Municipality

It is a group of Barangays,

Role of the
wherein its primary purpose is
to coordinate and deliver basic,
regular, and direct services and
Municipality effectively govern the
inhabitants within its territorial
jurisdiction.
 Its manner of creation shall only be
done by an Act of Congress and
subject to the approval by a

Manner of majority of votes cast in a

plebiscite conducted by the
Comelec in the local government

Creation unit or units directly affected.

The plebescite shall be held within

120 days from the its effectivity
unless otherwise provided by the
Act.
 Land Area
A contiguous territory of at least
50 square kilometers.

REQUISITES Population
FOR A population of at least 25,000

CREATION Income
An average annual income of at
least Php 2.5 million for the last
two (2) consecutive years
 CLASSIFICATION OF MUNICIPALITIES
(According to their average annual income during the last four fiscal years)
Presidential Decree No. 465

(a) First Class. Municipalities that have obtained an average

total revenue of one million five hundred thousand pesos or
more per annum;

(b) Second Class. Municipalities that have obtained an

average total revenue of one million pesos or more but less
than one million five hundred thousand pesos per annum;

(c) Third Class. Municipalities that have obtained an average

total revenue of five hundred thousand pesos or more but
less than one million pesos per annum;
 CLASSIFICATION OF MUNICIPALITIES
(According to their average annual income during the last four fiscal years)
Presidential Decree No. 465

(d) Fourth Class. Municipalities that have obtained an

average total revenue of three hundred thousand pesos or
more but less than five hundred thousand pesos per annum;

(e) Fifth Class. Municipalities that have obtained an average

total revenue of one hundred thousand pesos or more but less
than three hundred thousand pesos per annum; and

(f) Sixth Class. Municipalities that have obtained an average

total revenue of less than one hundred thousand pesos per
annum.
Officials
 Chapter II, Title II, Book III of Republic Act 7160 or
the Local Government Code of 1991
A Municipality shall have the following:

Municipal Mayor
Municipal Vice-Mayor
Members of the Sangguniang Bayan, alongside a
secretary to the said legislature.
 Municipal Mayor
Supervise all programs, projects, services, and activities of
the municipal government.
Enforce all laws and ordinances relative to the governance
of the municipality and the exercise of its corporate powers.
Initiate and maximize resource and revenue generation.
Ensure the delivery of basic services and the provision of
adequate facilities.
 Municipal Vice-Mayor
Preside over the Sangguniang Bayan (municipal council) and
sign warrants for expenditures appropriated for its operation
Appoint officials and employees of the Sangguniang Bayan,
with exceptions provided in the Local Government Code
Assume the municipal mayor’s office in the event of permanent
vacancy
Exercise the powers and perform the duties and functions of
the municipal mayor in cases of temporary vacancy
 Qualifications for
Municipal Mayor and Vice Mayor
Must be a citizen of the Philippines.
Registered Voter in the barangay, municipality, city, or
province.
A resident therein for at least one (1) year preceding the day of
the election.
Able to read and write Filipino or any other local language or
dialect.
Candidates for the position of mayor or mayor of independent
cities, municipalities must be at least twenty-one (21) years of
age on election day.
 Sangguniang Bayan (Municipal Council)
Approve ordinances and pass resolutions for an efficient and
effective municipal government
Generate and maximize resources and revenues for the
municipality’s development plans, program objectives, and priorities
Grant franchises, enact ordinances authorizing the issuance of
permits or licenses, enact ordinances levying taxes, fees, and
charges
Regulate activities related to the use of land, buildings, and
structures within the municipality
Approve ordinances ensuring the efficient and effective delivery of
basic services and facilities
 Composition of the Municipal Council
Presiding Officer
The municipal vice mayor is the ex officio (latin: from the office) presiding officer
of the Sangguniang Bayan, although he has no voting privilege except in cases to
break a deadlock. In the absence of the vice mayor, a temporary presiding officer
is elected by the Sangguniang Bayan members present at the session.

