REENGINEERING

REENGINEERING&LOCAL

GOVERNMENTS NGOsTOWARDS GOOD

GOVERNANCE

To put the world right in order, we must first put the nation in order; to put the nation in

order, we must first put the family in order; to put the

family in order, we must first cultivate

our personal life; we must first set our

hearts right.

Confucius

SUBSIDIARITY

SUBSIDIARITYDecentralizati

on regardless of ideology or political theoryFederalism

as a type of Government

Autonomya political program in a

centralized government

SUBSIDIARITYCONVICTION

ON HUMAN

DIGNITYHUMAN

PERSON ISNATURALLY

SOCIALORIENTED TOWARDS FREEDOM

SUBSIDIARITYELEMENTS:

1. NON-ARROGATION2. EMPOWERMENT3. COLLABORATIVE

PLURALISM

SUBSIDIARITY

Pope Leo XIIIRerum Novarum1891

Pope Pius XIQuadragesimo Anno

1931

Konrad AdenauerChristian DemocracySocial Market Economy

1949

SUBSIDIARITY

How do we value democracy, human

dignity and accountability in the Local Government?

To what extent do you agree that reengineering

means strengthening local democracy?

TALKING POINTS

How are we going to assess the relationship of

the LGU Officials, its legislative district

representative and the civil society or the NGO in

terms of promoting democracy, transparency and accountability in the

local government particularly in the area of

curbing graft and corruption and solving the

hardening poverty?

TALKING POINTS

TALKING POINTS

Are local democracies equal among the local

government unit all over the country?

Local government units are the creation and a

mechanism of the central government but, because of local autonomy, is not

subservient. To what extent do you agree?

1RATIONALEFOR THE LOCAL GOVERNMENT’SEXISTENCE

LGU’s EXISTENCE:TWO-FOLD

PURPOSE1. ADMINISTRATIVE2. REPRESENTATION

REPRESENTATION“REPUBLICAN,

MADAME, IF YOU CAN

KEEP IT.”

2CREATIONANDSTRUCTURES OFLOCAL GOVERNMENTS

Easton and Almond’s GENERAL SYSTEMS THEORY: A political system has subsystems part of the entire system with assigned functions and enabling empowerment, resources, authority, etc. to perform and carry out their responsibilities optimally

3FEDERAL AND UNITARY STATES

AS TO IDEOLOGY OR NUMBEROF PEOPLE LEADINGMONARCHY

OLIGARCHYDEMOCRACY

AS TO THE RELATIONSHIP BETWEEN THE EXECUTIVE AND LEGISLATIVE BRANCH

PRESIDENTIALPARLIAMENTARY

AS TO THE RELATIONSHIP BETWEEN THE NATIONAL AND THE LOCAL GOVERNMENTS

UNITARYFEDERAL

PHILIPPINE POLITICAL SYSTEMDEMOCRATIC, REPUBLICAN,PRESIDENTIAL AND UNITARY.

PHILIPPINE POLITICAL SYSTEMDEMOCRATIC, REPUBLICAN,PRESIDENTIAL AND UNITARY. DEMOCRATIC, REPUBLICAN,PRESIDENTIAL AND FEDERAL. DEMOCRATIC, REPUBLICAN,PARLIAMENTARY AND FEDERAL. DEMOCRATIC, REPUBLICAN,PARLIAMENTARY AND UNITARY.

STATE

TYPE OF GOVERNMENT LEADERS

As to Persons Ruling As Between the Executive & Legislative

As Between National and Local Head of State Head of Government

Luxembourg Democratic Constitutional Monarchy Parliamentary District King Prime Minister

Norway Democratic Constitutional Monarchy Parliamentary Unitary King Prime Minister

Switzerland Democratic Republican Parliamentary Federal Federal Council President

Qatar Monarchy Absolute Monarchy Emirate Unitary Emir Emir

Denmark Democratic Constitutional Monarchy Parliamentary Unitary Queen Prime Minister

Ireland Democratic Republican Parliamentary Counties President Prime Minister

Netherlands Democratic Constitutional Monarchy Parliamentary Administrative Regions Queen Prime Minister

