1 BILL NO.

____
2
3 Republic of the Philippines
4 BANGSAMORO PARLIAMENT
5 Bangsamoro Autonomous Region in Muslim Mindanao
6 Bangsamoro Government Center, Cotabato City
7
8
9 BANGSAMORO TRANSITION AUTHORITY
10 ( _________ REGULAR SESSION )
11
12 BANGSAMORO AUTONOMY ACT NO. _____
13
14 Begun and held in Cotabato City, on ______, the _______ day of ________, 2019
15
16
17 AN ACT PROVIDING FOR THE
18 BANGSAMORO LOCAL GOVERNANCE CODE
19
20
21 BOOK I
22 GENERAL PROVISIONS
23 TITLE I
24 BASIC PRINCIPLES
25
26 CHAPTER I
27 The Code, Policy and Application
28
29 SECTION 1. Title. - This Act shall be known and cited as the “Bangsamoro Local
30 Governance Code of 2020” 1
31
32 SECTION 2. Declaration of Policy. - (a) It is hereby declared the policy of the
33 Bangsamoro Autonomous Region in Muslim Mindanao that its territorial and political
34 subdivisions shall enjoy genuine and meaningful local autonomy to enable them to attain
35 full development as self-reliant communities and become effective partners in the
36 attainment of holistic Bangsamoro development. Toward this end, the Bangsamoro
37 Government, pursuant to the principles of moral governance, shall provide for a more
38 responsive and accountable local government structure instituted through a system of
39 decentralization whereby constituent local government units shall be given more powers,
40 authority, responsibilities, and resources in a gradual and systematic approach. The process
41 of decentralization shall proceed from the Bangsamoro regional government to its
42 constituent local government units.

1
It was named in Sec. 4, Article XVI of R.A. 11054 as the “Bangsamoro Local Government Code.” However,
“Government” is replaced with “Governance” since the latter is broad, more inclusive, and entails
accommodation and cooperation.
43
44 (b) It is also the policy of the Bangsamoro Government to ensure the accountability
45 of local government units through the institution of effective mechanisms of
46 recall, initiative referendum, and administrative supervision.
47
48 (c) It is likewise a policy of the Bangsamoro Autonomous Region that regional
49 agencies and offices conduct mandatory public consultations with the
50 constituent local government units, non-governmental and people's
51 organizations, and other concerned sectors of the community, before any
52 project or program is approved for implementation by the concerned regional
53 agencies, offices, or government-owned or -controlled corporations in their
54 respective jurisdictions.
55
56 (d) Finally, the mandatory public consultations required for the implementation of
57 all programs and projects funded by the National Government in the
58 constituent local government units of the BARMM shall be governed by
59 policies that may be enacted by the Bangsamoro Government, subject to
60 agreement by the National and the Bangsamoro Government through the
61 Intergovernmental Relations Body, in accordance with Republic Act No.
62 11054, otherwise known as the Organic Law for the Bangsamoro Autonomous
63 Region in Muslim Mindanao.2
64
65 SECTION 3. Operative Principles of Decentralization. - The formulation and
66 implementation of policies and measures on local autonomy shall be guided by the
67 following operative principles:
68
69 (a) There shall be an effective and systematic allocation among the different
70 constituent local government units of their respective powers, functions,
71 responsibilities, and resources;
72
73 (b) There shall be established in every constituent local government unit an
74 accountable, efficient, and dynamic organizational structure and operating
75 mechanism that will meet the priority needs and service requirements of
76 its communities;
77
78 (c) Local officials and employees whose salaries are fully charged against the
79 local funds shall, unless otherwise provided under this Code, be appointed
80 by the Governor, Mayor, or Punong Barangay, or the Vice Governor or
81 Vice Mayor, as the case may be, according to merit and fitness, and may
82 only be removed for cause, subject to the civil service law, rules, and
83 regulations in the Bangsamoro Civil Service Code that may be enacted by
84 the Parliament.

2
Sec. 2, Article VI of R.A. 11054 on Intergovernmental Relations requires that the implementation of projects
and programs funded by the National Government shall be subject to agreement between the National
Government and the Bangsamoro Government.

54
 85
86 (d) The vesting of duty, responsibility, and accountability in constituent local
87 government units shall be accompanied with provision for reasonably
88 adequate resources to discharge their powers and effectively carry out their
89 functions; hence, they shall have the power to create and broaden their own
90 sources of revenue and the right to a just share in the national taxes,
91 through the system of Internal Revenue Allotment and regional taxes; and
92 an equitable share in the proceeds of the utilization and development of
93 the national and regional wealth within their respective areas;
94
95 (e) Provinces with respect to component cities and municipalities, and cities
96 and municipalities with respect to component barangays, shall ensure that
97 the acts of their component units are within the scope of their prescribed
98 powers and functions. Correspondingly, the Ministry of the Interior and
99 Local Government shall ensure faithful compliance by the constituent
100 local government units with their obligations through the proper use of
101 their prescribed powers and accomplishment of their functions.
102
103 (f) Constituent local government units, regional agencies, and other
104 organizations may group themselves, consolidate or coordinate their
105 efforts, services, and resources for purposes of promoting the general
106 welfare and the common good;
107
108 (g) The capabilities of constituent local government units in the Autonomous
109 Region, especially the municipalities and barangays, shall be strengthened
110 by providing them with opportunities to participate actively in the planning
111 and implementation of regional policies, programs and projects;
112
113 (h) There shall be a continuing mechanism to enhance local autonomy not
114 only by legislative enabling acts but also by administrative and
115 organizational reforms;
116
117 (i) Constituent local government units shall share with the Bangsamoro
118 Government the responsibility in the management and maintenance of
119 ecological balance within their territorial jurisdiction, subject to the
120 provisions of this Code and national and regional policies;
121
122 (j) Effective mechanisms for ensuring the accountability of constituent local
123 government units to their respective constituents shall be strengthened in
124 order to upgrade continually the quality of local leadership;
125
126 (k) The realization of local autonomy shall be facilitated through improved
127 coordination of regional government policies and programs and extension
128 of adequate financial, technical, and material assistance to less developed
129 and deserving constituent local government units;

55
130
131 (l) The participation of the private sector in local governance, particularly in
132 the delivery of basic services, shall be strengthened to ensure the viability
133 of local autonomy as a primary regional strategy for sustainable
134 Bangsamoro development; and
135
136 (m) The Bangsamoro Government shall ensure that gradual decentralization
137 contributes to the continuing improvement of the performance of
138 constituent local government units and the quality of life of the
139 Bangsamoro people.
140
141 SECTION 4. Scope of Application. - This Code shall apply to all constituent
142 provinces, cities, municipalities, barangays, and other political subdivisions as may be
143 created by law, and, to the extent herein provided, officials, offices, or agencies of the
144 Bangsamoro Government.
145
146 SECTION 5. Rules of Interpretation. - In the interpretation of the provisions of
147 this Code, the following rules shall apply:
148
149 (a) Any provision on a power of a constituent local government unit shall be
150 liberally interpreted in its favor, and in case of doubt, any question thereon
151 shall be resolved in favor of devolution of powers and of the lower local
152 government unit. Any fair and reasonable doubt as to the existence of the
153 power shall be interpreted in favor of the constituent local government unit
154 concerned;
155
156 (b) In case of doubt, any tax ordinance or revenue measure shall be construed
157 strictly against the local government unit enacting it, and liberally in favor
158 of the taxpayer. Any tax exemption, incentive or relief granted by any local
159 government unit pursuant to the provisions of this Code shall be construed
160 strictly against the person claiming it.
161
162 (c) The general welfare provisions in this Code shall be liberally interpreted
163 to give more powers to constituent local government units in accelerating
164 economic development and upgrading the quality of life for the people in
165 the community.
166
167 (d) In the resolution of controversies arising under this Code where no legal
168 provision or jurisprudence applies, resort may be had to the customs and
169 traditions in the place where the controversies take place.
170
171 CHAPTER II
172 General Powers and Attributes of Local Government Units
173
174 SECTION 6. Authority to Create Local Government Units. – A municipality or

56
175 a barangay may be created, divided, merged, abolished, or its boundaries substantially
176 altered by law to be enacted by the Parliament. The municipalities or barangays created,
177 divided, merged, or whose boundaries are substantially altered, shall be entitled to their
178 appropriate Internal Revenue Allotment: Provided, That the criteria laid down in this code
179 shall be satisfied. Provided further, that it shall be approved by a majority of the votes cast
180 in a plebiscite in the political units directly affected.
181
182 The authority to create, divide, merge, abolish, or substantially alter the boundaries of a
183 provide, or a city shall remain in Congress, through the Philippine Congress – Bangsamoro
184 Parliament Forum.
185
186 SECTION 7. Creation and Conversion. - As a general rule, the creation of a local
187 government unit or its conversion from one level to another level shall be based on
188 verifiable indicators of viability and projected capacity to provide services, to wit:
189
190 (a) Income. - It must be sufficient, based on acceptable standards, to provide
191 for all essential government facilities and services and special functions
192 commensurate with the size of its population, as expected of the local
193 government unit concerned;
194
195 (b) Population. - It shall be determined as the total number of inhabitants
196 within the territorial jurisdiction of the local government unit concerned;
197 and
198
199 (c) (c) Land Area. - It must be contiguous, unless it comprisesf two or more
200 islands or is separated by a local government unit independent of the
201 others; properly identified by metes and bounds with technical
202 descriptions; and sufficient to provide for such basic services and facilities
203 to meet the requirements of its populace. Compliance with the foregoing
204 indicators shall be attested to by the Ministry of Finance, and Budget and
205 Management, the Philippine Statistics Authority, and the Lands
206 Management Bureau of the Ministry of Environment, Natural Resources
207 and Energy.
208
209 SECTION 8. Division and Merger. - Division and merger of existing local
210 government units shall comply with the same requirements herein prescribed for their
211 creation: Provided however, That such division shall not reduce the income, population, or
212 land area of the local government unit or units concerned to less than the minimum
213 requirements prescribed in this Code: Provided, further, That the income classification of
214 the original local government unit or units shall not fall below its current income
215 classification prior to such division.
216
217 SECTION 9. Abolition of Local Government Units. - A constituent local
218 government unit may be abolished when its income, population, or land area has been
219 irreversibly reduced to less than the minimum standards prescribed for its creation under

57
220 Book III of this Code, as certified by the regional agencies mentioned in Section 7 hereof
221 to Parliament.
222
223 The law abolishing a constituent local government unit shall specify the province,
224 city, municipality, or Barangay with which the local government unit sought to be
225 abolished will be incorporated or merged.
226
227 SECTION 10. Plebiscite Requirement. - No creation, division, merger, abolition,
228 or substantial alteration of boundaries of local government units shall take effect unless
229 approved by a majority of the votes cast in a plebiscite called for the purpose in the political
230 unit or units directly affected. Said plebiscite shall be conducted by the Commission on
231 Elections (Comelec) within one hundred twenty (120) days from the date of effectivity of
232 the law effecting such action, unless said law fixes another date.
233
234 SECTION 11. Selection and Transfer of Constituent Local Government Site,
235 Offices and Facilities. – (a) The law or ordinance creating or merging local government
236 units shall specify the seat of government from where governmental and corporate services
237 shall be delivered. In selecting said site, factors relating to historical significance,
238 geographical centrality, accessibility, availability of transportation and communication
239 facilities, drainage and sanitation, development and economic progress, and other relevant
240 considerations shall be considered.
241
242 (b) When conditions and developments in the local government unit concerned
243 have significantly changed subsequent to the establishment of the seat of government, its
244 Sanggunian may, after public hearing and by a two-thirds (2/3) vote of all its members,
245 transfer the same to a site better suited to its needs. Provided that no such transfer shall be
246 made outside the territorial jurisdiction of the concerned local government unit, more than
247 once every twenty (20) years, and without prior authorization from the Office of the Chief
248 Minister, through the Ministry of the Interior and Local Government.
249
250 The old site, together with the improvements thereon, may be disposed of by sale
251 or lease or converted to such other use as the Sanggunian concerned may deem beneficial
252 to the local government unit concerned and its inhabitants.
253
254 (c) Local government offices and facilities shall not be transferred, relocated, or
255 converted to other uses unless public hearings are first conducted for the purpose and the
256 concurrence of the majority of all the members of the Sanggunian concerned is obtained.
257
258 SECTION 12. Government Centers. - Provinces, cities, and municipalities shall
259 endeavor to establish a government center where offices, agencies, or branches of the
260 national and regional government, local government units, or government-owned or -
261 controlled corporations may, as far as practicable, be located. In designating such a center,
262 the local government unit concerned shall consider the existing facilities of national,
263 regional and local agencies and offices which may serve as the government center as
264 contemplated under this Section. The national and regional government, local government

58
265 unit or government-owned or -controlled corporation concerned shall bear the expenses for
266 the construction of its buildings and facilities in the government center.
267 SECTION 13. Naming of Local Government Units and Public Places, Streets
268 and Structures, and Declaring Local Public Holidays. – (a) The Sangguniang
269 Panlalawigan may, in consultation with the Bangsamoro Commission for the Preservation
270 of Cultural Heritage, change the name of the following within its territorial jurisdiction:
271
272 (1) Component cities and municipalities, upon the recommendation of
273 the Sanggunian concerned;
274
275 (2) Provincial roads, avenues, boulevards, thorough-fares, and bridges
276
277 (3) Public vocational or technical schools and other post- secondary
278 and tertiary schools;
279
280 (4) Provincial hospitals, health centers, and other health facilities; and
281
282 (5) Any other public place or building owned by the provincial
283 government.
284
285 (b) The Sanggunian of highly urbanized cities and of component cities whose
286 charters prohibit their voters from voting for provincial elective officials,
287 hereinafter referred to in this Code as independent component cities, may,
288 in consultation with the Bangsamoro Commission for the Preservation of
289 Cultural Heritage, change the name of the following within its territorial
290 jurisdiction:
291
292 (1) City Barangays, upon the recommendation of the Sangguniang
293 Barangay concerned;
294
295 (2) City roads, avenues, boulevards, thorough fares, and bridges;
296
297 (3) Public elementary, secondary and vocational or technical schools,
298 community colleges and non-chartered colleges;
299
300 (4) City hospitals, health centers and other health facilities; and
301
302 (5) Any other public place or building owned by the city government.
303
304 (c) The Sanggunian of component cities and municipalities may, in
305 consultation with the Bangsamoro Commission for the Preservation of
306 Cultural Heritage, change the name of the following within its territorial
307 jurisdiction:
308
309 (6) barangays, upon recommendation of the Sangguniang Barangay

59
310 concerned;
311
312 (7) city, municipal and Barangay roads, avenues, boulevards, thorough
313 fares, and bridges;
314
315 (8) city and municipal public elementary, secondary and vocational or
316 technical schools, post-secondary and other tertiary schools;
317
318 (9) hospitals, health centers and other health facilities, and any other
319 public place or building owned by the municipal government.
320
321 (d) None of the foregoing local government units, institutions, places, or
322 buildings shall be named after a living person, nor may a change of name
323 be made unless for a justifiable reason and, in any case, not oftener than
324 once every ten (10) years. The name of a local government unit or a public
325 place, street or structure with historical, cultural, or ethnic significance
326 shall not be changed, unless by a unanimous vote of the Sanggunian
327 concerned and in consultation with the NHP.
328
329 (e) A change of name of a public school shall be made only upon the
330 recommendation of the local school board concerned.
331
332 (f) A change of name of public hospitals, health centers, and other health
333 facilities shall be made only upon the recommendation of the local health
334 board concerned.
335
336 (g) The change of name of any local government unit shall be effective only
337 upon ratification in a plebiscite conducted for the purpose in the political
338 unit directly affected. In any change of name, the Office of the Chief
339 Minister, the representative of the legislative district concerned, and the
340 Philippine Postal Corporation shall be notified.
341
342 (h) The Sangguniang Panlalawigan, Panlungsod or Bayan, upon consultation
343 with the Bangsamoro Commission for the Preservation of Cultural
344 Heritage and Local Historical Associations, if any, and the Ministry of
345 Labor and Employment, through an ordinance duly approved by 2/3 vote
346 of all their respective members, may declare the Founding Anniversary of
347 their locality as working or non-working public holidays.3
348
349 SECTION 14. Beginning of Corporate Existence. - When a new local
350 government unit is created, its corporate existence shall commence upon the election and

3
For efficiency purposes, and in effect, empowering the local officials, thereby strengthening the local
autonomy of the constituent local government units.

60
351 qualification of its chief executive and a majority of the members of its Sanggunian, unless
352 otherwise provided by the law creating it.
353
354 SECTION 15. Political and Corporate Nature of Local Government Units. -
355 Every local government unit created or recognized under this Code is a body politic and
356 corporate endowed with powers to be exercised by it in conformity with law. As such, it
357 shall exercise powers as a political subdivision of the regional government and as a
358 corporate entity representing the inhabitants of its territory.
359
360 SECTION 16. General Welfare. - Every local government unit shall exercise the
361 powers expressly granted, those necessarily implied therefrom, as well as powers
362 necessary, appropriate, or incidental for its efficient and effective governance, and those
363 which are essential to the promotion of the general welfare. Within their respective
364 territorial jurisdictions, local government units shall ensure and support, among other
365 things, the preservation and enrichment of culture, promote health and safety, enhance the
366 right of the people to a balanced ecology, encourage and support the development of
367 appropriate and self-reliant scientific and technological capabilities, improve public
368 morals, enhance economic prosperity and social justice, promote full employment among
369 their residents, maintain peace and order, and preserve the comfort and convenience of
370 their inhabitants.
371
372 SECTION 17. Basic Services and Facilities. – (a) Local government units shall
373 endeavor to be self-reliant and shall continue to exercise the powers and discharge the
374 duties and functions currently vested upon them. They shall also discharge the powers,
375 functions and responsibilities of regional agencies and offices devolved to them pursuant
376 to this Code. Constituent local government units shall likewise exercise such other powers
377 and discharge such other functions and responsibilities as are necessary, appropriate, or
378 incidental to efficient and effective local governance.
379
380 (b) Such basic services and facilities include, but are not limited to, the following:
381
382 (1) For a Barangay:
383
384 (i) Agricultural support services such as planting materials
385 distribution system and operation of farm produce
386 collection and buying stations, and maintenance of
387 “Gulayan sa Barangay” at the barangay centers;
388
389 (ii) Health and social welfare services such as maintenance of
390 Barangay health center and day-care center;
391
392 (iii) Educational promotion and information drive on general
393 hygiene and sanitation and beautification;
394
395 (iv) Segregation and collection of biodegradable, compostable

61
396 and reusable wastes;
397
398 (v) Administration, operation, and maintenance of
399 Katarungang Pambarangay;
400
401 (vi) Organization of community disaster response volunteers;
402
403 (vii) Operation and maintenance of Barangay roads and bridges
404 and water supply systems;
405
406 (viii) Operation and maintenance of barangay multi- purpose
407 hall, multipurpose pavement, plaza, sports center, and other
408 barangay facilities;
409
410 (ix) Establishment and operation of information and reading
411 area within the barangay government center; and
412
413 (x) Satellite or public market, where viable; 4
414
415 (2) For a municipality:
416
417 (i) Extension and on-site research services and facilities
418 related to agriculture and fishery activities such as dispersal
419 of livestock and poultry, fingerlings, and other seeding
420 materials for aquaculture; palay, corn, and vegetable seed
421 farms; medicinal plant gardens; fruit tree, coconut, and
422 other kinds of seedling nurseries; demonstration farms;
423 quality control of copra and improvement and development
424 of local distribution channels, preferably through
425 cooperatives; inter-barangay irrigation system; water and
426 soil resource utilization and conservation projects; and
427 enforcement of fishery laws in municipal waters including
428 the conservation of mangroves;
429 (ii) Pursuant to regional policies and subject to supervision,
430 control and review of the MENRE, implementation of
431 community-based forestry projects such as integrated
432 social forestry programs and similar projects; management
433 and control of communal forests with an area not exceeding
434 fifty (50) square kilometers; establishment of tree parks,
435 greenbelts, and similar forest development projects;

4
These are the specific services that are feasible in the barangay level, based on their financial capacity.
The services are listed more specifically to avoid any ambiguity on whose responsibility and accountability
the services are for.

62
436
437 (iii) Subject to the provisions of Title Five, Book I of this Code,
438 health services such as implementation of programs and
439 projects on primary health care, maternal and child care,
440 and communicable and non-communicable disease control
441 services; access to secondary and tertiary health services;
442 purchase of medicines, medical supplies, and equipment
443 needed to carry out the services herein enumerated;
444
445 (iv) Social welfare services such as programs and projects on
446 child and youth welfare, family and community welfare,
447 women's welfare, welfare of the elderly and disabled
448 persons; community-based rehabilitation programs for
449 vagrants, beggars, street children, scavengers, juvenile
450 delinquents, and victims of drug abuse; livelihood and
451 other pro-poor projects; nutrition services; and family
452 planning services;
453
454 (v) Information services which include investments and job
455 placement information systems, tax and marketing
456 information systems, and maintenance of a public library;
457
458 (vi) Solid waste management systems, environmental
459 management systems, and facilities related to general
460 hygiene and sanitation;
461
462 (vii) Construction and/or maintenance of Municipal buildings,
463 cultural centers, public parks including freedom parks,
464 playgrounds, and sports facilities and equipment, and other
465 similar facilities;
466
467 (viii) Infrastructure facilities intended primarily to service the
468 needs of the residents of the municipality and which are
469 funded out of municipal funds including, but not limited to,
470 municipal roads and bridges; school buildings and other
471 facilities for public elementary and secondary schools;
472 clinics, health centers and other health facilities necessary
473 to carry out health services; communal irrigation, small
474 water impounding projects and other similar projects; fish
475 ports; artesian wells, spring development, rainwater
476 collectors and water supply systems; seawalls, dikes,
477 drainage and sewerage, and flood control; traffic signals
478 and road signs; and similar facilities;
479
480 (ix) Public markets, slaughterhouses and other municipal

63
481 enterprises;
482
483 (x) Public cemetery;
484
485 (xi) Tourism facilities and other tourist attractions, including
486 the acquisition of equipment, regulation and supervision of
487 business concessions, and security services for such
488 facilities; and
489
490 (xii) Provision of sites for police and fire stations and
491 substations and the municipal jail;
492
493 (3) For a Province:
494
495 (i) Agricultural extension and on-site research services and
496 facilities such as prevention and control of plant and animal
497 pests and diseases; dairy farms, livestock markets, animal
498 breeding stations, and artificial insemination centers; and
499 assistance in the organization of farmers' and fishermen's
500 cooperatives and other collective organizations, as well as
501 the transfer of appropriate technology;
502
503 (ii) Industrial research and development services, as well as the
504 transfer of appropriate technology;
505
506 (iii) Pursuant to regional policies and subject to supervision,
507 control and review of the MENRE, enforcement of forestry
508 laws limited to community- based forestry projects,
509 pollution control law, small- scale mining law, and other
510 laws on the protection of the environment; and mini-
511 hydroelectric projects for local purposes;
512
513 (iv) Subject to the provisions of Title Five, Book I of this Code,
514 health services such as operation and maintenance of
515 district hospitals and other tertiary health services;
516
517 (v) Social welfare services such as programs and projects on
518 rebel returnees and evacuees; relief operations; and,
519 population development services;
520
521 (vi) Provincial buildings, provincial jails, freedom parks and
522 other public assembly areas, and other similar facilities;
523
524 (vii) Maintenance of provincial roads and bridges; inter-
525 municipal waterworks, drainage and sewerage, flood

64
526 control, and irrigation systems; reclamation projects; and
527 similar facilities;
528
529 (viii) Programs and projects for low-cost housing and other mass
530 dwellings;
531
532 (ix) Investment support services, including access to credit
533 financing;
534
535 (x) Upgrading and modernization of tax information and
536 collection services through the use of computer hardware
537 and software and other means;
538
539 (xi) Inter-municipal telecommunications services, subject to
540 regional policy guidelines; and
541
542 (xii) Tourism development and promotion programs;
543
544 (4) For a City:
545
546 All the services and facilities of the municipality and province, and in addition thereto, the
547 following:
548
549 (i) Adequate communication and transportation facilities;
550
551 (ii) Support for education, police and fire services and
552 facilities.
553
554 (c) Where the local government unit concerned is duly designated as the
555 implementing agency, it shall implement the public works and
556 infrastructure projects and other facilities funded by the National
557 Government under the Annual General Appropriations Act or those
558 regionally funded under the Bangsamoro Appropriations Act, other special
559 laws, pertinent executive orders; and those wholly or partially funded from
560 foreign sources.5
561
562 (d) The designs, plans, specifications, testing of materials, and the
563 procurement of equipment and materials from both foreign and local
564 sources necessary for the provision of the foregoing services and facilities
565 shall be undertaken by the local government unit concerned, based on
566 regional policies, standards and guidelines.
567
568 (e) Ministries or regional offices concerned shall gradually devolve to local

5
The constituent local government units shall implement all projects and programs designated to them,
including those that are nationally- funded.

65
569 government units the responsibility for the provision of basic services and
570 facilities enumerated in this Section, seven (7) years after the effectivity of
571 this Code, subject to the guidelines in the implementation of the process
572 of devolution as a result of the comprehensive assessment on the financial
573 viability and technical capacity of the local government units, to be
574 conducted by an inter-agency committee on devolution. The members of
575 the committee shall be representatives from the Ministry of Health,
576 Ministry of Agriculture, Fisheries and Agrarian Reform, and the Ministry
577 of Social Services and Development. The Ministry of the Interior and
578 Local Government shall sit as the Chairman of the said inter-agency
579 committee. As used in this Code, the term "devolution" refers to the act by
580 which the Bangsamoro Government confers power and authority upon the
581 various constituent local government units to perform specific functions
582 and responsibilities.6
583
584 (f) The Cities of Marawi, Cotabato and Lamitan and the Province of Basilan
585 including its municipalities shall continue to enjoy their full devolution
586 status. This is without prejudice to the power of the Bangsamoro
587 Government to set up its offices in the said local government units for
588 purposes of delivering its services.
589
590 (g) The Ministries or regional offices or the next higher constituent local
591 government unit shall provide or augment the basic services and facilities
592 assigned to a lower level of local government unit when such services or
593 facilities are not made available or, if made available, are inadequate to
594 meet the acceptable standards and requirements of its inhabitants.
595
596 (h) The basic services and facilities hereinabove enumerated shall be funded
597 from the share of the constituent local government units in the proceeds of
598 national taxes and other local revenues and funding support from the
599 Bangsamoro Government, its instrumentalities and government- owned or
600 -controlled corporations which are tasked by law to establish and maintain
601 such services or facilities. Any fund or resource available for the use of the
602 local government units shall be first allocated for the provision of basic
603 services or facilities enumerated in subsection (b) hereof before applying
604 the same for other purposes, unless otherwise provided in this Code.
605
606 (i) Upon the effectivity of this Code, the Bangsamoro Government
607 shall continue to provide for the compensation of the heads in the
608 agriculture, health, and social welfare offices of the constituent
609 local government units. On the other hand, these local government
610 units shall appoint and provide for the compensation of supporting
611 personnel or other employees in the said offices. The local

6
A Committee on Devolution shall be created to assess and determine the financial and technical capacity
and readiness of the constituent local government units for the devolution of the delivery of services.

66
612 government units shall also allocate resources for the local
613 programs and projects in their agriculture, health, and social
614 welfare offices.
615
616 (j) The gradual devolution contemplated in this Code shall include the
617 transfer to local government units of the records, equipment, and
618 other assets and personnel of agencies and offices corresponding
619 to the devolved powers, functions, and responsibilities. The
620 concerned Ministries or regional offices of the Bangsamoro
621 Government shall continue to provide technical and financial
622 assistance to all local government units to ensure quality standards
623 of services. Personnel of said Ministries or regional offices shall
624 be absorbed by the local government units to which they belong or
625 in whose areas they are assigned to the extent that it is
626 administratively viable as determined by a committee to be
627 established for the purpose: Provided, that the non-diminution of
628 rights and privileges accorded to such personnel pursuant to civil
629 service law, rules and regulations shall not be impaired: Provided
630 further, that the affected agencies shall review their mandates and
631 functions, and re-organized their structures accordingly.
632
633 (k) To ensure the active participation of the private sector in local governance,
634 local government units may, by ordinance, sell, lease, encumber, or
635 otherwise dispose of public economic enterprises owned by them in their
636 proprietary capacity.
637
638 SECTION 18. Power to Generate and Apply Resources. – Constituent local
639 government units shall have the power and authority to establish an organization that shall
640 be responsible for the efficient and effective implementation of their development plans,
641 program objectives and priorities; to create their own sources of revenue and to levy taxes,
642 fees, and charges which shall accrue exclusively for their use and disposition and which
643 shall be retained by them; to have a just share in national taxes which shall be automatically
644 and directly released to them without need of any further action; to have an equitable share
645 in the proceeds from the utilization and development of the national wealth and resources
646 within their respective territorial jurisdictions including sharing the same with the
647 inhabitants by way of direct benefits; to acquire, develop, lease, encumber, alienate, or
648 otherwise dispose of real or personal property held by them in their proprietary capacity
649 and to apply their resources and assets for productive, developmental, or welfare purposes,
650 in the exercise or furtherance of their governmental or proprietary powers and functions
651 and thereby ensure their development into self-reliant communities and active participants
652 in the attainment of national goals.
653
654 SECTION 19. Eminent Domain. - A local government unit may, through its chief
655 executive acting pursuant to an ordinance, exercise the power of eminent domain for public
656 use, or purpose, or welfare for the benefit of the poor and the landless, upon payment of

67
657 just compensation, pursuant to the provisions of the Constitution and pertinent laws:
658 Provided, however, That the power of eminent domain may not be exercised unless a valid
659 and definite offer has been previously made to the owner, and such offer was not accepted:
660 Provided, further, That the local government unit may immediately take possession of the
661 property upon the filing of the expropriation proceedings and upon making a deposit with
662 the proper court of at least fifteen percent (15%) of the fair market value of the property
663 based on the current tax declaration of the property to be expropriated: Provided, finally,
664 That, the amount to be paid for the expropriated property shall be determined by the proper
665 court, based on the fair market value at the time of the taking of the property.
666
667 SECTION 20. Reclassification of Lands. – (a) A city or municipality may,
668 through an ordinance passed by the Sanggunian after conducting public hearings for the
669 purpose, authorize the reclassification of agricultural lands and provide for the manner of
670 their utilization or disposition in the following cases: (1) when the land ceases to be
671 economically feasible and sound for agricultural purposes as determined by the Ministry
672 of Fisheries Agriculture and Agrarian Reform or (2) where the land shall have substantially
673 greater economic value for residential, commercial, or industrial purposes, as determined
674 by the Sanggunian concerned: Provided, That such reclassification shall be limited to the
675 following percentage of the total agricultural land area at the time of the passage of the
676 ordinance:
677
678 (1) For highly urbanized and independent component cities, fifteen
679 percent (15%);
680
681 (2) For component cities and first to third class municipalities, ten
682 percent (10%); and
683
684 (3) For fourth to sixth class municipalities, five percent (5%):
685 Provided, That agricultural lands distributed to agrarian reform
686 beneficiaries shall be reclassified upon application of the
687 beneficiary or the landowner, with due notice to the affected
688 parties, and upon full payment of the obligation by the beneficiary.
689
690 (b) The Chief Minister may, when public interest so requires and upon
691 recommendation of the Bangsamoro Economic and Development Council,
692 authorize a city or municipality to reclassify lands in excess of the limits
693 set in the next preceding paragraph.
694
695 (c) The local government units shall, in conformity with existing laws,
696 continue to prepare their respective comprehensive land use plans enacted
697 through zoning ordinances which shall be the primary and dominant bases
698 for the future use of land resources: Provided, That the requirements for
699 food production, human settlements, and industrial expansion shall be
700 taken into consideration in the preparation of such plans.
701

68
702 (d) Where approval by a regional agency is required for reclassification, such
703 approval shall not be unreasonably withheld. Failure to act on a proper and
704 complete application for reclassification within three (3) months from
705 receipt of the same shall be deemed as approval thereof.
706
707 SECTION 21. Closure and Opening of Roads. – (a) A constituent local
708 government unit may, pursuant to an ordinance, permanently or temporarily close or open
709 any local road, alley, park, or square falling within its jurisdiction: Provided, however, That
710 in case of permanent closure, such ordinance must be approved by at least two-thirds (2/3)
711 of all the members of the Sanggunian, and when necessary, an adequate substitute for the
712 public facility that is subject to closure is provided.
713
714 (b) No such way or place or any part thereof shall be permanently closed
715 without making provisions for the maintenance of public safety therein. A
716 property thus permanently withdrawn from public use may be used or
717 conveyed for any purpose for which other real property belonging to the
718 local government unit concerned may be lawfully used or conveyed:
719 Provided, however, That no freedom park shall be closed permanently
720 without provision for its transfer or relocation to a new site.
721
722 (c) Any national, regional or local road, alley, park, or square may be
723 temporarily closed during an actual emergency, or fiesta celebrations,
724 public rallies, agricultural or industrial fairs, or an undertaking of public
725 works and highways, telecommunications, and waterworks projects, the
726 duration of which shall be specified by the local chief executive concerned
727 in a written order: Provided, however, That no national, regional or local
728 road, alley, park, or square shall be temporarily closed for athletic, cultural,
729 or civic activities not officially sponsored, recognized, or approved by the
730 local government unit concerned.
731
732 (d) Any city, municipality, or Barangay may, by a duly enacted ordinance,
733 close and regulate the use of any local ordinance, temporarily street, road,
734 thoroughfare, or any other public place where shopping malls, Sunday,
735 flea or night markets, or shopping areas may be established and where
736 goods, merchandise, foodstuffs, commodities, or articles of commerce
737 may be sold and dispensed to the general public.
738
739 SECTION 22. Corporate Powers. – (a) Every constituent local government unit,
740 as a corporate entity, shall have the following powers:
741
742 (1) To have continuous succession in its corporate name;
743
744 (2) To sue and be sued;
745
746 (3) To have and use a corporate seal;

69
747
748 (4) To acquire and convey real or personal property;
749
750 (5) To enter into contracts; and
751
752 (6) To exercise such other powers as are granted to corporations,
753 subject to the limitations provided in this Code and other laws.
754
755 (b) Constituent local government units may continue to use, modify, or change
756 their existing corporate seals: Provided, That newly established local
757 government units or those without corporate seals may create their own
758 corporate seals which shall be registered with the Ministry of the Interior
759 and Local Government: Provided, further, That any change of corporate
760 seal shall also be registered as provided herein.
761
762 (c) Unless otherwise provided in this Code, contract may be entered into by
763 the local chief executive in behalf of the local government unit without
764 prior authorization by the Sanggunian concerned. A legible copy of such
765 contract shall be posted at a conspicuous place in the provincial capitol or
766 the city, municipal or barangay hall.
767
768 (d) Constituent local government units shall enjoy full autonomy in the
769 exercise of their proprietary functions and in the management of their
770 economic enterprises, subject to the limitations provided in this Code and
771 other applicable laws.
772
773 SECTION 23. Authority to Negotiate and Secure Grants. - Local chief
774 executives may, upon authority of the Sanggunian, negotiate and secure financial grants or
775 donations in kind, in support of the basic services or facilities enumerated under Section
776 17 hereof, from local and foreign assistance agencies without necessity of securing
777 clearance or approval therefor from any department, agency, or office of the regional
778 government or from any higher constituent local government unit.
779
780 The local chief executive shall, within thirty (30) days from the signing of such
781 grant, agreement, or deed of donation, report the nature, amount, and terms of such
782 assistance to the Office of the Chief Minister, through the Ministry of the Interior and Local
783 Government.
784
785 SECTION 24. Liability for Damages. – Constituent local government units and
786 their officials are not exempt from liability for death or injury to persons or damage to
787 property.
788
789
790 CHAPTER III
791 Intergovernmental Relations

70
792
793 Article I
794 Bangsamoro Government and its Constituent Local Government Units
795
796 SECTION 25. Regional Supervision and Regulation over Local Government
797 Units.
798
799 (a) Consistent with the basic policy on regional autonomy, the Chief Minister
800 shall exercise general supervision over its constituent local government
801 units to ensure that their acts are within the scope of their prescribed
802 powers and functions, without prejudice to the authority of the Chief
803 Minister to regulate the affairs of its constituent local government units, as
804 guaranteed by Republic Act No. 11054. The Chief Minister shall exercise
805 supervisory and regulatory authority directly over provinces, highly
806 urbanized cities, and independent component cities; through the province
807 with respect to component cities and municipalities; and through the city
808 and municipality with respect to Barangays. 7
809
810 The authority of the Chief Minister to supervise and regulate the affairs of
811 the constituent local government units shall be exclusive. The
812 implementation of all national policies and standards concerning the
813 constituent local government units shall be agreed between the National
814 Government and the Bangsamoro Government, as may be provided in the
815 Intergovernmental Relations Mechanism. 8
816
817 (b) The Bangsamoro Government may by law establish a sub-regional office
818 in order to improve efficiency and coordination with constituent local
819 government units and allocate appropriate funding for this purpose;
820 provided, it negotiates successfully with the National Government or a
821 sub-national entity or a local government unit within or outside the
822 Bangsamoro Autonomous Region in Muslim Mindanao for the location of
823 such office.
824
825 (c) Regional agencies and offices with project implementation functions shall
826 coordinate with one another and with the constituent local government
827 units concerned in the discharge of these functions. They shall ensure the
828 participation of local government units both in the planning and
829 implementation of said projects.
830

7
The Bangsamoro Local Governance Code intends to strengthen the power of supervision by the
Bangsamoro Government, through the MILG and whenever necessary, impose its authority to regulate the
affairs of the constituent local government units, in accordance with Sec. 10, Art. VI on Intergovernmental
Relations in RA 11054, without diminishing their local autonomy.
8
In order to avoid double supervision over constituent local government units by the DILG- National and the
MILG.

71
831 (d) The Chief Minister may, upon request of the constituent local government
832 unit concerned, thru the MILG, direct the appropriate regional agency to
833 provide financial, technical, or other forms of assistance to the local
834 government unit. Such assistance shall be extended at no extra cost to the
835 local government unit concerned.
836
837 (e) Regional agencies and offices including government-owned or - controlled
838 corporations with field units or branches in a province, city, or
839 municipality shall furnish the local chief executive concerned, for his
840 information and guidance, monthly reports including duly certified
841 budgetary allocations and expenditures.
842
843 SECTION 26. Duty of Regional Government Agencies in the Maintenance of
844 Ecological Balance. - It shall be the duty of every regional agency or government-owned
845 or -controlled corporation authorizing or involved in the planning and implementation of
846 any project or program that may cause pollution, climatic change, depletion of non-
847 renewable resources, loss of crop land, rangeland, or forest cover, and extinction of animal
848 or plant species, to consult with the constituent local government units, nongovernmental
849 organizations, and other sectors concerned and explain the goals and objectives of project
850 or program, its impact upon the people and the community in terms of environmental or
851 ecological balance, and the measures that will be undertaken to prevent or minimize the
852 adverse effects thereof.
853
854 SECTION 27. Prior Consultations Required. - No project or program shall be
855 implemented by government authorities unless the consultations mentioned in Sections 2
856 (c) and 26 hereof are complied with, and prior approval of the Sanggunian concerned is
857 obtained: Provided, That occupants in areas where such projects are to be implemented
858 shall not be evicted unless appropriate relocation sites have been provided, in accordance
859 with the provisions of the Constitution.
860
861 ARTICLE II
862 Relations with the Philippine National Police
863
864 SECTION 28. - Powers of Local Chief Executives over the Units of the
865 Philippine National Police. - The extent of operational supervision and control of local
866 chief executives over the police force, fire protection unit, and jail management personnel
867 assigned in their respective jurisdictions shall be governed by applicable national law and
868 the Organic Law for the Bangsamoro Autonomous Region in Muslim Mindanao.
869
870 ARTICLE III
871 Inter-Local Government Relations
872
873 SECTION 29. Provincial Relations with Component Cities and Municipalities.
874 - The province, through the governor, shall ensure that every component city and
875 municipality within its territorial jurisdiction acts within the scope of its prescribed powers

72
876 and functions. Highly urbanized cities and independent component cities shall be
877 independent of the province.
878
879 SECTION 30. Review of Executive Orders. - (a) Except as otherwise provided
880 under the Constitution and special statutes, the governor shall review all executive orders
881 promulgated by the component city or municipal mayor within his jurisdiction. The city or
882 municipal mayor shall review all executive orders promulgated by the punong barangay
883 within his jurisdiction. Copies of such orders shall be forwarded to the governor or the city
884 or municipal mayor, as the case may be, within three (3) days from their issuance. In all
885 instances of review, the local chief executive concerned shall ensure that such executive
886 orders are within the powers granted by law and in conformity with provincial, city, or
887 municipal ordinances.
888
889 (b) If the governor or the city or municipal Mayor fails to act on said executive
890 orders within thirty (30) days after their submission, the same shall be deemed consistent
891 with law and therefore valid.
892
893 (c) Copies of all executive issuances shall be furnished to the Ministry of the
894 Interior and Local Government, through the Local Government Operations Officer
895 assigned in the concerned constituent local government unit.
896
897 SECTION 31. Submission of Municipal Questions to the Provincial Legal
898 Officer or Prosecutor. - In the absence of a municipal legal officer, the municipal
899 government may secure the opinion of the provincial legal officer or, in the absence of the
900 latter, that of the provincial prosecutor on any legal question affecting the municipality.
901
902 SECTION. 32. City and Municipal Supervision over Their Respective
903 Barangays. - The city or municipality, through the Mayor concerned, shall exercise
904 general supervision over component Barangays to ensure that said barangays act within the
905 scope of their prescribed powers and functions.
906
907 SECTION 33. Cooperative Undertakings Among Constituent Local
908 Government Units. – Constituent local government units may, through appropriate
909 ordinances, group themselves, consolidate, or coordinate their efforts, services, and
910 resources for purposes commonly beneficial to them. In support of such undertakings, the
911 local government units involved may, upon approval by the Sanggunian concerned after a
912 public hearing conducted for the purpose, contribute funds, real estate, equipment, and
913 other kinds of property, and appoint or assign personnel under such terms and conditions
914 as may be agreed upon by the participating local units through a Memorandum of
915 Agreement.
916
917 CHAPTER IV
918 Relations with People's and Non-Governmental Organizations
919
920 SECTION 34. Role of People's and Nongovernmental Organizations. - Local

73
921 government units shall promote the establishment and operation of people's and
922 nongovernmental organizations to become active partners in the pursuit of local autonomy.
923
924 SECTION 35. Linkages with People's and Non-Governmental Organizations.
925
926 Local government units may enter into joint ventures and such other cooperative
927 arrangements with people's and nongovernmental organizations to engage in the delivery
928 of certain basic services, capability-building and livelihood projects, and to develop local
929 enterprises designed to improve productivity and income, diversify agriculture, spur rural
930 industrialization, promote ecological balance, and enhance the economic and social well-
931 being of the people.
932
933 SECTION 36. Assistance to People's and Nongovernmental Organizations. -
934 A local government unit may, through its local chief executive and with the concurrence
935 of its Sanggunian, provide assistance, financial or otherwise, to such people's and
936 nongovernmental organizations for economic, socially-oriented, environmental, or cultural
937 projects to be implemented within its territorial jurisdiction.
938
939 CHAPTER V
940 Local Bids and Awards Committee
941
942 SECTION 37. Local Bids and Awards Committee. - (a) There is hereby created
943 a local bids and awards committee in every province, city, and municipality, which shall
944 be primarily responsible for the procurement of government programs and projects. The
945 committee shall have at least five (5) members but not more than seven (7) members and
946 shall elect among themselves the Chairman and Vice Chairman.
947
948 (1) One representative from each regular office under the office of
949 Local Chief Executive such as but not limited to the following:
950 Administrator, Budget Office, Engineering Office, Legal Office
951 and General Services Office;
952
953 (2) A representative from the end user unit.
954
955 (b) The LBAC shall have the following functions: advertise and/or post the
956 invitation to bid, conduct pre-procurement and pre-bid conferences, determine the
957 eligibility of prospective bidders, receive bids, conduct the evaluation of bids,
958 undertake post-qualification proceedings, recommend award of contracts to the
959 Head of the Procuring Entity of his duly authorized representative: Provided, That
960 in the event the Head of the Procuring shall disapprove such recommendation,
961 such disapproval shall be based only on valid, reasonable and justifiable grounds
962 to be expressed in writing, copy furnished the LBAC; recommend to the Head of
963 the Procuring Entity the use of Alternative Methods of Procurement as provided
964 for in the procurement law or RA 9184; and perform such other related functions

74
965 as may necessary. 9
966
967 SECTION 38. Local Technical Committee. - (a) There is hereby created a local
968 technical committee in every province, city and municipality to provide technical
969 assistance to the local prequalification, bids and awards committees. It shall be composed
970 of the three (3) permanent officials preferably from the third ranking and rank and file staff
971 as may be designated by the local bids and awards committee.
972
973 (b) The chairman of the local technical committee shall be designated by the local
974 bids and awards committee and shall attend its meeting in order to present the reports and
975 recommendations of the local technical committee.
976
977 TITLE II
978 ELECTIVE OFFICIALS
979
980 CHAPTER VI
981 Qualifications and Election
982
983 SECTION 39. Qualifications. - (a) An elective local official must be a citizen of
984 the Philippines; a registered voter in the barangay, municipality, city, or province or, in the
985 case of a member of the Sangguniang Panlalawigan, Sangguniang Panlungsod, or
986 Sanggunian bayan, the district where he intends to be elected; a resident therein for at least
987 one (1) year immediately preceding the day of the election; and able to read and write
988 Filipino or any other local language or dialect, and at least in the College level for
989 provincial, city, and municipal officials, at least in the junior high school level for barangay
990 officials and the sangguniang kabataan chairman, and at least in the elementary level for
991 sangguniang kabataan members. This educational requirement shall also pertain to their
992 equivalent in the Arabic and Islamic educational system.10
993
994 (b) Candidates for the position of governor, vice- governor or member of the
995 Sangguniang Panlalawigan, or Mayor, vice-mayor or member of the
996 Sangguniang Panlungsod of highly urbanized cities must be at least
997 twenty-three (23) years of age on election day.
998
999 (c) Candidates for the position of Mayor or vice-mayor of independent
1000 component cities, component cities, municipalities must be at least twenty-
1001 one (21) years of age on election day.
1002

9
In accordance with the Amended Implementing Rules and Regulations of R.A. 9184 or the Government
Procurement Reform Act
10
An added qualification that aims to curtail political dynasty in the Autonomous Region. This qualification is
not related to the requirement on citizenship, residency, age, and educational attainment; and hence does
not in any way diminish the qualifications provided in the 1987 Philippine Constitution for elective officials of
higher positions, such as the Presidency.

75
1003 (d) Candidates for the position of member of the Sangguniang Panlungsod or
1004 Sangguniang bayan must be at least eighteen (18) years of age on election
1005 day.
1006
1007 (e) Candidates for the position of Punong Barangay or member of the
1008 Sangguniang Barangay must be at least eighteen (18) years of age on
1009 election day.
1010
1011 (f) Candidates for the Sangguniang Kabataan must be at least eighteen (18)
1012 years of age but not more than twenty-four (24) years of age on election
1013 day.
1014
1015 SECTION 40. Disqualifications. - The following persons are disqualified from
1016 running for any elective local position:
1017
1018 (a) Those sentenced by final judgment for an offense involving moral
1019 turpitude or for an offense punishable by one (1) year or more of
1020 imprisonment, within two (2) years after serving sentence;
1021
1022 (b) Those removed from office as a result of an administrative case;
1023
1024 (c) Those convicted by final judgment for violating the oath of allegiance to
1025 the Republic;
1026
1027 (d) Those with dual citizenship;
1028
1029 (e) Fugitives from justice in criminal or nonpolitical cases here or abroad;
1030
1031 (f) Permanent residents in a foreign country or those who have acquired the
1032 right to reside abroad and continue to avail of the same right after the
1033 effectivity of this Code;
1034
1035 (g) Those who are related within the second civil degree of consanguinity or
1036 affinity to any incumbent local official running for an elective position are
1037 disqualified to be candidates for: (i) any provincial elective position in the
1038 same province; (ii) any city elective position in the same city; (iii) any
1039 municipal elective position in the same municipality; and (iv) any barangay
1040 elective position in the same barangay 11;
1041
1042 (h) Those elected local officials in areas outside the Bangsamoro Autonomous
1043 Region, who seeks to be elected in the BARMM in the upcoming next
1044 local elections;12

11
Anti-dynasty proposed provision.
12
This is to prevent circumvention of the law on the term of office of elective local officials, which shall be no
more than three consecutive terms (Sec. 8, Article X, 1987 Philippine Constitution.)

76
1045
1046 (i) Those incumbent officials who seek to run for an office holding a position
1047 lower than his/ her current position; 13
1048
1049 (j) The insane or feeble-minded.
1050
1051 SECTION 41. Manner of Election. - (a) The governor, vice-governor, city mayor,
1052 city vice-mayor, municipal mayor, municipal vice-mayor, and Punong Barangay shall be
1053 elected at large in their respective units by the qualified voters therein. However, the
1054 Sangguniang Kabataan chairman for each barangay shall be elected by the registered voters
1055 of the Katipunan ng Kabataan, as provided in this Code.
1056
1057 (b) The regular members of the Sangguniang Panlalawigan, Sangguniang
1058 Panlungsod, and Sangguniang Bayan shall be elected by district, as may
1059 be provided for by law. Sangguniang Barangay members shall be elected
1060 at large. The presidents of the leagues of Sanggunian members of
1061 component cities and municipalities shall serve as ex officio members of
1062 the Sangguniang Panlalawigan concerned. The presidents of the Liga ng
1063 mga Barangay and the Pederasyon ng mga Sangguniang kabataan elected
1064 by their respective chapters, as provided in this Code, shall serve as ex
1065 officio members of the Sangguniang Panlalawigan, Sangguniang
1066 Panlungsod, and Sangguniangbayan.
1067
1068 (c) In addition, thereto, there shall be one (1) sectoral representative from the
1069 women, one (1) from the workers, and one (1) from any of the following
1070 sectors: the urban poor, indigenous cultural communities, disabled
1071 persons, or any other sector as may be determined by the Sanggunian
1072 concerned within ninety (90) days prior to the holding of the next local
1073 elections, as may be provided for by law. The Comelec shall promulgate
1074 the rules and regulations to effectively provide for the election of such
1075 sectoral representatives.
1076
1077 SECTION 42. Date of Election. - Unless otherwise provided by law, the elections
1078 for local officials shall be held every three (3) years on the second Monday of May.
1079
1080 SECTION 43. Term of Office. - (a) The term of office of all local elective officials
1081 shall be three (3) years, starting from noon of June 30, 2022 or such date as may be provided
1082 for by law, except that of elective Barangay officials and Sangguniang Kabataan.
1083
1084 (b) No local elective official shall serve for more than three (3) consecutive
1085 terms in the same position. Voluntary renunciation of the office for any
1086 length of time shall not be considered as an interruption in the continuity
1087 of service for the full term for which the elective official concerned was
1088 elected.
13
This is to prevent reports of unethical practices by local officials to continue holding their positions.

