Budget Circular No. 2026-1

4.4.4 The amount paid as CNA Incentive shall be recorded in the agency books under the account code "Collective Negotiation Agreement Incentive-Civilian," "Other Benefits," and "Collective Negotiation Agreement Incentive" for NGAs, LGUs, GOCCs, and LWDs, respectively. 5.O Procedural Guidelines 5.1 The Committee, being referred to in Item 4.2.2 hereof, which was established pursuant to PSLMC Resolution No. 2, s. 202216 or a similar body composed of representatives from management and the negotiating agent shall determine if the agency is qualified for the grant of CNA Incentive based on compliance with the requirements under this Circular. If qualified, the Committee shall review the agency's financial records and submit recommendations on the following, for approval of the agency head: 5.1.1 The total amount of allowable MOOE allotments in Item 4.3 hereof which has become available as a result of cost-cutting and systems improvement measures identified in the CNAs and supplements thereto, and which was the result of the joint efforts of management and employees; 5.1.2 The internal guidelines to be followed in the grant of the CNA Incentive, such as: (i) the specific criteria for determining who are entitled; and (ii) the distribution of the amount available and the rate of the CNA Incentive in accordance with Items 4.2 and 4.3 hereof 5.1.3 The payment of the CNA Incentive shall be subject to the approval of the agency head and shall be made not earlier than December 15, 2026 and not later than December 31, 2026. The amount of the available balance from the selected allowable objects of expenditures under MOOE that has become available as a result of cost-cutting and systems-improvement measures pursuant to Item 4.3.1 hereof, to cover the PS requirement for the payment of the CNA Incentive, shall be reflected in the Modification Advice Form (MAF), as prescribed under NBC No. 59917 dated January 5, 2026. Any excess of such amount not utilized for the payment of the CNA Incentive shall revert to the unappropriated surplus of the General Fund and shall not be carried over in the succeeding fiscal year as continuing appropriations. '6 Provision of Employees' Organization-Management Consultative Committee in the Collective Negotiation Agreement (CNA) '' Guidelines on the Release of Funds for Fiscal Year (FY) 2026 Page 9 of 21