Subject: Friendly Reminder: Sangguniang Kabataan Annual Budget CALENDAR YEAR 2025 Submission Deadline Approaching

To: SK Chairperson, SK Treasurer, SK Secretary, and SK Kagawads.

I hope this email finds you in good spirits. As we approach the deadline for the submission of documents for the upcoming submission of
Sangguniang Kabataan Annual Budget CY 2025, I wanted to send a gentle reminder to ensure you have all the information you need to complete this
task successfully.

Documents Required:

 Sangguniang Kabataan Annual Budget for Calendar Year 2025

GUIDELINES ON THE APPROPRIATION, RELEASE, PLANNING AND BUDGETING PROCESS FOR THE SK FUNDS: Refresher

1. LEGAL BASIS
→ In accordance with Section 20 (a) of the SK Reform Act of 2015 (Republic Act [RA] No. 10742), ten percent (10%) of the general fund of
the barangay shall be set aside for the SK. The sangguniang barangay shall appropriate the SK funds in lump-sum, which shall be disbursed
solely for youth development and empowerment purposes. Furthermore, Section 20 (b) of the same law provides that the SK shall have
financial independence in its operations, disbursements, and encashment of their fund, income and expenditures.

2. PURPOSE
→ This JMC is being issued to prescribe the guidelines on the appropriation and release of the SK fund, provide for the planning and
budgeting process for the SK, and emphasize the concomitant posting requirements to enhance transparency and accountability.

3. GENERAL GUIDELINES

3.1 Appropriation of the SK Fund by the Barangay

3.1.1 The Punong barangay shall include the ten percent (10%) of the general fund accruing to the SK in the barangay executive budget
to be submitted to the Sangguniang barangay for budget authorization purposes. The Sangguniang barangay, in turn, shall
appropriate the said SK funds in lump-sum in the pertinent appropriation ordinance.

3.1.2 For budget preparation purposes, the barangay treasurer shall inform, in writing, the SK chairperson and the SK treasurer on or
before the 15th day of September of the estimated ten percent (10%) of the general fund of the barangay for the ensuing fiscal year,
supported by a certification of income of the barangay from the city/municipal treasurer.
3.2 Release of the SK Fund by the Barangay

3.2.1 The SK funds shall be automatically released by the barangay to the SK, and shall not be subject to any lien or holdback that may
be imposed by the barangay for whatever purpose.

3.2.2 Consistent with Section 20 (b) of RA No. 10742, the SK shall open a current account in the name of the SK in a bank, preferably
government-owned, situated in or nearest to its area of jurisdiction, with the SK chairperson and the SK treasurer as the official
signatories. For efficiency and economy purposes, it is strongly encouraged for the SK to open and maintain a depository account
in the same bank and branch of its barangay. In the opening of account, the provisions of Department of Finance Department
Circular No. 1-2017 dated May 11, 20171 shall be strictly observed.

3.2.3 The SK funds shall be deposited by the barangay in the current account of the SK not later than five (5) working days after the
crediting of the monthly national tax allotment (NTA) share of the barangay consistent with the rules and regulations issued by the
Commission on Audit (COA).

3.2.4 In case of barangays without elected SK officials, the barangay shall transfer the corresponding ten percent (10%) SK Fund to the
trust fund of the barangay, and the same shall be released by the barangay upon the election of the SK officials concerned.

3.3 Planning and Budgeting Process for the SK Fund

3.3.1 Planning Process by the SK

3.3.1.1 The SK, in consultation with the Katipunan ng Kabataan, shall formulate a 3-year rolling plan, which shall be known as
Comprehensive Barangay Youth Development Plan (CBYDP). This plan shall be aligned with the Philippine Youth
Development Plan and Local Youth Development Plans in provincial, city or municipal level.

3.3.1.2 The CBYDP shall serve as the basis for the preparation of the Annual Barangay Youth Investment Program (ABYIP). The
ABYIP shall contain the specific programs, projects, and activities with corresponding project costs, including the necessary
fund flows to approximate the reasonable timing in the release of funds. It is understood that the ABYIP shall reflect the total
resource requirement for the budget year.