United States Democratic Republican Presidential Federal President President

Austria Democratic Republican Parliamentary Federal President Chancellor

United Arab Emirates Monarchy Absolute Monarchy Presidential Federal President Prime Minister

Australia Democratic Constitutional Monarchy Parliamentary Federal Queen Prime Minister

Finland Democratic Republican Parliamentary Municipalities President Prime Minister

Belgium Democratic Constitutional Monarchy Parliamentary Federal King Prime Minister

Sweden Democratic Constitutional Monarchy Parliamentary Unitary King Prime Minister

France Democratic Republican Semi-Presidential Unitary President President/Prime Minister

Germany Democratic Republican Parliamentary Federal President Chancellor

Japan Democratic Constitutional Monarchy Parliamentary Unitary Emperor Prime Minister

Canada Democratic Constitutional Monarchy Parliamentary Federal Queen Prime Minister

Iceland Democratic Republican Parliamentary Unitary President Prime Minister

Singapore Democratic Republican Parliamentary Unitary President President/Prime Minister

United Kingdom Democratic Constitutional Monarchy Parliamentary Unitary Queen Prime Minister

Spain Democratic Constitutional Monarchy Parliamentary Autonomous Regions King Prime Minister

Italy Democratic Republican Parliamentary Regionalised Unitary President Prime Minister

Russia Democratic Republican Parliamentary Federal President President/Prime Minister

federalism*

• Division of powers and responsibilities

• Enacted written constitution

• Independent judiciary and sole arbiter on conflict of jurisdiction

• Co-Equal Supremacy of the different levels

*Kenneth C. Wheare, Father of ModernFederalism

10 YARDSTICKS OF FEDERALISM

1 2 3 4 5

6 7 8 9 10

Exclusive Control

on Foreign Relations

Immunity Against

Secession

Independence of CentralAuthority

Amendingthe

FederalConstitution

IndestructibleIdentity

and Autonomy

Bicameralismand Equal

Representationof Unequal States

Residualand

SignificantPowers

Two Setsof

Courts

SupremeCourt

ClearDivision of

Power

1 Elastic Clause2 Federal Supervision3 Insure Democratic & Republican System 4 Emergency Powers5 War & Foreign Policy6 Concurrent Powers7 Dependence of the Central Authority on the State

A Economic and Social ImperativesB Population shiftC External Pressures DPolitical cultures and Political parties

ABUEVA’s DESCRIPTION OF UNITARY SYSTEM

political powers and authority are concentrated in the

national government.

4GROUPINGS OFLOCAL GOVERNMENT

INTERNATIONAL UNION OFLOCAL AUTHORITIES

IULA founded in 1913 in Belgium.Organization of international

congresses for Inter-municipal relations and study.

Consultative status, category B, of

Economic and Social council of UN and maintains permanent contacts with

UNESCO and WHO.

IULA’s CLASSIFICATION OF LOCAL

GOVERNMENT SYSTEM

1. Anglo-Saxon Group 2. Central and Northwest Group3. East Europe Group 4. South Europe Group5. West Asia and North Africa Group 6. South Asia and East Africa Group7. East Asia Group – Thailand, Philippines and Japan

FRENCHMODEL

ENGLISHMODEL

SOVIETMODEL

TRADITIONALMODEL

BASIC TYPES OF LG SYSTEM*

*Harold Alderfer

5NATUREOF LOCAL GOVERNMENTS

ESSENTIAL CHARACTERISTICS OF LOCAL GOVERNMENTS

1

2

7

6

5

4

3

8

Continuous or

Discontinuous

Representativ

e or

Unrepresentativ

e

LOCALGOV’T.

TIERS OF PHILIPPINE LOCAL GOVERNMENT UNITS

CITIESMUNICIPALITIES

PROVINCES

BARANGAYS

PROVINCES

MUNICIPALITIES

BARANGAYS

CITIES

BARANGAYS

TIERS OF PHILIPPINE LOCAL GOVERNMENT UNITS

BARANGAYS

CITIES

REGIONSLEGISLATIVE DISTRICTS

1.For a stable democratic political environment ;

2.Partner for regional and national development;

3.Vested rights for a fair share of financial resources;

4.Shared responsibility in the management of the country’s human resources;

5.Principle of check and balances with the central government.;

6.Avenue for the flow of accurate information ;

