Foundation r- ,

)oclery,Inc,
Ior a 5ustarnaDle
Foundation
' -tdi'ei Inc,
Society,
SuTftffiadle
EENTENTS

M ESE}AGE FROM THE trHAIR

FOUNDATItrN FtrR
A SUSTAINABLE SclCIETY, INC.
.Ilackglc'und
.Tbe l'i:undatiorr'sVision
.The l'ounda(iotI'sMission
.1 he Gcn<ral Assembly Mcmbers
oThr: Ioundation Staff fdr l99B

HIcHLIGHTs OF 1 997
.The Dcvclopment Contcxt
.ProI"rlc of Pfo.iects Approved in 1997
.An Evolving Ente|prise Development Framcwork

EMERE ING Etr tr-ENTERPRIS ES

.Sihng Solid Waste Manallement Project
.Cattle Fattening aDd Rose larming
in Crgayan de Oro

FINANEIA!- REPOFIT
.Report oI lndependent
Certified Public Accountants
.Staiement of Iinancial Position
.Staiement of Aclivities
.Statement of Cash Flow
.Noies to Financial Statements
 CC
JUST AS }]CONOI,IIC GROWIH PEAKED IN MID-1997, A FINANCIAL CRISIS
ar
like no other struck. Asian currcncies ie , dragging down the pcso anct rhc
Philippinc economy lior thc rest of rl)c
-l )edr.
he onset of the global EI Nino phenornenon dricd up any prospect of
early recovely, cspecially in rhe agricuttural sector. Add ro tLcse factors the
unpredictability l]1 rhe 1098 election, ard rhe formuta for a dcbilitating
cconomic slo*down is conrplcre.
s an ir)stitution providing.financial assistancr:
ro thc more vulnc.r.able
sc(ltorscoverrug the range of small- }trrrl mediurn"scaleenterprises, the
I'i)uDdatioDfor a SrrstainableSocierry,Iuc, (ISSI), need to adjust to this
envrTonntcntof uDccrtaiDty,

A PE LI CY EF FRU DENC E
Wt: have aclopted l policy of pruclerrcr:.Concr.etely,we are tighrening rlro
s(reel)ing and selcdrionproc€ss.TIris rrcans thal wc shall bc srricter in
inrposing drrc dilig<rrrceon oursclves;rrr<ion our clicnts.
Wr: havc also ser up prc'visioDs for probablc losses corrcspondirrg r.o 2
Pcrcelr ol ourstandinS lorns.

A Fr{C)-AEITIVE FOCUS
Wc have idertiilect crnerging eci)sysr(:m-t:lscd enrer.prises thar carry our
standards ol rna-rirnunrcorrmuliry coveragc, ecotogicalsoundness,and
econornic vial,ility. lVe arc assessingthr:se cnterp.ises ro gain Icssonsand
insights trorn (heir oper:irioDs.Hopehrlly, tLis exercisc wi ease project
replication in the Iutu].(:.
we l,ave also worked on nnprovnrs cfficienciesin our-operaLions.

7
 FouNoatroN Socrrr, lNc.
roRa SustatnegLE

MORE PREJ ECTS

ID 1997, wc approved a total of 16 projecls a d direct investments worth
Phr,64,575,238.80.
'l
hus, our tLrtalportfolio elfcrtively doubled in 1997, reachirrg a peak of
53 by the crrd <,f rhc year-with a total value of l'hl' 109,206,458.80in direct
project invostircnrs.

HIEiH ER RATES OF UTILIZATION

Disburscnrents inrprovecl,irnd theseresultedin higher
significarrtly
utiliz.rl.ion
rnlos ol aPproveclinvcstrDents,
In 1906,(olal <lisburscmerrts reactrcdonly Phl' 7,536,270,This arnounl
rose dlanrati(nllyn |hP 76,323,425in 1997,lxnsting the Lrtilization rate 1o
82 pr:rcentc,l't1>provlls.

MODESiT ASSET GROWTH

'lbtal
assetsof !'SSI grew hy only 2.18 p(x(rcr)((o PhP 513,362,605in 1997.
This wassmallel than the 5.7 pfl.:ent growth in 1996,Thc declinewas due
to p rvisionsfirr unrealizedlosscsin the nralket value of cquity investme[ts.
'lhc
I'hilippine StockllxchangeInck:xlost almosthalf its value in 1997.

GREATER C HALLENEi E5 F(]R 199E|

As the crises influencc thc dilferent se.:to$ of our e.onomy, we expcct
gr-eaterchallcrrgr:sfor che future.
With the lessors of the past year, thc l'SSt board and staff are now ready
to {ace 1998 and beyond.

FSS| r 997
BATKEiRE]UND
On August 11, 1995 the governmcnts of the Philippines and Switzerland
u bilut.rul EfJr€ernent on the reduction of the external debt Through
"ig,'.d with
this agreemenr, Phitippine bilateral rlebt to Switzerland was carrcelled
value The
the creation of a funct equivalcnt to 50 Percent of the debt's face
valuc of this luncl in I'hilippine Pesos was PhP 454,822,597 in SePtember
t 9 ai .
non-
Thc Foundal;on for a Sustainable Society, Inc (f'SSl) is a non-stock'
pr ofit foundation organized to manage and adlninister this fund'

THE FEUNDATIO N'S VI5IEI N

'l
hc key lcl rs in FSSI's vision are:
D Econorrricempowelment of trherural and urban Poor;
O Support "u pronrotion of sustrrirrable enkrPrises that arc comnrunrty-
oriente(l, cconomicnlly viable, and ecologicallysound;
number of
O Pfovisiolr of pr <.rjectsthat are of nraxinruln benefit to the most
benchciaries.

THE FEUNDATION'5 MISSION

I'SSI was cstablishcd with this mission: to scrve as a rcsource institution lbt
the economic cmPowcrment of organized marginal rural and urban
cornmunitics in the I'hilipPines

TH E EE]ARO E ]F
.rhe
following wcre electe.l to rhe Foundation'srBoard for 1997:

Chaii PBSP Ma.AuroraTolentino

Vicechair EDCS Bulatao
Salvacion
Treasuter PHILDHRRA MarleneRamirez
Members HELVETAS Remo Gesu
PHILSSA Cabo
Jocelyn
CONVERGENCE BomeoRoyandoyan
WAND KarenTafrada
[4embers
Ex-officio SWISSEI\TIBASSY JosefEisele
D0t Auro.aLuzVillaviray

4
uslana
THE EiENERAL ASSEMELY
FSSI is managed by anrl is accountablc to I'Lilippine non-governmental
organizations (NGOs) and tlrc bro;rder public. The Philippine liovemmcnr,
through (l,c DcprtrtmeDt of l'iI'arrr:e,and tire SwissConfederation are
rcpres--nted in the Asscnrbly and in thc Board of Tiustees.
These fcnlowirrginstirrrtionsmake up rhe Geiteral Assembly for 1998
through their representrtives:

OF(iANIZATION REPFESENTATIVE
Association (AF)
olFoundations i,lquglVillarosa
CONVEFGENCE Fomeo Royandoyan
Departmertol Finafce (D0F) Aurora Vilaviray
Luz
EcLrmenca Deve oprneni CooperativeSocety(EDCS) SalvaclonBualao
Freedom fror.DebtCoaiton(FDC) MaTeresa 0 okno
GreenFonrrn(GF) Sam!el Ferrer
Gr!pongLakas ng(ababaihan (010) EvalyrlJrsLra
SwissLnt€.ChLJrchAid (l-IEKS) BarbaTa Saazar
HELVETAS Remo G€stl
Magbasa Kta Fo!ndatiorl S€tSanlafina Basu
NatonalCoufc I forSocalDevelopmeft (NCSD) Lotrdes VllafLreva
NatonalCoufc I of Churches (NCCP)
n lh€Plrlippifes Felic Carfro
ano
NatonaCorfederat onol Cooperatives (NATCC0) TeresltadeLeon
NalonalSecretarlatfofSocalActiof(NASSA) Sr Rosafne Malllf,SPC
NGoCenter IorCooperatlve Deve (NGo-CCD)
oprneft [fartin
TanchLr]ifg
Partnership
ol Ph ippfe Support ServceAgences(PHLSSA) yn
Joce Cabo
Philppfe BLrsn€ss forSoca Progress (PBSP) [,1a.
AuroraTolei]tino
PhilppinePartnersh p iortheDevelopmerl [,{ar]ene
Bamrez
of Human ResoLrces rnRuraAreas (PHLDHRRA)
Worn€n s AclionNetwork forDeve opment(WAN0) Tafiada
Karen
SWISS CONTACT Paul
Wel"'rs
SwssEmbassy ta
PetefCasaL

q
THE FOUNDATItrN STAFF F.]R T 99E}
Personnel moyements and changeswere experienced by FSSI in the Past
year. The positions of associatedirector, finance and administrative officer,
and driver/messengerare now occupied by people hired in 1997 Moreover,
the positions of bookkeeper, and utilityperson/messengcrwere added to the
roster. FSSI officers and staff for the year 1998 are:

Executive
Drector EUGENIOI!4,
GONZALES
DiI€ctor
Associat€ ENRICOO GARDE
SenlorProgramolficer RLCAFDO E.TORRES,JR.
Progfam Olficer SYLVARACHET REYES-SESCON
Financ€ otficer
andAdministratve ERLINDATORRES.VELARGA
Administrativ€
Assistant AVEtNAP,LAGI\,IAY
Bookke€peI AIDA[TI.
BATINGAN
Driverltlessenger ZENONC CARTAGENA
ger
Utilityp€rson/Messen JosE0, LAST [,10S0

6
 Highlighg1997
THE DEVELoPMENT GENTEXT

THE G L E ] E I AL G O N T E X T
The year 1997 revcaled the downside of a globalizecleconorny.
Thailand's financial crisis sprcad to many East Asian countries, includirrg
the Philippines, This triggelcd rapid withdlawals ol capital liom the region
whicL, in turn, lccl to t|c rlcplcciat.iorrof currtrrcir:sarrd a st.ccpdcclirrc irr
the value of stocksin tlre eqLriticsnrarkcr.

THE PH ILIFPIN E CENTEXT

'l
he PhiliJ:pineswas not sparcd Ii onr thc coDtagion,but the elfects were less
severe corDpirredto our rTeighbols.NoDetheless,the peso depreciated fr'om
Pl)l'26 to PhP45 to the clollar. l'hr: stor:krnarkct index fell from rhe 13,000
lcvcl to about 1,500, signalling an r:conornicslowdown ancl higlrcr-inllation,
'l
he politicnl situatiorr ulsr..'bccamc urrceltain. -l'hcrc was an attempt 1.o
changc Lhe Consti(ution to exteDd the terrns of officc ()f flt (xrt officials.
This ;rlarrned many lxcause the transitiorr of powcr was erdange'.ed.

IMPLItrATIE|NS FER FSSI

Revenues of I'SSI sufTered a dccline. FSSI paftners were also negatively
aITeccetlby the crisis.
In response,FSSI emphasized prudence and a pro-active focus in
developing projccts fof the future.

7 FSSt 1997
 PREFILE EF PREJEGTS
APPREVED IN I 997
Despite the r-egional and local turmoil, FSSI mainrained its level ol financial.
aid to its partDefs. More direct loals were provided. However,
improvements are still neecled in fund atlocations by eco-svsrem and
geographical location. Iund urilization rates significantly improved.

SUMMARY OF APPROVALS AND OI5iEIURSEMENTS

A revised classification schr:me was done in 1997. projects were classified
under three types of facilities: rhe Regutar Facility (RF); the Special Facitiry
for Mindanao Rice Tiadils (S!-MRT); and the Small crant Facility (SGF),

sUMMARY EF APFROVED PREIGiRAM INVESTMENTS

FACILITY 1996 1997 TOTAL

Ragulal
Faclltty
NLlmber
of Ptoqram Accounts
AFpraved 1? 31
ApprovedPro0rarnAssistance 44631220.04 58575,238 80 103206,458
80
SPEC ALFACLTYFOFMNDANAO R]CE
IRADING
Number ol PfogramAccoultts
Appfoved 2 2
ApprovedProgram Assislance 6 000,000
00 6,000 000.00
Total
Regrlaf andSpecialFaciit
es
Numb€rofProgram AccountsApproved 17 t6 33
ApprovedDr€ctProgramAssistafce 44631220.0464575,238 B0 10920645880
add:
Spec alFacllity
forMndRic€ Tfdg 25,000,000 00 2500000000
TotalAmourtApprovgdfortheyear 6S631220.0064,575,238.80 134206458B0
Snal/6ru 1Facllty
NLrnbef
ol Grairts
Approved 1 3l 38
ApprovedcraniAsslstance 2 1 4 , 0 0 0 1,406,000
00 1,620,000.00

GRAND TOTALS
NO OI PROGRAMACCOUNTSAPPROVED 24 47 71
Approved
DrectProgram
Assistance 44,845220.0A 0659B1,238.80
1t0,826,458
B0

The total number of projects and arnounts approved in 1997 was almost the
same as in 1996. However, the total amount approved was higher in l99i
compared ro 1996-

B
 APPREVALS EY TYPE OF FINANtrIAL INSiTRUMENT
* Ir 199G,lhe prinary instrui[ent was the guarantee.
* Loans wcrc the rnain instrument in l!197.

PROGRAM INVESTMENTS EY INSTRUMENT

REGULAR FACILITY 1996 1997 TOTAL

Am0urr '/r AMOUII %

GBANT 3,487 650.008 2,848 827.74 4 6 336,477.70 6

LOAN 1 4 , 1 4 3 ,0507 03 2 5 0 , 3 5 1 , 41101 6 44 9 49 8 1 . 1 50 9
EOUITY 800000.002 1,375,000 00 2 2175040.042
1,200,000
SPLDEPOSITS/GUAFANTEES 00 3 4,000,000 00 6 5 200000.005
GUARANTEES 25,000 00000 5 6 0 25,000 000.0023

TotalAmo!nt
Approved 44631220.00 1 0 0 5857523880 103206458.8095
NO OFACCOUNTS
APPROVED 2 2

SPECIAL FACILITY 1995 t997 TOTAL

flnanciallnstlunenl
LOAN 3,000,000
00 5 3 000000.003
SPECIAL DEPOS TS 3,000,000
00 5 3,000000.003

TolalAmo!rnt
Approved 6 000000.00I 00
6,000,000

GBANDTOTALS 44631220.04 T00 100 109206458.801 0 0

APPROVED 1 7
NO OFACCOUNTS t4 3T

FSSt 1997
 APPROVALS BY EC O SYSTEM
Urban ec.rsystems gor more approvals in t99?. Tlris was brought abour
by
two low'cosrr housing projetrs, onc ir Sitang, Cavite, which amounted to
about I'hP 29 rnillion, and the othcr ill
euczon City, which cosr about Php
4.4 million.
The tabulatior points to a nced to devetop morc coasraland uptand projects.

PREIG RAM INVESTMENTS EY EtrO.SYETEM

ECO.SYSTEM 1996 1997 TOTAL

Amount AmoLlrlt Am0unt %
Regular
Fac//lty
FOREST & UPLANDS 2,269,500 00 5 2712040.AA 4 4 981,500 00 5
COASTAL & [,1ARINF
AREAS 7 1 8 , 80500 2 2 8744365A 4 3,593,286 50 3
CEOPtANDS & PASTURE 9 , 1 0 8 , 900 0 2A 5 , 8 0r12,00 0 9 1 49 1 0 , 0 2 0 .1040
UFBAN AFEAS 7 483970.00 1 1 40BB950000 63 48,373,470.A0 44
MULTI.ECOSYSTEM 25,050,000 00 5 6 6 2 9 81 8 23 0 1 0 3 13 4 8 , 13802 2 9
Total
forR€gu arFac
llty 4463122A.0A 1 0 0 58575238B0 103206,458 80 95

Specla/
facllU
CFOPLANDS & PASTURE 6 000000.00I 6 000,000
00 5

TOIAT
APPROVED 44,631
22000 1 0 0 6 45 7 52 3 8 . 8 01 0 0 109206458.80'100
NOOFACCOUNTS
APPBOVED 1 7 16 33

t0
 APPRtrIVA.LS BY GEOG RAFHICAL LOCATION
aDd
Geographically, t,uzon and Mindanao received most of FSSI's assistance
invcstments. More projects need to be developed for the Visavas islands'

PRc]GRAM INVESTMENTS EY LEltrATION

LC,CATION 1996 i997 TOTAL

Am0!nl ,/"
Amolni "/"
aegulatFaclity
I!AIIONWIDE 2505000000 56 6 2 9 8 , 13802 t 0 31,348 182.3029
2,683,970 00 6 6,400,000 00 1 0 I 083 970.00 B
\CR
1 00 1 59 5 0 . 0 0 2 2 32842000.00 42857,950 00 39
.UZON
VISAYAS 1 56230000 4 7 3 1 95 0 0 0 1 1 8,88T,800 00 B
MNDANAO 5 , 3 1 9 , 00000 1 2 5 , 7 1 5 , 5 506 I 1 10 3 45 5 6 . 5 01 0
Iota lorReguLarFacity 4 4 , 6 3212 00 0 1 0 0 58575238.80 103,206 458.8095

facllY
Special
MLNDANAO 6 000000.009 00 5
6 000,000

TOTALAPPROVED 4 4 , 6 3 1 ,0202 01 0 0 80 100

64,575,238 , 405180 0
109,2068
APPROVED 1 7
NO.OFACCOUNTS 16 33

UTILIZATIO N RATES
Grrnulative utilizulii)n raies of approved Project inveslmcnts improved fronr
?O percerl ltn approvcxl Projects ion 1996 to aboLtt82 Perccnt for approved
tnoiectsir 1907.

SUMMARY OF UTTLIZATION RATES

UTILIzATION RATES l996 l9s7 YOTAL

I zed1996
Disbursed/tit 7 536270.00 7 536270.00
1997
Dsbursed/Utiized 234S8923.00 52824542.04 76323425.00
TOTALDSBURSED/UT TIZED 31,035,193.00 ,542AA
52,824 00
8385S,695
% UTILIZATION 70 82 l1
AN EVoLVINE
ENTERPRISE DEVELEPMENT
FRAMEWc]RK

PRUDENCE ANO A PRE-ACTIVE FEltrU5

'I'herc
is a need lor pr-udence an.i a pro active fo.:us to coPe witi the cr-isis
Prudence implies: selective pfoject rppraisal and dcvr:lopment; .loscr ProJect
monitor-ing; cr-eatior of risk sharing aI'Iangements; Provision of gra ts Ibr
capability-t,uilding;and goreratiorr of additiorral resources.
A pro-acriv<:Ltrus irnplies devdc,ping [c()-Enteryrises tx enterPrises
that do not only survive bu( Srow $itl,ir rl,e preseDt drltext. Thcso ProJects
ale simultaneoustytrCOlogically sourrtt,ECOnornically viable, attd
Comm urity-Oricrrk)d.
!-or tl,osc r(:asons,!'SSI shall use its monitcnirrg rdivity ns a lcrrDing tool for
in-depth analysisol pr-ojects.TLe assr:ssrnent results of two o{ tht:sc pr-c,jects
are presented in this leport.

