Capacity Development Program

for CSOs in Local Development Councils

MODULE 2:
LOCAL DEVELOPMENT

1
SESSION 1:
Development in the LGU Context
Session Objectives
At the end of the session, the participants will be able to:

1. Define decentralization, devolution, and deconcentration

2. Discuss key features of the Local Government Code (LGC)

3. Identify the roles of the LGU in delivering basic services

Differentiate:
 What is Decentralization?

“Decentralization is the transfer of authority and

responsibility of major government functions from central to
sub-national governments…”

  

Source: https://www.worldbank.org/en/topic/communitydrivendevelopment/brief/Decentralization
Forms of Decentralization

Deconcentration

– “refers to the re-distribution of administrative

responsibilities only within the central government agency”
Example: tax collection by the BIR branches and local treasury offices

Source: Tapales, P.D. (2015), The Nature and State of Local Government
 Forms of Decentralization

Devolution
– “…usually seen as a form of decentralization in which LGUs are
given primary responsibility for some functions over which the
central government often retains some supervisory powers .”
(Atienza, 2006)
Example: Health services
Source: https://www.researchgate.net/publication/326187505_Local_Governments_and_Devolution_in_the_Philippines
 Decentralization
Dispersal of authority from the center

Administrative
Political decentralization
decentralization
Devolution of powers to
Deconcentration of
LGUs
authority to regional units
Area approach
Sectoral approach

Source: Brillantes, Decentralization of the Philippines

Local Government Code (RA 7160)

• The LGC is an example of devolution because it confers

expanded powers to local governments, though the latter
remain under the general supervision of the President by
virtue of Art X Sec.4 of the Philippine Constitution.
• Seeks to promote transparency, accountability and
participation in local governance
Good Local Governance

• Devolution of powers, by itself, will not lead to local development

and improvement of people’s welfare.

• Local governments need to practice “good local governance” which

consists of transparency, accountability and participation

"Good governance is perhaps the single most important factor in eradicating poverty
and promoting development. "
- Kofi Annan, Former Secretary General of the United Nations
Transparency
•Transparency refers to sharing information and acting in an open
manner.

•Transparency is a key element of bureaucratic accountability that

entails, among other things, making available for public scrutiny all
public accounts and audit reports. Transparency protects against
government error, the misallocation of resources, and corruption.

https://pogar.org/governance/transparency-and-accountability.html
 
Accountability
• Accountability ensures that officials in public, private, and
voluntary sector organizations are answerable for their actions and
that there is redress when duties and commitments are not met.

UNDP (2014), Discussion Paper: Building Transparency, and

Anti-Corruption in the Post 2015 Development Framework
 Legal Basis of Citizen and CSO Participation
The 1987 Philippine Constitution
• ARTICLE II
Section 23. The State shall encourage non-governmental, community-based, or sectoral organizations
that promote the welfare of the nation. 
• ARTICLE XIII
Section 15. The State shall respect the role of independent people's organizations to enable the people
to pursue and protect, within the democratic framework, their legitimate and collective interests and
aspirations through peaceful and lawful means.
Section 16. The right of the people and their organizations to effective and reasonable participation at all
levels of social, political, and economic decision-making shall not be abridged.
The Implementing Rules and Regulations of Local Government Code of 1991
• RULE XIII
ARTICLE 62. LGUs shall promote the establishment and operation of people's organizations, NGOs, and
the private sector, to make them active partners in the pursuit of local autonomy.
Participation
• This means freedom of association and expression on the one hand
and an organized civil society on the other hand.

• Participation of both sexes is crucial to good governance. Participation

could be direct or through legitimate, intermediate institutions or
representatives.

https://www.unescap.org/sites/default/files/good-governance.pdf 
 The Hierarchy of Participation: Levels, Techniques and Examples
Empowering

Collaborating/
Partnering
Citizens make decisions
Dialogue-based communication
Level of public influence: full control
Consulting
Involve citizens in decision-making
Dialogue-based communication
Level of public influence: moderate
Informing
Provide information, obtain feedback
Two-way communication
Level of public influence: limited
Provide information
One-way communication
Source: https://wesolve.app/the-hierarchy-of-participation-levels-techniques-and-examples/
Level of public influence: no
Details of the
Local Government Code
(RA 7160)
 Basic service
delivery (Sec
17)
Power
Regulatory
powers
LGUs
Snapshot of the External (IRA,
Sec. 284)
Taxes/create
sources of revenue
Local Government Resources
(Sec 18)
Share in local
Code Internal resource utilization
(Sec 289-294)