77
1089
1090 (c) The term of office of Barangay officials and members of the Sangguniang
1091 Kabataan shall be for three (3) years, which shall begin after the regular
1092 election of Barangay officials on the second Monday of May1994.
1093
1094
1095
1096 CHAPTER VII
1097 Vacancies and Succession
1098
1099 SECTION 44. Permanent Vacancies in the Offices of the Governor, Vice-
1100 Governor, Mayor, and Vice-Mayor. - If a permanent vacancy occurs in the office of the
1101 governor or Mayor, the vice-governor or vice-mayor concerned shall become the governor
1102 or Mayor. If a permanent vacancy occurs in the offices of the governor, vice-governor,
1103 Mayor, or vice-mayor, the highest ranking Sanggunian member or, in case of a
1104 disqualification under Section 40 hereof, or his permanent inability, the second highest
1105 ranking Sanggunian member, shall become the governor, vice-governor, Mayor or vice-
1106 mayor, as the case may be. Subsequent vacancies in the said office shall be filled
1107 automatically by the other Sanggunian members according to their ranking as defined
1108 herein.
1109
1110 (a) If a permanent vacancy occurs in the office of the Punong Barangay, the
1111 highest ranking Sanggunian Barangay member or, in case of a
1112 disqualification under Section 40 hereof or his permanent inability, the
1113 second highest ranking Sanggunian member, shall become the Punong
1114 Barangay. In case the next higher ranking Sanggunian member refuses to
1115 assume office, he shall be deemed ipso facto resigned.
1116
1117 (b) A tie between or among the highest ranking Sanggunian members shall be
1118 resolved by the drawing of lots.
1119
1120 (c) The successors as defined herein shall serve only the unexpired terms of
1121 their predecessors. For purposes of this Chapter, a permanent vacancy
1122 arises when an elective local official fills a higher vacant office, refuses to
1123 assume office, fails to qualify, dies, is removed from office, voluntarily
1124 resigns, or is otherwise permanently incapacitated to discharge the
1125 functions of his office.
1126
1127 For purposes of succession as provided in this Chapter, ranking in the Sanggunian
1128 shall be determined on the basis of the proportion of votes obtained by each winning
1129 candidate to the total number of registered voters in each district in the immediately
1130 preceding local election.
1131
1132 SECTION 45. Permanent Vacancies in the Sanggunian. - (a) Permanent
1133 vacancies in the Sanggunian where automatic successions provided above do not apply

78
1134 shall be filled by appointment in the following manner:
1135
1136 (1) By the Chief Minister, through the Ministry of Interior and Local
1137 Government, in the case of the Sangguniang Panlalawigan and the
1138 Sangguniang Panlungsod; by the governor, in the case of the
1139 Sangguniang Panlungsod of component cities and the Sangguniang
1140 Bayan;
1141
1142 (2) By the city or municipal Mayor, in the case of Sangguniang
1143 Barangay, upon recommendation of the Sangguniang Barangay
1144 concerned.
1145
1146 (b) Except for the Sangguniang Barangay, only the nominee of the political
1147 party under which the Sanggunian member concerned had been elected
1148 and whose elevation to the position next higher in rank created the last
1149 vacancy in the Sanggunian shall be appointed in the manner hereinabove
1150 provided. The appointee shall come from the same political party as that
1151 of the Sanggunian member who caused the vacancy and shall serve the
1152 unexpired term of the vacant office. In the appointment herein mentioned,
1153 a nomination and a certificate of membership of the appointee from the
1154 highest official of the political party concerned are conditions sine qua
1155 non, and any appointment without such nomination and certification shall
1156 be null and void ab initio and shall be a ground for administrative action
1157 against the official responsible therefor.
1158
1159 (c) In case the permanent vacancy is caused by a Sanggunian member who
1160 does not belong to any political party, the Chief Minister shall, through the
1161 Ministry of the Interior and Local Government, upon recommendation of
1162 the Sanggunian concerned, appoint a qualified person to fill the vacancy.
1163
1164 (d) In case of vacancy in the representation of the youth and the Barangay in
1165 the Sanggunian, said vacancy shall be filled automatically by the official
1166 next in rank of the organization concerned.
1167
1168 SECTION 46. Temporary Vacancy in the Office of the Local Chief Executive.-
1169 (a) When the governor, city or municipal Mayor, or Punong Barangay is temporarily
1170 incapacitated to perform his duties for physical or legal reasons such as, but not limited to,
1171 leave of absence, travel abroad, and suspension from office, the vice-governor, city or
1172 municipal vice-mayor, or the highest ranking Sangguniang Barangay member, as the case
1173 may be, shall automatically exercise the powers and perform the duties and functions of
1174 the local chief executive concerned, except the power to appoint, suspend, or dismiss
1175 employees which can only be exercised if the period of temporary incapacity exceeds thirty
1176 (30) working days.
1177 (b) Said temporary incapacity shall terminate upon submission to the
1178 appropriate Sanggunian of a written declaration by the local chief

79
1179 executive concerned that he has reported back to office. In cases where the
1180 temporary incapacity is due to legal causes, the local chief executive
1181 concerned shall also submit necessary documents showing that said legal
1182 causes no longer exist.
1183
1184 (c) When the incumbent local chief executive is traveling within the country
1185 but outside his territorial jurisdiction for a period not exceeding three (3)
1186 consecutive days, he may designate in writing the officer-in-charge of the
1187 said office. Such authorization shall specify the powers and functions that
1188 the local official concerned shall exercise in the absence of the local chief
1189 executive except the power to appoint, suspend, or dismiss employees.
1190
1191 (d) In the event, however, that the local chief executive concerned fails or
1192 refuses to issue such authorization, the vice-governor, the city or municipal
1193 vice-mayor, or the next highest ranking Sangguniang Barangay member,
1194 as the case may be, shall have the right to assume the powers, duties, and
1195 functions of the said office on the fourth (4th) day of absence of the said
1196 local chief executive, subject to the limitations provided in subsection
1197 (c)hereof.
1198
1199 (e) Except as provided above, the local chief executive shall in no case
1200 authorize any local official to assume the powers, duties, and functions of
1201 the office, other than the vice-governor, the city or municipal vice- Mayor,
1202 or the highest ranking Sangguniang Barangay member, as the case maybe.
1203
1204 SECTION 47. Other Permanent Vacancies. In the case of a barangay where
1205 despite the application of the modes of succession or for reasons which will render the said
1206 modes of succession inapplicable, there remain vacancies in certain local positions which
1207 may effectively hamper the operations of the local government unit, the Minister of the
1208 Interior and Local Government shall designate a qualified person for the local elective
1209 position concerned.
1210
1211 Such person so designated shall exercise the powers and perform the duties and
1212 functions of the local government position as provided by this Code and other existing
1213 laws. Provided, however, that the designee has not been a candidate for any elective
1214 position during the recently concluded election; provided, further, that the person
1215 designated shall act with the highest degree of integrity, impartiality, and fairness at all
1216 times; provided, finally, that the designee must possess all the qualifications and none of
1217 the disqualifications prescribed for the corresponding elective office.
1218
1219 In case of multiple vacancies, the Minister of the Interior and Local Government
1220 may make simultaneous appointments, provided that the rules set forth in the preceding
1221 paragraph shall be strictly observed.
1222
1223 SECTION 48. Temporary Vacancy Due to Failure of Elections- (a) In case of

80
1224 vacancy due to failure of elections in a province, city, or municipality before noon of June
1225 30 of the election year, the Chief Minister shall appoint a local official in an acting capacity
1226 until a qualified duly elected official shall have been proclaimed and assumed office;
1227
1228 (b) In the case of barangay officials, the Minister of the Ministry of the Interior
1229 and Local Government shall appoint an acting official until a qualified
1230 duly elected one shall have been proclaimed and assumed office;
1231
1232 (c) A selection committee composed of traditional and religious leaders, and
1233 MILG field officers assigned in the concerned locality shall assist the
1234 Chief Minister or the Minister of the Ministry of the Interior and Local
1235 Government, as the case may be, in determining the most qualified
1236 applicants acceptable to the constituents of the concerned locality.14
1237
1238 SECTION 49. Approval of Leaves of Absence. - (a) Leaves of absence of local
1239 elective officials shall be approved as follows:
1240
1241 (1) Leaves of absence of the governor and the Mayor of a highly
1242 urbanized city or an independent component city shall be approved
1243 by the Chief Minister or his duly authorized representative;
1244
1245 (2) Leaves of absence of a vice-governor or a city or municipal vice-
1246 mayor shall be approved by the local chief executive concerned:
1247 Provided, That the leaves of absence of the members of the
1248 Sanggunian and its employees shall be approved by the vice-
1249 governor or city or municipal vice- mayor concerned;
1250
1251 (3) Leaves of absence of the component city or municipal Mayor shall
1252 be approved by the governor; and
1253
1254 (4) Leaves of absence of a Punong Barangay shall be approved by the
1255 city or municipal mayor: Provided, that leaves of absence of
1256 Sangguniang Barangay members shall be approved by the Punong
1257 Barangay.
1258
1259 (b) Whenever the application for leave of absence hereinabove specified is not
1260 acted upon within five (5) working days after receipt thereof, the
1261 application for leave of absence shall be deemed approved.
1262
1263 (c) In all cases, application for leave of absence shall be furnished to the
1264 Ministry of the Interior and Local Government (MILG)
1265
1266 CHAPTER VIII

14
To prevent the unethical practice of local officials in circumventing the rule on hold-over.

81
1267 Local Legislation
1268
1269 SECTION 50. Local Legislative Power. - Local legislative power shall be
1270 exercised by the Sangguniang Panlalawigan for the province; the Sangguniang Panlungsod
1271 for the city; the Sangguniang bayan for the municipality; and the Sangguniang Barangay
1272 for the Barangay.
1273
1274 SECTION 51. Presiding Officer. - (a) The vice-governor shall be the presiding
1275 officer of the Sangguniang Panlalawigan; the city vice-mayor, of the Sangguniang
1276 Panlungsod; the municipal vice-mayor, of the Sangguniang bayan; and the Punong
1277 Barangay, of the Sangguniang Barangay. The presiding officer shall vote only to break a
1278 tie.
1279
1280 (b) In the event of the inability of the regular Presiding officer to preside at a
1281 Sanggunian session, (when he has not designated a temporary presiding
1282 officer,) the members present and constituting a quorum shall elect from
1283 among themselves a temporary presiding officer. He shall certify within
1284 ten (10) days from the passage of ordinances enacted and resolutions
1285 adopted by the Sanggunian in the session over which he temporarily
1286 presided.
1287
1288 (c) The vice-governor, the city vice-mayor, or the municipal vice-mayor shall
1289 not be allowed to chair any of the regular standing committee of the
1290 Sanggunian concerned.
1291
1292 SECTION 52. Internal Rules of Procedure. - (a) Within ninety days following
1293 the election of its members, the every Sanggunian shall adopt or update its existing rules
1294 of procedure.
1295
1296 (b) The rules of procedure shall provide for the following:
1297
1298 (1) The organization of the Sanggunian and the election of its officers
1299 as well as the creation of standing committees which shall include,
1300 but shall not be limited to, the committees on appropriations,
1301 women and family, human rights, youth and sports development,
1302 environmental protection, and cooperatives; the general
1303 jurisdiction of each committee; and the election of the chairman
1304 and members of each committee;
1305
1306 (2) The order and calendar of business for each session;
1307
1308 (3) The legislative process;
1309
1310 (4) The parliamentary procedures which include the conduct of

82
1311 members during sessions;
1312
1313 (5) The discipline of members for disorderly behavior and absences
1314 without justifiable cause for four (4) consecutive sessions, for
1315 which they may be censured, reprimanded, or excluded from the
1316 session, suspended for not more than sixty (60) days, or expelled:
1317 Provided, That the penalty of suspension or expulsion shall require
1318 the concurrence of at least two-thirds (2/3) vote of all the
1319 Sanggunian members: Provided, further, That a member convicted
1320 by final judgment to imprisonment of at least one (1) year for any
1321 crime involving moral turpitude shall be automatically expelled
1322 from the Sanggunian; and
1323
1324 (6) Such other rules as the Sanggunian may adopt.
1325
1326 SECTION 53. Full Disclosure of Financial and Business Interests of
1327 Sanggunian Members. - (a) Every Sanggunian member shall, upon assumption to office,
1328 make a full disclosure of his business and financial interests. He shall also disclose any
1329 business, financial, or professional relationship or any relation by affinity or consanguinity
1330 within the fourth civil degree, which he may have with any person, firm, or entity affected
1331 by any ordinance or resolution under consideration by the Sanggunian of which he is a
1332 member, which relationship may result in conflict of interest. Such relationship shall
1333 include:
1334
1335 (1) Ownership of stock or capital, or investment, in the entity or firm
1336 to which the ordinance or resolution may apply; and
1337
1338 (2) Contracts or agreements with any person or entity which the
1339 ordinance or resolution under consideration may affect. In the
1340 absence of a specific constitutional or statutory provision
1341 applicable to this situation, "conflict of interest" refers in general
1342 to one where it may be reasonably deduced that a member of a
1343 Sanggunian may not act in the public interest due to some private,
1344 pecuniary, or other personal considerations that may tend to affect
1345 his judgment to the prejudice of the service or the public.
1346
1347 (b) The disclosure required under this Act shall be made in writing and
1348 submitted to the secretary of the Sanggunian or the secretary of the
1349 committee of which he is a member. The disclosure shall, in all cases, form
1350 part of the record of the proceedings and shall be made in the following
1351 manner:
1352
1353 (1) Disclosure shall be made before the member participates in the
1354 deliberations on the ordinance or resolution under consideration:
1355 Provided, That, if the member did not participate during the

83
1356 deliberations, the disclosure shall be made before voting on the
1357 ordinance or resolution on second and third readings; and
1358
1359 (2) Disclosure shall be made when a member takes a position or makes
1360 a privilege speech on a matter that may affect the business interest,
1361 financial connection, or professional relationship described herein.
1362
1363 SECTION 54. Sessions. - (a) On the first day of the session immediately following
1364 the election of its members, the Sanggunian shall, by resolution, fix the day, time, and place
1365 of its regular sessions. The minimum number of regular sessions shall be once a week for
1366 the Sangguniang Panlalawigan, Sangguniang Panlungsod, and Sangguniang Bayan, and
1367 twice a month for the Sangguniang Barangay.
1368
1369 (b) When public interest so demands, special sessions may be called by the
1370 local chief executive or by a majority of the members of the Sanggunian.
1371
1372 (c) All Sanggunian sessions shall be open to the public unless a closed-door
1373 session is ordered by an affirmative vote of a majority of the members
1374 present, there being a quorum, in the public interest or for reasons of
1375 security, decency, or morality. No two (2) sessions, regular or special, may
1376 be held in a single day.
1377
1378 (d) In the case of special sessions of the Sanggunian, a written notice
1379 containing a specific agenda to the members shall be served personally at
1380 the member's usual place of residence at least twenty- four (24) hours
1381 before the special session is held. Unless otherwise concurred in by two-
1382 thirds (2/3) vote of the Sanggunian members present, there being a
1383 quorum, no other matters may be considered at a special session except
1384 those stated in the notice.
1385
1386 (e) The Sanggunian may use a local dialect in conducting regular and special
1387 sessions, provided that the minutes of the proceedings shall be translated
1388 by the Secretary to the Sanggunian in the English or Tagalog language;
1389
1390 (f) Each Sanggunian shall keep a journal and record of its proceedings which
1391 may be published upon resolution of the Sanggunian concerned.
1392
1393 SECTION 55. Quorum. - (a) A majority of all the members of the Sanggunian
1394 who have been elected and qualified shall constitute a quorum to transact official business.
1395 Should a question of quorum be raised during a session, the presiding officer shall
1396 immediately proceed to call the roll of the members and thereafter announce the results.
1397
1398 (b) Where there is no quorum, the presiding officer may declare a recess until
1399 such time as a quorum is constituted, or a majority of the members present
1400 may adjourn from day to day and may compel the immediate attendance

84
1401 of any member absent without justifiable cause by designating a member
1402 of the Sanggunian, to be assisted by a member or members of the police
1403 force assigned in the territorial jurisdiction of the local government unit
1404 concerned, to arrest the absent member and present him at the session.
1405
1406 (c) If there is still no quorum despite the enforcement of the immediately
1407 preceding subsection, no business shall be transacted. The presiding
1408 officer, upon proper motion duly approved by the members present, shall
1409 then declare the session adjourned for lack of quorum.
1410
1411 (d) Sanggunian members who fail to attend four (4) consecutive regular or
1412 special sessions, without justifiable reason shall, after due process, be
1413 preventively suspended for a period not exceeding ninety (90) days
1414 without pay, upon filing of a complaint by the concerned Sanggunian or
1415 any concerned citizen to the Ministry of the Interior and Local
1416 Government, whose decision shall take effect immediately. 15
1417
1418 SECTION 56. Approval of Ordinances. - (a) Every ordinance enacted by the
1419 Sangguniang Panlalawigan, Sangguniang Panlungsod, or Sangguniang Bayan shall, before
1420 it becomes a law, be presented to the provincial governor or city or municipal mayor, as
1421 the case may be. If the local chief executive concerned approves the same, he shall affix
1422 his signature on each and every page thereof; otherwise, he shall veto it and return the same
1423 with his objections to the Sanggunian, which may proceed to reconsider the same. The
1424 Sanggunian concerned may override the veto of the local chief executive by two-thirds
1425 (2/3) vote of all its members, thereby making the ordinance or resolution effective for all
1426 legal intents and purposes.
1427
1428 (b) The local chief executive concerned shall approve the ordinance, or his
1429 veto thereon communicated to the concerned to the Sanggunian, within
1430 fifteen (15) days in the case of a province, and ten (10) days in the case of
1431 a city or a municipality; otherwise, the ordinance shall be deemed
1432 approved as if he had sign edit.
1433
1434 (c) ordinances enacted by the Sangguniang Barangay shall, upon approval by
1435 the majority of all its members, be signed by the Punong Barangay.
1436
1437 SECTION 57. Veto Power of the Local Chief Executive. - (a) The local chief
1438 executive may veto any ordinance of the Sangguniang Panlalawigan, Sangguniang
1439 Panlungsod, or Sangguniang Bayan on the ground that it is ultra vires or prejudicial to the
1440 public welfare, stating his reasons therefor in writing.
1441
1442 (b) The local chief executive, except the Punong Barangay, shall have the
1443 power to veto any particular item or items of an appropriations ordinance,

15
Based on reports from the ground, local legislative bodies in many municipalities and barangays are not
functional due to their failure to constitute quorum. f

85
1444 an ordinance or resolution adopting a local development plan and public
1445 investment program, or an ordinance directing the payment of money or
1446 creating liability. In such a case, the veto shall not affect the item or items
1447 which are not objected to. The vetoed item or items shall not take effect
1448 unless the Sanggunian overrides the veto in the manner herein provided;
1449 otherwise, the item or items in the appropriations ordinance of the previous
1450 year corresponding to those vetoed, if any, shall be deemed reenacted.
1451
1452 (c) The local chief executive may veto an ordinance or resolution only once.
1453 The Sanggunian may override the veto of the local chief executive
1454 concerned by two-thirds (2/3) vote of all its members, thereby making the
1455 ordinance effective even without the approval of the local chief executive
1456 concerned.
1457
1458 SECTION 58. Review of Component City and Municipal Ordinances or
1459 Resolutions by the Sangguniang Panlalawigan. - (a) Within three (3) days after approval,
1460 the secretary to the Sanggunian Panlungsod or Sangguniang bayan shall forward to the
1461 Sangguniang Panlalawigan for review, copies of approved ordinances and the resolutions
1462 approving the local development plans and public investment programs formulated by the
1463 local development councils.
1464
1465 (b) Within thirty (30) days after receipt of copies of such ordinances and
1466 resolutions, the Sangguniang Panlalawigan shall examine the documents
1467 or transmit them to the provincial attorney, or if there be none, to the
1468 provincial prosecutor for prompt examination. The provincial attorney or
1469 provincial prosecutor shall, within a period of ten (10) days from receipt
1470 of the documents, inform the Sangguniang Panlalawigan in writing of his
1471 comments or recommendations, which may be considered by the
1472 Sangguniang Panlalawigan in making its decision.
1473
1474 (c) If the Sangguniang Panlalawigan finds that such an ordinance or resolution
1475 is beyond the power conferred upon the Sangguniang Panlungsod or
1476 Sangguniang bayan concerned, it shall declare such ordinance or
1477 resolution invalid in whole or in part. The Sangguniang Panlalawigan shall
1478 enter its action in the minutes and shall advise the corresponding city or
1479 municipal authorities of the action it has taken.
1480
1481 (d) If no action has been taken by the Sangguniang Panlalawigan within thirty
1482 (30) days after submission of such an ordinance or resolution, the same
1483 shall be presumed consistent with law and therefore valid.
1484
1485 (e) Copies of ordinances and resolutions passed by the above-mentioned
1486 Sanggunian shall be furnished to the Ministry of the Interior and Local
1487 Government for information and record purposes.
1488

86
1489 SECTION 59. Review of Barangay Ordinances by the Sangguniang
1490 Panlungsod or Sangguniang Bayan. - (a) Within ten (10) days after its enactment, the
1491 Sangguniang Barangay shall furnish copies of all Barangay ordinances to the Sangguniang
1492 Panlungsod or Sangguniang bayan concerned for review as to whether the ordinance is
1493 consistent with law and city or municipal ordinances.
1494
1495 (b) If the Sangguniang Panlungsod or Sangguniang bayan, as the case maybe,
1496 fails to take action on Barangay ordinances within thirty (30) days from
1497 receipt thereof, the same shall be deemed approved.
1498
1499 (c) If the Sangguniang Panlungsod or Sangguniang bayan, as the case may be,
1500 finds the Barangay ordinances inconsistent with law or city or municipal
1501 ordinances, the Sanggunian concerned shall, within thirty (30) days from
1502 receipt thereof, return the same with its comments and recommendations
1503 to the Sangguniang Barangay concerned for adjustment, amendment, or
1504 modification; in which case, the effectivity of the Barangay ordinance is
1505 suspended until such time as the revision called for is effected.
1506
1507 SECTION 60. Enforcement of Disapproved ordinances or Resolutions. - Any
1508 attempt to enforce any ordinance or any resolution approving the local development plan
1509 and public investment program, after the disapproval thereof, shall be sufficient ground for
1510 the suspension or dismissal of the official or employee concerned.
1511
1512 SECTION 61. Effectivity of Ordinances or Resolutions. (a) Unless otherwise
1513 stated in the ordinance or the resolution approving the local development plan and public
1514 investment program, the same shall take effect after ten (10) days from the date a copy
1515 thereof is posted in a bulletin board at the entrance of the provincial capitol or city,
1516 municipal, or Barangay hall, as the case may be, and in at least two (2) other conspicuous
1517 places in the local government unit concerned.
1518
1519 (b) The secretary to the Sanggunian concerned shall cause the posting of an
1520 ordinance or resolution in the bulletin board at the entrance of the
1521 provincial capitol and the city, municipal, or Barangay hall in at least two
1522 (2) conspicuous places in the local government unit concerned not later
1523 than five (5) days after approvalthereof.
1524
1525 The text of the ordinance or resolution shall be disseminated and posted in Filipino
1526 or English and in the language or dialect understood by the majority of the people in the
1527 local government unit concerned, and the secretary to the Sanggunian shall record such
1528 fact in a book kept for the purpose, stating the dates of approval and posting.
1529
1530 (c) The gist of all ordinances with penal sanctions shall be published in a
1531 newspaper of general circulation within the province where the local
1532 legislative body concerned belongs. In the absence of any newspaper of
1533 general circulation within the province, posting of such ordinances shall

87
1534 be made in all municipalities and cities of the province where the
1535 Sanggunian of origin issituated.
1536
1537 (d) In the case of highly urbanized cities, the main features of the ordinance
1538 or resolution duly enacted or adopted shall, in addition to being posted, be
1539 published once in a local newspaper of general circulation within the city:
1540 Provided, That in the absence thereof the ordinance or resolution shall be
1541 published in any newspaper of general circulation.
1542
1543 CHAPTER IX
1544 Disciplinary Actions
1545
1546 SECTION 62. Grounds for Disciplinary Actions. - An elective local official may
1547 be disciplined, suspended, or removed from office on any of the following grounds:
1548
1549 (a) Disloyalty to the Republic of the Philippines;
1550
1551 (b) Culpable violation of the Constitution;
1552
1553 (c) Dishonesty, oppression, misconduct in office, gross negligence, or
1554 dereliction of duty;
1555
1556 (d) Commission of any offense involving moral turpitude or an offense
1557 punishable by at least prision mayor;
1558
1559 (e) Abuse of authority;
1560
1561 (f) Unauthorized absence for fifteen (15) consecutive working days, except in
1562 the case of members of the Sangguniang Panlalawigan, Sangguniang
1563 Panlungsod, Sangguniang bayan, and Sangguniang Barangay;
1564
1565 (g) Application for, or acquisition of, foreign citizenship or residence or the
1566 status of an immigrant of another country; and
1567
1568 (h) Such other grounds as may be provided in this Code and other laws. An
1569 elective local official may be removed from office on the grounds
1570 enumerated above by order of the proper court.
1571
1572 Section 63. Form and Filing of Administrative Complaints. – An administrative
1573 complaint against a local elective official must be verified and filed with:
1574
1575 (a) The Office of the Chief Minister, through the Ministry of Interior and
1576 Local Government, when the complaint is against any elective official of
1577 a province, a highly urbanized city, an independent component city or

88
1578 component city;
1579
1580 (b) The Sangguniang Panlalawigan, whose decisions on questions of fact is
1581 final and executory, when the complaint is against an official of a
1582 component city or municipality;
1583
1584 (c) The Sangguniang Panlungsod or Pambayan concerned, whose decisions
1585 on questions of fact is final and executory, when the complaint is against
1586 a barangay official; and
1587
1588 (d) The Office of the Chief Minister, through the Ministry of Interior and
1589 Local Government, regardless of respondent local elective official, to the
1590 exclusion of the concerned constituent local government unit, when there
1591 is reasonable ground that a fair and just resolution may be obtained only
1592 through direct filing of the complaint in the Region.16
1593
1594 SECTION 64. Notice of Hearing. - (a) Within seven (7) days after the
1595 administrative complaint is filed, the Office of the Chief Minister, through the Ministry of
1596 the Interior and Local Government or the Sanggunian concerned, as the case may be, shall
1597 require the respondent to submit his verified answer within fifteen (15) days from receipt
1598 thereof, and commence the investigation of the case within ten (10) days after receipt of
1599 answer of the respondent.
1600
1601 (b) When the respondent is an elective official of a province or highly
1602 urbanized city, such hearing and investigation shall be conducted in the
1603 place where he renders or holds office. For all other local elective officials,
1604 the venue shall be the place where the Sanggunian concerned is located.
1605
1606 (c) However, no investigation shall be held within ninety (90) days
1607 immediately prior to any local election, and no preventive suspension shall
1608 be imposed within the said period. If preventive suspension has been
1609 imposed prior to the 90-day period immediately preceding local election,
1610 it shall be deemed automatically lifted upon the start of aforesaid period.
1611
1612 (d) In cases where the complaint is filed before the Chief Minister, through
1613 the Ministry of the Interior and Local Government, in the exercise of its
1614 concurrent jurisdiction, the venue of the hearing and investigation shall be
1615 determined by the hearing officer, which shall be within the Bangsamoro
1616 Autonomous Region in Muslim Mindanao.
1617
1618 SECTION 65. Preventive Suspension. - (a) Preventive suspension may be
1619 imposed:

16
Concurrent jurisdiction of the Office of the Chief Minster, through the MILG, with the local legislative bodies,
over administrative complaints against local elective officials, as part of strengthening the power of supervision
of the Bangsamoro Government to its constituent local government units.

89
1620
1621 (1) By the Office of the Chief Minister, through the Ministry of the
1622 Interior and Local Government, if the respondent is an elective
1623 official of a province, or a highly urbanized or an independent
1624 component city;
1625
1626 (2) By the governor, if the respondent is an elective official of a
1627 component city or municipality; or
1628
1629 (3) By the mayor, if the respondent is an elective official of the
1630 barangay.
1631 (4) By the Office of the Chief Minister, through the Ministry of the
1632 Interior and Local Government, if the complaint is filed in
1633 accordance with paragraph (d) of Section 61.
1634
1635 (b) Preventive suspension may be imposed at any time after the issues are
1636 joined, when the evidence of guilt is strong, and given the gravity of the
1637 offense, there is great probability that the continuance in office of the
1638 respondent could influence the witnesses or pose a threat to the safety and
1639 integrity of the records and other evidence: Provided, That, any single
1640 preventive suspension of local elective officials shall not extend beyond
1641 sixty (60) days: Provided, further, That in the event that several
1642 administrative cases are filed against an elective official, he cannot be
1643 preventively suspended for more than ninety (90) days within a single year
1644 on the same ground or grounds existing and known at the time of the first
1645 suspension.
1646
1647 (c) Upon expiration of the preventive suspension, the suspended elective
1648 official shall be deemed reinstated in office without prejudice to the
1649 continuation of the proceedings against him, which shall be terminated
1650 within one hundred twenty (120) days from the time he was formally
1651 notified of the case against him. However, if the delay in the proceedings
1652 of the case is due to his fault, neglect, or request, other than the appeal duly
1653 filed, the duration of such delay shall not be counted in computing the time
1654 of termination of the case.
1655
1656 (d) Any abuse of the exercise of the power of preventive suspension shall be
1657 penalized as abuse of authority.
1658
1659 SECTION 66. Salary of Respondent Pending Suspension. - The respondent
1660 official preventively suspended from office shall receive no salary or compensation during
1661 such suspension; but, upon subsequent exoneration and reinstatement, he shall be paid full
1662 salary or compensation including such emoluments accruing during such suspension.
1663
1664 SECTION 67. Rights of Respondent - The respondent shall be accorded full

90
1665 opportunity to appear and defend himself in person or by counsel, to confront and cross-
1666 examine the witnesses against him, and to require the attendance of witnesses and the
1667 production of documentary evidence in his favor through the compulsory process of
1668 subpoena or subpoena duces tecum.
1669
1670 SECTION 68. Form and Notice of Decision. - (a) The investigation of the case
1671 shall be terminated within ninety (90) days from the start thereof. Within thirty (30) days
1672 after the end of the investigation, the Office of the Chief Minister, through the Ministry of
1673 the Interior and Local Government or the Sanggunian concerned shall render a decision in
1674 writing stating clearly and distinctly the facts and the reasons for such decision. Copies of
1675 said decision shall immediately be furnished the respondent and all interested parties.
1676
1677 (b) The penalty of suspension shall not exceed the unexpired term of the
1678 respondent or a period of six (6) months for every administrative offense,
1679 nor shall said penalty be a bar to the candidacy of the respondent so
1680 suspended as long as he meets the qualifications required for the office.
1681
1682 (c) The penalty of removal from office as a result of an administrative
1683 investigation shall be considered a bar to the candidacy of the respondent
1684 for any elective position.
1685
1686 SECTION 69. Administrative Appeals. - Decisions in administrative cases may,
1687 within thirty (30) days from receipt thereof, be appealed to the following:
1688
1689 (a) The Sangguniang Panlalawigan, in the case of decisions of the
1690 Sangguniang Panlungsod of component cities and the Sangguniang bayan;
1691 and
1692
1693 (b) The Office of the Chief Minister, through the Ministry of Interior and
1694 Local Government, in the case of decisions of the Sangguniang
1695 Panlalawigan and the Sangguniang Panlungsod of highly urbanized cities
1696 and independent component cities. Decisions of the Office of the Chief
1697 Minister, through the Ministry of Interior and Local Government, shall be
1698 final and executory.
1699
1700 SECTION 70. Execution Pending Appeal. - An appeal shall not prevent a
1701 decision from becoming executory. The respondent shall be considered as having been
1702 placed under preventive suspension during the pendency of an appeal in the event he wins
1703 such appeal. In the event the appeal results in an exoneration, he shall be paid his salary
1704 and such other emoluments during the pendency of the appeal.
1705
1706 CHAPTER X
1707 Recall
1708
1709 SECTION 71. By Whom Exercised. - The power of recall for loss of confidence

91
1710 shall be exercised by the registered voters of a local government unit to which the local
1711 elective official subject to such recall belongs.
1712
1713 SECTION 72. Initiation of the Recall Process. - (a) Recall may be initiated by a
1714 preparatory recall assembly or by the registered voters of the local government unit to
1715 which the local elective official subject to such recall belongs.
1716
1717 (b) There shall be a preparatory recall assembly in every province, city,
1718 district, and municipality which shall be composed of the following:
1719
1720 (1) Provincial level. - All mayors, vice-mayors, and Sanggunian
1721 members of the municipalities and component cities;
1722
1723 (2) City level. - All Punong Barangay and Sangguniang Barangay
1724 members in the city;
1725
1726 (3) Legislative District level. - In cases where Sangguniang
1727 Panlalawigan members are elected by district, all elective
1728 municipal officials in the district; and in cases where Sangguniang
1729 Panlungsod members are elected by district, all elective Barangay
1730 officials in the district; and
1731
1732 (4) Municipal level. - All Punong Barangay and Sangguniang
1733 Barangay members in the municipality.
1734
1735 (c) A majority of all the preparatory recall assembly members may convene
1736 in session in a public place and initiate a recall proceeding against any
1737 elective official in the local government unit concerned. Recall of
1738 provincial, city, or municipal officials shall be validly initiated through a
1739 resolution adopted by a majority of all the members of the preparatory
1740 recall assembly concerned during its session called for the purpose.
1741
1742 (d) Recall of any elective provincial, city, municipal, or Barangay official may
1743 also be validly initiated upon petition of at least twenty-five percent (25%)
1744 of the total number of registered voters in the local government unit
1745 concerned during the election in which the local official sought to be
1746 recalled was elected.
1747
1748 (1) A written petition for recall duly signed before the election
1749 registrar or his representative, and in the presence of a
1750 representative of the petitioner and a representative of the official
1751 sought to be recalled, and in a public place in the province, city,
1752 municipality, or barangay, as the case may be, shall be filed with
1753 the Comelec through its office in the local government unit
1754 concerned. The Comelec or its duly authorized representative shall

92
1755 cause the publication of the petition in a public and conspicuous
1756 place for a period of not less than ten (10) days nor more than
1757 twenty (20) days, for the purpose of verifying the authenticity and
1758 genuineness of the petition and the required percentage of voters.
1759
1760 (2) Upon the lapse of the aforesaid period, the Comelec or its duly
1761 authorized representative shall announce the acceptance of
1762 candidates to the position and thereafter prepare the list of
1763 candidates which shall include the name of the official sought to
1764 be recalled.
1765
1766 SECTION 73. Election on Recall. - Upon the filing of a valid resolution or petition
1767 for recall with the appropriate local office of the Comelec, the Commission or its duly
1768 authorized representative shall set the date of the election on recall, which shall not be later
1769 than thirty (30) days after the filing of the resolution or petition for recall in the case of the
1770 barangay, city, or municipal officials, and forty-five (45) days in the case of provincial
1771 officials. The official or officials sought to be recalled shall automatically be considered as
1772 duly registered candidate or candidates to the pertinent positions and, like other candidates,
1773 shall be entitled to be voted upon.
1774
1775 SECTION 74. Effectivity of Recall. - The recall of an elective local official shall
1776 be effective only upon the election and proclamation of a successor in the person of the
1777 candidate receiving the highest number of votes cast during the election on recall. Should
1778 the official sought to be recalled receive the highest number of votes, confidence in him is
1779 thereby affirmed, and he shall continue in office.
1780
1781 SECTION 75. Prohibition from Resignation. - The elective local official sought
1782 to be recalled shall not be allowed to resign while the recall process is in progress.
1783
1784 SECTION 76. Limitations on Recall. - (a) Any elective local official may be the
1785 subject of a recall election only once during his term of office for loss of confidence.
1786
1787 (b) No recall shall take place within one (1) year from the date of the official's
1788 assumption to office or one (1) year immediately preceding a regular local
1789 election.
1790
1791 SECTION 77. Expenses Incident to Recall Elections. - All expenses incident to
1792 recall elections shall be borne by the Comelec. For this purpose, there shall be included in
1793 the annual General Appropriations Act a contingency fund at the disposal of the Comelec
1794 for the conduct of recall elections.
1795
1796 TITLE III
1797 HUMAN RESOURCES AND DEVELOPMENT
1798
1799 SECTION 78. Organizational Structure and Staffing Pattern. - Every local

93
1800 government unit shall design and implement its own organizational structure and staffing
1801 pattern taking into consideration its service requirements and financial capability, subject
1802 to the minimum standards and guidelines prescribed by the Civil Service Commission.
1803
1804 The Ministry of the Interior and Local Government, the Ministry of Finance, and
1805 Budget and Management, and the Civil Service Commission shall conduct periodic
1806 financial and personnel audit of local government units to determine their capacity to enjoy
1807 full devolution as provided in this Code.
1808
1809 SECTION 79. Responsibility for Human Resources and Development. - The
1810 chief executive of every local government unit shall be responsible for human resources
1811 and development in his unit and shall take all personnel actions in accordance with the
1812 Constitutional provisions on civil service, pertinent laws, and rules and regulations thereon,
1813 including such policies, guidelines and standards as the Parliament may establish:
1814 Provided, That the local chief executive may employ emergency or casual employees or
1815 laborers paid on a daily wage or piecework basis and hired through job orders for local
1816 projects authorized by the Sanggunian concerned, without need of approval or attestation
1817 by the Civil Service Commission: Provided, further, That the period of employment of
1818 emergency or casual laborers as provided in this Section shall not exceed six (6) months.
1819
1820 SECTION 80. Civil Service Law, Rules and Regulations, and Other Related
1821 Issuances. - All matters pertinent to human resources and development in local
1822 government units shall be governed by the civil service law and such rules and regulations
1823 and other issuances promulgated pursuant thereto, unless otherwise specified in this Code.
1824
1825 SECTION 81. Limitation on Appointments. - No person shall be appointed in
1826 the career service of the local government if he is related within the fourth civil degree of
1827 consanguinity or affinity to the appointing or recommending authority.
1828
1829 SECTION 82. Public Notice of Vacancy; Personnel Selection Board. - (a)
1830 Whenever a local chief executive decides to fill a vacant career position, there shall be
1831 posted notices of the vacancy in at least three (3) conspicuous public places in the local
1832 government unit concerned for a period of not less than fifteen (15) days.
1833
1834 (b) There shall be established in every province, city or municipality a
1835 personnel selection board to assist the local chief executive in the judicious
1836 and objective selection of personnel for employment as well as for
1837 promotion, and in the formulation of such policies as would contribute to
1838 employeewelfare.
1839
1840 (c) The personnel selection board shall be headed by the local chief executive,
1841 and its members shall be determined by resolution of the Sanggunian
1842 concerned. A representative of the Civil Service Commission, if any, and
1843 the personnel officer of the local government unit concerned shall be ex
1844 officio members of the board.

94
1845
1846 SECTION 83. Compensation of Local Officials and Employees. - The
1847 compensation of local officials and personnel shall be determined by the Sanggunian
1848 concerned: Provided, That the increase in compensation of elective local officials shall take
1849 effect only after the terms of office of those approving such increase shall have expired:
1850 Provided, further, That the increase in compensation of the appointive officials and
1851 employees shall take effect as provided in the ordinance authorizing such increase:
1852 Provided, however, That said increases shall not exceed the limitations on budgetary
1853 allocations for personal services provided under Title Five, Book II of this Code: Provided,
1854 finally, That such compensation may be based upon the pertinent laws that may be enacted
1855 by the Parliament.
1856
1857 The Punong Barangay, the Sangguniang Barangay members, the Sangguniang
1858 Kabataan chairman, the Barangay treasurer, and the Barangay secretary shall be entitled to
1859 such compensation, allowances, emoluments, and such other privileges as provided under
1860 Title One, Book III of this Code.
1861
1862 Elective local officials shall be entitled to the same leave privileges as those enjoyed
1863 by appointive local officials, including the cumulation and commutation thereof.
1864
1865 SECTION 84. Resignation of Elective Local Officials. - (a) Resignations by
1866 elective local officials shall be deemed effective only upon acceptance by the following
1867 authorities:
1868
1869 (1) The Chief Minister, in the case of governors, vice- governors, and
1870 mayors and vice-mayors of highly urbanized cities and
1871 independent component cities;
1872
1873 (2) The governor, in the case of municipal mayors, municipal vice-
1874 mayors, city mayors and city vice-mayors of component cities;
1875
1876 (3) The Sanggunian concerned, in the case of Sanggunian members;
1877 and
1878
1879 (4) The city or municipal mayor, in the case of Barangay officials.
1880
1881 (b) Copies of the resignation letters of elective local officials, together with
1882 the action taken by the aforesaid authorities, shall be furnished the
1883 Ministry of the Interior and Local Government.
1884
1885 (c) The resignation shall be deemed accepted if not acted upon by the
1886 authority concerned within fifteen (15) working days from receipt thereof.
1887
1888 (d) Irrevocable resignations by Sangguniang members shall be deemed
1889 accepted upon presentation before an open session of the Sanggunian

95
1890 concerned and duly entered in its records: Provided, however, That this
1891 subsection does not apply to Sanggunian members who are subject to
1892 recall elections or to cases where existing laws prescribe the manner of
1893 acting upon such resignations.
1894
1895 (e) Resigned elective officials shall not be qualified for appointment to the
1896 same elected positions within the entire duration of a single term.
1897
1898 SECTION 85. Grievance Procedure. - In every local government unit, the local
1899 chief executive shall establish a procedure to inquire into, act upon, resolve or settle
1900 complaints and grievances presented by local government employees.
1901
1902 SECTION 86. Administrative Discipline. - Investigation and adjudication of
1903 administrative complaints against appointive local officials and employees as well as their
1904 suspension and removal shall be in accordance with the civil service law and rules and
1905 other pertinent laws. The results of such administrative investigations shall be reported to
1906 the Civil Service Commission.
1907
1908 SECTION 87. Preventive Suspension of Appointive Local Officials and
1909 Employees. - (a) The local chief executives may preventively suspend for a period not
1910 exceeding sixty (60) days any subordinate official or employee under his authority pending
1911 investigation if the charge against such official or employee involves dishonesty,
1912 oppression or grave misconduct or neglect in the performance of duty, or if there is reason
1913 to believe that the respondent is guilty of the charges which would warrant his removal
1914 from the service.
1915
1916 (b) Upon expiration of the preventive suspension, the suspended official or
1917 employee shall be automatically reinstated in office without prejudice to
1918 the continuation of the administrative proceedings against him until its
1919 termination. If the delay in the proceedings of the case is due to the fault,
1920 neglect or request of the respondent, the time of the delay shall not be
1921 counted in computing the period of suspension herein provided.
1922
1923 SECTION 88. Administrative Investigation. - In any local government unit,
1924 administrative investigation may be conducted by a person or a committee duly authorized
1925 by the local chief executive. Said person or committee shall conduct hearings on the cases
1926 brought against appointive local officials and employees and submit their findings and
1927 recommendations to the local chief executive concerned within fifteen (15) days from the
1928 conclusion of the hearings. The administrative cases herein mentioned shall be decided
1929 within ninety (90) days from the time the respondent is formally notified of the charges.
1930
1931 SECTION 89. Disciplinary Jurisdiction. - Except as otherwise provided by law,
1932 the local chief executive may impose the penalty of removal from service, demotion in
1933 rank, suspension for not more than one (1) year without pay, fine in an amount not
1934 exceeding six (6) months' salary, or reprimand and otherwise discipline subordinate

96
1935 officials and employees under his jurisdiction. If the penalty imposed is suspension without
1936 pay for not more than thirty (30) days, his decision shall be final. If the penalty imposed is
1937 heavier than suspension of thirty (30) days, the decision shall be appealable to the Civil
1938 Service Commission, which shall decide the appeal within thirty (30) days from receipt
1939 thereof.
1940
1941 SECTION 90. Execution Pending Appeal. - An appeal shall not prevent the
1942 execution of a decision of removal or suspension of a respondent- appellant. In case the
1943 respondent-appellant is exonerated, he shall be reinstated to his position with all the rights
1944 and privileges appurtenant thereto from the time he had been deprived thereof.
1945
1946 SECTION 91. Prohibited Business and Pecuniary Interest. - (a) It shall be
1947 unlawful for any local government official or employee, directly or indirectly, to:
1948
1949 (1) Engage in any business transaction with the local government unit
1950 in which he is an official or employee or over which he has the
1951 power of supervision, or with any of its authorized boards,
1952 officials, agents, or attorneys, whereby money is to be paid, or
1953 property or any other thing of valueis to be transferred, directly or
1954 indirectly, out of the resources of the local government unit to such
1955 person or firm;
1956
1957 (2) Hold such interests in any cockpit or other games licensed by a
1958 local government unit.
1959
1960 (3) Purchase any real estate or other property forfeited in favor of such
1961 local government unit for unpaid taxes or assessment, or by virtue
1962 of a legal process at the instance of the said local government unit.
1963
1964 (4) Be a surety for any person contracting or doing business with the
1965 local government unit for which a surety is required; and
1966
1967 (5) Possess or use any public property of the local government unit for
1968 private purposes.
1969
1970 (6) Commission of any of the prohibited acts as enumerated above
1971 shall be a sufficient ground for disciplinary action as provided in
1972 Section 60 of this Code, without prejudice to criminal charges that
1973 may arise out of the act.
1974
1975 (b) All other prohibitions governing the conduct of national public officers
1976 relating to prohibited business and pecuniary interest so provided for under
1977 Republic Act No. 6713 otherwise known as the "Code of Conduct and
1978 Ethical Standards for Public Officials and Employees" and other laws shall
1979 also be applicable to local government officials and employees.