3.3.1.3 The ABYIP shall be prepared and approved by the SK through a resolution before the start of the preparation of the SK annual
budget.

3.3.1.4 In the preparation of the CBYDP and ABYIP, the SK shall observe the pertinent policies and guidelines issued by the NYC
for the purpose.
 THE BUDGET

3.3.2 Budget Preparation by the SK

3.3.2.1 The SK annual budget, which is the financial plan embodying the estimates of the income and expenditures of the SK for one
(1) fiscal year, shall be prepared in accordance with the approved ABYIP.

3.3.2.2 The SK chairperson, with the assistance of the SK treasurer, shall prepare the SK annual budget consisting the following: (I)
estimates of income; and (ii) expenditure program.

3.3.2.3 In the preparation of the SK annual budget, priority should be given to youth development and empowerment programs,
projects and activities in accordance with the Philippine Youth Development Plan and Local Youth Development Plan, as
embodied in the approved CBYDP and ABYIP, that will promote the following:

a) Equitable access to quality education;

b) Environmental protection;
c) Climate change adaptation;
d) Disaster risk reduction and resiliency;
e) Youth employment and livelihood;
f) Health and antidrug abuse;
g) Gender sensitivity;
h) Sports development; and
i) Capability Building, which emphasizes leadership training.

3.3.2.4 The budget cycle of the SK shall be synchronized with that of the barangay. As such, the SK chairperson shall submit the
proposed SK annual budget to the SK members not later than the 16th day of October of the current year for budget
authorization purposes. A sample of the SK annual budget is hereto attached as Annex A.
Annex A
SANGGUNIANG KABATAAN ANNUAL BUDGET _____
BARANGAY _______, CITY OF MATI, DAVAO ORIENTAL

Object of Expenditure Account Code Budget Year Expected Results Performance Indicators
Expenditures (Desired objective) (means of measurement)
(Proposed)

Part I. Receipts Program

Ten Percent (10%) of the general fund of the barangay 1,182,415

1,182,415
TOTAL ESTIMATED FUNDS AVAILABLE FOR
APPROPRIATION

Part II. Expenditure Program

GENERAL ADMINISTRATION PROGRAM:

CURRENT OPERATING EXPENSES

Personal Service
295,603.75
Honoraria 5-01-02-100 295,603.75
Paid service rendered
TOTAL Personal Service

Maintenance and Other Operating Expenses (MOOE) 160,000.00

Travelling Expenses 5-02-01-010 20,000.00
Training Expenses 5-02-02-010 20,000.00 Enhanced SK Officials’ leadership Number of trainings or
Office Supplies Expenses 5-02-03-010 5,000.00 and communication skills seminars attended
Fidelity Bond Premiums 5-02-16-020 25,000.00
Donation 5-02-99-080 101,811.25
Other Maintenance and Operating Expenses 5-02-99-990
331,811.25
TOTAL Maintenance and Other Operating Expenses

Capital Outlay (CO) 30,000.00

Sports Equipment 1-07-05-130 Capacitated the youth in sports Number of sports and technical
30,000.00 activities and divert them to their and scientific equipment
TOTAL Capital Outlay 657,415.00 life’s vices purchased
TOTAL GENERAL ADMINISTRATION PROGRAM

SK YOUTH DEVELOPMENT AND EMPOWERMENT

PROGRAM
a. Equitable Access to Quality Education
Free Internet and Computer Access
Maintenance and Other Operating Expenses Increased number of youth Percentage increase in number
(MOOE) enrolees in schools / Decreased of youth enrolees in schools /
Donations 5-02-99-080 number of out-of-school youth Percentage decrease in the
Total 40,000.00 (OSY) number of OSYs
Educational Assistance
40,000.00
Maintenance and Other Operating Expenses
(MOOE)
Donations
5-02-99-080
Total
60,000.00
b. Environmental Protection 60,000.00
Clean Up Drive Increased number of youth Percentage increase number of
Maintenance and Other Operating Expenses organizations participating in youth organizations
(MOOE) environmental protection participating in environmental
Other Supplies and Materials Expenses 5-02-03-990 campaigns protection campaigns
Representation Expense 5-02-99-030 2,000.00
Total 8,000.00
10,000.00
c. Climate Change Adaptation
Tree Growing Increased number of youth Number of climate change
Maintenance and Other Operating Expenses organizations implementing adaptation activities conducted
(MOOE) climate change adaptation
Other Supplies and Materials Expenses 5-02-03-990 activities
Representation Expense 5-02-99-030 1,500.00
Total 3,500.00
5,000.00

