To: Undersecretaries
Assistant Secretaries
Bureau Directors
Directors of Services/Centers and Heads of Units
Regional Directors
Schools Division/City Superintendents
Heads, Public Elementary and Secondary Schools
All Others Concerned

1. To ensure equity and sustainability of programs/projects initiated under School- Based Management Grants, the existing DepEd Order No. 55, s. 2011 on FY 2011 SBM Grants implementation shall serve as a Multi-Year Guideline and shall be enforced pursuant to the amendments contained in this Order.
2. The FY 2012 SBM Grants will serve as the second wave of grant implementation which shall employ the same guiding principles and allocation criteria contained in the said Order. This means that the same allocation of school grants and program support fund will be applied to the divisions and regions.
3. The recipient schools under FY 2011 shall be maintained to ensure continuity of project interventions which will have direct contributions to the improvements of learning performance. The amount of grant that will be received by the recipient school shall be based on the progress of the project funded from FY 2011 SBM Grants, as evaluated by the Division Office. Schools which need to be replaced shall be justified by the Division and noted by the Region, for onward submission to the Office of Planning Service – Planning and Programming Division.
4. In the case of ARMM, same amount will be allocated for the region as reflected in the said Order. However, this shall be released based on the submission of performance reports on the utilization and liquidation of FY 2011 SBM grants.
5. The Regional Director through the Regional SBM Task Force shall convene the Schools Division Superintendents and Division SBM Task Force for quarterly monitoring and evaluation and plan adjustment. Guidelines for the conduct of such shall be disseminated in a separate issuance.
6. Based on the quarterly evaluation, the Regional Office (RO) shall be entitled to reallocate the Program Support Fund (PSF) of the Divisions which cannot utilize the PSF to the Divisions with higher resource requirements based on approved plan. Justification for the said action shall be forwarded by the Central Office (CO).
7. Likewise, the CO shall be entitled to reallocate the PSF of the Regions which cannot utilize the allocated amount to Regions which have higher resource requirements based on approved plan noted by the Central Office.
8. The said amendments on the existing provisions of the said DepEd Order are as follows:
   • 8.1 Item 3.2.iii (Prioritization, Selection, and Allocation of School Recipients)For Priority I and Priority II, the recipients must be at least 80% elementary and 20% secondary schools respectively. However, a division with secondary schools, which have registered higher number of dropouts for the last three (3) years as compared with elementary schools, has the option to prioritize the said secondary schools.
   • 8.2 Items 6.1, 6.2, 6.4, and 7.9 (Availment and Releases of Funds)The School Grant Proposal (Annex 3 of DepEd Order No. 55, s. 2011) shall not anymore be a requirement on the availment of the grant. The School Improvement Plan with the Annual Implementation Plan (AIP) will be the basis for the evaluation of divisions on the needs of the schools applying the criteria stated in the guideline.
   • 8.3 Item 7.11 (Releases of Funds)In cases where school heads cannot draw cash advance (CA) due to legal and administrative impediments, the Schools Division Superintendent shall take immediate appropriate action to ensure that such schools will not be deprived of the grant.The CA for SBM Grants of the concerned schools shall be released through any of the following officials: Schools Division Superintendent (SDS), Public Schools District Supervisor, or any bonded official that may be assigned by the Schools Division Superintendent.
   • 8.4 Item 9.0 (SBM Management Support)The Program Support Fund shall serve as augmentation fund for the Central, Region and Division for the conduct of any activity in accordance with the mandate of each administrative level as stated in RA 9155.
   • 8.5 Item 10.1 (Procurement Process)10.1 The Bids and Awards Committee (BAC)
     • a. The school’s existing BAC shall be responsible for the procurement of supplies and materials. In the absence of a committee, the school head shall create one through a memorandum. It shall be composed of five (5) members: three (3) regular and two (2) provisional members, based on the provisions of R.A. 9184 and the approved Customized Agency Procurement Manual (CAM) of DepEd. Regular members should be at least third-ranking permanent (plantilla) officials of the procuring entity and the provisional ones should have technical expertise, knowledge and/or experience in procurement.
     • b. For schools with less than five (5) permanent employees, schools may avail the services of BAC that is accessible to their schools, e.g. cluster schools’ BAC, District BAC, or Division BAC.
     • c. The BAC recommendations shall be subject to the approval or disapproval of the Head of the Procuring Entity (HOPE). In the interest of check and balance, the school head shall not be a chairperson or member of the school’s BAC. Purchase orders shall be signed by the school head or his/her authorized representative.
9. Funds for this purpose shall come from the Department’s General Appropriations Act.
10. For inquiries and other concerns, please contact the Office of Planning Service- Planning and Programming Division (OPS-PPD), through Ms. Maria Katrina L. Gregorio or Mr. Ariel C. Tandingan, 2nd Fir., Teodora Alonzo Bldg., DepEd Central Office, DepEd Complex, Meralco Avenue, Pasig City at telephone no.: (02) 633-7216 and Telefax (02) 638-8634 or send a message through e-mail address: sbmgrants@yahoo.com.
11. Immediate dissemination of and compliance with this Order is directed.

Reference:
DepEd Order: (No. 55, s. 2011)

To be indicated in the perpetual index under the following subjects:
FUNDS
PROGRAMS
PROJECTS

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