EMERGING EC O-E NTERPRIsEs

Sevelal projects assisted by fSSI iirc potcIrtial DCC)-tinterprises.
Thesc includc:

ECO.SYSTEM pltoJEcT PHOPONENT

Ufban
Area Sod Wasts
Manag€mert lnsttt]te
lof theDeve of Ecoogcal
oprnent
ardEd!cat ves fc (IDEAS)
oralA lefnal

andLJplands
Forest S!staifab
e Agro-Forestry lnitatvesforNegros
Broad Deve (BIND)
opmefl
afdMicro"Cr€dit

Crop
ands Cattle-Faltenifg loTAternal
Cent".f Techno
veB!Tal ogy{CART)
CoconLrt
By-Producls Pitad rc (PFl)
Foundatiof,

t2
 FRAMEWORK FOR SYME IEITIC, EtrOsYsTEM.EASED
ENTERPRIsE DEVELE PMENT
Symbiotic relationships exist among different ecosystems, with the outputs of
one system s€rving as inputs to otheN. Too much input can be destruciive.
For example, upland soil erosion damages croplands and coastal areas. Too
little input can also be bad. Limited water from upland watersheds dries up
rivers and croplands.
The same relationships generally apply to ecosystem-based enterprises.
Accordingly, FSSI shall identif, str€ngthen, and replicate Eco-Enterprises
that fullv use these relationshios.

Fert
I zers Non-timber
andMicronulr
erts Foresl
Prod!cts
Forests &
Uplands
Seaweeds

Hea
lh Food Urban
Seaweeds AFeas

SeaW€€ds

and1,4
Feftiizers
crof!tfients
Crop &
Pasture Lands a1w::t"
Fertiizers

r3
 A CASE STU DY
tr N THE DEVELEFMENT
EF tr T] MM U N ITY-BAS ED
ENTERFRISES

Silane PREJ EgT

AP-1996-tl
REFERENtrE
l5
NEl.

Solid WastE CLIENT

I N S T I T U T E F t r IR T H E

Management DEVELEFMENT
AND EDUCATIO NAL
EF EtrELOEItrAL

pTqect
ALTERNATIVES. INtr,

PREJ EtrT SITE

sILANGi, CAVITE

O RG,/\NIZATIE N TYPE
NEN.GgVERNMENT
E REAN IZATI O N

EtrO.SYsTEM
L 'R B A N A R E A

TETAL FINANtrIAL AsSISTANtrE

LOA N: PHP l.E|OO.OOO
ERANT: FHP BOO.OOO
EO U l-rY:PHF 200.ooo

DATE APPROVED
trtrTOBER Z,_l€_9€

l4
 THE DEVELT]PMENT trtrNTEXT

THE TREND TO\^/ARD UREANIZATIEtN

Tltcre is a trcn.l towards urbanizat*n Dc:nographic data show that over

tim(:, the pro{rtion ol1ur.tl r(:sictents has been dedeasins Gi'en this
pattern' the iun'l,er of people tiving h urban areas shall eventuallf
ou tn un Ler r ural .otn terPa/ ts-

fhe Philippinesis r r r r . l . r s o i n sa r " p i . l u r b a r r i z " r i o np l o ' s ' llris

transldrmationcar l . . . . r r r l i " u g l i I L e \ 1 , ; l ri ' r r l r e r r r b a n - r u r a'lo m l l o s i l i " n
of the population.
lxhibit I shots tl,is . l . n r o g t a p l ' i , r h r r r g eo v e r r i ' n e l r r l 9 7 o t h ( u r b ' r ' r '
rural pr-oportion of thc c e . z t t . r . r e nl e a r ra l r c r 't l r i '
" " " , r 1 ' i . i , " n . " " l i
r e r ' i n r ' , r l , a r rB. y l l 9 0 t l ' e r a t i ou ' r s
shifl(xl to 62.7 percenl ' l u ' l , ,l n d 3 7 . : p
about117.2;32.8.

EXHI BIT I.
URBAN.RURAL PEPULATIEN' 1 9'78' 1 998

7A r k"';i

50

30

?o
LO
o
1970 i 980 1990

Ai this rarc, it is .xPc.tecl tlrat irr aborrt a dccadc and r half' urban
shall ournulllb., Iural .ourr(etP:Irts'
r-esid<:rrts

THE NEED FER WASTE MANAEEMENT PROGRAMS

Urlnnizatitn stresst:stlr ncccl *t aPPoPtiate sol;d w'tste ntanaganelll

\olunl
ArDconleJr'l l,u.in'^*' l'e,"rn" " rr'crrrnr'J il t1''ifi' 'r"a' rlrd
p r . . l u , o l r , , , F " . . s ' l ' dr ,' / ri " , l l r ' ' " l l e ' r i o r ra n ' l ' l i s p u ' a l n l s astc
ol
",.ri
becornes an inr:vitable l,nccrn
\ 1 " I | " N I " r i l . l ' r i n t r .I r ' , . I r ' ' l r r r ^ ' e ! r a l r " r ' ' o l g a r L a g " . e r " r r , , d a ' '
E5
ll is estimal.i:dthat (h(i Pel capiia figure is iborrr 640 gm/dav -{ll Lnnll

t5
 ;"virli{ll
T::r::,Y,'r :i:::^;":::':""'
lTf;:l;.,'T.
Findilrg dumPing siles
that car du
i e,h'c pro'i,e.
.""$l::,:l;:i*it j;:',ilil':i#:llsl,lJl."*nn'.
:li'-'li:"';:r'"'
ilriii"*ii':lntrurll'r.:l:'$T:ifl
;:u-*1,
THE EMEREING MARKET
sERvrcES
;;; ;;;;;
""NAEiEMENT
'rhere -",,F-' i:': ::=b::;i:;::"iii!i,I1Tf!Ffl'^iJ'Jilfi;
a,etwo
i,i:ii.::,:::;:"""' i',iJ|!",,,-,.'
"';,")1,,'
^'r9Ji.rt:,'dl,rr^.h:',::l:
,,,recrior,
wa.,e i,ll'l:'J::;il,,jt'llli' ,',"''*, '.,
r"r.anv
.'"i'i'ar'.'" 'r'Ieds'
iiiiii"ir''i'"'
*::::l'l;l;iJr;i';:l:lll';'llili "
:;rlll,il::*il
ii:ll."::,Il:i.ii';l:''.,',il".i1:.,:l:,:,!:':i:i,,I',illi
men'l
't rr':isorerr
;ll'::il::i ' 'i" i"'r'r'1't'
ll;-i,:;"'1,I",[]i:iii
:ll';,1?;,1
rxr,irrcr
ror.ic
, rr'c rsI :ll :"::l::ji":*l:l:'iil::ifi X:ill:'i'*'
nro'lr
rrri*
"*'l'::";ii:'ll;;,;l i:;ii':'j.:ll:;t;'l':;:l::;i:i,JlLLl:
J'J;ll'il:li,ii':i
l'rir, sl+l*it;,*'ilUntu
il,i:lli*il
:iiii:i::rr
;::lif;'ir: lJili;;l':i:'i$i[,
Jr:,T,.1'i, ll"rlli:;:*s::i::i.:l:':':'
pro'
''i,1"ii. .i"i 't w/sreJi\Pdsnr
bofil,,r,i". ?1"*
.1":i,t-llg::'::,iiTi:"ln:';,:*:ll:'.11'::t*
poi,',,
:i;if;il:l'fi::':".".,'
:::ii.T!:::H'
M,oINrENANcE
ll i JlLT''i'=J:I""'"'?'"?'o" "
Ivti t''l h' tE'd' " /'' " ",::1,',,:
st'tuut :' l:,;," :,i:: ; : ;': I ::';;'; :; :'; o"
naY not be a 'dtiient
jj::'i:i::.:i,:!';i':i,',;,:,i:"i'!t''it!'!:i'l:::''"'''
i'r:,:
\4 o,
co,.
ere .,*",: "",g
*-'"'' i:,'l;;l;,'::l,il:;:;,:i!:i-:.if::.1:ilf:ll
iiji;i":' jli:r :f;ii::
:rll*!t jr*imi'#i"
mi:mii,lr,
i,rlt:ff:Tffr:i ::l;r*'r.l:::irili,.
:;li::
lo
 ::,j alrun.l the National clp;tnl t{cpi()n (NCR), for-iDstancc,altenativc uses
:; land h,rvc lrco,nc so compt:titive so that the .ost of land has skylockcted
\s sLrrlr.larrrlfills scrvir:irrgrhe requi.emenls ()f N{etro i{anila have co br
:. c:Lrcdara,v from ur'ban centem.,A.tthe ntornent, thc sanitary landtrlls in
San ]Iateo alld Carnrona, municipalirics at rl,i] periPher,r, fttlfill chis role.
The tracleofT.however, is that thc lransporr mst is irigho and transfcr
ilalions ha\,e to bc built. For thc NClt, il is csl;tnated th?1lthe per caPita
.\p.Dse tor solid *aste mara!{enert is about PhP 300 a year or Phl'25 a
nro,rrl, (l,apid, I998).
I l , . . r i r ' . ' , g .d . \ , 1 . 1 , i , , g ,. r r " l m . ' i n r , ' i r ' i l sr , , l a u J f i l l . i . , , 1 ,' J l e n g "
"
r - s r i r n a r c dd e v e l o p m e n tc o s t o u l c l | e a r h , r b o u tP 2 5 r t r i l l i o nP e r h " , 1 o e w h r l e
-fltese
Ihe maintenan.c.ost would be l;r,rw(:n I'hl'25-40 per-ton. staggi,rin6
rnrourts l,i,uld simply br: prolril,irivc tur' undcr rteveloped m,rnicipalities
r L n p i ( 1 ,1 9 9 8 )
Given rlrcsi:roilir;(is, rL(: volrrnc oi rvnst. lx:irg generatrrl and delivcrdl
to landfills Iras ro lx: rtrlLti:trl. Arr approach in r<:rlucingthe v,,lume is
tl,rougl, scgrcg{lior arrd rrrat<rialsrecovery.

THE NEED FER 5 EE RE EATIE N

ANO MATE RIALS RECOVERY

llrrte () b. s.rt.!rt(l ihto lau1 (.:dtlrgori.:s:.lrllpostablcs; nt:ydahk:s,

lilli ! nnteidls; an.l hazardc,us ntatt:rials. Recovc:ty of rcsourcc:s litr
tcrtsc or r<r1.clittli .; aot ont.r'ed*:( tlrc voluntt ro lx: tlis1to*tl itt
ltttrI/i//s, ir )r)s(:tr\:r st:,t!tx:r.-'sourt:(s.

\ \ : , . , , : , j , 1 , , . , 1 r ' r ; . r t t ' l i r r t 1 , , ' r r, l r l l , . r l l t t 1 p , . .

Cantytstabh:t/Dcgrdrla1l/cr.llrcsc ^r1: rn:rlcri^ls tlrat ciLncasily I)o

<t,rrrnrP,rsr:rl arrrl convcr.reditrro sirnIlc corrpost or frftilizer"
lltr:yclal>lcs.l Lcsc'nrarcli,,rls car Lc s<,lrlro inclustr;csto lt used agrLirr;,.
p r o d u c t i o l i rr1 , rtr: .
'fhesc
lrilling ntaterials. arc itt:rls withorrt rrrrrclruse and ar<:usu:rlly
b l o u g h t r o tl r c I a r r t l f i l l s .
-rhese
Hazardous ntaterials. usually rr:fir to matelials rr:quiring sperial
disposal plc'cedu|es. [xanrpli:s are hospital and indust ,Ll wnste tbat
nay contain chemicils drrrgcrous t.r hunrnns o. Daturc.

Nor ^li wrslo may l,e r:r,nsiclcr-eclgarl:xge. In reality, l poltion oI it may

be viewed as resoulres that must lxi re.ovix(al.
Thus, r<r,viry of rt:soLut:s for r-ccyclingor ri:-LLse will cer-tairrlyleduce
rhe \\i\\rt\\ o! \\r:lc lo br disposct\. \l t.r\n, \r ul\\ corserre
l>y cxrcnding the life of the landfills arrd redu,:ing dcnartd for neu'ly
f..:ttf2a!ed n'sDD aet

t7
 TH E IN STITUTIE NAL
trT]NTEXT

THE LEiU AND NGiE trONTEXT

Prevailing condirions were conducive for a mutuallv bencficial

partnership between the local govcrnm'1t un;t (LGU) and non-
government organizarhtt (NGO). On the one hand' it made tnore sensc
fot' the I'CLI to subt:ontract lhe s() vices for cotlection and disposal of
waste. On the other hanJ, tht) Institute lbr the DeveloPment of
Ecological ancl trtlucational Alk nativcs (ID!:AS)' an NGO' was
devr:hrying ix cxpet-tise on *olkl wastc malllgen'ent'

The project ns conceptualizedat a time when local corrditions prevailirrg

were favorablc for clevdoping a symbiotic partlrerstrip bctween the LGU of
Silang and IDEAS, lh(: non-govcrtlmolrt org^Irrzalron
Waste disposal Las been a continuing Plohlun of the ntuniciPality A
_
slu(ly coDducfcd revealed that an avera8c household in Silang gcnelatcs 3
3 5 kilos of garb^ge Pet day Of rlre total, ?0 pl:r'cenlare kitchen and yftrd
waslcs, 25 Perccrrt are plastics'PaPcr ol caltons' tin c'rns, bottles or glass'
and aboul 5 Percenl for other types.
lix the urbalr area oISilaIrg, al:out l5 tons T clay re gcnerated Tlris
figulc includes Lrorrseholds,lhc l)ul)lic Drnrket,rnd comrnerlial
establishmentslocated in tlrr:st:barrngays.
The I,CLI was f:tctxl with tht:se crxrsiclcrationslhat PreclisPosedthe
lcrdors to Posilivcly view Ihc proj(tti

EXH IE'T 5.
THE LGU EtrNTEXT

PERIOD CONTEXT
Pre-1994 wasnomLrn
There c pality-wide
wasle syslem
managernenl n place 1994TheLGUdidnot
before
trlcksofther ownorlhepersonne.
garbage
have aTrange0
andb!slnesses
Ind\rdualhouseholds
anddisposalof
theirowncol€ction wasle
1 9 9 4 - r S 9 6 TheLGUcontractedtheservLces pf to s€IVe
of vateeftfepreneLrrs then€edsof thernunicipalty'
1996 TheLGUs wasted sposas te became areaA factory(Draqon
anrrbanized TexlleFactory)anda
lofmation
religio!s (Asian
instjtLrte forAdvanced
lnstitute wentuplnthevicin
Stirdles) ty These
began
eslablishments 10thecontnired
to object useofth€s tefofwastedisposai

The alternative for the LGU was th.r Carmona landfill ancl Thgaytay'

2l
 IDEAS, or the other Land, gladLratlydeveloped the technology lor
composting and organic fertitizer production. In cssence, they were laying
t h e f o r r r r t l a t i ufno r t h e 1 , r o j et,.

EXHIBIT 6,
THE IDEAS trENTEXT

PEHIOD C()NTEXT
1989-91 IDEAS implemented anEcooOica Farm ngandA ternal veTechnology Pfogram.Thisprogram
!ndertookaf aclof researclr
oncornposting t€clrno onwithth€LJniversily
ogiesincoordinat
of thePhiippnesLosBaios
1S91 IDEAS establsheda bio-oroanc f€rtI zerp afl n S lang. Theprmaryrawmat€r alusedis
agnc!llLrral
waste.
T995 IDEAs andKEDFI (Kamzon Educat onaForndalio a research
I, nc) ufdertook andpiotproiect
0r
wasie segregatiofandcolectoriirofe!rbafbaran0ay n them!nicipallty.
1995-96 IDEAS coirductedanenvronmental educaton campaqn oulput
A concrete wastheformal onof a
mLlti'sectoraorganiatonlheSiargZeroWasleActonTeam(oTSZWAT).\4thzerowas
rnarag€menl as ts mal focus
IDEAS andSZWAT condrcteda series of cors!llaliofswlthlocalolficias forsold
to advocate
wastefaafagefitetipf0leci
10EAS facllatedtheerchange of local offica s lo simiafprojecls
n Sta[,lara Bllacan,
andmus,Cavte

The firvr:l'ableLGU outlook, good track rccorcl of IDEAS, and multi-

supPor'teDgendcfeda nrutuallvbencficialar'rangcnrent
secror':rl bctween
gouerrrmeriiancl ci"jl socjetyfor drc SiLrrrgwaste ManagcrlrentProjcct.

THE TRANSFtrRMATIBN
PREtrESS

SUMMARY EF PROEiRAM EOMPONENT5i

AND RO LES OF STAKEHELDERS

The project ai'ns to tnculcate waste segregation at the househohl level

To achieve this, tjtc proje.t has three ;tter-telatul comPonents: educadon
and catnpaigns; raste collecion and disposal; and ;nsdation-buildhlg
These enabte the vatious sta*cltoldtts in the cornmunity to Partic;Pate
and enhance program v;ability.

T l r e p r o i e , r ' sm a i n p u r p o . e i . r o o r s a r ' i z ea n d ' a v o u r a w a s t e .

m a n d g e m e n rp r o g r a m l . r S i h n g . l n i t i a l a r ' / s r o b e . o v c r e d a r e t h e u r b d n
barangays atd its periphery.
Unlike other modcls, howcver, the Prdect is unique in that ih seeks to
segrcgate waste ar tlre household level

72
 As designed, the project has three major components: a) Education and
C,ampaigns component; b) the Waste Collection and Disposal ComPonent;
and c) Institution-Building Component. A matrix of the progmm
components, desired results, stakeholders involved, and their roles is
presented in Exhibit 7.

EDUCATION ANO trAMPAIEi NS

This conponent seeks to: engender a positive policy env;ronment; and

develop a constituencl for the pnject.

The component essentially has two dcs;r'cd results: to engender a positive

policy cnvironment, and to develop followcrs that the project can rely on to
undertake waste segregation nt the household Ievel.
Being a public Deed, waste rnanagement.is primarily the resPonsibilityof
govcrnment. Even as the LCU Silang is one of lhe few which devolved this
function to the private sector, support frorn government units remains
c tical to the success of the Droiect.
l his support includes th; e;actnrent of neccssaryordinances, monitoring
of compliance, elforcemcnt of laws, and provision of resourcesto the
endcavor.
On the other hand, advocatesand practitioners of wastesegregationare
nceded to convince community nrunbers. A.ssuch, the formation of an
advocacygroup anrl different modcs of inlbrmation disseminationslrall be
undertaken. Activities to rcinforce incentivcs and sanctionsfol favorablc arrd
unfavorable behavior shall also be carried out.

EXHTBIT 7.
PRtrGRAM DESIG N

PR0GRAM C0t!,4P0NENT
DESIBED RESULT/EFFFCT KEYSTAKEHOLDEBS ROLES
Edllcation Positiv€PoicyEnvifonmert Safgg!n afgBayan Pass resolutron
afdCampaigns endorsirg pr0lect
oiliceolihe[,layor lssreSefvice Contract
lssue lmplementing
R!es
to0fdinance
Facltateprocurernentof
dumping p€rrnit
DENR lssue ECC
En0htefed Cltzefs/ SZWAT EdCommittee BaranOay andSectofal
Empow€red Barangay
offclas Barargay oliicials Ed and nfo
SZWAT l\,40n
torifg [,lofitorBarargay
Comm ttee lrnplemeftation
Int€rBarargay Coftest
Private/P!blic
Schools/ Graded Home vsts
DECS lo students
Waste Segr€0aUof Wasle segregated, ]DEAS Manage/lmplement
ColectonardDisposal co ecteddrsposed th€program
fslit!tiof-B!i
ding (CEC)
A v abl€€nterprlse tGU/FSS / DEAS/SZWAT JointlL4anaqement
and0wnershiP
Co-Fifanc ng

L5 FSS| 1997
 THE WASTE SEEREGATION AND trOLLECTItrN,
AND REtrEVERY AND DISPOSAL SCHEME

The primary result ot this is the increase in proportkn of cornpostables

and recyclables being colh:ctecl vis-a-vis tilling materials.

