SHFC’s mandate is that by 2023, SHFC shall have provided 530,000 organized homeless and low- income families with Flexible, Affordable, Innovative, and Responsive (FAIR) shelter solutions to their housing needs.

Further, the corporate targets and objectives can be found in the letter from GCG regarding the Transmittal of 2023 Performance Scorecard.

Rationale of the 2023 Performance Scorecard Targets

SHFC’s financial performance indicators can be verified in the letter from GCG regarding the Transmittal of 2023 Performance Scorecard.

Furthermore, the unaudited 2023 Financial Statements submitted to the Commission on Audit are also included in the SHFC's official website.

Rationale of the 2023 Performance Scorecard Targets

2023 SHFC Unaudited Financial Statements

1. The Briefer on SHFC’s 2023 Corporate Performance likewise contains the corporation’s non-financial accomplishments like satisfactory ratings on the Harmonized Client Satisfaction Measurement (CSM) for external services; technological shifts and workarounds, increase in corporate competency, quality management system, and turnaround time as prescribed by ARTA.

2. SHFC's performance scorecard, likewise, includes the conduct of a Harmonized Client Satisfaction Measurement (CSM) based on Joint Memorandum Circular of ARTA and GCG, wherein SHFC's clients are surveyed through the CSM Questionnaire on SHFC's external services.

Rationale of the 2023 Performance Scorecard Targets

SHFC has procedures for complaints by employees regarding illegal and unethical behavior, including corruption. The following details can be found in the Whistleblowing Policy:

1. Basis and Purpose;

2. Scope;

3. Applicability;

4. Concepts;

5. General Policies;

6. Whistleblowing Cases;

7. Process of complaint investigation and protection against retaliation; and

8. Summary of Jurisdiction

In addition, SHFC has also Code of Ethics and Revised Rules of Procedure on Disciplinary and Administrative Cases.

SHFC Whistleblowing Policy Page

SHFC Code of Ethics

Revised Rules of Procedure on Disciplinary and Administrative Cases

The profiles of the ex-officio, their alternates and appointive directors are provided on the website.

The following members of the SHFC Governing Board, both appointive and alternate attended the the Gender-Sensitive Executive Briefing:

1. Asec. Glenda Rumohr-Figueroa;

2. Dir. Emiliano C. Reyes;

3. Dir. Lyndon B. Catulong, Sr.,;

4. Dir. Ronald R. Barcena; and

5. President and CEO Federico A. Laxa

The Institute of Corporate Directors has no offering for intermediate corporate governance training for Board of Directors since 2021.

SHFC website contains sections on Transparency Seal, Whistleblowing Policy, Freedom of Information, etc. The state of SHFC's Corporate Governance could be inferred from these sections, which are likewise in compliance with the GCG's instructions on corporate governance.

The Board discussed the Corporate Performance Scorecard for FY 2023 including Corporate Strategies during the 08-2022 Board Meeting last 01 June 2022.

The Management reiterated the Corporate Strategies, Strategy Map for 2019-2023, Vision, Mission and Core Values during the 02-2023 Board Meeting last 27 February 2023.

Minutes of the 02-2023 SHFC Board Meeting

The Board of Directors assessed the Corporate Performance for FY 2023 and commended the Management for the positive financial performance resulting in a net income.

SHFC issued its Code of Conduct and Ethical Standards on 18 December 2023. The Code discussed the details on the following matters:

1. Norms of Conduct of SHFC Officers and Employees;
2. Duties of SHFC Officers and Employees;
3. Prohibited Acts and Transactions;
4. Disclosure and/or Misuse of Confidential Information;
5. Solicitation or Acceptance of Gifts;
6. Statements and Disclosures;
7. Divestment and Conflict of Interest;
8. Privacy of Personal Records of SHFC Officers and Employees;
9. Hiring and Promotion;
10. Whistleblowing Policy; and
11. Penalties

Under the Policy, there is a provision on the Coverage of the said Code, which states that:

"The SHFC Code of Conduct and Ethical Standards shall apply to each and every officer and employee of SHFC. It shall cover all SHFC officers and employees and includes appointive, regular, permanent, temporary, contractual, and coterminous employees. It shall also cover members of the SHFC Governing Board in their capacity as public officials."

The SHFC Code of Conduct and Ethical Standards was cascaded to all SHFC officers and employees through the issuance of Memorandum No. OVPHRAG-2023-055 dated 18 December 2023.

In CY 2023, the Board merged different Committees for efficiency. One of the committees is the Governance, Policy and Nomination Committee (GPNCom) which includes the Nomination Compensation/ Remuneration Committee provided in the GCG Code of Corporate Governance. This was adopted at the start of CY 2021.

Minutes of the 01-2023 SHFC Board Meeting

The GPNCom had seven (7) meetings in CY2023.

The report of the GPNCom is publicly disclosed.

The SHFC has an Audit Board Committee appointed and approved by the SHFC Governing Board.

Minutes of the 01-2023 SHFC Board Meeting

The report of the Audit Board Committee is publicly disclosed.

The Chairperson of the Audit Committee is from DBM Usec. Leo Angelo M. Larcia who is the alternate of the Secretary of the DBM to the SHFC Governing Board presides the Audit Board Committee meetings.

Undersecretary Catherine L. Fong and Assistant Secretary Glenda Rumohr-Figueroa are also members of the Audit Board Commitee; and are alternates of the Secretary of the Department of Finance.

