GUIDELINES REGULATING THE HARVESTING AND UTILIZATION OF FOREST PRODUCTS WITHIN COMMUNITY-BASED FOREST MANAGEMENT AREAS

Pursuant to the provisions of Executive Order No. 263, and
Department Administrative Order No. 96-29, and in order to rationalize
the utilization of forest products within areas covered by
Community-Based Forest Management Program (CBFM), the following
guidelines are hereby promulgated:

Section 1.       Basic Principle . — The CBFM aims
to promote the socio-economic upliftment of forest communities and at
the same time, achieving sustainable development/management of forest
resources. It recognizes that responsible and efficient resource
utilization by organized and empowered local communities based on sound
ecological and economic principles can result to sustainable management
of forest lands and resources. This recognition is manifested in the
granting of resource-use rights to peoples’ organizations under the CBFM
program otherwise known as Resource Use Permit (RUP).

Section 2.       Objectives . — The granting of resource-use permit to peoples’ organization shall have the following objectives:

a.         To provide the basis for the community to access and benefit from forest resources in a sustainable manner.

b.         To help the community generate start-up capital needed to
finance and establish livelihood and other development activities in
the area.

c.         To empower peoples’ organizations under the CBFM program
as effective partners in the protection, conservation, development and
rehabilitation alongside the concept of sustainable development.

Section 3.       Scope and Coverage . — Utilization
of naturally grown and/or planted forest resources shall be covered by
Resource Use Permit (RUP). RUP may be issued to holders of tenurial
instruments under the CBFM program of DENR who intend to harvest/utilize
forest products for commercial use, provided that they have an affirmed
Community Resources Management Framework (CRMF) and Annual Work Plan
(AWP).

Section 4.       Requirements for the Utilization of Forest Resources . — The requirements for forest resource utilization are the following:

a.         Affirmed CRMF	c.         ECC
b.         Affirmed AWP	d.         RUP

In the case of timber resource extraction, the following additional conditions shall govern:

4.1       Area of natural forest. — Harvesting of timber
within the natural forest should be confined only in areas identified as
production forest in accordance with the CRMF. Extraction of forest
products outside of the identified zone shall be strictly prohibited.
Cutting will not be allowed along gullies, steep slopes, river channels
and other identified critical areas.

4.2       Stand volume after harvesting. — Where cutting is
allowed in the residual forest, the average stand volume after
harvesting these areas should not be less than eighty (80) cubic meters
per hectare.

Section 5.       Procedures . —

a.         The PO with the assistance of a registered professional
forester and the PMO/site coordinator concerned shall prepare and submit
the AWP to the CENRO at least three (3) months prior to the
commencement of planned annual operations.

b.         The CENRO shall cause the validation of the AWP,
particularly the information on inventories of areas where harvesting of
forest products shall be undertaken, following existing guidelines.

c.         The CENRO shall affirm the AWP and issue the RUP within sixty (60) calendar days from the submission of the AWP.

d.         In case where the CENRO functions are assumed by higher
authorities, the authority concerned shall issue the RUP accordingly.

Section 6.       Safeguards . — In order to ensure
that the harvesting of forest products will be done in the most
economical and ecological manner, the following safeguards shall be
observed:

A.        Responsibilities of DENR .  A nationwide
scheme establishing the Forest Stock Monitoring System (FSMS) in tandem
with local Multi-sectoral Forest Protection Council (MFPC) shall be
operationalized in coordination with the field offices to facilitate the
monitoring of harvesting activities.

1.         Region. The Regional office shall maintain an
updated list of peoples’ organization with RUPs within their
jurisdiction. They shall, on a semi-annual basis, monitor, in
coordination with the PENRO, CENRO, and/or LGUs and MFPCs, the progress
of the activities by the community particularly the extraction of forest
products, the marketing strategies, the intended use of the proceeds
particularly in livelihood activities.

2.         PENRO. The PENRO shall likewise maintain an
updated records of all peoples’ organization granted with RUP in its
jurisdiction. They shall monitor on a regular basis and in coordination
with the CENRO, the community, LGUs and other concerned groups the
status of the implementation of the RUP and the intended activities as
stipulated in the annual work plan.

3.         CENRO. The CENRO shall maintain an updated
records of all communities with affirmed RUP within its jurisdiction.
Through a project management officer, whom the CENRO shall designate as
the link between the DENR and the community, activities of the community
pertaining to the implementation of the AWP and the RUP shall be
closely monitored and supervised. The PMO shall, as much as possible
immerse with the community and maintain a record of daily harvest and
balances. He/She shall likewise monitor the establishment and
development of the livelihood component of the AWP. As PMO he/she shall
be accountable to the CENRO. Furthermore, other units of the CENRO shall
provide the needed assistance to the community.

B.        Responsibilities of the Community . Apart
from the responsibilities of the peoples’ organization as stipulated in
the CBFM agreement, POs granted with RUP shall have the following
specific responsibilities:

1.         Develop and implement equitable benefit-sharing arrangements among its members.

2.         Refrain from the use of heavy equipment such as
bulldozers and the like and as much as possible must employ labor
intensive methods of harvesting.

3.         Be transparent and promote participatory management
particularly in the handling of records of transactions and finances.

4.         Develop and implement mechanisms for the rehabilitation
and development of areas subjected to harvesting operations.

5.         Pay forest charges on timber other than those harvested
in plantations as well as other fees and charges required by the DENR.

6.         Submit monthly report to the CENRO, through the assigned
PMO, as to the progress of the activities and cooperate with the
monitoring team that the DENR may send from time to time to determine
compliance of the POs to the agreement.

Section 7.       Marketing of Products . — The RUP shall serve as the permit to sell the logs, lumber and other forest products.

The Natural Resources Development Corporation (NRDC) shall assist in
the processing, marketing and disposition of forest products through a
mutually agreeable arrangement with the concerned POs.

In order to maximize the profit that could be generated and to
increase value added, the community shall be encouraged and assisted to
further develop and upgrade their materials into higher value finished
products.

Section 8.       Penal Provision . — Violations of any of the provisions of this Order shall be penalized in accordance with existing laws and regulations.

Section 9.       Separability Clause . — Should any
of the provisions of this Order be subsequently or otherwise revised,
modified or repealed accordingly, the same shall not affect the validity
or legality of the other provisions so far as they could stand
independently of the provisions so revised, modified or repealed.

Section 10.    Effectivity Clause. — This Order shall take effect fifteen (15) days after its publication in a newspaper of general circulation.

Adopted: 14 Mar. 2000

(SGD.) ANTONIO H. CERILLES
Secretary