d. Disaster Risk Reduction and Resiliency

Disaster Risk Reduction Seminar Increased number of prepared- Number of disaster-related
Maintenance and Other Operating Expenses youth against natural disasters awareness or seminar
(MOOE) conducted
Other Supplies and Materials Expenses 5-02-03-990
Representation Expense 5-02-99-030 1.500.00
Total 3,500.00
5,000.00

e. Health and Anti-Drug Abuse

Mental Health Awareness: Fighting Against Stress Decreased number of teenage Number of interventions
and Depression
 Maintenance and Other Operating Expenses pregnancies, youth with HIV/ conducted such as seminars,
(MOOE) AIDS awareness, symposiums, etc.
Other Supplies and Materials Expenses and number of drug prevention
Representation Expense 5-02-03-990 education information
Total 5-02-99-030 2,000.00 campaign conducted
HIV-AIDS Awareness 3,000.00
Maintenance and Other Operating Expenses 5,000.00
(MOOE)
Other Supplies and Materials Expenses
Representation Expense 5-02-03-990 decreased number of drug
Total 5-02-99-030 2,000.00 dependent youth and youth who
Anti-Drug Symposium: School-Based and 3,000.00 ever tried using illegal drugs
Community-Based Programs
5,000.00
Maintenance and Other Operating Expenses
(MOOE)
Other Supplies and Materials Expenses
5-02-03-990
Representation Expense
5-02-99-030 1,500.00
Total
3,500.00
Feeding Program
5,000.00
Maintenance and Other Operating Expenses
(MOOE) Improved gender equality in Number of gender-responsive
Other Supplies and Materials Expenses youth participant activities activities conducted
Representation Expense 5-02-03-990
Total 5-02-99-030 3,000.00
F. Sports, Events and Other Activities 7,000.00
Sports Activities 10,000.00
Maintenance and Other Operating Expenses
(MOOE) Healthier and more active and Number of sports activities
Other Supplies and Materials Expenses participative youth towards conducted
Prizes 5-02-03-990 nation-building
Representation Expense 5-02-06-020 10,000.00
Total 5-02-99-030 50,000.00
Araw ng Barangay 20,000.00
Maintenance and Other Operating Expenses 80,000.00
(MOOE)
Other Supplies and Materials Expenses
Prizes 5-02-03-990
Representation Expense 5-02-06-020 10,000.00
Total 5-02-99-030 55,000.00
30,000.00
Paskong-pasko sa Barangay Activities 95,000.00
Maintenance and Other Operating Expenses
 (MOOE)
Other Supplies and Materials Expenses
Prizes 5-02-03-990
Representation Expense 5-02-06-020 2,000.00
Total 5-02-99-030 25,000.00
Brgy. Linggo ng Kabataan Celebration 3,000.00
Maintenance and Other Operating Expenses 30,000.00 Better capacitated youth and Number of capability building
(MOOE) increased youth participation activities conducted such as
Prizes dialogues, lecture, youth
Representation Expense 5-02-06-020 summit and the likes
Total 5-02-99-030 75,000.00
KK Assembly 20,000.00
Maintenance and Other Operating Expenses 95,000.00
(MOOE)
Other Supplies and Materials Expenses 5-02-03-990
Representation Expense 5-02-99-030 40,000.00
Total 40,000.00
80,000.00

Total for Youth Development and Expenditure Programs

TOTAL EXPENDITURE PROGRAM
ENDING BALANCE 525,00.00
1,182,415.00
0

Prepared by: Approved by:

NAME NAME
SK Treasurer SK Chairperson
3.3.3 Budget Authorization by the SK

3.3.3.1 The SK shall deliberate on the proposed SK annual/supplemental budget. The SK shall pass a resolution approving the SK
annual/supplemental budget. For the annual budget, the resolution shall be passed before the beginning of the ensuing year.
The resolution passed by the SK shall be signed by the SK chairperson upon approval by the majority of all its members.