The Audit Board Committee met four times (4) in CY 2023.

The SHFC has an independent Risk Management Committee.

Minutes of the 01-2023 SHFC Board Meeting

The report of the Risk Management Committee is publicly disclosed.

Highlights of Discussion of the Risk Management Committee CY 2023

The Chairperson of the Risk Management Committee is from DOF. Assistant Secretary Glenda Rumohr-Figueroa who is the alternate of the Secretary of the DOF to the SHFC Governing Board presides the Risk Management Committee meetings.

The Board Meetings are scheduled at the beginning of the year and approved by the Board.

Secretary Certificate on BR No. 1006, Series of 2023, Approval of the Board Committees and Membership for CY 2023

The SHFC Governing Board had twelve (12) Board Meetings in CY2023. Some meetings supposedly scheduled for the months of May, August, and October were moved to an earlier or later date.

The proposed number of Board Meetings is twelve (12) at the start of the year. The actual Board Meetings conducted in CY 2023 are ten (10). 83.33% of the scheduled meeting were conducted on schedule.

Not all directors attended 90% of the meetings.

However, the following Directors have attended at least 90% of the Board Meetings:

1. Secretary Jose Rizalino L. Acuzar with his alternate Usec. Lyle Filomeo C. Pasco;
2. Mr. Federico A. Laxa;
3. Mr. Lyndon B. Catulong, Sr.;
4. Atty. Emiliano C. Reyes; and
5. Mr. Ronald R. Barcena

The SHFC Governing Board met once without the SHFC President and CEO during its 02-2023 Board Meeting.

The SHFC Governing Board directed the Management to submit the materials for the Board & Committee meetings as follows:

1. Committee Meeting: 3 working days in advance.
2. Board Meeting: 5 working days in advance.

Secretary Certificate on BR No. 1006, Series of 2023, Approval of the Board Committees and Membership for CY 2023

The Board Secretary is a lawyer.

SHFC has a separate internal audit function. The SHFC Table of Organization proves the existence of the Internal Audit Department (IAD). It is directly reporting to the Board or the Audit Committee. It is composed of four (4) plantilla positions.

Organizational Chart as of December 12, 2017, Approved per BR No. 620, s. 2017

Current Staff Complement

The revised By-Laws of the Corporation provides that:
Section 7. Term of Office. – The President/Chief Executive Officer shall have a term of one (1) year and until his successor is duly elected and qualified.

The following Officers may be removed from office by the majority vote of the members of the Board:

1. Corporate Treasurer;

2. Corporate Secretary;

3. Compliance Officer;

4. Chief Finance Officer; and

5. Head of Internal Audit

The endorsement of the removal of internal auditor head will be endorsed by the Audit Committee.

SHFC discloses the internal control procedures by issuing Office Orders such as the following:

1. Office Order No. 23-1386, Series of 2023, Express/Priority Lanes for Senior Citizens, Persons with Disability, Special Needs of Medical Conditions, and Pregnant Women;

2. Office Order No. 23-1365, Series of 2023, Guidelines for the Transition and Transfer of the Remedial Accounts Department to the Operations Cluster;

3. Office Order No. 23-1333, Series of 2023, Interim Rules and Procedures for Handling Highly Delinquent Accounts;

4. Office Order No. 23-1381, Series of 2023, Reconstitution of Inventory Committee for Physical Inventory-Taking of Property, Plant and Equipment for CY 2023.

Office Order No. 23-1365, Series of 2023

Office Order No. 23-1333, Series of 2023

Office Order No. 23-1381, Series of 2023

In its Financial Report submitted to the Commission on Audit and in SHFC's 2023 Interim Annual Report, it states thein that:

"The Board of Directors is responsible for overseeing the Social Housing Finance Corporation's financial reporting process. The Board of Directors reviews and approves the financial statements, including the schedules attached therein. and submits the same to the stockholders or members."

The statement on the adequacy of SHFC's internal control is disclosed in SHFC's 2023 Interim Annual Report.

The Chairman of the Board is the Secretary Jose Rizalino L. Acuzar of the DHSUD, while the SHFC President and CEO is Mr. Federico A. Laxa.

The Office of the Board Secretary conducts a brief orientation on the programs of SHFC for the new directors.

Trainings and Seminars of the Directors is part of the Office of the Board Secretary Budget.

The following members of the SHFC Governing Board, both appointive and alternate attended the Gender-Sensitive Executive Briefing:

1. Asec. Glenda Rumohr-Figueroa

2. Dir. Emiliano C. Reyes

3. Dir. Lyndon B. Catulong, Sr.,

4. Dir. Ronaldo R. Barcena

5. President and CEO Federico A. Laxa

The Institute of Corporate Directors has no offering for intermediate corporate governance training for Board of Directors since 2021.

The SHFC has its separate assessment that evaluates the performance of its Governing Board. The SHFC Governing Board is scheduled to conduct the assessment of the previous year's performance every first (1st) quarter of the year or on the date decided upon the by the SHFC Governing Board.

The process in conducting the Annual Performance Review of the SHFC Board is laid down in the Guidelines.

The following are the criteria used during the annual performance review of the SHFC Board:

1. Leadership;
2. Knowledge and Personal Development; and
3. Teamwork and Communication.

The annual performance review of the SHFC Board includes the appraisal and review of Board Committees and is conducted on the same schedule as that of the SHFC Board assessment.