Regular Council Members

All municipalities in the Philippines, with the exception of Pateros in Metro Manila,
have eight regular members or councilors elected at-large. In the case of Pateros,
its Sangguniang Bayan is composed of twelve elected councilors. Pateros, the
smallest of the seventeen cities and municipalities comprising the Metropolitan
Manila.
President of the Municipal chapter of the Liga ng mga
Barangay
President of the Pambayang Pederasyon ng mga
Sangguniang Kabataan
3 sectoral representatives: 1 from among women, 1
from agricultural or industrial workers, and 1 from any
of the following: urban poor, indigenous peoples,
persons with disabilities
 These positions are also required for
all municipalities across the Philippines:
Treasurer - they are mandated to collect taxes, fees and other revenues and to take
custody and exercise proper management of LGU funds.

Assessor - they appraise all kinds of real properties at current values and conduct an
inspection trip to determine if all properties are assessed correctly.

Accountant - responsible for accounting and internal audit service of the LGU

Budget Officer - they are responsible for the effective management and utilization of
government resources.

Planning and Development Coordinator - they provide assistance to develop the

areas in terms of agricultural, infrastructure, fiscal management, and other socio-
economic programs of the municipality.
Engineer / Building Official - they advise the mayor for infrastructure concerns,
public works and other engineering matters. They also provide engineering
services to the municipality.

Health Officer - they are overall the responsible officer of the Rural health Unit.
They are the overall manager, supervisor, trainer, epidemiologist and medical and
legal officer of the unit.

Civil Registrar - responsible for the civil registrations, they receive the application
for the issuance of marriage, develop plans and strategies on civil registry, file and
preserve the books required by law, they also assist, receive, prepare and decide
all petitions for Correction of Clerical error of civil registry documents.

Municipal Disaster Risks Reduction and Management Officer - ensures effective

and efficient emergency response and disaster preparedness with active
participation of the community.
 LATRELL & JOASH

Organizational
Structure
The Role of an
Organization
To create an environment where people can live comfortably and
sustainably through the provision of essential services such as access to
education, healthcare, public safety, social protection, transportation,
sanitation, and environmental management. The elected officials are
responsible for making decisions that align with the local government
code and national laws, setting regulatory measures that ensure the
effective management of public resources, and generating revenue to
support public programs and services.
Budgeting
Legal Basis

Revised Budget Act 992 ( 1954 )

"It is hereby declared policy that the National
Budget shall be formulated as an instrument
of national development and that government
budgeting shall be oriented towards the
achievement of explicit objectives and
expected results to ensure that funds are
utilized and operations are conducted
effectively, economically ."
 Relevance of Budgeting
A. Efficiency and law strategy
B. Implementation of scheduled events
C. Financial transparency
D. Awareness or information for the many.
E. Framework for strengthening policy-based budgeting
 LOCAL GOVERNMENT CODE OF 1991 DEFINED A PROCEDURE
FOR MUNICIPALITIES IN PHILIPPINES:
Budget Estimates

For the budget preparation, LGU creates a budget plan

Review and To Approve

Publication

Public Consultation

Execution
 APPLICATION OF BUDGETING FOR MUNICIPALITY IN THE PHILIPPINES
ACCORDING TO THE LOCAL GOVERNMENT CODE OF 1991
R.A 7160
Note: this is only parts of the application of budget is applied

The application of budget for municipality includes also the taxes

are included under the Local Government Code of 1991
- it applies to all local governments from
Provinces,Cities,Municipalities, and Barangays.
 Application of Budget through intergovernmental relations
- SECTION 25. National Supervision over Local Government Units. -(a)
Consistent with the basic policy on local autonomy, the President shall
exercise general supervision over local government units to ensure that
their acts are within the scope of their prescribed powers and functions.
- (D.) National agencies and offices including government-owned or -
controlled corporations with field units or branches in a province,
city, or municipality shall furnish the local chief executive
concerned, for his information and guidance, monthly reports
including duly certified budgetary allocations and expenditures
The application of budget for municipality includes also the taxes are
included under the Local Government Code of 1991
- it applies to all local governments from
Provinces,Cities,Municipalities, and Barangays.
 Application of compensations from the budget for the employees
- SECTION 81. Compensation of Local Officials and Employees. – The
compensation of local officials and personnel shall be determined by the
sangguniang concerned That said increases shall not exceed the
limitations on budgetary allocations for personal services provided under
Title Five, Book II of this Code: Provided, finally, That such compensation
may be based upon the pertinent provisions of Republic Act Numbered
Sixty-seven fifty-eight (R.A. No 6758), otherwise known as the
“Compensation and Position Classification Act of 1989”.
APPLICATION OF BUDGET ACCORDING TO
THE BUDGET OPERATION MANUAL FOR
LOCAL GOVERNMENT UNIT OR THE LOCAL
BUDGET CIRCULAR NO. 112 S.2016
 Application of Budget under the Electronic Budget System
-The eBudget System automates the preparation
of the local budgets following the procedures
outlined in the BOM for LGUs, 2016 Edition. The
same shall be made available free of charge
to LGUs interested in automating their local
budget preparation process.
Steps on Budgetary Application/Execution
Step 1. Release of Allotments for the LGU on the basis of the Approved Appropriation Ordinance