97
1980
1981 SECTION 92. Practice of Profession. - (a) All governors, city and municipal
1982 mayors are prohibited from practicing their profession or engaging in any occupation other
1983 than the exercise of their functions as local chief executives.
1984
1985 (b) Sanggunian members may practice their professions, engage in any
1986 occupation, or teach in schools except during session hours: Provided,
1987 That Sanggunian members who are also members of the Bar shall not:
1988
1989 (1) Appear as counsel before any court in any civil case wherein a local
1990 government unit or any office, agency, or instrumentality of the
1991 government is the adverse party;
1992
1993 (2) Appear as counsel in any criminal case wherein an officer or
1994 employee of the national or local government is accused of an
1995 offense committed in relation to his office.
1996
1997 (3) Collect any fee for their appearance in administrative proceedings
1998 involving the local government unit of which he is an official; and
1999
2000 (4) Use property and personnel of the government except when the
2001 Sanggunian member concerned is defending the interest of the
2002 government.
2003
2004 (c) Doctors of medicine may practice their profession even during official
2005 hours of work only on occasions of emergency: Provided, That the
2006 officials concerned do not derive monetary compensation therefrom.
2007
2008 SECTION 93. Statement of Assets and Liabilities. - (a) Officials and employees
2009 of local government units shall file sworn statements of assets, liabilities and networth, lists
2010 of relatives within the fourth civil degree of consanguinity or affinity in government
2011 service, financial and business interests, and personnel data sheets as required by law.
2012
2013 SECTION 94. Oath of Office. - (a) All elective and appointive local officials and
2014 employees shall, upon assumption to office, swear before the Holy Quran or other holy
2015 book recognized by the church or religious association with which the officials are
2016 affiliated. Further, the said officials shall subscribe to an oath or affirmation of office in a
2017 prescribed form. The oath or affirmation of office shall be filed with the office of the local
2018 chief executive concerned. A copy of the oath or affirmation of office of all elective and
2019 appointive local officials and employees shall be preserved in the individual personal
2020 records file under the custody of the personnel office, division, or section of the local
2021 government unit concerned. In addition, copies of the oath or affirmation of office and all
2022 other official records of elected local officials shall be furnished to the assigned field
2023 officers of the Ministry of the Interior and Local Government.
2024

98
2025 SECTION 95. Partisan Political Activity. - No local official or employee in the
2026 career civil service shall engage, directly or indirectly, in any partisan political activity or
2027 take part in any election, initiative, referendum, plebiscite, or recall, except to vote, nor
2028 shall he use his official authority or influence to cause the performance of any political
2029 activity by any person or body. He may, however, express his views on current issues, or
2030 mention the names of certain candidates for public office whom he supports. Elective local
2031 officials may take part in partisan political and electoral activities, but it shall be unlawful
2032 for them to solicit contributions from their subordinates or subject these subordinates to
2033 any of the prohibited acts under the Omnibus Election Code or the Bangsamoro Electoral
2034 Code, to be enacted by the Parliament.
2035
2036 SECTION 96. Appointment of Elective and Appointive Local Officials;
2037 Candidates Who Lost in Election. - (a) Unless otherwise allowed by law or by the
2038 primary functions of his position, no elective or appointive local official shall hold any
2039 other office or employment in the government or any subdivision, agency or
2040 instrumentality thereof, including government-owned or -controlled corporations or their
2041 subsidiaries.
2042
2043 (b) Except for Barangay elections, no candidate who lost in any election shall,
2044 within one (1) year after such election, be appointed to any office in the government or any
2045 government-owned or -controlled corporations or in any of their subsidiaries.
2046
2047 SECTION 97. Additional or Double Compensation. - No elective or appointive
2048 local official or employee shall receive additional, double, or indirect compensation, unless
2049 specifically authorized by law, nor accept without the consent of Parliament, any present,
2050 emoluments, office, or title of any kind from any foreign government. Pensions or
2051 gratuities shall not be considered as additional, double, or indirect compensation.
2052
2053 SECTION 98. Permission to Leave Station. - (a) Provincial, city, municipal, and
2054 barangay appointive officials going on official travel shall apply and secure written
2055 permission from their respective local chief executives before departure. The application
2056 shall specify the reasons for such travel, and the permission shall be given or withheld
2057 based on considerations of public interest, financial capability of the local government unit
2058 concerned, and urgency of the travel.
2059
2060 Should the local chief executive concerned fail to act upon such application within
2061 four (4) working days from receipt thereof, it shall be deemed approved.
2062
2063 (b) Mayors of component cities and municipalities shall secure the permission
2064 of the governor concerned for any travel outside the province.
2065
2066 (c) Local government officials traveling abroad shall notify their respective
2067 Sanggunian: Provided, That when the period of travel extends to more than
2068 three (3) months, or is to be performed during periods of emergency or
2069 crisis, or when the travel involves the use of public funds, permission from

99
2070 the Office of the Chief Minister, through the Ministry of the Interior and
2071 Local Government shall be secured.
2072
2073 (d) Field officers of national and regional agencies or offices assigned in
2074 provinces, cities, and municipalities shall not leave their official stations
2075 without giving prior written notice to the local chief executive concerned.
2076 Such notice shall state the duration of travel and the name of the officer
2077 whom he shall designate to act for and in his behalf during his absence.
2078
2079 SECTION 99. Annual Report. - On or before March 31 of each year, every local
2080 chief executive shall submit an annual report to the Sanggunian concerned and to the
2081 Ministry of the Interior and Local Government on the socio economic, political and peace
2082 and order conditions, and other matters concerning the local government unit, which shall
2083 cover the immediately preceding calendar year. Component cities and municipalities shall
2084 provide the Sangguniang Panlalawigan copies of their respective annual reports.
2085
2086 TITLE IV
2087 LOCAL SCHOOL BOARDS
2088
2089 SECTION 100. Creation, Composition and Compensation. - (a) There shall be
2090 established in every province, city, or municipality a provincial, city or municipal school
2091 board, respectively.
2092
2093 (b) The composition of local school boards shall be as follows:
2094
2095 (1) The provincial school board shall be composed of the governor and
2096 the division superintendent of schools as co- chairmen; the
2097 chairman of the education committee of the Sangguniang
2098 Panlalawigan, the provincial treasurer, the representative of the
2099 Pederasyon ng mga Sangguniang Kabataan in the Sangguniang
2100 Panlalawigan, the duly elected president of the provincial
2101 federation of parents-teachers association, the duly elected
2102 representative of the teachers' organization in the province, and the
2103 duly elected representative of the non-academic personnel of
2104 public schools in the province, as members;
2105
2106 (2) The city school board shall be composed of the city mayor and the
2107 city superintendent of schools as co-chairmen; the chairman of the
2108 education committee of the Sangguniang Panlungsod, the city
2109 treasurer, the representative of the pederasyon ng mga
2110 Sangguniang Kabataan in the Sangguniang Panlungsod, the duly
2111 elected president of the city federation of parents-teachers
2112 associations, the duly elected representative of the teachers'
2113 organizations in the city, and the duly elected representative of the
2114 non-academic personnel of public schools in the city, as members;

100
2115 and
2116
2117 (3) The municipal school board shall be composed of the municipal
2118 mayor and the district supervisor of schools as co-chairmen; the
2119 chairman of the education committee of the Sangguniang bayan,
2120 the municipal treasurer, the representative of the Pederasyon ng
2121 mga Sangguniang Kabataan in the Sangguniang Bayan, the duly
2122 elected president of the municipal federation of parents-teachers
2123 associations, the duly elected representative of the teachers'
2124 organizations in the municipality, and the duly elected
2125 representative of the non-academic personnel of public schools in
2126 the city, as members;
2127
2128 (c) In the event that a province or city has two (2) or more school
2129 superintendents, and in the event that a municipality has two (2) or more
2130 district supervisors, the co-chairman of the local school board shall be
2131 determined as follows:
2132
2133 (1) The Ministry of Basic, Higher, and Technical Education shall
2134 designate the co-chairman for the provincial and city school
2135 boards; and
2136
2137 (2) The division superintendent of schools shall designate the district
2138 supervisor who shall serve as co-chairman of the municipal school
2139 board.
2140
2141 (d) The performance of the duties and responsibilities of the abovementioned
2142 officials in their respective local school boards shall not be delegated.
2143
2144 SECTION 101. Functions of Local School Boards. - The provincial, city or
2145 municipal school board shall:
2146
2147 (a) Determine, in accordance with the criteria set by the Ministry of Basic,
2148 Higher, and Technical Education, the annual supplementary budgetary
2149 needs for the operation and maintenance of public schools within the
2150 province, city or municipality, as the case may be, and the supplementary
2151 local cost of meeting such needs, which shall be reflected in the form of
2152 an annual school board budget corresponding to its share in the proceeds
2153 of the special levy on real property constituting the Special Education fund
2154 and such other sources of revenue as this Code and other laws or
2155 ordinances may provide;
2156
2157 (b) Authorize the provincial, city or municipal treasurer, as the case may be,
2158 to disburse funds from the Special Education fund pursuant to the budget
2159 prepared and in accordance with existing rules and regulations;

101
2160
2161 (c) Serve as an advisory committee to the Sanggunian concerned on
2162 educational matters such as, but not limited to, the necessity for and the
2163 uses of local appropriations for educational purposes; and
2164
2165 (d) Recommend changes in the names of public schools within the territorial
2166 jurisdiction of the local government unit for enactment by the Sanggunian
2167 concerned.
2168
2169 (e) Act as promotion and selection committee for the hiring of teaching, non-
2170 teaching personnel, and other school officials in the concerned localities,
2171 subject to the discretion of the Minister of the Ministry of Basic, Higher,
2172 and Technical Education.
2173
2174 The Ministry of Basic, Higher, and Technical Education shall consult the concerned
2175 local school board on the appointment of division superintendents, district supervisors,
2176 school principals, and other school officials.
2177
2178 SECTION 102. Meetings and Quorum; Budget. - (a) The local school board shall
2179 meet at least once every quarter or as often as may be necessary.
2180
2181 (b) Any of the co-chairmen may call a meeting. A majority of all its members
2182 shall constitute a quorum. However, when both co- chairmen are present
2183 in a meeting, the local chief executive concerned, as a matter of protocol,
2184 shall be given preference to preside over the meeting. The division
2185 superintendent, city superintendent or district supervisor, as the case may
2186 be, shall prepare the budget of the school board concerned. Such budget
2187 shall be supported by programs, projects, and activities of the school board
2188 for the ensuing fiscal year. The affirmative vote of the majority of all its
2189 members shall be necessary to approve the budget.
2190
2191 (c) The annual school board budget shall give priority to the following:
2192
2193 (1) Construction, repair, and maintenance of school buildings and
2194 other facilities of public elementary and secondary schools;
2195
2196 (2) Establishment and maintenance of extension classes where
2197 necessary; and
2198
2199 (3) Sports activities at the division, district, municipal, and barangay
2200 level.
2201
2202 (4) Educational trainings and exposure for teachers and students.
2203

102
2204 SECTION 103. Compensation and Remuneration. - The co-chairmen and
2205 members of the provincial, city or municipal school board shall perform their duties as
2206 such without compensation or remuneration. Members thereof who are not government
2207 officials or employees shall be entitled to necessary traveling expenses and allowances
2208 chargeable against funds of the local school board concerned, subject to existing
2209 accounting and auditing rules and regulations.
2210
2211 TITLE FIVE
2212 LOCAL HEALTH BOARDS
2213
2214 SECTION 104. Creation and Composition. - (a) There shall be established a local
2215 health board in every province, city or municipality. The composition of the local health
2216 boards shall be as follows:
2217
2218 (1) The provincial health board shall be headed by the governor as
2219 chairman, the provincial health officer as vice-chairman, and the
2220 chairman of the committee on health of the Sangguniang
2221 Panlalawigan, a representative from the private sector or non-
2222 governmental organizations involved in health services, and a
2223 representative of the Ministry of Health in the province, as
2224 members;
2225
2226 (2) The city health board shall be headed by the city mayor as
2227 chairman, the city health officer as vice-chairman, and the
2228 chairman of the committee on health of the Sangguniang
2229 Panlungsod, a representative from the private sector or non-
2230 governmental organizations involved in health services, and a
2231 representative of the Ministry of Health in the city, as members;
2232 and
2233
2234 (3) The municipal health board shall be headed by the municipal
2235 mayor as chairman, the municipal health officer as vice- chairman,
2236 and the chairman of the committee on health of the Sangguniang
2237 bayan, a representative from the private sector or non-
2238 governmental organizations involved in health services, and a
2239 representative of the Ministry of Health in the municipality, as
2240 members;
2241
2242 (4) For local government units whose health services are not fully
2243 devolved, the concerned local chief executive and the highest
2244 health official assigned in the locality shall sit as co-chairmen of
2245 the local health board.
2246
2247 (b) The functions of the local health board shall be:
2248

103
2249 (1) To propose to the Sanggunian concerned, in accordance with
2250 standards and criteria set by the Ministry of Health, annual
2251 budgetary allocations for the operation and maintenance of health
2252 facilities and services within the municipality, city or province, as
2253 the case maybe.
2254
2255 (2) To serve as an advisory committee to the Sanggunian concerned
2256 on health matters such as, but not limited to, the necessity for, and
2257 application of, local appropriations for public health purposes; and
2258
2259 (3) To create, consistent with the technical and administrative
2260 standards of the Ministry of Health, committees which shall advise
2261 local health agencies on matters such as, but not limited to,
2262 personnel selection and promotion, bids and awards, grievances
2263 and complaints, personnel discipline, budget review, operations
2264 review and similar functions.
2265
2266 (4) In the case of a local government unit whose health services are
2267 not fully devolved, the committee shall serve as planning body in
2268 determining appropriate support health programs to be funded by
2269 the concerned local government unit.
2270
2271 SECTION 105. Meetings and Quorum. - (a) The board shall meet at least once
2272 every quarter or as often as may be necessary.
2273
2274 (b) A majority of the members of the board shall constitute a quorum, but the
2275 chairman or the co- chairman and the vice-chairman, as the case may be, must be present
2276 during meetings where budgetary proposals are being prepared or considered. The
2277 affirmative vote of a majority of the members is required to approve such proposals.
2278
2279 SECTION 106. Compensation and Remuneration. - The chairman or the co-
2280 chairman, and vice- chairman, as the case may be, and members of the provincial, city or
2281 municipal health board shall perform their duties as such without additional compensation
2282 or remuneration. Members thereof who are not government officials or employees shall be
2283 entitled to necessary traveling expenses and allowances chargeable against the funds of the
2284 local health board concerned, subject to existing accounting and auditing rules and
2285 regulations.
2286
2287 SECTION 107. Direct Regional Supervision and Control by the Minister of
2288 the Ministry of Health. - In cases of epidemics, pestilence, and other widespread public
2289 health dangers, the Minister of the Ministry of Health may, upon the direction of the Chief
2290 Minister and in consultation with the local government unit concerned, temporarily assume
2291 direct supervision and control over health operations in any local government unit for the
2292 duration of the emergency, but in no case exceeding a cumulative period of six (6) months.
2293 With the concurrence of the local government unit concerned, the period for such direct

104
2294 regional control and supervision may be further extended.
2295
2296 In cases where widespread public health dangers are so severe that regional
2297 resources are insufficient to contain them, the Bangsamoro Government may request the
2298 National Government to temporarily assume direct supervision and control over the health
2299 operations in the affected localities.
2300
2301 TITLE SIX
2302 LOCAL DEVELOPMENT COUNCILS
2303
2304 SECTION 108. Local Development Councils. - (a) Each local government unit
2305 shall have a comprehensive multi-sectoral development plan such as physical framework
2306 plan, comprehensive development plan and its investment program, to be initiated by its
2307 development council and approved by its Sanggunian. For this purpose, the development
2308 council at the provincial, city, municipal, or barangay level, shall assist the corresponding
2309 Sanggunian in setting the direction of economic and social development, and coordinating
2310 development efforts within its territorial jurisdiction.
2311
2312 SECTION 109. Composition of Local Development Councils. - The composition
2313 of the local development council shall be as follows:
2314
2315 (a) The Barangay development council shall be headed by the Punong
2316 Barangay and shall be composed of the following members:
2317
2318 (1) Members of the Sangguniang Barangay;
2319
2320 (2) Representatives of non-governmental organizations operating in
2321 the Barangay, who shall constitute not less than one fourth (1/4) of
2322 the members of the fully organized council;
2323
2324 (3) A representative of the congressman.
2325
2326 (4) A representative from the Parliament.
2327
2328 (b) The city or municipal development council shall be headed by the mayor
2329 and shall be composed of the following members:
2330
2331 (1) All Punong Barangays in the city or municipality;
2332
2333 (2) The chairman of the committee on appropriations of the
2334 Sangguniang Panlungsod or Sangguniang bayan concerned;
2335
2336 (3) The congressman or his representative; and
2337
2338 (4) Representatives of non- governmental organizations operating in

105
2339 the city or municipality, as the case may be, who shall constitute
2340 not less than one-fourth (1/4) of the members of the fully organized
2341 council.
2342
2343 (5) A representative from the Parliament.
2344
2345 (c) The provincial development council shall be headed by the governor and
2346 shall be composed of the following members:
2347
2348 (1) All mayors of component cities and municipalities;
2349
2350 (2) The chairman of the committee on appropriations of the
2351 Sangguniang Panlalawigan;
2352
2353 (3) The congressman or his representative; and
2354
2355 (4) Representatives of non- governmental organizations operating in
2356 the province, who shall constitute not less than one-fourth (1/4) of
2357 the members of the fully organized council.
2358
2359 (5) A representative from the Parliament.
2360
2361 (d) The local development councils may call upon any local official concerned
2362 or any official of regional agencies or offices in the local government unit
2363 to assist in the formulation of their respective development plans and
2364 public investment programs.
2365
2366 (e) The Bangsamoro Planning and Development Authority and the Ministry
2367 of the Interior and Local Government shall provide planning guidelines to
2368 ensure harmonization of regional and local development plans. Failure to
2369 formulate and approve such mandated plans shall subject the local chief
2370 executive to such criminal and administrative penalties as provided for
2371 under this Code and other applicable laws.
2372
2373 SECTION 110. Representation of Non-Governmental Organizations. - Within
2374 a period of sixty (60) days from the start of organization of local development councils, the
2375 nongovernmental organizations shall choose from among themselves their representatives
2376 to said councils. The local Sanggunian concerned shall accredit non-governmental
2377 organizations subject to the guidelines that shall be issued by the Ministry of the Interior
2378 and Local Government.
2379
2380 SECTION 111. Functions of Local Development Councils. - (a) The provincial,
2381 city, and municipal development councils shall exercise the following functions:
2382
2383 (1) Formulate long-term, medium-term, and annual socio- economic

106
2384 development plans and policies;
2385
2386 (2) Formulate the medium-term and annual public investment
2387 programs;
2388
2389 (3) Appraise and prioritize socio- economic development programs
2390 and projects;
2391
2392 (4) Formulate local investment incentives to promote the inflow and
2393 direction of private investment capital;
2394
2395 (5) Coordinate, monitor, and evaluate the implementation of
2396 development programs and projects; and
2397
2398 (6) Perform such other functions as may be provided by law or
2399 competent authority.
2400
2401 (b) The Barangay development council shall exercise the following functions:
2402
2403 (1) Mobilize people's participation in local development efforts and
2404 disaster preparedness;
2405
2406 (2) Prepare Barangay development plans based on local requirements;
2407
2408 (3) Monitor and evaluate the implementation of regional or local
2409 programs and projects; and
2410
2411 (4) Perform such other functions as may be provided by law or competent
2412 authority.
2413
2414 SECTION 112. Meetings and Quorum. - The local development council shall
2415 meet at least once every six (6) months or as often as may be necessary.
2416
2417 SECTION 113. Executive Committee. - (a) Each local development council shall
2418 create an executive committee to represent it and act in its behalf when it is not in session.
2419 The composition of the executive committee shall be as follows:
2420
2421 (1) The executive committee of the provincial development council
2422 shall be composed of the governor as chairman, the representative
2423 of component city and municipal mayors to be chosen from among
2424 themselves, the chairman of the committee on appropriations of the
2425 Sangguniang Panlalawigan, the president of the provincial league
2426 of Barangays, and a representative of nongovernmental
2427 organizations that are represented in the council, as members;
2428

107
2429 (2) The executive committee of the city or municipal development
2430 council shall be composed of the mayor as chairman, the chairman
2431 of the committee on appropriations of the Sangguniang
2432 Panlalawigan, the president of the city or municipal league of
2433 Barangays, and a representative of nongovernmental organizations
2434 that are represented in the council, as members; and
2435
2436 (3) The executive committee of the Barangay development council
2437 shall be composed of the Punong Barangay as chairman, a
2438 representative of the Sangguniang Barangay to be chosen from
2439 among its members, and a representative of nongovernmental
2440 organizations that are represented in the council, as members.
2441
2442 (b) The executive committee shall exercise the following powers and
2443 functions:
2444
2445 (1) Ensure that the decisions of the council are faithfully carried out
2446 and implemented;
2447
2448 (2) Act on matters requiring immediate attention or action by the
2449 council;
2450
2451 (3) Formulate policies, plans, and programs based on the general
2452 principles laid down by the council; and
2453
2454 (4) Act on other matters that may be authorized by the council.
2455
2456 SECTION 114. Sectoral or Functional Committees. - The local development
2457 councils may form sectoral or functional committees to assist them in the performance of
2458 their functions. The sectoral committees include but are not limited to:
2459
2460 (1) Institutional or Development Administration Committee;
2461 (2) Social Development Committee;
2462 (3) Economic Development Committee;
2463 (4) Environmental Management Committee;
2464 (5) Infrastructure Committee;
2465 (6) Culture and Peace Committee;
2466
2467 In the case of Barangay Development Council, one of its regular committees shall be the
2468 Barangay Disaster Risk Reduction and Management Committee.
2469
2470 SECTION 115. Secretariat. - There is hereby constituted for each local
2471 development council a secretariat which shall be responsible for providing technical
2472 support, documentation of proceedings, preparation of reports and such other assistance as
2473 may be required in the discharge of its functions. The local development council may avail

108
2474 of the services of any nongovernmental organization or educational or research institution
2475 for this purpose.
2476
2477 The secretariats of the provincial, city, and municipal development councils shall
2478 be headed by their respective planning and development coordinators. The secretariat of
2479 the Barangay development council shall be headed by the Barangay secretary who shall be
2480 assisted by the city or municipal planning and development coordinator concerned.
2481
2482 SECTION 116. Relation of Local Development Councils to the Sanggunian
2483 and the Bangsamoro Economic and Development Council. - (a) The policies, programs,
2484 and projects proposed by local development councils shall be submitted to the Sanggunian
2485 concerned for appropriate action. The local development plans approved by their respective
2486 Sanggunian shall be integrated with the development plans of the next higher level of local
2487 development council.
2488
2489 (b) The approved development plans of provinces, highly-urbanized cities, and
2490 independent component cities shall be submitted to the regional
2491 development council, through the Bangsamoro Planning and Development
2492 Authority which shall be integrated into the Bangsamoro Development
2493 Plan.
2494
2495 SECTION 117. Budget Information. - The Ministry of Finance, and Budget and
2496 Management shall furnish the various local development council information on financial
2497 resources and budgetary allocations from the National and Regional Government
2498 applicable to the constituent local government units to guide them in their planning
2499 functions.
2500
2501 TITLE SEVEN
2502 LOCAL PEACE AND ORDER COUNCIL
2503
2504 SECTION 118. Organization. - There is hereby established in every province,
2505 city and municipality a local peace and order council, pursuant to Executive Order No. 309,
2506 Series of 1988, as amended by Executive Order No. 773, Series of 2009. The local peace
2507 and order councils shall have the same composition and functions as those prescribed by
2508 the said executive order.
2509
2510 TITLE EIGHT
2511 LOCAL DISASTER RISK REDUCTION COUNCIL
2512
2513 SECTION 119. Organization. – There is hereby established in every province,
2514 city and municipality a local disaster risk reduction council pursuant to RA No. 10121. The
2515 Local Disaster Risk Reduction Council shall have the same composition and functions as
2516 those prescribed by the said law. 17
2517

17
In accordance with R.A. 1021 or the Philippine Disaster Risk Reduction and Management Act of 2010.

109
2518 TITLE NINE
2519 AUTONOMOUS SPECIAL ECONOMIC ZONE
2520
2521 SECTION 120. Establishment of Autonomous Special Economic Zones. - The
2522 establishment by law of autonomous special economic zones in selected areas of the
2523 Bangsamoro Autonomous Region shall be subject to concurrence by the local government
2524 units included therein.
2525 TITLE X
2526 OTHER PROVISIONS APPLICABLE TO LOCAL GOVERNMENT UNITS
2527
2528 CHAPTER XI
2529 Settlement of Boundary Disputes
2530
2531 SECTION 121. Jurisdictional Responsibility for Settlement of Boundary
2532 Dispute. - Boundary disputes between and among local government units shall, as much
2533 as possible, be settled amicably. To this end:
2534
2535 (a) Boundary disputes involving two (2) or more Barangays in the same city
2536 or municipality shall be referred for settlement to the Sangguniang
2537 Panlungsod or Sangguniang bayan concerned.
2538
2539 (b) Boundary disputes involving two (2) or more municipalities within the
2540 same province shall be referred for settlement to the Sangguniang
2541 Panlalawigan concerned.
2542
2543 (c) Boundary disputes involving municipalities or component cities of
2544 different provinces shall be jointly referred for settlement to the
2545 Sanggunian of the provinces concerned.
2546
2547 (d) Boundary disputes involving a component city or municipality on the one
2548 hand and a highly urbanized city on the other, or two (2) or more highly
2549 urbanized cities, shall be jointly referred for settlement to the respective
2550 Sanggunians of the parties.
2551
2552 (e) In the event the Sanggunian fails to effect an amicable settlement within
2553 sixty (60) days from the date the dispute was referred thereto, it shall issue
2554 a certification to that effect. Thereafter, the dispute shall be formally tried
2555 by the Sanggunian concerned which shall decide the issue within sixty (60)
2556 days from the date of the certification referred to above.
2557
2558 (f) Boundary disputes involving province in the Bangsamoro autonomous
2559 region on one hand and province outside the region on the other shall be
2560 jointly referred to
2561
2562 SECTION 122. Appeal. - Within the time and manner prescribed by the Rules of

110
2563 Court, any party may elevate the decision of the Sanggunian concerned to the proper
2564 Regional Trial Court having jurisdiction over the area in dispute. The Regional Trial Court
2565 shall decide the appeal within one (1) year from the filing thereof. Pending final resolution
2566 of the disputed area prior to the dispute shall be maintained and continued for all legal
2567 purposes.
2568
2569
2570 CHAPTER XII
2571 Local Initiative and Referendum
2572
2573 SECTION 123. Local Initiative Defined. - Local initiative is the legal process
2574 whereby the registered voters of a local government unit may directly propose, enact, or
2575 amend any ordinance.
2576
2577 SECTION 124. Who May Exercise. - The power of local initiative and
2578 referendum may be exercised by all registered voters of the provinces, cities,
2579 municipalities, and Barangays.
2580
2581 SECTION 125. Procedure in Local Initiative. - (a) Not less than one thousand
2582 (1,000) registered voters in case of provinces and cities, one hundred (100) in case of
2583 municipalities, and fifty (50) in case of Barangays, may file a petition with the Sanggunian
2584 concerned proposing the adoption, enactment, repeal, or amendment of an ordinance.
2585
2586 (b) If no favorable action thereon is taken by the Sanggunian concerned within
2587 thirty (30) days from its presentation, the proponents, through their duly
2588 authorized and registered representatives, may invoke their power of
2589 initiative, giving notice thereof to the Sanggunian concerned.
2590
2591 (c) The proposition shall be numbered serially starting from Roman numeral
2592 I. The Comelec or its designated representative shall extend assistance in
2593 the formulation of the proposition.
2594
2595 (d) Two (2) or more propositions may be submitted in an initiative.
2596
2597 (e) Proponents shall have ninety (90) days in case of provinces and cities, sixty
2598 (60) days in case of municipalities, and thirty (30) days in case of
2599 Barangays, from notice mentioned in subsection (b) hereof to collect the
2600 required number of signatures.
2601
2602 (f) The petition shall be signed before the election registrar, or his designated
2603 representatives, in the presence of a representative of the proponent, and a
2604 representative of the Sanggunian concerned in a public place in the local
2605 government unit, as the case may be. Stations for collecting signatures may
2606 be established in as many places as may be warranted.
2607

111
2608 (g) Upon the lapse of the period herein provided, the Comelec, through its
2609 office in the local government unit concerned, shall certify as to whether
2610 or not the required number of signatures has been obtained. Failure to
2611 obtain the required number defeats the proposition.
2612
2613 (h) If the required number of signatures is obtained, the Comelec shall then
2614 set a date for the initiative during which the proposition shall be submitted
2615 to the registered voters in the local government unit concerned for their
2616 approval within sixty (60) days from the date of certification by the
2617 Comelec, as provided in subsection (g) hereof, in case of provinces and
2618 cities, forty-five (45) days in case of municipalities, and thirty (30) days in
2619 case of Barangays. The initiative shall then be held on the date set, after
2620 which the results thereof shall be certified and proclaimed by the Comelec.
2621
2622 SECTION 126. Effectivity of Local Propositions. - If the proposition is approved
2623 by a majority of the votes cast, it shall take effect fifteen (15) days after certification by the
2624 Comelec as if affirmative action thereon had been made by the Sanggunian and local chief
2625 executive concerned. If it fails to obtain said number of votes, the proposition is considered
2626 defeated.
2627
2628 SECTION 127. Limitations on Local Initiatives. - (a) The power of local
2629 initiative shall not be exercised more than once a year.
2630
2631 (b) Initiative shall extend only to subjects or matters which are within the legal
2632 powers of the Sanggunians to enact.
2633
2634 (c) If at any time before the initiative is held, the Sanggunian concerned adopts
2635 in to the proposition presented and the local chief executive approves the
2636 same, the initiative shall be canceled. However, those against such action
2637 may, if they so desire, apply for initiative in the manner herein provided.
2638
2639 SECTION 128. Limitations upon Sanggunian. - Any proposition or ordinance
2640 approved through the system of initiative and referendum as herein provided shall not be
2641 repealed, modified or amended by the Sanggunian concerned within six (6) months from
2642 the date of the approval thereof, and may be amended, modified or repealed by the
2643 Sanggunian within three (3) years thereafter by a vote of three-fourths (3/4) of all its
2644 members: Provided, That in case of Barangays, the period shall be eighteen (18) months
2645 after the approval thereof.
2646
2647 SECTION 129. Local Referendum Defined. - Local referendum is the legal
2648 process whereby the registered voters of the local government units may approve, amend
2649 or reject any ordinance enacted by the Sanggunian. The local referendum shall be held
2650 under the control and direction of the Comelec within sixty (60) days in case of provinces
2651 and cities, forty-five (45) days in case of municipalities and thirty (30) days in case of
2652 Barangays. The Comelec shall certify and proclaim the results of the said referendum.

112
2653
2654 SECTION 130. Authority of Courts. - Nothing in this Chapter shall prevent or
2655 preclude the proper courts from declaring null and void any proposition approved pursuant
2656 to this Chapter for violation of the Constitution or want of capacity of the Sanggunian
2657 concerned to enact the said measure.
2658
2659
2660 BOOK II
2661 LOCAL TAXATION AND FISCAL MATTERS
2662
2663 TITLE ONE
2664 LOCAL GOVERNMENT TAXATION
2665
2666 CHAPTER I
2667 General Provisions
2668
2669 SECTION 131. Scope – The provisions herein shall govern the exercise by the
2670 constituent local government units of the Bangsamoro Autonomous Region of their taxing
2671 powers and other revenue-raising powers.
2672
2673 SECTION 132. Power to Create Sources of Revenue – Each local government
2674 unit shall have the power to create its own sources of revenue and to levy taxes, fees, and
2675 charges, subject to the provisions of Republic Act No. 11054 and consistent with the
2676 principles of equalization, equity, accountability, administrative simplicity, harmonization
2677 and economic efficiency, and fiscal autonomy. Such taxes, fees, and charges shall accrue
2678 exclusively to the local government units.
2679
2680 SECTION 133. Local Economic Development. – To achieve equity, social
2681 justice, and economic development, the local government units shall encourage and
2682 support the building up of entrepreneurial capability within their territorial jurisdiction and
2683 shall recognize, promote, protect, and support the development of cooperatives, economic
2684 enterprises, and other medium, small, and micro enterprises. The local government units
2685 shall adopt and implement local economic development plans, policies and programs that
2686 will increase local revenues, improve the purchasing capacity of its constituents and
2687 promote social, cultural, and environmental impact. For this purpose, the local government
2688 units shall continue to maintain the economic base profile, strengthen partnership relations,
2689 embrace measures that will attract potential investors for the utilization of local resources,
2690 enact or revisit their existing local economic policies that will cope with the current and
2691 future demand.18
2692
2693 SECTION 134. Tax Mapping. - To ensure compliance to the local revenue
2694 ordinances, the local government units shall conduct regular inspections on business

18
To recognize economic enterprises as a source of revenue other than the Internal Revenue Allotment and
direct the local government units to incorporate it in their local economic policies and to disseminate tax
information to their constituents as suggested during the consultations conducted in BARMM

113
2695 establishments within their territorial jurisdiction to verify their registration, invoicing, and
2696 bookkeeping requirements. For this purpose, the local government units shall develop a tax
2697 mapping system, including an information system for real property taxes, that will map
2698 every business in the locality, verify registration, track payments and provide capacity
2699 building to personnel involved in taxation in order improve system of collection of
2700 revenues.19
2701
2702 There shall be a regular tax information campaign about tax ordinances enacted by
2703 the Sanggunian concerned to continue educating the local constituents on the importance
2704 of paying taxes as an obligation and how it will contribute to the betterment of the
2705 community. Moreover, there shall be an information and education materials that is readily
2706 available and accessible within the premises of the local government units.
2707 SECTION 135. Streamlining of Business Permits and Licensing. – The local
2708 government units shall streamline their respective business processes which includes
2709 process reengineering, automation or computerization, customer relations and
2710 institutionalization of systems, to promote integrity, accountability, proper management of
2711 public affairs and public property in the government.
2712 In implementing this provision, the local government units shall establish a
2713 Business One Stop Shop and adopt a simplified requirement and procedures that will
2714 reduce red tape and expedite business and nonbusiness related transactions in the
2715 government. It shall develop a standardized business permit and licensing system that can
2716 be used by its constituents20.
2717
2718 SECTION 136. Fundamental Principles. - The following fundamental principles
2719 shall govern the exercise of the taxing and other revenue-raising powers of the constituent
2720 local government units of the Bangsamoro Autonomous Region:
2721
2722 1. It shall observe the principles of uniformity and equity in taxation;
2723
2724 2. Taxes, fees, charges and other impositions shall:
2725
2726 a. be equitable and based as far as practicable on the taxpayer's ability to
2727 pay;
2728 b. be levied and collected only for public purposes;
2729 c. not be unjust, excessive, oppressive, or confiscatory;
2730 d. not be contrary to law, public policy, national economic policy, or in
2731 restraint of trade;
2732
2733 3. The collection of local taxes, fees, charges and other impositions shall in no
2734 case be let or delegated to any private person;

19
To direct the local government units in establishing a tax mapping system for effective enforcement of their
taxing powers and as suggested by the constituents during consultation in BARMM
20
Incorporated the ARTA and Ease of Doing Business Law

114
2735
2736 4. The revenue collected pursuant to the provisions of this Code shall inure solely
2737 to the benefit of, and be subject to disposition by, the local government unit
2738 levying the tax, fee, charge or other imposition unless otherwise specifically
2739 provided herein; and
2740
2741 5. Each local government unit shall, as far as practicable, evolve a progressive,
2742 responsive, and culture sensitive21 system of taxation.
2743
2744 SECTION 137. Definition of Terms. - When used in this Title, the term:
2745
2746 (a) "Agricultural Product" includes the yield of the soil, such as corn, rice wheat,
2747 rye, hay, coconuts, sugarcane, tobacco, root crops, vegetables, fruits, flowers,
2748 and their by-products; ordinary salt; all kinds of fish; poultry; and livestock and
2749 animal products, whether in their original form or not.
2750
2751 The phrase "whether in their original form or not" refers to the transformation of
2752 said products by the farmer, fisherman, producer or owner through the application of
2753 processes to preserve or otherwise prepare said products for the market such as
2754 freezing, drying salting, smoking, or stripping for purposes of preserving or otherwise
2755 preparing said product s for market;
2756
2757 (b) "Amusement" is a pleasurable diversion and entertainment. It is synonymous to
2758 relaxation, avocation, pastime, or fun;
2759
2760 (c) "Amusement Places" include theaters, cinemas, concert halls, circuses, country
2761 and sports clubs, recreation parks and other places of amusement where one
2762 seeks admission to entertain oneself by seeing or viewing the show or
2763 performances;
2764
2765 (d) "Business" means trade or commercial activity regularly engaged in as a means
2766 of livelihood or with a view to profit;
2767
2768 (e) "Banks and other financial institutions" include non-bank financial
2769 intermediaries, lending investors, finance and investment companies,
2770 pawnshops, money shops, insurance companies, stock markets, stockbrokers
2771 and dealers in securities and foreign exchange, as defined under applicable
2772 laws, or rules and regulations thereunder;
2773
2774 (f) “Barangay Micro Business Enterprise” or BMBE refers to any business entity
2775 or enterprise registered under the provisions of Republic Act No. 9178,
2776 otherwise known as “The Barangay Micro Business Enterprise (“BMBEs”) Act
2777 of 2002.”

21
Section 7, Article XII, RA 11054 - Uniform and Equitable Taxation; prohibition Against Confiscatory Taxes,
Fees and Charges.

115
2778
2779 (g) "Capital Investment" is the capital which a person employs in any undertaking,
2780 or which he contributes to the capital of a partnership, corporation, or any other
2781 juridical entity or association in a particular taxing jurisdiction
2782
2783 (h) “Charges” refer to liability for services rendered or conveniences provided by
2784 the local government units, the amount of which should be commensurate to
2785 such services and capital recovery which ensures continued delivery;
2786
2787 (i) "Contractor" includes persons, natural or juridical, not subject to professional
2788 tax under Section 139 of this Code, whose activity consists essentially of the
2789 sale of kinds of services for a fee, regardless of whether or not the performance
2790 of the service calls for the exercise or use of the physical or mental faculties
2791 of such contractor or his employees.
2792
2793 As used in this Section, the term "contractor" shall include general engineering,
2794 general building and specialty contractors as defined under applicable laws; filling,
2795 demolition and salvage works contractors; proprietors or operators of mine drilling
2796 apparatus; proprietors or operators of dockyards; persons engaged in the installation
2797 of water system, and gas or electric light, heat, or power, proprietors or operators of
2798 smelting plants; engraving, plating, and plastic lamination establishments; proprietors
2799 or operators of establishments for repairing, repainting, upholstering, washing or
2800 greasing of vehicles, heavy equipment, vulcanizing, recapping and battery charging;
2801 proprietors or operators of furniture shops and establishment for planning or surfacing
2802 and recutting of lumber, and sawmills under contract and recutting of lumber, and
2803 sawmill under contract to saw or cut logs belongings to others proprietors or operators
2804 of dry-cleaning or dyeing establishments, steam laundries using washing machines;
2805 proprietors or owners of shops for the repair of any kind of mechanical and electrical
2806 devices, instruments, apparatus, or furniture and shoe repairing by machine or any
2807 mechanical contrivance; proprietors or operators of establishments or lots for parking
2808 purposes; proprietors or operators of tailor shops, dress shops, millineres and hatters,
2809 beauty parlors, barbershops, massage clinics, sauna, Turkish and Swedish baths,
2810 slenderizing and building saloons and similar establishments; photographic studios;
2811 funeral parlors; proprietors or operators of hotels, motels, and lodging houses;
2812 proprietors or operators of arrastre and stevedoring, warehousing, or forwarding
2813 establishments; master plumbers, smiths, and house or sign painters; printers,
2814 bookbinders, lithographers; publishers except those engaged in the publication or
2815 printing of any newspaper, magazine, review or bulletin which appears at regular
2816 intervals with fixed prices for subscription and sale and which is not devoted
2817 principally to the publication of advertisements, business agents, private detective or
2818 watchman agencies, commercial and immigration brokers, and cinematographic film
2819 owners, lessors and distributors.
2820
2821 (j) "Corporation" includes partnerships, no matter how created or organized,
2822 joint- stock companies, joint accounts (cuentasen participation), associations

116
2823 or insurance companies but does not include general professional partnership
2824 but does not include general professional partnership and a joint venture or
2825 consortium formed for the purpose of undertaking construction projects or
2826 engaging in petroleum, coal, geothermal, and other energy operations pursuant
2827 to an operating or consortium agreement under a service contract with the
2828 government. General professional partnership are partnerships formed by
2829 persons for the sole purpose of exercising their common profession, no part of
2830 the income of which is derived from engaging in any trade or business.
2831
2832 The term "resident foreign" when applied to a corporation means a foreign
2833 corporation not otherwise organized under the laws of the Philippines but
2834 engaged in trade or business within the Philippines;
2835
2836 (k) "Countryside and Barangay Business Enterprise" refers to any business entity,
2837 association, or cooperative registered under the provisions of Republic Act
2838 Numbered Sixty-eight hundred ten (R.A. No. 6810)., otherwise known as
2839 "Magna Carta for Countryside and Barangay Business Enterprises (Kalakalan
2840 20)'.
2841
2842 (l) "Dealer" means one whose business is to buy and sell merchandise, goods, and
2843 chattels as a merchant. He stands immediately between the producer or
2844 manufacturer and the consumer and depend for his profit not upon the labor
2845 he bestows upon his commodities but upon the skill and foresight with which
2846 he watches the market;
2847
2848 (m) “Fees” refer to a liability imposed for the regulation or inspection of a business
2849 or activity the amount of which should be commensurate to the administrative
2850 cost of regulation and/or surveillance;
2851
2852 (n) “Fisheries and Aquatic Resources Management Council” pertains to fisherfolk
2853 organization or cooperatives and NGOs in the locality established under
2854 Republic Act No. 8550 otherwise known as “The Philippine Fisheries Code of
2855 the 1998”;
2856
2857 (o) "Franchise" is a right or privilege, affected with public interest which is
2858 conferred upon private persons or corporations, under such terms and
2859 conditions as the government and its political subdivisions may impose in the
2860 interest of public welfare, security, and safety;
2861
2862 (p) "Gross Sales or Receipt" include the total amount of money or its equivalent
2863 representing the contract price, compensation or service fee, including the
2864 amount charged or materials supplies with the services and deposits or
2865 advance payments actually or constructively received during the taxable
2866 quarter for the services performed or to be performed for another person
2867 excluding discounts if determinable at the time of sales, sales return, excise

117
2868 tax, and value-added tax (VAT);
2869
2870 (q) "Manufacturer" includes every person who, by physical or chemical process,
2871 alters the exterior textures or form or inner substance of any raw material or
2872 manufactured product in such manner as to prepare it for special use or uses
2873 to which is could not have been put in its original condition, or who by any
2874 such process alters the quality of any such raw materials or manufactured or
2875 partially manufactured products so as to reduce it to marketable shape or
2876 prepare it for any of the use of industry, or who by any such process combines
2877 any such raw material or manufactured products with other materials or
2878 products of the same or of different kinds and in such manner that the finished
2879 products of such process or manufacture can be put to a special use or uses to
2880 which such raw material or manufactured or partially manufactured products
2881 in their original condition could not have been put, and who in addition alters
2882 such raw material or manufactured products, or combines the same to produce
2883 such finished products for the purpose of their sale or distribution to others and
2884 not for his own use or consumption;
2885
2886 (r) "Marginal Farmer or Fisherfolk" refers to an individual engaged in subsistence
2887 farming or fishing which shall be limited to the sale, barter or exchange of
2888 agricultural or marine products produced by himself and his immediate family;
2889
2890 (r) “Maximum sustainable yield” refers to the largest average quantity of fish that
2891 can be harvested from fish stocks or resource with-in a period of time on a
2892 sustainable basis under existing environmental conditions8;
2893
2894 (s) "Motor Vehicle" means any vehicle propelled by any power other than
2895 muscular power using the public roads, but excluding road rollers, trolley cars,
2896 street-sweepers, sprinklers, lawn mowers, bulldozers, graders, fork-lifts,
2897 amphibian trucks, and cranes if not used on public roads, vehicles which run
2898 only on rails or tracks, and tractors, trailers, and traction engines of all kinds
2899 used exclusively for agricultural purposes;
2900
2901 (t) "Municipal Waters" includes not only streams, lakes, and tidal waters within
2902 the municipality, which are not included within the protected areas as defined
2903 under Republic Act No. 7586 otherwise known as the “National Integrated
2904 Protected Areas System Law” (NIPAS Law) or laws that may be enacted by the
2905 Parliament22, not being the subject of private ownership and not comprised
2906 within the national parks, public forest, timber lands, forest reserves or fishery
2907 reserves, but also marine waters included between two lines drawn
2908 perpendicularly to the general coastline from the low water-mark of the coasts
2909 that are part of the Bangsamoro territorial jurisdiction up to fifteen (15)
2910 kilometers. If it extends up to nineteen (19) kilometers, it shall form part of the
2911 regional waters of the Bangsamoro Autonomous Region.
22
Philippine Fisheries Code of 1998

118
2912
2913 Where a constituent local government unit of the Bangsamoro Autonomous
2914 Region and an adjoining local government unit are so situated on opposite
2915 shores such that there is thirty (30) kilometers of waters or less between them,
2916 a line equally distant from the opposite shores shall be drawn to demarcate the
2917 Bangsamoro waters and the municipal waters of the adjoining local
2918 government unit.
2919
2920 In case the constituent local government unit of the Bangsamoro Autonomous
2921 Region and an adjoining local government unit are so situated in opposite
2922 shores that there is more than thirty (30) kilometers but less than thirty-four
2923 (34) kilometers of waters between them, a line shall be drawn at the edge of
2924 the fifteen-kilometer municipal waters of the adjoining local government unit
2925 to demarcate it from the Bangsamoro waters23;
2926
2927 (u) "Operator" includes the owner, manager, administrator, or any other person
2928 who operates or is responsible for the operation of a business establishment or
2929 undertaking;
2930
2931 (v) "Peddler" means any person who, either for himself or on commission, travels
2932 from place to place and sells his goods or offers to sell and deliver the same.
2933 Whether a peddler is a wholesale peddler or a retail peddler of a particular
2934 commodity shall be determined from the definition of wholesale dealer or retail
2935 dealer as provided in this Title;
2936
2937 (w) "Persons" means every natural or juridical being, susceptible of rights and
2938 obligations or of being the subject of legal relations;
2939
2940 (x) "Residents" refer to natural persons who have their habitual residence in the
2941 province, city, or municipality where they exercise their civil rights and fulfill
2942 their civil obligations, and to juridical persons for whom the law or any other
2943 provision creating or recognizing them fixes their residence in a particular
2944 province, city, or municipality. In the absence of such law, juridical persons are
2945 residents of the province, city, or municipality where they have their legal
2946 residence or principal place of business or where they conduct their principal
2947 business or occupation;
2948
2949 (y) “Resource rent” refers to the difference between the value of the product
2950 produced from harvesting the publicly-owned resource less the cost of
2951 producing it, where cost includes the normal return to capital and labor24;
2952
2953 (z) "Retail means a sale where the purchaser buys the commodity for his own
2954 consumption, irrespective of the quantity of the commodity sold;

23
Section 4, Article III, RA 11054 – Bangsamoro Regional and Municipal Waters
24
Philippine Fisheries Code of 1998

119
2955
2956 (aa) “Tax” is an imposition, charge or burden upon persons, property, or property
2957 rights for the use and support of the local government unit to enable it to
2958 discharge its appropriate functions;
2959
2960 (s) “Total allowable catch” refers to the maximum harvest allowed to be taken
2961 during a given period of time from any fishery area, or from any or group of
2962 fishery species, or a combination of area and species that would not exceed
2963 the maximum sustainable yield25;
2964
2965 (t) "Vessel" includes every type of boat, craft, or other artificial contrivance used,
2966 or capable of being used, as a means of transportation on water;
2967
2968 (u) "Wharfage" means a fee assessed against the cargo of a vessel engaged in
2969 foreign or domestic trade based on quantity, weight, or measure received
2970 and/or discharged by vessel; and
2971
2972 (v) "Wholesale" means a sale where the purchaser buys or imports the
2973 commodities for resale to persons other than the end user regardless of the
2974 quantity of the transaction.
2975
2976 SECTION 138. Local Taxing Authority - The power to impose a tax, fee, or
2977 charge or to generate revenue under this Code shall be exercised by the Sanggunian of the
2978 local government units through an appropriate ordinance.
2979
2980 SECTION 139. Common Limitation on the Taxing Powers of Constituent
2981 Local Government Units - Unless otherwise provided herein, the exercise of taxing
2982 powers of local government units shall not extend to the levy of the following:
2983
2984 (a) Income tax, except when levied on banks and other financial institutions;
2985
2986 (b) Documentary stamp tax;
2987
2988 (c) Taxes on estates, inheritance, gifts, legacies and other acquisitions mortis
2989 causa, except as otherwise provided herein;
2990
2991 (d) Customs duties, registration fees of vessel and wharfage on wharves, tonnage
2992 dues, and all other kinds of customs fees, charges and dues except wharfage on
2993 wharves constructed and maintained by the local government unit concerned;
2994
2995 (e) Taxes, fees, and charges and other impositions upon goods carried into or out of,
2996 or passing through, the territorial jurisdictions of local government units in the
2997 guise of charges for wharfage, tolls for bridges or otherwise, or other taxes, fees,
2998 or charges in any form whatsoever upon such goods or merchandise;

25
Philippine Fisheries Code of 1998

120
2999
3000 (f) Taxes, fees or charges on agricultural and aquatic products when sold by marginal
3001 farmers or fishermen;
3002
3003 (g) Taxes on business enterprises certified to by Board of Investments of the Ministry
3004 of Trade, Industry, and Tourism as pioneer or non-pioneer for a period of six (6)
3005 and four (4) years, respectively from the date of registration;
3006
3007 (h) Excise taxes on articles enumerated under the National Internal Revenue Code, as
3008 amended, and taxes, fees or charges on petroleum products;
3009
3010 (i) Percentage or value-added tax (VAT) on sales, barters or exchanges or similar
3011 transactions on goods or services except as otherwise provided herein;
3012
3013 (j) Taxes on the gross receipts of transportation contractors and persons engaged in
3014 the transportation of passengers or freight by hire and common carriers by air,
3015 land or water, except as provided in this Code;
3016
3017 (k) Taxes on premiums paid by way of reinsurance or retrocession;
3018
3019 (l) Taxes, fees or charges for the registration of motor vehicles and for the issuance
3020 of all kinds of licenses or permits for the driving thereof, except tricycles;
3021
3022 (m) Taxes, fees, or other charges on Philippine products actually exported, except as
3023 otherwise provided herein;
3024
3025 (n) Taxes, fees, or charges, on Countryside and Barangay Business Enterprises and
3026 cooperatives duly registered under Republic Act No. 6810 and Republic Act No.
3027 6938, as amended) otherwise known as the “Cooperative Code of the Philippines”
3028 respectively; and
3029
3030 (o) Taxes, fees or charges of any kind on the National Government and Bangsamoro
3031 Government, their agencies and instrumentalities, and local government units.
3032
3033 CHAPTER II
3034 Specific Provisions on the Taxing
3035 and Other Revenue Raising Powers of Local Government Units
3036
3037 ARTICLE I
3038 Provinces
3039
3040 SECTION 140. Scope of Taxing Powers. - Except as otherwise provided in this
3041 Code, the province may levy only the taxes, fees, and charges as provided in this Article.
3042
3043 SECTION 141. Tax on Transfer of Real Property Ownership. - (a) The

121
3044 province may impose a tax on the sale, donation, barter, or on any other mode of
3045 transferring ownership or title of real property at the rate of not more than fifty percent
3046 (50%) of one percent (1%) of the total consideration involved in the acquisition of the
3047 property or of the fair market value in case the monetary consideration involved in the
3048 transfer is not substantial, whichever is higher. The sale, transfer or other disposition of
3049 real property pursuant to R.A. No. 6657 shall be exempt from this tax.
3050
3051 (b) For this purpose, the Register of Deeds of the province concerned shall, before
3052 registering any deed, require the presentation of the evidence of payment of this
3053 tax. The provincial assessor shall likewise make the same requirement before
3054 canceling an old tax declaration and issuing a new one in place thereof. Notaries
3055 public shall furnish the provincial treasures with a copy of any deed transferring
3056 ownership or title to any real property within thirty (30) days from the date
3057 ofnotarization.
3058
3059 It shall be the duty of the seller, donor, transferor, executor or administrator to pay
3060 the tax herein imposed within sixty (60) days from the date of the execution of the deed or
3061 from the date of the decedent's death.
3062
3063 SECTION 142. Tax on Business of Printing and Publication. - The Province
3064 may impose a tax on the business of persons engaged in the printing and/or publication of
3065 books, cards, posters, leaflets, handbills, certificates, receipts, pamphlets, and other of
3066 similar nature, at a rate not exceeding fifty percent (50%) of one percent (1%) of the gross
3067 annual receipts for the preceding calendar year.
3068 In the case of a newly started business, the tax shall not exceed one-twentieth (1/20)
3069 of one percent (1%) of the capital investment. In the succeeding calendar year, regardless
3070 of when the business started to operate, the tax shall be based on the gross receipts for the
3071 preceding calendar year, or any fraction thereof, as provided herein.
3072
3073 The receipts from the printing and/or publishing of books or other reading materials
3074 prescribed by the Department of Education, Culture and Sports as school texts or reference
3075 shall be exempt from the tax herein imposed.
3076
3077 SECTION 143. Franchise Tax - Notwithstanding any exemption granted by any
3078 law or other special laws, the province may impose a tax on business enjoying a franchise,
3079 at a rate exceeding fifty percent (50%) of one percent (1%) of the gross annual receipts for
3080 the preceding calendar year based on the incoming receipt, or realized, within its territorial
3081 jurisdiction.
3082
3083 In the case of a newly started business, the tax shall not exceed one-twentieth (1/20)
3084 of one percent (1%) of the capital investment. In the succeeding calendar year, regardless
3085 of when the business started to operate, the tax shall be based on the gross receipts for the
3086 preceding calendar year, or any fraction thereof, as provided herein.
3087
3088 SECTION 144. Tax on Sand, Gravel and Other Quarry Resources - The

122
3089 province may levy and collect not more than ten percent (10%) of fair market value in the
3090 locality per cubic meter of ordinary stones, sand, gravel, earth, and other quarry resources,
3091 as defined under the National Internal Revenue Code, as amended, extracted from public
3092 lands or from the beds of seas, lakes, rivers, streams, creeks, and other public waters within
3093 its territorial jurisdiction.
3094
3095 The imposition and issuance of permit to extract sand, gravel and other quarry
3096 resources covering an area of not more than five (5) hectares shall be issued exclusively by
3097 the provincial governor upon the recommendation of the city or municipal mayor where
3098 the resources will be extracted and pursuant to an ordinance of the Sangguniang
3099 Panlalawigan. The term of the permit is for a period of five (5) year from the date of
3100 issuance thereof, renewable for like periods but not to exceed a total term of twenty-five
3101 (25) years.
3102
3103 For extraction, removal and disposal of quarry resources covering an area more
3104 than (5) hectares but not to exceed twenty (20) hectares at any one time for a term of five
3105 (5) years from the issuance thereof, renewable for like period but not to exceed a total term
3106 of twenty-five (25) years, the permit shall be issued by the of Ministry of Environment,
3107 Natural Resources and Energy and the tax be imposed by the Bangsamoro Government26.
3108
3109 The proceeds of the tax on sand, gravel and other quarry resources shall be
3110 distributed as follows:
3111
3112 (1) Thirty percent (30%) to the Bangsamoro Government; and
3113
3114 (2) Seventy percent (70%) to the local government units where the sand gravel,
3115 and other quarry resources are extracted, which shall be further divided as
3116 follows:
3117
3118 i. Thirty percent (30%) to the province;
3119 ii. Thirty percent (30%) to the component city or municipality; and
3120 iii. Forty percent (40%) to the barangay27.
3121
3122 SECTION 145. Professional Tax - (a) The province may levy an annual
3123 professional tax on each person engaged in the exercise or practice of his profession
3124 requiring government examination in such amount and reasonable classification as the
3125 Sangguniang Panlalawigan may determine but shall in no case exceed One Thousand Three
3126 Hundred Pesos (P1,300.00).The Sangguniang Panglalawigan may increase the ceiling on
3127 the professional tax once every three (3) years based on the past three (3)-year average of
3128 the consumer price index as officially published by the Philippine Statistics Authority28.
3129

26
Incorporated the provision of the Philippine Mining Act 1995
27
Amended the distribution by including the Bangsamoro Government as sharer in accordance with Section
6, Article XII, RA 11054 – Sources of Revenue
28
Team recommends to increase the amount due to inflation since the Local Government Code was
enacted in 1991.