7.Guarantee of people’s participation;8.Ensure political and social

harmony; 9.Ability to influence the central

government in changing legislations;

10.Accountability to the Central Government.;

11.Local Government Units openness to innovations;

FUNCTIONS OF LGs

5LOCAL GOVERNMENTIN THE MODERN WORLD

In Europe, ‘general acceptance’ and has the authority to make regulations

In the new world, LGs are for utilitarian purposes

and functions,

6THE POLITICS OFDECENTRALIZATION

COMMON THEORIES USED IN UNDERSTANDING DECENTRALIZATION

FISCAL FEDERALISM

PUBLIC ADMINISTRATION

POLITICAL SCIENCE

FISCAL FEDERALISM“Fiscal federalism theories dealing with

decentralization focus on maximizing social welfare, which is portrayed as a

combination of economic stability, allocative efficiency, and distributive equity. The precise combination and

importance attached to each goal depends on the context, but the challenge of

decentralization is essentially to locate resources at the level of government that

optimizes social welfare” (Musgrave 1958: 132-33, 175-178).

FISCAL FEDERALISM1. DETERMINE TO WHICH EACH LEVEL OF

GOVT. HAS FISCAL IMPACT. 2. IF RESOURCES HAVE BEEN CEDED TO

SUBNATIONAL UNITS, THEN CENTRAL GOVTS. HAVE, TO ONE DEGREE OR ANOTHER, LESS FISCAL IMPACT.

3. BEST INDICATOR FOR THE LEVEL OF FISCAL CENTRALIZATION OR DECENTRALIZATION IS THE SHARE OF THE SUBNATIONAL EXPENDITURES AND REVENUES.

ITEM

The Philippines (2007; in Million

Pesos)

China (2004 ; 100M

Yuan)

Central* Local** Central Local

Revenue 1,096,875 234,760 14,503 11,893

% to Total 82.37% 17.63% 54.90% 45.10%

Expenditure 1,029,377 194,736 7,894 20,592

% to Total 84.09% 15.91% 27.70% 72.30%

* Net of IRA of P146,591.95 million** Inclusive of IRA of P146,591.95 millionSources: Philippine Commission on Audit 2007 Financial Reports; National Bureau of Statistics of China

Comparative Philippine and China Central and Local Government Share in Revenue and

Expenditure

ITEM Central LocalTotal Revenue 82.37% 17.63%Tax Revenue* 93.08% 6.92%General Income

Permits and Licenses 77.03% 22.97%

Service Income 94.24% 5.76% Business Income 68.65% 31.35% Income 94.65% 5.35%Gain on ForEx 100.00% 0.00%

Philippine Central and Local Government

Revenue Breakdown*Central-Net of IRASource: Philippine Commission on Audit 2007 Financial Reports

United States : Sources of State Revenue

SourcePercentage (US Average)

General Sales Tax 23.5%Selective Sales Tax 10.9%

Property Taxes 30.1%License and Other

Fees8.2%

Corporate Income Taxes

4.7%

Individual Income Taxes

22.6%Source: Tax Foundation Report : stateline.org

Local Government By Region Total Income *

Central Government Expenditure

Central Government

Expenditure % to LG Total

Income Grand Total 234,642,572.58 762,534,007.59 324.98%

National Capital Region 46,778,401.48 560,070,716.35 1197.28%Region 1 11,410,059.53 14,371,248.27 125.95%

CAR 6,223,710.33 7,499,513.73 120.50%Region 2 9,160,569.36 10,132,758.94 110.61%Region 3 20,888,920.59 21,590,013.29 103.36%Region 4 35,866,590.31 27,646,932.60 77.08%Region 5 10,993,973.34 15,101,341.54 137.36%Region 6 16,679,840.96 18,419,954.59 110.43%Region 7 15,555,455.12 14,027,680.75 90.18%Region 8 8,687,321.73 98,317,599.17 1131.74%Region 9 7,781,531.08 9,821,773.23 126.22%

Region 10 11,300,406.23 11,512,490.21 101.88%Region 11 10,170,596.06 10,980,183.03 107.96%Region 12 8,285,249.49 8,623,777.18 104.09%Region 13 7,545,245.07 7,146,537.05 94.72%

ARMM 7,354,701.68 8,753,883.18 119.02%

*Inclusive of IRASource: Figures are from the Philippine Commission on Audit 2007 Financial Reports

PUBLIC ADMINISTRATIONPublic administration theories

dealing with decentralization

broadly focus on how modern

bureaucracies are achieved,

which have been defined as

efficient, effective, and rational

(Weber 1968: esp. 926-39, 956-89).