Recall Secure grants (Sec

LGC
(Sec. 69-75) 23)

Initiative
Controls
(Sec. 120-127)

Mandatory
consultations
PEOPLE
(NGOs) Representation
in LSBs, LDC,
PBAC, others
Barangay
Participation assembly (Sec
397

Pagsanghan, 1992 Sectoral Ex: women,

representation workers
 Snapshot of the Recall
(Sec. 69-75)
Local Government
Code Controls
Initiative
(Sec. 120-127)

Mandatory
consultations
(Sec 2c, 26, 27)

Cooperative
PEOPLE
LGC Agreements (Sec
(NGOs) 35, 302)

Material
Assistance (Sec
36)

Representation
Participation in LSBs, LDC,
PBAC, others

Barangay
assembly (Sec
397
Sectoral
representation Ex: women,
(Sec 41, workers
441,457,467)
Pagsanghan, 1992
 Section 17: Functions Devolved to the LGUs
Administration of basic services and facilities
▪ Primary, secondary, and tertiary health services
▪ Agriculture extension and on-site research
▪ Community-based forestry projects
▪ Locally-funded infrastructure facilities
▪ Social welfare services
▪ Solid waste disposal
 Section 17: Other Services and Facilities
Managed by the LGU (Municipalities)
• Information services
• Municipal buildings, cultural centers, parks, playgrounds,
sports facilities, and other similar facilities
• Public markets, slaughterhouses and other municipal
enterprises
• Public cemetery
• Tourism facilities and other tourist attractions
• Sites for police and fire stations and substations and the
municipal jail
Regulatory Powers Devolved to the LGUs
(under the Local Government Code)

https://halalan.up.edu.ph/powers-and-devolved-services-of-local-government-units-lgus/
 Mandanas-Garcia Supreme Court Ruling
• On June 2019, the SC ruled that the IRA shares of LGUs should
come from all national taxes (Sec. 10 of Constitution) and not
just from taxes collected by BIR
• This will result to around 37% increase of total shares of LGUs
compared to pre-SC Mandanas ruling shares [FY 2021 IRA
computation]
• Ruling will take effect in FY 2022
• The substantial increase in the shares of LGUs will aid them in
the effective discharge of other duties and functions devolved
to them under Sec. 17 of RA 7160
 Executive Order No. 138
• EO 138 was issued on June 2021: Full Devolution of Certain
Functions of the Executive Branch to Local Governments,
Creation of a Committee on Devolution, and for other
purposes
• Salient features of EO 138:
1. Delineation of national government agencies and LGU
roles
2. Crafting of Devolution Transition Plans (DTPs) of national
government agencies and LGUs
3. Creation of Committee on Devolution (ComDev) that will
oversee and monitor DTP implementation
 Executive Order No. 138
• Salient features of EO 138:
4. Proposed creation of a Growth Equity Fund (GEF) to
address issues on marginalization, unequal development,
high poverty incidence, and disparities in the net fiscal
capacities of LGUs
5. Capacity building for LGUs
6. Strengthening of Planning, Investment Programming, and
Budgeting Linkage, and M&E Systems
7. Options for affected NGA personnel
Structured Learning Exercise (SLE)
Structured Learning Exercise (SLE)

Instruction:
• The facilitator will cite a major devolved function (under Sec17 of
the LGC)
• For each function, participants will be asked to identify the SDG
which the said function falls under
• Participants will be given a list of the SDGs (see sample on slide 23)
• Participants will also be given a handout of the Global Indicator
Framework for SDGs (which contains all 169 SDG targets).*