123
3130 (b) Every person legally authorized to practice his profession shall pay the
3131 professional tax to the province where he practices his profession or where he
3132 maintains his principal office in case he practices his profession in several places:
3133 Provided, however, That such person who has paid the corresponding professional
3134 tax shall be entitled to practice his profession in any part of the Philippines without
3135 being subjected to any other national or local tax, license, or free for the practice
3136 of such profession.
3137
3138 (1) Any individual or corporation employing a person subject to professional tax
3139 shall require payment by that person of the tax on his profession before
3140 employment and annually thereafter.
3141
3142 (2) The professional tax shall be payable annually on or before the thirty first (31st)
3143 day of January must, however, pay the full tax before engaging therein. A line
3144 of profession does not become exempt even if conducted with some other
3145 profession for which the tax has been paid. Professionals exclusively
3146 employed in the government shall be exempt from the payment of this tax.
3147
3148 (3) Any person subject to the professional tax shall write in deeds, receipts,
3149 prescriptions, reports, books of account, plans and designs, surveys and maps,
3150 as the case may be, the number of the official receipt issued to him.
3151
3152 SECTION 146. Amusement Tax - (a) The province may levy an amusement tax
3153 to be collected from the proprietors, lessees, or operators of theaters, cinemas, concert halls,
3154 circuses, boxing stadia, and other places of amusement at a rate of not more than ten percent
3155 (10%) of the gross receipts from admission fees.
3156
3157 (b) In the case of theaters of cinemas, the tax shall first be deducted and withheld by
3158 their proprietors, lessees, or operators and paid to the provincial treasurer before
3159 the gross receipts are divided between said proprietors, lessees, or operators and
3160 the distributors of the cinematographic films.
3161
3162 (c) The holding of operas, concerts, dramas, recitals, painting and art exhibitions,
3163 flower shows, musical programs, literary and oratorical presentations, except pop,
3164 rock, or similar concerts shall be exempt from the payment of the tax herein
3165 imposed.
3166
3167 (d) The Sangguniang Panlalawigan may prescribe the time, manner, terms and
3168 conditions for the payment of tax. In case of fraud or failure to pay the tax, the
3169 Sangguniang Panlalawigan may impose such surcharges, interests and penalties
3170 as it may deem appropriate.
3171
3172 (e) The proceeds from the amusement tax shall be shared equally by the province and
3173 the municipality where such amusement places are located.
3174

124
3175 SECTION 147. Annual Fixed Tax for Every Delivery Truck or Van of
3176 Manufacturers or Producers, Wholesalers of, Dealers, or Retailers in, Certain
3177 Products. - (a) The province may levy an annual fixed tax for every truck, van or any
3178 vehicle used by manufacturers, producers, wholesalers, dealers or retailers in the delivery
3179 or distribution of distilled spirits, fermented liquors, soft drinks, cigars and cigarettes, and
3180 other products as may be determined by the Sangguniang Panlalawigan, to sales outlets,
3181 consumers, whether directly or indirectly, within the province in an amount not exceeding
3182 Two Thousand Two Hundred Pesos (P 2,200.00)29.
3183
3184 The manufacturers, producers, wholesalers, dealers, and retailers referred to in the
3185 immediately preceding paragraph shall be exempt from the tax on peddlers prescribed
3186 elsewhere in this Code.
3187
3188 The Sangguinang Panlalawigan may increase the annual fixed tax for every truck,
3189 car or any vehicle used by manufacturers, producers, wholesales, dealers or retailers in the
3190 delivery or distribution of distilled spirits, fermented liquors, soft drinks, cigars and
3191 cigarettes, and other products to sales outlets, or consumers, whether directly or indirectly,
3192 once every three (3) years, based on guidelines issued by the Ministry of Finance, and
3193 Budget and Management utilizing the consumer price index as the basis in increasing the
3194 ceiling of the aforementioned annual fixed tax.
3195
3196 ARTICLE II
3197 Municipalities
3198
3199 SECTION 148. Scope of Taxing Powers. - Except as otherwise provided in this
3200 Code, municipalities may levy taxes, fees, and charges not otherwise levied by provinces.
3201
3202 SECTION 149. Tax on Business. - The municipality may impose taxes on the
3203 following business:
3204
3205 (a) On manufacturers, assemblers, repackers, processors, brewers, distillers,
3206 rectifiers, and compounders of liquors, distilled spirits, and wines or manufacturers of any
3207 article of commerce of whatever kind or nature, in accordance with the following schedule:
3208
With gross sales or receipts for the preceding calendar year in the Amount of Tax
amount of: Per Annum
Less than P10,000.00 P165.00
P10,000.00 or more but less than 15,000.00 95.00
15,000.00 or more but less than 20,000.00 302.00`
20,000.00 or more but less than 30,000.00 440.00
30,000.00 or more but less than 40,000.00 660.00
40,000.00 or more but less than 50,000.00 825.00

29
Team recommends to increase the amount due to inflation since the Local Government Code was
enacted in 1991.

125
 50,000.00 or more but less than 75,000.00 1,320.00
75,000.00 or more but less than 100,000.00 1,650.00
100,000.00 or more but less than 150,000.00 2,200.00
150,000.00 or more but less than 200,000.00 2,750.00
200,000.00 or more but less than 300,000.00 3,850.00
300,000.00 or more but less than 500,000.00 5,500.00
500,000.00 or more but less than 750,000.00 8,000.00
750,000.00 or more but less than 1,000,000.00 10,000.00
1,000,000.00 or more but less than 2,000,000.00 13,750.00
2,000,000.00 or more but less than 3,000,000.00 16,500.00
3,000,000.00 or more but less than 4,000,000.00 19,800.00
4,000,000.00 or more but less than 5,000,000.00 23,100.00
5,000,000.00 or more but less than 6,500,000.00 24,375.00
6,500,000.00 or more at a rate not exceeding
thirty-seven and a half
percent (37½%) of one
percent (1%)
3209
3210 (b) On wholesalers, distributors, or dealers in any article of commerce of whatever
3211 kind or nature in accordance with the following schedule:
3212
With gross sales or receipts for the preceding calendar Amount of Tax Per Annum
year in the amount of:
Less than P1,000.00 P18.00

P1,000.00 or more but less than P2,000.00 33.00

2,000.00 or more but less than 3,000.00 50.00
3,000.00 or more but less than 4,000.00 72.00
4,000.00 or more but less than 5,000.00 100.00
5,000.00 or more but less than 6,000.00 121.00
6,000.00 or more but less than 7,000.00 143.00
7,000.00 or more but less than 8,000.00 165.00
8,000.00 or more but less than 10,000.00 187.00
10,000.00 or more but less than 15,000.00 95.00
15,000.00 or more but less than 20,000.00 275.00
20,000.00 or more but less than 30,000.00 330.00
30,000.00 or more but less than 40,000.00 440.00
40,000.00 or more but less than 50,000.00 660.00
50,000.00 or more but less than 75,000.00 990.00
75,000.00 or more but less than 100,000.00 1,320.00
100,000.00 or more but less than 150,000.00 1,870.00
150,000.00 or more but less than 200,000.00 2,420.00

126
 200,000.00 or more but less than 300,000.00 3,300.00
300,000.00 or more but less than 500,000.00 4,400.00
500,000.00 or more but less than 750,000.00 6,600.00
750,000.00 or more but less than 1,000,000.00 8,800.00
1,000,000.00 or more but less than 2,000,000.00 10,000.00
2,000,000.00 or more at a rate not exceeding fifty
percent (50%) of one percent
(1 %).
3213
3214 (c) On exporters, and on manufacturers, millers, producers, wholesalers, distributors,
3215 dealers or retailers of essential commodities enumerated hereunder at a rate not exceeding
3216 one-half (½) of the rates prescribed under subsection (a), (b) and (d) of this Section:

3217 (1) Rice and corn;

3218 (2) Wheat or cassava flour, meat, dairy products, locally manufactured, processed or
3219 preserved food, sugar, salt and other agricultural, marine, and fresh water products, whether
3220 in their original state or not;

3221 (3) Cooking oil and cooking gas;

3222 (4) Laundry soap, detergents, and medicine;

3223 (5) Agricultural implements, equipment and post-harvest facilities, fertilizers, pesticides,
3224 insecticides, herbicides and other farm inputs;

3225 (6) Poultry feeds and other animal feeds;

3226 (7) School supplies; and

3227 (8) Cement.

3228 (d) On retailers.

With gross sales or receipts for the preceding calendar year of: Rate of TaxPer Annum
P400,000.00 or less 2%
more than P400,000.00 1%
3229
3230 Provided, however, That barangays shall have the exclusive power to levy taxes, as
3231 provided under Section 152 hereof, on gross sales or receipts of the preceding calendar
3232 year of Eighty Thousand Pesos (P80,000.00) or less, in the case of cities, and Fifty
3233 Thousand Pesos (P50,000.00)30 or less, in the case of municipalities.

30
Barangays will have a bigger scope in tax imposition and increase in revenues.

127
3234 (e) On contractors and other independent contractors, in accordance with the following
3235 schedule:

With gross receipts for the preceding calendar year in the Amount of Tax Per
amount of: Annum
Less than P5,000.00 P27.50
P5,000.00 or more but less than P10,000.00 61.60
10,000.00 or more but less than 15,000.00 104.50
15,000.00 or more but less than 20,000.00 165.00
20,000.00 or more but less than 30,000.00 275.00
30,000.00 or more but less than 40,000.00 385.00
40,000.00 or more but less than 50,000.00 550.00
50,000.00 or more but less than 75,000.00 880.00
75,000.00 or more but less than 100,000.00 1,320.00
100,000.00 or more but less than 150,000.00 1,980.00
150,000.00 or more but less than 200,000.00 2,640.00
200,000.00 or more but less than 250,000.00 3,630.00
250,000.00 or more but less than 300,000.00 4,620.00
300,000.00 or more but less than 400,000.00 6,160.00
400,000.00 or more but less than 500,000.00 8,250.00
500,000.00 or more but less than 750,000.00 9,250.00
750,000.00 or more but less than 1,000,000.00 10,250.00
1,000,000.00 or more but less than 2,000,000.00 11,500.00
2,000,000.00 or more at a rate not exceeding
fifty percent (50%) of one
percent (1%)
3236
3237 (f) On banks and other financial institutions, at a rate not exceeding fifty percent (50%) of
3238 one percent (1%) on the gross receipts of the preceding calendar year derived from interest,
3239 commissions and discounts from lending activities, income from financial leasing,
3240 dividends, rentals on property and profit from exchange or sale of property, insurance
3241 premium.

3242 (g) On peddlers engaged in the sale of any merchandise or article of commerce, at a rate
3243 not exceeding Fifty pesos (P50.00) per peddler annually.

3244 (h) On any business, not otherwise specified in the preceding paragraphs, which the
3245 Sanggunian concerned may deem proper to tax: Provided, That on any business subject to
3246 the excise, value-added or percentage tax under the National Internal Revenue Code, as
3247 amended, the rate of tax shall not exceed two percent (2%) of gross sales or receipts of the
3248 preceding calendar year.

128
3249 The Sanggunian concerned may prescribe a schedule of graduated tax rates but in no case
3250 to exceed the rates prescribed herein.

3251 SECTION 150. Retirement of Business. - A business subject to tax pursuant to

3252 the preceding sections shall, upon termination thereof, submit a sworn statement of its gross
3253 sales or receipts for the current year. If the tax was paid during the year, the difference shall
3254 be paid before the business concerned is officially retired.
3255
3256 SECTION 151. Payment of Business Taxes. - (a) The taxes imposed under
3257 Section 143 shall be payable for every separate or distinct establishment or place where
3258 business subject to the tax is conducted and one line of business does not become exempt
3259 by being conducted with some other business for which such tax has been paid. The tax on
3260 a business must be paid by the person conducting the same.
3261
3262 (b) In cases where a person conducts or operates two (2) or more businesses which are
3263 subject to the same rate of tax, the tax shall be computed on the combined total
3264 gross sales or receipts of the said two (2) or more related businesses.
3265
3266 (c) In cases where a person conducts or operates two (2) or more businesses which are
3267 subject to different rates of tax, the gross sales or receipts of each business shall
3268 be separately reported for the purpose of computing the tax due from each
3269 business.
3270
3271 SECTION 152. Fees and Charges. - The municipality may impose and collect
3272 such reasonable fees and charges on business and occupation and, except as reserved to the
3273 province in Section 15 of this Code, on the practice of any profession or calling,
3274 commensurate with the cost of regulation, inspection and licensing before any person may
3275 engage in such business or occupation, or practice such profession or calling.
3276
3277 SECTION 153. Fees for Sealing and Licensing of Weights and Measures. - (a)
3278 The municipality may levy fees for the sealing and licensing of weights and measures at
3279 such reasonable rates as shall be prescribed by the Sangguniang Bayan.
3280
3281 (b) The Sangguniang bayan shall prescribe the necessary regulations for the use of
3282 such weights and measures, subject to such guidelines as may be prescribed by the
3283 Ministry of Science and Technology. The Sanggunian concerned shall, by
3284 appropriate ordinance, penalize fraudulent practices and unlawful possession or
3285 use of instruments of weights and measures and prescribe the criminal penalty
3286 therefore in accordance with the provisions of this Code. Provided, however, That
3287 the Sanggunian concerned may authorize the municipal treasurer to settle an
3288 offense not involving the commission of fraud before a case therefore is files in
3289 court, upon payment of a compromise penalty as prescribed by the Sangguinian
3290 but not less than One Thousand Pesos (P1,000)31.

31
Team recommends to increase the amount due to inflation since the Local Government Code was
enacted in 1991.

129
3291
3292 SECTION 154. Fishery Rentals, Fees and Charges. - (a) Municipalities shall
3293 have the exclusive authority to grant fishery privileges in the municipal waters and impose
3294 rentals, fees or charges therefore in accordance with the provisions of this Section.
3295 Provided, that, rentals, fees, or charges shall be based on estimates of resource rent as may
3296 be determined by the Sanggunian concerned in consultation with the Fisheries and Aquatic
3297 Resource Management Councils established under Republic Act No. 8550 otherwise
3298 known as the “Philippine Fisheries Code of 1998”.
3299
3300 (b) The Sangguniang Bayan may:
3301
3302 (1) Grant fishery privileges to erect fish corrals, oyster, mussels or other aquatic
3303 beds or bangus fry areas, within a definite zone of the municipal waters, as
3304 determined by it: Provided, however, That duly registered organizations and
3305 cooperatives of marginal fishermen shall have the preferential right to such
3306 fishery privileges: Provided, further, That the Sangguniang bayan may require
3307 a public bidding in conformity with and pursuant to an ordinance for the grant
3308 of such privileges: Provided, finally, That in the absence of such organizations
3309 and cooperatives or their failure to exercise their preferential right, other parties
3310 may participate in the public bidding in conformity with the above cited
3311 procedure.
3312
3313 (2) Grant the privilege to gather, take or catch bangus fry, prawn fry or kawag-
3314 kawag or fry of other species and fish from the municipal waters by nets, traps
3315 or other fishing gears to marginal fishermen free of any rental, fee, charge or
3316 any other imposition whatsoever.
3317
3318 (3) Issue for the operation of fishing vessels of three (3) tons or less for which
3319 purpose the Sangguniang bayan shall promulgate rules and regulations
3320 regarding the issuances of such licenses to qualified applicants under existing
3321 laws. Provided, that the total number of licenses issued in consonance with the
3322 total allowable catch as determined by the Sanggunian concerned, in
3323 consultation with Fisheries and Aquatic Resource Management Council32.
3324
3325 Provided, however, That the Sanggunian concerned shall, by appropriate ordinance,
3326 penalize the use of explosives, noxious or puissance substances, electricity, muro-ami,
3327 and other deleterious methods of fishing and prescribe a criminal penalty therefor in
3328 accordance with the provisions of this Code: Provided, finally, That the Sanggunian
3329 concerned shall have the authority to prosecute any violation of the provisions of
3330 applicable fisherylaws.
3331
3332 SECTION 155. Situs of the Tax. - (a) For purposes of collection of the taxes under
3333 Section 19 of this Code, manufacturers, assemblers, repackers, brewers, distillers, rectifiers
3334 and compounders of liquor, distilled spirits and wines, millers, producers, exporters,
32
The Philippine Fisheries Code of 1998

130
3335 wholesalers, distributors, dealers, contractors, banks and other financial institutions, and
3336 other businesses maintaining or operating branch or sales outlet elsewhere shall record the
3337 sale in the branch or sales outlet making the sale or transaction, and the tax thereon shall
3338 accrue and shall be paid to the municipality where such branch or sales outlet is located. In
3339 cases where there is no such branch or sales outlet in the city or municipality where the
3340 sale or transaction is made, the sale shall be duly recorded in the principal office and the
3341 taxes due shall accrue and shall be paid to such city or municipality.
3342
3343 (b) The following sales allocation shall apply to manufacturers, assemblers,
3344 contractors, producers, and exporters with factories, project offices, plants, and
3345 plantations in the pursuit of their business:
3346
3347 (1) Thirty percent (30%) of all sales recorded in the principal office shall be taxable
3348 by the city or municipality where the principal office is located; and
3349
3350 (2) Seventy percent (70%) of all sales recorded in the principal office shall be
3351 taxable by the city or municipality where the factory, project office, plant, or
3352 plantation is located.
3353
3354 (c) In case of a plantation located at a place other than the place where the factory is
3355 located, said seventy percent (70%) mentioned in subparagraph (b) of subsection
3356 (2) above shall be divided as follows:
3357
3358 (1) Sixty percent (60%) to the city or municipality where the factory is located;
3359 and
3360
3361 (2) Forty percent (40%) to the city or municipality where the plantation is located.
3362
3363 (d) In case where a manufacturer, assembler, producer, exporter or contract or has two
3364 (2) or more factories, project offices, plants, or plantations located in different
3365 localities, the seventy percent (70%) mentioned in subparagraph (b) of subsection
3366 (2) above shall be prorated among the localities where the factories, project
3367 offices, plants, and plantations are located in proportion to their respective volume
3368 or production during the period for which the tax is due.
3369
3370 (e) The foregoing sales allocation shall be applied irrespective of whether or not sales
3371 are made in the locality where the factory, project office, plant or plan is located.
3372
3373 ARTICLE III
3374 Cities
3375
3376 SECTION 156. Scope of Taxing Powers. - Except as otherwise provided in this
3377 Code, the city, may levy the taxes, fees, and charges which the province or municipality
3378 may impose: Provided, however, That the taxes, fees and charges levied and collected by
3379 highly urbanized and independent component cities shall accrue to them and distributed in

131
3380 accordance with the provisions of this code.
3381
3382 The rates of taxes that the city may levy may exceed the maximum rates allowed
3383 for the province or municipality by not more than fifty percent (50%) except the rates of
3384 professional and amusement taxes.
3385
3386
3387 ARTICLE IV
3388 Barangays
3389
3390 SECTION 157. Scope of Taxing Powers. - The Barangays may levy taxes, fees,
3391 and charges, as provided in this Article, which shall exclusively accrue to them:
3392
3393 (a) Taxes - On stores or retailers with fixed business establishments with gross sales
3394 or receipts of the preceding calendar year of Eighty Thousand Pesos (P80,000.00)
3395 or less, in the case of cities and Fifty Thousand Pesos (P50,000.00)33 or less, in
3396 the case of municipalities, at a rate not exceeding one percent (1%) on such gross
3397 sales or receipts.
3398
3399 (b) Service Fees or Charges - Barangays may collect reasonable fees or charges for
3400 services rendered in connection with the regulation or the use of Barangay-owned
3401 properties or service facilities such as palay, copra, or tobacco dryers.
3402
3403 (c) Barangay Clearance - No city or municipality may issue any license or permit for
3404 any business or activity unless a clearance is first obtained from the Barangay
3405 where such business or activity is located or conducted. For such clearance, the
3406 Sangguniang Barangay may impose a reasonable fee. The application for
3407 clearance shall be acted upon within seven (7) working days from the filing
3408 thereof. In the event that the clearance is not issued within the said period, the city
3409 or municipality may issue the said license or permit.
3410
3411 (d) Other Fees and Charges - The Barangay may levy reasonable fees and charges:
3412
3413 (1) On commercial breeding of fighting cocks, cockfights and cockpits;
3414
3415 (2) On places of recreation which charge admission fees; and
3416
3417 (3) On billboards, signboards, neon signs, and outdoor advertisements.
3418
3419 ARTICLE V
3420 Common Revenue-Raising Powers
3421
3422 SECTION 158. Service Fees and Charges. - Local government units may impose

33
Barangays will have a bigger scope in tax imposition and increase in revenues.

132
3423 and collect such reasonable fees and charges for services rendered.
3424
3425 SECTION 159. Public Utility Charges. – Local government units may fix the
3426 rates for the operation of public utilities owned, operated and maintained by them within
3427 their jurisdiction.
3428
3429 SECTION 160. Toll Fees or Charges. – The Sanggunian concerned may prescribe
3430 the terms and conditions and fix the rates for the imposition of toll fees or charges for the
3431 use of any public road, pier or wharf, waterway, bridge, ferry or telecommunication system
3432 funded and constructed by the local government unit concerned: Provided, That no such
3433 toll fees or charges shall be collected from officers and enlisted men of the Armed Forces
3434 of the Philippines and members of the Philippine National Police on mission, post office
3435 personnel delivering mail, physically- handicapped, and disabled citizens who are sixty-
3436 five (65) years or older.
3437
3438 When public safety and welfare so requires, the Sanggunian concerned may
3439 discontinue the collection of the tolls, and thereafter the said facility shall be free and open
3440 for public use.
3441
3442 ARTICLE VI
3443 Community Tax
3444
3445 SECTION 161. Community Tax. - Cities or municipalities may levy a community
3446 tax in accordance with the provisions of this Article.
3447
3448 SECTION 162. Individuals Liable to Community Tax. - Every inhabitant of the
3449 local government unit eighteen (18) years of age or over who has been regularly employed
3450 on a wage or salary basis for at least thirty (30) consecutive working days during any
3451 calendar year, or who is engaged in business or occupation, or who owns real property with
3452 an aggregate assessed value of One thousand pesos (P1,000.00) or more, or who is required
3453 by law to file an income tax return shall pay an annual community tax of Twenty Pesos (P
3454 20.00)34 and an annual additional tax of One Pesos (P1.00)for every One thousand pesos
3455 (P1,000.00) of income, regardless of whether from business, exercise of profession or from
3456 property, which in no case shall exceed Five thousand pesos(P5,000.00).
3457
3458 In the case of husband and wife, the additional tax herein imposed shall be based
3459 upon the total property owned by them and the total gross receipts or earnings derived by
3460 them.
3461
3462 SECTION 163. Juridical Persons Liable to Community Tax. - Every
3463 corporation no matter how created or organized, whether domestic or resident foreign,
3464 engaged in or doing business in the Philippines shall pay an annual community tax of One

34
Team recommends to increase the amount due to inflation since the Local Government Code was
enacted in 1991.

133
3465 Thousand Pesos (P 1,000.00)35 and an annual additional tax, which in no case, shall exceed
3466 Ten thousand pesos (P10,000.00) in accordance with the following schedule:
3467
3468 (1) For every Five thousand pesos (P5,000.00) worth of real property in the
3469 Philippines owned by it during the preceding year based on the valuation used
3470 for the payment of the real property tax under existing laws, found in the
3471 assessment rolls of the city or municipality where the real property is situated
3472 – Five Pesos (P 2.00)36; and
3473
3474 (2) For every Five thousand pesos (P5,000.00) of gross receipts or earnings
3475 derived by it from its business in the Philippines during the preceding year -
3476 Five Pesos (P 2.00)37;
3477
3478 The dividends received by a corporation from another corporation however shall,
3479 for the purpose of the additional tax, be considered as part of the gross receipts or earnings
3480 of said corporation.
3481
3482 SECTION 164. Exemption. - The following are exempt from the
3483 community tax:
3484
3485 (1) Diplomatic and consular representatives; and
3486
3487 (2) Transient visitors when their stay in the Philippines does not exceed three (3)
3488 months.
3489
3490 SECTION 165. Place of Payment. - The community tax shall be paid in the place
3491 of residence of the individual, or in the place where the principal office of the juridical
3492 entity is located.
3493
3494 SECTION 166. Time for Payment; Penalties for Delinquency. - (a) The
3495 community tax shall accrue on the first (1st) day of January of each year which shall be
3496 paid not later than the last day of February of each year. If a person reaches the age of
3497 eighteen (18) years or otherwise loses the benefit of exemption on or before the last day
3498 of June, he shall be liable for the community tax on the day he reaches such age or upon
3499 the day the exemption ends. However, if a person reaches the age of eighteen (18) years
3500 or loses the benefit of exemption on or before the last day of March, he shall have twenty
3501 (20) days to pay the community tax without becoming delinquent.
3502
3503 Persons who come to reside in the Philippines or reach the age of eighteen (18)
3504 years on or after the first (1st) day of July of any year, or who cease to belong to an exempt

35
Team recommends to increase the amount due to inflation since the Local Government Code was
enacted in 1991.
36
Team recommends to increase the amount due to inflation since the Local Government Code was
enacted in 1991.
37
Team recommends to increase the amount due to inflation since the Local Government Code was
enacted in 1991.

134
3505 class on or after the same date, shall not be subject to the community tax for that year.
3506
3507 (b) Corporation established and organized on or before the last day of June shall be
3508 liable for the community tax for that year. But corporations established and
3509 organized on or before the last day of March shall have twenty (20) days within
3510 which to pay the community tax without becoming delinquent. Corporations
3511 established and organized on or after the first day of July shall not be subject to
3512 the community tax for that year.
3513
3514 If the tax is not paid within the time prescribed above, there shall be added to the
3515 unpaid amount an interest of twenty-four percent (24%) per annum from the due date until
3516 it is paid.
3517
3518 SECTION 167. Community Tax Certificate. - A community tax certificate shall
3519 be issued to every person or corporation upon payment of the community tax. A
3520 community tax certificate may also be issued to any person or corporation not subject to
3521 the community tax upon payment of One peso (P1.00).
3522
3523 SECTION 168. Presentation of Community Tax Certificate on Certain
3524 Occasions. - (a) When an individual subject to the community tax acknowledges any
3525 document before a notary public, takes the oath of office upon election or appointment to
3526 any position in the government service; receives any license, certificate, or permit from
3527 any public authority; pays any tax or fee; receives any money from any public fund;
3528 transacts other official business; or receives any salary or wage from any person or
3529 corporation, it shall be the duty of any person, officer, or corporation with whom such
3530 transaction is made or business done or from whom any salary or wage is received to
3531 require such individual to exhibit the community tax certificate.
3532
3533 The presentation of community tax certificate shall not be required in connection
3534 with the registration of a voter.
3535
3536 (b) When, through its authorized officers, any corporation subject to the community
3537 tax receives any license, certificate, or permit from any public authority, pays and
3538 tax or fee, receives money from public funds, or transacts other official business,
3539 it shall be the duty of the public official with whom such transaction is made or
3540 business done, to require such corporation to exhibit the community tax certificate.
3541
3542 (c) The community tax certificate required in the two preceding paragraphs shall be
3543 the one issued for the current year, except for the period from January until the
3544 fifteenth (15th) of April each year, in which case, the certificate issued for the
3545 preceding year shall suffice.
3546
3547 (a) The Bangsamoro Revenue Office38 shall cause the printing of community tax
3548 certificates and distribute the same to the cities and municipalities through the city and
38
Section 11, Article XII, RA 11054 – Assessment and Collection of Taxes; Bangsamoro Revenue Office

135
3549 municipal treasurers in accordance with prescribed regulations.
3550
3551 The proceeds of the tax shall accrue to the general funds of the cities,
3552 municipalities and Barangays except a portion thereof which shall accrue to the general
3553 fund of the Bangsamoro Government to cover the actual cost of printing and distribution
3554 of the forms and other related expenses. The city or municipal treasurer concerned shall
3555 remit to the Bangsamoro Treasury Office39 the said share of the Bangsamoro Government
3556 in the proceeds of the tax within ten (10) days after the end of each quarter.
3557
3558 (b) The city or municipal treasurer shall deputize the Barangay treasurer to collect the
3559 community tax in their respective jurisdictions: Provided, however, that said
3560 Barangay treasurer shall be bonded in accordance with existing laws.
3561
3562 (c) The proceeds of the community tax actually and directly collected by the city or
3563 municipal treasurer shall accrue entirely to the general fund of the city or
3564 municipality concerned. However, proceeds of the community tax collected
3565 through the Barangay treasurers shall be apportioned as follows:
3566
3567 (1) Fifty percent (50%) shall accrue to the general fund of the city or municipality
3568 concerned; and
3569
3570 (2) Fifty percent (50%) shall accrue to the Barangay where the tax is collected.
3571
3572 CHAPTER III
3573 Collection of Taxes
3574
3575 SECTION 170. Tax Period and Manner of Payment. - Unless otherwise
3576 provided in this Code, the tax period of all local taxes, fees and charges shall be the
3577 calendar year. Such taxes, fees and charges may be paid in quarterly installments.
3578
3579 SECTION 171. Accrual of Tax. - Unless otherwise provided in this Code, all
3580 local taxes, fees, and charges shall accrue on the first (1st) day of January of each year.
3581 However, new taxes, fees or charges, or changes in the rates thereof, shall accrue on the
3582 first (1st) day of the quarter next following the effectivity of the ordinance imposing such
3583 new levies or rates.
3584
3585 SECTION 172. Time of Payment. - Unless otherwise provided in this Code, all
3586 local taxes, fees, and charges shall be paid within the first twenty (20) days of January or
3587 of each subsequent quarter, as the case may be. The Sanggunian concerned may, for a
3588 justifiable reason or cause, extend the time of payment of such taxes, fees, or charges
3589 without surcharges or penalties, but only for a period not exceeding six (6) months.
3590
3591 SECTION 173. Surcharges and Penalties on unpaid Taxes, fees, or Charges.

39
Section 4, Article XII, RA 11054 – Bangsamoro Treasury Office

136
3592 - The Sanggunian may impose a surcharge not exceeding twenty-five percent (25%) of
3593 the amount of taxes, fees or charges not paid on time and an interest at the rate not
3594 exceeding two percent (2%) per month of the unpaid taxes, fees or charges including
3595 surcharges, until such amount is fully paid but in no case shall the total interest on the
3596 unpaid amount or portion thereof exceed thirty-six (36) months.
3597
3598 SECTION 174. Interests on Other Unpaid Revenues. - Where the amount of
3599 any other revenue due a local government unit, except voluntary contributions or
3600 donations, is not paid on the date fixed in the ordinance, or in the contract, expressed or
3601 implied, or upon the occurrence of the event which has given rise to its collection, there
3602 shall be collected as part of that amount an interest thereon at the rate not exceeding two
3603 percent (2%) per month from the date it is due until it is paid, but in no case shall the total
3604 interest on the unpaid amount or a portion thereof exceed thirty-six months.
3605
3606 SECTION 175. Collection of Local Revenues by Treasurer. - All local taxes,
3607 fees, and charges shall be collected by the provincial, city, municipal, or Barangay
3608 treasurer, or their duly authorized deputies.
3609
3610 The provincial, city or municipal treasurer may designate the Barangay treasurer
3611 as his deputy to collect local taxes, fees, or charges. In case a bond is required for the
3612 purpose, the provincial, city or municipal government shall pay the premiums thereon in
3613 addition to the premiums of bond that may be required under this Code.
3614
3615 SECTION 176. Examination of Books of Accounts and Pertinent Records of
3616 Businessmen by Local Treasurer. - The provincial, city, municipal or Barangay
3617 treasurer may, by himself or through any of his municipal or Barangay treasurer may, by
3618 himself or through any of his deputies duly authorized in writing, examine the books,
3619 accounts, and other pertinent records of nay person, partnership, corporation, or
3620 association subject to local taxes, fees and charges in order to ascertain, assess, and collect
3621 the correct amount of the tax, fee, or charge. Such examination shall be made during
3622 regular business hours, only once for every tax period, and shall be certified to by the
3623 examining official. Such certificate shall be made of record in the books of accounts of
3624 the taxpayer examined.
3625
3626 In case the examination herein authorized is made by a duly authorized deputy of
3627 the local treasurer, the written authority of the deputy concerned shall specifically state
3628 the name, address, and business of the taxpayers whose books, accounts, and pertinent
3629 records are to be examined, the date and place of such examination, and the procedure to
3630 be followed in conducting the same.
3631
3632 For this purpose, the records of the revenue district office of the Bureau of Internal
3633 Revenue shall be made available to the local treasurer, his deputy or duly authorized
3634 representative.
3635
3636 CHAPTER IV

137
3637 Civil Remedies for Collection of Revenues
3638
3639 SECTION 177. Application of Chapter. - The provisions of this Chapter and the
3640 remedies provided herein may be availed of for the collection of any delinquent local tax,
3641 fee, charge, or other revenue.
3642
3643 SECTION 178. Local Government's Lien. - Local taxes, fees, charges and other
3644 revenue constitute a lien, superior to all liens, charges or encumbrances in favor of any
3645 person, enforceable by appropriate administrative or judicial action, not only upon any
3646 property or rights therein which may be subject to the lien but also upon property used in
3647 business, occupation, practice of profession or calling, or exercise of privilege with respect
3648 to which the lien is imposed. The lien may only be extinguished upon full payment of the
3649 delinquent local taxes fees and charges including related surcharges andinterest.
3650
3651 SECTION 179. Civil Remedies. - The civil remedies for the collection of local
3652 taxes, fees, or, and surcharges and interest resulting from delinquency shall be:
3653
3654 (a) By administrative action thru distraint of goods, chattels, or effects, and other
3655 personal of whatever character, including stocks and other securities, debts,
3656 credits, bank accounts, and interest in and rights to personal property, and by levy
3657 upon real property and interest in or rights to real property; and
3658
3659 (b) By judicial action. Either of these remedies or all may be pursued concurrently or
3660 at the discretion of the local government unit concerned.
3661
3662 SECTION 180. Distraint of Personal Property. - The remedy by distraint shall
3663 proceed as follows:
3664
3665 (a) Seizure - Upon failure of the person owing any local tax, fee, or charge to pay the
3666 same at the time required, the local treasurer or his deputy may, upon written
3667 notice, seize or confiscate any personal property belonging to that person or any
3668 personal property subject to the lien in sufficient quantity to satisfy the tax, fee, or
3669 charge in question, together with any increment thereto incident to delinquency
3670 and the expenses of seizure. In such case, the local treasurer or his deputy shall
3671 issue a duly authenticated certificate based upon the records of his office showing
3672 the fact of delinquency and the amounts of the tax, fee, or charge and penalty due.
3673 Such certificate shall serve as sufficient warrant for the distraint of personal
3674 property aforementioned, subject to the taxpayer's right to claim exemption under
3675 the provisions of existing laws. Distrained personal property shall be sold at public
3676 auction in the manner herein provided for.
3677
3678 (b) Accounting of distrained goods - The officer executing the distraint shall make or
3679 cause to be made an account of the goods, chattels or effects distrained, a copy of
3680 which signed by himself shall be either with the owner or person from whose
3681 possession the goods, chattels or effects are taken, or at the dwelling or place of

138
3682 business of that person and with someone of suitable age and discretion, to which
3683 list shall be added a statement of the sum demanded and a note of the time and
3684 place of sale.
3685
3686 (c) Publication - The officer shall forth with cause a notification to be exhibited in not
3687 less than three (3) public and conspicuous places in the territory of the local
3688 government unit where the distraint is made, specifying the time and place of sale,
3689 and the articles distrained. The time of sale shall not be less than twenty (20) days
3690 after notice to the owner or possessor of the property as above specified and the
3691 publication or posting of the notice. One place for the posting of the notice shall
3692 be at the office of the chief executive of the local government unit in which the
3693 property is distrained.
3694
3695 (d) Release of distrained property upon payment prior to sale - If at any time prior to
3696 the sale, all the proper charges are paid to the officer conducting the sale, the goods
3697 or effects distrained shall be restored to the owner.
3698
3699 (e) Procedure of sale - At the time and place fixed in the notice, the officer conducting
3700 the sale sell the goods or effects so distrained at public auction to the highest bidder
3701 for cash. Within five (5) days after the sale, the local treasurer shall make a report
3702 of the proceedings in writing to the local chief executive concerned.
3703
3704 Should the property distrained be not disposed of within one hundred and twenty (120)
3705 days from the date of distraint, the same shall be considered as sold to the local
3706 government unit concerned for the amount of the assessment made thereon by the
3707 Committee on Appraisal and to the extent of the same amount, the tax delinquencies shall
3708 be cancelled.
3709
3710 Said Committee on Appraisal shall be composed of the city or municipal treasurer as
3711 chairman, with a representative of the Commission on Audit and the city or municipal
3712 assessor as members.
3713
3714 (f) Disposition of proceeds - The proceeds of the sale shall be applied to satisfy the
3715 tax, including the surcharges, interest, and other penalties incident to delinquency,
3716 and the expenses of the distraint and sale. The balance over and above what is
3717 required to pay the entire claim shall be returned to the owner of the property sold.
3718 The expenses chargeable upon the seizure and sale shall embrace only the actual
3719 expenses of seizure and preservation of the property pending the sale, and no
3720 charge shall be imposed for the services of the local officer or his deputy. Where
3721 the proceeds of the sale are insufficient to satisfy the claim, other property may,
3722 in like manner, be distrained until the full amount due, including all expenses,
3723 collected.
3724
3725 SECTION 181. Levy on Real Property. - After the expiration of the time required
3726 to pay the tax, fee, or charge, real property may be levied on before, simultaneously, or

139
3727 after the distraint of personal property belonging to the delinquent taxpayer. To this end,
3728 the provincial, city or municipal treasurer, as the case may be, shall prepare a duly
3729 authenticated certificate showing the name of the taxpayer and the amount of the tax, fee,
3730 or charge, and penalty due from him. Said certificate shall operate with the force of a legal
3731 execution throughout the Philippines. Levy shall be affected by writing upon said
3732 certificate the description of the property upon which levy is made. At the same time,
3733 written notice of the levy shall be mailed to or served upon the assessor and the Registrar
3734 of Deeds of the province or city where the property is located who shall annotate the levy
3735 on the tax declaration and certificate of title of the property, respectively, and the
3736 delinquent taxpayer or, if he be absent from the Philippines, to his agent or the manager of
3737 the business in respect to which the liability arose, or if there be none, to the occupant of
3738 the property in question. In case the levy on real property is not issued before or
3739 simultaneously with the warrant of distraint on personal property, and the personal property
3740 of the taxpayer is not sufficient to satisfy his delinquency, the provincial, city or municipal
3741 treasurer, as the case may be, shall within thirty (30) days after execution of the distraint,
3742 proceed with the levy on the taxpayer's real property. A report on any levy shall, within ten
3743 (10) days after receipt of the warrant, be submitted by the levying officer to the Sanggunian
3744 concerned.
3745
3746 SECTION 182. Penalty for Failure to Issue and Execute Warrant. - Without
3747 prejudice to criminal under the Revised Penal Code and other applicable laws, any local
3748 treasurer who fails to issue or execute the warrant of distraint or levy after the expiration
3749 of the time prescribed, or who is found guilty of abusing the exercise thereof by competent
3750 authority shall be automatically dismissed from the service after due notice and hearing.
3751
3752 SECTION 183. Advertisement and Sale. - Within thirty (30) days after levy, the
3753 local treasurer shall proceed to publicly advertise for sale or auction the property or a usable
3754 portion thereof as may be necessary to satisfy the claim and cost of sale; and such
3755 advertisement shall cover a period of at least thirty (30) days. It shall be effected by posting
3756 a notice at the main entrance of the municipal building or city hall, and in a public and
3757 conspicuous place in the Barangay where the real property is located, and by publication
3758 once a week for three (3) weeks in a newspaper of general circulation in the province, city
3759 or municipality where the property is located. The advertisement shall contain the amount
3760 of taxes, fees or charges, and penalties due thereon, and the time and place of sale, the
3761 name of the taxpayer against whom the taxes, fees, or charges are levied, and a short
3762 description of the property to be sold. At any time before the date fixed for the sale, the
3763 taxpayer may stay the proceedings by paying the taxes, fees, charges, penalties and
3764 interests. If he fails to do so, the sale shall proceed and shall be held either at the main
3765 entrance of the provincial, city or municipal building, or on the property to be sold, or at
3766 any other place as determined by the local treasurer conducting the sale and specified in
3767 the notice of sale.
3768
3769 Within thirty (30) days after the sale, the local treasurer or his deputy shall make a
3770 report of the sale to the Sanggunian concerned, and which shall form part of his records.
3771 After consultation with the Sanggunian, the local treasurer shall make and deliver to the

140
3772 purchaser a certificate of sale, showing the proceedings of the sale, describing the property
3773 sold, stating the name of the purchaser and setting out the exact amount of all taxes, fees,
3774 charges, and related surcharges, interests, or penalties: Provided, however, That any excess
3775 in the proceeds of the sale over the claim and cost of sales shall be turned over to the owner
3776 of the property.
3777
3778 The local treasurer may, by ordinance duly approved, advance an amount sufficient
3779 to defray the costs of collection by means of the remedies provided for in this Title,
3780 including the preservation or transportation in case of personal property, and the
3781 advertisement and subsequent sale, in cases of personal and real property including
3782 improvements thereon.
3783
3784 SECTION 184. Redemption of Property Sold. - Within one (1) year from the
3785 date of sale, the delinquent taxpayer or his representative shall have the right to redeem the
3786 property upon payment to the local treasurer of the total amount of taxes, fees, or charges,
3787 and related surcharges, interests or penalties from the date of delinquency to the date of
3788 sale, plus interest of not more than two percent (2%) per month on the purchase price from
3789 the date of purchase to the date of redemption. Such payment shall invalidate the certificate
3790 of sale issued to the purchaser and the owner shall be entitled to a certificate of redemption
3791 from the provincial, city or municipal treasurer or his deputy.
3792
3793 The provincial, city or municipal treasurer or his deputy, upon surrender by the
3794 purchaser of the certificate of sale previously issued to him, shall forthwith return to the
3795 latter the entire purchase price paid by him plus the interest of not more than two percent
3796 (2%) per month herein provided for, the portion of the cost of sale and other legitimate
3797 expenses incurred by him, and said property thereafter shall be free from the lien of such
3798 taxes, fees, or charges, related surcharges, interests, and penalties.
3799
3800 The owner shall not, however, be deprived of the possession of said property and
3801 shall be entitled to the rentals and other income thereof until the expiration of the time
3802 allowed for its redemption.
3803
3804 SECTION 185. Final Deed to Purchaser. - In case the taxpayer fails to redeem
3805 the property as provided herein, the local treasurer shall execute a deed conveying to the
3806 purchaser so much of the property as has been sold, free from liens of any taxes, fees,
3807 charges, related surcharges, interests, and penalties. The deed shall succinctly recite all the
3808 proceedings upon which the validity of the sale depends.
3809
3810 SECTION 186. Purchase of Property by the Local Government Units for Want
3811 of Bidder. - In case there is no bidder for the real property advertised for sale as provided
3812 herein, or if the highest bid is for an amount insufficient to pay the taxes, fees, or charges,
3813 related surcharges, interests, penalties and costs, the local treasurer conducting the sale
3814 shall purchase the property in behalf of the local government unit concerned to satisfy the
3815 claim and within two (2) days thereafter shall make a report of his proceedings which shall
3816 be reflected upon the records of his office. It shall be the duty of the Registrar of Deeds

141
3817 concerned upon registration with his office of any such declaration of forfeiture to transfer
3818 the title of the forfeited property to the local government unit concerned without the
3819 necessity of an order from a competent court.
3820
3821 Within one (1) year from the date of such forfeiture, the taxpayer or any of his
3822 representative, may redeem the property by paying to the local treasurer the full amount of
3823 the taxes, fees, charges, and related surcharges, interests, or penalties, and the costs of sale.
3824 If the property is not redeemed as provided herein, the ownership thereof shall be fully
3825 vested of the local government unit concerned.
3826
3827 SECTION 187. Resale of Real Estate Taken for Taxes, Fees, or Charges. - The
3828 Sanggunian may, by ordinance duly approved, and upon notice of not less than twenty (20)
3829 days, sell and dispose of the real property acquired under the preceding section at public
3830 auction. The proceeds of the sale shall accrue to the general fund of the local government
3831 unit concerned.
3832
3833 SECTION 188. Collection of Delinquent Taxes, Fees, Charges or other
3834 Revenues through Judicial Action. - The local government unit concerned may enforce
3835 the collection of delinquent taxes, fees, charges or other revenues by civil action in any
3836 court of competent jurisdiction. The civil action shall be filed by the local treasurer within
3837 the period prescribed in Section 194 of this Code.
3838
3839 SECTION 189. Further Distraint or Levy. - The remedies by distraint and levy
3840 may be repeated if necessary until the full amount due, including all expenses, is collected.
3841
3842 SECTION 190. Personal Property Exempt from Distraint or Levy. - The
3843 following property shall be exempt from distraint and the levy, attachment or execution
3844 thereof for delinquency in the payment of any local tax, fee or charge, including the related
3845 surcharge and interest:
3846
3847 (a) Tools and the implements necessarily used by the delinquent taxpayer in his trade
3848 or employment;
3849
3850 (b) One (1) horse, cow, carabao, or other beast of burden, such as the delinquent
3851 taxpayer may select, and necessarily used by him in his ordinary occupation;
3852
3853 (c) His necessary clothing, and that of all his family;
3854
3855 (d) Household furniture and utensils necessary for housekeeping and used for that
3856 purpose by the delinquent taxpayer, such as he may select, of a value not
3857 exceeding Ten thousand pesos (Php10,000.00);
3858
3859 (e) Provisions, including crops, actually provided for individual or family use
3860 sufficient for four (4) months;
3861

142
3862 (f) The professional libraries of doctors, engineers, lawyers and judges;
3863
3864 (g) One fishing boat and net, not exceeding the total value of Ten thousand pesos
3865 (Php10,000.00), by the lawful use of which a fisherman earns his livelihood; and
3866
3867 (h) Any material or article forming part of a house or improvement of any real
3868 property.
3869
3870 CHAPTER 5
3871 Miscellaneous Provisions
3872
3873 SECTION 191. Power to Levy Other Taxes, Fees or Charges. - Local government
3874 units may exercise the power to levy taxes, fees or charges on any base or subject not
3875 otherwise specifically enumerated herein or taxed under the provisions of the National
3876 Internal Revenue Code, as amended, or other applicable laws: Provided, That the taxes,
3877 fees, or charges shall not be unjust, excessive, oppressive, confiscatory or contrary to
3878 declared national policy: Provided, further, That the ordinance levying such taxes, fees or
3879 charges shall not be enacted without any prior public hearing conducted for the purpose.
3880
3881 SECTION 192. Procedure for Approval and Effectivity of Tax ordinances and
3882 Revenue Measures; Mandatory Public Hearings. - The procedure for approval of local
3883 tax ordinances and revenue measures shall be in accordance with the provisions of this
3884 Code: Provided, That public hearings shall be conducted for the purpose prior to the
3885 enactment thereof: Provided, further, That any question on the constitutionality or legality
3886 of tax ordinances or revenue measures may be raised on appeal within thirty (30) days from
3887 the effectivity thereof to the Secretary of Justice who shall render a decision within sixty
3888 (60) days from the date of receipt of the appeal: Provided, however, That such appeal shall
3889 not have the effect of suspending the effectivity of the ordinance and the accrual and
3890 payment of the tax, fee, or charge levied therein: Provided, finally, That within thirty (30)
3891 days after receipt of the decision or the lapse of the sixty-day period without the Secretary
3892 of Justice acting upon the appeal, the aggrieved party may file appropriate proceedings
3893 with a court of competent jurisdiction.
3894
3895 SECTION 193. Publication of Tax Ordinances and Revenue Measures. - Within
3896 ten (10) days after their approval, certified true copies of all provincial, city, and municipal
3897 tax ordinances or revenue shall be published in full for three (3) consecutive days in a
3898 newspaper of local circulation: Provided, however, that in provinces, cities and
3899 municipalities where there are no newspapers of local circulation, the same may be posted
3900 in at least two (2) conspicuous and publicly accessible places.
3901
3902 SECTION 194. Furnishing of Copies of Tax Ordinances and Revenue
3903 Measures. - Copies of all provincial, city, and municipal and Barangay tax ordinances and
3904 revenue measures shall be furnished the respective local treasurers for public
3905 dissemination.
3906