Step 2. Prepare Summary of Financial and Physical Performance Targets and CashProgram

2.1 Prepare the Detailed Financial and Physical Performance Targets

2.2 Prepare the Summary of Financial and Physical Performance Targets

2.3 Prepare the Cash Program for the Budget Execution Year

2.4 Prepare the Local Cash Matrix

2.5 Revise and Adjust the Project Procurement Management Plan (PPMP)
and corresponding Annual Procurement Plan (APP)

2.6 Procure Goods/Civil Works (Least Cost and Most Responsive Criteria)/
Consulting Services (Highest Rated and Most Responsive Criteria)

Step 3. Obligate and Disburse Funds

Step 4. Adjust Cash Programs for Shortages and Overages
Step 5. Provide Corrective Actions for Negative Deviations
References
Abad, F. B. (n.d.). Budget  Operations Manual for Local Government Units. www.dbm.gov.ph. https://www.ombudsman.gov.ph/UNDP4/wp-
content/uploads/2012/12/Chap3_FAQ.pdf

Brief history. (2020, January 27). https://www.dbm.gov.ph/index.php/brief history#:~:text=Revised%20Budget%20Act%2

0of%201954,gave%20way%20to%20budgetary%20reforms.

Department of the Interior and Local Government. (n.d.). Seal of Good Local Governance. Retrieved from https://www.dilg.gov.ph/programs/seal-of-
good-local-governance-sglg-2/

Department of the Interior and Local Government. (n.d.). Local Government Capacity Development Program. Retrieved from https://dilg.gov.ph/lgcdp/

Department of the Interior and Local Government. (n.d.). Bottom-Up Budgeting Program. Retrieved from https://dilg.gov.ph/BuB-Program/

House of Representatives. (2017, September 16). House amends law on urbanized cities, provinces.House of Representatives.
https://congress.gov.ph/press/details.php?pressid=10251

Local Government Code of 1991. Republic Act No. 7160. Retrieved from https://www.officialgazette.gov.ph/1991/10/10/republic-act-no-7160-s-1991/

Municipalities of the Philippines. PhilAtlas. (n.d.). https://www.philatlas.com/municipalities.html

Presidential Communications Operations Office. (2020, April 17). COVID-19 task force sets up testing centers in LGUs. Retrieved from
https://pcoo.gov.ph/news_releases/covid-19-task-force-sets-up-testing-centers-in-lgus/

Philippine Statistics Authority. (2015). 2015 Updated List of Local Government Units (LGUs). Retrieved from
https://www.psa.gov.ph/sites/default/files/attachments/ird/specialrelease/Updated%20List%20of%20LGUs%20as%20of%20December%2031%2C%20
2015.pdf

Republic of the Philippines. (1991). Local Government Code of 1991. Retrieved from https://www.officialgazette.gov.ph/1991/10/10/republic-act-no-
7160-s-1991/

Supreme Court e-library information at your fingertips. RSS. (n.d.). https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/26/24747

THE LOCAL GOVERNMENT CODE OF THE PHILIPPINES BOOK I GENERAL PROVISIONS TITLE ONE. -BASIC PRINCIPLES. (n.d.).
https://www.officialgazette.gov.ph/downloads/1991/10oct/19911010-RA-7160-CCA.pdf