Wastc can be segr'(icarql iDto r-ei:yclables.compostables, and filling mat<,rials.

The kcy is to cotvirrcc householcls and cornrnercial establishments to
segregate.

Sr:eregaion Sc:/r:nte. Lr examplc of how the waste can be classified is

shown in trxhibit 8:

EXH tE t-t El.

WASTE CLASSIFICATION!
A EiAM PLE

CO[,{POSTABtE RECYCLABLE FILLING

MATERIAL
Grass Drypapef Smalbatleries
LEAVES Cartons Botlesw th o I chemicals
acds
Fnrit
r nd Paslc botles, Foam
Afimalmafufe spo0n, r0fKsvawetc. Corfoded[on
Eggshel Conta ners (qassorp astic)
Cotion w l h o uotl ,a cd c h e m i c a s
paper
Tlss!e Ahrm n!mcansfol
Carbatt€r es,tires

Orrcr:scgregatir:rnis.rclrir:ved,
appropriatccollc<rionand disposalschemes
hav€ {o lx) done,
AtlJattiott Schette. Tlrc foliowing collccdon sr:hcduk:pcr week was drawn
Lrpby thc pxrject;

EXH tBn_ 9.
C E LLEBTIA N 5tr H EDU LE

I]AY WASTE FORCOTLECTON

Sufday Compostab esandR€cyclables
lrlonday Compostab esandFecyclables
Tuesday Fi irglllaierials
Wednesday F if0 Matefials
Thlrsday Composlab esandBecyc
ables
Friday CornpostablesandRecyc
ables

Recovc.y and Disposal Schcme. A central materials recovery center was

cstablished in Silang. Collections of compostablcs and recyclables are
bloueht directly to the ccntcr. Recyclables are then sorbd,
accumulated, and sold tojunk shop dealers. On the other hand,
cortrpostable naterials nre turncd into conryost and/or fertilizer.
lilling materials arc brought to the Carmona landfill.

24
THE IN STITUTIO N.B U ILDING trOMPE NENT

A separate corPoirti.n tc.,ditectly pt'tvtde ''tie'tion and Jispos'!.::t:"*

't"ti r" ro"n"J t lti' 'tutt t' j 'l;tit' o-""a ana ntnased b' TDEAS
SZWA'I , and FSS|.

i'
l l , ( r o f l n , , r i ' , ,o, l . , . ' n a , ? r e' r r r i r vr - r r r ' r r r , g e : r r ri 'nl r P l e m r n rr h e P r o j e c r
d " , r r r - d r r e r, * . r r 1 r n , : , r . u r er l ' r r . " , r i ' e l r . a l i r t i \ ' o r r s r n n r l l
' - q " \ ' " 1
I n lI ih .
p , , . r i . l e sa I r r u - s h n r , l , v r l , c , l i l f . r r l r ' r ' r k ' l r " l ' l ' t s I ' a r r i ' i p d r el ' o r l r
proic.t
' ' manag(.nrentan(l ownersl'rP.
Itoat tr of biLeaorr' The board shall bc composed of represcntativcs from
dre srakcholdos cum-srockholcl<r's ot thc Proj(:ct Tlrese inclucle
nominc<:sof IDllAS, FSSI, arrd SZWAf/LGLI'
Mznagencttt Cnnntirree. ft :narragr: thc r:orporation, IDEAS scconded
rwo o{ irs srail to lle Proic.l 1o ad as the rrrnagct' arrd educatton.
and inlbr:nation ofiicer. A sralf from rlre l'GU was also seconded by
l.Lc rnayor 10 servc irs liaison between rl)e Project and rlle LGU In
additioi, IDEAS cor)trr.Lctecl tlr(r s(r'vicesof a businessconsultl nt to
gurclc nlanagclrl(:nI.
9.r&irg. <)r.irerLirt:tl srall inrrlude: ! o rr.uck drivcls; six tluck behcrs;
t\,to waslo pt ocessir)gPelsoIrrrcl,
tinancirtg. I I)i!As, sZ\iiAT,.rrLcl FSSI slrall Put uP the cquity.of the
,,,u1,,,iotiou ll. is e))visionecltlt.rt llre fSSI stake shall Dol be rlrore
tbarr one-tbirtl ol toltl txluity lb (:rrsurothat llre lo(al cotnmurrity
slrrtllbe thr: nrljolily stakeholdcr'.

THE FSSI FINANEIAL FAtrKAGE

ISSI fiudncing of the pn/n is a ( rtbination of thrc<: i sttltnenLs: loan;

't
,,quity; an,l 11i:ant ht:sc an ttt be rtretl liLt workitg capital, at:quisition
ol fixecl assets,tncl Lraittittg and rescdlcll Pu4'oses

Thc Silarg w^ste ManagclDerrtl\rrjcct is nnt: c'l the mo|.e novel and
innovativc projects ["SSIsupPorts
This is a r-are irrsrince wlrcre .ert;LiDgovenrmerrt lirndions have been-
devolvcd to civil societyirrstitutiorrsuudtl a ici:for-servi(: anilugcmert l'or'
g i , r l , r r ' ' r r , . ' n g ' I ' J " r " l L ' vr t J i t i " r r a l
, " . i i ' . , , r r . . " 1 , . r , ' , " 1 i t r . . . , ' o l " "waste
collr:ctionschcrnesby prorn,rtilg scgr'g:rti"riat rlre s"LLlce'lroustl'olds
and l,usinesst-stal)lishm(ints.
F S S I r e , o g r r i z , Jr l , . l i ' , r , F c r i n er r a r r r r '" 1 r l t e 1 ' r o i e ' t . V a r i o u s
i n . r r r r r " . r r r .' 6 1 1 , ^ p . r r ' l i n gr " . l i l l e l , r | ' r ' ' 1 ' r i r 'r r ' " n t ' o l I l r F P r u l e ' t w c r c
i r r r o r l r ' r a r . , li r ' , ' , r l , . I i n ' r ' ,i l c , l , ' k ' c , "
! . t n C o n t l , u e u r . W , r l ' i r r g , r p i t ' 1r ' ' r u i r ' r t l t r r ' o l l l r c P I u l e ' r w c r c
covered by a loarr :rmountirrg to Phl' I B rnillion'
Equirl'
- Contribttion Orr rhe other harrit, equity ()ntibutions reachirg
Pl'P 800,000 rvtrt prc,vidul ro brry fixed assetsilcluding two trucks'
shredders, ancl c,rrsrruction of th(i nlal(rrals recovcly celter'
Grant. A grdnt amounlirrg to PtlI' 200.000 was extcnded to cover tlarrung
if
costsoJ the mulri-scctoral alliancc' analysis()I the nutri'rnt content
lhe conPost, ald rletelrninatiorrol thr: besr cornbination of inPuts
that will resull;n faster cl<:cornposition a'lcl bettcr Producl quallty

75
 PREcIECT FIES U UTS/E FFEtrTS

SUMMARY'EF trRITERIA AND PERFtrRMANCE MEASURES

The criteria to be used in assessing the project shall be based on FSSI

shndards tor Eco-Enterpr;ses, nanely: co uitf-orientation; ecological
soundness; and, econonh viability. Coinctdentally, th;s corrcsponds
roughly to the three program components of thc projett.

A summary of the desned results and their corrcsponding pcrfornrarcc

measures is presented in Exhibit 10.

EXHIBIA 1O.
FROd ECT ASSESsMENT FRAMEWtrRK

FCO"ENT CRTER A OES REDRESULT/EFFECI PERFOB]VANCE MEASURFS

Cornmrnty-0r€tlatiol't Post v€Local
PoicyEnvronrn€nt SBReso Lrtion
EndorsingProject
(EdL qns)
calionafd Caripa lmplementation
G!idel nes
fromMayof
ServiceCoftractwitlrLGI.J
ECC lromDENR
Provisionofhumar and
Fnanc a Besources byLGU
Enghtered
Clzens/ SZWAT Membersh p
Ernpow€red
Bgyoffclals Actvernrlti-sectoraparticipatiorl
EC0ogcalSoufdness Col€cton'Efficency
(WasteColection
afdDisposal)Wast€Segreoat,d SegregationandRecovefy
Collected,
afdDsposed ProcessifgElficefcy
E0onomc Vabity (CEC)
Av ableentefpfise S€lupNewEnlty
(lnstturtion-Buidlng) ExternalR€cogrition
KeyFnancial Ratos

trEMMUNITY c)RIENTATIEN

IDEAS had btt:tL ahle to substantialll ach;eve deshed results in fosteritg

a positivr: policy envit rttrnent, and in inal:as;ne awardrcss aniong the
citizcnry and in enpowering barangay olficials.

A srrmrnaryprcs.nlatioll of thc zrccomplishments of the project is presented

in Exhibit 11. Il shows thai .lcsired rcsults havc substutially been achieved
IDEAS developecleood working relations with the LGU of Silang. Their
overr support fo. rl,c project was manifested in many forms: a resolution by
the SaDgguniang Barangay endorsing lie projccr; thc signing of a five-year
.ervi.e,',nrrr.r bFtw,r'r rl,e LGt l D I A S : p r o v i s i o no f f u r r d s e
. r..
'| "nd
he project is a prirne erample of k,w dcvolution ensluined under the
Local C(,vernment Codc of 1091 can be mutually beneficial for those who
govcrn and thosc who ale govcrned.

26
 I r,
RY trF AtrtrtfMPLISHMENTS: GOMMUNITY clRIENTATIBN

RESULT/EFFECT PERFORI,4ANCE MEASURES ACCOMPLISHMENTS

En!ronmentSBReso
LmalPolicy Projecl
!ton Endorsing Resolut onNolllL060s96
lrnpernenlation neslrom[4ayor
G!idel passed Sepiernb€r20,1996
Servce ContractwithLGU lmpementing Rules
Provisof of Humanand ssLred February 17 1997
Fnanca Besorfces by LGll A 5-Year S€rvlce Contracl
sigfed FebruarY 1997
on€staflfromLGU
seconded to Proiect
PhP165,000 grant
foT p ant rnprovem€ni
Spoisorship of wofkshops
ECCfromDENB Inproc€ss
Citiz€ns/
Eni,ghlened SZWAT Membership age
covef
[,lr]lli.sectoral
officlals
Ei.0owered pa(c pation
mrlti-secloral
Aclive R€ward/Sanction Scheme
lnler-Baraf gayContesl
l-lome visits

lronr lhc stirlt, the Silang LGU has srrppo|ted lhc Project. This was
nr.Irifcsted by tlre lbllowing:
'I
5B Resolution No ML 060 s.96. Lris was passccl Sept. 20, 1996
cndorsing tlte projcct. Thc sPecifi(ipovision of the rcsolutiorr
nppt,rued "the incloise cnt of IDt,AS as thc lead norr-governnrental
orgarriz,rtiorrfrrt.clrr:conccptualizal.iorr, i rPlemctrtation,and
mlLnagcnrcrrlof thc murricipitl waste lrrarragelrlerrlptograrrr. "
I tplernentitlg RuJesaDd ]?egulatio r (IRR) Irr 1993, "An Ordinance to
l\'ol(jct tLc Euvirr.rnnrentand Mainlnin aD Dcological Brlnnce in
Silang's Natural llcsources" was Passcdby the Sangguniang Bayan
What was leedcd by tht: pro-ject., therelbrc, w:ls the issuanceof lhe
cnn-esponrlirrginrplcrrorting guidelincs'l-his was issued
Feb.17, 1U97.
Kcy scr:liors of tlrc irnplelrr:rrting rul:s fcrrmed thc legal basislbr-clrc
operation of the project as it dt:fined: areas of oPerat;or or cov(,'r'age,
wastc seg.egitioD sclremc, st^8gerc{l collectiortsystem, ftxmatiorr oI
inter"barangay waste tnordinating bndy, and penalties {br rron-
compl'an.xr.
The Service Cntltract. Or'c.: the rcsotution was passed' IDEAS and the
l,(}tJ discussed the terms of feferqrce of the Project l l'is was
ir.!rpouted into tLc servicetontr'l.t sisned bctween th.r two Partjcs
'rn
F<'-bruary 109?.-two of the significant provisions werc: the serlice
contnct will be valid for five years; and the servict: fee is onc
hundred thousand pesos (PhP 100,000)a month.
Otfut LCII Contribnrrars. In addilion to the rcsolution and contract, the
LGU rnade other significarr .i.,ntibutions: it assignecl one tull-timc
stalf to work wilh the t)roject; arrclit provided I'hP 165,000 to
i m p r o re r l ' " 1 , r " ' . . . i " q L . i l i t r .

27 FSSt 1997
 th-e
The pr.)ject als() provid(xl the venuc lvLrere 'rivil s()cietv engnged
constructivc dialoguc lt
g,,u..,'*'.,,'i ^, the bisic level-rhe balarrgav-in
beconte mc're rcsponsivc and
crez,tc(l a rvrn- rn opp,,.t',,itv -h""
"r;i:'I"
accountableto thc;r constilu(:nts

b)'DF:NR
A concem' howev(:r' is tha( the ECC stilJ has ro be 'eleased
pending its review ol the Prolect

to be
fhrforLrrnately,lhe Erlvirurrrne'1ralCorrpli''ncc Cf,rtifi'att rer"arns
DENR tlfforts are trting rrra'I" t' dtquirt i'ld-ibonal
erante(l bv rlic "'"iu
:;;;;',';'i ,i'.' reJuce potential I'aimrul erfectsto tle
""u",-',;u1

't t Tt:am indudcs

|te ntcttboship of the Silang Zero waste Manag('ne
dtive
tl1( t:toss-s.xlion ol rhe conttritttitv witlt the intens;ve ;lthrnatton
joitttly und(: ;.ken with ke1 le:t'tets ')t ltr' ')t.g"niz1t;on lDEAS had htrtt
tl'le to ut,l'ilu, t lu.tJ'h,tsc1 \ttPt)uIt t '! tttt'Ptt'lc'I'

ADaIt liotlt the L(iU, lDrlAS cfl:at<xta firulti-s<:ctoral allianct: thar':lclvocat(1l

*",*i,. *gt,,g,.ti." l liis allitrr't-rhe silrng Ze:" w-r'tc M'tnag(:mdrt lixm-
isrcrrrr:osctlolsfi]lol'Sth.lllr"reinIlu.:tr.lc.t'l.lstakcillnrunicipalit,yaflairs.
A 6r'eak<t,-'wn menrl':erslripis shown trt
of its nrairrly irrstitrrti<-rnal
l:xltibit 12.

E X HI E I T 1 2 .
SZWAT MEMBEREiH IP

SEOTORAL COVERAGE
Schoos
P Lb l c 6
Privale 3
PrbicMarkei I
0r0arLZatlolrs
Socio-Crvic
Goverlmenl LJntts
Baratgays 14
ExecLliveDePl llnlts 4
Sanggln af! Bayan 1
Sarg!lLniangKabataaf1
PNP ]
DECS I
Lrtnefs
Parlshorgarzatof l
lndvlduas b
TOTAT MEIIBEFS 57

78
 An intersive education and informarion campaign was also conducted
before the project was caried o"t. Parricipantsin'luded residcnts or
barangays io biecovered, ma, ket uendors. and mrrnicipal and school
Continuing education is also un<lertaken even after the ProJect
"-P1t;.".
has started.
A sunmary of the trainings conducted is presented in Exhibit 13'

I
The Proj.:ct ;nstituted several schetnes to instill necessarv values in the
APart from the cont;nu;ng;nformation catuPaign, other
""*-i;ty.
I innovative modes of;Dtervent;on were designed to reinfotce the desired

I attitude dnd pr,!.ti.c

Convincing people to segregate aste was the rnosl difficult asPect of the
I projecr. Sriciess'dependid 6n wh.rher pe'pJe-would makc the rcquired
;ff;rt to sorl and fallow the collection schedule.
At the oulset education and information were an integral comPonent of
this enlighrenmcnt Process. Ilowever, this may not be sufficient to translaie
the desire into actual practice.

EXHrBt'r 13.
'I997
TRAININGE EONDUtrTED,

MONTH SECTORS NO/TRAIN

NGS PAX
Januafy Barangays 2 57
N4ketVefdofs 1 35
1+ 348
MuncipalEmployees l 25
March Bafangays l 30
PTA School
Central I 2AA
APrl Barangays 2 40
June Barafgays 1 27
JUry Barafgays 2 80
'I 30
Au0ust Barangays
Sept€mber Bafangays 2 70
TOTALS 2B 1 442

such, other innovative interventions \4ere thought of

The Biased Atltection Schedule. The waste collection scheme was
designed ro condition residen(s to scg.egatc by speciling the tyPe of
wasi that will bc picked up for a particular day Looking closely at
the schecLule,it *uy be that ;f the six days when collectionis
"."n
undertakcn by the proje.t, four days are allocat€d for compostables
and recyclablcs. Conversely, only two days are devoted for the
cotlection of fitling rnaterials The Sreater allocation implies the
premium placed on recyclablc and compostable mater-ials'
Thi Gawad iaiinisan Awarcl. T\is is an inter-barangay coDtest designcd
to reward cleanest barangays, and those that have been able to attain
r h e I ' i g h e s rp r o p o r r i " n . o r . . g r . g " r e a $ a ' r e . l u d g e \ a r e r o m p o s e do I
the enforcemenl committec of the SZWAT.

79
 Hottc visits to sttxlots4,tp;/s. l his irrnovltive scheme was designed
whereby r (iprese,ntativesof ttre education scctor would visit homes of
studtnts residing irL Llrc cc,vereclbalangays.The objectivr:of this visir
is to rnonitor thc cleanlirrcss as rvell as the level of waste scgrcgation
of the houst:hold. A con-esponding sc,r e, woulcl be reflected in the
graclt:sof the studcrr concelned. This scheme is applied to students
frorn public :L'ld privarc schools.
'l
hc importance of lramessing clril(t,en is recognized by the projcct.
Tlten values systerrNluve not yct harddrcd so that they are more opcD to
novel itlcas. By inculcating prop<ir rralucsto children, the project ensurcs
that ttrc next generarion of resictcntswould have the desired attiludes.
Chil<lren ar-ealso cftcrtive chanrrr:lsin influ<:rrcingother farnily rnembers,
cspecially pafenl.s.Ry takiDg advaDtageof the fact that prrents would not
wttnr to put dren children to shame, the sclrcmc forces the farnily to work
tog(ithcr for the s,rkc ot the chil<I.
'I
Lese rewarcl arr<tsanctiorrschcrrcs hnvc bcen set up to help residents
iDtcrrlnlize the valu<:sfor r{aste scgregal;oDand cnvironnrental protection so
tlnl. in the eucl, tlrr:scbeconre part ol their way of lilc.
Whether or r)ol the carnl)aignt.r eclucatethc.ornrnrrnily has succeeded
may be gaugc.l liom the r<:sultsof the actual collection,

MEASUREsi trF ECc' Ltr G ICAL SOUNDNESS

IDLAS achieved ecohtgically tk:sidble resuJts. It has covered all the

t.nba a!eas of tltt: mtnicilttlity ant tltt: pt:tipltery. It has becotne ntoro
t'fficie:nt ancl Lits ur.t;tined a x:spctabh: h:vcl af waste segpetr;ation.

Exhil)it 14 below prcs(:ntsa sunrnrary of tho p(x-forrraflrc measules and their

corresponclingdcconrplishmcntsunc.lerthe criterion of ccologicalsouDClDess.

EXH te'rT I zl.

