTURE acknowledging receipt of funds transferred;

8. Provide technical assistance in the procurement of animals, preparation of design

and scope of works of the animal housing/facilities, specifications of equipment, and
guidance on the project processing and implementation to ensure the sustainability
of the project;

9. Review and approve the project procurement documents of the SIDC prior to the
conduct of bidding which shall be conducted after the fund has been downloaded
and received by the SIDC;

10. Assist the SIDC in the Registration of all animals and offspring in the Philippine
Animal Health Information System (PhilAHIS) during the operationalization of the
project.

C. RESPONSIBILITIES OF SIDC

1. Receive the funds and implement the project in compliance to the provisions of the
project proposal duly approved by the Department of Agriculture;

2. Submit the project procurement documents and other necessary project-

implementation documents for review and approval of the ATI-ITCPH after the
funds has been transferred and prior to the conduct of bidding and secure all legal
documents related to the project and shall have full accountability thereof;

3. Provide an adequate and sufficient lot or land, that is either owned by SIDC or
under a usufruct agreement, that is compliant to existing zoning ordinance and
other existing laws, rules and regulations to be used for the project;

4. Be responsible for the provision of electrical connection, water connection, access

road and/or road improvement, labor and other maintenance expenses of the
project and ensure that there are no right of way issues, or such kind of issues are
resolved prior to the approval of the project;

5. Be responsible for the licenses, permits and other legal requirements for the
construction of animal housing/facilities (if there is an infra component);

6. Be responsible for any other expenses not covered by the DEPARTMENT OF

AGRICULTURE funding;

7. Acknowledge receipt of the transferred funds amounting to Ten Million pesos (Php
10,000,000) and shall issue the corresponding Official Receipt (OR) named under
the ATI-ITCPH for the fund received from the DEPARTMENT OF AGRICULTURE;
8. Undertake the procurement process with the representative of the ATI-ITCPH as
observer;

9. Administer, manage, and disburse the fund pursuant to the project proposal and
deliver the project components that include procurement of breeders in
accordance with applicable laws and pursuant to a sound financial and accounting
procedures;

10.Use the fund solely for the implementation of the project and must keep and
maintain financial and accounting records for the said fund in accordance with the
generally accepted accounting and auditing principles;

11.Submit in writing of any progress, changes, delay or any concern relating to the
complete and effective implementation of the project to the Undersecretary for
Livestock and the ATI-ITCPH;

12.Record all transactions which are related to the utilization of the funds and keep the
books of account open for inspection by COA or its duly authorized representative;

13.Provide administrative and management support mechanism necessary for the

implementation of the PROJECT;

14.Responsible for the accounting and disbursement of the transferred funds in

accordance with existing auditing rules, procedures and regulations;

15.Submit its final liquidation of the transferred funds within six (6) months after the
completion of the delivery and/or establishment of all the components of the
PROJECT as specified in the project proposal and documents;

16.Return to ATI-ITCPH any unutilized amount if no additional expenditures are

intended to be undertaken, within six (6) months after the completion of the
delivery and/or establishment of all the components of the PROJECT;

17.Exercise extraordinary diligence in its compliance with all the stipulations agreed
upon in the MOA;

18.Produce geo-tagged/digital photos/videos that will document the project from the
pre-inspection until the post-implementation of the project that will show that the
project was done accordingly as required by the Contract;

19.Ensure unlimited access by ATI-ITCPH and National DA personnel to all facilities

and documents relevant to the monitoring and evaluation on the progress of the
project;

20.Operate the farm following good animal husbandry practices, observance of animal
health and welfare principles, and implement sound biosecurity protocols to ensure
that the project is sustainable and productive and attains its objectives;

21.Implement payback scheme, devised with the DEPARTMENT OF AGRICULTURE

AND ATI-ITCPH, by reserving portion of animals produced yearly for distribution
to farmers as part of the livestock-based livelihood program of the National
Livestock Program, within a period agreed upon by all parties during the
implementation, or when the equivalent amount of interventions coming from the
DEPARTMENT OF AGRICULTURE, including the project counterpart components,
will offset the project amount value in-kind, as assessed and monitored by the PMO;
 22.Register all animals and offspring to the Philippine Animal Health Information
System (PhilAHIS) for proper inventory, tracing and distribution; and

23.Shall allow all animals and offspring under this Project to be part of the National
Genetic Resources Improvement Program (NGRIP) as participating breeder farms and
shall be governed by the rules and regulations of the National Animal Genetic
Resources Improvement Board (NAGRIB).