143
3907 SECTION 195. Attempt to Enforce Void or Suspended Tax Ordinances and
3908 Revenue Measures. - The enforcement of any tax ordinance or revenue measure after due
3909 notice of the disapproval or suspension thereof shall be sufficient ground for administrative
3910 disciplinary action against the local officials and employees responsible therefor.
3911
3912 SECTION 196. Authority of Local Government Units to Adjust Rates of Tax
3913 ordinances. - Local units shall have the authority to adjust the tax rates as prescribed herein
3914 not oftener than once every five (5) years, but in no case shall such adjustment exceed ten
3915 percent (10%) of the rates fixed under this Code.
3916
3917 SECTION 197. Authority to Grant Tax Exemption Privileges. - Local
3918 government units may, through ordinances duly approved, grant tax exemptions, incentives
3919 or reliefs under such terms and conditions, as they may deem necessary.
3920
3921 SECTION 198. Withdrawal of Tax Exemption Privileges. - Unless otherwise
3922 provided in this Code, tax exemptions or incentives granted to, or presently enjoyed by all
3923 persons, whether natural or juridical, including government-owned or -controlled
3924 corporations, except local water districts, cooperatives duly registered under R.A. No.
3925 6938, non-stock and non-profit hospitals and educational institutions, are hereby
3926 withdrawn upon the effectivity of this Code.
3927
3928 CHAPTER VI
3929 Taxpayer's Remedies
3930
3931 SECTION 199. Periods of Assessment and Collection. - (a) Local taxes, fees, or
3932 charges shall be assessed within five (5) years from the date they became due. No action
3933 for the collection of such taxes, fees, or charges, whether administrative or judicial, shall
3934 be instituted after the expiration of such period: Provided, That, taxes, fees or charges
3935 which have accrued before the effectivity of this Code may be assessed within a period of
3936 three (3) years from the date they became due.
3937
3938 (b) In case of fraud or intent to evade the payment of taxes, fees, or charges, the same
3939 may be assessed within ten (10) years from discovery of the fraud or intent to
3940 evade payment.
3941
3942 (c) Local taxes, fees, or charges may be collected within five (5) years from the date
3943 of by or judicial action. No such action shall be instituted after the expiration of
3944 said period: Provided, however, That, taxes, fees or charges assessed before the
3945 effectivity of this Code may be collected within a period of three (3) years from
3946 the date of assessment.
3947
3948 (d) The running of the periods of prescription provided in the preceding paragraphs
3949 shall be for the time during which:
3950
3951 (1) The treasurer is legally prevented from making the assessment of collection;

144
3952
3953 (2) The taxpayer requests for a reinvestigation and executes a waiver in writing
3954 before expiration of the period within which to assess or collect; and
3955
3956 (3) The taxpayer is out of the country or otherwise cannot be located.
3957
3958 SECTION 200. Protest of Assessment. - When the local treasurer or his duly
3959 authorized representative finds that correct taxes, fees, or charges have not been paid, he
3960 shall issue a notice of assessment stating the nature of the tax, fee or charge, the amount of
3961 deficiency, the surcharges, interests and penalties. Within sixty (60) days from the receipt
3962 of the notice of assessment, the taxpayer may file a written protest with the local treasurer
3963 contesting the assessment; otherwise, the assessment shall become final and executory. The
3964 local treasurer shall decide the protest within sixty (60) days from the time of its filing. If
3965 the local treasurer finds the protest to be wholly or partly meritorious, he shall issue a notice
3966 canceling wholly or partially the assessment. However, if the local treasurer finds the
3967 assessment to be wholly or partly correct, he shall deny the protest wholly or partly with
3968 notice to the taxpayer. The tax payer shall have thirty days from the receipt of the denial
3969 of the protest or from the lapse of the sixty (60) day period prescribed herein within which
3970 to appeal with the court of competent jurisdiction otherwise the assessment becomes
3971 conclusive and unappealable.
3972
3973 SECTION 201. Claim for Refund of Tax Credit. - No case or proceeding shall be
3974 maintained in any court for the recovery of any tax, fee, or charge erroneously or illegally
3975 collected until a written claim for refund or credit has been filed with the local treasurer.
3976 No case or proceeding shall be entertained in any court after the expiration of two (2) years
3977 from the date of the payment of such tax, fee, or charge, or from the date the taxpayer is
3978 entitled to a refund or credit.
3979
3980 TITLE II.
3981 REAL PROPERTYTAXATION
3982
3983 CHAPTER I
3984 General Provisions
3985
3986
3987 SECTION 202. Scope. - This Title shall govern the administration, appraisal,
3988 assessment, levy and collection of real property tax.
3989
3990 SECTION 203. Fundamental Principles. - The appraisal, assessment, levy and
3991 collection of real property tax shall be guided by the following fundamental principles:
3992
3993 (a) Real property shall be appraised at its current and fair market value;
3994
3995 (b) Real property shall be classified for assessment purposes on the basis of its actual
3996 use;

145
3997
3998 (c) Real property shall be assessed on the basis of a uniform classification within each
3999 local government unit;
4000
4001 (d) The appraisal, assessment, levy and collection of real property tax shall not be let
4002 to any private person; and
4003
4004 (e) The appraisal and assessment of real property shall be equitable.
4005
4006 SECTION 204. Definitions. - When used in this Title: (a) " Acquisition Cost" for
4007 newly-acquired machinery not yet depreciated and appraised within the year of its
4008 purchase, refers to the actual cost of the machinery to its present owner, plus the cost of
4009 transportation, handling, and installation at the present site;
4010
4011 (b) "Actual Use" refers to the purpose for which the property is principally or
4012 predominantly by the person in possession thereof;
4013
4014 (c) "Ad Valorem Tax" is a levy on real property determined on the basis of a fixed
4015 proportion of the value of the property;
4016
4017 (d) "Agricultural Land" is land devoted principally to the planting of trees, raising of
4018 crops, livestock and poultry, dairying, salt making, inland fishing and similar
4019 aquacultural activities, and other agricultural activities, and is not classified as
4020 mineral, timber, residential, commercial or industrial land;
4021
4022 (e) "Appraisal" is the act or process of determining the value of property as of a
4023 specific date for a specific purpose;
4024
4025 (f) "Assessment" is the act or process of determining the value of a property, or
4026 proportion thereof subject to tax, including the discovery, listing, classification,
4027 and appraisal of properties;
4028
4029 (g) "Assessment Level" is the percentage applied to the fair market value to determine
4030 the taxable value the property;
4031
4032 (h) "Assessed Value" is the fair market value of the real property multiplied by the
4033 assessment level. It is synonymous to taxable value;
4034
4035 (i) "Commercial Land" is land devoted principally for the object of profit and is not
4036 classified as agricultural, industrial, mineral, timber, or residential land;
4037
4038 (j) "Depreciated Value" is the value remaining after deducting depreciation from the
4039 acquisition cost;
4040
4041 (k) "Economic Life" is the estimated period over which it is anticipated that a

146
4042 machinery or equipment may be profitably utilized;
4043
4044 (l) "Fair Market Value" is the price at which a property may be sold by a seller who is
4045 not compelled to sell and bought by a buyer who is not compelled to buy;
4046
4047 (m) "Improvement" is a valuable addition made to a property or an amelioration in its
4048 condition, amounting to more than a mere repair or replacement of parts involving
4049 capital expenditures and labor, which is intended to enhance its value, beauty or
4050 utility or to adapt it for new or further purposes;
4051
4052 (n) "Industrial Land" is land devoted principally to industrial activity as capital
4053 investment and is not classified as agricultural, commercial, timber, mineral or
4054 residential land;
4055
4056 (o) "Machinery" embraces machines, equipment, mechanical contrivances,
4057 instruments, or apparatus which may or may not be attached, permanently or
4058 temporarily, to the real property. It includes the physical facilities for production,
4059 installations and appurtenant service facilities, those which are mobile, self-
4060 powered or self-propelled, and those not permanently attached to the real property
4061 which are actually, directly, and exclusively used to meet the needs of the
4062 particular industry, business or activity and which by their very nature and purpose
4063 are designed for, or necessary to its manufacturing, mining, logging, commercial,
4064 industrial or agricultural purposes;
4065
4066 (p) "Mineral Lands" are lands in which minerals, metallic or non-metallic, exist in
4067 sufficient
4068 quantityorgradetojustifythenecessaryexpenditurestoextractandutilizesuchmaterial
4069 s;
4070
4071 (q) "Reassessment" is the assigning of new assessed values to property, particularly
4072 real estate, as the result of a general, partial, or individual reappraisal of the
4073 property;
4074
4075 (r) "Remaining Economic Life" is the period of time expressed in years from the date
4076 of appraisal to the date when the machinery becomes valueless;
4077
4078 (s) "Remaining Value" is the value corresponding to the remaining useful life of the
4079 machinery;
4080
4081 (t) "Replacement or Reproduction Cost" is the cost that would be incurred on the basis
4082 of current prices, in acquiring an equally desirable substitute property, or the cost
4083 of reproducing a new replica of the property on the basis of current prices with the
4084 same or closely similar material; and
4085
4086 (u) "Residential Land" is land principally devoted to habitation.

147
4087
4088 SECTION 205. Administration of the Real Property Tax. - The provinces and
4089 cities shall be primarily responsible for the proper, efficient and effective administration of
4090 the real property tax.
4091
4092 CHAPTER II
4093 Appraisal and Assessment of Real Property
4094
4095 SECTION 206. Appraisal of Real Property. - All real property, whether taxable
4096 or exempt, shall be appraised at the current and fair market value prevailing in the locality
4097 where the property is situated. The Ministry of Finance, and Budget and Management40
4098 shall promulgate the necessary rules and regulations for the classification, appraisal, and
4099 assessment of real property pursuant to the provisions of this Code and guided by the
4100 standards set by the Department of Finance – Bureau of Local Government Finance.
4101
4102 SECTION 207. Declaration of Real Property by the Owner or Administrator.
4103 - It shall be the duty of all persons, natural or juridical, owning or administering real
4104 property, including the improvements therein, within a city or municipality, or their duly
4105 authorized representative, to prepare, or cause to be prepared, and file with the provincial
4106 or city assessor, a sworn statement declaring the true value of their property, whether
4107 previously declared or undeclared, taxable or exempt, which shall be the current and fair
4108 market value of the property, as determined by the declarant. Such declaration shall contain
4109 a description of the property sufficient in detail to enable the assessor or his deputy to
4110 identify the same for assessment purposes. The sworn declaration of real property herein
4111 referred to shall be filed with the assessor concerned once every three (3) years during the
4112 period from January first (1st) to June thirtieth (30th).
4113
4114 SECTION 208. Duty of Person Acquiring Real Property or Making
4115 Improvement Thereon. - It shall also be the duty of any person, or his authorized
4116 representative, acquiring at any time real property in any municipality or city or making
4117 any improvement on real property, to prepare, or cause to be prepared, and file with the
4118 provincial or city assessor, a sworn statement declaring the true value of subject property,
4119 within sixty (60) days after the acquisition of such property or upon completion or
4120 occupancy of the improvement, whichever comes earlier.
4121
4122 SECTION 209. Declaration of Real Property by the Assessor. - When any
4123 person, natural or juridical, by whom real property is required to be declared under Section
4124 202 hereof, refuses or fails for any reason to make such declaration within the time
4125 prescribed, the provincial or city assessor shall himself declare the property in the name of
4126 the defaulting owner, if known, or against an unknown owner, as the case may be, and shall
4127 assess the property for taxation in accordance with the provision of this Title. No oath shall
4128 be required of a declaration thus made by the provincial, city or municipal assessor.
4129
4130 SECTION 210. Listing of Real Property in the Assessment Rolls. - (a) In every
40
Section 3, Article XII, RA 11054 – Local Government Finance

148
4131 province and city, there shall be prepared and maintained by the provincial or city assessor
4132 an assessment roll wherein shall be listed all real property, whether taxable or exempt,
4133 located within the territorial jurisdiction of the local government unit concerned. Real
4134 property shall be listed, valued and assessed in the name of the owner or administrator, or
4135 anyone having legal interest in the property.
4136
4137 (b) The undivided real property of a deceased person may be listed, valued and
4138 assessed in the name of the estate or of the heirs and devisees without designating
4139 them individually; and undivided real property other than that owned by a
4140 deceased may be listed, valued and assessed in the name of one or more co-
4141 owners: Provided, however, That such heir, devisee, or co-owner shall be liable
4142 severally and proportionately for all obligations imposed by this Title and the
4143 payment of the real property tax with respect to the undivided property.
4144
4145 (c) The real property of a corporation, partnership, or association shall be listed, valued
4146 and in the same manner as that of an individual.
4147
4148 (d) Real property owned by the Republic of the Philippines, instrumentalities and
4149 political subdivisions, the beneficial use of which has been granted, for
4150 consideration or otherwise, to a taxable person, shall be listed, valued and assessed
4151 in the name of the possessor, grantee or of the public entity if such property has
4152 been acquired or held for resale or lease.
4153
4154 SECTION 211. Proof of Exemption of Real Property from Taxation. - Every
4155 person by or for whom real property is declared, who shall claim tax exemption for such
4156 property under this Title shall file with the provincial or city assessor within thirty (30)
4157 days from the date of the declaration of real property sufficient documentary evidence in
4158 support of such claim including corporate charters, title of ownership, of incorporation,
4159 bylaws, contracts, affidavits, certifications and mortgage deeds, and similar documents. If
4160 the required evidence is not submitted within the period herein prescribed, the property
4161 shall be listed as taxable in the assessment roll. However, if the property shall be proven to
4162 be tax exempt, the same shall be dropped from the assessment roll.
4163
4164 SECTION 212. Real Property Identification System. - All declarations of real
4165 property made under the provisions of this Title shall be kept and filed under a uniform
4166 classification system to be established by the provincial or city assessor.
4167
4168 SECTION 213. Notification of Transfer of Real Property Ownership. - Any
4169 person who shall transfer real property ownership to another shall notify the provincial or
4170 city assessor concerned within sixty (60) days from the date of such transfer. The
4171 notification shall include the mode of transfer, the description of the property alienated, the
4172 name and address of the transferee.
4173
4174 SECTION 214. Duty of Registrar of Deeds to Apprise Assessor of Real
4175 Property Listed in Registry. - (a) To ascertain whether or not any real property entered

149
4176 in the Registry of Property has escaped discovery and listing for the purpose of taxation,
4177 the Registrar of Deeds shall prepare and submit to the provincial or city assessor, within
4178 six (6) months from the date of effectivity of this Code and every year thereafter, an abstract
4179 of his registry, which shall include brief but sufficient description of the real properties
4180 entered therein, present owners, and the dates of their most recent transfer or alienation
4181 accompanied by copies of corresponding deeds of sale, donation, or partition or other forms
4182 of alienation.
4183
4184 (b) It shall also be the duty of the Registrar of Deeds to require every person who shall
4185 present for registration a document of transfer, alienation, or encumbrance of real
4186 property to accompany the same with a certificate to the effect that the real
4187 property subject of the transfer, alienation, or encumbrance, as the case may be,
4188 has been fully paid of all real property taxes due thereon. Failure to provide such
4189 certificate shall be a valid cause for the Registrar of Deeds to refuse the registration
4190 of the document.
4191
4192 SECTION 215. Duty of Official Issuing Building Permit or Certificate of
4193 Registration of Machinery to Transmit Copy to Assessor. - Any public official or
4194 employee who may now or hereafter be required by law or regulation to issue to any person
4195 a permit for the construction, addition, repair, or renovation of a building, or permanent
4196 improvement on land, or a certificate of registration for any machinery, including
4197 machines, mechanical contrivances, and apparatus attached or affixed on land or to another
4198 real property, shall transmit a copy of such permit or certificate within thirty (30) days of
4199 its issuance, to the assessor of the province or city where the property is situated.
4200
4201 SECTION 216. Duty of Geodetic Engineers to Furnish Copy of Plans to
4202 Assessor. - It shall be the duty of all geodetic engineers, public or private, to furnish free
4203 of charge to the assessor of the province or city where the land is located with a white or
4204 blue print copy of each of all approved original or subdivision plans or maps of surveys
4205 executed by them within thirty (30) days from receipt of such plans from the Lands
4206 Management Bureau, the Land Registration Authority, the Housing and Land Use
4207 Regulatory Board, as the case may be.
4208
4209 SECTION 217. Preparation of Schedule of Fair Market Values. - Before any
4210 general revision of property assessment is made pursuant to the provisions of this Title,
4211 there shall be prepared a schedule of fair market values by the provincial and city assessor
4212 for the different classes of real property situated in their respective local government units
4213 for enactment by ordinance of the Sanggunian concerned. The schedule of fair market
4214 values shall be published in a newspaper of general circulation in the province or city
4215 concerned, or in the absence thereof, shall be posted in the provincial capitol or city hall
4216 and in two other conspicuous public places therein.
4217
4218 SECTION 218. Authority of Assessor to Take Evidence. - For the purpose of
4219 obtaining information on which to base the market value of any real property, the assessor
4220 of the province or city or his deputy may summon the owners of the properties to be

150
4221 affected or persons having legal interest therein and witnesses, administer oaths, and take
4222 deposition concerning the property, its ownership, amount, nature, and value.
4223
4224 SECTION 219. Amendment of Schedule of Fair Market Values. - The
4225 provincial or city assessor may recommend to the Sanggunian concerned amendments to
4226 correct errors in valuation in the schedule of fair market values. The Sanggunian concerned
4227 shall, by ordinance, act upon the within ninety (90) days from receipt thereof.
4228
4229 SECTION 220. Classes of Real Property for Assessment Purposes. - For
4230 purposes of assessment, real property shall be classified as residential, agricultural,
4231 commercial, industrial, mineral, or special.
4232
4233 SECTION 221. Special Classes of Real Property. - All lands, buildings, and other
4234 improvements actually, directly and exclusively used for hospitals, cultural, or scientific
4235 purposes, and those owned and used by local water districts, and government-owned or -
4236 controlled corporations rendering essential public services in the supply and distribution of
4237 water and/or generation and transmission of electric power shall be classified as special.
4238
4239 SECTION 222. Actual Use of Real Property as Basis for Assessment. - Real
4240 property shall be classified, valued and assessed on the basis of its actual use regardless of
4241 where located, whoever owns it, and whoever uses it.
4242
4243 SECTION 223. Assessment Levels. - The assessment levels to be applied to the
4244 fair market value of real property to determine its assessed value shall be fixed by
4245 ordinances of the Sangguniang Panlalawigan or Sangguniang Panlungsod, at the rates not
4246 exceeding the following:
4247
(a) On Lands:
CLASS ASSESSMENT
LEVELS
Residential 20%
Agricultural 40%
Commercial 50%
Industrial 50%
Mineral 50%
Timberland 20%
(b) On Buildings and Other Structures:
(1) Residential
Fair Market Value Over Not Over Assessment Levels
P175,000.00 0%
P175,000.00 300,000.00 10%
300,000.00 500,000.00 20%
500,000.00 750,000.00 25%

151
750,000.00 1,000,000.00 30%
1,000,000.00 2,000,000.00 35%
2,000,000.00 5,000,000.00 40%
5,000,000.00 10,000,000.00 50%
10,000,000.00 60%
(2) Agricultural
Fair Market Value Over Not Over Assessment Levels
P300,000.00 25%
P300,000.00 500,000.00 30%
500,000.00 750,000.00 35%
750,000.00 1,000,000.00 40%
1,000,000.00 2,000,000.00 45%
2,000,000.00 50%
(3) Commercial / Industrial
Fair Market Value Over Not Over Assessment Levels
P300,000.00 30%
P300,000.00 500,000.00 35%
500,000.00 750,000.00 40%
750,000.00 1,000,000.00 50%
1,000,000.00 2,000,000.00 60%
2,000,000.00 5,000,000.00 70%
5,000,000.00 10,000,000.00 75%
10,000,000.00 80%
(4) Timberland
Fair Market Value Over Not Over Assessment Levels
P300,000.00 45%
P300,000.00 500,000.00 50%
500,000.00 750,000.00 55%
750,000.00 1,000,000.00 60%
1,000,000.00 2,000,000.00 65%
2,000,000.00 70%
(c) On Machineries
Class Assessment Levels
Agricultural 40%
Residential 50%
Commercial 80%
Industrial 80%
(d) On Special Classes: The assessment levels for all lands, buildings, machineries
and other improvements;
Actual Use Assessment Level
Cultural 15%

152
 Scientific 15%
Hospital 15%
Local water districts 10%
Government-owned or -controlled 10%
corporations engaged in the supply
and distribution of water and/or
generation and transmission of
electric power
4248
4249 SECTION 224. General Revision of Assessments and Property Classification.
4250 - The provincial or city shall undertake a general revision of real property assessments
4251 within two (2) years after the effectivity of this Code and every three (3) years thereafter.
4252
4253 SECTION 225. Valuation of Real Property. - In cases where (a) real property is
4254 declared and listed for taxation purposes for the first time; (b) there is an ongoing general
4255 revision of property classification and assessment; or (c) a request is made by the person
4256 in whose name the property is declared, the provincial, city or municipal assessor or his
4257 duly authorized deputy shall, in accordance with the provisions of this Chapter, make a
4258 classification, appraisal and assessment of the real property listed and described in the
4259 declaration irrespective of any previous assessment or taxpayer's valuation thereon:
4260 Provided, however, That the assessment of real property shall not be increased oftener than
4261 once every three (3) years except in case of new improvements substantially increasing the
4262 value of said property or of any change in its actual use.
4263
4264 SECTION 226. Date of Effectivity of Assessment or Reassessment. - All
4265 assessments or reassessments made after the first (1st) day of January of any year shall take
4266 effect on the first (1st) day of January of the succeeding year: Provided, however, That the
4267 reassessment of real property due to its partial or total destruction, or to a major change in
4268 its actual use, or to any great and sudden inflation or deflation of real property values, or
4269 to the gross illegality of the assessment when made or to any other abnormal cause, shall
4270 be made within ninety (90) days from the date any such cause or causes occurred, and shall
4271 take effect at the beginning of the quarter next following the reassessment.
4272
4273 SECTION 227. Assessment of Property Subject to Back Taxes. - Real property
4274 declared for the first time shall be assessed for taxes for the period during which it would
4275 have been liable but in no case for more than ten (10) years prior to the date of initial
4276 assessment: Provided, however, that such taxes shall be computed on the basis of the
4277 applicable schedule of values in force during the corresponding period. If such taxes are
4278 paid on or before the end of the quarter following the date the notice of assessment was
4279 received by the owner or his representative, no interest for delinquency shall be imposed
4280 thereon; otherwise, such taxes shall be subject to an interest at the rate of two percent (2%)
4281 per month or a fraction thereof from the date of the receipt of the assessment until such
4282 taxes are fully paid.
4283
4284 SECTION 228. Notification of New or Revised Assessment. - When real

153
4285 property is assessed for the first time or when an existing assessment is increased or
4286 decreased, the provincial, city or municipal assessor shall within thirty (30) days give
4287 written notice of such new or revised assessment to the person in whose name the property
4288 is declared. The notice may be delivered personally or by registered mail or through the
4289 assistance of the Punong Barangay to the last known address of the person to be served.
4290
4291 SECTION 229. Appraisal and Assessment of Machinery. - (a) The fair market
4292 value of a brand- new machinery shall be the acquisition cost. In all other cases, the fair
4293 market value shall be determined by dividing the remaining economic life of the machinery
4294 by its estimated economic life and multiplied by the replacement or reproduction cost.
4295
4296 (b) If the machinery is imported, the acquisition cost includes freight, insurance, bank
4297 and other charges, brokerage, arrastre and handling, duties and taxes, plus cost of
4298 inland transportation, handling, and installation charges at the present site. The
4299 cost in foreign currency of imported machinery shall be converted to peso cost on
4300 the basis of foreign currency exchange rates as fixed by the Central Bank.
4301
4302 SECTION 230. Depreciation Allowance for Machinery. - For purposes of
4303 assessment, a allowance shall be made for machinery at a rate not exceeding five percent
4304 (5%) of its original cost or its replacement or reproduction cost, as the case may be, for
4305 each year of use: Provided, however, That the remaining value for all kinds of machinery
4306 shall be fixed at not less than twenty percent (20%) of such original, replacement, or
4307 reproduction cost for so long as the machinery is useful and in operation.
4308
4309 CHAPTER III
4310 Assessment Appeals
4311
4312 SECTION 231. Local Board of Assessment Appeals. - Any owner or person
4313 having legal interest in the property who is not satisfied with the action of the provincial,
4314 city or municipal assessor in the assessment of his property may, within sixty (60) days
4315 from the date of receipt of the written notice of assessment, appeal to the Board of
4316 Assessment appeals of the province or city by filing a petition under oath in the form
4317 prescribed for the purpose, together with copies of the tax declarations and such affidavits
4318 or documents submitted in support of the appeal.
4319
4320 SECTION 232. Organization, Powers, Duties, and Functions of the Local
4321 Board of Assessment Appeals. - (a) The Board of Assessment appeals of the province or
4322 city shall be composed of the Registrar of Deeds, as Chairman, the provincial or city
4323 prosecutor and the provincial, or city engineer as members, who shall serve as such in an
4324 ex officio capacity without additional compensation.
4325
4326 (b) The chairman of the Board shall have the power to designate any employee of the
4327 provinceorcitytoserveassecretarytotheBoardalsowithoutadditionalcompensation.
4328
4329 (c) The chairman and members of the Board of Assessment appeals of the province

154
4330 or city shall assume their respective positions without need of further appointment
4331 or special designation immediately upon effectivity of this Code. They shall take
4332 an oath or affirmation of office in the prescribed form.
4333
4334 (d) In provinces and cities without a provincial or city engineer, the district engineer
4335 shall serve as member of the Board. In the absence of the Registrar of Deeds, or
4336 the provincial or city prosecutor, or the provincial or city engineer, or the district
4337 engineer, the persons performing their duties, whether in an acting capacity or as
4338 a duly designated officer-in- charge, shall automatically become the chairman or
4339 member, respectively, of the said Board, as the case maybe.
4340
4341 SECTION 233. Meetings and Expenses of the Local Board of Assessment
4342 Appeals. - (a) The Board of Assessment appeals of the province or city shall meet once a
4343 month and as often as may be necessary for the prompt disposition of appealed cases. No
4344 member of the Board shall be entitled to per diems or traveling expenses for his attendance
4345 in Board meetings, except when conducting an ocular inspection in connection with a case
4346 under appeal.
4347
4348 (b) All expenses of the Board shall be charged against the general fund of the province
4349 or city, as the case may be. The Sanggunian concerned shall appropriate the
4350 necessary funds to enable the Board in their respective localities to operate
4351 effectively.
4352
4353 SECTION 234. Action by the Local Board of Assessment Appeals. - (a) The
4354 Board shall decide the appeal within one hundred twenty (120) days from the date of receipt
4355 of such appeal. The Board, after hearing, shall render its decision based on substantial
4356 evidence or such relevant evidence on record as a reasonable mind might accept as
4357 adequate to support the conclusion.
4358
4359 (b) In the exercise of its appellate jurisdiction, the Board shall have the power to
4360 summon witnesses, administer oaths, conduct ocular inspection, take depositions,
4361 and issue subpoena and subpoena duces tecum. The proceedings of the Board shall
4362 be conducted solely for the purpose of ascertaining the facts without necessarily
4363 adhering to technical rules applicable in judicial proceedings.
4364
4365 (c) The secretary of the Board shall furnish the owner of the property or the person
4366 having legal interest therein and the provincial or city assessor with a copy of the
4367 decision of the Board. In case the provincial or city assessor concurs in the revision
4368 or the assessment, it shall be his duty to notify the owner of the property or the
4369 person having legal interest therein of such fact using the form prescribed for the
4370 purpose. The owner of the property or the person having legal interest therein or
4371 the assessor who is not satisfied with the decision of the Board, may, within thirty
4372 (30) days after receipt of the decision of said Board, appeal to the Bangsamoro
4373 Board of Assessment Appeals, as provided in the succeeding section. The decision
4374 of the Bangsamoro Board shall be final and executory.

155
4375
4376 SECTION 235. Central Board of Assessment Appeals. – Unless otherwise
4377 provided by a law passed by the Parliament, the Central Board of Assessment Appeals
4378 created under Republic Act No. 7160 shall have appellate jurisdiction over all assessment
4379 cases decided by the Local Board of Assessment Appeals.
4380
4381 The Ministry of Finance, and Budget and Management, in consultation with the
4382 Intergovernmental Relations Body, shall promulgate rules and regulations necessary in the
4383 implementation of this Chapter.41
4384
4385 SECTION 236. Effect of Appeal on the Payment of Real Property Tax. -
4386 Appeal on assessment of real property made under the provisions of this Code shall, in no
4387 case, suspend the collection of the corresponding realty taxes on the property involved as
4388 assessed by the provincial or city assessor, without prejudice to subsequent adjustment
4389 depending upon the final outcome of the appeal.
4390
4391 CHAPTER IV
4392 Imposition of Real Property Tax
4393
4394 SECTION 237. Power to Levy Real Property Tax. - A province or city, may levy
4395 an annual ad valorem tax on real property such as land, building, machinery, and other
4396 improvement not hereinafter specifically exempted.
4397
4398 SECTION 238. Rates of Levy. - A province or city, shall fix a uniform rate of
4399 basic real property tax applicable to their respective localities as follows:
4400
4401 (a) In the case of a province, at the rate not exceeding one percent (1%) of the assessed
4402 value of real property; and
4403
4404 (b) In the case of a city, at the rate not exceeding two percent (2%) of the assessed
4405 value of real property.
4406
4407 SECTION 239. Exemptions from Real Property Tax. - The following are
4408 exempted from payment of the real property tax:
4409
4410 (a) Real property owned by the Republic of the Philippines or any of its political
4411 subdivisions except when the beneficial use thereof has been granted, for
4412 consideration or otherwise, to a taxable person;
4413
4414 (b) Charitable institutions, churches, parsonages or convents appurtenant thereto,
4415 mosques, nonprofit or religious cemeteries and all lands, buildings, and
4416 improvements actually, directly, and exclusively used for religious, charitable or
4417 educational purposes;

41
The Central Board of Assessment Appeals is an office created by the national government under the
Department of Finance. The team recommends that the appellate jurisdiction is still the same.

156
4418
4419 (c) All machineries and equipment that are actually, directly and exclusively used by
4420 local water districts and government-owned or -controlled corporations engaged
4421 in the supply and distribution of water and/or generation and transmission of
4422 electric power;
4423
4424 (d) All real property owned by duly registered cooperatives as provided for under R.
4425 A. No. 6938; and
4426
4427 (e) Machinery and equipment used for pollution control and environmental
4428 protection. Except as provided herein, any exemption from payment of real
4429 property tax previously granted to, or presently enjoyed by, all persons, whether
4430 natural or juridical, including all government- owned or -controlled corporations
4431 are hereby withdrawn upon the effectivity of this Code.
4432
4433 CHAPTER V
4434 Special Levies on Real Property
4435
4436 SECTION 240. Additional Levy on Real Property for the Special Education
4437 Fund. - A province or city, may levy and collect an annual tax of one percent (1%) on the
4438 assessed value of real property which shall be in addition to the basic real property tax. The
4439 proceeds thereof shall exclusively accrue to the Special Education Fund (SEF).
4440
4441 SECTION 241. Additional Ad Valorem Tax on Idle Lands. - A province or city,
4442 may levy an annual tax on idle lands at the rate not exceeding five percent (5%) of the
4443 assessed value of the property which shall be in addition to the basic real property tax.
4444
4445 SECTION 242. Idle Lands, Coverage. - For purposes of real property taxation,
4446 idle lands shall the following: (a) "Agricultural lands, more than one (1) hectare in area,
4447 suitable for cultivation, dairying, inland fishery, and other agricultural uses, one-half (1/2)
4448 of which remain uncultivated or unimproved by the owner of the property or person having
4449 legal interest therein." Agricultural lands planted to permanent or perennial crops with at
4450 least fifty (50) trees to a hectare shall not be considered idle lands. Lands actually used for
4451 grazing purposes shall likewise not be considered idle lands.
4452
4453 (b) Lands, other than agricultural, located in a city or municipality, more than one
4454 thousand (1,000) square meters in area one-half (1/2) of which remain unutilized
4455 or unimproved by the owner of the property or person having legal interest therein.
4456 Regardless of land area, this Section shall likewise apply to residential lots in
4457 subdivisions duly approved by proper authorities, the ownership of which has been
4458 transferred to individual owners, who shall be liable for the additional tax:
4459 Provided, however, That individual lots of such subdivisions, the ownership of
4460 which has not been transferred to the buyer shall be considered as part of the
4461 subdivision, and shall be subject to the additional tax payable by subdivision
4462 owner or operator.

157
4463
4464 SECTION 243. Idle Lands Exempt from Tax. - A province or city may exempt
4465 idle lands from the additional levy by reason of force majeure, civil disturbance, natural
4466 calamity or any cause or circumstance which physically or legally prevents the owner of
4467 the property or person having legal interest therein from improving, utilizing or cultivating
4468 the same.
4469
4470 SECTION 244. Listing of Idle Lands by the Assessor. - The provincial, or city
4471 assessor shall make and keep an updated record of all idle lands located within his area of
4472 jurisdiction. For purposes of collection, the provincial or city assessor shall furnish a copy
4473 thereof to the provincial or city treasurer who shall notify, on the basis of such record, the
4474 ownerofthepropertyorpersonhavinglegalinterestthereinoftheimpositionoftheadditionaltax.
4475
4476 SECTION 245. Special Levy by Local Government Units. - A province, city or
4477 municipality may a special levy on the lands comprised within its territorial jurisdiction
4478 specially benefited by public works projects or improvements funded by the local
4479 government unit concerned: Provided, however, That the special levy shall not exceed sixty
4480 percent (60%) of the actual cost of such projects and improvements, including the costs of
4481 acquiring land and such other real property in connection therewith: Provided, further, That
4482 the special levy shall not apply to lands exempt from basic real property tax and the
4483 remainder of the land portions of which have been donated to the local government unit
4484 concerned for the construction of such projects or improvements.
4485
4486 SECTION 246. Ordinance Imposing a Special Levy. - A tax ordinance imposing
4487 a special levy shall describe with reasonable accuracy the nature, extent, and location of
4488 the public works projects or improvements to be undertaken, state the estimated cost
4489 thereof, specify the metes and bounds by monuments and lines and the number of annual
4490 installments for the payment of the special levy which in no case shall be less than five (5)
4491 nor more than ten (10) years. The Sanggunian concerned shall not be obliged, in the
4492 apportionment and computation of the special levy, to establish a uniform percentage of
4493 all lands subject to the payment of the tax for the entire district, but it may fix different
4494 rates for different parts or sections thereof, depending on whether such land is more or less
4495 benefited by the proposed work.
4496
4497 SECTION 247. Publication of Proposed Ordinance Imposing a Special Levy.
4498 - Before the of an imposing a special levy, the Sanggunian concerned shall conduct a public
4499 hearing thereon; notify in writing the owners of the real property to be affected or the
4500 persons having legal interest therein as to the date and place thereof and afford the latter
4501 the opportunity to express their positions or objections relative to the proposed ordinance.
4502
4503 SECTION 248. Fixing the Amount of Special Levy. - The special levy authorized
4504 herein shall be apportioned, computed, and assessed according to the assessed valuation of
4505 the lands affected as shown by the books of the assessor concerned, or its current assessed
4506 value as fixed by said assessor if the property does not appear of record in his books. Upon
4507 the effectivity of the ordinance imposing special levy, the assessor concerned shall

158
4508 forthwith proceed to determine the annual amount of special levy assessed against each
4509 parcel of land comprised within the area especially benefited and shall send to each
4510 landowner a written notice thereof by mail, personal service or publication in appropriate
4511 cases.
4512
4513 SECTION 249. Taxpayers' Remedies Against Special Levy. - Any owner of real
4514 property affected a special levy or any person having a legal interest therein may, upon
4515 receipt of the written notice of assessment of the special levy, avail of the remedies
4516 provided for in Chapter 3, Title Two, Book II of this Code.
4517
4518 SECTION 250. Accrual of Special Levy. -The special levy shall accrue on the
4519 first day of the next following the effectivity of the ordinance imposing such levy.
4520
4521 CHAPTER VI
4522 Collection of Real Property Tax
4523
4524 SECTION 251. Date of Accrual of Tax. - The real property tax for any year shall
4525 accrue on the first day of January and from that date it shall constitute a lien on the property
4526 which shall be superior to any other lien, mortgage, or encumbrance of any kind
4527 whatsoever, and shall be extinguished only upon the payment of the delinquent tax.
4528
4529 SECTION 252. Collection of Tax. - The collection of the real property tax with
4530 interest thereon and related expenses, and the enforcement of the remedies provided for in
4531 this Title or any applicable laws, shall be the responsibility of the city or municipal
4532 treasurer concerned. The city or municipal treasurer may deputize the Barangay treasurer
4533 to collect all taxes on real property located in the Barangay: Provided, That the Barangay
4534 treasurer is properly bonded for the purpose: Provided, further, That the premium on the
4535 bond shall be paid by the city or municipal government concerned.
4536
4537 SECTION 253. Assessor to Furnish Local Treasurer with Assessment Roll. -
4538 The provincial, city or municipal assessor shall prepare and submit to the treasurer of the
4539 local government unit, on or before the thirty-first (31st) day of December each year, an
4540 assessment roll containing a list of all persons whose real properties have been newly
4541 assessed or reassessed and the values of such properties.
4542
4543 SECTION 254. Notice of Time for Collection of Tax. - The city or municipal
4544 treasurer shall, on or before the thirty-first (31st) day of January each year, in the case of
4545 the basic real property tax and the additional tax for the Special Education Fund (SEF) or
4546 on any other date to be prescribed by the Sanggunian concerned in the case of any other
4547 tax levied under this Title, post the notice of the dates when the tax may be paid without
4548 interest at a conspicuous and publicly accessible place at the city or municipal hall. Said
4549 notice shall likewise be published in a newspaper of general circulation in the locality once
4550 a week for two (2) consecutive weeks.
4551
4552 SECTION 255. Payment of Real Property Taxes in Installments. - The owner

159
4553 of the real property or the person having legal interest therein may pay the basic real
4554 property tax and the additional tax for Special Education Fund (SEF) due thereon without
4555 interest in four (4) equal installments; the first installment to be due and payable on or
4556 before March Thirty-first (31st); the second installment, on or before June Thirty (30); the
4557 third installment, on or before September Thirty (30); and the last installment on or before
4558 December Thirty-first (31st), except the special levy the payment of which shall be
4559 governed by ordinance of the Sanggunian concerned. The date for the payment of any other
4560 tax imposed under this Title without interest shall be prescribed by the Sanggunian
4561 concerned. Payments of real property taxes shall first be applied to prior years
4562 delinquencies, interests, and penalties, if any, and only after said delinquencies are settled
4563 may tax payments be credited for the current period.
4564
4565 SECTION 256. Tax Discount for Advanced Prompt Payment. - If the basic real
4566 property tax and the additional tax accruing to the Special Education Fund (SEF) are paid
4567 in advance in accordance with the prescribed schedule of payment as provided under
4568 Section 125, the Sanggunian concerned may grant a discount not exceeding twenty percent
4569 (20%) of the annual tax due.
4570
4571 SECTION 257. Payment Under Protest. - (a) No protest shall be entertained
4572 unless the taxpayer first pays the tax. There shall be annotated on the tax receipts the words
4573 "paid under protest". The protest in writing must be filed within thirty (30) days from
4574 payment of the tax to the provincial or city treasurer, who shall decide the protest within
4575 sixty (60) days from receipt.
4576
4577 (b) The tax or a portion thereof paid under protest, shall be held in trust by the treasurer
4578 concerned.
4579
4580 (c) In the event that the protest is finally decided in favor of the taxpayer, the amount
4581 or portion of the tax protested shall be refunded to the protestant, or applied as tax credit
4582 against his existing or future tax liability.
4583
4584 (d) In the event that the protest is denied or upon the lapse of the sixty days (60) period
4585 prescribed in subparagraph (a), the taxpayer may avail of the remedies as provided for in
4586 Chapter 3, Title II, Book II of this Code.
4587
4588 SECTION 258. Repayment of Excessive Collections. - When an assessment of
4589 basic real property tax, or any other tax levied under this Title, is found to be illegal or
4590 erroneous and the tax is accordingly reduced or adjusted, the taxpayer may file a written
4591 claim for refund or credit for taxes and interests with the provincial or city treasurer within
4592 two (2) years from the date the taxpayer is entitled to such reduction or adjustment. The
4593 provincial or city treasurer shall decide the claim for tax refund or credit within sixty (60)
4594 days from receipt thereof. In case the claim for tax refund or credit is denied, the taxpayer
4595 may avail of the remedies as provided in Chapter 3, II, Book II of this Code.
4596
4597 SECTION 259. Notice of Delinquency in the Payment of the Real Property

160
4598 Tax. - (a) When the real property tax or any other tax imposed under this Title becomes
4599 delinquent, the provincial, city or municipal treasurer shall immediately cause a notice of
4600 the delinquency to be posted at the main entrance of the provincial capitol, or city or
4601 municipal hall and in a publicly accessible and conspicuous place in each Barangay of the
4602 local government unit concerned. The notice of delinquency shall also be published once
4603 a week for two (2) consecutive weeks, in a newspaper of general circulation in the province,
4604 city, or municipality.
4605
4606 (b) Such notice shall specify the date upon which the tax became delinquent and shall
4607 state that personal property may be distrained to effect payment. It shall likewise
4608 state that at any time before the distraint of personal property, payment of the tax
4609 with surcharges, interests and penalties may be made in accordance with the next
4610 following Section, and unless the tax, surcharges and penalties are paid before the
4611 expiration of the year for which the tax is due except when the notice of assessment
4612 or special levy is contested administratively or judicially pursuant to the
4613 provisions of Chapter 3, Title II, Book II of this Code, the delinquent real property
4614 will be sold at public auction, and the title to the property will be vested in the
4615 purchaser, subject, however, to the right of the delinquent owner of the property
4616 or any person having legal interest therein to redeem the property within one (1)
4617 year from the date of sale.
4618
4619 SECTION 260. Interests on Unpaid Real Property Tax. - In case of failure to
4620 pay the basic real property tax or any other tax levied under this Title upon the expiration
4621 of the periods as provided in Section 250, or when due, as the case may be, shall subject
4622 the taxpayer to the payment of interest at the rate of two percent (2%) per month on the
4623 unpaid amount or a fraction thereof, until the delinquent tax shall have been fully paid:
4624 Provided, however, That in no case shall the total interest on the unpaid tax or portion
4625 thereof exceed thirty-six (36)months.
4626
4627 SECTION 261. Remedies for The Collection Of Real Property Tax. - For the
4628 collection of the basic real property tax and any other tax levied under this Title, the local
4629 government unit concerned may avail of the remedies by administrative action thru levy
4630 on real property or by judicial action.
4631
4632 SECTION 262. Local Governments Lien. - The basic real property tax and any
4633 other tax levied under this Title constitutes a lien on the property subject to tax, superior to
4634 all liens, charges or encumbrances in favor of any person, irrespective of the owner or
4635 possessor thereof, enforceable by administrative or judicial action, and may only be
4636 extinguished upon payment of the tax and the related interests and expenses.
4637
4638 SECTION 263. Levy on Real Property. - After the expiration of the time required
4639 to pay the basic real property tax or any other tax levied under this Title, real property
4640 subject to such tax may be levied upon through the issuance of a warrant on or before, or
4641 simultaneously with, the institution of the civil action for the collection of the delinquent
4642 tax. The provincial or city treasurer, as the case may be, when issuing a warrant of levy

161
4643 shall prepare a duly authenticated certificate showing the name of the delinquent owner of
4644 the property or person having legal interest therein, the description of the property, the
4645 amount of the tax due and the interest thereon. The warrant shall operate with the force of
4646 a legal execution throughout the province or city. The warrant shall be mailed to or served
4647 upon the delinquent owner of the real property or person having legal interest therein, or
4648 in case he is out of the country or cannot be located, to the administrator or occupant of the
4649 property. At the same time, written notice of the levy with the attached warrant shall be
4650 mailed to or served upon the assessor and the Registrar of Deeds of the province or city
4651 where the property is located, who shall annotate the levy on the tax declaration and
4652 certificate of title of the property, respectively. The levying officer shall submit a report on
4653 the levy to the Sanggunian concerned within ten (10) days after receipt of the warrant by
4654 the owner of the property or person having legal interest therein.
4655
4656 SECTION 264. Penalty for Failure to Issue and Execute Warrant. - Without
4657 prejudice to criminal prosecution under the Revised Penal Code and other applicable laws,
4658 any local treasurer or his deputy who fails to issue or execute the warrant of levy within
4659 one (1) year from the time the tax becomes delinquent or within thirty (30) days from the
4660 date of the issuance thereof, or who is found guilty of abusing the exercise thereof in an
4661 administrative or judicial proceeding shall be dismissed from the service.
4662
4663 SECTION 265. Advertisement and Sale. - Within thirty (30) days after service
4664 of the warrant of levy, the local treasurer shall proceed to publicly advertise for sale or
4665 auction the property or a usable portion thereof as may be necessary to satisfy the tax
4666 delinquency and expenses of sale. The advertisement shall be effected by posting a notice
4667 at the main entrance of the provincial, city or municipal building, and in a publicly
4668 accessible and conspicuous place in the Barangay where the real property is located, and
4669 by publication once a week for two (2) weeks in a newspaper of general circulation in the
4670 province, city or municipality where the property is located. The advertisement shall
4671 specify the amount of the delinquent tax, the interest due thereon and expenses of sale, the
4672 date and place of sale, the name of the owner of the real property or person having legal
4673 interest therein, and a description of the property to be sold. At any time before the date
4674 fixed for the sale, the owner of the real property or person having legal interest therein may
4675 stay the proceedings by paying the delinquent tax, the interest due thereon and the expenses
4676 of sale. The sale shall be held either at the main entrance of the provincial, city or municipal
4677 building, or on the property to be sold, or at any other place as specified in the notice of
4678 the sale.
4679
4680 Within thirty (30) days after the sale, the local treasurer or his deputy shall make a
4681 report of the sale to the Sanggunian concerned, and which shall form part of his records.
4682 The local treasurer shall likewise prepare and deliver to the purchaser a certificate of sale
4683 which shall contain the name of the purchaser, a description of the property sold, the
4684 amount of the delinquent tax, the interest due thereon, the expenses of sale and a brief
4685 description of the proceedings: Provided, however, That proceeds of the sale in excess of
4686 the delinquent tax, the interest due thereon, and the expenses of sale shall be remitted to
4687 the owner of the real property or person having legal interest therein. The local treasurer

162
4688 may, by ordinance duly approved, advance an amount sufficient to defray the costs of
4689 collection thru the remedies provided for in this Title, including the expenses of
4690 advertisement and sale.
4691
4692 SECTION 266. Redemption of Property Sold. - Within one (1) year from the
4693 date of sale, the owner of the delinquent real property or person having legal interest
4694 therein, or his representative, shall have the right to redeem the property upon payment to
4695 the local treasurer of the amount of the delinquent tax, including the interest due thereon,
4696 and the expenses of sale from the date of delinquency to the date of sale, plus interest of
4697 not more than two percent (2%) per month on the purchase price from the date of sale to
4698 the date of redemption. Such payment shall invalidate the certificate of sale issued to the
4699 purchaser and the owner of the delinquent real property or person having legal interest
4700 therein shall be entitled to a certificate of redemption which shall be issued by the local
4701 treasurer or his deputy. From the date of sale until the expiration of the period of
4702 redemption, the delinquent real property shall remain in the possession of the owner or
4703 person having legal interest therein who shall be entitled to the income and other fruits
4704 thereof. The local treasurer or his deputy, upon receipt from the purchaser of the certificate
4705 of sale, shall forthwith return to the latter the entire amount paid by him plus interest of not
4706 more than two percent (2%) per month. Thereafter, the property shall be free from the lien
4707 of such delinquent tax, interest due thereon and expenses of sale.
4708
4709 SECTION 267. Final Deed to Purchaser. - In case the owner or person having
4710 legal interest fails to redeem the delinquent property as provided herein, the local treasurer
4711 shall execute a deed conveying to the purchaser said property, free from lien of the
4712 delinquent tax, interest due thereon and expenses of sale. The deed shall briefly state the
4713 proceedings upon which the validity of the sale rests.
4714
4715 SECTION 268. Purchase of Property by the Local Government Units for Want
4716 of Bidder. - In case there is no bidder for the real property advertised for sale as provided
4717 herein, or if the highest bid is for an amount insufficient to pay the real property tax and
4718 the related interest and costs of sale the local treasurer conducting the sale shall purchase
4719 the property in behalf of the local government unit concerned to satisfy the claim and within
4720 two (2) days thereafter shall make a report of his proceedings which shall be reflected upon
4721 the records of his office. It shall be the duty of the Registrar of Deeds concerned upon
4722 registration with his office of any such declaration of forfeiture to transfer the title of the
4723 forfeited property to the local government unit concerned without the necessity of an order
4724 from a competent court.
4725
4726 Within one (1) year from the date of such forfeiture, the taxpayer or any of his
4727 representative, may redeem the property by paying to the local treasurer the full amount of
4728 the real property tax and the related interest and the costs of sale. If the property is not
4729 redeemed as provided herein, the ownership thereof shall be fully vested on the local
4730 government unit concerned.
4731
4732 SECTION 269. Resale of Real Estate Taken for Taxes, Fees, or Charges. - The

163
4733 Sanggunian concerned may, by ordinance duly approved, and upon notice of not less than
4734 twenty (20) days, sell and dispose of the real property acquired under the preceding section
4735 at public auction. The proceeds of the sale shall accrue to the general fund of the local
4736 government unit concerned.
4737
4738 SECTION 270. Further Distraint or Levy. - Levy may be repeated if necessary
4739 until the full due, including all expenses, is collected.
4740
4741 SECTION 271. Collection of Real Property Tax Through the Courts. - The
4742 local government unit concerned may enforce the collection of the basic real property tax
4743 or any other tax levied under this Title by civil action in any court of competent jurisdiction.
4744 The civil action shall be filed by the local treasurer within the period prescribed in Section
4745 145 of this Code.
4746
4747 SECTION 272. Action Assailing Validity of Tax Sale. - No court shall entertain
4748 any action assailing the validity of any sale at public auction of real property or rights
4749 therein under this Title until the taxpayer shall have deposited with the court the amount
4750 for which the real property was sold, together with interest of two percent (2%) per month
4751 from the date of sale to the time of the institution of the action. The amount so deposited
4752 shall be paid to the purchaser at the auction sale if the deed is declared invalid but it shall
4753 be returned to the depositor if the action fails. Neither shall any court declare a sale at
4754 public auction invalid by reason of irregularities or informalities in the proceedings unless
4755 the substantive rights of the delinquent owner of the real property or the person having
4756 legal interest therein have been impaired.
4757
4758 SECTION 273. Payment of Delinquent Taxes on Property Subject of
4759 Controversy. - In any action involving the ownership or possession of, or succession to,
4760 real property, the court may, motu propio or upon representation of the provincial, city, or
4761 municipal treasurer or his deputy, award such ownership, possession, or succession to any
4762 party to the action upon payment to the court of the taxes with interest due on the property
4763 and all other costs that may have accrued, subject to the final outcome of the action.
4764
4765 SECTION 274. Treasurer to Certify Delinquencies Remaining Uncollected. -
4766 The provincial, city or municipal treasurer or their deputies shall prepare a certified list of
4767 all real property tax delinquencies which remained uncollected or unpaid for at least one
4768 (1) year in his jurisdiction, and a statement of the reason or reasons for such non-collection
4769 or non-payment, and shall submit the same to the Sanggunian concerned on or before
4770 December thirty-first (31st) of the year immediately succeeding the year in which the
4771 delinquencies were incurred, with a request for assistance in the enforcement of the
4772 remedies for collection provided herein.
4773
4774 SECTION 275. Periods Within Which to Collect Real Property Taxes. - The
4775 basic real property tax and any other tax levied under this Title shall be collected within
4776 five (5) years from the date they become due. No action for the collection of the tax,
4777 whether administrative or judicial, shall be instituted after the expiration of such period. In