SUMMARY OF ACtrEIMPLISHMENT5I ECOLOGICAL StrUNONESS

DES
REDRESULT/EFFECT PERFOR]\IANCE
1\,IEASLJRES ACCO[1PL SH]VENTS
Wasle
Segregated Collect
onCoverage Service Coverage
Collected,
ardDisposed Btuangays 14(23%)
Ho!selro dsi4341 (25%)
Segre0aton
andR€covery TolalVoum€865Tr!ckloads
Segfegat onRatio:
{pro-portionoftf psto landf
ll
srtevsrecovery cenler)
A v e6 9% r 3 1%
Low84%: T6% (March 97)
hlgh60% : 40% {Septembef 97)
oecife n volome of waste
Processlng
Ellclency N-P-K Anayz€d:
N= 2.36-2.90%
P = 0.89.137
K=T74-9 18
Inocuantsandagr lim€produced
cl€an€slrnostgranLrlatedproduct

30
 Relative to the rvhole munici2alit1, thc Pniect has beeti abte to covcr
about 2i-25 % of bara ga.vs ttkl houst:lnlds. Ilowct'ef,' vls-)-vis the
utLan bttuts;tys, it tur lx:en tl*: to achn'vc 100% coverage

Silarrg Las a t,rtal of 6'1 barangars with a population ir 1995 of S3,790

divid<:dirrro 17.422 housclolds.
-l
hc prtlccr has se|vcd I4 barang.rysour .rf the 64. l-his is t:qlivalent to
aboLrt23 9/oi:oveiage.In a.lditioL. the corrcsponding P.rPulatiol being
served in terms c,f indiviclualsattd horrsch<ndsis equivalent ro 25 %
It may be PoiDted our, howcver, thiLrwaste marrngement;s a conccrr)
mor., r"l,'valritc, the urblD seclor. As suclr, considering that th(: Project
covers all urban arrrt url'alizing bar'o,gays it rrray bes'id tlrat thc proJect
h a s a c h i e v e da 1 0 0 p e r c e n t . , " i r a g . ' , f t h e k e y : n e a so f t h c m u n i c i p a l i t v
Inlbrmation regarding proj.ct coveragc is PrcscI)tcdin Exhibit 15

EXHI BIT 15,

siERVICE CEVERAGE trF THE PRtr.lEtrT

COMIVUNTYORIENTATION ['lUNToTALS PROJTOTALS %oITOTAL

AREAiHHCOVERAGE
TotaBarafgays 64 14 0.23
TotaLand (heciafes)
Af€a 15,641
TotaPop!lat
on 93,790 23.372 025
TotalHous€holds 1 7, 4 2 2 43 4 1 425
Urban
Barafgays 5 5 100
Urbaf Afea
Land
UrbanPopu
aliorl 1 84 6 9 1 84 6 9 100
lJrban
Holseho
ds 34 3 1 3 431 100

Ovelthe l1'nontlt period (Marclt'Dccenber 1997), th<:1;toiect has

,lla(k:c! 865 hv!:klc,ads of w,lrt( dispctsul t:ither thro gh dtc lattdliJl site
'fllese
or rrx:yr:lal h tJk: )Idkxinls ru:ovt::ly cetttcr' tiPs serve to Ineasure
the degrec of seg<:gatict\ attained by the Pryjcct. Based on tlte data, the
project delivered 598 tntckhntls to thc landlill and 267 tt'iPs to the
recyt:ling arca, h plying a ycat r' segrcgariu ratio ol 69 Vi : 3l %
(an d lill : recydin g/cont posti nlr.

The aciual commcr.clncrlt of the coll*lion star'l(:.1 in March 1907 aftcr thc
intensive inlo|mation d|ive doDe il] February Thus, the pr.tcd was ablc lo
opcrak: lor l0 nmnths in 1997.
gxlrib;r l6 prescnts tl,. sumnrary of trips rlade over the 10-morrth

3l F55t 1 997
 MEASURES OF EtrE NEMIC VIAEILITY

7 h.: prdc(l h,r bd)t itble to shou: t csults in tern.ls of ;ts ctDlogial and
developnent obiectives. The t:hallengc is tu attain l,ositive res!lts tt1 its
91awtlt ai etoLorn;. oli.:./;ves.

A scparalc (rtlity \ras crcnl(xl ro selvo as the vel,ir:k:for conrractin[Jthe wiste

manngcnr(Jrl srrvi<r:soi rlrc nrunicip.rliry.This was registererl on Lebruary
18, 1997 at the Sccurjti.s ancl Ex.hang€ Conrmissiorr''fhe D€w .oryoration
r!as named Clean Earth Colpor ation (CEC).

EXH IBIT ZO.

, SUMMARY crF ACtrE MFLISH MENTg: EtrO NEMItr VIABILITY
a DESIRED BESULT/EFFECT PERFORMANCE MEASURES ACCOMPLISHI/ENTS
(CE0)
A v abl€eflefprise Selrp s€pafate
eftity Earlh
Clean onregrstered
Cofporat
February18 1997
Exlefna
FecoQf
t on wonsecond
Themlrnlcipally Pace
n provrnce-wide
contesl
ol
ervr0nRreflapa0grarns
KeyFfafcral
oala LCUExpefse forWasle[igt
PefCapila:P427lrno.
PefHl-l:
P 23.00/mo
Projecl
Firance:
Rev€nu€s PhP1 267,683.40
GrossllrcomePhP525.662.40
0\rerheadPhP724,78544
NetLossPhP199 12404

Sildng ltas won (:xt ti;tl rc(nplitiot lty winning tha secoud ?hce it1 tlrc
Cavite-wide coDtest otl etlvirou leutal lrl\tirts

Extelnal lecognition is a clear indication ol tlrc positivc (,fl(i.ts rl1 th(:

progranr irr tLi: rnurrir:ipality.hr :i proviDce-widecorrrcston envirotrmental
prograrns, Sil.rng won sccond place lbr-its tlste manag(:rncntprojrrt. The
main reason the tor{n did nor wirr thc fir-stplacr: wx becaus<,it did not irave
its own ahbatoir.

For its fhst.year o1 operaions, the corPoratiott incuted a net loss o|'
PhP199,123.04. This nay be considered tlrc learnhg.ost ol the P.oiect.

Prcv;oLrsscctionshavc Ltiscusscdthe projc.t's perlormance iD rcrDrso{ its

(tcvclol,m(r)r agt:n<ta.Froln findnrgs, it nay be said tl,nt the Proiect has
shorvn positive r-esultsirr terms of comrnuniry orienration rnd ecological
soundness.Florievi:r, rcsults pc airring to the third criter-ion-crrnontic
viabilityiave not becn positive. lxhibits 20 an.l 2lsummarize the
infbr-m:rtionfiom the Inconc Statemerrrand Baiancc Sheet of th{: CEC.

35 FSSt 1997
EXHIEIT ZE.
I NE tr ME STATEMENT: F R f l J E t r T E D V 5 , A t r T U A L , '| 99.7

NCOi/E STATEtrTlENT Prolected 1997

WASTE COTLECT ON
SERV CEFEE
-LGU 1,200,000
00 1 , 1 B 8 , 20000
-0thefs 300000.00 66,000.00
Sae of Recycabes 24000.00 1 34 8 3 . 4 0
REVENUFS
Garbage T,524,000
00 1 , 2 6678 34 0
/d.rs.
Direct
Costs
Personn€l 563,395.10
MOE 302000.00 1 7 86 2 5 . S 0
Grossltcome 1 1.222
0AA
AA 5256624A

WASTE
PROCESSING
RevenLtes 960000.00
/rss'Direct
Cosls
Personnel
tul0E 352,000
00
Cross
ncome 2 608,000
00

GRoSS
rNC0[.4E 1 830000.00 525662.44

OVEFHEAD
Admrf0verhead 679,250.00 200,000 00
Deprec
atiorl 48000.00 n434820
LafdBental 240000.00 187,750.00
TOTALOVEBHEAD 9 6 72 5 00 0 6 1 80 9 8 . 2 0

NET
OPEBAT
NGINCOME 862,750
00 i 9243580)
/dss.
lnterest
Expef
ses 258000.00 146.687
24
NET
INCOME 604750.00 ( 199,123.04)

EXHI EtIT 2I ,
ETALANEE 5HEET, 1997

LIABLITY/FOUITY
Cash 2 9 5 , 7 5171 1,439,500.00
Receivables 300,000 00
nventory 2 4 1 , 8 30 75
Fixed
Assets
D€ veryEq!pi 600000.00 Equity 800000.00
Birin dg 3 B 73 1 5 . 0 0 Retaiired
ncome ( 1 9 e1 2 3 . 0 4 )
l',trach
fery 149252.84 NetEquty 600,876.96
Lan0mpT0vemenl 6 62 1 50 0
TOIATASSETS 2 040376.96 t ABILITY/EOUITY 2,040,376
96

36
 mitigaiing factors may be
F om ihe loss incurred by rhe PIoj€ct, thrce
o'"'iLl:l;n.n.*d."19
o_.. *"1:'_1.":ilil-J""i:j:,Y"":iff
only about PIiP 23 a rnonth. On a Pe
;;
:i'*,"ff"'X
l;:;::kijlri[],]i.:;:;,",
lfli:"'[.]';t':l-.::,:;illl:;
,,,.T::*J*'ttiiil;*::T""1'#:'J1'.'liril:#,,.:,1,::i1i1r:T1i
i
j:i:*;t
:fl *;;* lx";::l,r
:t;,::il::":"r ii*i]\liril
:l'l',;:yjx*L:n::':1.*:*;l':"':J:'f;i.'1,h1*,1"i"""
rr,riliili'l ir* *,.';fi;1p;;q glr'";.g:i;;:,:::
'ir,"i.v ff:::::'il
"
vimPai:ed
b l:l':::.1':':i.':.ii"'., poin'i
a'i'[his
q""."1i""
m"Xf;:;:il:i:
tli i::u"fiii:lJ"T.!"]::*'
r:**;:11,li['ll::;':"r
:l;"1*:
:i:l::,1::ll,tli:;l':1,:::lil:'lll;:,:l::i:l:,iii;l:'J"l:fi',i'"'iJ'l
,' ')'
,rirr,ri,,,,ot rr,,rorrrionworrr'r
l:
Regalding t() tho waste Prc'ccsstn Jl:i:::,ll iiJ,')i,";,""",0*,'"*

l-*i
*'af
llil rlr1n||:i'g;i;1i'#:irirl";ilrTlr
!obcmore
^;p""'"
i,iif,:iilii[,'lii"'';l:,:';,i;il;i';;;;;;
i,::lf;,1'y;1,::n:liilLll,i,.."iilg"rl?.
p-"-,i.i"gn,",ir,i.iai,".r,i,,,,, ,,
It::itu:;l::"fi.'i:i"jj;flJ,::1''I
:iiii M eri'
"4''lrr"
""i'ii';''ill'
:.i'::"'.,
h:ilrli#t:
-i;,;i *1r""
i"''tl'l...;{i}lili;i,,'*;*3,,1J
ili;';;;; ;:$:;:f 1il,f,I1Ti",,,".,',.
,i:\,,1.';l';#il:;*il
devclopnlcnl"rl and econoruic oLjectives'

REFLEtrTlsN AN D ANALYS IS

WASTE MANAGEMENTI AN AREA FElR GEVERNMENT

IP
AND CIVIL 5trtrIETY PARTN ERS H
cited as the guirling
Gorern etlt shoul.l steer, tlot t')tt)') 1-his is olien
nat;on2l lo local levels
pinciplt
'/t in .revol','1n8govcrnn"tettr lbrtctions itm
fron govetnnent to
ntay bc extenrl,,d ttt covo dcvolution o1 finctions
I , t i t r t c c t t t t t t t: .

37 FsSt 199'7
 The casc illustr-ates rhat l'aste tlltlnagdnent;s wher'i a mutually benc'ficial
partne|ship bctween thc 1,6Us and civil socieryinsdrutions such as NGOs
;" 1,. f."e.d. Such rnakes gov€rnmeDt olficials ntore responstve ano
accountablcto their colsliluents.
Roles/Functir)s of the LCU UDdeT this arrangen{rnt' LGUs create the
formal policy and regulatory cnvironmenr, the forms of ordinances'
rcsolutions, ;n,Irlementing rulcs, permits, or seNi're contracts'
l,GUs can d eate the actnnl demand by allocating the ecessary
budget so thar it can pur-chase such a ser-viccfrom the Private sector
It nray even provide {'urther- supPort to thc endcavor by deploying
' r ' r l f r u e r r : r r r r' r n o o r l ri r n l ' l e n r r( r l a r i o n
Role of Civit Society Institutiolts. On the other hand, civil society
organizaliorrsrleed lo iLvest in chc necessar-y tcchnology.a d
eclucar;"rrto Put uP an entity capable of delivcring quality selvice

PETENTIAL AREAS FOR WASTE MANAGEMENT FROGRAMS

I l r e g u r " r r r n r e r , Ir r ' r . r . r " g r r i z e dr ' l r eg l o w i ' r g r a ' r c J i ' p o s a l
. p r o b l e n :, A s
l ' l l n ) l e D l l ' rdl l s l ) o s dal n d l n n o i r
. r r . l r , i r h a s t l , a r eg " o l r , g i , a .l t \ \ e t r r r r e r r u
sircs in llr9.-'.Ahoirr I IO l)urenri/l sir(s for '.rlid wnste nrarragernenlhacl been
identiii(xl.

E)<P.IEIIT 22,
POTENTTAL SELID WASTE MANAEiEMENT SITES' 1995

BEGON NI.IMBER
CAB cordilefa stralveBegol
Adrnif l
1 Jocos
Regorl 13
2 CagayarValley 16
3 CenlraLLrzon 0
NCR capltaR€gon
Natlonal 0
SorthenrTagaloq 16
4-B 11
5 Bco I
6 WesternVisayas 2
7 V sayas
Ceftral 10
8 V sayas
Fasterf 11 SturNL
I U/€sternMifdafao 11 Eudgelol
10 Northen lVJndanao 0
11 So!thern [rlndanao 0
12 Centralll ndafao
110 FY 199/

Exhjbit 22 po;nts to oPPoltunilies where olher governrnent and civil

society par rnerihips !'i'it. can be nurtrred lnteresttrgly'
"" rvasrc of"r""og,.".nt
Meilo Manila shall be absorbed bv Southern
dot" 'l.i.ol that ail the
T:galog or Region 4.

3B
 DIFFERENTIATED WASTE MANAG EM ENT 5trH EMES
The Silang project is only onc of several Protdypes or. exPericnces of waste
managemenr P.ograms.
In this instance, segrega.tion is done at the household lcvel, while
recovery/disposal of recyclables and processnrg of compostables are
undertakcn at the municipal level.
There are, however, other nlodcs of interveDtion being implemented.
The case oI Bustos, Bulacan is onc cxampte. The schemes may differerrtiated
as follows:

EXHIBIT 23.
SILANG AND EUSTtrS StrHEMES

COMPONENT SILANG BUSTOS

LeadPropofent NGo BufaHeallh Unit
Seoreoatron l-lolsehold Household
Colectonof wasle NGo LGU
Compostngof BiodegradablesNG0-Town Level HorseholdLeve
Recycl
ngof Nof-Biod€gradab
es Non€ (materials
are prolects
L veihood Lrs
ng
soldlo deaefs) iritated
malerials

The comparisonaboveis b(:ingmade not to determinewhich is better

but to show that diffcrcut schcrnes can be dcvclopedaccordingto tbe
previriling c(xrditiorrsat the local ()m rur'lities.
tJlrinrately.eachnrodelul plot,lt.vt)crrust develop^ (orrespondints
srlrt:nrcfor fi'nancialsustainabiiity. Wliar is importarrii. tlrat di'flerent
schcrncsreduce the need for widcr landfill areas.

DEFININEi THE PRIMARY AND

5tEtrENDARY EUSINESS trF THE PRtrJEtrT
Project operations can bc disaggregated into difTerent business activities. For
the Silang plojcct, lwo distiDct bul irte elated businessescan bc idcntified.
The first rcmponent is seg.egation, collection, and disp,rsal of wastc and
rccyclable mater-ials.The sccond is proccssingwhich relers to the comPosting
o{ bio-cleg|adable rnarcrials; arxl its subsequenl conve$ion into organic
fertiliz<r.
hr Silang, the pr-imar-y l;usiless of tlre enterprise is thc segregation,
collection, aDd disposatcomponeDt. In tr:nns of development objectives,it
exteDds iis benefits to a lJreatei Dumber of pcople. In terms of economic
consiclerations,it generatesmore inconre. The pr-oduction of compost/
fer-rilizel may be consi<lcred as the secondary and necessary business.

THE IMPORTANCE EF StrtrIAL trAPITAL

Setting up a busirlcssis not simple. Establishinga waste manafJement
prograrn covering about one-lourlh of the rnunicip:rl households and
majority of businessestablishmentsis no exceptioD.
The relative succcss of IDEAS in ful{illing Lhe developmental objectives
of the p'ojc.l may be attdbuted to the fact that it had been able to get key
-ftris
stakeholders to join in. had allowed thc organization to tap into and
mobilizc existine local networks.
!-or instarce, the projcct harnessed thc support of ttre president of the
iocal association of private schools who was instrunental in pulling in

39
-::::------:-:::::

l'il:::li':*l';,.''i""J:;'
;']i;i";:,',i:T:i,';i].;1"J;-:l:;
illiTli;'
,'o-,ilil'l'iil,'ii,ll':,?:l;il:l rl;;ilij;i;.,'-,r," srr"d;"rg'.1:,
".'r",.r
r:;:"11.::t
l:l:;;illl "; ;j;i:]ff
l\ Iili:';l'''""
;ii;;ii:irli"1
":'J,,:,.';
;"""Tf,:'.,::Jlffi:,:::ll'ln",t"l"LTi'::::lilli;l.f
i.Tlli"Ii"jii;o"."""
:x{tf*:;i*tt,l":;:t
jl,
;:i:;.i'.",
;:$l; ffi ilii}ii:,'
r,tl *:l;[:: il;::';l;l'J#':'l',:1'l;;'::]J':l;i'f
ready consrituents

OF
"lj''i'""::
FREJEtrTs

:::ff.'"''"
THE LEARNINE CEIST : , TLr- i

m'::m:m:*'il:"*:i;:llt.i:"li'ii;3 lJo':"'iffi
niln*"il'lll -*'l$:1".b:ilx'::':'
l:ll,'lll*:::
*"'il:;::'.'11'it,,*lf
":;rLu*;lf
ii"liiff
;'J:;'"u.,".'."":l.*:;'jil:,;:j.
c,plinurn levcl o{ oPer"rtiolls.lt also l
!l?;"r r"
as
iC,rsts incl,rde not only tiaining costsbut also lossesin oPcrations'
shown irr Silang;
' ti*nttv, ,ltons .h'uld coucr rl,c learningcosti Lrurother hnancing
corrloDe
irrstrunienrr,suchas eclrrityatrd lotrg_lcrnrl'naDce
dev<loPccl;
pioneering
- I-.*riri: fii"a" ^ncl costsmay bc diffcrentiated belwecn

fir**ti'l['ifi'#iti!i'i.l,;*.i'il';
,,,,H ::'i:'*
;"H:,',',i'#
correspnnding cost? LIo$ crn this Lf
--
iri... oui.'i.'. havev(r Io Le cxpl"rcd

4A
 tr}N THE D EVELO PM ENT
OF trEMMUNITY-BASED
ENTERPRISES

Cattle PREJ ECT REFERENtrE

A.P-I 99 6-trO9
NE.

l-at[entng trLIENT
trENTER FOR ALTERNATIVE

andRosE RURAL TEC H NE LE EiY' IN tr.