* https://unstats.un.org/sdgs/indicators/indicators-list/
 Question:
Identify which SDGs do the following devolved services fall under?
1. Agricultural Extension
 SLE Answer Key: Explanation
1. Agricultural Extension – SDG 2 primarily
2.3 By 2030, double the agricultural productivity and incomes of small-
scale food producers, in particular women, indigenous peoples, family
farmers, pastoralists and fishers, including through secure and equal
access to land, other productive resources and inputs, knowledge,
financial services, markets and opportunities for value addition and non-
farm employment
 Question:
Identify which SDGs do the following devolved services fall under?
2. Housing projects (for provinces and cities)
 SLE Answer Key: Explanation
2. Housing projects for provinces and cities – SDG 11 primarily
11.1 By 2030, ensure access for all to adequate, safe and affordable housing
and basic services and upgrade slums
 Question:
Identify which SDGs do the following devolved services fall under?
3. Social welfare services
 SLE Answer Key: Explanation
3. Social welfare services – SDG 1 primarily
1.4. By 2030, ensure that all men and women, in particular the poor and the
vulnerable, have equal rights to economic resources, as well as access to basic
services
Plenary Discussion on the SLE
SESSION 2:
LGU Executive and Legislative Powers
Session Objectives

At the end of the session, the participants will be able to

distinguish local executive powers and local legislative powers
LGC Section 15: Nature of the LGU

Political - a subdivision of the national government

Example of political function – implementation of national laws

Corporate – a private entity representing its inhabitants

Example of corporate function – acquire, develop, and dispose of real
properties
LOCAL EXECUTIVE POWERS
Section 16: General Welfare
• “Every local government unit shall exercise the powers….
which are essential to the promotion of the general welfare.”

Examples:
• promote health and safety
• enhance the right of the people to a balanced ecology
• improve public morals
• promote full employment among their residents
• maintain peace and order
Section 18: Generate and Apply Resources
Goal: Ensure the development of the LGU into self-reliant
communities and active participants in the attainment of
national goals.
Examples:
• Establish an organization that shall be responsible for the
efficient and effective implementation of their development
plans, program objectives and priorities
• Create their own sources of revenue
• Levy taxes, fees, and charges
Local Executive Powers
 Section 444: The Chief Executive (Municipal Mayor)
1. Exercises general supervision and control over all programs,
projects, services, and activities of the municipal
government
2. Enforces all laws and ordinances relative to the governance
of the municipality and the exercise of its corporate powers
3. Initiates and maximizes the generation of resources and
revenues
4. Ensures the delivery of basic services and the provision of
adequate facilities as provided under Section 17
Local Legislative Powers
Section 48: Local Legislative Power
Local legislative power shall be exercised by the:

✔ Sangguniang Panlalawigan for the province

✔ Sangguniang Panlungsod for the city
✔ Sangguniang bayan for the municipality
✔ Sangguniang Barangay for the barangay
 Section 446: Members of the Sanggunian (Municipal)
• Municipal Vice Mayor – Presiding Officer
• Regular members (elected councilors)
• President of the municipal chapter of the league of barangays
• President of the municipal federation of the Sangguniang Kabataan
• 3 sectoral representatives
• Women
• Agricultural or industrial worker
• Other sectors including urban poor, indigenous cultural
communities, or disabled person
 LGC Sec 447: Powers of the Sanggunian (Municipal)
• Approve ordinances & pass resolutions necessary for effective
and efficient government
• Generate and maximize the use of resources and revenues for
development plans, program objectives and priorities of the LGU
• Grant franchises, enact ordinances issuing permits or licenses,
levying taxes, fees and charges to promote the general welfare
• Regulate the use of land, buildings and structures within the LGU
• Approve ordinances to promote effective and efficient basic
service delivery
Role of Sanggunian in Planning & Development

“The unique role of the Sanggunian in local planning and

development is explicitly provided in its power to “prescribe
reasonable limits and restraints on the use of property” which
is the basis of local land use planning. Also, and perhaps more
importantly, only the sanggunian has the power to appropriate
public funds. No development programs, projects and activities
could be implemented through the local budget without
authorization from the sanggunian.”

Serote, Rationalizing the Local Planning System, 2008, p.3

Summary
Generally speaking, the LCE executes the laws and implements
the programs and projects of the LGU, while the Sanggunian
enacts the laws and authorizes the spending of money to
implement the programs and projects, all within the context of
the LGU powers as framed in the LGC and other pertinent
national laws.
End of Session