3.3.3.2 As a general rule, all budgetary items shall be included and considered in the preparation of the annual budget. However, if
funds allow, changes in the annual budget may be done through supplemental budget(s) under the following circumstances:
3.3.3.2.1 When supported by funds actually available as certified by the SK treasurer; and
3.3.3.2.2 If covered by new revenue source(s).
Provided, that the programs, projects, and activities to be funded under the supplemental budget should be consistent with the
ABYIP of the SK.

3.3.3.3 The SK secretary shall cause the posting of the resolution approving the SK annual/supplemental budget in the barangay
bulletin board and in. at least three (3) conspicuous places within the jurisdiction of the barangay, and if possible, including the
use of traditional and non-traditional media, not later than five (5) days after the approval thereof.

3.3.3.4 The SK secretary shall submit the SK annual/supplemental budget to the Sangguniang Panlungsod or Sangguniang bayan,
through the city/municipal budget officer, within ten (10) days upon the approval thereof.

3.3.4 Budget Review by the Sangguniang Panlungsod or Sangguniang Bayan

3.3.4.1 The Sangguniang Panlungsod or Sangguniang bayan, as the case may be, shall within sixty (60) days upon receipt review the
annual/supplemental budget of the SK on their compliance with the priority programs, projects and activities identified under
Section 20 (c) of RA No. 10742, and with other existing laws, rules and regulations.

3.3.4.2 Depending on its findings, the Sangguniang Panlungsod or Sangguniang bayan may render the following review actions:

3.3.4.2.1 The SK annual/supplemental budget may be declared operative in its entirety when it fully complies with the priority
programs, projects, and activities identified under Section 20 (c) of RA No. 10742, and with other existing laws, rules
and regulations.

3.3.4.2.2 The SK annual/supplemental budget may be declared operative in its entirety, subject to conditions, when certain items
of appropriation require prior clearance/documentation and/or approval from appropriate authorities.
 3.3.4.2.3 The SK annual/supplemental budget may be declared inoperative in its entirety, when:

(i) the expenditure program exceeds the estimates of income;

(ii) all the programs, projects, and activities are not based on the ABYIP or inconsistent with the priority programs,
projects, and activities under Section 20 (c) of RA No. 10742; and
(iii) the resolution approving the SK annual/supplemental budget is passed before the approval of the ABYIP.

3.3.4.2.4 The SK annual/supplemental budget may be declared inoperative in part, when:

(i) there is/are item(s) of appropriation contrary to budgetary limitations, such as, but not limited to, inclusion of
personal services expenditures;
(ii) there is/are item(s) of appropriation that has/have no legal basis;
(iii) there are programs, projects, and activities not based on the approved ABYIP;
(iv) there are other programs, projects, and activities included before providing for all the priority programs, projects,
and activities under Section 20 (c) of RA No. 10742; and
(v) when the amount provided for a specific program, project, and activity is higher than the amount provided in the
ABYIP for the same program, project, and activity.

3.3.4.3 Failure on the part of the Sangguniang Panlungsod or Sangguniang bayan to complete the review within the prescribed period
shall render the said annual/supplemental budget deemed approved.

3.3.4.4 The Sangguniang Panlungsod or Sangguniang bayan shall return to the SK chairperson, through the city/municipal budget
officer, the SK annual/supplemental budget with the advice of action thereon, if any, for proper adjustments. Upon receipt of
such advice, the SK treasurer who has custody of the funds shall not make further disbursements from any item of
appropriation declared inoperative, disallowed, or reduced.

3.3.5 Budget Execution by the SK

3.3.5.1 The SK treasurer, whenever necessary, shall certify the availability of funds.

3.3.5.2 All payments out of the SK fund shall be made through Disbursement Vouchers.

3.3.5.3 Disbursements shall be made by issuing checks drawn against the current account in the name of the SK with the SK
chairperson and SK treasurer as the official signatories.

3.3.5.4 All claims against the SK funds shall be properly supported with complete documentation.