( CA RT)

ftrmingin
PRO J ECT 5ITE

'fsu?3
CAEAYAN OE ERO trITY

O R E i A N I Z , A T I ON T Y P E
NTN.EiOVERNMENT
trREiI\NIZATION

U PLAN D/FE R EST AREA

TETAL FINANCIAL ASSISTANtrE

LOAN: FHF I.5OO.OEO
'I.2OO.OOO
6RANT: FHP
EOIJ ITY: FHF BOO.OOO
'I
LOAN O U RATIO N: 996-99
GRANT DURATIoNt 1996'9'7
(COMPLE'EO)

DATE APPRElVE D
auGu=I 27. 199 6

4l
 INDUSTRY trENTEXT
Pressing issues are confronting the Philippine agricultural sector in
general and the Suskinable Agriculture (SA) movement jn the
Philippines in particular. One issue deals with the success l integration
'fhe
of aninal husbandry, like caule fauening, in farm-based enterpris*.
other issue concerns piority to bc g;ven to the culrivation of non-ftnd
and connercial agricultural crops to ensure food security.

Scveral problems limil fie integration of animal husbandry, like cattle

fattening, into the livelihood of a rcsource-poor household (Box l) For one,
the prici ol one cattle, e.g.r PhP 8,000 is equivalent to the cost of farming
'l
one hecta.e of rice land. hc cattle, if it survives, is sold only after nine
months; this lattening period is equivrlent to two .'oPPiDg cycles Thus, the
r i s k i n r . r r t l el a r t e n i r r g , o r n p a r e dI i , . ' o t f d f r n i n gi s n o t o r l y h i g h e r b u r . l h e
. x p o s u r e t o r i s l i ' l o r r g e r .A l a r m t l w i t l r P l r P 8 , 0 0 0 I o i n ! e s r w o u l d r . t l h e l
pur up a s.rlr:s.rzsrole ol ririse t"o hcads of pigs rharr raise one carrlc.
C.rrLlcl.rrL.rrirrgirr rlrc l'hili1:pinesis lx irrg led by govcrnnrent agtrtrics
l i k e r l r c L a r r d B , u r k, , f t l , c P h i l i l : p i u e s . r n dr l r c B u r e a u o f A ) t i m a l I n d u { r l v -
f)epartment of Agriculturc. Hybrid and cxpensive cattle at PhP 17,000 per
-fhe
head ale beiDg irripoltcd from countrics like ^ustralia. stocks are then
distributed to loca[ associltionsfor ihttening arrd breeding through thc
Livestock Dispelsal Prc)ject.Since 1992, nrore than 3,000 fdrmers and 10,000
heads of largc ;rnim;rls(cattLearrd carabao)havc been distributed.
CaLtlehave ste:rdilyshosn irs qr,'wth potential as a maior [yPc of
livcstock in the indusdy ,r"*t to lii,g. nnci poultly. hr 195d, theie were three
heaclsof carabao for eiery hcad of'cartl:. irr 19d7, the carabao to cattle ratio
was 2:3. Last vear. thc rario was 1.3:1
Ilow(:vfi, there appears to be a vcry small
cattle fattctting industry in the Philippirres On a
pcr rapitl, l)i$is tltlCs). Llrcle are 34 pcoplc per
Eox I
cvery head c,f c:trtlr. Cumpare thi. with hogs at a
COMMON PROBLEMS
ratio of seven pcrsons pcr head of hog.
II{ CATTLE RAISING
Thc integration of largc alimals in SA
activitieshas yct (o be explored. In previous SA
V l-lghcoslof ifit a captal fairs irr 1906 and 1997, discussionswcre still mostly
v rsrlficefi Iarrner knowledge n feed fg, oD crop production tc(hnologies likc Pest
dseasecontroandprev€ntion breed
managemsrl arrd organic far:nirrg methods
seecton breedifg andpropaoat on
v Unsuitab ityof mported bfeedsv s a vis
ocamanaqeTnert praclices
v Lackof areafor pasfur€or foddef
p artations
v Compettion wlh otherirsesof
ho!seho d abor
v Lowpfice(d!eto ow weiqht)
v Longqestalion period
v Accldents e g. sfakebites
v cattlerustlng

42
AREA trENTEXT
Cagayan de A o @DO) is a "high-growrL indusu'ializing area." In 1995, it
vas the nitrth nnd populous city in tht: I'hilippines. It is second in terms
of populabdt growth rate fron 1990 k] 1995. Ivery yeat, more PeoPte
gct c,nplofc.l ;n ttu norrag,;culture se.ror. Crlgalan de Oo is also a
lypial e,xample of inbalanced devclopnent; a rellection of the national
and global sination" (Ravanera O., 1996).

INDICATERs EF GRtrWTH

The population is growing twice as nuch thc national av.:rage. The

econony is growittg b)'about 20 percent per year. Agticultural land is
being converted lor housilg arid co ilnEt ce t'ollut;on ;s ircreasing
These are the prinary growth indi.:ators ;n CDO

CDO, one of the five cities in Region i0, is the {irnrql "gateway in Northcrlr
Mindnlao"(Mrp l). ll. is ll,e cerrkir of connnerce and politics in Rcgion 10-
'I
hc city scrvcs as lhc adrnir)isl.rativc-pc,liti.al catrital of thc region CDO also
hosts tl,e plants and offices of national rrrcl transnational corPorations
{ l N C . , l i l e f t e l X I " r r r e - P l L i ) i p p i n .l rsr.< . .M , r g n o l i , - l ' l r i l i l , p i r r eV<i .t a l i c l r
. c . r l c . P l r i l i p p i u e 'R. p . i - C , J a . , r n dC o r . t - C , , l P
C " r p o r . r t i o r rN ahilil)l)i''es.

Eiglzty one percent ol its 1>opulatiotr ()ccupies 20 Perca\l of its attil(

lancl area, t,e,, 20 percent ol its pt>pulation is disaibuted i the
rt:rnainittg 80 porxnt otits ltt .l alaa.

CDO has 80 barangays. 40 l:'r: cl;rssifiecl i( pol>laci(n barangays arrd 40 are

non-poblacion.l'r>blacionarr:as.rr'oIocated in ttrt: central bus;nessdistridr.
-flre
Narional Censrrs and Statistics Office (NCSO) classified all 40 poblar:ion
birrarrgays as urbnn bar^ngiys ancl ircludr:s an additional 17 non'poblacion
balarrgaysas rrlbarr. Tlrus, officially lher-earc 57 urban barangaysand-[ 23
'r
rural bararrgays. Irc p<4rulariorris cor.ientratsl in ur ban balangays. lre
nunrber of peopJe.,.cigying r, squale kilxD.fer of land in urban arcas is 17
linrcs nrolc tharl tLosc in rural arr:as.
I l r c 1r, ' 1' , r|:, r i , ,rr l r a r l r r r r , . l 'r, u i | l u : , r 4 . 7 . -t,) ( , , r r , r i n t h , l a . t f i v e 1 , a r s .
compar-cdto the natioDal averagc of 2.12 Per.(rr' :L yea' Pnl,rrlationgroxth
i . d u e r r u ru r r l l r o t . r r i l i r ) b u r a l s o r o n r i g , , ' r i o r rl .' , , ' r l l U 0 t o 1 9 9 i . 4 0
p e r ' e n r o f r l , . i n . r c . r s ci r r l , n p r r l : r r i o inr a , ' o u r r t " l f o r b 1 r r , t t n i q t a t i ' , r r '
Population grorvth is felt heavily ill r-ural areas. From 1993 to 1995, lhc
popularion dcLrsiryin rural incr, ased l,) l! Per.crrr tompared to a 0 8
"r,,"s
percent dccline in urhan arc;rs. l'he p,,pulrti"r' is spiJlingover into rh. non'
poblacion arcts at a rak, of 13.? pcr.cnt a ycar. Forlnerly Pasture arcas are
br:ing opcncd lor micl<llctlassair(l first-classsubdivisionsns shown by the
nrcrcasing numb<,r oll subdivisn,rrsor housing (Jnrplex. ('hble l)

The city's econotny is also l7otlriig rt 17 perccat a year.

The industlializltion of the local rrrrrlrmy is h;ghlighted by an increasing

levcl of ernploymenr and an increasnrg number of the labor lorce in the
nor-agriculiural sector. The nurnber o{ businessestablisltmenthas increased
by 20 percent since l993.

43
 Lzrtd utnwlsion t;ttc L.ntains uldocum.nted but shifls h land ust: are
evident in the expansion ol business activiti:s in the rural tteas

In terms of land use, 73 percd,t of thc cntire area is classif'red as

agricultur-al lands; the rest is llon agricultural. In rc'ns of aPProved zones,
agricultural lands account lbr 45 p€r.:ent of CDO'S drtire area, residential
lands 10 perceDt rvhile commercial anc{ industrial lands occupy barely 2
percent. A big po.tion (38 pd.(r)t) of iis total land area are "zo ed" as oPen
'Itre
ipaces. .i"l r"".d ;" 'txemPt pl openies" or "special class" lands.
"..

'TABLE I:
GiROWTH INDItrATE R5

DEMOGHAPHIC OATA 1995 t 993 Perceht l+/-l

TOTAL POPULAT
ON 428,314 383061 1 18 1
lJtban 349,185 312282 1 18 2
Rirfa 7.9,129 7A779 11.80
Poblaclon 34,568 3 71 4 1 (6e3)
Nar"poblaclon 393,746 345920 13,83
Annua Gfowth
Rate 4 1 0( 1 9 8 0 - 9 01) 5 . 9 9

POPULAT0N (person/sq
DENSITY km.) 876 784 11.73
uf0an 35 1 9 3 546 ( 07 6 )
Rural 177 14.69
Poblaclon 1 01 0 3 1 08 5 s (693)
Nor-poblaclon 811 713 13.74

floirsehoids B4085 68463 2282

HolsngCompex/Subdiv
s ons 56 4l

TRADE
ANDNDUSTBY
Sltirte
GrossRegionaDomestc Prodrct { 1 9 9 4 ) 7577M(1993)
8 90 2 M 17
Cagayan de 1to 1995
B!snessEstab
ishments I996 8,312 2A
Employm€ntRate 93 B4 10.7
fuolile,CnyPlarnlrg
lJfempoymert
Rale 7 16
Employedn Agrc!lturre B B 0
11.8 Allice
Erllp
oyedn Non-Agricrlt!re B5 76

IMPLICATIENS O F EiREWTH

Population pressure on alricultural lands in ntnl areas will diminish

the CDO's capability to produce its owa footl. In 1995' 98 Per.:ent oJ'
tlle city\ rie sq\ty nas inported i'on C.ebu, Davao, Manila anrl
Thailand.

CDOt market economy is heavily outward-oricnted. Even its cattle, though

in .horr .upply in C.rg.rlrrd r e O r . . i . l , e i n gs l r i p p e . lt o M r n i l r . B a t r l e " s
a n d C e b u . I n l 3 s i , r l , F l o r a l I r . ' r k , r i I C D O h u t , l ' e r e d 1 2 . 5 0 0I t e a d so l
cattlc (CDO Profik:, 1997) or about 4,000 rons of nrear. However, the

44
B u r e . r r ur l . \ r r i r n r l l , , d u . r r ) R . q ; u r , l 0 r ' , o e ' i z e ' r l r ' l n : r r l ' q : l ' 1 of l"'al
neat pro(luction to mu,t tle growing .l"rnand rr"t 1'r CDO but eren ut
"r'11
Mindanao alone.
In rhe ouhkiits, TNCs, wlrile plovnling jobs, have been a major source
of ooltution in Marzialal. Rrv. lrl 1996, fishrrlblks reportcd a 50 P€rcent
ctrJp;n the volun<: of harve-stdue to P(,llur;on and ovcr-fishing

THE EtrB-ENTERPRISE

C2ttle fattening is one ot CART's initiatives to creat;vely 'tngaq: ]n oa(te

an(t take aduntage ol th. ccanoni: Potcntials oI a |tigh gowth )rea'

THE E RGANIZATIEN
CART is.r "grassroolsdcvelopmtrrr nun-gnvcrrrnrert u-rgarrizrri''n",hrsed,in
C l ) O . l r 1 , . r .I . l 6 2 , r r d - l ' r r i r r g r r r ( r , r l ' e r \ i n r r r l l u s e" l' l l ' r r D ' e t r r . r s r r ( r I u r K ( '
urDan po<,r, plofessiorrals,you;i, rllr(t inrligcrr"us pt''pJe cAxr ;s P"\\€rcd
L y a p i " p l c ' i o r g a n i T , t r ; oD n e t w o l k t t m p o s " ' l " t C t , l r n ( r f { : l t t . t \ \ h r L ha r o
wonlen's orgnrlizatioDs(Box 2),
Sincc C,itt.t as lourr(leclin 1986. it Iras;Ldvocatrxlfbr tLe right and
IcsDonsib;litvol the corrrmurritvlo nrlrnagc {bl.t:sts,farms, watershcds arrcl
.,',r\t.ta l r r . r { i n . t r u r t . i r " l , l , r r ' r r , r , c r 'l r i . " r e h r f ' r e r l r r i r a b l l' a n ' l -
d i s r r i b r r r i o rI rh r , , r r g l r l r e i n r l ' l tr r r e n r ' r r i n"r(r . t " g c r r r t i n cr $ I : i r i ' t r r e l r t r l r
Droerdur"
' dnd Ir,rcrr',,tc(lS,).i,tl lirrcsrr) {lSl ,
t , q . n L w o r k s i r ; l D C D ( ) r , ' r t r r , L U D si r i ,l r l r . ' cf " r r n c ' t S r o r r l 1i5r r r l r e ' r t \
m i r k { : 1 .r i t v D i e r d r r J 1 ( v , l r r n r D . i t cT l r . t w " r l i n ' o " q t l i r ' e ^ r ' I t r r l r (
(-\R I
u r : l a t r d sr, l i c ' w " r k i s i r r r , r e . r . . , , r c r , . lh ) t l r r I S F p r . g r r r r r ' R t : ' c r r t l v
. - i 'r r a r ' , 1 , Ji r s o t ) c r ^ t i , ' r . i n " g r ' r r i r r r r ( 1 , ) r n ri t r ' '(L si r r I J u k i d l r o r r '
C . \ R I d f q u e s t h h r . , , ,i r l . h : r r r g cr r r ' r )' r " r r t l . r s r r' i l i r q c r ' r :r ' f c l r i r t r , { e
(pcoIlc's organizrtiorls [l'Osl and
I'JGOs) could oflcr' .:orlcrete
experir:nccsto polir:y-rnakersalrcl
'l Box 2
comrnon housr:holds. hus, cattlc
larlclriDg is bcirrg u[cler-t.akcrwithin CAFT'S PRTMARY YEAFS
the large. goal ol offering otltcr {1966-19921
dcvetopntrrt initiativcs through
"sustirinableagrir:ultur-e".Expclierces CART locused onadvocacy forpeople s
provide a <tncrete vcnrre to engag(l r ghtsandlheredistrlb!t of of pollica and
th. governmcrl ard thc .ltnmuDrty econom c p0wer
in plarrning {br social and eco,tornic They constfircted hrman barrcades l0 slop
.hal]gc. ilegaoggnq Theyledn the prosecut0n 0l
3 trarsnalionacorpolat of pollt ngNlacalalaT
Bayandnowoperates a patlolboatt0 slop
rlegalfishinO Bay
rf the[rlacajalar
Theyhave pressed forp€op e_g0verfrnerl
dlalog!esto lighiforthe mplernentatlon01
agraranreform. TheyacqriredTnorethan
1 500hect esol SFareas foraboul30% of
lhelrTarmerpanfels.
Sorne 200oftheumernbers atedepuiized
envronmental officersbYtheDENR

.1 -
-1J FSSr 1997
 CATTLE FATTENING
, A . SA N E N T E R P R I S E
wirh a 'uur'e.ol *Lll'.
C a t t l eI n r r i , , i n r i l r e n d s r o p r " r i ' l e I ' o r l . e l r " t J t l"h,
p , o n , , , r i r s s A " r " l , r , o l n S rj n ' t t " " a A I r l r e . ' o n ' m l n r r vl ' * " ' ' : "
i " " . " r " " 1 ; ' ' . ' . p ' o . " i . I l , eI ' o s r"r"L" 'i rt '' h ' r ' d = o n e \ l ' e r i { 1 r n
l"
t l " ' o r e!.'dr' 91' m
r : si I' .o-
; ; " ; , ' . ; i " " ; ; i u , , ' r "o n ' . ' , ' , i r 1 - r , n *rdr a d i r , er n g e n c r a. l r Prr' J^
brllrrrr
e n l ' , " ' . r h . e n r ,r p r i * b a . " " l u l ' l r r r d ' o m n r r r r t r r r c c

1) PROJECT HISI ORY AND S-IATI iS

In |992, 80 pt:rcenr of CAR|\ crerlit Sxtrtlotio was devotc:d to loans for

croP Prodttcttoll

l:'rrning
C A R I e r r o r r r . r s 'rrllr ' r ' l o p r i u r r oSf A p r r r r i " ' t i k ' r l r e r n i c a tr-tfer cp ea v t n " n t
i,''r'".'rii"e *i.' 'r.; .;;ii ' r : t r r rrr'' ' r r g ' g c 'iln s A l a r m i n g
larrurcs
y(trs Juc lo''of
i n , l | o r' , l , , a D < w . r sl r, o q e r e r . l o u ' l ' r r r t r g l l r o s (
b r ' " u g l r tr l l t r t L \ r r a r u r a l' n l a r r r r r r ' s ,
"''ii carabao
- ioli. C'+ar sta'tedwith a-20-head
fa'mers'
artswcr,rhe need fior
Eor s I r""ii"g f''g'""'ro howevcr',obse';l:1
BENEFTTSFRoM l *'"* '*l"l'"t"i t'"trners' in rarm:l,i:."
itrons ars-cattre w.r'k'
:i#l:'"r;'Hl"" I ".''.'r.'';;;"l ' 'or ds,
I Cutet'.,o*arr' .ilr') slDw breeders -
DlBEcli BENEFITS
TANGIBLE
MMEDLATELY I lv l"r'. r-oos'
9+R1"1"'lji:!'.f^ai:l:::
-" | , s.li'".*iir,ii-a1..-Tt,lll:l::1,.^:1.tecrrnor"g
?;:"';;[?1,::;-.;i'i',10"!i]i,'i,,
i;;;'H' i'1'"'n.'i'"<rrrvrrrePrriJi'pirretl':l{ll
1
t;1;^T';:,,.*^ -afr(PE'
per
,re oa\.'e
!'! i:-,""11::."i..iili'l.j.i}:i:,,X*
I e,';";;';;;;v
,1,11:';":r;J;;:'Ji s'1ll:r'l'-:?Ti*'1':.ln:6
'J,"Ji;;dililili:
ttJiri,i,"J,,",Jiiiiili.i at |'i^i.a-"ii'';'r'
pr€pararror L*iliu"l.:lt-1.::itfll:t,::u*'" "'"
r-t'ir;ppl"' I
(ifthecattl€
catlle brrlh) f
I iliia'rrs^.'"".1'^""^P:iPll:-1o1i*d''
-
lel6' cARl'-i\)Proarh:*l.t:tt' '
i'! 't1111
v Additiona sives
-; I'e 'J' .,1carrliio cxpa'd it'
r.",' i.'l'lou
\Dec.-BnrE-'-S | ;;i' ';;' i;'; '" i'" 'o9ll":1:.:i:.^rip;'"*d
o.dteasr
.""'ii.,'".,o asser' '' l"'tn ll'rrru'kit'|8
llili "* | "i*.,i',"
.;li;,;'::' "i,r
i''li''''i,''-r,',itai.F
*'1ll "-'---':li1i
.ir';.-l;,I
;.i,;1i;0
tr,.'- |1
rffi #"i.l;#iJ ijoi"p.i,',t, ' .,;'i:i;
i"'''".'" ";'i'''""':1:-11::.1:l:1'-'r^'jl
b"'d
!::1'l.',r.,i':.T
and group
d J tC d " a
Prq D1 5 0 0 p e r
o|a/"r.0Fo foddcr-r.anagenrent
I "ii'al"u'
-;rsa,.rorn,o,oo'
r,-,lq Lr.aseo -11..:tiTl
' ' l'.' 11 i i,;,.,,,0" l:rl,h: j::
300 heads
v ln c r e a snetrrr€
IncTease h eh o u s edh os e l f ' w o r t h
rrulstrru l d i f i e ' e n ' . 1 ) r " i e ' r ' ' " , " , I " j ' i l i : l t ,. - 1 ' "FSSl_supported
."
v S;urce olcash orcurient asset tof I| rh""rnhine'l h:"t 9::l'lo"':o.'l'--...--,..,
ernergercy
errrerse'uvlr
:l "'11:l'-*""
CaSn
0TLdb'L neeos
EEIJ .r-,,- st^nd at 132 headsbenefiting69
I "*"" 1 ,)..-) ^-- -i,hr?.r^n
in six upJrnd ancr one pobtacion
I i'.,""'i'"la'
NEEDED
TNVESTT\,4ENT | il.'"'g'r' it ' "';tl:'"1 :ill:.1':househord
Jl'."1T::;:.:::"800000".8"0"
|','if'-J.p,',d.g::,:::,11,,:lll;,1;',0",.,"...,,
r"rir,t.' trrl o to**ri rv"rtLi""i",ur"dd:F-ff | "{;:':Yi]:? lt
"n,r,l-.rirul,
.sr,-epFr trom
.,, t' hasin.rcascd
, i, .ul] , #i X,.un,,,a<.
"',",'i | ,.r.r,'e" i.,.r ,". h*d.roec
il,:;l';:- ..'J*":1" I Cr'.,?rPcr'(nr rrom rorceT
withother aclivLtles)
farmLng
for foddef
v At east250sqlalemeters
V At 6
least square lor
melers sne(l

46
 b) PROJtrCT SrTES

tutjct an:as are in the outskilt-. ol the city anJ are reptesentative of
nual poor ronnunittes in CDO.