164
4778 case of fraud or intent to evade payment of the tax, such action may be instituted for the
4779 collection of the same within ten (10) years from the discovery of such fraud or intent to
4780 evade payment. The period of prescription within which to collect shall be suspended for
4781 the time during which:
4782
4783 (1) The local treasurer is legally prevented from collecting the tax;
4784
4785 (2) The owner of the property or the person having legal interest therein requests
4786 for reinvestigation and executes a waiver in writing before the expiration of
4787 the period within which to collect; and
4788
4789 (3) The owner of the property or the person having legal interest therein is out of
4790 the country or otherwise cannot be located.
4791
4792 CHAPTER VII
4793 Disposition of Proceeds
4794
4795 SECTION 276. Distribution of Proceeds. - The proceeds of the basic real
4796 property tax, including interest thereon, and proceeds from the use, lease or disposition,
4797 sale or redemption of property acquired at a public auction in accordance with the
4798 provisions of this Title by the province or city shall be distributed as follows:
4799
4800 (a) In the case of provinces:
4801
4802 (1) province - Thirty-five percent (35%) shall accrue to the general fund;
4803
4804 (2) municipality - Forty percent (40%) to the general fund of the municipality
4805 where the property is located; and
4806
4807 (3) Barangay - Twenty-five percent (25%) shall accrue to the Barangay where the
4808 property is located.
4809
4810 (b) In the case of cities:
4811
4812 (1) city - Seventy percent (70%) shall accrue to the general fund of the city; and
4813
4814 (2) Thirty percent (30%) shall be distributed among the component Barangays of
4815 the cities where the property is located in the following manner:
4816
4817 (i) Fifty percent (50%) shall accrue to the Barangay where the property is
4818 located; and
4819
4820 (ii) Fifty percent (50%) shall accrue equally to all component Barangays of the
4821 city;
4822

165
4823 (c) The share of each Barangay shall be released, without need of any further action,
4824 directly to the Barangay treasurer on a quarterly basis within five (5) days after
4825 the end of each quarter and shall not be subject to any lien or holdback for
4826 whatever purpose.
4827
4828 SECTION 277. Application of Proceeds of the Additional One Percent SEF
4829 Tax. - The proceeds the additional one percent (1%) tax on real property accruing to the
4830 Special Education Fund (SEF) shall be automatically released to the local school boards:
4831 Provided, That, in case of provinces, the proceeds shall be divided equally between the
4832 provincial and municipal school boards: Provided, however, That the proceeds shall be
4833 allocated for the operation and maintenance of public schools, construction, repair and
4834 improvement of public42 school buildings, facilities and equipment, educational research,
4835 purchase of books and periodicals, and sports development as determined and approved by
4836 the Local School Board.
4837
4838 SECTION 278. Proceeds of the Tax on Idle Lands. - The proceeds of the
4839 additional real property tax on idle lands shall accrue to the respective general fund of the
4840 province or city where the land is located.
4841
4842 SECTION 279. Proceeds of the Special Levy. - The proceeds of the special levy
4843 on lands benefited by public works, projects and other improvements shall accrue to the
4844 general fund of the local government unit which financed such public works, projects or
4845 other improvements.
4846
4847 CHAPTER VIII
4848 Special Provisions
4849
4850 SECTION 280. General Assessment Revision; Expenses Incident Thereto. -
4851 The Sanggunian of provinces and cities shall provide the necessary appropriations to defray
4852 the expenses incident to the general revision of real property assessment. All expenses
4853 incident to a general revision of real property assessments shall, by ordinance of the
4854 Sangguniang Panlalawigan, be apportioned between the province and the municipality on
4855 the basis of the taxable area of the municipality concerned.
4856
4857 SECTION 281. Condonation or Reduction of Real Property Tax and Interest.
4858 - In case of a general failure of crops or substantial decrease in the price of agricultural or
4859 agribased products, or calamity in any province, city, or municipality, the Sanggunian
4860 concerned, by ordinance passed prior to the first (1st) day of January of any year and upon
4861 recommendation of the Local Disaster Coordinating Council, may condone or reduce,
4862 wholly or partially, the taxes and interest thereon for the succeeding year or years in the
4863 city or municipality affected by the calamity.
4864
4865 SECTION 282. Condonation or Reduction of Tax by the President of the

42

166
4866 Philippines. – The President of the Philippines may, when public interest so requires,
4867 condone or reduce the real property tax and interest for any year in any province or city.
4868
4869 SECTION 283. Duty of Registrar of Deeds and Notaries Public to Assist the
4870 Provincial, City or Municipal Assessor. - It shall be the duty of the Registrar of Deeds
4871 and notaries public to furnish the provincial, city or municipal assessor with copies of all
4872 contracts selling, transferring, or otherwise conveying, leasing, or mortgaging real property
4873 received by, or acknowledged before them.
4874
4875 SECTION 284. Insurance Companies to Furnish Information. - Insurance
4876 companies are hereby required to furnish the provincial, city or municipal assessor copies
4877 of any contract or policy insurance on buildings, structures, and improvements insured by
4878 them or such other documents which may be necessary for the proper assessment thereof.
4879
4880 SECTION 285. Fees in Court Actions. - All court actions, criminal or civil,
4881 instituted at the instance of the provincial, city or municipal treasurer or assessor under the
4882 provisions of this Code, shall be exempt from the payment of court and sheriff's fees.
4883
4884 SECTION 286. Fees in Registration of Papers or Documents on Sale of
4885 Delinquent Real Property to Province, City or Municipality. - All certificates,
4886 documents, and papers covering the sale of delinquent property to the province, city or
4887 municipality, if registered in the Registry of Property, shall be exempt from the
4888 documentary stamp tax and registration fees.
4889
4890 SECTION 287. Real Property Assessment Notices or Owner's Copies of Tax
4891 Declarations to be Exempt from Postal Charges or Fees. - All real property assessment
4892 notices or owner's copies of tax declaration sent through the mails by the assessor shall be
4893 exempt from the payment of postal charges or fees.
4894
4895 SECTION 288. Sale and Forfeiture Before Effectivity of Code. - Tax
4896 delinquencies incurred, and sales and forfeitures of delinquent real property effected,
4897 before the effectivity of this Code shall be governed by the provisions of applicable laws
4898 then in force.
4899
4900 TITLE III
4901 SHARES OF LOCAL GOVERNMENT UNITS IN THE PROCEEDS OF
4902 NATIONAL TAXES
4903
4904 CHAPTER I
4905 Allotment of Internal Revenue
4906
4907 SECTION 289. Allotment of Internal Revenue Taxes. – The local government
4908 units shall have a Forty Percent (40%) share in all national taxes43 based on the collection

43
Per Supreme Court ruling in Mandanas Case (GR No. 199802; July 3, 2018), computation of the internal
revenue allotment should not only be limited to the collections of Bureau of Internal Revenue but also include

167
4909 of the third fiscal year preceding the current fiscal year. Provided further, that in the event
4910 that the national government incurs an unmanageable public sector deficit, the President is
4911 authorized, upon the recommendation of Secretary of Finance, Secretary of Interior and
4912 Local Government, and Secretary of Budget and Management, and subject to consultation
4913 with the presiding officers of both Houses of Congress and the presidents of the “Liga”, to
4914 make necessary adjustment in the internal revenue allotment of local government units but
4915 in no case shall the allotment be less than thirty percent (30%) of the collection of national
4916 taxes of the third fiscal year preceding current fiscal year: Provided further, the allotment
4917 for years 2020 to 2021 shall be based on national internal revenues taxes: Provided finally,
4918 That the internal revenue allotment shall include the cost of devolved functions for essential
4919 public services.
4920
4921 SECTION 290. Allocation to Local Government Units. - The share of local
4922 government units in the allotment shall be allocated in the following manner:
4923
4924 (a) Provinces - Twenty-three percent (23%);
4925
4926 (b) Cities - Twenty-three percent (23%);
4927
4928 (c) Municipalities - Thirty-four percent (34%); and
4929
4930 (d) Barangays - Twenty percent (20%) Provided, however, That the share of each
4931 province, city, and municipality shall be determined on the basis of the following
4932 formula:
4933
4934 (a) Population - Fifty percent (50%);
4935
4936 (b) Land Area - Twenty-five percent (25%); and
4937
4938 (c) Equal sharing - Twenty-five percent (25%)
4939
4940 Provided, further, That the share of each Barangay with a population of not less than
4941 one hundred (100) inhabitants shall not be less than Eighty thousand pesos (P 80,000.00)
4942 per annum chargeable against the twenty percent (20%) share of the Barangay from the
4943 internal revenue allotment, and the balance to be allocated on the basis of the following
4944 formula:
4945
4946 (1) Population - Sixty percent (60%); and
4947
4948 (2) Equal Sharing - Forty percent (40%).
4949
4950 Provided, finally, That the financial requirements of Barangays created by local
4951 government units after the effectivity of this Code shall be the responsibility of the local

all of forms of national tax collection like that of Bureau of Customs. Moreover, the ruling provides that the
new computation should be applied in Fiscal Year 2022.

168
4952 government unit concerned.
4953
4954 SECTION 291. Automatic Release of Shares. - (a) The share of each local
4955 government unit shall be released, without need of any further action, directly to the
4956 provincial, city, municipal or Barangay treasurer, as the case may be, on a quarterly basis
4957 within five (5) days after the end of each quarter, and which shall not be subject to any lien
4958 or holdback that may be imposed by the national government for whatever purpose.
4959
4960 (b) Nothing in this Chapter shall be understood to diminish the share of local
4961 government units under existing laws.
4962
4963 SECTION 292. Local Development Projects. - Each local government unit shall
4964 appropriate in its annual budget no less than twenty percent (20%) of its annual internal
4965 revenue allotment for development projects. Copies of the development plans of local
4966 government units shall be furnished the Ministry of the Interior and Local Government.
4967
4968 SECTION 293. Gender and Development Plan and Budget. - Each local
4969 government unit shall ensure that at least five percent (5%) of its Annual Budget
4970 correspond to activities supporting Gender and Development programs, policies and
4971 projects and shall endeavor to influence that remaining ninety-five (95%) of the budget
4972 towards gender responsiveness. It shall submit a Gender and Development Plan and
4973 Budget to the Ministry of the Interior and Local Government for review and endorsement
4974 and be returned to the local government units for integration in the Annual Investment
4975 Plan and funding.
4976
4977 The Gender and Development Plan and Budgets of the local government units,
4978 accompanied by their Gender and Development Accomplishment Reports shall be
4979 submitted to the Regional Office of Ministry of the Interior and Local Government in
4980 case of Provinces, Highly-Urbanized Cities, and Independent Component Cities. It shall
4981 be submitted to the Provincial Office of Ministry of the Interior and Local Government
4982 in case of Component Cities and Municipalities. And to the City or Municipal Offices of
4983 the Ministry of the Interior and Local Government in case of Barangays44.
4984
4985 SECTION 294. Rules and Regulations. - The Ministry of Finance, and Budget
4986 and Management, in consultation with the Department of Budget and Management, shall
4987 promulgate the necessary rules and regulations for a simplified disbursement scheme
4988 designed for the speedy and effective enforcement of the provisions of this Chapter.
4989
4990 CHAPTER 2 - SHARE IN EXPLORATION, DEVELOPMENT AND
4991 UTILIZATION OF NATURAL RESOURCES

4992 SECTION 295. Amount of share in Exploration, Development, and Utilization

4993 of Natural Resources. - – The share of the constituent local government units in the share

44
Incorporated the requirements of Magna Carta for Women and Section 5, Article XII, RA 11054 – Gender
and Development

169
4994 of the Bangsamoro Government in the revenues generated from the exploration,
4995 development, and utilization of all natural resources in the Bangsamoro Autonomous
4996 Region, including mines and minerals, uranium and fossil fuels, in accordance with Section
4997 35, Article XII of Republic Act No. 11054, is apportioned as follows:

4998 a. Twenty percent (20%) to the provinces;

4999 b. Fifteen percent (15%) to the cities;
5000 c. Twenty percent (20%) to the municipalities;
5001 d. Fifteen (15%) to the barangays;

5002 The share of the local government units shall be based on the taxes that has been
5003 collected from the revenue generated therein.

5004 SECTION 296. Share of Indigenous Communities. - Indigenous peoples and

5005 communities shall have an equitable share of the revenues generated from the exploration,
5006 development, and utilization of natural resources that are found within the territories
5007 covered by a native, traditional, or customary title in their favor, by way of direct benefits.
5008 The share shall not be more than ten percent (10%) of the revenues generated and shall be
5009 directly given by the Bangsamoro Government to the communities. Provided, That the
5010 rights and privileges granted to indigenous peoples by Republic Act No. 8371 and other
5011 laws pertaining to indigenous peoples shall not be diminished.

5012 CHAPTER 2 - SHARE IN TAXES, FEES, AND CHARGES COLLECTED IN

5013 THE BANGSAMORO AUTONOMOUS REGION
5014
5015 SECTION 297. Amount of share in Taxes, Fees, and Charges collected in the
5016 Bangsamoro Autonomous Region, other than Tariff and Customs Duties. - The
5017 constituent local government units shall have a (50%) share in the share of the Bangsamoro
5018 Government from the taxes, fees, and charges collected in the Bangsamoro territorial
5019 jurisdiction by the National Government, to be distributed as follows45:
5020
5021 e. Fifteen Percent (15%) to the provinces;
5022 f. Fifteen Percent (15%) to the cities;
5023 g. Fifty Percent (50%) to the municipalities; and
5024 h. Twenty Percent (20%) to the barangays.
5025
5026 SECTION 298. Share of the Local Governments from any Government
5027 Agency or - Owned and Controlled Corporation. – The local government units shall
5028 have a share based on the preceding fiscal year from the proceeds derived by any
5029 government agency or government-owned or -controlled corporation engaged in the
5030 utilization and development of the national wealth based on the following formula
5031 whichever will produce a higher share for the local government unit:
45
Section 10, Article XII, RA 11054 – Sharing of Taxes Collected by the National Government. The team
recommends that the 75% share of the Bangsamoro Government be divided equally with the local government
units and that 50% of that share be allotted to the municipalities due to their substantial number in BARMM
and they provide more basic services to the constituents.

170
5032
5033 (a) One percent (1%) of the gross sales or receipts of the preceding calendar year; or
5034
5035 (b) Forty percent (40%) of the mining taxes, royalties, forestry and fishery charges
5036 and such other taxes, fees or charges, including related surcharges, interests, or
5037 fines the government agency or government -owned or -controlled corporation
5038 would have paid if it were not otherwise exempt.
5039
5040 SECTION 299. Allocation of Shares. - The share in the preceding Section shall
5041 be distributed in the following manner:
5042 (a) Where the natural resources are located in the province
5043
5044 (1) Province - Twenty percent (20%);
5045
5046 (2) Component city/municipality - Forty-five percent (45%); and
5047
5048 (3) Barangay - Thirty-five percent (35%).
5049
5050 Provided, however, That where the natural resources are located in two (2) or more
5051 provinces, or in two (2) or more component cities or municipalities or in two (2) or more
5052 Barangays, their respective shares shall be computed on the basis of:
5053
5054 (1) Population - Seventy percent (70%); and
5055
5056 (2) Land area - Thirty percent (30%).
5057
5058 (b) Where the natural resources are located in a highly urbanized or independent
5059 component city:
5060
5061 (1) city - Sixty-five percent (65%); and
5062
5063 (2) Barangay - Thirty-five percent (35%)
5064
5065 Provided, however, That where the natural resources are located in such two (2) or
5066 more cities, the allocation of shares shall be based on the formula on population and land
5067 area as specified in paragraph (a) of this Section.
5068
5069 SECTION 300. Remittance of the Share of Local Government Units. - The
5070 share of local government units from the utilization and development of national wealth
5071 shall be remitted in accordance with Section 161 of this Code: Provided, however, That in
5072 the case of any government agency or government-owned or -controlled corporation
5073 engaged in the utilization and development of the national wealth, such share shall be
5074 directly remitted to the provincial, city, municipal or Barangay treasurer concerned within
5075 five (5) days after the end of each quarter.
5076

171
5077 SECTION 301. Development and Livelihood Projects. - The proceeds from the
5078 share of local government units pursuant to this chapter shall be appropriated by their
5079 respective Sanggunian to finance local development and livelihood projects: Provided,
5080 however, That at least eighty percent (80%) of the proceeds derived from the development
5081 and utilization of hydrothermal, geothermal, and other sources of energy shall be applied
5082 solely to lower the cost of electricity in the local government unit where such a source of
5083 energy is located.
5084
5085
5086
5087 TITLE IV
5088 CREDIT FINANCING
5089
5090 SECTION 302. Scope. - This Title shall govern the power of local government
5091 units to create indebtedness and to enter into credit and other financial transactions.
5092
5093 SECTION 303. General Policy. - (a) It shall be the basic policy that any local
5094 government unit may create indebtedness, and avail of credit facilities to finance local
5095 infrastructure and other socio- economic development projects in accordance with the
5096 approved local development plan and public investment program.
5097
5098 (b) A local government unit may avail of credit lines from government or private
5099 banks and lending institutions for the purpose of stabilizing local finances.
5100
5101 SECTION 304. Loans, Credits, and Other Forms of Indebtedness of Local
5102 Government Units. - (a) A local government unit may contract loans, credits, and other
5103 forms of indebtedness with any or domestic private bank and other lending institutions to
5104 finance the construction, installation, improvement, expansion, operation, or maintenance
5105 of public facilities, infrastructure facilities, housing projects, the acquisition of real
5106 property, and the implementation of other capital investment projects, and for the
5107 development and welfare of the people of the Bangsamoro, subject to such terms and
5108 conditions as may be agreed upon by the local government unit and the lender. The
5109 proceeds from such transactions shall accrue directly to the local government unit
5110 concerned.
5111
5112 (b) A local government unit may likewise secure from any government bank and
5113 lending short, medium and long-term loans and advances against security of real
5114 estate or other acceptable assets for the establishment, development, or expansion
5115 of agricultural, industrial, commercial, house financing projects, livelihood
5116 projects, and other economic enterprises.
5117
5118 (c) Government financial and other lending institutions are hereby authorized to grant
5119 loans, credits, and other forms of indebtedness out of their loanable funds to local
5120 government units for purposes specified above.
5121
5122 SECTION 305. Deferred-Payment and other Financial Schemes. - Provincial,
5123 city and municipal governments may likewise acquire property, plant, machinery,

172
5124 equipment, and such necessary accessories under a supplier's credit, deferred payment plan,
5125 or other financial scheme.
5126
5127 SECTION 306. Bonds and Other Long-Term Securities. - Subject to the rules
5128 and regulations of the Central Bank and the Securities and Exchange Commission,
5129 provinces, cities, and municipalities are hereby authorized to issue bonds, debentures,
5130 securities, collaterals, notes and other obligations to finance self-liquidating, income-
5131 producing development or livelihood projects pursuant to the priorities established in the
5132 approved local development plan or the public investment program. The Sanggunian
5133 concerned shall, through an ordinance approved by a majority of all its members, declare
5134 and state the terms and conditions of the bonds and the purpose for which the proposed
5135 indebtedness is to be incurred.
5136
5137 SECTION 307. Inter-Local Government Loans, Grants, and Subsidies. -
5138 Provinces, Cities and Municipalities may, upon approval of the majority of all members of
5139 the Sanggunian concerned and in amounts not exceeding their surplus funds, extend loans,
5140 grants, or subsidies to other local government units under such terms and conditions as
5141 may be agreed upon by the contracting parties. Local government units may, upon approval
5142 of their respective Sanggunian, jointly or severally contract loans, credits, and other forms
5143 of indebtedness for purposes mutually beneficial to them.
5144
5145 SECTION 308. Loans from Funds Secured by the National Government from
5146 Foreign Sources. - (a) The President, or his duly authorized representative, may, through
5147 any government financial or other lending institution, relend to any province, city,
5148 municipality, or Barangay, the proceeds of loans contracted with foreign financial
5149 institutions or other international funding agencies for the purpose of financing the
5150 construction, installation, improvement, expansion, operation, or maintenance of public
5151 utilities and facilities, infrastructure facilities, or housing projects, the acquisition of real
5152 property, and the implementation of other capital investment projects, subject to such terms
5153 and conditions as may be agreed upon by the President and the local government unit. The
5154 proceeds from such loans shall accrue directly to the local government concerned.
5155
5156 (b) The President may likewise authorize the relending to local government units the
5157 proceeds of grants secured from foreign sources, subject to the provisions of
5158 existing laws and the applicable grant agreements.
5159
5160 (c) Repayment or amortization of loans including accrued interest thereon, may be
5161 financed from the income of the projects or services and from the regular income
5162 of the local government unit, which must be provided for and appropriated
5163 regularly in its annual budget until the loan and the interest thereon shall have been
5164 fully paid.
5165
5166 SECTION 309. Financing, Construction, Maintenance, Operation, and
5167 Management of Infrastructure Projects by the Private Sector. - (a) Local government
5168 units may enter into contracts with any duly prequalified individual contractor, for the

173
5169 financing, construction, operation, and maintenance of any financially viable infrastructure
5170 facilities, under the build-operate-and- transfer agreement, subject to the applicable
5171 provisions of Republic Act Numbered Sixty-nine hundred fifty-seven (R.A. No. 6957)
5172 authorizing the financing, construction, operation and maintenance of infrastructure
5173 projects by the private sector and the rules and regulations issued thereunder and such terms
5174 and conditions provided in this Section.
5175
5176 (b) Local government units shall include in their respective local development plans
5177 and public investment programs priority projects that may be financed,
5178 constructed, operated and maintained by the private sector under this Section. It
5179 shall be the duty of the local government unit concerned to disclose to the public
5180 all projects eligible for financing under this Section, including official notification
5181 of duly registered contractors and publication in newspapers of general or local
5182 circulation and in conspicuous and accessible public places. Local projects under
5183 the build-operate-and-transfer agreement shall be confirmed by the local
5184 development councils.
5185
5186 (c) Projects implemented under this Section shall be subject to the following terms
5187 and conditions:
5188
5189 (1) The provincial, city, or municipal engineer, as the case may be, upon formal
5190 request in writing by the local chief executive, shall prepare the plans and
5191 specifications for the proposed project, which shall be submitted to the
5192 Sanggunian for approval.
5193
5194 (2) Upon approval by the Sanggunian of the project plans and specifications, the
5195 provincial, city, or municipal engineer shall, as the case may be, cause to be
5196 published once every week for two (2) consecutive weeks in at least one (1)
5197 local newspaper which is circulated in the region, province, city or
5198 municipality in which the project is to be implemented, a notice inviting all
5199 duly qualified contractors to participate in a public bidding for the projects so
5200 approved. The conduct of public bidding and award of contracts for local
5201 government projects under this Section shall be in accordance with this Code
5202 and other applicable laws, rules and regulations.
5203
5204 In the case of a build-operate-and-transfer agreement, the contract shall be awarded
5205 to the lowest complying bidder whose offer is deemed most advantageous to the local
5206 government and based on the present value of its proposed tolls, fees, rentals, and charges
5207 over a fixed term for the facility to be constructed, operated, and maintained according to
5208 the prescribed minimum design and performance standards, plans, and specifications. For
5209 this purpose, the winning contractor shall be automatically granted by the local government
5210 unit concerned the franchise to operate and maintain the facility, including the collection
5211 of tolls, fees, rentals, and charges in accordance with subsection (c-4) hereof.
5212
5213 In the case of a build-operate-and-transfer agreement, the contract shall be awarded

174
5214 to the lowest complying bidder based on the present value of its proposed schedule of
5215 amortization payments for the facility to be constructed according to the prescribed
5216 minimum design and performance standards, plans, and specifications.
5217
5218 (3) Any contractor who shall undertake the prosecution of any project under this
5219 Section shall post the required bonds to protect the interest of the province,
5220 city, or municipality, in such amounts as may be fixed by the Sanggunian
5221 concerned and the provincial, city, or municipal engineer shall not, as the case
5222 may be, allow any contractor to initiate the prosecution of projects under this
5223 Section unless such contractor presents proof or evidence that he has posted
5224 the required bond.
5225
5226 (4) The contractor shall be entitled to a reasonable return of its investment in
5227 accordance with its bid proposal as accepted by the local government unit
5228 concerned.
5229
5230 In the case of a build-operate-and-transfer agreement, the repayment shall be made
5231 by authorizing the contractor to charge and collect reasonable tolls, fees, rentals, and
5232 charges for the use of the project facility not exceeding those proposed in the bid and
5233 incorporated in the contract: Provided, That the local government unit concerned shall,
5234 based on reasonableness and equity, approve the tolls, fees, rentals and charges: Provided,
5235 further, That the imposition and collection of tolls, fees, rentals and charges shall be for a
5236 fixed period as proposed in the bid and incorporated in the contract which shall in no case
5237 exceed fifty (50) years: Provided, finally, That during the lifetime of the contract, the
5238 contractor shall undertake the necessary maintenance and repair of the facility in
5239 accordance with standards prescribed in the bidding documents and in the contract.
5240
5241 In the case of a build-operate-and-transfer agreement, the repayment shall be made
5242 through amortization payments in accordance with the schedule proposed in the bid and
5243 incorporated in the contract. In case of land reclamation or construction of industrial
5244 estates, the repayment plan may consist of the grant of a portion or percentage of the
5245 reclaimed land or the industrial estate constructed.
5246
5247 (5) Every infrastructure project undertaken under this Section shall be
5248 constructed, operated, and maintained by the contractor under the technical
5249 supervision of the local government unit and in accordance with the plans,
5250 specifications, standards, and costs approved byit.
5251
5252 (d) The provincial, city or municipal legal officer shall, as the case may be, review
5253 the contracts executed pursuant to this Section to determine their legality, validity,
5254 enforceability and correctness of form.
5255
5256 SECTION 310. Remedies and Sanctions. - Local government units shall
5257 appropriate in their respective annual budgets such amounts as are sufficient to pay the
5258 loans and other indebtedness incurred or redeem or retire bonds, debentures, securities,

175
5259 notes and other obligations issued under this Title: Provided, that failure to provide the
5260 appropriations herein required shall render their annual budgets inoperative.
5261
5262 TITLE V
5263 LOCAL FISCAL ADMINISTRATION
5264
5265 CHAPTER I
5266 General Provisions
5267
5268 SECTION 311. Scope. - This Title shall govern the conduct and management of
5269 financial affairs, transactions, and operations of provinces, cities, municipalities, and
5270 Barangays.
5271
5272 SECTION 312. Fundamental Principles. - The financial affairs, transactions, and
5273 operations of local government units shall be governed by the following fundamental
5274 principles:
5275
5276 (a) No money shall be paid out of the local treasury except in pursuance of an
5277 appropriations ordinance or law;
5278
5279 (b) Local government funds and monies shall be spent solely for public purposes;
5280
5281 (c) Local revenue is generated only from sources expressly authorized by law or
5282 ordinance, and collection thereof shall at all times be acknowledged properly;
5283
5284 (d) All monies officially received by a local government officer in any capacity or on
5285 any occasion shall be accounted for as local funds, unless otherwise provided
5286 bylaw;
5287
5288 (e) Trust funds in the local treasury shall not be paid out except in fulfillment of the
5289 purpose for which the trust was created or the funds received;
5290
5291 (f) Every officer of the local government unit whose duties permit or require the
5292 possession or custody of local funds shall be properly bonded, and such officer
5293 shall be accountable and responsible for said funds and for the safekeeping thereof
5294 in conformity with the provisions of law;
5295
5296 (g) Local governments shall formulate sound financial plans, and the local budgets
5297 shall be based on functions, activities, and projects, in terms of expected results;
5298
5299 (h) Local budget plans and goals shall, as far as practicable, be harmonized with
5300 national development plans, goals, and strategies in order to optimize the
5301 utilization of resources and to avoid duplication in the use of fiscal and physical
5302 resources;
5303

176
5304 (i) Local budgets shall operationalize approved local development plans;
5305
5306 (j) Local government units shall ensure that their respective budgets incorporate the
5307 requirements of their component units and provide for equitable allocation of
5308 resources among these component units;
5309
5310 (k) National planning shall be based on local planning to ensure that the needs and
5311 aspirations of the people as articulated by the local government units in their
5312 respective local development plans are considered in the formulation of budgets
5313 of national line agencies or offices;
5314
5315 (l) Fiscal responsibility shall be shared by all those exercising authority over the
5316 financial affairs, transactions, and operations of the local government units; and
5317
5318 (m) The local government unit shall endeavor to have a balanced budget in each fiscal
5319 year of operation.
5320
5321 (n) The local government units shall promote honest, transparent, and orderly
5322 management of public funds, and increase the Bangsamoro people’s awareness on
5323 local budget and allocated amount for development projects in their localities in
5324 accordance with the full disclosure policy of the Bangsamoro Government.46
5325
5326 SECTION 313. Definitions. - When used in this Title, the term - (a) "Annual
5327 Budget" refers to a financial plan embodying the estimates of income and expenditures for
5328 one (1) fiscal year;
5329
5330 (b) "Appropriation" refers to an authorization made by ordinance, directing the
5331 payment of goods and services from local government funds under specified
5332 conditions or for specific purposes;
5333
5334 (c) "Budget Document" refers to the instrument used by the local chief executive to
5335 present a comprehensive financial plan to the Sanggunian concerned;
5336
5337 (d) "Capital Outlays" refers to appropriations for the purchase of goods and services,
5338 the benefits of which extend beyond the fiscal year and which add to the assets of
5339 the local government unit concerned, including investments in public utilities such
5340 as public markets and slaughterhouses;
5341
5342 (e) "Continuing Appropriation" refers to an appropriation available to support
5343 obligations for a specified purpose or projects, such as those for the construction
5344 of physical structures or for the acquisition of real property or equipment, even
5345 when these obligations are incurred beyond the budget year;
5346
5347 (f) "Current Operating Expenditures" refers to appropriations for the purchase of

46
Section 40, Article XII, RA 11054 - Full Disclosure Policy

177
5348 goods and services for the conduct of normal local government operations within
5349 the fiscal year, including goods and services that will be used or consumed during
5350 the budget year;
5351
5352 (g) "Expected Results" refers to the services, products, or benefits that will accrue to
5353 the public, estimated in terms of performance measures or physical targets;
5354
5355 (h) "Fund" refers to a sum of money, or other assets convertible to cash, set aside for
5356 the purpose of carrying out specific activities or attaining certain objectives in
5357 accordance with special regulations, restrictions, or limitations, and constitutes an
5358 independent fiscal and accounting entity;
5359
5360 (i) "Income" refers to all revenues and receipts collected or received forming the gross
5361 accretions of funds of the local government unit;
5362
5363 (j) "Obligations" refers to an amount committed to be paid by the local government
5364 unit for any lawful act made by an accountable officer for and in behalf of the
5365 local unit concerned;
5366
5367 (k) "Personal Services" refers to appropriations for the payment of salaries, wages and
5368 other compensation of permanent, temporary, contractual, and casual employees
5369 of the local government unit;
5370
5371 (l) "Receipts" refers to income realized from operations and activities of the local
5372 government or are received by it in the exercise of its corporate functions,
5373 consisting of charges for services rendered, conveniences furnished, or the price
5374 of a commodity sold, as well as loans, contributions or aids from other entities,
5375 except provisional advances for budgetary purposes; and
5376
5377 (m) "Revenue" refers to income derived from the regular system of taxation enforced
5378 under authority of law or ordinance, and, as such, accrue more or less regularly
5379 every year.
5380
5381 CHAPTER II
5382 Local and Other Special Funds
5383
5384 ARTICLE I
5385 Receipts, Safekeeping and Disposition of Local Funds
5386
5387 SECTION 314. Remittance of Government Monies to the Local Treasury. -
5388 Officers of the local authorized to receive and collect monies arising from taxes, revenues,
5389 or receipts of any kind shall remit the full amount received and collected to the treasury of
5390 such local government unit which shall be credited to the particular account or accounts to
5391 which the monies in question properly belong.
5392

178
5393 SECTION 315. Local Funds. - Every local government unit shall maintain a
5394 General Fund which shall be used to account for such monies and resources as may be
5395 received by and disbursed from the local treasury. The General Fund shall consist of
5396 monies and resources of the local government which are available for the payment of
5397 expenditures, obligations or purposes not specifically declared by law as accruing and
5398 chargeable to, or payable from, any other fund.
5399
5400 SECTION 316. Special Funds. - There shall be maintained in every provincial,
5401 city, or municipal treasury the following special funds:
5402
5403 (a) Special Education Fund (SEF) shall consist of the respective shares of provinces,
5404 cities, and Barangays in the proceeds of the additional tax on real property to be
5405 appropriated for purposes prescribed in Section 147 of this Code; and
5406
5407 (b) Trust Funds shall consist of private and public monies which have officially come
5408 into the possession of the local government or of a local government official as
5409 trustee, agent or administrator, or which have been received as a guaranty for the
5410 fulfillment of some obligation. A trust fund shall only be used for the specific
5411 purpose for which it was created or for which it came into the possession of the
5412 local government unit.
5413
5414 SECTION 317. Separation of Books and Depository Accounts. - Local
5415 accountants and treasurers shall maintain separate books and depository accounts,
5416 respectively, for each fund in their custody or under such rules and regulations as the
5417 Commission on Audit may prescribe.
5418
5419 SECTION 318. Depository Accounts. - Local treasurers shall maintain depository
5420 accounts in the of their respective local government units with banks, preferably
5421 government-owned, located in or nearest to their respective areas of jurisdiction. Earnings
5422 of each depository account shall accrue exclusively thereto.
5423
5424 SECTION 319. Separation of Personal Money from Public Funds. - Local
5425 treasurers and other accountable officers shall keep personal monies separate and distinct
5426 from local public funds in their custody and shall not make profit out of public money or
5427 otherwise apply the same to any use not authorized by law or ordinance.
5428
5429 ARTICLE II
5430 Special Accounts
5431
5432 SECTION 320. Special Accounts to be Maintained in the General Fund. - Local
5433 government units shall maintain special accounts in the general fund for the following:
5434
5435 (a) Public utilities and other economic enterprises;
5436
5437 (b) Loans, interests, bond issues, and other contributions for specific purposes; and

179
5438
5439 (c) Development projects funded from the share of the local government unit
5440 concerned in the internal revenue allotment and such other special accounts which
5441 may be created by law or ordinance. Receipts, transfers, and expenditures
5442 involving the foregoing special accounts shall be properly taken up thereunder.
5443 Profits or income derived from the operation of public utilities and other economic
5444 enterprises, after deduction for the cost of improvement, repair and other related
5445 expenses of the public utility or economic enterprise concerned, shall first be
5446 applied for the return of the advances or loans made therefor. Any excess shall
5447 form part of the general fund of the local government unit concerned.
5448 CHAPTER III
5449 Budgeting
5450
5451 ARTICLE I
5452 Local Government Budgets
5453
5454 SECTION 321. Form and Content. - (a) Local government budgets shall
5455 primarily consist of two (2) parts:
5456
5457 (1) estimates of receipts; and
5458
5459 (2) The total appropriations covering the current operating expenditures and
5460 capital outlays.
5461
5462 (b) The budget document shall contain:
5463
5464 (1) A budget message of the local chief executive setting forth in brief the
5465 significance of the executive budget, particularly in relation to the approved
5466 local development plan;
5467
5468 (2) A brief summary of the functions, projects, and activities to be accomplished
5469 in of the goals and objectives of the local government unit for the ensuing
5470 fiscal year, specifically the delivery of basic services or facilities enumerated
5471 under Section 17 of this Code;
5472
5473 (3) Summary of financial statements setting forth:
5474
5475 (i) The actual income and expenditures during the immediately preceding
5476 year;
5477
5478 (ii) The actual income and expenditures of the first two (2) quarters and the
5479 estimates of income and expenditures for the last two (2) quarters of the
5480 current fiscal year;
5481
5482 (iii) The estimates of income for the ensuing fiscal year from ordinances and

180
5483 laws existing at the time the proposed budget is transmitted, together with
5484 other revenue-raising proposals;
5485
5486 (iv) The estimated expenditures necessary to carry out the functions, projects,
5487 and activities of the local government unit for the ensuing fiscal year;
5488
5489 (v) All essential facts regarding the bonded and other long-term obligations
5490 and indebtedness of the local government unit, if any;
5491
5492 (vi) Summary statement of all statutory and contractual obligations due; and
5493
5494 (vii) Such other financial statements and data as are deemed necessary or
5495 desirable in order to disclose in all practicable detail the financial condition
5496 of the local government unit.
5497
5498 SECTION 322. Submission of Detailed Statements of Income and
5499 Expenditures. - (a) On or before the fifteenth (15th) day of July of each year, local
5500 treasurers shall submit to their respective local chief executives a certified statement
5501 covering the income and expenditures of the preceding fiscal year, the actual income and
5502 expenditures of the first two (2) quarters of the current year, and the estimated income and
5503 expenditures for the last two (2) quarters of the current year.
5504
5505 SECTION 323. Local Finance Committee. - There is hereby created in every
5506 province, city, or municipality a local finance committee to be composed of the local
5507 planning and development officer, the local budget officer, and the local treasurer. It shall
5508 exercise the following functions:
5509
5510 (a) Determine the income reasonably projected as collectible for the ensuing fiscal
5511 year;
5512
5513 (b) Recommend the appropriate tax and other revenue measures or borrowings, which
5514 may be appropriate to support the budget;
5515
5516 (c) Recommend to the local chief executive concerned the level of the annual
5517 expenditures and the ceilings of spending for economic, social, and general
5518 services based on the approved local development plans;
5519
5520 (d) Recommend to the local chief executive concerned the proper allocation of
5521 expenditures
5522 for each development activity between current operating expenditures and
5523 capital outlays;
5524
5525 (e) Recommend to the local chief executive concerned the amount to be allocated for
5526 capital under each development activity or infrastructure project;
5527

181
5528 (f) Assist the Sangguniang Panlalawigan in the review and evaluation of budget of
5529 component cities and municipalities in the case of provincial finance committee,
5530 the Barangay budgets in the case of city or municipal finance committee, and
5531 recommend the appropriate action thereon;
5532
5533 (g) Assist the Sanggunian concerned in the analysis and review of annual regular and
5534 budgets of the respective local government unit to determine compliance with
5535 statutory and administrative requirements; and
5536
5537 (h) Conduct semi-annual review and general examination of cost and
5538 accomplishments against performance standards applied in undertaking
5539 development projects. A copy of this report shall be furnished the local chief
5540 executive and the Sanggunian concerned, and shall be posted in conspicuous and
5541 publicly accessible places in the provinces, cities, municipalities and barangays.
5542
5543 SECTION 324. Submission of Budget Proposals by Heads of Departments or
5544 Offices. - (a) Each head of department or office shall submit a budget proposal for his
5545 department or office to the local chief executive on or before the fifteenth (15th) of July of
5546 each year: Provided, That the budget proposal of each department or office shall be
5547 categorized under either economic, social or general services: Provided, further, That each
5548 service shall be covered by the budget of at least one (1) department or office of the local
5549 government unit concerned.
5550
5551 The said budget proposal shall be prepared in accordance with such policy and
5552 program as the local chief executive concerned may issue in conformity with the local
5553 development plan, the budgetary ceilings prescribed by the local finance committee, and
5554 the general requirements prescribed in this Title.
5555
5556 (b) Budget proposals of departments or offices shall be divided into two (2) primary
5557 categories, namely: the current operating expenditures and the capital outlays.
5558 Such budget proposals shall contain the following information:
5559
5560 (1) Objectives, functions, and projects showing the general character and relative
5561 importance of the work to be accomplished or the services to be rendered, and
5562 the cost thereof;
5563
5564 (2) Organizational charts and staffing patterns indicating the list of plantilla
5565 positions with their corresponding salaries, and proposals for reclassification
5566 of positions and salary changes, as well as the creation of new positions with
5567 their proposed salary grade, duly supported by proper justification;
5568
5569 (3) Brief description of the functions, projects and activities for the ensuing fiscal
5570 year, expected results for each function, project and activity, and the nature of
5571 work to be performed, including the objects of expenditure for each function,
5572 project and activity;

182
5573
5574 (4) Relation of the work and financial proposals to approved local development
5575 plans;
5576
5577 (5) Estimated current operating expenditures and capital outlays with comparative
5578 data for the last two (2) preceding, current, and ensuing fiscal years; and
5579
5580 (6) Accomplishment reports for the last two (2) proceeding and current fiscal
5581 years.
5582
5583 SECTION 325. Preparation of the Budget by the Local Chief Executive. - Upon
5584 receipt of the statements of income and expenditures from the treasurer, the budget
5585 proposals of the heads of departments and offices, and the estimates of income and
5586 budgetary ceilings from the local finance committee, the local chief executive shall prepare
5587 the executive budget for the ensuing fiscal year in accordance with the provisions of this
5588 Title.
5589
5590 The local chief executive shall submit the said executive budget to the Sanggunian
5591 concerned not later than the sixteenth (16th) of October of the current fiscal year. Failure
5592 to submit such budget on the date prescribed herein shall subject the local chief executive
5593 to such criminal and administrative penalties as provided for under this Code and other
5594 applicable laws.
5595
5596 SECTION 326. Legislative Authorization of the Budget. - On or before the end
5597 of the current fiscal year, the Sanggunian concerned shall enact, through an ordinance, the
5598 annual budget of the local government unit for the ensuing fiscal year on the basis of the
5599 estimates of income and expenditures submitted by the local chief executive.
5600
5601 SECTION 327. Effectivity of Budgets. - The ordinance enacting the annual
5602 budget shall take effect at the beginning of the ensuing calendar year. An ordinance
5603 enacting a supplemental budget, however, shall take effect upon its approval or on the date
5604 fixed therein.
5605
5606 The responsibility for the execution of the annual and supplemental budgets and the
5607 accountability therefore shall be vested primarily in the local chief executive concerned.
5608
5609 SECTION 328. Changes in the Annual Budget. - All budgetary proposals shall
5610 be included and in the budget preparation process. After the local chief executive
5611 concerned shall have submitted the executive budget to the Sanggunian, no ordinance
5612 providing for a supplemental budget shall be enacted, except when supported by funds
5613 actually available as certified by the local treasurer or by new revenue sources.
5614
5615 A supplemental budget may also be enacted in times of public calamity by way of
5616 budgetary realignment to set aside appropriations for the purchase of supplies and materials
5617 or the payment of services which are exceptionally urgent or absolutely indispensable to

183
5618 prevent imminent danger to, or loss of, life or property, in the jurisdiction of the local
5619 government unit or in other areas declared by the President in a state of calamity. Such
5620 ordinance shall clearly indicate the sources of funds available for appropriations, as
5621 certified under oath by the local treasurer and local accountant and attested by the local
5622 chief executive, and the various items of appropriations affected and the reasons for
5623 thechange.
5624
5625 SECTION 329. Reversion of Unexpended Balances of Appropriations,
5626 Continuing Appropriations. - Balances of appropriations authorized in the annual
5627 appropriations ordinance shall revert to the surplus of the general fund at the end of the
5628 fiscal year and shall not thereafter be available for expenditure except by subsequent
5629 enactment. However, appropriations for capital outlays shall continue and remain valid
5630 until fully spent, reverted or the project is completed. Reversions of continuing
5631 appropriations shall not be allowed unless obligations therefor have been fully paid or
5632 otherwise settled.
5633
5634 The balances of continuing appropriations shall be reviewed as part of the annual
5635 budget preparation and the Sanggunian concerned may approve, upon recommendation of
5636 the local chief executive, the reversion of funds no longer needed in connection with the
5637 activities funded by said continuing appropriations subject to the provisions of this Section.
5638
5639 SECTION 330. Failure to Enact the Annual Appropriations. - In case the
5640 Sanggunian concerned fails to pass the ordinance authorizing the annual appropriations at
5641 the beginning of the ensuing fiscal year, it shall continue to hold sessions, without
5642 additional remuneration for its members, until such ordinance is approved, and no other
5643 business may be taken up during such sessions. If the Sanggunian still fails to enact such
5644 ordinance after ninety (90) days from the beginning of the fiscal year, the ordinance
5645 authorizing the appropriations of the preceding year shall be deemed reenacted and shall
5646 remain in force and effect until the ordinance authorizing the proposed appropriations is
5647 passed by the Sanggunian concerned. However, only the annual appropriations for salaries
5648 and wages of existing positions, statutory and contractual obligations, and essential
5649 operating expenses authorized in the annual and supplemental budgets for the preceding
5650 year shall be deemed reenacted and disbursement of funds shall be in accordance therewith.
5651
5652 In the implementation of such reenacted ordinance, the local treasurer concerned
5653 shall exclude from the estimates of income for the preceding fiscal year those realized from
5654 nonrecurring sources, like national aids, proceeds from loans, sale of assets, prior year
5655 adjustments, and other analogous sources of income. No ordinance authorizing
5656 supplemental appropriations shall be passed in place of the annual appropriations. In case
5657 the revised income estimates be less than the aggregate reenacted appropriations, the local
5658 treasurer concerned shall accordingly advise the Sanggunian concerned which shall, within
5659 ten (10) days from the receipt of such advice, make the necessary adjustments or
5660 reductions. The revised appropriations authorized by the Sanggunian concerned shall then
5661 be the basis for disbursements.
5662

184
5663 SECTION 331. Budgetary Requirements. - The budgets of local government
5664 units for any fiscal year shall comply with the following requirements: (a) The aggregate
5665 amount appropriated shall not exceed the estimates of income:
5666
5667 (b) Full provision shall be made for all statutory and contractual obligations of the
5668 local government unit concerned: Provided, however, That the amount of
5669 appropriations for debt servicing shall not exceed twenty percent (20%) of the
5670 regular income of the local government unit concerned;
5671
5672 (c) In the case of provinces, cities, and municipalities, aid to component Barangays
5673 shall be in amounts of not less than One thousand pesos (P1,000.00) per Barangay;
5674 and
5675
5676 (d) Five percent (5%) of the estimated revenue from regular sources shall be set aside
5677 as an annual lump sum appropriation for unforeseen expenditures arising from the
5678 occurrence of calamities: Provided, however, That such appropriation shall be
5679 used only in the area, or a portion thereof, of the local government unit or other
5680 areas declared by the President in a state of calamity.
5681
5682 (e) Copies of the annual budget of provincial local government units shall be
5683 furnished to the Ministry of the Interior and Local Government47.
5684
5685 SECTION 332. General Limitations. - The use of the provincial, city, and
5686 municipal funds shall be subject to the following limitations:
5687
5688 (a) The total appropriations, whether annual or supplemental, for personal services of
5689 a local government unit for one (1) fiscal year shall not exceed forty-five percent
5690 (45%) in the case of first to third class provinces, cities, and municipalities, and
5691 fifty-five percent (55%) in the case of fourth class or lower, of the total annual
5692 income from regular sources realized in the next preceding fiscal year. The
5693 appropriations for salaries, wages, representation and transportation allowances of
5694 officials and employees of the public utilities and economic enterprises owned,
5695 operated, and maintained by the local government unit concerned shall not be
5696 included in the annual budget or in the computation of the maximum amount for
5697 personal services. The appropriations for the personal services of such economic
5698 enterprises shall be charged to their respective budgets;
5699
5700 (b) No official or employee shall be entitled to a salary rate higher than the maximum
5701 fixed for his position or other positions of equivalent rank by applicable laws or
5702 rules and regulations issued there under;
5703
5704 (c) No local fund shall be appropriated to increase or adjust salaries or wages of
5705 officials and employees of the national government, except as may be expressly

47
The team recommends that Bangsamoro Government be given a copy of the annual budget of provinces
for monitoring and policy making purposes.

