Role of the Local Government in Development

Edwin RB. Gbargaye Discussant/Presenter

Professor: Dr. Jo B. Bitonio DM 215 Governance & Regional Administration PSU, Urdaneta City, Pangasinan

Structure & Function/Distinction

- Significant provision of RA 7160

- Issues and Problems in Decentralization

Region Provinces Cities Municipalities Barangays

NCR - 16 1 1,705 CAR 6 1 76 1,176 I 4 8 117 3,265 II 5 3 90 2,311 III 7 13 117 3,102 IV-A 5 13 129 4,011 IV-B 5 2 71 1,458 V 6 7 107 3,471 VI 6 16 117 4,051 VII 4 12 120 3,003

Region Provinces Cities Municipalities Barangays VIII 6 4 139 4,390 IX 3 5 67 1,904 X 5 8 85 2,022 XI 4 5 44 1,162 XII 4 5 45 1,194 XIII (CARAGA)

5 3 70 1,310 ARMM 5 1 117 2,490 TOTAL 80 122 1,512 42,025

Provinces Cities Municipalities Barangays

80 122 1512

42025

Number of LGUs by Level

Source: NSCB 2010

Number of Capital Towns, Component Cities and Independent Component Cities

as of June 30, 2010

0 10 20 30 40 50 60 70 80 90

Highly Urbanized Cities (HUCs)

Component Cities (CCs)

Independent Component Cities (ICCs)

Capital Towns

33

84

5

41

Section 76. of LGC of 1991

Organizational Structure and

Staffing Pattern.

Every local government unit shall

design and implement its own

organizational structure and staffing

pattern taking into consideration its

service requirements and financial

capability, subject to the minimum

standards and guidelines prescribed

by the Civil Service Commission

National Government

ARMM

5 Provinces

117

Municipalities

2490 Barangays

MMDA

1 Municipalities 16 Cities

Barangay Barangay

1 City

National Government

Province Highly Urbanized City

Component City Municipality

Barangay Barangay Barangay

Structure of Philippine Local Government Padilla: 1998

The Role of the Local

Government in

Development

• The local government is also called the

governments of the parts of a nation. Its levels

vary according to the political pattern and

experience of each and every nation like the

Philippines. According to (Humes and Martin

1969), the state supervised units which can

also be described as “infra-sovereign” local

governments do not have any aspect of

sovereignty.

The Role of the

Local Government

in Development

• In unitary states like the Philippines

the supervision over local governments

is done by the national government.

• The UN defines local governments

as “political subdivisions of a nation or

state” (UN 1962); some authorities refer

to them as “parts” of the government of

a nation or state.

The Role of the

Local Government

in Development

• This entails assessment of the resources, leadership

potentials and administrative capabilities of the different

levels of local government, which would be the basis for

determining the powers, functions and services to be

devolved to them.

• Local government officials, as earlier mentioned,

make political decisions. Like earmarking revenues for

different projects for the public good. These decisions

generally take the form of ordinances.

The Role of the

Local Government

in Development On Development

• National development is a good achieved through an

effective partnership between the central and local

governments, each one performing a service as an aspect

of a function which it can adequately perform.

• The local government code (LGC) devolves to all

local units the administration of five basic services :

agriculture, health, social welfare, maintenance of public

works and highways, and

environmental protection. What this means is that the

appointment of persons performing these functions in their

local areas is now done by the local chief executives.

There salaries are also paid from local funds.

The Role of the

Local Government

in Development Revenue Generation

Local governments are authorized by law to

impose certain taxes to support their activities.

However, their main source of revenue is the

internal revenue tax, which is shared by the

national government with them. The Code raises

their share of these taxes from 20

percent to 40 percent. It also modifies the sharing

schemes by providing for the following: 34

percent to the municipalities, 23

percent to the cities, 23 percent to the provinces,

and 20 percent to the barangays.

The Role of the

Local Government

in Development

Revenue Generation

- Internal revenue allotments (IRA) are also divided

according to other criteria: 50 percent by population, 25

percent by area, and 25 percent in terms of equal

sharing. Local units impose the property realty tax, and

much depends on their assessment and collection

efficiency. They also tax business. Cities and

municipalities impose the amusement tax. Barangay

clearance is now needed before permits can be given by

the cities and municipalities for businesses.

The MAJOR FEATURES

Republic Act No. 7160 otherwise known as the

Local Government Code of 1991

A. Sec. 17 of LGC of 1991, Basic Services and

Facilities.

a. Local government units shall endeavor to be self-

reliant and shall continue exercising the powers and

discharging the duties and functions currently vested

upon them. They shall also discharge the functions

and responsibilities of national agencies and offices

devolved to them pursuant to this Code. Local

government units shall likewise exercise such other

powers and discharge such other functions and

responsibilities as are necessary, appropriate, or

incidental to efficient and effective provision of the

basic services and facilities enumerated herein.