The lssl-supporr.d cattle fatt(J,ilg project is located in six of thc 23 rural

balangays of CllO. Mambuaya is a twc' year old agrarian refornr r"rnrnunitl
(AI{C) covriDS 67 hectares.Tisrapolc,an and Dansolihon are 15F areas
covering some 1,200 hectarcs.CAR l starteclolganizing work in thcse areas
l0 year-sago, except in Marubuaya wherc it started somc five years ago.
These key project silcs arc connected to a pimary road network that
-r-he
leads to CDO. roacl going to TignaPoloan Passesthrough Lrtmb;a,
-fhe
Mambuaya, and Dansolihon. r-oadis a logging road wl,ere aD averagc of
10 logging trucks a day passr:sthrough durirrg peak months. Durnrg ralny
months the r-oadsrernain passablethough difficult. Th<,re are high sclrools
in all areas.And though communication facilities ale abscrrt,clear cellular
signals are availabtein cvcn the larthcst village of Tignapoloan.
Project areas (sites39, 16, 27' 35,6,s and17) sharc similar characlcristics:
rur-al iD classification,low in(ome pcr s(luare kilom€tcr of land, low
populat.ion dcrrsity,ard slighl to moderarc lr:vclso{ erosiorr due to thin
fo11:strcvor.

C) STAGES OF LEARNING

The cattle fbttenint project is lnsed on at least tl)rce years of

accun|ulated experierub in the tech ology ol the cnk:rPise and ntore
tlntl six years ol corn+unity ptepalation. Tha Pctiod 1986'92 built the
fuund:ttion of the ertrctlDisc.

iABLE 2! PRtr.J ECT STAGES

Year Dev€opment Hi!hlghts andS gf tcaftLgarfings

1986.92 ComTn!n ty organz n0,ac{l(sitionof ISFafeas,environmeflal obbyllg
P0iormatiof SAdemofstratiof r€sorrcepfoilifg
1992-94 Carabao dispersal nt a caillefatl€rng
1995 Shfl to catte fattefrg eftryiflo lheiraden€twork \4iih80heads
acquis t onof know edge,technology ardconlacls n catte fattenifg
1996 Exparsion ol catte faitefngto 300heads,
fLrllnt€gralon ntoSAprogram
1997 ysis
Ana of strateg esandthe ecorom cs' 0f cattlefatlenn0
asa commLn ty-based efterprse projectexpans on

d) PRO]ECT MECHANTCS AND FSSI INPUT

As proposed, C.A.RT will disperse the cattlc (pr.,cured through a loan) to its
l5 partner organizations which will then select houschold beneficiaries from
among their members. Each Irousehold bcneficialy will reccive nritially one
-fhe
cattle as a loan cosling PhP 8,000 at 18 percent interest a year. selected
bcneficiary must provide a cash outlay of about PhP 1,000 as well as providc
areas for shed and foddcr rnaintenance. The beneficiary will then r-aise the
cartle until. such iime when it is ready lbr marketing, usually f'rom eight to

47
 sitl, C\Rl a r n u r r r r rrso P h P l 5
LSSI firrancial suPPort fbr the l , , u i e , r
millic,n Lrokr:n down as follows:

PhP 0 300000
APPROVED
GRANTS
TOTAL
20 l]erceitfor slaffsuPPorl
B0percent1orlralnirg (a[tfalcafepasirTe
rnafagernenl)
1 200000
LOAN
TOTAT APPROVED
PhP900000forcatte latlen ng
PhP300,000 fofvehc e

RESULTs AT PREJEtr T LEVEL

INtrREASE IN HtrlUSEHOLD INtrclME

AND HIGiH RETURN EN INVESTMENT

t vt, y Peso (irt cash)ntvL:srcd liretly Lty ;t fnrmtr yields a net iDrcnte ot
nt (Tible 2) TJrc
,t least PItt' 4 01-a 1L'Antt at equty'of 156 pcc(
',,"1),:,,,1"r
;",,,,,','.-rt,r ottt:ctttti is'PI)P\'si/ 7his ittonn:.is ^.':ic-::::'..:"
';:;;;,,:
t:cortottic ar t non-castl
;;;i,;;"; t,;y';','"tlt cattl( t'ttertins s'etter;ttes
tylx: of rettnLts/lx:ttt:lits (Rt'x 3)'

l:,ll'lil:,,il'l:;.,'illr::lii,:ll;.':'.;1il:llill,:lii:'lll''i::
i . , t ' l - . t , " r , , M i I c i r r ,r " i r r t r ! ' i { N C S ( } ,I l l ; l
. s . 1 \ (u ) o ' , c yr b a ru o r r l , l r a r ,
Calll(:laltcDirrgalso.rllowsir ltcnts
r ( , , ' s r xr ' | irr rr i ri r ' r'rrv " r k ' l l l ' : l l r . l : :l : l l i ,, "

9eL4
r:;:r :ti;l::
'r'1":"'''
t,,i:':i;,iil'i;l;r :l;.,1';
''trrlc r'rrr lt
i::'l'llll';:,,
us' d l"r f Lrrrr
I \"r 'rll
""'lr'
^'" simplvrrtzvor "hard-leaded"
:l:'"^.:t^"IT-"
FoFsuccEss | ;,,,i..-;;''.;,
'' '' :t;":l' 'ir.'i'r''';r"' " pt"'"
I il'''i'
i''l Itl':::Ijil:'::','::''''
4";'i; ;i;;'.
;";,, ""'
y',];;::i:i:'.,,".," " | .'s^,,;.;.';rii,
l"::l:i.lj:1,),'l:.1:i
(;
io,r,oL,attre
toriiX,il',1*,, and I rii::lJ;" ;i;J ""pl^""a bc'efits theproiecr
ieedins
'"":,:1",b,,rrowers
op'lr:'slrl.'lll-:lr:r:'l*iil:ii;
,'iflf;.':ili:,,,,,,.,,Fd breed
eaqe I
0TsrocK'
soLrTce | 'I
c aboul
kfolvledge ras ng
cattle ." it..". .,,q".."o. he decisio.rvill
v Bas I tl'j'-:::::l
v {lomm
comm tted
rleo d
0
househo
noLrsenoabor'
auor' I i"" i*pli*t i''"" :' !l:-:t:::]:::
"ll'i"',i..ra.
::.
..t -' the Project'
I tll.' r"i'l' ' l 'r'; ri""'' i'l *t"'
Pf'",'^:j;ii'^i",./"
EXTERNALTvBASED l''" ir'' r.''f i'v"S'rrql:j:,ll:::,):l'"::L*:;
,.., | 1'r,i,,-,'.1'"rir.il...rr .t"l'il';;',;:: "''r'
,:";:I,'l".lii."- ; i;r''fir''' I i; l"l:l'jlL' ,'::"1"1::','ii;
rBcnncrans I weisit
;;';l;;';;i; r'"cenr Perhcadduc to poor
:Ai:nffl',ff:,ffii:T',,.,, I ;';:;:'::.';i;'i;ili:lll,::lr:.""i:i:'".'**"
bv"treiingvervrowprices
t" cash
; l:';ii:,i" il;li!;"; ;:1;,,'," | ",*J
V L \restocl
lrs!rirce

48
 tJrrlike failules in crop productior. l'.u.'.r. a larrner fan rh''use not to
.ell r l , - r r 1 , r i r " . a r " l ' s u r d r r r i r r gr " r l , r r r i t . I r I I ' l ' l'tm"rS rh'
",.,I|1.
hallesr couid nor le delayed; rirr: cvcntuil loss in incorne is higher,as -
harvcst is clelaycrl.$l,ile the cosr ot raisirrg the cnttle is {ixtendcd for a fe(
mon1l,s.the "jepr.,,;"ri""" in the valur: of tlLe product (cattle)docs not
, 1 ,p r , , . ' r , 'l', , . ,,r' r"1, ('rrri"*.
". i.

ESTAELISHMENT EF INFE| RMATIO N

AND TRAOE NETWERKS

R,. k.r1rd cattle littt.:tting tlepenLrs on its linka{ t{ith Pldyers ID thc
inrfttsrt.t. (::lRT's tltrtr yats cn experitn:e anf la yt:drs of nntnuttitl'
orgznizite in nral anrt uLnn arcas linkctl thetn t'ith "xPerts t the
intlusrt y. Cattle raiscs lnvc a fnlly tter:loped "itttt'tLurion-bascd trade
ndr,ol k" landgll bv volutt..t;.

O\I{T rcli<:so,r volrrrlte.,;st,r.An e\PC-rrclrrl(: buy<r helps selectwIrich

.,;r1rlcto bu) t(,, fnlrcnirlg. C,r,rril,,C.utlgcna is a rnirt<llc-agc<1. cattl<:
ru,rlrascl w h o * " , t s w i i l ' b i r c a t t l c r ; r r r r l r i : r 'Jsl.( : e : ' r r r r
s L n , v w l r c fr re( n n P l r r
100 1(, Pl,r' 500 lix,v<,r'y Lc,rtl 1r<:sclrrts iol arrorlrerl)rrty ft)r C"\R I ' he
c l r a , g c sl o w e l r n r t ta s s u l c sq r r r r l i r yl : , < , c ds i r r , : el r t : i s a C A I { - f v o l u t t t c t : '
"tr..h.! nt .'D/DrDt. ).' C.\)t1:1!o,)." ]). I'krr'
( ) I ) 1 cl h c ( r l l l o i s p r r r c l r a s r r rl .n ( ) l l r ( r ! o l t t r r l c ( : rl 'l ,' c c r l ) 'v c l d l r ) a r ' a r l
( v i r s ; l i o I l , i l [ ' ) v i s i t st i r c r : r r r r l ri :{ ) c r r r . r r r Il ' r " ] c ' r i " r r . l r " r r r d i " r * - | h ' '(r)' r" rt t c
o r ) l \ . ' l l r f c (v: ( i l c l r i r I . r r( !: x l c r r s i o r$r' r , r k c f '' 1 ' ' ' i ' l i z i r r g r r r ' t l r l ' i r r C l ) O llrc
I I.l' r"'o $' rrl' ' l '
lr' rrr"li' i r r ' < l r " r r r r l r'
C l ) ( ) i l ; r y V ( 1 c ri , r r ry O I l i r : . : . l l r i s ,l r , , n I v c r ' < . : x l' r l ( l L rrsl ) c c x r r n i L r o l r t i o n
rl r,r, rll r,r,rrr'rri'r' 6i',. t,,C\l{l'r''
l'irrally. CAt{f '*,,1i" *irl' otlrrr J:lrrrt:r's irr llt: ILlgcl,virlli)r'rn;tl(iLttlc,
rr.r,l, r'ri, lrl,'.r\l|'r'! ' h r , r . r l r . ' 1 , r " r r ' 1 ,' r ' , r . t 1 r ' t t\ ( r \ r ' ' s 1 ! ' l r r r r '
I r r y , r . i r r , r ' , . ' r r i r r ' ' r , r r ' , r ' ( ' r r . ' l r r ' , l r , i r r t " r 5 \ r r ' r i r r i r r r 'l l r r r r r l r l
rr ovicir:sllr.rrr rlor orthr .ruirlilv si:r'vicebLrr,Llsoirrfo|nraliott orr good sour'es
l,f rartlc. 1ri:vailing ,"i'i"r p,l;,.," a,,d orher irrfblrnatiorrit':'nr the lirtrr
strr kvalds irr CllO.

GEEGRAPHID IMPAtrT

Tlt ontbinetl ttouseholrl y4nlttiott ol" thei ateas rlccounts lir 15

pdcer]t
'20% ot the eDth.: ntal poprtlatbn ot CDO Thc lnojtt:t arcas covt:t.
al total l:lnJ atta ot the rural contnturities 1)! CDO'

(1l q i r ' ' l \ | " r r r I I r r " I ' l r e r 'r l ) ' l o r r r '

t r : ' | | r , ' r l , r. : y r ' i l i . ' r " ' . , r . ' l r . l , , r r
D^'i'"lih"n -,.i-Bo"l,"" l igrlaPolorlr :t".1 D'r's"lil'''r' ar' "gr'wth.dreas Lor
rrr,'r,rerr,.'rr.. rr. fl,e\ l,'', liF ,r, r{ l r 'r'lr "rr'l lire'r''k 1'r"lu'ti'r'
\ . ' i ' , r ' - ' i * f e , . , , i r , , 1 i l ' e , r ' r i , . . . t t t L c ' p o P u l a t i oul rn c l ( r t h c F S S I - s u P P o r t e ' l
uroiect arrcdist.ibuted ro 38 berr<:iir:iaI.it:s in rlreseareas
'
tn""'b"ovu is rl,e lbcus <,f predomirrarrrly malker-orientrd ag'r-Prcduds
like |oscs ^",:l ghger (for exPorr) The cntcrP se potential in Nlambuava 's
eLrlrancedby iri ro urban CIIO and is further-hasteDedbv the
"i".".". houselrolds (See 'Appendix A: Ros<:
iniriatives oi errrcpleneurial leaders and
Fan irg Interprise).
B""-b"" i" ; P"r/,.t,,rr area. Ilrc .altle lJrirnirLS project in Bonbun netds
t o b c . e l o c a l e d .T h e P : L S I u rl ea n d s a r , b ' i t r g c " r r l e r r ( c t r l l r " r e \ r r r e n u / r r r e a s '

49
TABLE 4:
trATTLE FATTENING
OF EdST ANO RETURNS F(3R CINE YEAR PER HEAO O F CAATLE
STATEMENT

SALES ASSUMPTLONS TOTAT CASH NON.CASH

Catte a p p f o2x5 0 k q
3yearsod 15000 15,000
OTHTB
INCOME
Savnqsfrom x 2 croppings2 400
1 200percroppinq 2 404
taf0ptepatat
of
Cowdlngforferlilzer 2 kg/day (dryw€ight) x 360days 1 150 1150
x PhP80/50kq
G R o sIsN C O M E 1 85 5 0 15,000
LESS COST 0FSALES (Catt e) Inchrsi\re
of abort PhP 300 8,500 I500
rnargI qharged bYcanvasser
lrcome belore Expenses 10.050 6,500
Less 0peratif g Exlrenses
Medictfe Vacc nescasifat on v tamins 600
fsutance arnlaL per
poymeirl head 399 399
Ownefship certificate 50 50
FamiY abor
( n c l o d d eorr o wr g ) P h P 8 0 / d a yhxrt/ d aoyf 3,360 3,360
aPProx 3 5 daYs/morlh
Tecllrc al Approx T2days/year 600
x PlrPs0/visit 600
shed Mater a s and abor 300
Tralspofl cosls/perrn ls SoLlrce to fafmer 350 350
farmer to market 350 350
Others Siockyard fee 2A 20
TOTAI- OPERATING EXPENSES 6'029 4 860
OpERATtNc LNCOI/E 4.021 5 331 (1,310)
NET
rlerestpayment 18percent a yearsilrgI 1 530
PaYment !l)onsaleol cattl]]
2 491 3 801 ( 13 1 0 )
NETNoolvlE
RelLrnonsaes
Netincorne/gfoss income 12r/" 25%
R€trfnonEqlty NetOperal ng Income / 67"/" 456%
Farmers =
eq!ty operal ngexpefses

50
ANALYSIS AND REFLECTIEN

Er:tnomic viability, entt ePl .:neurial ;nit;atives' strong conlnLnity n.etw-ork's

and a rlc:vcloperl nttltstiy help ro guarant':c the succest and sustahabilir;
oI the catt bfattening enteq)rls.:.

Box 4 sumr arizes ttrc variables rhat helP detcrminc the slrccessof cattle
fattening as an enlcrprrse
L a n . L .w a r " r . a n d r i " b r " o r g ' r ' i z . r i o r ra r e r r o r k o p r o l ' l e m ss i n c et h e s e ,
have been solvct before tLe ca-ttle-Iartcni"g project lS[ bcnef iar;es hold an
averagc of thr-eehoctareseach. All r-ais<rs.due to their S training have a
srnall fccdtot with different spccies that also seNc as contour croPs to ressen

The dctermining variablc is the degrec c,f sireng r and PreParation of

r l ' . l o c r l , , r q , ' r r i z r r i o r lr, a r " , ' r r l d o r g a n i z e commit and manage the
rc'sour-ces(lartd and skills) anct inforrnatron for the ent.erprise.

trEMMLINITY PREPAREDNESS

'I
Jtt: level rtf tt:tntnunity preparati<>n is at outtnne of nore than five
yt:arc af ititt lsive ctrganhing wltete basic issueslike land acquisiion have

rrcxt challeng':.-w'ts rc'

After wir,rring nrr tl,c h/'i( i'sucs. rl,e .('rrrrnLrnirv's
l nls rj
Dleserv(:sl)ai was l.Line.l ,,flcr l0 )(1us 'rl corrrrlltttritvor'saDrzrng
il.rrre lrr rrr.rkinqttti,Juctiu. rrsc ot i'rlls it acqrrired rrndrl thc IDtcBlated
Socinl [on:srrv iuid Cornprehcnsive Aqralian Refolrrr Plograms'
I l r e . e c c p r i \ c n e so s f r l , e c o l r , , l l , u ' i t lyr r t l r ' n e w l e ( h r r o l o € ya n d
rurenrlr.r. w i i l i l g r ' . ' . : 1 ' r r r r . t r r h EI (l r c c r r t e r l ' r ' j ' c" i l l c r r s u t cl h e P r o J e cst
sustainability,

t r , A , SH A N D NtrN-trASH EENEFIT5

Sinple cost accout)ting can show the cash and non'cash bcnef;ts of cattie
fanening. Ihere is ai" o r" ur,.""',t lbr nonaat4ibl' benefits tltat
".r,1
are releva l b jerncLr.