185
5706 authorized by law; (d) In cases of abolition of positions and the creation of new
5707 ones resulting from the abolition of existing positions in the career service, such
5708 abolition or creation shall be made in accordance with pertinent provisions of this
5709 code and the civil service law, rules and regulations;
5710
5711 (e) Positions in the official plantilla for career positions which are occupied by
5712 incumbents holding permanent appointments shall be covered by adequate
5713 appropriations;
5714
5715 (f) No changes in designation or nomenclature of positions resulting in a promotion
5716 or demotion in rank or increase or decrease in compensation shall be allowed,
5717 except when the position is actually vacant, and the filling of such positions shall
5718 be strictly made in accordance with the civil service law, rules and regulations;
5719
5720 (g) The creation of new positions and salary increases or adjustments shall in no case
5721 be made retroactive; and
5722
5723 (h) The annual appropriations for discretionary purposes of the local chief executive
5724 shall not exceed two percent (2%) of the actual receipts derived from basic real
5725 property tax in the next preceding calendar year. Discretionary funds shall be
5726 disbursed only for public purposes to be supported by appropriate vouchers and
5727 subject to such guidelines as may be prescribed by law. No amount shall be
5728 appropriated for the same purpose except as authorized under this Section.
5729
5730 SECTION 333. Review of Appropriation Ordinances of Component Cities and
5731 Municipalities. - The Sangguniang Panlalawigan shall review the ordinance authorizing
5732 annual or supplemental appropriations of component cities and municipalities in the same
5733 manner and within the same period prescribed for the review of other ordinances.
5734
5735 If within ninety (90) days from receipt of copies of such ordinance, the Sangguniang
5736 Panlalawigan takes no action thereon, the same shall be deemed to have been reviewed in
5737 accordance with law and shall continue to be in full force and effect. If within the same
5738 period, the Sangguniang Panlalawigan shall have ascertained that the ordinance
5739 authorizing annual or supplemental appropriations has not complied with the requirements
5740 set forth in this Title, the Sangguniang Panlalawigan shall, within the ninety-day period
5741 hereinabove prescribed, declare such ordinance inoperative in its entirety or in part. Items
5742 of appropriation contrary to limitations prescribed in this Title or in excess of the amounts
5743 prescribed herein shall be disallowed or reduced accordingly.
5744
5745 The Sangguniang Panlalawigan shall within the same period advise the
5746 Sangguniang Panlungsod or Sangguniang Bayan concerned through the local chief
5747 executive of any action on the ordinance under review. Upon receipt of such advice, the
5748 city or municipal treasurer concerned shall not make further disbursements of funds from
5749 any of the items of appropriation declared inoperative, disallowed or reduced.
5750

186
5751 SECTION 334. Duration of Appropriation. - Appropriations for ordinary
5752 administrative purposes not duly obligated shall terminate with the fiscal year and all
5753 unexpended balances thereof shall be automatically reverted on the thirty-first (31st) day
5754 of December of each year to the general fund of the local government unit.
5755
5756 ARTICLE II
5757 Barangay Budgets
5758
5759 SECTION 335. Barangay Funds. - Unless otherwise provided in this Title, all the
5760 income of the Barangay from whatever source shall accrue to its general fund and shall, at
5761 the option of the Barangay concerned, be kept as trust fund in the custody of the city or
5762 municipal treasurer or be deposited in a bank, preferably government-owned, situated in
5763 or nearest to its area of jurisdiction. Such funds shall be disbursed in accordance with the
5764 provisions of this Title. Ten percent (10%) of the general fund of the Barangay shall be set
5765 aside for the Sangguniang Kabataan.
5766
5767 SECTION 336. Submission of Detailed Statements of Income and
5768 Expenditures for the Barangay Budgets. - On or before the fifteenth (15th) day of
5769 September of each year, the Barangay Treasurer shall submit to the Punong Barangay a
5770 statement covering the estimates of income and expenditures for the ensuing fiscal year,
5771 based on a certified statement issued by the city or municipal treasurer covering the
5772 estimates of income from local sources for the Barangay concerned.
5773
5774 SECTION 337. Preparation of the Barangay Budget. - (a) Upon receipt of the
5775 statement of income and expenditures from the Barangay Treasurer, the Punong Barangay
5776 shall prepare the Barangay budget for the ensuing fiscal year in the manner and within the
5777 period prescribed in this Title and submit the annual Barangay budget to the Sangguniang
5778 Barangay for legislative enactment.
5779
5780 (b) The total annual appropriations for personal services of a Barangay for one (1)
5781 fiscal year shall not exceed fifty-five percent (55%) of the total annual income
5782 actually realized from local sources during the next preceding fiscal year.
5783
5784 (c) The Barangay budget shall likewise be subject to the same budgetary requirements
5785 and limitations herein above prescribed.
5786
5787 SECTION 338. Effectivity of Barangay Budgets. - The ordinance enacting the
5788 annual budget shall take effect at the beginning of the ensuing calendar year. An ordinance
5789 enacting a supplemental budget, however, shall take effect upon its approval or on the date
5790 fixed therein. The responsibility for the execution of the annual and supplemental budgets
5791 and the accountability therefor shall be vested primarily in the Punong Barangay
5792 concerned.
5793
5794 SECTION 339. Review of the Barangay Budget. - (a) Within ten (10) days from
5795 its approval, copies of the Barangay ordinance authorizing the annual appropriations shall

187
5796 be furnished the Sangguniang Panlungsod or the Sangguniang Bayan, as the case may be,
5797 through the city or municipal budget officer. The Sanggunian concerned shall have the
5798 power to review such ordinance in order to ensure that the provisions of this Title are
5799 complied with. If within sixty (60) days after the receipt of the ordinance, the Sanggunian
5800 concerned takes no action thereon, the same shall continue to be in full force and effect. If
5801 within the same period, the Sanggunian concerned shall have ascertained that the ordinance
5802 contains appropriations in excess of the estimates of the income duly certified as
5803 collectible, or that the same has not complied with the budgetary requirements set forth in
5804 this Title, the said ordinance shall be declared inoperative in its entirety or in part. Items of
5805 appropriation contrary to, or in excess of, any of the general limitations or the maximum
5806 amount prescribed in this Title shall be disallowed or reduced accordingly.
5807
5808 (b) Within the period hereinabove fixed, the Sangguniang Panlungsod or Sangguniang
5809 Bayan concerned shall return the Barangay ordinance, through the city or
5810 municipal budget officer, to the Punong Barangay with the advice of action
5811 thereon for proper adjustments, in which event, the Barangay shall operate on the
5812 ordinance authorizing annual appropriations of the preceding fiscal year until such
5813 time that the new ordinance authorizing annual appropriations shall have met the
5814 objections raised. Upon receipt of such advice, the Barangay treasurer or the city
5815 or municipal treasurer who has custody of the funds shall not make further
5816 disbursement from any item of appropriation declared inoperative, disallowed, or
5817 reduced.
5818
5819 SECTION 340. Barangay Financial Procedures. - (a) The Barangay treasurer
5820 shall collect all taxes, fees, and other charges due and contributions accruing to the
5821 Barangay for which he shall issue official receipts, and shall deposit all collections with
5822 the city or municipal treasury or in the depository account maintained in the name of the
5823 Barangay within five (5) days after receipt thereof. He may collect real property taxes and
5824 such other taxes as may be imposed by a province, city or municipality that are due in his
5825 Barangay only after being deputized by the local treasurer concerned for the purpose.
5826
5827 (b) The Barangay treasurer may be authorized by the Sangguniang Barangay to make
5828 direct purchases amounting to not more than One thousand pesos (Php1,000.00)
5829 at any time for the ordinary and essential needs of the Barangay. The petty cash
5830 that the Barangay treasurer may be authorized to hold for the purpose shall not
5831 exceed twenty percent (20%) of the funds available and to the credit of the
5832 Barangay treasury.
5833
5834 (c) The financial records of the Barangay shall be kept in the office of the city or
5835 municipal accountant in simplified manner as prescribed by the Commission on
5836 Audit. Representatives of the Commission on Audit shall audit such accounts
5837 annually or as often as may be necessary and make a report of the audit to the
5838 Sangguniang Panlungsod or Sangguniang bayan, as the case may be. The
5839 Commission on Audit shall prescribe and put into effect simplified procedures for
5840 Barangay finances within six (6) months following the effectivity of this Code.

188
5841
5842 CHAPTER IV
5843 EXPENDITURES, DISBURSEMENTS, ACCOUNTING AND
5844 ACCOUNTABILITY
5845
5846 SECTION 341. Prohibitions Against Expenditures for Religious or Private
5847 Purposes. - No public money or property shall be appropriated or applied for religious or
5848 private purposes.
5849
5850 SECTION 342. Use of Appropriated Funds and Savings. - Funds shall be
5851 available exclusively for the specific purpose for which they have been appropriated. No
5852 ordinance shall be passed authorizing any transfer of appropriations from one item to
5853 another. However, the local chief executive or the presiding officer of the Sanggunian
5854 concerned may, by ordinance, be authorized to augment any item in the approved annual
5855 budget for their respective offices from savings in other items within the same expense
5856 class of their respective appropriations.
5857
5858 SECTION 343. Restriction Upon Limit of Disbursements. - Disbursements in
5859 accordance with appropriations in the approved annual budget may be made from any local
5860 fund in the custody of the treasurer, but the total disbursements from any local fund shall
5861 in no case exceed fifty percent (50%) of the uncollected estimated revenue accruing to such
5862 local fund in addition to the actual collections: Provided, however, That no cash overdraft
5863 in any local fund shall be incurred at the end of the fiscal year.
5864
5865 In case of emergency arising from a typhoon, earthquake, or any other calamity, the
5866 Sanggunian concerned may authorize the local treasurer to continue making disbursements
5867 from any local fund in his possession in excess of the limitations herein provided, but only
5868 for such purposes and amounts included in the approved annual budgets. Any overdraft
5869 which may be incurred at the end of the year in any local fund by virtue of the provisions
5870 hereof shall be covered with the first collections of the immediately succeeding fiscal year
5871 accruing to such local fund.
5872
5873 SECTION 344. Prohibitions Against Advance Payments. - No money shall be
5874 paid on account of any contract under which no services have been rendered or goods
5875 delivered.
5876
5877 SECTION 345. Cash Advances. - No cash advance shall be granted to any local
5878 official or employee, elective or appointive, unless made in accordance with the rules and
5879 regulations as the Commission on Audit may prescribe.
5880
5881 SECTION 346. Persons Accountable for Local Government Funds. - Any
5882 officer of the local government unit whose duty permits or requires the possession or
5883 custody of local government funds shall be accountable and responsible for the safekeeping
5884 thereof in conformity with the provisions of this Title. Other local officers who, though not
5885 accountable by the nature of their duties, may likewise be similarly held accountable and

189
5886 responsible for local government funds through their participation in the use or application
5887 thereof.
5888
5889 SECTION 347. Prohibitions Against Pecuniary Interest. - Without prejudice to
5890 criminal prosecution under applicable laws, any local treasurer, accountant, budget officer,
5891 or other accountable local officer having any pecuniary interest, direct or indirect, in any
5892 contract, work or other business of the local government unit of which he is an accountable
5893 officer shall be administratively liable therefor.
5894
5895 SECTION 348. Liability for Acts Done Upon Direction of Superior Officer, or
5896 Upon Participation of Other Department Heads or Officers of Equivalent Rank. -
5897 Unless he registers his objection in writing, the local treasurer, accountant, budget officer,
5898 or other accountable officer shall not be relieved of liability for illegal or improper use or
5899 application or deposit of government funds or property by reason of his having acted upon
5900 the direction of a superior officer, elective or appointive, or upon participation of other
5901 department heads or officers of equivalent rank. The superior officer directing, or the
5902 department head participating in such illegal or improper use or application or deposit of
5903 government funds or property, shall be jointly and severally liable with the local treasurer,
5904 accountant, budget officer, or other accountable officer for the sum or property so illegally
5905 or improperly used, applied or deposited.
5906
5907 SECTION 349. Prohibition Against Expenses for Reception and
5908 Entertainment. - No money shall be appropriated, used, or paid for entertainment or
5909 reception except to the extent of the representation allowances authorized by law or for the
5910 reception of visiting dignitaries of foreign governments or foreign missions, or when
5911 expressly authorized by the President in specific cases.
5912
5913 SECTION 350. Certification on, and Approval of, Vouchers. - No money shall
5914 be disbursed unless the local budget officer certifies to the existence of appropriation that
5915 has been legally made for the purpose, the local accountant has obligated said
5916 appropriation, and the local treasurer certifies to the availability of funds for the purpose.
5917 Vouchers and payrolls shall be certified to and approved by the head of the department or
5918 office who has administrative control of the fund concerned, as to validity, propriety, and
5919 legality of the claim involved. Except in cases of disbursements involving regularly
5920 recurring administrative expenses such as payrolls for regular or permanent employees,
5921 expenses for light, water, telephone and telegraph services, remittances to government
5922 creditor agencies such as the GSIS, SSS, LBP, DBP, National Printing Office, Procurement
5923 Service of the DBM and others, approval of the disbursement voucher by the local chief
5924 executive himself shall be required whenever local funds are disbursed.
5925
5926 In cases of special or trust funds, disbursements shall be approved by the
5927 administrator of the fund. In case of temporary absence or incapacity of the department
5928 head or chief of office, the officer next-in-rank shall automatically perform his function
5929 and he shall be fully responsible therefor.
5930

190
5931 SECTION 351. Officials Authorized to Draw Checks in Settlement of
5932 Obligations. - Checks in settlement of obligations shall be drawn by the local treasurer and
5933 countersigned by the local administrator. In case of temporary absence or incapacity of the
5934 foregoing officials, these duties shall devolve upon their immediate assistants.
5935
5936 SECTION 352. Disbursements of Local Funds and Statement of Accounts. -
5937 Disbursements shall be made in accordance with the ordinance authorizing the annual or
5938 supplemental appropriations without the prior approval of the Sanggunian concerned.
5939 Within thirty (30) days after the close of each month, the local accountant shall furnish the
5940 Sanggunian with such financial statements as may be prescribed by the Commission on
5941 Audit. In the case of the year-end statement of accounts, the period shall be sixty (60) days
5942 after the thirty-first (31st) of December.
5943
5944 SECTION 353. Rendition of Accounts. - Local treasurers, accountants and other
5945 local accountable officers shall render their accounts within such time, in such form, style,
5946 and content and under such as the Commission on Audit may prescribe. Provincial, city,
5947 and municipal auditors shall certify the balances arising in the accounts settled by them to
5948 the Chairman of the Commission on Audit and to the local treasurer, accountant, and other
5949 accountable officers. Copies of the certification shall be prepared and furnished other local
5950 officers who may be held jointly and severally liable for any loss or illegal, improper or
5951 unauthorized use or misappropriation of local funds or property.
5952
5953 SECTION 354. Auditorial Visitation. - The books, accounts, papers, and cash of
5954 local treasurer, accountant, budget officer, or other accountable officers shall at all times
5955 be open for inspection of the Commission on Audit or its duly authorized representative.
5956
5957 In case an examination of the accounts of a local treasurer discloses a shortage in
5958 cash which should be on hand, it shall be the duty of the examining officer to seize the
5959 office and its contents, notify the Commission on Audit, the local chief executive
5960 concerned, and the local accountant. Thereupon, the examining officer shall immediately
5961 turn over to the accountable officer next-in-rank in the local treasury service, unless the
5962 said officer is likewise under investigation, the office of the treasurer and its contents, and
5963 close and render his accounts on the date of turnover. In case the accountable officer next
5964 in rank is under investigation, the auditor shall take full possession of the office and its
5965 contents, close and render his accounts on the date of taking possession, and temporarily
5966 continue the public business of such office until such time that the local treasurer is restored
5967 or a successor has been duly designated. The local treasurer or accountable officer found
5968 with such shortage shall be automatically suspended from office.
5969
5970 SECTION 355. Accounting for Revenues. - Estimated revenues which remain
5971 unrealized at the close of the fiscal year shall not be booked or credited to the
5972 unappropriated surplus or any other account.
5973
5974 SECTION 356. Accounting for Obligations. - All lawful expenditures and
5975 obligations incurred during a fiscal year shall be taken up in the accounts of that year.

191
5976
5977 SECTION 357. General Liability for Unlawful Expenditures. - Expenditures of
5978 funds or use of property in violation of this Title and other laws shall be a personal liability
5979 of the official or employee responsible therefor.
5980
5981 SECTION 358. Posting of the Summary of Income and Expenditures. - Local
5982 treasurers, accountants, budget officers and other accountable officers shall, within thirty
5983 (30) days from the end of each fiscal year, post in at least three (3) publicly accessible and
5984 conspicuous places in the local government unit a summary of all revenues collected and
5985 funds received including the appropriations and disbursements of such funds during the
5986 preceding fiscal year.
5987
5988 SECTION 359. The Official Fiscal Year. - The official fiscal year of local
5989 government units shall be the period beginning with the first day of January and ending
5990 with the thirty-first day of December of the same year.
5991
5992 SECTION 360. Administrative Issuances; Budget Operations Manual. – Until
5993 a manual is issued by the Ministry of Finance, and Budget and Management for local
5994 government units of Bangsamoro Autonomous Region, the Budget Operations Manual
5995 promulgated by the Department of Budget and Management shall govern to improve and
5996 systematize methods, techniques, and procedures employed in budget preparation,
5997 authorization, execution, and accountability48.
5998
5999 TITLE VI
6000 PROPERTY AND SUPPLY MANAGEMENT IN THE LOCAL GOVERNMENT
6001 UNITS
6002
6003 SECTION 361. Scope. - This Title shall govern the procurement, care, utilization,
6004 custody, and disposal of supplies, as defined herein, by local government units and the
6005 other aspects of supply management at the local levels.
6006
6007 SECTION 362. General Rule in Procurement or Disposal. - Except as otherwise
6008 provided herein, the procurement of goods49 by the local government units shall be
6009 through competitive public bidding. Supplies which have become unserviceable or no
6010 longer needed shall be sold, whenever applicable, at public auction, subject to applicable
6011 rules and regulations.
6012
6013 SECTION 363. Definition of Terms. – When used in this Title, the term:
6014
6015 (a) “Competitive Bidding” Refers to a method of procurement which is open to
6016 participation by any interested party and which consists of the following processes:
6017 advertisement, pre-bid conference, eligibility screening of prospective bidders, receipt

48
The team recommends that a manual may be issued by MFBM for the constituent local government units
of BARMM to ensure that it is consistent and in line with the objectives of the Bangsamoro Government.
49
Proposed provisions in this Chapter are based on RA 9184 or “the Government Procurement Reform Act”

192
6018 and opening of bids, evaluation of bids, post-qualification, and award of contract;
6019
6020 (b) “Goods” refer to all items, supplies, materials and general support services,
6021 except Consulting Services and infrastructure projects, which may be needed in the
6022 transaction of public businesses or in the pursuit of any government undertaking, project
6023 or activity, whether in the nature of equipment, furniture, stationery, materials for
6024 construction, or personal property of any kind, including non-personal or contractual
6025 services, such as, the repair and maintenance of equipment and furniture, as well as
6026 trucking, hauling, janitorial, security, and related or analogous services, as well as
6027 procurement of materials and supplies provided by the Procuring Entity for such
6028 services. The term “related” or “analogous services” shall include, but is not limited to,
6029 lease of office space, media advertisements, health maintenance services, and other
6030 services essential to the operation of the Procuring Entity;
6031
6032 (c) “Lowest Complying and Responsible Bid” refers to the proposal of one who
6033 offers the lowest price, meets all the technical specifications and requirements of the
6034 supplies desired and, as a dealer in the line of supplies involved, maintains a regular
6035 establishment, and has complied consistently with previous commitments;
6036
6037 (d) “Suitable Substitute” refers to that kind of article which would serve substantially
6038 the same purpose or produce substantially the same results as the brand, type, or make
6039 of article originally desired or requisitioned;
6040
6041 (e) “Procurement” refers to the acquisition of goods, consulting services, and the
6042 contracting for infrastructure projects by the Procuring Entity. Procurement shall also
6043 include the lease of goods and real estate. With respect to real property, its procurement
6044 shall be governed by the provisions of Republic Act No. 10752 and other applicable
6045 laws, rules and regulations; and
6046
6047 (d) “Terms and Conditions” refer to other requirements not affecting the technical
6048 specifications and requirements of the required supplies desired such as bonding, terms
6049 of delivery and payment, and related preferences.
6050
6051 SECTION 364. Requirement of Requisition. - Any order for supplies shall be
6052 filled by the provincial or city general services officer or the municipal or Barangay
6053 treasurer concerned, as the case may be, for any office or department of a local
6054 government unit only upon written requisition as herein after provided.
6055
6056 SECTION 365. Officers Having Authority to Draw Requisitions. - Requisitions
6057 shall be prepared by the head of office or department needing the supplies, who shall certify
6058 as to their necessity for official use and specify the project or activity where the supplies
6059 are to be used.
6060
6061 SECTION 366. Certification by the Local Budget Officer, Accountant, and
6062 Treasurer. - Every requisition must be accompanied by a certificate signed by the local

193
6063 budget officer, the local accountant, and the local treasurer showing that an appropriation
6064 therefor exists, the estimated amount of such expenditure has been obligated, and the funds
6065 are available for the purpose, respectively.
6066
6067 SECTION 367. Approval of Requisitions. - Approval of the requisition by the
6068 head of office or department concerned who has administrative control of the appropriation
6069 against which the proposed expenditure is chargeable is deemed sufficient, except in case
6070 of requisition for supplies to be carried in stock which shall be approved by the local chief
6071 executive concerned: Provided, That such supplies are listed or included in the annual
6072 procurement plan and the maximum quantity thereof does not exceed the estimated
6073 consumption corresponding to a programmed three-month period: Provided, further, That
6074 nothing herein contained shall be held as authorizing the purchase of furniture and
6075 equipment for stock purposes.
6076
6077 SECTION 368. Call for Bids. – When procurement is to be made by local
6078 government units, the provincial or city general services officer or the municipal or
6079 barangay treasurer shall call bids for open public competition. The call for bids shall show
6080 the complete specifications and technical descriptions of the required supplies and shall
6081 embody all terms and conditions of participation and award, terms of delivery and payment,
6082 and all other covenants affecting the transaction. In all calls for bids, the right to waive any
6083 defect in the tender as well as the right to accept the bid most advantageous to the
6084 government shall be reserved. In no case, however, shall failure to meet the specifications
6085 or technical requirements of the supplies desired be waived.
6086
6087 SECTION 369. Publication of Call for Bids. – The call for bids shall be given the
6088 widest publicity possible, sending, by mail or otherwise, any known prospective participant
6089 in the locality, of copies of the call and by posting copies of the same in at least three (3)
6090 publicly accessible and conspicuous places in the provincial capitol or city, municipal, or
6091 barangay hall, as the case may be. It shall also be posted in the website of the local
6092 government unit concerned.
6093
6094 The notice of the bidding may likewise be published in a newspaper of general
6095 circulation in the territorial jurisdiction of the local government unit concerned when the
6096 provincial or city general services officer or the municipal or barangay treasurer, as the
6097 case may be, deems it necessary in order to obtain the lowest responsible and complying
6098 bid.
6099
6100 The opening of bids shall only be made in the presence of the provincial or city
6101 auditor or his duly authorized representative who shall initial and secure copies of the bids
6102 and certify the abstract of the bidding.
6103
6104 SECTION 370. Bids and Awards Committee. – There shall be in every province,
6105 city or municipality a Bids and Awards Committee to ensure that the winning bids and
6106 questions of awards on procurement and disposal of property are in accordance with this
6107 Code. The Local Government Units shall be considered as the Procuring Entity and shall

194
6108 act through the Head of the Procuring Entity.
6109
6110 The Head of the Procuring Entity in local government units shall be the Local Chief
6111 Executive who shall be the Governor (for Provinces) or the Mayor (for Cities and
6112 Municipalities). All procurement activities of the local government units require the
6113 approval of the Head of the Procuring Entity.
6114
6115 The Bids and Awards Committee shall consist of at least five (5) members and shall
6116 not exceed seven (7) and all should be personnel occupying plantilla positions of the local
6117 government concerned. The Local Chief Executive shall designate the members and be
6118 composed of the following:
6119
6120 i. One representative each from the regular offices under the Office of
6121 the Local Chief Executive such as, but not limited to, the following:
6122 Office of the Administrator, Budget Office, Legal Office, Engineering
6123 Office, General Services Offices; and
6124
6125 ii. A representative from the end-user unit
6126 The Chairperson and Vice-Chairperson shall be designated by the Local Chief
6127 Executive. The Chairperson of the Bids and Awards Committee shall be at least a third
6128 (3rd) ranking permanent official of the Procuring Entity. In case of provinces, cities and
6129 municipalities, the head of any of the regular offices under the Office of the Local Chief
6130 Executive shall be considered third (3rd) ranking permanent employee. The first (1st)
6131 ranking official shall be the Mayor or the Governor, while the second (2nd) ranking
6132 permanent official shall be the Vice- Governor or Vice-Mayor.
6133
6134 The results of the bidding shall be made public by conspicuously posting the same
6135 in the provincial capitol or city, municipal, or barangay hall.
6136
6137 SECTION 371. Terms of Membership - The Bids and Awards Committee
6138 members shall be designated for a term of one (1) year only, reckoned from the date of
6139 designation. However, the LCE may renew or terminate such designation at his discretion.
6140
6141 The designation of the Bids and Awards Committee members is within the
6142 exclusive prerogative and discretion of the Local Chief Executive and they may be
6143 removed from such designation for justifiable causes. In case of resignation, retirement,
6144 separation, transfer, re-assignment, or removal of a Bids and Awards Committee member,
6145 the Local Chief Executive shall designate a replacement that has similar qualifications as
6146 the official replaced. The replacement shall serve for the unexpired term. In case of leave
6147 or suspension, the replacement shall serve only for the duration of the leave or suspension.
6148
6149 Upon expiration of the terms of the current members, they shall continue to exercise
6150 their functions until new Bids and Awards Committee members are designated.
6151
6152 SECTION 372. Prohibited Bids and Awards Committee Members-The

195
6153 following officials are disqualified from membership in the BAC:
6154
6155 a. LCE and other elective officials of the province/city/municipality;
6156
6157 b. Official who approves procurement contracts;
6158
6159 c. Chief Accountant or Head of the Provincial/City/Municipal Accounting Office
6160 and his/her staff, unless the Accounting Department is the end- user unit, in which case the
6161 Chief Accountant, Head of the Accounting Department or his/her staff may be designated
6162 as an end-user member.
6163
6164 SECTION 373. Quorum - The simple majority (one-half of membership plus one)
6165 of the BAC members shall constitute a quorum, provided that the Chairperson or the Vice-
6166 Chairperson should be present in all meetings and deliberations.
6167
6168 Physical presence of the Chairperson or the Vice Chairperson is necessary for the
6169 BAC to conduct its business. The Chairperson or, in his absence, the Vice- Chairperson
6170 shall preside over the meetings. The Chairperson or the Vice-Chairperson, acting as the
6171 Presiding Officer shall vote only in case of a tie.
6172
6173 Presence of alternate Bids and Awards Committee members in meetings are
6174 considered for purposes of quorum. On the other hand, representatives of Bids and Awards
6175 Committee members shall be allowed to sit and listen during meetings but they shall not
6176 be considered for purposes of quorum.
6177
6178 All Bids and Awards Committee decisions should be embodied in resolutions duly
6179 signed by at least a majority of the members and the Chairperson or Vice-Chairperson
6180 thereof, as the case may be.
6181
6182 SECTION 374. BAC Secretariat. - The Head of Procuring Entity shall create a
6183 Secretariat which will serve as the main support unit of the Bids and Awards Committee.
6184 An existing organic office within the Procuring Entity may also be designated to serve as
6185 Secretariat.
6186
6187 SECTION 375. Technical Work Group - The Bids and Awards Committee may
6188 create a TWG from a pool of technical, financial and/or legal experts to assist in the
6189 procurement process, particularly in the eligibility screening, evaluation of bids and post-
6190 qualification.
6191
6192 SECTION 376. Observers. - To enhance the transparency of the process, the Bids
6193 and Awards Committee shall, during the eligibility checking, shortlisting, pre-bid
6194 conference, preliminary examination of bids, bid evaluation, and post-qualification, invite,
6195 in addition to the representative of the Commission On Audit, at least two (2) observers,
6196 who shall not have the right to vote, to sit in its proceedings where:
6197

196
6198 i. At least one (1) shall come from a duly recognized private group in a sector or
6199 discipline relevant to the procurement at hand, such as the Philippine Chamber of
6200 Commerce and Industry;
6201
6202 ii. The other observer shall come from an accredited Civil Society Organization.
6203
6204 SECTION 377. Technical Work Group - The Bids and Awards Committee may
6205 create a TWG from a pool of technical, financial and/or legal experts to assist in the
6206 procurement process, particularly in the eligibility screening, evaluation of bids and post-
6207 qualification.
6208
6209 SECTION 378. Rule on Awards. – Awards in the procurement of supplies shall
6210 be given to the Lowest Calculated and Responsive Bid or Highest Rated and Responsive
6211 Bid which meets all the terms and conditions of the contract or undertaking.
6212
6213 SECTION 379. Alternative Modes of Procurement. – Procurement of supplies
6214 may be made without the benefit of public bidding under any of the following modes:
6215
6216 (a) Shopping;
6217 (b) Emergency cases;
6218 (c) Negotiated procurement;
6219 (d) Direct contracting; and
6220 (e) Purchase from other government entities.
6221
6222 SECTION 380. Shopping – Upon approval by the Head of Procuring Entity,
6223 procurement of supplies may be effected by sending requests for the submission of price
6224 quotation for readily available off-the-shelf goods or ordinary/regular equipment to be
6225 procured directly from suppliers of known qualifications. This method of procurement
6226 shall be employed in any of the following cases:
6227
6228 a) When there is an unforeseen contingency requiring immediate purchase, the
6229 amount shall not exceed the following:
6230
Classification Province City Municipality
of LGUs
1st Class 200,000 200,000 100,000
2nd Class 200,000 200,000 100,000
3rd Class 200,000 160,000 100,000
4th Class 160,000 120,000 100,000
5th Class 120,000 100,000 100,000
6th Class 100,000 100,000 100,000
6231
6232 In the case of barangays, Fifty Thousand Pesos (₱50,000).
6233
6234 b) Procurement of ordinary or regular office supplies and equipment not available

197
6235 in the DBM-PS, the amount shall not exceed the following:
6236
Classification Province City Municipality
of LGUs
1st Class 1,000,000 1,000,000 200,000
2nd Class 1,000,000 1,000,000 200,000
3rd Class 1,000,000 800,000 200,000
4th Class 800,000 600,000 100,000
5th Class 600,000 400,000 100,000
6th Class 400,000 200,000 100,000
6237
6238 In the case of barangays, Fifty Thousand Pesos (₱50,000)
6239
6240 The phrase “ordinary or regular office supplies” shall be understood to include
6241 those supplies, commodities, or materials which are necessary in the transaction of its
6242 official businesses, and consumed in the day-to-day office operations. However, office
6243 supplies shall not include services such as repair and maintenance of equipment and
6244 furniture, as well as trucking, hauling, janitorial, security, and related or analogous
6245 services.
6246
6247 SECTION 381. Emergency Cases. – In cases of imminent danger to life or
6248 property during a state of calamity, or when time is of the essence arising from natural or
6249 man-made calamities or other causes where immediate action is necessary to prevent
6250 damage to or loss of life or property, or to restore vital public services, where the need for
6251 the supplies is exceptionally urgent or absolutely indispensable, local government units
6252 may, through the recommendation of the Bids and Awards Committee, directly negotiate
6253 with a supplier with technical, legal and financial capability to deliver the goods to address
6254 the emergency, regardless of amount, without public bidding. The local chief executive
6255 shall evaluate recommendation and approves or disapproves the same.
6256
6257 After the approval is issued by the local chief executive and contractual procedures
6258 have been accomplished, it shall be immediately Award the contract to the supplier.
6259 Delivery of purchase orders or utilization of repair orders pursuant to this section shall be
6260 made within ten (10) days after placement of the same and must be utilized or availed of
6261 within fifteen (15) days from the date of delivery or availability.
6262
6263 In all instances of this Section, the local chief executive, shall confirm in writing
6264 the existence and veracity of the ground or grounds relied upon before approving the
6265 ensuing contract.
6266
6267 When the ground is based on imminent danger to life during a state of calamity,
6268 there must be a declaration by a competent authority of a state of calamity pursuant to
6269 existing laws, rules and regulations before any procurement activity may be undertaken
6270
6271 Without prejudice to criminal prosecution under applicable laws, the local chief

198
6272 executive, the head of department, or the chief of office making the procurement shall be
6273 administratively liable for any violation of this section and shall be a ground for suspension
6274 or dismissal from service.
6275
6276 SECTION 382. Negotiated Procurement. – (a) In cases where public biddings
6277 have failed for two (2) consecutive times and no suppliers have qualified to participate or
6278 win in the biddings, local government units may, through the local chief executive
6279 concerned, undertake the procurement of supplies by negotiated purchase, regardless of
6280 amount, without public bidding: Provided, however, That the contract covering the
6281 negotiated procurement shall be approved by the Sanggunian concerned. Delivery of
6282 purchase orders or utilization of repair orders pursuant to this section shall be made within
6283 seven (7) days after placement of the same. Immediately after the negotiated purchase or
6284 repair order is made, the local chief executive concerned shall draw a regular requisition to
6285 cover the same which shall contain the following:
6286
6287 (1) A complete description of the supplies acquired or the work done or to be
6288 performed;
6289
6290 (2) By whom furnished or executed;
6291
6292 (3) Date of placing the order and the date and time of delivery or execution;
6293
6294 (4) The unit price and the total contract price;
6295
6296 (5) A recommendation from the Bids and Awards Committee that the supplier was
6297 Single or Lowest Calculated and Responsive Quotation;
6298
6299 (6) A Notice of Award issued by the local chief executive upon approval of the
6300 recommendation from the Bids and Awards Committee;
6301
6302 (7) A certification of the local budget officer as to the existence of appropriations
6303 for the purpose, the local accountant as to the obligation of the amount
6304 involved, and the local treasurer as to the availability of funds.
6305
6306 (b) In case of repeat orders for regular supplies, procurement may be made by
6307 negotiated purchase: Provided, That the repeat order is made within six (6) months from
6308 the last procurement of the same item awarded through public bidding and there has been
6309 partial delivery, inspection and acceptance of the goods within the same period: Provided,
6310 however, That the unit prices must be the same as or lower than those in the original
6311 contract and are still the most advantageous to the government after price verification:
6312 Provided, further, That the same terms and conditions of sale are obtained for the said
6313 repeat order. Provided, finally, That repeat orders shall not exceed twenty-five percent
6314 (25%) of the quantity of each item in the original contract. In order not to exceed the 25%
6315 threshold, the goods under the original contract must be:
6316

199
6317 i. Quantifiable;
6318 ii. Divisible; and
6319 iii. Consisting of at least four (4) units per item.
6320
6321 SECTION 383. Direct Contracting. – Direct Contracting or single source
6322 procurement is a method of procurement of goods that does not require elaborate Bidding
6323 Documents. The supplier is simply asked to submit a price quotation or a pro-forma invoice
6324 together with the conditions of sale. The offer may be accepted immediately or after some
6325 negotiations. Direct Contracting may be resorted to under any of the following conditions:
6326
6327 a) Procurement of goods of proprietary nature which can be obtained only from the
6328 proprietary source, i.e., when patents, trade secrets, and copyrights prohibit others
6329 from manufacturing the same item;
6330
6331 b) When the procurement of critical components from a specific supplier is a
6332 condition precedent to hold a contractor to guarantee its project performance, in
6333 accordance with the provisions of its contract; or
6334
6335 c) Those sold by an exclusive dealer or manufacturer which does not have sub-
6336 dealers selling at lower prices and for which no suitable substitute can be obtained
6337 at more advantageous terms to the government.
6338
6339 To justify the need to procure through the Direct Contracting method, the End- User
6340 should conduct a survey of the industry and determine the supply source. In all cases where
6341 Direct Contracting is contemplated, the survey must be conducted prior to the
6342 commencement of the procurement process. Moreover, the End-User must justify the
6343 necessity for an item that may only be procured through Direct Contracting, and it must be
6344 able to prove that there is no suitable substitute in the market that can be obtained at more
6345 advantageous terms.
6346
6347 Procurement may be made directly from duly licensed manufacturers in cases of
6348 supplies of Philippine manufacture or origin and in case there are two (2) or more
6349 manufacturers of the required supplies, canvass of the known manufacturers shall be
6350 conducted to obtain the lowest price for the quality of the said supplies.
6351
6352 SECTION 384. Procurement from Government Entities. – Procurement may
6353 be made directly from the government entities producing the required supplies, including
6354 units or agencies of foreign governments with which the Philippines maintains diplomatic
6355 relations. In the latter case, prior authority from the Office of the President shall be
6356 required.
6357
6358 SECTION 385. Annual Procurement Program. – (a) On or before the fifteenth
6359 (15th) day of July each year, the local chief executive shall prepare an annual procurement
6360 program for the ensuing fiscal year which shall contain an itemized list of the estimated
6361 quantity of supplies needed for such year, a complete description thereof as to kind, quality,

200
6362 estimated cost, and balance on hand: Provided, however, That the total estimated cost of
6363 the approved annual procurement program shall not exceed the total appropriations
6364 authorized for the acquisition of supplies. The local government units may augment the
6365 supplies and equipment provided by the Supreme Court to the lower courts located in their
6366 respective jurisdictions.
6367
6368 (b) Except in emergency cases or where urgent indispensable needs could not have
6369 been reasonably anticipated, no purchase of supplies shall be made unless included in, or
6370 covered by, the approved procurement program.
6371
6372 (c) The conversion of excess cash into supplies stock is hereby prohibited except to
6373 the extent of the kind and quantity specified in the approved annual procurement plan.
6374
6375 A violation of this section shall be a ground for suspension or dismissal of any
6376 official or employee responsible therefor.
6377
6378 SECTION 386. Establishment of an Archival System. - Every local government
6379 unit shall provide for the establishment of an archival system to ensure the safety and
6380 protection of all government property, public documents or records such as records of
6381 births, marriages, property inventory, land assessments, land ownership, tax payments, tax
6382 accounts, and business permits, and such other records or documents of public interest in
6383 the various departments and offices of the provincial, city, or municipal government
6384 concerned.
6385
6386 SECTION 387. Primary and Secondary Accountability for Government
6387 Property. - (a) Each head of department or office of a province, city, municipality or
6388 Barangay shall be primarily accountable for all government property assigned or issued to
6389 his department or office. The person or persons entrusted with the possession or custody
6390 of government property under the accountability of any head of department or office shall
6391 be immediately accountable to such officer.
6392
6393 (b) The head of a department or office primarily accountable for government property
6394 may any person in possession of the property or having custody and control thereof
6395 under him to keep such records and make reports as may be necessary for his own
6396 information and protection.
6397
6398 (c) Buildings and other physical structures shall be under the accountability and
6399 responsibility of the provincial or city general services officer or the municipal
6400 mayor or Punong Barangay, as the case maybe.
6401
6402 (d) Every officer primarily accountable for government property shall keep a
6403 complete record of all properties under his charge and render his accounts therefor
6404 semiannually to the provincial or city general services officer or the municipal
6405 mayor or Punong Barangay, as the case maybe.
6406

201
6407 SECTION 388. Responsibility for Proper Use and Care of Government
6408 Property. - The person in actual physical possession of government property or entrusted
6409 with its custody and control shall be responsible for its proper use and care and shall
6410 exercise due diligence in the utilization and safekeeping thereof.
6411
6412 SECTION 389. Measure of Liability of Persons Accountable for Government
6413 Property. - (a) The person immediately accountable for government property shall be
6414 liable for its money value in case of the illegal, improper or unauthorized use or
6415 misapplication thereof, by himself or any other person for whose acts he may be
6416 responsible, and he shall be liable for all loss, damage, or deterioration occasioned by
6417 negligence in the keeping or use of such property unless it is proved that he has exercised
6418 due diligence and care in the utilization and safe keeping thereof.
6419
6420 (b) Unless he registers his objection in writing, an accountable person shall not be
6421 relieved from liability by reason of his having acted under the direction of a
6422 superior officer in using property with which he is chargeable; but the officer
6423 directing any illegal, unauthorized or improper use of property shall first be
6424 required to answer therefor.
6425
6426 (c) In cases of loss, damage, or deterioration of government property arising from, or
6427 attributable to, negligence in security, the head of the security agency shall be held
6428 liable therefor.
6429
6430 SECTION 390. Credit for Loss Occurring in Transit or Due to Casualty. -
6431 When a loss of government property occurs while the same is in transit or is caused by fire,
6432 theft, force majeure, or other casualty, the officer accountable therefor or having custody
6433 thereof shall immediately notify the provincial or city auditor concerned within thirty (30)
6434 days from the date the loss occurred or for such longer period as the provincial, city or
6435 municipal auditor, as the case may be, may in the particular case allow, and he shall present
6436 his application for relief, with the available evidence in support thereof. An officer who
6437 fails to comply with this requirement shall not be relieved of liability or allowed credit for
6438 any such loss in the settlement of his accounts.
6439
6440 A provincial, city or municipal auditor shall not allow credit for these losses unless
6441 so expressly authorized by the Chairman of the Commission on Audit, to be exercised only
6442 if the loss is not in excess of fifty thousand pesos (Php50,000.00). In any case when the
6443 allowance of credit is not within the competence of the provincial, city or municipal
6444 auditor, the application and evidence, with the recommendation of the auditor concerned,
6445 shall be forwarded to the Chairman of the Commission on Audit for his appropriate action.
6446
6447 SECTION 391. Property Disposal. - When property of any local government unit
6448 has become unserviceable for any cause or is no longer needed, it shall, upon application
6449 of the officer accountable therefor, be inspected and appraised by the provincial, city or
6450 municipal auditor, as the case may be, or his duly authorized representative or that of the
6451 Commission on Audit and, if found valueless or unusable, shall be destroyed in the

202
6452 presence of the inspecting officer.
6453
6454 If found valuable, the same shall be sold at public auction to the highest bidder
6455 under the supervision of the committee on awards and in the presence of the provincial,
6456 city or municipal auditor or his duly authorized representative. Notice of the public auction
6457 shall be posted in at least three (3) publicly accessible and conspicuous places, and if the
6458 acquisition cost exceeds One hundred thousand pesos (Php100,000.00) in the case of
6459 provinces and cities, and Fifty thousand (Php50,000.00) in the case of municipalities,
6460 notice of auction shall be published at least two (2) times within a reasonable period in a
6461 newspaper of general circulation in the locality.
6462
6463 SECTION 392. Negotiated Sale of Property. - Property no longer needed may
6464 also be disposed of at a private sale at such price as may be determined by the Bids and
6465 Awards Committee subject to the approval of the Commission on Audit or its duly
6466 authorized representative when the acquisition or transfer cost of the property exceeds Fifty
6467 thousand pesos (Php50,000.00) in the case of provinces and cities, and Twenty-five
6468 thousand (Php25,000.00) in the case of municipalities and Barangays. In case of real
6469 property, the disposal shall be subject to the approval of the Commission on Audit
6470 regardless of the value or cost involved.
6471
6472 SECTION 393. Transfer Without Cost. - Property which has become
6473 unserviceable or is no longer needed may be transferred without cost to another office,
6474 agency, subdivision or instrumentality of the national government or another local
6475 government unit at an appraised valuation determined by the local committee on awards.
6476 Such transfer shall be subject to the approval of the Sanggunian concerned making the
6477 transfer and by the head of the office, agency, subdivision, instrumentality or local
6478 government unit receiving the property.
6479
6480 SECTION 394. Tax Exemption Privileges of Local Government Units. - Local
6481 government units shall be exempt from the payment of duties and taxes for the importation
6482 of heavy equipment or machineries which shall be used for the construction, improvement,
6483 repair, and maintenance of roads, bridges and other infrastructure projects, as well as
6484 garbage trucks, fire trucks, and other similar equipment: Provided, however, That such
6485 equipment or machineries shall not be disposed of, either by public auction or negotiated
6486 sale as hereinabove provided, within five (5) years from the importation thereof. In case
6487 the machinery or equipment is sold within the five-year period, the purchasers or recipients
6488 shall be considered the importers thereof, and shall be liable for duties and taxes computed
6489 on the book value of such importation.
6490
6491 SECTION 395. Implementing Rules and Regulations. - The implementation of
6492 the provisions of this Title, including requirements as to testing, inspection, and
6493 standardization of supply and property shall be in accordance with the rules and regulations
6494 promulgated by the Commission on Audit and Government Procurement and Policy Board
6495 of the Department of Budget and Management.
6496

203
6497 BOOK III
6498 BANGSAMORO CONSTITUENT UNITS
6499 TITLE I
6500 THE BARANGAY
6501 CHAPTER I
6502 Role and Creation of the Barangay
6503
6504 SECTION 396. Role of Barangay. - As the basic political unit, the barangay
6505 serves as the primary planning and implementing unit of government policies, plans,
6506 programs, projects and activities in the community, as well as a forum wherein the
6507 collective views of the people may be expressed, crystallized and considered, and where
6508 disputes may be amicably settled.
6509
6510 SECTION 397. Manner of Creation. - A barangay may be created, divided,
6511 merged, abolished, or its boundary substantially altered in accordance with the law enacted
6512 by the Sangguniang Panlalawigan, Sangguniang Panlungsod or Bangsamoro Parliament50,
6513 subject to approval by a majority of the votes cast in a plebiscite to be conducted by the
6514 COMELEC in the directly affected local government unit or units within such period as
6515 may be determined by law or ordinance creating said barangay.
6516 SECTION 398. Requisites for Creation. - (a) A barangay may be created out of
6517 a contiguous territory with a population of at least two thousand (2,000) inhabitants as
6518 certified by the Philippine Statistics Authority. Provided, that the creation thereof shall not
6519 reduce the population of the original barangay or barangays to less than the minimum
6520 requirement prescribed herein.
6521 To enhance the delivery of basic services in the indigenous cultural communities,
6522 barangays may be created in such communities by an Act of Sangguning Panlalawigan or
6523 the Bangsamoro Parliament, notwithstanding the above requirement.
6524 (b) The territorial jurisdiction of the new barangay shall be properly identified
6525 by metes and bounds or by more or less permanent natural boundaries. The territory need
6526 not be contiguous if it comprises two (2) or more islands.
6527 (c) There shall be a commitment to donate a lot area of not less than one
6528 hectares for the construction of a permanent government center like the barangay hall,
6529 health center, daycare center, health center, multi-purpose hall and similar others. The copy
6530 of intent to donate shall be attached to the petition for creation of barangay, municipality
6531 or province and copy furnished to the Ministry of Interior and Local Government51;
6532 (d) The concerned office of the city or municipal mayor may prepare a
6533 consolidation plan for barangays, based on the criteria prescribed in this Section. The plan

50
sec. 10. R.A 11054. Par. 2. The parliament has been empowered to create barangays.
51
To avoid unnecessary transfer of barangay halls whenever new officials were elected.

204
6534 shall be submitted to the Pangguniang Panlungsod or Sangguniang Panlalawigan for
6535 appropriate action with copy furnished to the Bangsamoro parliament.
6536
6537 CHAPTER II
6538 Barangay Officials and Offices
6539
6540 SECTION 399. Chief Officials and Offices. – (a) There shall be in each barangay
6541 a Punong Barangay, seven (7) Sangguniang Barangay Members, the Sangguniang
6542 Kabataan Chairman, a Barangay Secretary and a Barangay Treasurer.
6543 (b) There shall also be in every Barangay a Lupon Tagapamayapa, Day Care
6544 Teacher, Barangay Health Worker, Purok Leader and Local Farm Technicians52. The
6545 Sangguniang Barangay may form community brigades and create such other positions or
6546 offices as may be deemed necessary to carry out the purposes of the barangay government
6547 in accordance with the needs of public services subject to the budgetary limitations on
6548 personal services prescribed under Title Five, Book II of this Code.
6549
6550 SECTION 400. Persons in Authority. - For purposes of the Revised Penal Code,
6551 the Punong Barangay, Sangguniang Barangay Members, and members of the Lupong
6552 Tagapamayapa in each barangay shall be deemed as persons in authority in their
6553 jurisdictions, while other barangay officials and members who may be designated by law
6554 or ordinance, and charged with the maintenance of public order, protection and security of
6555 life and property, or the maintenance of a desirable and balanced environment, and any
6556 barangay member who comes to the aid of persons in authority, shall be deemed agents of
6557 persons in authority.
6558
6559 CHAPTER III
6560 The Punong Barangay
6561
6562 SECTION 401. Chief Executive: Powers, Duties and Functions. - (a) The
6563 Punong Barangay, as the chief executive of the barangay government, shall exercise such
6564 powers and perform such duties and functions as provided by this Code and other laws.
6565 (b) For efficient, effective and economical governance, the purpose of which is the
6566 general welfare of the barangay and its inhabitants pursuant to Section 16 of this Code, the
6567 Punong Barangay shall:
6568 (1) Enforce all laws and ordinances which are applicable within the barangay;
6569
6570 (2) Negotiate, enter into, and sign contracts for and in behalf of the barangay, upon
6571 authorization of the Sangguniang Barangay;
6572

52
There is a need to institutionalize the appointment of Day care teachers and purok leaders, and includes
barangay farm technicians because they have substantial contribution in the running the affair of barangays.

205
6573 (3) Maintain public order in the barangay and, in pursuance thereof, assist the city or
6574 municipal mayor and the sanggunian members in the performance of their duties and
6575 functions;
6576
6577 (4) Call and preside over the sessions of the Sangguniang Barangay and the Barangay
6578 Assembly, and vote only to break a tie;
6579
6580 (5) Upon approval by a majority of all the members of the Sangguniang Barangay,
6581 appoint or replace the Barangay Treasurer, the Barangay Secretary, and other appointive
6582 barangay officials;
6583
6584 (6) Organize and lead an emergency group whenever the same may be necessary for
6585 the maintenance of peace and order or on occasions of emergency or calamity within the
6586 barangay;
6587
6588 (7) In coordination with the barangay development council, prepare the annual
6589 executive and supplemental budgets of the barangay;
6590
6591 (8) Approve vouchers relating to the disbursement of barangay funds;
6592
6593 (9) Enforce laws and regulations relating to pollution control and protection of the
6594 environment;
6595
6596 (10) Administer the operation of the Katarungang Pambarangay in accordance with the
6597 provisions of this Code;
6598
6599 (11) Exercise general supervision over the activities of the Sangguniang Kabataan;
6600
6601 (12) The barangay government must ensure the delivery of basic services under Section
6602 17 of this Code; such as53:
6603
6604 (i) Agricultural Services such as maintenance of buying station for farm products
6605 ( bagsakan), conduct of lectures for farm related activities within their
6606 territorial jurisdiction, assist in the distribution of planting materials like seeds,
6607 fertilizers, and pesticides; maintenance of Gulayan sa Barangay and introducing
6608 improved farm practices as demonstrated in local farm technicians own farm in
6609 the barangay54.
6610

53
We just define further the basic services provided under section 17 of this code
54
There is a need to appoint a Barangay Farm Worker or Local Farm Technicians as Suggested by galling
pook to support our farmers. They are among neglected sector of our society; thus, they need to be
supported.

