Role of the

Local
Government in
Edwin RB.
Development
Gbargaye
Discussant/Presen
ter
Professor: Dr. Jo B. Bitonio
DM 215 Governance &
Regional
Administration
PSU, Urdaneta City,

Structure & Function/Distinction

- Significant provision of RA 7160
-Issues and Problems in Decentralization

Regio Provinc Citie Municipalit Barang

n
es
s
ies
ays
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

Regio Provinc Citie Municipalit Barang

n
es
s
ies
ays
VIII
IX
X
XI
XII
XIII
(CARAG
A)
ARMM
TOTAL

6
3
5
4
4
5

4
5
8
5
5
3

139
67
85
44
45
70

4,390
1,904
2,022
1,162
1,194
1,310

5
80

1
122

117
1,512

2,490
42,025

Source: NSCB 2010

Number of Capital Towns,

Component Cities and
Independent Component Cities
as of June 30, 2010

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

MMDA

5
Provinces
16 Cities

1 Municipalities

Barangay

Barangay

1 City
117
Municipalitie
s

2490
Barangay
s

National
Government

Highly Urbanized
City

Province

Municipality

Component
City

Baranga
y

Baranga
y

Structure of Philippine Local

Government Padilla: 1998

Baranga
y

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 selfreliant 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

PDC

CDC

MDC
BDC

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 (Cario, 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

The Significant Provision of RA 7160

(Local Government Code)
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 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

Reference:
RELEVANT PROVISIONS OF LOCAL
GOVRNMENT CODE OF 1991
Comparative Study Tour on Local
Government Administration and
Management
Development Academy of the Philippines,
2006

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