[or (rttle raiscis, the high retum on eqrritl i: not llre fattor-that crr'ourages
r l , . r r , r n , r g / 8 e i r r r l r e e n r c rI r i s e l r i t f i n r l n e t r e l u ' r r s o r ' i d s h o n h / r r o
thar maite;. i'rorn tht,i. er,i, th,, di|ect cost is tess than PhP 2'000
"nly is financed bv a
iir*;r nc,"^l cost.oniriburioD sincr:rle cost of the cattle
l;,,i i; ',.* "l'.n rh,r .pend rr,'rl'irrg ro.r'quir' ; c a r r l ei - ' ' . t h c p r o j c ' t
i s e n r i r . l l l i r ' r n , , ' l L ' ya l " r r ' . t l ' c r c r r l r , o r r ' r l t r r r vb a o t n ' { r n r r n r r es r n ' e
h c i t . { l L r i r yi s 2 " r , , p r e r i r r . , ' r ' e 0 0 0 i r r o 1 ' e r a t i r rev Y l e n r s . E I n l r | ' r l ) ) '
r.''-
a^;i; s;;'",;d from .:attlelatter,iirg 1du':to tirc availabilirv of animal
ptr
labor) also sl'ows rhc rreed to look at.Jrtle fattenirrg Dol as an entcrPrrst
.e I,ur p a r r n l r l r e l a r s , r I ' o u . e l , o l de n r , r p r i . e r l ' a r a l l o c a t e sr l r e / ! a ' l a b le
".
land and labor'.
In cattle faltening, however, whcrc tt'e cosr of the initial capital is fairlv
hieh, efforrs rmrst bcl directed r() recluce thc risk associated with the activit)'
lik'l acquir-ing j'nularce and strong linkage with industrv Plavers Thc

5l FSSI 1997
r
"lear-ning cost" in cngaging in fiis enterprisc wc'uld be significanLly reduced
by rvorling directly with thc cxisting playerc, e.€i., canvasse.s, ranche.s.
Finally, non-quantifiable benefits that a cattle faiser attachcs to the cattle
(high credit worthiness) show other angles that a cost-benefit analysis necds
to consider in designing a farm-based enterprise.

CEMMUNITY AND INDUSiTRY EASEO TRADE NETWtrRK

Cattle Iattening requires an ;n{ornation-based trade network.

The network will allow houscholds to auct;on its cattle in the
market at the rteht iDte and to thc right buyer.

Dominant player-s like ranchers antl middle tradcrs have the advantage in
financcs, market information and technologies. Rural households must deal
witl, thcm directly to take advantagc of expericnces. The idea that farmers
can crcatc their own market and sit their o*n n..t"i"- orices oulside of a
L r r q tr p r e v a i l i r r gr r a t l " n e t w , , r ki . r , o r . u b ' r a , , t i i t e d b y t l r e e x p e r i e n , co f r l , i s
projcct. Instead, the projec( (lernonstrated ways to work profitably with an
cstablishedindustry.

ENTREPRENEURIAL OEC IS IVEN E5!S

Not ev.)yone i7 thc conrnunity can be an entrepreneur bttt evetyone

nlust be et1(:ouragccl Lo be enterprising. A rural enh'cpruteur js
information-seeking antl risk-takitg, innovative and has lbrmal anrl
inlbnnal networks tJMt provi(lc acccss to infornraliut, technology and

In t.hc case of cattle fattening, thc lo(xd organizirrion of cattle-raiscrs and

CART selve as the entleprenclr!. Ilot.h take risks and gather inlormatior iD
behdtl oI thcir mernLcls. Tlrc l{,..,1orgrnization takr:slcsporrsibility for
crr*rrrirrg s e r r l r c i r l o n n a r i o r rr c g a r c l i r r gl l , c . c h . , l u l e o f
t h a r t l , e n r e n r l r e rg
visit of thc tcchDicraD.nralket co[diLiors and other inputs.
Delault lronr rncmbcrs pcnalizes not lh(: irenrber but (hc cntire
orgarization and the corrrrrurritysincr: their "projccl pclfornarrce ratirg"
with the clevcl-,pnrcntt)allr)(:r (CART) will be affcctcd. In the end, the local
orgarrizationreceivesa one-per-centloan rcl,ale which is duc to its member,
i.e., C"A.RTgives the ri:batr: lo tlrr: or-ganization,rol 10 rhe.attle r-aiscrwhc'
borr-owtrl thc nroney.
Wor-king with cnir(:pr'cndu s-or- on elterpisc m(x.le-hastens projcct
implcnrentatioD and distr-ibutesr-isksbastrl on the partDers'(aPacityand

APPRO PRIATE S ITEIPREJ ECT LEtrATIElN

Sitt:s t:tlo1.the advantage o1 large lautls and accessibiliry to a growing

consumer ntarket in CDO. Thcre is a high tl,-er.e of hteraction and
economic exchange. bettlcen i ural areas anl the urban centcr of CDO

52
 ;:'];l,ildi:F-
i3?ll::,:.iln[r;]::5:::',J:,:l'ff:::15 . tn
rand
Anv turrherthrearon theavailaLle
iiJ i."i i'^l.i "i?'g'.";i'i'1
l::3":'":L%lul'"":'1"'l;"**
T::;:'i':
x:it:nmlt,*r"':nl*
sacrificed through inappropriate land use'

siTAEiE EF THE INDUEiTRY

to have a better
A well-developed irtdustry allows an industry plaYer
cost'
esti ate of its malg;ns and reduc* the player's leaning

pioneeringenterprisesmust alwaysrrnd 1d?: *9:lfl:.t--:h'-l:9:"^, j::

[l*ti:it +litl;'"'1,-x *l*i:iL'l;

"1,
i::1il"l;"'i:..,]!!1i]i:
is
capitar
si,;ii;;;I ".* 'r'"'"'" with
iilT.iiiliril'il,Yiil:'i:;;';: rirrre
'"ll l:'',t::l:,:",:^1',*,1
ii:i;:'t;.'r.;.;;i'i";;;;i;;t;:';;i,i.e
."'"".'"^
iir,i."ri'ig'".i'i.iii,ii.r'.a r"t."n'l:;l:"-:'o*"::ll-'li
is*.dY::1:
.."'lii;;i;"s;h;,".r,'"r"g" i" 1.""aserettion ll-gJ,.li "
i'i;";;;;: J ^ ;."rc" of is no need to import expenstve
therc
"iitle,
'-"ir'
cattle,
,t. ro." farmingentcrprisc. thc costof learnirrg
i^t'"d:":qlI-..-,
tlre pro3ecllhtoltgh
t.lui.rn on local inforiratiorr iysrems" ond carrying out
:;':;'f';;.;;; ;il '""'''"lrrii''gto takerhe'i;k tseeAPPendixA)

PARTNERSHIF IBSLIES!
ENTREPREN EU R S
WtrRKINEi WITH DEVELtrPMENT

Ellterprises at'e risky initiatives A key question is: who will take tle isk'

boff:,:e:
tbr householtl Projects,the immediatc isk taker ii the

*lir,':
ii:;;;;;:;i;k f" *rl*:T;l ni\.'ti
;J;;i. ,t;'iue'o +h. househordhasiitl' r5f ?.15:
l+l*::::1,:'iuir,li:xlJ
;; mosrPhPI 500f'r cuttlerIn '::'-'"f-Yl:9 failurc' the
"q1,1.e1ii;
;;',il':;:;';";i.y itso'r"'
il:,il;;l.i;;;;;ii .i" '..""ii""' .,i,hthePosupporr,as
.Ji^""*i. n"if..ir,e NcO that borrowedthe moneyor^theorganization
i''i g;;*'";'*'?';;l1l,i'f::i,':i'l:,,iTi$:]ii!:ji.TriT':i1l;
'.*r
a;d rrackrecordl. I!11: a{-li*::::::d.
.state. tt"
-.'ig"gi"e li'
.l.l r"r?.ril' e on to,m, lt' esrablislredI;ve'rorki:::':,'f
;::;"';il;:i'";;;;"i,i"p'.*p..ii".' nssl ressensits riskT''.':, :l::Ti a roan
bv securing
collateral.
wavsol.l':\.l:ll:i:;,r
haveevolved
i,ilTy a.'.r"p-"r, partnemhiPs
'.'Jgll"a'r.'.r'-i;il,;';.Iik;'..''".,0,1:l-lT:'i:9,:"#,Tn::i:?;
,"';',-;#i;;;.? ;;;';;;;;;l,;y'';;;l'lt,
'--'
11l''it:,-1:l'-"*"iilY"1:li:1":{
titCO'' are "risk reductionsrrategies"
esperiallyin c"'erPrisebuilding.amon.
;:ruil1,;ii:';:;';ii,r. ."i"'."r",r..i',.'lT:ti :l:'
:- r^.r . d r,ve\ro.k
t:.1:i'.':g:lJ:'iill
uar'i',T':::-'l*'
i;il :i. ::';;, l.iF'p'r* p..i'.'.r.io'. * r't arwavs,eq
'hl."
risks (and potentiallvearn a "
;;i.;l;.g*'#;""i.i u''a i".tii"to"'l
higher teturn)

53 FSS| 1997
 APPENDIX A Alter acquir-ing two hectal.cs of land
RESE FARMING through agrar-ian reform in 1995, tlrt:
AS A BUDDING couplc borrowcd money lrom CAR-r.and
ENTERPRISE thcir r-elativesand wcnt into rose farnre
and vegcrablegardcning. Askcd how rhct
T h e . ' r r r e p , e , , e u ri s a k e 1 e l e m e n rw h o got startcd, "We conducted rcsear-ch" was
G n,fa.i.litarc-thedevcloprrrcnt and their quick reply. Innovation has been a
' c p i r r r o n , , t d n e n r e r p r i s eM . arrrsrnall trademark of the couple. Wirh rhe onser or
communities depend on farm El Nirro, the coupk: gathered sawdusr from
cnr, elrreneurs who hclp the toral coconut logs and rrrixed the dusr inro rhcir
i , u , , s e h , , l dr\, , l e a , n n r s s " \ n t d o i , , s soil. They ol,served rhar the soil with dusl
rhirrgs Jncl a, qurre rnarket based holds watcr longer. All produrs of their
're.ea',
inibm,ation that would have becn L ' i n l r r r r r i n gi s , l u , , r m e n r e d .
orclnrarily inaccessibtc.
ROsiE FARMING
5ITE PRt] FI LE Rosesare non-traditional crops in
Mambuaya is an uptarrd agrarian relbrrrr I \ l a r r r L r r a l af .l , ( ) s e n e r a r ( h i e l r i n . , , - " .
area locatecl16 kms. Ironr CDO. rn 199b, I ir, l"rrrr rerlrn.log)i.. ho$e\er, u.w.
i r I r a ' l a p , , p u l a r i o r,r, t I . t 6 7 , { p , c n , , r i r 8 In 1996, the Aclons plarrted Amer-rcan
2 2 4 h o u < h . l , l . . t r \ l , o f u t . , r i o l |d e r { ; r ) . r ; ros(:s.In 1998, the corrple starred to
72 pcr-sonsper scluarekilomercr is rlnee "rcsearch" '\e pr.oprgarion of Holland
trmcs less than the averase dcrrsitv tor Ioscs, Curlcntly, thcy have 52 rows of
rLrlal arr:;rsin CltO. M:rnibuaya is'rlre fifrh Amelican roses thrt yield 25-40 dozens of
le{st populat(Il baraDgay irr CDO. lr has a l)uds a day. l1l Nirio has, howcver.,rerluccd
total larrd ax:a ol t6.5s!, knrs, Barrala, their harvcst to as low as 10 dozens pcr
f^flt. c,rssa\n / l r r t o l l l c r f o , , l . r . u l ) 5J r c t l r e clay. Suc-ann brings the roses daily t6 the
r r a d t i o r a l n r , r i n, r o p s i r r r h e a r e i . nrarkot. She sclls them k) retailers ai. php
15-25 1x:r dozen, clepending on the qualiry
THE LtrCA.L ENT'lE FREN EU R r', s, s ,,nd rlrc availabk: rose suPpll in
"l
N i l o a r r dS u c . r n r A c l u r a r c i r r l r , r u r . , r i o r , .
su:kers ancl risk-takcr.s.-t hey also lravc r l l'cir initinl invesrrnentwas l'lrp 70,000
l r i g l r r r , r w ' , r ' r l ' . r r r ct rl ' . d i r . , , r r l r i r , e s , in )996. Thr:y could not recall lheir
compared ro olher lrousclrolcls. iDcomc l)ut they are definire rhar rhcy nave
'livo since lccovered their loans and expcnses
ycars ago, rwo hc.tarcs of
Nlanbuirya's agr-iculturirl lard star.tcd (sircc they havc br-rowr:d three (imes
btooming with Amerjcan roses ancl more thal that from CART). The Inosr
temp-erak,crop vegerableslike bell pcpper. expensrvc rnputs cvery yeilr are labor and
The "picilleering vcllrurc,, rvas iniriaiedj]y or-ganicfertilizcr (corn cobs and chicken
entrepreneurs Sue-Ann ard Nilo Aclor, a duDg). Thcy spend about PhP 500 a week
, o u p l . i r r l r c i r e n ' l \ ' 1 0 s$ i r h r w i , ! o u , , 8 on hired labor and 30 bags of chicken
d , i l L l ' c n . H o r l ,s r : , r r e , l r sr 1 p i , " t r u r a .lung every 2 molrhs (PhP 900 a monrh).
s t u , l c r r r *sh o . r l r o u g l rt e t , , r i q i l g r o t r r n i t i r s This year, thcy expect poor returns
, ' l i n l b r m a l l c : r d e r ,a r r r l, o m r o r r a b t cr u r - l due to El Niiio. They arc also
h o u s e h o l d sf.a i l e . tt o c , , m p t c l et t r c r r experiencing artacksby an unknown pest.
eclu.nrronatstuctr(:s. 1 , , r l , p r r , ' s rv e a r . r l r ' . yr r r c r e s s i r r l lt ro u g h r
As iocal enr.repreneurs, they are alsc, p e . r . h v u r j n B o r F a n i , l r e s r i e i d e se.. 9 . ., l r i t i ,
the mosr indebred fanners in Mambuaya soap, pepper. ln the absenceof any kDown
basecl on the lisr of CART farmer- alternative, Nilo uscd chemical pesticidcs.
Lorrowcrs. Since 1996, they have borrowed Ilowevcr, tully awar-e of rhe damagc that
PhP 240,000 tlom CART (1b p.:rcent of pcsticide spraying rnight bring to fr-iendly
which was FSS]-supporred).Ai oI 1997, inse.ts, he takes rhe labo.-consumil1g cffort
lhey have an ouisranding balance of php ,rf soaking a sponge in rhe pesticide ald
57,000. applying thc solution one rose bud at .

54
time. Hc is confident though tl,ar he
would be ablc to discover a nolr 1resric;(le
based solution to the rlcw pest pr<,Llcrn.

EARLY LESS E NS
AND IM FLItrA.TIE N 5
Nilo and Sueann know th<: value of
inlbrmation arrd plan to do mor-er-esca,.cl,.
Their experiences also provide another
angle to food security.
In another case study done among
three SA practitioners, Nilo and Sue-ann
were the only ones who depend on outside
sources Ibr their food supplements
parricularly corn gdrs (ANCOC, 1997).
Thc couple buys food from the market. A
raw look at the income statcment ol the
threr: cascs, however, alsQ shows that the
couple earrs three times more thar thc FSS
Financial
other t1,\'ofarmcrs. With rose farming, they
earn more than enough to satisly then'
food rrceds.
Nilo arrd Srre-anrr'sfrr.nring rcclrrrology
is "nrirrkr:t-ltxl"rDcl r)olnl)ly rr:soirr.rh,arrri
i r r l i r r n a t i o n -d l i v c r r . l l r i s s t l a r c g yo f
( o r r s l r n ta c c r n ) r u l , r l i oann d I < : l i a r r c,cr t r Reoort
irrlirun;rtiorris (:rucial if tlLcy arr: r,r
pnri(iI)ate Plolital)ly iD rhe nritlkr,r
crcDoury ol CD(). Srre-arrrrlropr:sro slLip
their rosos lo Cebu sool|. C,,\lt-I plnr)s lo
n r r r k e t l r l , , r r r l ' r r , t v . r' r' .' * . L r r i . r r gl l ry, , * , .
1997
roses lr).lapar) in thc rrr:ar fLrtur'e.
'l
Lrecorrple's<:xg:riencr:irr urirr,aS,\
priLrciplesin cournr:rcial cfoDs rr,rv
sharpen the dis.:trrrseon tlrr: ilrnrt:wor.k
and sti?llogicsoI S.{. llrcy also oili.r.
lcclll|ical experien(ri oD the iDteqraliorrot
SA practici:sirlo unteste.l larnring systerrrs.
Meatrrvtrilc.the inclcasc ir inc,:,menr"rc
r l r : , D, , ' v e r s r l , c i ' , , , , 1 1r o r t ; o , 1 .h r r . , j . r
concern of clevclopment approatlres in thc
agricrrltulal ancl rural sector-s.
Sirnilarly, l,cing agrari:rn rcft ,rm
beneficiarics,they c,ffrirsolutio$ ro tl,(i
problem ol low hlld producrivity ;ll
r e , " r ' t l v J i . t r i l , u t , J l d r ' { l , ( 1 , . ' n ,. ' r " n .
And finally, giver tLe.x,ntext oi CDO as
artu )an center sunouudecl by r-ula)
tlmrnunities, Nlamlru,ryaclemonstrarr:show
rur-:!lareas.al meet ihe lorr-food needs of

55
 lelephone (63-2)8189492
LayaMananghaya
Salgado
& Co, 2 2 l F A n r € l 1 0 0 0c e n r s r
492 3271
certifiedpublicaccountants
& managomant
consullanls S a l c e d oV l l l a g € 81110181
t v l a k a tci i t y
M e t r oI t a n l l a , P h i l l p p l n e s
wlth
in association raos,mile(63-2)8166595
[ , l C P OB o r N o . 3 4 8 3 417 1426
Coopers& LybrandInternational I \ , ! a k a tP
i,hllippines 8941985

REPORT OT INDEI'trNDENT PUI}LIC ACCOUNTANTS

TheBoardofTrustees
Foundationfor a Sustainable
society
(FSSI)Incorporated

Wehaveaudited theaooompanying oflinancialposition

statements ofFoundation for a
Society
Sustainable (FSSI)Incorporated
(A Non-Stock, Non-ProfitCorporation)asof
Deoember 31,1997and1996,andtherelated statements ofaotivitics
andaccumulated savings
andoashflowsfor theycarsthonended,Thesefinancial statementsaretheresponsibility
ofthe
Foundation's
managemcnt. Ourrcsponsibility
is to express
an opinion on these
finanoial
based
statements onou!audits,

Weconducted ourauditsin acoordance withgenerally

acccpted auditing
standsrds.
Those
standardsrequirethatweplaDandperformtheauditto obtainreasonable assurance
aboutwhethcl
thefinanoial
statementsarelrceofrnaterial misstatemert.An auditincludesexamining,
ona test
basis,evidcnce
supporling theamounts anddisclosures
in thefinanoialstatemeuts.
An auditalso
includcsasscssingtheaccounting principles
usedandsignilicanteslimatesmadeby nlaDagehcnt,
aswcll asevaluatingtheoverallfinancial presentation.
sta(cment Webelievethatouraudits
providea reasonablcbasisfor ouropilrion.

ln ouropinion,thcfinancial rcIeredlo abovepresent

statcmcnts fairly,in all matedalr€spects,
positionofFoundation
thefinanoial for a Sustainable (FSSI)Incorporaled
Society (A Non-Stock,
Non-ProfitCorporation)asofDecembcr 31,1997and1996,andtheresults ofits operations
and
itscashflowsfor theycarsthencndedin conformity
withgencrally
acceptcd accounting
DrinciDleB.

