The PSF recognizes that the adaptation needs and local capacities of each community are unique. People's vulnerability to climate change varies greatly thus determining the cost of protecting one’s community from the impacts of climate change is a challenge. To ensure that funds go to the right places and meet real needs, the PSF devised a mechanism for these financial resources to be transferred to and accessed by its target recipients: the local government units which are on the frontlines of climate change and accredited local/community organizations.

The mechanism includes the criteria set by the board in assessing the local governments units which should be prioritized in accessing the fund while putting in place systems to report on the delivery of adaptation finance at the local level.