The Minister of National Defense
        The Minister of Agrarian Reform
        The Minister of Natural Resources
        The Minister of Agriculture
        The Minister of Industry
        The Minister of Public Highways
        The Minister of Energy
        The Minister of Public Works
        The Minister of the Budget
        The Chairman, Development Bank of the Philippines
        The Administrator, Agricultural Credit Administration
        The Administrator, Southern Philippines Development Authority
        The Chairman, Presidential Committee for the
        Rehabilitation and Development of Southern Philippines (PCRDSP)
        All Heads of Ministries, Bureaus, or Agencies, Government-owned or controlled corporations,
        and local Government units.

1.00    The Southern Philippines Development Authority (SPDA) shall establish and develop the Kapatiran Agro-Industrial Cooperative Settlement project in the area covered by Proclamation No. 2046, dated January 17, 1981, situated in Wao and Bumbaran, Lanao del Sur.

1.01    It shall organize a Plans and Programs Committee (PPC) as a policy and planning body composed of the following government agencies: 

Ministry of Human Settlements/PCRDSP PMO 697    Chairperson

Ministry of National Defense    Member

Ministry of Agrarian Reform    Member

Ministry of Agriculture    Member

Ministry of the Budget    Member

Ministry of Energy    Member

Ministry of Industry    Member

Ministry of Natural Resources    Member

Ministry of Public Highways    Member

Ministry of Public Works    Member

Development Bank of the Philippines    Member

Agricultural Credit Administration    Member

Southern Philippines Development Authority    Member

Assemblyman Jamil Lucman    Member

Assemblyman Jamail Dianalan    Member

1.02    It shall set-up a Project Development Management Staff (PDMS) to support the implementation of the project to be assisted by a technical group or consultations. 

2.01    The Bureau of Forest Development shall undertake the reclassification of all timberland blocks embraced by the accompanying Presidential Proclamation and release as alienable and disposable all areas which are suitable for agricultural purpose, particularly those below 18 percent in slope as indicated in the attached Annex Plan "1", except all those identified and suspected watershed areas within the proclaimed areas.

2.02    The Bureau of Lands shall undertake the topographic and subdivision surveys of the said area. It shall transfer to the Southern Philippines Development Authority (SPDA) all alienable and disposable lands previously released to it.

2.03    The Bureau of Soils shall undertake the soil survey of the said area.

2.04    The Ministry of National Defense shall be responsible, through its appropriate major commands of the Armed Forces of the Philippines for the appropriate security within the settlement project including maintaining peace and order therein, and other services within its normal responsibilities. 

2.05    The Ministry of Public Highways shall be responsible for the construction of the access road, bridges and an airport within the settlement project.

2.06    The Ministry of Public Works shall be responsible for the construction of public buildings, waterworks, and other related engineering works with the settlement project.

2.07    The Ministry of Agriculture shall assist the organization of farm cooperatives and provide the necessary inputs for the agricultural development of the settlement.

2.08    The Ministry of Natural Resources shall cancel all permits and not renew agreements upon expirations, which are inconsistent to Presidential Proclamation No. 2046.

2.09    The Ministry of Agrarian Reform shall assist to establish the compact farms and other input-supports to the settlement project.

2.10    The Ministry of Energy will provide the necessary power systems and insure the sufficient supply of oil products to the project.

2.11    The Ministry of the Budget shall immediately release TWENTY (20) MILLION PESOS out of the Special     Activities Funds in the Office of the President as equity contribution to the Southern Philippines Development Authority to underwrite the pre-operation and planning expenses as part of the initial development cost. Release of said amount shall be based on a Work and Financial Plan prepared for the project.

2.12    The Ministry of Human Settlements shall undertake the establishment of appropriate BLISS sites housing and livelihood projects.

2.13    The Development Bank of the Philippines shall extend loans and related Financial assistance to the said settlement project and/or underwrite specific project development. 

2.14    The Agricultural Credit Administration shall assist in the organization and management of the settler into compact farm modules including possible financial assistance for inputs and farm implements and equipment.

2.15    The Southern Philippines Development Authority is hereby directed to supervise and coordinate the project as well as secure funds from local and foreign sources to finance the full development of the settlement.

Since 19.07.98.