-t'"'t- i u'
{'wx..6gr#'d-
Ian\tary
24,1998
MakatiCity

March25,1993

56
 FOUNDATION FOR A SUSTAINABLE SOCIETY (FSSI)INCORPORATED
(A Notr-stock,Non-profit Corporation)
STATEMENTS OF FINANCIA]- POSITION

Dec€mber3l

1997 1996
ASSETS
Current Assets
cashandcashequivalenh P7p09,173 Pt4,177,494
- proj€cts(Not€3)
Curentponion ofloallsreceivable 33,399,845 1,063,362
Accruedinterestrec€ivablei
Projects 2,114,936 90,527
Investrnents 314,564 85,434
Advanc€sto officersandemployees l02,zt5 210,694
Projectguarantees(Note4) 3,000,000 1,000,000
Prepaidexpenses andothercunentassets t?5,600
Total Curr€nt Assets 46,845,333 1 6 , 8 0 3I, 1 I
Long-termLoansReceiyable-ProJecls,
netofcuffcntportion(Note3) l?,318,695 3,533,608
LoDg-ternlLoansRcccivable-Ofnc€r 303,333 374,000
tr'undsHeld ln Trurt - net(Note5) 438,907,015472,048,909
Propertya|ld Equlpment- llet (Note6) 9,177,448 9,648,856
Other Assets 810,871
P513,362,6951502,408,484
LIAtrILITIESANDN'UND
BALANCE
CurrcntLiabilitles
Accounispayable andaccrued
expenses P255,310 P419,871
Othercurrentliabilities 10,833 112,000
Totrl Cuffent Lhbilities 266,143 5lt,87t
Fund Balance
Members'contribution 85,s00 85,500
Grant 454,822,591 454,822,597
Ne(uffealizedlosson declinein marketvalue
portfolio
ot investsnents (2r,103,224) (4,331,220'
Accumulated savings 79,291,679 5t,299,',t36
513,096,5s2 50t,816,613
P513,362,695
P502,408,484

Se. Natcs to Finaneiol Stotenm4.

57
 FOUNDATIONFORA SUSTAINABLESOCIETY(FSSI)INCORPORATED
(A Nor-Stock'Notr-ProlitCorPoratiotr)
NOTESTO FINANCIALSTATEMENTS

l. Ceneral

The Foundation; as a non-stock, nor-profit corporation, was regisl€redwith th€ Securitiesand

ExchangeCommissionon September6, 1995. Ils primary Purposeis to contdbute, encourage,
assht, provide technicaland managerialsupportto non-gov€rnmental organizalion(NCO)'
people's orgs zation (PO), coop€.ativesand similar private organizalionsin sustainable
production.

On S€ptember 6, i995, the PhilippineGovernment, throughthe Department of linanc€,granted

P454.8million consisting of5% in cashand95% in goverruneot securities to theFoundation from
the proceedsof a debt cancellationunderthe Bil6leralAgreement on the Reduction of Extemal
Debt enteredinto by the Govemments ofthe Philippinesand Switzerlandon August 11, 1995
The fiind will be usedas grantsor loans to supportprojectsof NCOS,POs,Coopcrrlivesand
similar pivate organrzstrons in suslainableproductionwhich falis wilhin &e guidelinesset fonh
in the Agreemenl.

Policies
2. Summ.ryofSlgniflcr0tAccountiug

CashEquivalenls
Th€ [oundationconsiders purchased
higl y liquiddcbtinstruments with a maturilyof thrce
months to becashequivalents
or lessftomdoteofacquisition

Prop€nysndFouibment
Propeftyand equipm€ntare conied at cost l€ss accumulated depreciation. Depreciotionis
usefullives of the assets The costof
computedon drc staightline methodover the estimated
mainlenanceand repairsis charg€dto income as incurredwhile siSnificantrenewalsand
arecapitalized.
betterm€nts

FundsHeldin Tmst
costor market.
Furdsheldin trustarevaluedat thelowerof aggregale

50
 - Projecls
I o-n. Receivable

Th€seare loans granted1othe following cooperativ€sand other organizationswith int€rest rates

rangingfrom 12%to 16%Perannum:

1991 1996
Project
GMA.MPC P29,842,0OO P-
HASIK 4,4oo,ooo
AllianceolPhilippineParhersh Enterprise Inc.
D€velopment, 4,00o,ooo
TagrdinMulti Purpose Cooperative 2,550,ooo
DavaoFederation of fre€ FamersCooperalive, Inc 2,000,000
lnstitutefor theDev€lopment ofEducational
andEcologicalAltematives 1,799,500
HumarlDimensionEnterprises (HDE) 1,750,000
MaligayaWomen'sCooperativ€ 876,316 gie,no
Kapunungan AlangsaKasadPan Sugbu,Inc. 840,625 900,000
PhilippineCenierfor lnvestiSstive Joumalism 660,000
BroadInitiativesfor NegrosDev€lopment 5oo,0oo 380,000
KaanibFoundalion, lnc. 416,661 500,000
Agarophyta Philippines,lnc, 374,218
PITAD Iroundatior,Inc. 345,oo()
MisanrisOriental-Cagayan dc Oro Federation 300,000 600,000
CeDter lnc.(CART)
RuralTechnology,
forAltemative I,t00,()o0 1,200,000
Arikla 50,000
Total 51,754326 4,596,970
Cunent 33,399,845 1.063.362
18,354,481 3,533,608
Lessallowancefor doubtfulrcconnh 1,035,786
P1?,318,69s P3,533,608

4. ProjectCurlarllccs

As of December31, 199?,the foundationhasa guaranteefund anountingto P3,000,000.This

fuM was established projects
to supportsmall-scale implem€ntedby New Rural Bank of San
Leonardo,

The guarant€ejngpodion of the depsit shall eam a guaranteefee of 15% per annum while lhc
unusedportion of re guaranl€€shall eam a lime depositint€restrate of 9.5%per annum

/l
ol
 5. FundsHeld in Trust

StartingJanuary1996,$e Foundation appointcdfour investmentbarls to actasfundmanaqers

ro
irvest theFundin combinationofequities,s€curitres
cnd otherLnsrruments.As ofDecember31,
1997,thefundconsistsofdre followilai
1997 1996
TrusteeBanks
AB Capital and Investm€ntCorporation P126,091,251 Pt71,987
,103
SolidBankCorporation 78,991,583 53,474,t36
Bank of the l,hilippine Islands 73,t91,191
Metro Banl and Trust Corporation 70,133,r28 122,O3s,839
Deutsche Banl 57,O93,229
PCIBank s4,503,251
CitytrustBanling Corporation 12S,8S3,051
460,010,239 476,380,t29
Allowancefor declinein marketvalueof investmen$ 2t,103,224 4,33t,220
P438,907,015P412,048,909

6. ProperlyandEquipment

This accountconsistsofthe followingl

1997 1996
Building P4,810,265 P4,810,265
Office€quipment 1,0?8,863 938,867
TraDsportation
equipnrent 885,075 885,075
Furniture
andfixtures s85,0r0 539,509
Others 7,37',7
1,359,2t3 7,18t,093
Lessaccumulated
de 1,081,765 432,231
6,217,448 6,748,856
Land ,000 2,900,000
p9,171,448 P9,648,856

7. Project GraI|ls

These represent grants provided for developmental activitiessuch as technicalassislance,

economicresearcll feasibiljtystudies,product researchand development,pilot production,
capabilirybuildingandorheractiviti€s.

62
 In 1997,theFoundation grantsto rle following:
awarded
December
31,1997
Grrntee
HARIBON P611,750
BIND 467,000
PhilippineCenterfor InvestigativeJoumalism(PCU) 437,424
MRTSC"CDSFC 420,560
SAS-FI 410,631
Asarophyta Philippines,Inc. 212,500
PhilippineBusinessfor SocialP.ogress(PBSP) r46,000
ATRC 135,800
NationalPeaceCorference 100,000
PHILDHRRA 100,000
IDEAS 100,000
CART 90,000
HASIK 11,700
KAKASAXA-SUOBU 65,542
PITAD 50,000
TAGTJDIN 49,800
KVFI 40,000
SmallGrants 910,000*
P4,478,707

Smallgranlsrlpresentgrants
to variousnon-govcmmeltal for lh€samepuq'oseas
organizations
dreprojects
butat anamountranging tomP50,000andbelow.

8, Tar ExemplionPrivil€ge

TheFoundalion is r corporation
hoxorganjzed mainlyfor thepromotion
forprofit but operated of
socialwelfareascontemplat€d undersection26 (g) ofdle Tax Code,asamendcd, andtherefore,
€xemptfrom &e paymeltof incometax on incomereceivedby it as suchorganization and
thereforeleed not file an incometax retumconceming suchincome.Furrhermore, FSSIis also
exemptffom payment ofdonoCstax pu$uantto S€ction94 (a)(3) oflhe Tax Code,asameMed
subjectlo theconditiorthainot morethan30%oflhe saidgiftsshallbe usedby thedoneeFSSI
for administrativepurpos€s.

However,it is subjectto conespondingintemalrevenu€

iaxesimposedundertheNationalIntemal
RevenueCod€or iB incomederivedfrom anyof irs properties, realor personal
or anyactiviry
conduct€dfor profiircgardl€ss
offte disposition.

9. ProhibitionAgainstSharingir Corporrt€Assetsand Earnings

Uponthedissolution andwindingup ofthe affairsof ltreFoundalion,no personor persons shall

b€ entitled to sharein Ihe distdbutionof any corporat€assets.All membersof the Foundation
shal be deemedto have expresslyagreedad coDsetrted that upon suchdissolutionof th€
Fouodatioq whether voluntary or involuttary, the lss€ts of lhe Foundation,after paying iis
liabilities,sballbe conveyed aDdtansfededto anyqualifiedfourdationengaged in activitiesin
d1€Philippinessubstantiallysimilar to those of the Foundationt or to the RQublic of fie
Philippinesor any of its agencies, instrumentaiities
or politicalsubdivilionsad lhe Boardof
Trusteesttlay de€ide.

63
FO U NDATIO N FtrR A 5 USiTAINAEILE SOCIETY, IN tr^
P R t r . J E C T L I S T I N E i A 5 O F A P R I L ' 19 9 E I

Plr ippies nc
API/Aqarophyta Deve ol Giacid a Falmirg
opmenl de0roCty
Cagayaf
andlheAgarndustryn Northelfi,4indafao

APPEND/A ance ol PhlppnePartnefs Brid0e Bankin0 de

Nationw
if EiterpfseDeveopmertnc
ATBC/Aclpr rctureThefapertic Prololype
PTodtclon of de
Nationw
& Res€archCerlter Aqzulq!!fe Needle
N/akinl!&q[1!L-
BCGC/Bankers Assoc pp
alonof thePhi fes Guarantee
F!rdforSma Natronwide
CfeditGraraftvCorD Cottaoe
Erle
I ND/BroadI t atvesfor LoarIora Coanmt
Bfidqe I ty Forestfy occdertal
Negros
NSqqD.qy,Slepr!9!LLo_!I!4!tSL!LS.
_ . Pr.qie_!Li! Occdelta
Neoros
6 BIND/Broad
| 1atvesfor To\!ard Food
Achievifg SecLrr
tY& Negfos
occdental
Neqfos Foundatrof
Deveopmeri lfc SrstaifabeCommuntes
forlhe21stC€ftt]rv
forAlterf
CABT/Centre ali!e e
Alev alof lhr! Slstairab
Poverty d€OfoCly
Cagayan
e . a l - e c . 1o Q / , 1 . c . Aq c,lrre(Focrsof CattleFattefinq)
_
veBan[of DavaoCly
CBDC/Cooperat CBDC-D08AMC0FED City
ProiectDavao
s RceTradirrg

C00E'NGo/Caucus
of Deve
opmenl Nat
onaStrdy on
& Col]lerefce Natonwide
NG0Networks Srstaifab rqforlhePoor
e i narrc
10 DFFC.DCB/Davao
Fr€€
Fafmerscra
fs andCledt Program
l/afketrnq Iaoum,Davao
CooDeral
ve rc & Davao
Coo0erai
veBafk
11 G[,lAlr,,1PC/Genera
Mariafo A var€z BfidgoFirancifgfor theGL4AMPC Silang
Cavite
-Purpose
[,fu]lt Coo'lerat
ve ngProi€ct
Hors
12 HAR B0N/HAR B0NFo!ndatiof for Formulat L veihood Masinloc
0nof an s and-Wide Zambales
theConservaiion
ofNatura Reso!rces 0eve
opmefl PlanforSanSalvadors and
t3 HARB0N-PMP/HARIBoN ForJfdaton& e Liveihood
SLstaifab for & Zarnbales
Baiangas
Pederasyor ngmga['lag-aakwary!rn Aq!ar!m Fsh (]ollectofs
roPiiD ias
14 HASIK/flarness
ngSelf-Reiaft ritatvBs Erterprise forLowCost
Deveiopment City
0uezon
andKfowedq€lnc EcoShelter: ityStrdy
A Feasibi
15 HASVllarness ngSelf-Reit ntatves Communily
PlotEco-Shelter ltlaniaolezon
if Metro Cily
andKfowledge nc

64
 Amount statqs
Dlsburaed/ of Proicct
uiillz€d { A S0 F 3 1 D E C1 9 9 4

24-Sep-97 Grant 325,000 162,500 0n!oing

L0an '48.a23 619,218

24-Sep'97 L0an 4 000,000 4,000,000 0ngoing

16-Jun'97 Grant 1B5,000 135,800 0ngoinS

9.0ec.96 G!aranlee 25,000,000 complet€d

22-lrl-96 Loaf 380000 380000 Completed

4.Apr-97 Grant 712,AAA 467000 ongong

L0an 2 000000 500000

27-Aug-96 Grant 300,000 300000 0nqoing
!0411 1 200000 1 200000
16-Jun.97 Sp.Tne0epos
l/ 3 000000 3 000000 0ngoing
Guarantee
27-Aug-96 Granl 50,000 50,000 eted
Comp

6'Nov.97 Loan 3,000,000 3 000000 Ongo

ng

29-Jul-97 Loan 29842000 29842000 0n0ong

27-Aug-96 Gtan[ 342540 s42500

27-Aug-96 Grart 219254 21S250 Completed

20'l\,lay-96 Grant 717,000 717,000 Competed

Loan 4,400,000 4 400000 Ongonq

65
16 HDE/fl!rnEf
Drmens onEnlerpses Workino
Capial forCoflaieTVanRecycng i,lafla
1/ IDEAS/lfstitrte
fortheDevelopmenl
ol S dnqWasle
l\rlaiaqernenl
Project Siafg,Cavite
EdLrcatonal
& Ecoo! ca Atemativesnc

18 KAKASAKA.SUGBU/ Development
Support fa Farmers Toledo
to [4arg Cty Ceb!
Kauswagan
saKasadpanSrbg!lnc of GenClrnaoo,
ToedoCty
at KFI/Kaan
b Fotndation,
lnc. UpscaingtheProdlctior andtr/afkelinq B!kidnon
ol MaspagRce
2A KSPF/Kah!blafgan
sangPafimalay Guarartee
Depost for KSPFLoan loloCty
Forrdal
on nc.
21 KVF/Ka!swagafVictor
asFo!ndat
on lnc. ExDffsion
of lodized
SaltPfodlclion Negros
Occdenla
22 MCFEDCoMisoms 0t efla-Cagayarl Cooperat
veWholosal€Tradrfg Cagayffd€OfoCly
deofoCtyFederatof ol Cooperatives
23 tIBTSC/Mifdanao
Rice Tradng AdmnstratveSupport
foftheMRTSC Davao
Crty
Service
Cefter
24 MWMPTSC/Ma Niut -P!rposeWornen
gayaWomef's 0pefal
nga Tfansporl
Servic€ Caloocan
Cty NCR
._I Transporl
Servc€Cooperatrve lhrua Cooperatrv€
25 NRBSL/New
B!ra Bank
of SanL€onafdo et]aianlee i0f Smal
FLrnd SanLeonafdo,
Nueva
Ecija
-_-Co[a0e
E[terpr]ses
26 NBBSL/New
Rural
Bank
oi SafLeonardo Glarantee
F|fdforLandRedemoi
on SanLeorardo Ecja
Nleva
& lvlicfo'Enterpr
ses
27 PC,l/Ph
ippine
Center
fof PCIJ
SLrstaifab
lly Proqranl Ouezon
Cly
gat
Invest veJorrfasm
28 PITAD/Pitad
Fo!ndation,
lnc. Geotext
e & Cocorui
DustCompaction
PlantNortherf
Samar

29 SASF
/St.A!gust
ne 0rganic
tertiDerDeve
opmenl and lba,Zamba
es
Sarnbali
toufdationnc ZambaesFarm andRehab
litalion

30 T[4PC/Tagud
n IVlu
tr-Plrpose
Cooperat
ve prolect
PaayBLry]fg Tagud
n llocus
Sur

oo
 Amount Statss
Dir!rur..d/ of Proj.ct
utlllzed ( A S0 F 3 1 D E C1 9 9 7 )

1 5 - S e p - 9 7 Loan 2,000,000 2,000,000 0ngoin!

7-0ct-96 Grant 200,000 200000 ongong
L0an 1799 500 T799,500
Eq! ty 800,000 800000
20-May-96 Gfanl 282,300 282,300 0ngorng
L0an 900,000 900,000
27-Aug"96 Gfaft 3 1 90 0 0 319,000 Preterminaled
Loan 2,500,000 500000
4-Apr-97 Sp.Time
Deposit/ 1,000,000 1,000,000 ongon0
6!arafiee
29-Jul-97 Grant 40,000 40000 Complet€d
221u-96 L0an 1 000000 600,000 0ngoing

16-Jw-97 Gfant 8 4 11 2 0 420,560 0ngoifg

20"[,lay-96 Loaf 966970 ongong

9.Dec-96 Sp.TrneDepos
l/ 1 000000 1000,000 Completed
G!arantee
24-Feb'97 SpTmeDepos t/ 3,000,000 3 000000 0ngoing
Guaraftee
24-Sep.97 Craft 645747 387,424 0ngoitr!
Loan 1 467,474 700000
24-Sep.97 Grant 100,000 50000 ongong
L0af 1 860000 345000
20-tulay-96 Granl 807,800 780,873 Compleied
SpTimeDeposit/ 200000 200,000
Guaraftee
7-0ct-96 Grant 49,800 49800 onqong
L0af 2 550000 2,550,000

--7
/
o/ FSS| r 997