This autonomy is constituted by general policymaking authority and personnel control, as well as control over public finances (Rondinelli 1984).

DECENTRALIZATION

Decentralization involves the

shifting of fiscal, political

and administrative responsibilities from higher to lower levels of government.

(Jamie Boex and Sirdar Yilmaz: 2010)

DEVOLUTION DELEGATION DECONCENTRATIONCentral

government that disperses

responsibility for a policy to its field

offices. This transfer changes the spatial and geographical distribution of

authority, but does not significantly

change the autonomy of the

entity that receives the authority.

Transfers policy responsibility to

local governmentsor

semiautonomous organizations that are not controlled

by the centralgovernment but

remain accountable to it.

Where the central government

transfers authority for decision

making, finance and management

to local governments with legally recognized jurisdictions over

which they exercise authority.

Central govt allows

autonomous local units of govt to exercise power

and control over the transferred

policy.

DEVOLUTION DELEGATION DECONCENTRATION

Deconcentration involves a bureaucratic, hierarchical relationship

Delegation involves

a contractu

al relationshi

p.

Devolutioninvolves an arm’s-

length relationshi

p

DEVOLUTION DELEGATION DECONCENTRATION

Discretionary transfer of

funds

Grants & Loans

Taxes

Political science theories dealing with decentralization focus on

MOBILIZATION,

ORGANIZATION,

ARTICULATION,

PARTICIPATION,

CONTESTATION, and

AGGREGATION of interests. (Fox and Aranda 1996).

POLITICAL DECENTRALIZATION

The best way to summarize these functions might be in terms of representation.

“map the multiplicity of citizen interests onto policy decisions” (Litvack et al. 2000: 6).

7NATIONALANDLOCAL GOVTRELATIONSHIP

fuedalism = fused model

nation states = dual model

Fused, Centralized System

Dual Autonomous System

1. One, indivisible public authority Two spheres: central and local

2. Strict standards for actions of local authorities, very detailed regulation provided by laws.

Legal context established by framework laws, local policy formed by local laws adopted by local council

3. Local council has supervising role over administration or has to adopt laws/ decisions of central government to local needs

All local powers are coming from council which is delegated to local administration; extensive comperence of council in local leglislation.

4. Direct administrative intervention and ex ante control of the central government

Administrative intervention by the National Government is prohibited, only court decision to estabilish the legality of local decisions/ actions

5. One indivisible civil service at all level

Considerable autonomy in formation of civil service at local level

6. Decisive role of state categorical grants to cover current expenditures, dependent of the state regulations spending

Extensive autonomy in taxation and spending, state general grants to support capacity

8LOCAL AUTONOMY IN THE PHILIPPINES

LOCALAUTONOMY

Sosmena

Local autonomy has been defined as the state of self-determination of local government and their relative freedom from central government control over local affairs and concerns.

AbuevaThe higher the centralization of authority and decision making for a function, the lower the autonomy of the local government concerned.

Alderfer

As the degree of self-determination and self-government enjoyed by local units in their relation with the central government thus implying a measure of independence from national control.

Local autonomy as a combination of two elements: first, the right of local entities to administer their own affairs freely in accordance with their own will, and second, the right of the local citizenry to determine that will.

Mendoza & Lim

Philippine Local Autonomy in the Philippines: two of its dimensional views(a)Historical-legal, and

(b)Political-administrative.

Central supervision and control

are highly visible in:

1. Presidential power over local officials;2. Central supervision over local

administrative and financial affairs3. Central control over development

planning4. Integration of the police force5. Limitations on the use of specific funds

and6. Centralization of personnel

administration.

9GOVERNMENTAUTONOMY ANDSUPERVISION OF THE PRESIDENT

Supervision is power to

SEE that subordinate officers perform their duties.

Power of general supervision

≠ Power of Control

THANK YOU!