Devolved Basic Services

On Health and Social Services:

1. include the implementation of programs and projects on primary

health care, maternal and child care, and communicable and

noncommunicable disease control services;

2. Health services which access to secondary and tertiary health

services;

3. Purchase of medicines, medical supplies, and equipment needed

to carry out the services

4. Social welfare services which include programs and projects on

child and youth welfare, family and community welfare, women's

welfare, welfare of the elderly and disabled persons;

On Environmental Management:

1. Solid waste disposal system;

2. Services or facilities related to general hygiene

and sanitation;

3. Implementation of community-based forestry

projects which include integrated social forestry

programs and similar projects;

4. Management and control of communal forests;

On Agriculture:

1. Inter -Barangay irrigation system;

2. Water and soil resource utilization and

conservation projects;

3. Enforcement of fishery laws in municipal

waters including the conservation of

mangroves;

On Infrastructure:

1. Maintenance and Rehabilitation of the following:

a. roads and bridges

b. school buildings and other facilities for public

elementary and secondary schools;

c. clinics, health centers and other health facilities

d. small water impounding projects

e. fish ports; artesian wells, spring development,

rainwater collectors and water supply systems;

f. seawalls, dikes, drainage and sewerage, and flood

control;

g. traffic signals and road signs; and similar facilities;

On Tourism:

1. Tourism facilities and other tourist

attractions;

2. Acquisition of equipment;

3. Regulation and supervision of

business concessions; and

4. Security services for such facilities

Devolved Regulatory Functions

Inspection of food products such as

meat, fruits, poultry, milk, fish, vegetables and other foodstuffs

Adoption of quarantine regulations

Enforcement of the National Building Code

Regulations of tricycle operations

Regulation of the real estate trade

Licensing of cockpits

B. It granted the local government units the power to develop their

own organizational structure staffing pattern and appoint officials

wholly paid by the local governments;

Sec. 447. of LGC of 1991

Powers, Duties, Functions and Compensation. –

a. The Sangguniang Bayan, as the legislative body of

the municipality, shall enact ordinances, approve

resolutions and appropriate funds for the general

welfare of the municipality and its inhabitants

pursuant to section 16 of this Code and in the

proper exercise of the corporate powers of the

municipality as provided for under section 22 of this

Code, and shall

(i) Review all ordinances approved by the Sangguniang

Barangay and executive orders issued by the Punong

Barangay to determine whether these are within the scope of

the prescribed powers of the sanggunian and of the Punong

Barangay;

(vii) Subject to the provisions of this Code and pertinent

laws, determine the powers and duties of officials and

employees of the municipality;

(viii) Determine the positions and the salaries, wages,

allowances and other emoluments and benefits of officials

and employees paid wholly or mainly from municipal funds

and provide for expenditures necessary for the proper

conduct of programs, projects, services, and activities of

the municipal government;

NEDA Board

RDC

BDC

CDC

MDC

PDC

DILG: 1992 The Government Planning Hierarchy

The Local Government Code of 1991

provided the policy context for

the emergence of entrepreneurial local

governments by encouraging

LGUs to enter into joint ventures and

partnerships with the private

sect6or such as build-operate-transfer

arrangement and bond

flotation.

Section 35 of the LGC of 1991

Linkages with People's and Non-Governmental

Organizations. – Local

Government units may enter into joint ventures and such

other cooperative arrangements with people's and

nongovernmental organizations to engage in

the delivery of certain basic services, capability-building

and livelihood projects, and to develop local enterprises

designed to improve productivity and income, diversify

agriculture, spur rural industrialization, promote ecological

balance, and enhance the economic and social well-being

of the people.

Section 34 of the LGC of 1991

Role of People's and Nongovernmental

Organizations. – Local

Government units shall promote the

establishment and operation of people's

and nongovernmental organizations to

become active partners in the pursuit of

local autonomy.

The Significant Provision of RA 7160

(Local Government Code)

1.When the local government code of the Philippine was

passed it was hailed as a giant step towards the

increase of autonomy in the country (Cariño, 1998).

2.It is about the transfer of certain powers from

national to local levels, increased the financial

capacity of local government units, and give greater

voice not only to local governments but to the people

as well.

3.When Filipinos speak of devolution today they usually

refer to the Code.

4. The essence of Devolution

5. The essence of Devolution

6. Democracy and Decentralization

7. Decentralization is the means

for increasing democratic strides.

8. Stresses the greater

effectiveness of service delivery through a

decentralized system.

9. Decentralized powers are

utilized for more effective management.

The Significant Provision of RA 7160

(Local Government Code)

THE ISSUES/ CONCERNS

(a) The inadequacy of the internal revenue shares of the local

government units to meet the budgetary requirements of

the devolved function, programs and projects;

(b) The continued lack of budgetary support from the national

government for the full implementation of devolved

tertiary health services;

(c) The interference of national government in personnel and

fiscal management of eth local government units;

(d) The need to further broaden the tax base of the local

government units; and

(e) The need to devolve more power functions and programs.

Issues and Problems in

Decentralization

•In the Phil decentralization is a strategy for development

and democratization since the 1950s. This thrusts,

however, have shifted over time. Decentralization in the

past focused on deconcentration (administrative

decentralization)

•Decentralization during the late eighties up to the present

focused on devolution or political decentralization. The

government had stepped up its decentralization efforts by

emphasizing devolution.

Issues and Problems in

Decentralization

• Under the LGC responsibility sharing and

authority sharing, local governments were

mandated to supplement or assist in the delivery of

these functions.

• Decentralization changes have been made to

pursue development and democratization goals.

• Privatization is another area of decentralization. It

is a policy reform that disposes idle GOCCs. Its an

economic and political benefit to national

government.

Some of the Problems

of Decentralization are:

• Political dynasty (elite dominated politics)

• It encourages corruption

RELEVANT PROVISIONS OF LOCAL

GOVRNMENT CODE OF 1991

Comparative Study Tour on Local

Government Administration and

Management

Development Academy of the Philippines,

2006

Reference: