DECENTRALIZATION AND LOCAL GOVERNANCE

(ARTICLE 10 OF THE 1987 PHILIPPINE

CONSTITUTION AND 1991 LOCAL GOVERNMENT
CODE)
LOCAL GOVERNMENT DEFINED

 The term local government refers to a political subdivision of a nation or state

which is constituted by law and has substantial control of local affairs, with
officials elected or otherwise selected.
IMPORTANCE OF LOCAL GOVERNMENT

 Viable organs for the performance of local

functions
 Extension of the national government
 Easy access of people in the affairs of the state
 Status of local government
TERRITORIAL AND POLITICAL
SUBDIVISIONS OF THE PHILIPPINES
 Provinces
 Cities
 Municipalities
 Barangays
 Autonomous Regions for Muslim Mindanao and for the
Cordilleras
DUAL STATUS OF LOCAL GOVERNMENTS

 As Political Bodies Corporate – local government is considered a

chartered entity and contracted partnership of the state. They
possess dual character:
 -In their public or governmental aspect - they are agents of the
state and have delegated the power to impose and collect taxes,
preservation of peace and order and establishments of social
services such as schools.
 -In their private or corporate aspect – they are mere legal
entities similar to a business corporation performing functions
not strictly governmental.
CORPORATE POWERS OF LOCAL
GOVERNMENT
 Local Government Units Shall Have The Following Powers:
 1) To have continuous succession in its corporate name
 2) To sue and be sued
 3) To have and use corporate seal
 4) To acquire and convey real or personal property
 5) To enter into contracts
 Under statutory provisions of their creation, local governments are
allowed to exercise certain basic powers i.e. police power, power of
eminent domain, and taxing power.
THE LOCAL GOVERNMENT CODE OF 1991:
SALIENT POINTS
 Four Major Parts of the Local Government Code of 1991
 1. Book I – General Provision
 2. Book II – Local Taxation and Fiscal Matters
 3. Book III – Local Government Units
 4. Book IV – Miscellaneous and Final Provisions

 Effectivity: January 1, 1992

SCOPE OF APPLICATION OF LOCAL
GOVERNMENT CODE
 Applicable to:
 1. All provinces
 2. Cities
 3. Municipalities
 4. Barangays
 5. And other political subdivisions as may be created by law, and
 6. to the extent provided in the Local Government Code (i.e., devolution of powers)
 a. officials
 b. offices
 c. agencies of the National Government
AIM OF THE LGC OF 1991

 The code is meant to transform LGU’s into

self-reliant communities and active partners
in nation-building by giving them more
powers, authority, responsibilities and
resources.
DECLARATION OF STATE POLICY OVER LGU’S

 1. Guarantee genuine and meaningful local autonomy to local government units or political and
territorial subdivisions;
 Local Autonomy- is ‘self-governing’. It is the granting of more powers, authority, responsibilities and
resources to the lower or local levels of a government system. The principle of local autonomy under
the 1987 Constitution simply means decentralization. It does not make the local government
sovereign within the state or an “imperium in imperio”.
 Under the Philippine concept of local autonomy, the national government has not completely
relinquished all its powers over local governments, including autonomous regions. Only
administrative powers over local officers are delegated to political subdivisions. The purpose of
delegation is to make governance more directly responsive and effective at the local levels. Policy-
setting for the entire country still lies in the President and Congress. Municipal governments are still
agents of the national government.
 The state is mandated to ensure local autonomy of local governments, and local governments are
empowered by levy taxes, fees and charges that accrue exclusively to them, subject to congressional
guidelines and limitations.
DECLARATION OF STATE POLICY OVER LGU’S

 2. Ensure accountability of LGU’s through institution of effective mechanisms of

recall, initiative and referendum; and
DECLARATION OF STATE POLICY OVER LGU’S

  3. Require all national agencies and offices to conduct periodic consultation with
appropriate LGU’s, NGO’s and People’s Organizations and other concerned sectors of
community before any project or program is implemented in their respective
jurisdiction.
 Application of Policy. Under the Local Government Code, two requisites must be met
before a national project that affects the environmental and ecological balance of
local communities can be implemented: (1) prior consultation with the affected local
communities and (2) prior approval of the project by the appropriate sanggunian.
Absent either of these mandatory requirements, the project implementation is
illegal.
 When the policy does not apply. The requirement of prior consultation applies only to
national projects and/or programs which are to be implemented in a particular local
community.
 
DECENTRALIZATION HAS THREE FORMS:

 a. Devolution- is the transfer of power and authority

from the national government to LGU’s as the territorial
and political subdivisions of the State. The nature of
power transfer is political and approach is territorial or
areal. Under the Code, the term devolution refers to the
act by which the national government confers powers
and authority upon the various local government units
to perform specific functions and responsibilities.
 
DECENTRALIZATION HAS THREE FORMS:

 b. Deconcentration- is the transfer of power,

authority or responsibility, or the discretion
to plan, decide, manage from central point
or local levels, but within the central or
national government itself. The nature of
transfer is administrative and the approach is
sectoral.
 
DECENTRALIZATION HAS THREE FORMS:

 c. Debureaucratization- is the transfer for

some public functions and responsibilities,
which the government may perform, to
private entities or non-governmental
organizations; it is people’s empowerment
or participation in local governance.
 Decentralization of Administration (Administrative
Decentralization)- the central government delegates
administrative powers to political subdivisions in order to
broaden the base of government power.
 Decentralization of Power (Political Decentralization)- involves
abdication of political power in favor of LGU’s declared
autonomous.
AMONG THE REGULATORY POWERS OF NATIONAL
GOVERNMENT AGENCIES (NGA’S) TRANSFERRED OR
DEVOLVED TO THE LGU’S INCLUDE THE FOLLOWING:

 1. the reclassification of agricultural lands- DAR to cities and municipalities

 2. enforcement of environmental laws- DENR to all LGU’s
 3. inspection of food products and quarantine- DOH to cities and municipalities
 4. the enforcement of the National Building Code- DPWH to cities and
municipalities
 5. the processing and approval of subdivision plans- HLURB to cities and
municipalities
 6. the operation of tricycles- LTFRB to cities and municipalities
 7. the establishment of cockpits and holding of cockfights- Philippine Gamefowl
Commission to cities and municipalities
AMONG THE BASIC SERVICES AND FACILITIES
DEVOLVED TO LGU’S INCLUDE:

 1. Agricultural extension and on-site research of the Department of Agriculture

 2. Community-based forestry project of the DENR
 3. Field health and hospital services and other tertiary health services of the DOH
 4. Public works and infrastructure projects funded out of local funds of DPWH
 5. The school building program of DECS
 6. Social welfare services of the DSWD
 7. Tourism facilities and tourism promotion and development of the DOT
 8. Telecommunication services for provinces and cities of the DOTC
 9. Housing projects for provinces and cities, and
 10. Other services such as investment support.
HOW LOCAL AUTONOMY ENHANCES
GOVERNMENTAL AND CORPORATE POWERS OF
LGU’S

 Every local government unit shall have:

 1. Full autonomy in their exercise of propriety rights and
management of economic principles.
 2. Full authority to secure domestic or foreign grants without
the approval of the NGA’s concerned, unless these are projects
with national security implications, and
 3. Financial undertakings for LGU’s for mutual advantage thru
loans and assistance to calamity-stricken LGU.
NATIONAL GOVERNMENT AND LOCAL
GOVERNMENT UNITS
 While the Constitution guarantees autonomy to local
government units, the exercise of local autonomy remains
subject to the power of control by Congress and the power of
supervision by the President. Thus Section 4, Article X of the
Constitution provides that the President shall exercise general
supervision over local governments.
 
 Section 25 of the Code also provides that the President shall
exercise general supervision over local government units.
 The president can only interfere in the affairs and activities of a local government
unit if he or she finds that the latter has acted contrary to law. This is the scope of
the president’s supervisory powers over local government units. (Supervision
means overseeing or the power or authority of an officer to see that subordinate
officers perform their duties) Hence, the president or any of his or her alter egos
cannot interfere in local affairs as long as the concerned local government unit
acts within the parameters of the law and the Constitution. Any directive
therefore by the president or any of his or her alter egos seeking to alter the
wisdom of a law-conforming judgment on local affairs of a local government unit
is a patent nullity because it violates the principle of local autonomy and
separation of powers of the executive and legislative departments in governing
municipal corporations.
GENERAL RESPONSIBILITIES OF THE
NATIONAL GOVERNMENT TOWARDS LGU’S
 a. Formulate policies and set standard and guidelines
 b. Provide funding support
 c. Augment basic services assigned to LGU’s
 d. Provide technical and other forms of assistance and
coordinate on the discharge of NGA functions.
 e. Ensure the participation of LGUs in planning and
implementing national projects, and
 f. Conduct mandatory consultations with LGU’s.
INTER-LOCAL GOVERNMENT RELATION

 a. The province, through the governor, shall

ensure that every component city and
municipality acts within its powers. (Sec. 29, LGC)
 b. The city or municipality, through the mayor,
shall ensure that barangays act within the scope
of their powers. (Sec. 32, LGC)
INTER-LOCAL GOVERNMENT RELATION

 c. The governor shall review all executive orders promulgated by the mayor. The
mayor shall review all executive orders promulgated by punong barangay. (Sec. 30,
LGC)
 As part of its delegated power of general supervision, the Sangguniang
Panlalawigan of a province exercises the quasi-judicial function (administrative
disciplinary authority) of hearing and deciding administrative cases involving
elective municipal and component city officials under their jurisdiction.
 In turn, the Sanguniang Panglungsod and Sangguniang Bayan exercise disciplinary
authority over elective barangay officials within their jurisdiction. The governor,
upon the recommendation of the SP and the City/Municipal Mayor, upon the
recommendation of the SB, may impose preventive suspension upon local elective
officials falling under their delegated administrative jurisdiction.
INTER-LOCAL GOVERNMENT RELATION

 d. Review component city and municipal ordinances by the

Sangguniang Panlalawigan (Sec. 56, LGC).
 e. Review barangay ordinances by the Sangguniang Panlungsod
or Sangguniang Bayan (Sec. 57, LGC).
 f. Under RA 6734, executive power in the ARMM is vested in the
Regional Governor, who has control of all the regional executive
commissions, board, bureaus and offices, and exercises general
supervision over the local government units within the
Autonomous Region.
ROLE OF BARANGAYS

 As a basic political unit, the barangay serves as the primary planning and
implementing unit of government policies, plans, programs, projects and
activities in the community, and as a forum wherein the collective views of the
people may be expressed, crystallized and considered and where disputes may be
amicably settled. (Sec 384, LGC)
 This is created, divided, merged, abolished or its boundary substantially altered by
law or an ordinance of the Sangguniang Panlalawigan or Sangguniang
Panlungsod. Where a barangay is created by an ordinance of the Sangguniang
Panlalawigan, the recommendation of the Sangguninag Bayan concerned shall be
necessary. ARRM is now empowered to create barangays within its territorial
jurisdiction under RA 9054.
ROLE OF MUNICIPALITIES

 The municipality consisting of a group of barangays, serves primarily as a

general purpose government for the coordination and delivery of basic,
regular and direct services and effective governance of the inhabitants
within its territorial jurisdiction (Sec. 440, LGC).
 This is created, divided, merged, abolished or its boundary substantially
altered only by an act of the Congress, subject to criteria established in the
Code Sec 441. ARRM is now conferred with the power to create
municipalities within its territorial jurisdiction under RA 9054.
 Note: The president has no power to create local government units.
ROLE OF CITIES

 The city, consisting of a group of barangays, serves primarily as

a general purpose government for the coordination and delivery
of basic, regular and direct services and effective governance of
the inhabitants within its territorial jurisdiction (Sec. 448, LGC).
 This is created, divided, merged, abolished or its boundary
substantially altered only by an act of the Congress, subject to
criteria established in the Code Sec 449. ARRM under RA 9054 to
create cities within its territorial jurisdiction has been declared
unconstitutional by the Supreme Court.
ROLE OF PROVINCES

 The province composed of cluster of municipalities, or

municipalities and component cities, and as a political and
corporate unit of government, serves as a dynamic mechanism
for development processes and effective governance of local
government units within its territorial jurisdiction (Sec. 459,
LGC).
 This is created, divided, merged, abolished or its boundary
substantially altered only by an act of the Congress, subject to
criteria set forth by the LGC. ARRM under RA 9054 to create
provinces within its territorial jurisdiction has also been declared
unconstitutional by the Supreme Court.
 SUBSTANTIVE REQUIREMENTS IN THE
CREATION OF LGU’S
LGU Created Income Population Land Area
Barangay No minimum 2, 000 but 5, 000 for No minimum
requirement Metro Manila and requirement
highly urbanized
cities
Municipality PhP 2.5 M and 25, 000 and 50 sq. kms.
Component city PhP 100 M and 150, 000 or 100 sq. kms.
(locally generated)

Highly Urbanized PhP 50 M and 200,000 No minimum

City requirement
Province PhP 20 M and 250, 000 or 2, 000 sq. kms.
AUTONOMOUS REGIONS

 ARMM or Autonomous Region in Muslim Mindanao was

created as a result of a long clamor of the Muslims to be
granted autonomy in running their so called ancestral
domain and have control and allocation of natural
resources. Muslim Mindanao does not mean that all
provinces of Mindanao exercise autonomy or part of the
ARMM, only those provinces that voted to be
autonomous were members of the ARMM.
PROVINCES THAT ARE PART OF ARMM

 1. Maguindanao
 2. Lanao Del Sur
 3. Tawi-Tawi
 4. Sulo
 5. Basilan
 6. Marawi City
 Another act that would have created the Cordillera Autonomous Region was
rejected by the Cordillera voters, only the province of Ifugao had voted for the
autonomous region. The Cordillera Region is composed of Benguet, Mountain
Province, Baguio City, Ifugao, Kalinga, Apayao and Abra.
POWERS OF THE LGU

 The general welfare clause is the statutory grant of police power to local
government units. It has two branches:
 The general legislative power- authorizes the municipal council to enact
ordinances and make regulations not repugnant to law, as may be necessary to
carry into effect and discharge the powers and duties conferred upon by the
municipality to enact ordinances.
 The police power proper- authorizes the municipality to enact ordinances as may
be necessary and proper for the health and safety, prosperity and morals, peace,
good, order and convenience of the municipality and its inhabitants, and for the
protection of their property.
 Power to tax
LOCAL LEGISLATIVE POWER

 Local Legislative power shall be exercised by:

 1. Sangguniang Panlalawigan for the province
 2. Sangguniang Panlungsod for the city
 3. Sangguniang Bayan for the municipality
 4. Sangguniang Barangay for the barangay
LOCAL LEGISLATIVE POWER

 Two categories of power:

 Legislative power- the power to propose, enact, amend
and repeal ordinances
 Quasi-judicial power- except sangguniang barangay, the
power to
 Settle boundary disputes
 The power to investigate and impose disciplinary actions to
the elective officials upon the next lower level of the local
government units.
LOCAL LEGISLATIVE POWER

 Products of Legislative action

 Ordinance- the legislative acts of the sanggunian in the
exercise of its law-making authority are denominated
ordinances. They prescribe a permanent rule of conduct,
with force and effect of laws and requires approval by the
local chief executive.
 Resolution- an expression of sentiments of the members of
the sanggunian: they are temporary character and does not
have the force and effect of a law.