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Section 1
Review and Continued Implementation of a Comprehensive Defense Reform Program
Section 1.
Review and Continued Implementation of a Comprehensive Defense Reform Program
.
To strengthen the comprehensive framework for and integrate the reform initiatives of the defense and military establishment the Secretary of National Defense is hereby directed to conduct a comprehensive and intensified review to be concluded within sixty (60) days from the issuance hereof on the status of the implementation of reform programs in the defense and military establishment, particularly those relating to:
a) The Defense System of Management (DSOM), built upon the concept of a strategy-driven, capability-based, multi-year planning process, inclusive of its four mutually supporting components: the Defense Strategic Planning System (DSPS), the Defense Capability Assessment and Planning System (DCAPS), the Defense Acquisition System (DAS) and the Defense Resource Management System (DRMS) incorporating two sub-systems the Planning, Programming, Budgeting and Execution System (PPBES) and the Financial Management System (FMS).
b) The improvement of logistics capacity to address, among others urgent requirements for combat operations;
c) The transparent implementation of AFP Capability Upgrade Program (CUP) that optimizes the use of the Modernization Trust Fund through a centralized defense acquisition system under the DND that is fully compliant with the Government Procurement Act (Republic Act No. 9184); and
d) The optimization of the defense budget and improved financial and management controls that pushes resources to operating units down to the company commanders and minimizes centrally managed funds in the AFP General Headquarters.
Section 2
Stewardship of Public Funds by the DND and the AFP
Section 2.
Stewardship of Public Funds by the DND and the AFP
.
The Secretary of National Defense and the Secretary of Budget and Management are hereby directed to jointly conduct a comprehensive review and assessment of current policies, guidelines and processes in relation to the stewardship of public funds by the DND and the AFP with their joint report and recommendations to be submitted to the Office of the President within sixty (60) days from issuance Upon completion of said review and assessment, the Secretary of National Defense shall incorporate the findings into appropriate reform programs and ensure their full and immediate implementation.
Section 3
Section 3.
DND-Special Investigating Committee (DND-SIC) and Department of Justice (DOJ) Coordination.
The Secretary of National Defense shall immediately re-convene the DND-SIC, constituted through Department Order No. 22 (dated 28 January 2011) to “Investigate and Inquire on the Irregularities and Corrupt Practices of MGEN Carlos Garcia and Others,” to coordinate with the Department of Justice to determine, based on the findings of the recently completed investigation conducted by the DND-SIC, whether appropriate criminal and/or administrative cases may be filed against erring officers or personnel.
The DND and DOJ shall, within ninety (90) days from the issuance hereof submit a report to the Office of the President on whether, based on their agencies coordination pursuant to this Memorandum Order, appropriate criminal and/or administrative cases have been filed against erring officers or personnel and if none state the reasons therefor.
Section 4
Agency Assistance
Section 4.
Agency Assistance.
All departments, bureaus, agencies and instrumentalities, including government-owned or controlled corporations’ are hereby directed to provide support to the Secretary of National Defense and the Secretary of Budget and Management in the discharge of their functions under this Memorandum Order.
Section 5
Progress Reports
Section 5.
Progress Reports.
The Secretary of National Defense and the Secretary of Budget and Management shall, within ninety (90) days from the issuance hereof, jointly submit a progress report to the Office of the President on the implementation of this Memorandum Order, particularly Sections 1 and 2 hereof. Thereafter, the Secretary of National Defense and the Secretary of Budget and Management shall jointly submit quarterly reports thereon to the Office of the President.
Section 6
Separability Clause
Section 6.
Separability Clause.
If any provision of this Memorandum Order is declared unconstitutional, the same shall not affect the validity and effectivity of other provisions hereof.
Section 7
Repealing Clause
Section 7.
Repealing Clause.
All executive issuances, rules and regulations or parts thereof inconsistent with this Memorandum Order are hereby revoked, amended, or modified accordingly.
Section 8
Effectivity
Section 8.
Effectivity.
This Memorandum Order shall take effect immediately.
DONE
in the City of Manila, this 25th day May in the year of our Lord, Two Thousand and Eleven.
(Sgd.) BENIGNO S. AQUINO III
By the President:
(Sgd.) PAQUITO N. OCHOA, JR.
Executive Secretary