D. RESPONSIBILITES OF THE DEPARTMENT OF AGRICULTURE – CENTRAL OFFICE

(Office of the Undersecretary for Livestock)

1. Approve the project proposals, implementing guidelines and other related

documents prior to the implementation;

2. Provide overall direction in the implementation of the PROJECT and exercise

evaluation, monitoring, and supervision relative to the implementation of the
PROJECT;

3. Designate a Project Management Office (PMO);

4. Conduct regular monitoring and evaluation of the PROJECT through the PMO in
partnership with the ATI-ITCPH to ascertain progress of implementation and
compliance to scope of works and specifications, determine issues and concerns
as well as in coming up with appropriate recommendations to the Secretary;

5. Manage the registration of all animals and offspring in the PhilAIMIS for proper
inventory, tracing and distribution; and

6. Include all the animals and offspring in this Project under the National Animal
Genetic Resources Improvement Plan of Actions and Milestones for the
propagation and improvement of good livestock and poultry genetics in the
Philippines.

E. PENALTY CLAUSE

In the event of non-compliance of the SIDC with the responsibilities in the MOA such, as but
not limited to, non-submission of liquidation reports and failure to return unutilized funds
within the period prescribed herein, will deem SIDC ineligible for any
intervention/project/program of the DA until such time that all the responsibilities in this
project, especially on financial obligations, are fully complied and cleared.

Further, that in the event that one party neglects, fails or refuses to comply with the
conditions set forth in this Agreement, or fails to perform any material obligation, the
aggrieved party may recover actual damages and other damages that the court deemed it
proper if ever there is a case filed and/or shall be entitled to terminate this Agreement.

F. EFFECTIVITY AND DURATION

This agreement shall take effect upon its signing and shall be in force for a period of three
(3) years from the date of release of the fund, unless otherwise expressly extended in
writing by the parties herein. The approval of the documents that aim to extend the life of
the MOA shall be undertaken before the expiration of original MOA.

Non-completion of the project responsibilities after period of MOA has lapsed will mean
suspension from any interventions, programs or projects of the DA until such time that all
responsibilities and obligations are complied and cleared.

IN WITNESS WHEREOF, the undersigned parties hereby affix their signatures this
_____________________at _______________________, Philippines.

DEPARTMENT OF AGRICULTURE SOROSORO IBABA DEVELOPMENT

COOPERATIVE (SIDC)

WILLIAM D. DAR, Ph.D. DR. ANGELITO B. BAGUI

Secretary Chairperson

AGRICULTURAL TRAINING INSTITUTE –

INTERNATIONAL TRAINING CENTER ON PIG HUSBANDRY

RUTH S. MICLAT-SONACO, DVSM

Center Director

SIGNED IN THE PRESENCE OF:

WILLIAM C. MEDRANO, Ph.D. DR. NIÑO BAGUI

Undersecretary-designate for Livestock Project Leader
Department of Agriculture

MARGARITA S. CRIZALDO, RPAE

ATI-ITCPH

CERTIFIED FUNDS AVAILABLE:

JACKIELYN B. GARLET, CPA

Budget Officer, ATI-ITCPH
 ACKNOWLEDGEMENT

REPUBLIC OF THE PHILIPPINES

) S. S.

BEFORE ME, a duly commissioned Notary Public in the above – named locality, this
________________________personally appeared the following persons and have showed to me
competent evidence of their respective identify bearing the following information:

NAME CURRENT CARD NO. ISSUING

IDENTIFICATION AUTHORITY
DOCUMENT
William D. Dar
Dr. Angelito B. Bagui
Ruth S. Miclat-
Sonaco

Whom I identify through the above – mentioned identification documents to be the same
persons described in the foregoing instrument. They further acknowledged to me that they
voluntarily affixed their respective signatures on this instrument for the purpose stated
therein. Furthermore, they declared to me that they have executed the foregoing
instruments as their free and voluntary act and deed and of the instrumentality of
Government herein represented and that they have the authority to sign for and in behalf
of their respective principals.

This instrument refers to a Memorandum of Agreement for the transfer of funds to

implement the SIDC SWINE MULTIPLIER FARM PROJECT consisting of seven (7) pages,
including this page whereon this acknowledgement is printed and has been signed by the
parties and their instrumental witnesses on every page hereof.

WITNESS MY HAND AND SEAL, on the date and place above written.

Doc No. ______;

Page No. _____;
Book No. _____;
Series of ______.