206
6611 (ii) Health Services such as primary health care services like giving first aid,
6612 nutritional education, feeding, immunization education, family planning
6613 education, sanitation and hygiene promotion educations;
6614
6615 (iii) Social Services such as program for senior citizens, persons with disabilities,
6616 counseling for child in conflict with the law, maintenance of health center like
6617 purchase of tables, chairs and others, maintenance of day care center like
6618 purchase of chairs, tables, chalks, blackboards, and construction or provision of
6619 solid waste collection like material recovery facilities;
6620
6621 (iv) Environment Services related to community hygiene and sanitation like
6622 beautification, community action for cleanliness and systematic collection, and
6623 disposal of solid waste;
6624
6625 (v) Provisions and Maintenance of Katarungang Pambarangay like purchase of
6626 tables, chairs and office supplies;
6627
6628 (vi) Maintenance of barangay roads, bridges and water supply system, and for
6629 purposes of barangay road and bridge maintenance, the following are
6630 considered barangay road or bridge:

6631 (a) Those constructed by the barangay out of its own funds;
6632
6633 (b) Those constructed by higher local government unit or national
6634 government and turned over to the barangay; and
6635
6636 (c) Those constructed by private persons or entities and turned over to the
6637 barangay;
6638
6639 (vii) Maintenance of multi- purpose hall and purchase of equipment such as chairs, tables,
6640 sound system and others, maintenance of multi-purpose pavement, plaza, sports
6641 center and other similar infrastructure; however, in the event that the barangay has
6642 sufficient funds to construct facilities necessary in the delivery of basic services, there
6643 must be proper coordination to the municipal government to avoid duplicity of
6644 projects or programs;
6645
6646 (viii) Maintenance of Information and Reading Center or library such as the purchasing of
6647 chairs, tables, books and others;
6648
6649 (ix) Maintenance of public market such as provision of drainage, sanitation, peace and
6650 order;
6651
6652 (13) Conduct an annual palarong barangay which shall feature traditional sports and
6653 disciplines included in national and international games, in coordination with the
6654 Ministry of Basic, Higher, and Technical Education;

207
6655
6656 (14) Promote the general welfare of the barangay; and
6657
6658 (15) Exercise such other powers and perform such other duties and functions as may be
6659 prescribed by law or ordinance.
6660
6661 (c) In the performance of his/her peace and order functions and whenever
6662 necessary55 , the Punong Barangay shall be entitled to possess and carry one short firearm
6663 within his/her territorial jurisdiction, subject to appropriate rules and regulations.
6664
6665 CHAPTER IV
6666 The Sangguniang Barangay
6667
6668 SECTION 402. Composition. - The Sangguniang Barangay, the legislative body
6669 of the barangay, shall be composed of the Punong Barangay as presiding officer, and the
6670 seven (7) regular Sangguniang Barangay Members elected at large and Sangguniang
6671 Kabataan chairman, as members.
6672
6673 SECTION 403. Powers, Duties and Functions. – (a) The Sangguniang Barangay,
6674 as the legislative body of the barangay, shall:
6675
6676 (1) Enact ordinances as may be necessary to discharge the responsibilities conferred upon
6677 it by law or ordinance and to promote the general welfare of the inhabitants therein;
6678
6679 (2) Enact tax and revenue ordinances, subject to the limitations imposed in this Code;
6680
6681 (3) Enact annual and supplemental budgets in accordance with the provisions of this
6682 Code;
6683
6684 (4) Provide for the construction or maintenance of barangay facilities and other public
6685 works projects chargeable to the general fund of the barangay or such other funds
6686 available for the purpose; however, in the event that the barangay has sufficient funds for
6687 the construction of barangay facilities, coordination shall be made to municipal
6688 government to avoid duplicity of the programs or projects56;
6689
6690 (5) Submit to the Sangguniang Panlungsod or Sangguniang Bayan such suggestions or
6691 recommendations as it may see fit for the improvement of the barangay or for the welfare
6692 of the inhabitants thereof;
6693
6694 (6) Assist in the establishment, organization, and promotion of cooperative enterprises
6695 that will improve the economic condition and well-being of the residents;

55
We regulate the privilege of barangay chairman to carry firearms so that we can establish a community free
from firearms and a peaceful barangay.
56
Coordination to higher LGU is required to avoid duplicity of programs and projects.

208
6696 (7) Enact ordinances that regulate the use of multi-purpose halls, multi- purpose
6697 pavements, grain or copra dryers, patios and other post-harvest facilities, barangay
6698 waterworks, barangay markets, parking areas or other similar facilities constructed with
6699 government funds within the jurisdiction of the barangay and charge reasonable fees for
6700 the use thereof;
6701
6702 (8) Solicit or accept monies, materials and voluntary labor for specific public works and
6703 cooperative enterprises of the Barangay from residents, land owners, producers and
6704 merchants in the barangay; monies from grants-in-aid, subsidies, contributions, and
6705 revenues made available to the barangays from national, provincial, city or municipal
6706 funds; and monies from other private agencies and individuals: Provided, however, That
6707 monies or properties donated by private agencies and individuals for specific purposes
6708 shall accrue to the barangay as trust fund;
6709
6710 (9) Solicit or accept, in any or all the foregoing public works and cooperative enterprises,
6711 such cooperation as is made available by national, provincial, city or municipal agencies
6712 established by law to render financial, technical, and advisory assistance to barangays
6713 and to barangay residents: Provided, however, That in soliciting or accepting such
6714 cooperation, the Sangguniang Barangay need not pledge any sum of money for
6715 expenditure in excess of amounts currently in the barangay treasury or encumbered for
6716 other purposes;
6717 (10) Provide compensation, reasonable allowances or per diems as well as travel
6718 expenses for Sangguniang Barangay members and other Barangay officials, subject to
6719 the budgetary limitations prescribed under this Code: Provided, however, That no
6720 increase in the compensation or honoraria of the Sangguniang Barangay members shall
6721 take effect until after the expiration of the full term of all members of the Sangguniang
6722 Barangay approving such increase;
6723 (11) Hold fund-raising activities for Barangay projects without the need of securing
6724 permits from any national or local office or agency. The proceeds from such activities
6725 shall be tax-exempt and shall accrue to the general fund of the Barangay: Provided, That
6726 in the appropriation thereof, the specific purpose for which such fund-raising activity has
6727 been held shall be first satisfied: Provided, further, That no fund-raising activities shall
6728 be held within a period of sixty(60) days immediately preceding and after a national or
6729 local election, recall, referendum, or plebiscite: Provided, finally, That said fund-raising
6730 activities shall comply with national policy standards and regulations on morals, health,
6731 and safety of the persons participating therein. The Sangguniang Barangay, through the
6732 Punong Barangay, shall render a public accounting of the funds raised at the completion
6733 of the project for which the fund- raising activity was under- taken;

6734 (12) Authorize the Punong Barangay to enter into contracts in behalf of the Barangay,
6735 subject to the provisions of this Code;

209
6736 (13) Authorize the Barangay treasurer to make direct purchases in an amount not
6737 exceeding Five Thousand Pesos (P 5,000.0057) at any one time for the ordinary and
6738 essential administrative needs of the barangay;
6739 (14) Prescribe fines in amounts not exceeding three Thousand Pesos (P 3,000.00) for
6740 violation of barangay ordinances;
6741 (15) Provide for the administrative needs of the Lupong Tagapamayapa or the pangkat
6742 ng tagapagkasundo;
6743 (16) Provide for the organization of community brigades, barangay tanod, or community
6744 service units as may be necessary;
6745 (17) Organize regular lectures, programs, or fora on community problems such as
6746 sanitation, nutrition, literacy, and drug abuse, and convene assemblies to encourage
6747 citizen participation in government;

6748 (18) Adopt measures to prevent and control the proliferation of squatters and mendicants
6749 in the barangay;
6750
6751 (19) Provide for the proper development and welfare of children in the Barangay by
6752 promoting and supporting activities for the protection and total development of children,
6753 and shall establish a Local Council for the Protection of Children (LCPC)58;
6754
6755 (20) Organize Barangay Anti-Drug Abuse Council (BADAC)59 and adopt measures
6756 towards the prevention, rehabilitation, and eradication of drug abuse, child abuse and
6757 juvenile delinquency;
6758 (21) Organize Peace and Order Council (BPOC) and adapt measures toward the
6759 prevention of crimes within their territorial jurisdictions;
6760 (22) May initiate or solicit financial assistance for the establishment of a barangay high
6761 school, whenever feasible, in accordance with law;
6762 (23) Provide for the establishment of a non-formal or vocational and technological
6763 training education center in the barangay whenever feasible, in coordination with the
6764 Ministry of Basic, Higher and Technical Education;

6765 (24) Provide for the Establishment of Violence Against Women and Their Children
6766 (VAWC)60 desk in every barangay and provide assistance for the victims;
6767

57
We increase the authority of barangay treasurer to direct purchase of office supplies from P1,000 under R.A
7160 to P5,000 due to high price of commodities.
58
Title II, Sections 15 of the Juvenile Justice and Welfare Act of 2006 (and Article 87 of Presidential Decree
603) provides for the establishment and strengthening of LCPC in all levels of LGU.
59
Organization of BADAC is a grass roots program of DILG being barangay stakeholder as first line of defense
in countering drug related cases.
60
The DILG, together with the Philippine Commission on Women (PCW), DSWD, Department of Education
and Department of Health issued JMC 2010-2 which provides for the establishment of a VAW Desk in every
barangay to ensure that violence against women cases are fully addressed in a gender-responsive manner.

210
6768 (25) Provide and establish Barangay Citizens’ Charter61. The Charter should contain
6769 the Barangay’s specific frontline services, detailed steps or procedures, time allotted to
6770 accomplish each task, as well as the accountable person for each task;
6771
6772 (26) The barangay must organize and provide Barangay Disaster Risk Reduction and
6773 Management Committee (BDRRMC)62 that shall be responsible for the setting of the
6774 direction, development, coordination of disaster risk reduction program within their
6775 jurisdictions;

6776 (27) Each Barangay must post the flow of its financial transactions for every quarter
6777 outside of its Barangay Hall and at least three conspicuous public places together with
6778 the soft copy of the said financial transactions in the website of the Ministry of Interior
6779 and Local Government (MILG);

6780 (28) There shall be in every Barangay a Barangay Registry Record containing of all
6781 the names of Barangay inhabitants. The Sangguniang Barangay must enact an ordinance
6782 that would provide a mechanism or procedure for new entrant and for exclusions of
6783 departing member to keep the Barangay Registry updated.63 and

6784 (29) Exercise such other powers and perform such other duties and functions as may be
6785 prescribed by law, ordinance or higher authority.
6786

6787 SECTION 404. Other Duties of Sangguniang Barangay Members. - In

6788 addition to their duties as members of the Sangguniang Barangay, Sangguniang Barangay
6789 members may:
6790
6791 (a) Assist the Punong Barangay in the discharge of his/her duties and functions;
6792
6793 (b) Act as peace officers in the maintenance of public order and safety;
6794
6795 (c) The Barangay must Establish a community-based monitoring system with
6796 representative from Civic Society Organization (CSO), Religious sector and Academe that
6797 will monitor and report the conduct of government officials and/or status of government
6798 projects/facilities within their territorial jurisdiction;64 . The Barangay Monitoring Team
6799 may submit their report to higher local government unit and copy furnished to office of
6800 chief minister through Ministry of interior and local government; and
6801
6802 (d) Perform such other duties and functions as the Punong Barangay may delegate.

61
R.A 9485 or anti red tape act of 2007 and to address our effort of advocacy on transparency and moral
governance.
62
sec. 12 of disaster risk reduction management act of 2010.
63
Suggested by galing pook to monitor the number of barangay inhabitant for proper allocation or delivery
basic of services .
64
R.A 11315, to monitor the status of project in the community and the act of government officials.

211
6803 SECTION 405. Benefits of Barangay Officials. - The following are benefits of
6804 barangay officials:

6805 (a) The Barangay Chairman shall receive a fix salary of equivalent to or not more than
6806 salary grade fourteen (14), but in no case be less than an honorarium of Five Thousand
6807 Pesos (₱5,000.00)65;

6808 The payment thereof shall be subsidized and paid by Bangsamoro government
6809 through ministry of interior and local government commences from January 2021.

6810 However, if after determination by Bangsamoro government through ministry of

6811 interior and local government that the funds of barangay are sufficient to pay the salary of
6812 punong barangay, the salary of such official shall be charge to barangay funds.

6813 (b) The Member of Sangguniang Barangay including Barangay Secretary, Barangay
6814 Treasurer and the Sangguniang Kabataan Chairman shall receive a salary equivalent to or
6815 not more than salary grade ten (10) subject to the availability and capability of their
6816 barangay funds but in no case be less than an honorarium of Three Thousand Pesos
6817 (₱3,000.00) every month. Provided, however, That the annual appropriations for personal
6818 services shall be subject to the budgetary limitations prescribed under this Code;

6819 (c) The incumbent barangay officials including the barangay treasurer and the
6820 barangay secretary shall be entitled to personal insurance coverage of the Government
6821 Service Insurance System. The payment of its annual contribution must not be less than
6822 Two Hundred Pesos (₱200.00) nor exceeding Four Hundred Pesos (₱400.00) which shall
6823 be shouldered and charged to the budget of the barangay66;
6824
6825 (d) The Punong Barangay, the Sangguniang Barangay Members, the Barangay
6826 Treasurer, and the Barangay Secretary shall be entitled to Rice allowance of not less than
6827 two Thousand Pesos (₱2,000.00) each, but not more than fifty (50%) percent of their
6828 monthly salary or honorarium subject to the availability of barangay funds. The funds for
6829 the purpose shall be taken from the general fund of the barangay or from such other funds
6830 appropriated by the national government;67
6831
6832 (e) Be entitled to free medical care including subsistence, medicines and medical
6833 attendance in any government hospital or institution: Provided, that such hospital care shall
6834 include surgery or surgical expenses, medicines, X-rays, laboratory fees and other hospital
6835 expenses.
6836

65
E.O 332, series of 1996. integrating the barangay governments into the revised position classification and
compensation system in the government, and Local Budget Circular-63,(3.1) oct.22, 1996.
66
R.A 6942 an act increasing the insurance benefits of local government officials and providing funds therefor.
However, Based on DILG legal opinion no. 25, s. 2015. The benefits of incumbent Barangay officials under
section 393(b)(2) has been suspended due to nonpayment of funds. Thus, the Barangay funds must be utilized
to that effect.
67
Suggested by stakeholder during consultation.

212
6837 (f) In case of extreme urgency where there is no available government hospital or
6838 institution, the barangay officials concerned may submit himself/herself for immediate
6839 medical attendance to the nearest private clinic, hospital or institution and the expenses not
6840 exceeding Five Thousand Pesos (P5,000.00) that may be incurred therein shall be
6841 chargeable against the funds of the barangay concerned.
6842
6843 In the event that, the government hospitals or its officers and personnel refuse or fail to
6844 grant the medical privileges granted by this Code to the elective barangay officials
6845 including the treasurer and secretary without justifiable grounds, criminal, civil or
6846 administrative case may be filed against them;68
6847
6848 (g) Be exempted during their incumbency from paying tuition and matriculation fees
6849 for their legitimate dependent children attending public/state colleges or universities. He
6850 or she may likewise avail of such educational benefits in a state college or university
6851 located within the province or city to which the barangay belongs.
6852
6853 In the event that, the school or its administrators and personnel refuse or fail to grant the
6854 educational benefits granted by this Code to the legitimate dependent children of elective
6855 barangay officials including treasurer and secretary without justifiable grounds, criminal,
6856 civil or administrative case may be filed against them;
6857
6858 (h) Be entitled to appropriate civil service eligibility on the basis of the number of years
6859 of service to the barangay, pursuant to the rules and regulations issued by the Civil Service
6860 Commission;
6861
6862 (i) Elective barangay officials shall have preference in appointments to any
6863 government position or in any government-owned or -controlled corporations, including
6864 their subsidiaries, after their tenure of office, subject to the requisite qualifications and the
6865 provisions of the immediately preceding paragraph; and
6866
6867 (j) The incumbent barangay purok leaders, barangay tanod or their equivalent which
6868 shall compose of not more than twenty (20) persons shall be entitled to personal insurance
6869 coverage of the Government Service Insurance System. The payment of its annual
6870 contribution must not be less than One Hundred Eighty Pesos (₱180.00) which shall be
6871 shouldered and charged to the budget of the barangay they belong.69
6872
6873 (k) The Punong Barangay with the concurrence of majority member of barangay
6874 kagawads may appoint a purok leaders with the same compensation and privileges to that
6875 of barangay tanods.
6876

68
This penal clause was suggested by stakeholders during consultation because many hospitals and schools
denies this privilege granted by R.A 7160 to the barangay officials including sangguniang kabataan.
69
Suggested by stakeholder during consultation, The barangay tanods maintain peace and order, thus, their
lives always in danger, hence, there should be an insurance for them.

213
6877 (l) The honorarium of purok leaders and barangay tanods must be fixed through an
6878 ordinance enacted by the sangguniang barangay subject on the availability and capability
6879 of their funds.70
6880
6881 CHAPTER V
6882 Appointive Barangay Officials
6883
6884 SECTION 406. Barangay Secretary: Appointment, Qualifications, Powers
6885 and Duties. – (a) The Barangay Secretary shall be appointed by the Punong Barangay with
6886 the concurrence of the majority of all the Sangguniang Barangay Members. The
6887 appointment of the Barangay Secretary shall not be subject to attestation by the Civil
6888 Service Commission.
6889 (b) The Barangay Secretary shall be of legal age, a qualified voter and an actual resident
6890 of the barangay concerned.
6891
6892 ( c ) No person shall be appointed Barangay Secretary if he is a Sangguniang Barangay
6893 member, a government employee, or a relative of the Punong Barangay within the fourth
6894 civil degree of consanguinity or affinity.
6895
6896 (d) Barangay Secretary shall:
6897
6898 (1) Keep custody of all records of the Sangguniang Barangay and the Barangay
6899 Assembly meetings;
6900
6901 (2) Prepare and keep the minutes of all meetings of the Sangguniang Barangay and the
6902 Barangay Assembly;
6903
6904 (3) Prepare a list of members of the Barangay Assembly and have the same posted in
6905 conspicuous places within the barangay;
6906
6907 (4) Assist in the preparation of all necessary forms for the conduct of barangay
6908 elections, initiatives, referenda or plebiscites, in coordination with the COMELEC;
6909
6910 (5) Assist the municipal civil registrar in the registration of births, deaths and
6911 marriages;
6912
6913 (6) Keep an updated Barangay Registry Record of all inhabitants of the barangay
6914 containing the following items of information: name, address, place and date of birth,

70
The honorarium of porok leader, lupon and barangay tanod must be fixed by an ordinance for purpose of
transparency.

214
6915 sex, civil status, citizenship, occupation, and such other items of information as may be
6916 prescribed by law or ordinance;
6917
6918 (7) Submit a report on the actual number of barangay residents as often as may be
6919 required by the Sangguniang Barangay; and
6920
6921 (8) Exercise such other powers and perform such other duties and functions as may be
6922 prescribed by law or ordinance.
6923
6924 SECTION 407. Barangay Treasurer: Appointment, Qualifications, Powers
6925 and Duties. – (a) The Barangay Treasurer shall be appointed by the Punong Barangay with
6926 the concurrence of the majority of all the Sangguniang Barangay Members. The
6927 appointment of the Barangay Treasurer shall not be subject to attestation by the Civil
6928 Service Commission.
6929
6930 (b) The Barangay Treasurer shall be of legal age, a qualified voter, and an actual resident
6931 of the barangay concerned.
6932
6933 (c)No person shall be appointed Barangay Treasurer if he is a Sangguniang Barangay
6934 Member, a government employee, or a relative of the Punong Barangay within the fourth
6935 civil degree of consanguinity or affinity.
6936
6937 (d) The Barangay Treasurer shall be bonded in accordance with existing laws in an amount
6938 to be determined by the Sangguniang Barangay but not exceeding Ten Thousand Pesos
6939 (P10,000.00), premiums for which shall be paid by the barangay.
6940
6941 (e) The Barangay Treasurer shall:
6942
6943 (1) Keep custody of barangay funds and properties;
6944
6945 (2) Collect and issue official receipts for taxes, fees, contributions, monies,
6946 materials, and all other resources accruing to the barangay treasury and
6947 deposit the same in the account of the barangay as provided under Title
6948 Five, Book II of this Code;
6949
6950 (3) Disburse funds in accordance with the financial procedures provided in this
6951 Code;
6952
6953 (4) Submit to the Punong Barangay a statement covering the actual and
6954 estimates of income and expenditures for the preceding and ensuing
6955 calendar years, respectively, subject to the provisions of Title Five, Book II
6956 of this Code;
6957

215
6958 (5) Render a written accounting report of all barangay funds and property
6959 under his/her custody at the end of each calendar year, and ensure that such
6960 report shall be made available to the members of the barangay assembly and
6961 other government agencies concerned;
6962
6963 (6) Certify as to the availability of funds whenever necessary;
6964
6965 (7) Plan and attend to the rural postal circuit within his jurisdiction; and
6966
6967 (8) Exercise such other powers and perform such other duties and functions as
6968 may be prescribed by law or ordinance.
6969
6970 SECTION 408. Other Appointive Officials. - The qualifications, duties and
6971 functions of all other barangay officials appointed by the Punong Barangay shall be
6972 governed by the provisions of this Code and other laws or by barangay ordinances.
6973
6974 CHAPTER VI
6975 Barangay Assembly
6976
6977 SECTION 409. Composition; Meetings. – (a) There shall be a barangay
6978 assembly composed of all persons who are actual residents of the barangay for at least six
6979 (6) months, fifteen (15) years of age or over, citizens of the Philippines and duly registered
6980 in the list of barangay assembly members.
6981
6982 (b) The barangay assembly shall meet at least twice a year to hear and discuss the
6983 semestral report of the Sangguniang Barangay concerning its activities and finances as well
6984 as problems affecting the barangay including revenue collection like real property tax. Its
6985 meetings shall be held upon call of the Punong Barangay or of at least four (4) members of
6986 the Sangguniang Barangay, or upon written petition of at least five percent (5%) of the
6987 assembly members.
6988
6989 (c) No meeting of the barangay assembly shall take place unless a written notice is
6990 given one (1) week prior to the meeting except on matters involving public safety or
6991 security, in which case notice within a reasonable time shall be sufficient. The Punong
6992 Barangay, or in his absence, the Sangguniang Barangay Member acting as Punong
6993 Barangay, or any assembly member selected during the meeting, shall act as presiding
6994 officer in all the meetings of the assembly. The barangay secretary, or in his absence, any
6995 member designated by the presiding officer to act as secretary, shall discharge the duties
6996 of secretary of the barangay assembly.
6997
6998
6999
7000
7001

216
7002 SECTION 410. Powers of the Barangay Assembly. - The Barangay Assembly
7003 shall:
7004
7005 (a) Initiate legislative processes by recommending to the Sangguniang Barangay the
7006 adoption of measures for the welfare of the barangay and the city or municipality
7007 concerned;
7008
7009 (b) Decide on the adoption of initiative as a legal process whereby the registered voters
7010 of the barangay may directly propose, enact or amend any ordinance; and
7011
7012 (c) Hear and pass upon the semestral report of the Sangguniang Barangay concerning
7013 its activities and finances.
7014
7015 CHAPTER VII
7016 Katarungang Pambarangay

7017 SECTION 411. Lupong Tagapamayapa. - (a) There is hereby created in each
7018 barangay a Lupong Tagapamayapa, hereinafter referred to as the Lupon, composed of the
7019 Punong Barangay as chairman and ten(10) to twenty (20) members coming from the
7020 following sectors:71 Religious ( Ustadz/Imam); Elders and/ or Tribal Leaders; Non-
7021 Muslims;Women; PWDs; Youth, and Solo Parents.

7022 The Lupon shall be constituted every three (3) years in the manner provided herein.
7023
7024 (b) Any person actually residing or working in the Barangay, not otherwise expressly
7025 disqualified by law, and possessing integrity, impartiality, independence of mind, sense of
7026 fairness, and reputation for probity, may be appointed a member of the lupon.
7027
7028 (c) A notice to constitute the lupon, which shall include the names of proposed
7029 members who have expressed their willingness to serve, shall be prepared by the Punong
7030 Barangay within the first fifteen (15) days from the start of his term of office. Such notice
7031 shall be posted in three (3) conspicuous places in the Barangay continuously for a period
7032 of not less than three (3) weeks;
7033
7034 (d) The Punong Barangay, taking into consideration any opposition to the proposed
7035 appointment or any recommendations for appointments as may have been made within the
7036 period of posting, shall within ten (10) days thereafter, appoint as members those whom he
7037 determines to be suitable therefor. Appointments shall be in writing, signed by the Punong
7038 Barangay, and attested to by the Barangay secretary.
7039
7040 (e) The list of appointed members shall be posted in three (3) conspicuous places in
7041 the Barangay for the entire duration of their term of office; and

71
Art. 4, sec. 6 of R.A 11054 which provides: the Bangsamoro Government shall promote unity, justice and
goodwill among all people, as well as encourage a just and peaceful settlement of dispute

217
7042
7043 (f) In Barangays where majority of the inhabitants are members of indigenous cultural
7044 communities, local systems or through their councils of datus or elders shall be recognized
7045 without prejudice to the applicable provisions of this Code.
7046 SECTION 412. Oath and Term of Office. - Upon appointment, each lupon
7047 member shall take an oath of office before the Punong Barangay.
7048 Before assumption to the office, the Muslim members of the lupon, must make an
7049 affirmation before the Holy Qur’an and for non- Muslim, to holy books as recognized by
7050 the religious affiliations of such officials to perform their duties based on law, justice and
7051 equity.72
7052 He/she shall hold office until a new lupon is constituted on the third year following
7053 his/her appointment unless sooner terminated by resignation, transfer of residence or place
7054 of work, or withdrawal of appointment by the Punong Barangay with the concurrence of
7055 the majority of all the members of the Lupon.
7056 SECTION 413. Vacancies. - Should a vacancy occur in the lupon for any cause,
7057 the Punong Barangay shall immediately appoint a qualified person who shall hold office
7058 only for the unexpired portion of the term.
7059
7060 SECTION 414. Functions of the Lupon. - The lupon shall:
7061
7062 (a) Exercise administrative supervision over the conciliation panels provided herein;
7063
7064 (b) Meet regularly once a month to provide a forum for exchange of ideas among its
7065 members and the public on matters relevant to the amicable settlement of disputes, and to
7066 enable various conciliation panel members to share with one another their observations and
7067 experiences in effecting speedy resolution of disputes; and
7068
7069 (c) Exercise such other powers and perform such other duties and functions as may be
7070 prescribed by law or ordinance.
7071
7072 SECTION 415. Secretary of the Lupon. - The barangay secretary shall
7073 concurrently serve as the secretary of the lupon. He/she shall record the results of mediation
7074 proceedings before the Punong Barangay and shall submit a report thereon to the proper
7075 city or municipal courts. He/she shall also receive and keep the records of proceedings
7076 submitted to him/her by the various conciliation panels.
7077
7078 SECTION 416. Pangkat ng Tagapagkasundo. - (a) There shall be constituted for
7079 each dispute brought before the lupon a conciliation panel to be known as the pangkat ng
7080 tagapagkasundo, hereinafter referred to as the pangkat, consisting of three (3) members
7081 who shall be chosen by the parties to the dispute from the list of members of the lupon.

72
It was suggested by stakeholders during consultation to ensure impartiality in deciding a case under their
jurisdictions.

218
7082 Should the parties fail to agree on the pangkat membership, the same shall be
7083 determined by lots drawn by the lupon chairman.
7084
7085 (b) The three (3) members constituting the pangkat shall elect from among themselves
7086 the chairman and the secretary. The secretary shall prepare the minutes of the pangkat
7087 proceedings and submit a copy duly attested to by the chairman to the lupon secretary and
7088 to the proper city or municipal court. He shall issue and cause to be served notices to the
7089 parties concerned.
7090
7091 The lupon secretary shall issue certified true copies of any public record in his custody that
7092 is not by law otherwise declared confidential.
7093
7094 SECTION 417. Vacancies in the Pangkat. - Any vacancy in the pangkat shall be
7095 chosen by the parties to the dispute from among the other lupon members. Should the
7096 parties fail to agree on a common choice, the vacancy shall be filled by lot to be drawn by
7097 the lupon chairman.
7098
7099 SECTION 418. Character of Office and Service of Lupon Members. - (a) The
7100 lupon members, while in the performance of their official duties or on the occasion thereof,
7101 shall be deemed as persons in authority, as defined in the Revised Penal Code.
7102
7103 (b) The lupon or pangkat members shall receive honorarium as determined by
7104 sangguniang barangay. While in the performance of their duties, the lupon or pangkat
7105 members, whether in public or private employment, shall be deemed to be on official time,
7106 and shall not suffer from any diminution in compensation or allowance from said
7107 employment.
7108
7109 SECTION 419. Legal Advice on Matters Involving Questions of Law. - The
7110 provincial, city legal officer or prosecutor or the municipal legal officer shall render legal
7111 advice on matters involving questions of law to the Punong Barangay or any lupon or
7112 pangkat member whenever necessary in the exercise of his/her functions in the
7113 administration of the Katarungang Pambarangay
7114
7115 SECTION 420. Subject Matter for Amicable Settlement; Exception Thereto. -
7116 The lupon of each barangay shall have authority to bring together the parties residing in
7117 the same city or municipality for amicable settlement of all disputes except:
7118 (a) Where one party is the government, or any subdivision or instrumentality thereof;
7119
7120 (b) Where one party is a public officer or employee, and the dispute relates to the
7121 performance of his/her official functions;
7122
7123 (c) Offenses punishable by imprisonment exceeding one (1) year or a fine exceeding
7124 Five Thousand Pesos (P5,000.00);
7125
7126 (d) Offenses where there is no private offended party;

219
7127 (e) Where the dispute involves real properties located in different cities or
7128 municipalities unless the parties thereto agree to submit their differences to amicable
7129 settlement by an appropriate lupon;
7130
7131 (f) Disputes involving parties who actually reside in barangays of different cities or
7132 municipalities, except where such barangay units adjoin each other and the parties thereto
7133 agree to submit their differences to amicable settlement by an appropriate lupon;
7134
7135 (h) Such other classes of disputes which the Parliament may determine in the interest of
7136 justice or upon the recommendation of the secretary of Justice.
7137
7138 The court in which non-criminal cases not falling within the authority of the lupon
7139 under this Code are filed may, at any time before trial, motu proprio refer the case to the
7140 lupon concerned for amicable settlement.
7141
7142 SECTION 421. Prohibition on Collection of Money or its Equivalent- No
7143 money or its equivalent shall be collected from the complainant or respondent in availing
7144 the services of the lupon and/or barangay officials except on minimal amount during the
7145 filling of complaint as a form of filling fee as provided by a barangay ordinance.
7146
7147 Any barangay official or lupon member found to have collected any amount in
7148 violation of the preceding paragraph shall suffer the penalty of reprimand, suspension or
7149 removal from office after the observance of due process. 73
7150
7151 SECTION 422. Venue. - (a) Disputes between persons actually residing in the
7152 same barangay shall be brought for amicable settlement before the lupon of said barangay.
7153 (b) Those involving actual residents of different barangays within the same city or
7154 municipality shall be brought in the Barangay where the respondent or any of the
7155 respondents actually resides, at the election of the complainant.
7156
7157 (c) All disputes involving real property, or any interest therein shall be brought in the
7158 Barangay where the real property or the larger portion thereof is situated.
7159
7160 (d) Those arising at the workplace where the contending parties are employed or at the
7161 institution where such parties are enrolled for study, shall be brought in the Barangay where
7162 such workplace or institution is located.
7163
7164 Objections to venue shall be raised in the mediation proceedings before the Punong
7165 Barangay; otherwise, the same shall be deemed waived. Any legal question which may
7166 confront the Punong Barangay in resolving objections to venue herein referred to may be
7167 submitted to the secretary of Justice, or his duly designated representative, whose ruling
7168 thereon shall be binding.

73
It was suggested by participant during consultation because accordingly, some barangay officials or lupon
member collected substantial amount of money to both complainant and respondent before or after the
deliberation of their case.

220
7169 SECTION 423. Procedure for Amicable Settlement. - (a) Who may initiate
7170 proceeding - Upon payment of the appropriate filing fee, any individual who has a cause
7171 of action against another individual involving any matter within the authority of the lupon
7172 may complain, orally or in writing, to the lupon chairman of the barangay.
7173
7174 (b) Mediation by lupon chairman - Upon receipt of the complaint, the lupon chairman
7175 shall within the next working day summon the respondent(s), with notice to the
7176 complainant(s) for them and their witnesses to appear before him for a mediation of their
7177 conflicting interests. If he fails in his mediation effort within fifteen (15) days from the first
7178 meeting of the parties before him, he shall forthwith set a date for the constitution of the
7179 pangkat in accordance with the provisions of this Chapter.
7180
7181 (c) Suspension of prescriptive period of offenses - While the dispute is under
7182 mediation, conciliation, or arbitration, the prescriptive periods for offenses and cause of
7183 action under existing laws shall be interrupted upon filing of the complaint with the Punong
7184 Barangay. The prescriptive periods shall resume upon receipt by the complainant of the
7185 complaint or the certificate of repudiation or of the certification to file action issued by the
7186 lupon or pangkat secretary: Provided, however, That such interruption shall not exceed
7187 sixty (60) days from the filing of the complaint with the Punong Barangay.
7188
7189 (d) Issuance of summons; hearing; grounds for disqualification- The pangkat shall
7190 convene not later than three (3) days from its constitution, on the day and hour set by the
7191 lupon chairman, to hear both parties and their witnesses, simplify issues, and explore all
7192 possibilities for amicable settlement. For this purpose, the pangkat may issue summons for
7193 the personal appearance of parties and witnesses before it. In the event that a party moves
7194 to disqualify any member of the pangkat by reason of relationship, bias, interest, or any
7195 other similar grounds discovered after the constitution of the pangkat, the matter shall be
7196 resolved by the affirmative vote of the majority of the pangkat whose decision shall be
7197 final. Should disqualification be decided upon, the resulting vacancy shall be filled as
7198 herein provided for.
7199
7200 (e) Period to arrive at a settlement - The pangkat shall arrive at a settlement or
7201 resolution of the dispute within fifteen (15) days from the day it convenes in accordance
7202 with this section. This period shall, at the discretion of the pangkat, be extendible for
7203 another period which shall not exceed fifteen (15) days, except in clearly meritorious cases.
7204
7205 SECTION 424. Form of Settlement. - All amicable settlements shall be in
7206 writing, in a language or dialect known to the parties, signed by them, and attested to by
7207 the lupon chairman or the pangkat chairman, as the case may be. When the parties to the
7208 dispute do not use the same language or dialect, the settlement shall be written in the
7209 language or dialect known to them.
7210
7211 SECTION 425. Conciliation. - (a) Pre-condition to Filing of Complaint in Court.
7212 - No complaint, petition, action, or proceeding involving any matter within the authority of
7213 the lupon shall be filed or instituted directly in court or any other government office for

221
7214 adjudication, unless there has been a confrontation between the parties before the lupon
7215 chairman or the pangkat, and that no conciliation or settlement has been reached as certified
7216 by the lupon secretary or pangkat secretary as attested to by the lupon or pangkat chairman
7217 or unless the settlement has been repudiated by the parties thereto.
7218
7219 (b) Where Parties May Go Directly to Court. - The parties may go directly to court in
7220 the following instances:
7221
7222 (1) Where the accused is under detention;
7223
7224 (2) Where a person has otherwise been deprived of personal liberty calling for habeas
7225 corpus proceedings;
7226
7227 (3) Where actions are coupled with provisional remedies such as preliminary
7228 injunction, attachment, delivery of personal property, and support pendente lite; and
7229
7230 (4) Where the action may otherwise be barred by the statute of limitations.
7231
7232 (c) Conciliation Among Members of Indigenous Cultural Communities. - The
7233 customs and traditions of indigenous cultural communities shall be applied in settling
7234 disputes between members of the cultural communities.
7235 SECTION 426. Arbitration. - (a) The parties may, at any stage of the proceedings,
7236 agree in writing that they shall abide by the arbitration award of the lupon chairman or the
7237 pangkat. Such agreement to arbitrate may be repudiated within five (5) days from the date
7238 thereof for the same grounds and in accordance with the procedure hereinafter prescribed.
7239 The arbitration award shall be made after the lapse of the period for repudiation and within
7240 ten (10) days thereafter.

7241 (b) The arbitration award shall be in writing in a language or dialect known to the parties.
7242 When the parties to the dispute do not use the same language or dialect, the award shall be
7243 written in the language or dialect known to them.
7244

7245 SECTION 427. Proceedings Open to the Public; Exception. - All proceedings
7246 for settlement shall be public and informal: Provided, however, That the lupon chairman
7247 or the pangkat chairman, as the case may be, may motu proprio or upon request of a party,
7248 exclude the public from the proceedings in the interest of privacy, decency, or public
7249 morals.
7250 SECTION 428. Appearance of Parties in Person. - In all Katarungang
7251 PamBarangay proceedings, the parties must appear in person without the assistance of
7252 counsel or representative, except for minors and incompetents who may be assisted by their
7253 next-of-kin who are not lawyers.

222
7254 SECTION 429. Effect of Amicable Settlement and Arbitration Award. - The
7255 amicable settlement and arbitration award shall have the force and effect of a final
7256 judgment of a court upon the expiration of ten (10) days from the date thereof, unless
7257 repudiation of the settlement has been made or a petition to nullify the award has been filed
7258 before the proper city or municipal court.
7259 SECTION 430. Execution. - The amicable settlement or arbitration award may
7260 be enforced by execution by the lupon within six (6) months from the date of the settlement.
7261 After the lapse of such time, the settlement may be enforced by action in the appropriate
7262 city or municipal court.

7263 SECTION 431. Repudiation. -Any party to the dispute may, within ten (10) days
7264 from the date of the settlement, repudiate the same by filing with the lupon chairman a
7265 statement to that effect sworn to before him, where the consent is vitiated by fraud,
7266 violence, or intimidation. Such repudiation shall be sufficient basis for the issuance of the
7267 certification for filing a complaint as hereinabove provided.
7268 SECTION 432. Transmittal of Settlement and Arbitration Award to the
7269 Court. - The secretary of the lupon shall transmit the settlement or the arbitration award to
7270 the appropriate city or municipal court within five (5) days from the date of the award or
7271 from the lapse of the ten-day period repudiating the settlement and shall furnish copies
7272 thereof to each of the parties to the settlement and the lupon chairman.
7273 SECTION 433. Power to Administer Oaths. - The Punong Barangay, as
7274 chairman of the Lupong Tagapamayapa, and the members of the pangkat are hereby
7275 authorized to administer oaths in connection with any matter relating to all proceedings in
7276 the implementation of the Katarungang PamBarangay.
7277
7278 SECTION 434. Administration; Rules and Regulations. - The city or municipal
7279 mayor, as the case may be, shall see to it the efficient and effective implementation and
7280 administration of the Katarungang PamBarangay. The secretary of Justice shall promulgate
7281 the rules and regulations necessary to implement this Chapter.
7282 SECTION 435. Appropriations. - Such amount as may be necessary for the
7283 effective implementation of the Katarungang PamBarangay shall be provided for in the
7284 annual budget of the city or municipality concerned.
7285
7286 CHAPTER VIII
7287 Sangguniang Kabataan
7288
7289 SECTION 436. Creation and Election. - (a) There shall be in every Barangay a
7290 Sangguniang Kabataan to be composed of a chairman, seven (7) members, a secretary, and
7291 a treasurer.
7292 (b) A Sangguniang Kabataan official who, during his term of office, shall have passed
7293 the age of twenty-four (24) years shall be allowed to serve the remaining portion of the
7294 term for which he was elected.

223
7295 SECTION 437. Katipunan ng Kabataan. - The Katipunan ng Kabataan shall be
7296 composed of all citizens of the Philippines actually residing in the Barangay for at least six
7297 (6) months, who are fifteen (15) but not more than thirty (30) years of age, and who are
7298 duly registered in the list of the Sangguniang Kabataan or in the official Barangay list in
7299 the custody of the Barangay secretary.
7300
7301 SECTION 438. Meetings of the Katipunan ng Kabataan. - The Katipunan ng
7302 Kabataan shall meet at least once in every six (6) months, or at the call of the chairman of
7303 the Sangguniang Kabataan or upon written petition of at least one-twentieth (1/20) of its
7304 members, to decide on important issues affecting the youth of the Barangay.
7305
7306 SECTION 439. Powers and Functions of the Sangguniang Kabataan. - Powers
7307 and Functions of the Sangguniang Kabataan. - The Sangguniang Kabataan shall:
7308
7309 (a) Promulgate resolutions necessary to carry out the objectives of the youth in the
7310 Barangay in accordance with the applicable provisions of this Code;
7311
7312 (b) Initiate programs designed to enhance the social, political, economic, cultural,
7313 intellectual, moral, spiritual, and physical development of the members;
7314
7315 (c) Hold fund-raising activities, the proceeds of which shall be tax-exempt and shall
7316 accrue to the general fund of the Sangguniang Kabataan: Provided, however, That in the
7317 appropriation thereof, the specific purpose for which such activity has been held shall be
7318 first satisfied;
7319
7320 (d) Create such bodies or committees as it may deem necessary to effectively carry out
7321 its programs and activities;
7322
7323 (e) Submit annual and end-of-term reports to the Sangguniang Barangay on their
7324 projects and activities for the survival and development of the youth in the Barangay ;
7325
7326 (f) Consult and coordinate with all youth organizations in the Barangay for policy
7327 formulation and program implementation;
7328
7329 (g) Coordinate with the appropriate national agency for the implementation of youth
7330 development projects and programs at the national level; and
7331
7332 (h) Exercise such other powers and perform such other duties and functions as the
7333 Sangguniang Barangay may determine or delegate or as may be prescribed by law or
7334 ordinance.
7335
7336 SECTION 440. Meetings of the Sangguniang Kabataan. - The Sangguniang
7337 Kabataan shall meet regularly once a month on the date, time, and place to be fixed by the
7338 said sanggunian. Special meetings may be called by the Sangguniang Kabataan chairman
7339 or any three (3) of its members by giving written notice to all members of the date, time,

224
7340 place, and agenda of the meeting at least one (1) day in advance. Notices of regular or
7341 special meetings shall be furnished the Punong Barangay and the Sangguniang Barangay.
7342
7343 SECTION 441. Qualifications. – The Sangguniang Kabataan chairman and
7344 members shall have the following qualifications:
7345
7346 1) A citizen of the Philippines;
7347
7348 2) A qualified voter of the Katipunan ng Kabataan;
7349
7350 3) A resident of the barangay for not less than one (1) year immediately preceding the day
7351 of the elections;
7352
7353 4) At least 18 years but not more than 24 years of age on the day of the elections;
7354
7355 5) At least junior high school level for Sangguniang Kabataan chairman and elementary
7356 level for member of Sangguniang Kabataan; 74
7357
7358 6) Must not be related within the second civil degree of consanguinity or affinity to any
7359 incumbent elected national official or to any incumbent elected regional, provincial, city,
7360 municipal or barangay official in the locality where the aspirant seeks to be elected;75 and
7361
7362 7) Must not have been convicted by final judgment of any crime involving moral turpitude.
7363
7364 SECTION 442. Term of Office. - The Sangguniang Kabataan chairman and
7365 members shall hold office for a period of three (3) years, unless sooner removed for cause
7366 as provided by law, permanently incapacitated, die or resigned from office.
7367
7368 SECTION 443. Sangguniang Kabataan Chairman. - The registered voters of the
7369 Katipunan ng Kabataan shall elect the chairman of the Sangguniang Kabataan who shall
7370 automatically serve as an ex-officio member of the Sangguniang Barangay upon his/her
7371 assumption to office. As such, he/she shall exercise the same powers, discharge the same
7372 duties and functions, and enjoy the same privileges as the regular Sangguniang Barangay
7373 members, and shall be the chairman of the committee on youth and sports development in
7374 the said sanggunian.
7375
7376 SECTION 444. Powers and Duties of the Sangguniang Kabataan Chairman. -
7377 In addition to the duties which may be assigned to him/her by the Sangguniang Barangay,
7378 the Sangguniang Kabataan chairman shall:
7379 (a) Call and preside over all meetings of the Katipunan ng Kabataan and the
7380 Sangguniang Kabataan;
74
It is to encourage our youth to study because they are the future leader of our community. Moreover, under
SK reform law of 2015, the Sangguniang Kabataan is mandated to enact a resolution and other measures for
the welfare of the youth. They are now responsible for the disbursement of their shares in barangay IRA.
75
It was adopted under SK reform law.

225
7381 (b) Implement policies, programs and projects within his/her jurisdiction in
7382 coordination with the Sangguniang Barangay;
7383
7384 (c) Exercise general supervision over the affairs and activities of the Sangguniang
7385 Kabataan and the official conduct of its members, and such other officers of the
7386 Sangguniang Kabataan within his/her jurisdiction;
7387
7388 (d) With the concurrence of the Sangguniang Kabataan, appoint from among the
7389 members of the Sangguniang Kabataan, the secretary and treasurer, and such other officers
7390 as may be deemed necessary;
7391
7392 (e) Submission of a Sangguniang Kabataan 3-year comprehensive development plan;
76
7393 and
7394
7395 (f) Exercise such other powers and perform such other duties and functions as may be
7396 prescribed by law or ordinance.
7397
7398 SECTION 445. Sangguniang Kabataan Secretary. – The Sangguniang Kabataan
7399 Secretary shall:
7400 (a) Keep all records of the katipunan ng kabataan and Sangguniang Kabataan;
7401
7402 (b) Prepare and keep the minutes of all meetings of the katipunan ng kabataan and
7403 Sangguniang Kabataan;
7404
7405 (c) Prepare all forms necessary for the conduct of registrations, elections, initiatives,
7406 referenda, or plebiscites, in coordination with the Barangay secretary and the Comelec;
7407 and
7408
7409 (d) Perform such other duties and discharge such other functions as the chairman of
7410 the Sangguniang Kabataan may prescribe or direct.
7411
7412 SECTION 446. Sangguniang Kabataan Treasurer. - The Sangguniang Kabataan
7413 Treasurer shall:
7414 (a) Take custody of all Sangguniang Kabataan property and funds not otherwise
7415 deposited with the city or municipal treasurer;
7416
7417 (b) Collect and receive contributions, monies, materials, and all other resources
7418 intended for the Sangguniang Kabataan and katipunan ng kabataan;
7419
7420 (c) Disburse funds in accordance with an approved budget of the Sangguniang
7421 Kabataan;
7422
7423 (d) Certify to the availability of funds whenever necessary;

76
It was mandated under SK reform law

226
7424
7425 (e) Submit to the Sangguniang Kabataan and to the Sangguniang Barangay certified
7426 and detailed statements of actual income and expenditures at the end of every month; and
7427
7428 (f) Perform such other duties and discharge such other functions as the chairman of
7429 the Sangguniang Kabataan may direct.

7430 SECTION 447. Privileges of Sangguniang Kabataan Officials.77 – (1) The

7431 Sangguniang Kabataan chairman shall have the same privileges enjoyed by other
7432 Sangguniang Barangay officials under this Code subject to such requirements and
7433 limitations provided herein. During their incumbency, Sangguniang Kabataan officials
7434 shall be exempt from payment of tuition and matriculation fees while enrolled in public
7435 tertiary schools, including state colleges and universities. The national government shall
7436 reimburse said college or university the amount of the tuition and matriculation fees:
7437 Provided, That, to qualify for the privilege, the said officials shall enroll in the state college
7438 or university within or nearest their area of jurisdiction.

7439 (2) Be exempt from taking the National Service Training Program-Civic Welfare Training
7440 Service (NSTP-CWTS) subjects. In lieu thereof, concerned Sangguniang Kabataan
7441 officials shall submit written reports, preferably with photographs, or other documentations
7442 of their participation in the implementation of programs, projects and activities as outlined
7443 in the Comprehensive Barangay Investment Program. Absence of such reports and
7444 documentations or a finding to the contrary upon verification of submitted reports, will
7445 disqualify the concerned Sangguniang Kabataan officials from this privilege.

7446 (3) Be excused from attending their regular classes, if they are currently enrolled in any
7447 school, while attending then- regular or special Sangguniang Kabataan meetings, and the
7448 Sangguniang Barangay sessions, in case of the Sangguniang Kabataan chairperson. A
7449 certification of attendance shall be issued by the Sangguniang Kabataan secretary, attested
7450 by the Sangguniang Kabataan chairperson and duly noted by the Punong Barangay and
7451 shall be submitted to the concerned faculty member and the dean of the educational
7452 institution as proof of attendance. In the case of the Sangguniang Kabataan secretary, the
7453 Sangguniang Kabataan chairperson shall issue the certification duly noted by the Punong
7454 Barangay. In the case of the Sangguniang Kabataan chairperson, the barangay secretary
7455 shall issue the certification of attendance duly noted by the Punong Barangay. Any person
7456 who shall falsely certify as to the attendance of any Sangguniang Kabataan official shall
7457 be criminally and administratively liable;

7458 (4) Be provided by the National Government with Philippine Health Insurance Corporation
7459 (Philhealth) coverage;

7460 (5) Be entitled to receive actual travelling reimbursements as may be authorized by law,
7461 and subject to the availability of funds: Provided, That, such travel is directly related to the
7462 performance of their functions as Sangguniang Kabataan officials and is supported by duly
77
Adopted under SK reform law

227
7463 approved travel order by the Punong Barangay in the case of the Sangguniang Kabataan
7464 chairperson, or by the Sangguniang Kabataan chairperson in the case of the other
7465 Sangguniang Kabataan officials; and
7466
7467 (6) The Sangguniang Kabataan chairperson shall have the same privileges enjoyed by other
7468 Sangguniang Barangay officials under this code subject to such requirements and
7469 limitations provided herein.78
7470
7471 SECTION 448. Succession and Filling of Vacancies. - (a) In case a Sangguniang
7472 Kabataan chairman refuses to assume office, fails to qualify, is convicted of a felony,
7473 voluntarily resigns, dies, is permanently incapacitated, is removed from office, or has been
7474 absent without leave for more than three (3) consecutive months, the Sangguniang
7475 Kabataan member who obtained the next highest number of votes in the election
7476 immediately preceding shall assume the office of the chairman for the unexpired portion
7477 of the term, and shall discharge the powers and duties, and enjoy the rights and privileges
7478 appurtenant to the office. In case the said member refuses to assume the position or fails to
7479 qualify, the sanggunian member obtaining the next highest number of votes shall assume
7480 the position of the chairman for the unexpired portion of the term.
7481
7482 (b) Where two (2) or more Sangguniang Kabataan members obtained the same next
7483 highest number of votes, the other Sangguniang Kabataan members shall conduct an
7484 election to choose the successor to the chairman from among the said members.
7485
7486 (c) After the vacancy shall have been filled, the Sangguniang Kabataan chairman shall
7487 call a special election to complete the membership of said sanggunian. Such Sangguniang
7488 Kabataan member shall hold office for the unexpired portion of the term of the vacant seat.
7489
7490 (d) In case of suspension of the Sangguniang Kabataan chairman, the successor, as
7491 determined in subsections (a) and (b) of this Section shall assume the position during the
7492 period of such suspension.
7493
7494 CHAPTER IX
7495 Pederasyon ng mga Sannguniang Kabataan
7496
7497 SECTION 449. Pederasyon ng mga Sangguniang Kabataan. - (a) There shall
7498 be an organization of all the Pederasyon ng mga Sangguniang Kabataan to be known as
7499 follows:
7500
7501 (1) in municipalities, pambayang pederasyon ng mga Sangguniang Kabataan;
7502
7503 (2) in cities, panlungsod na pederasyon ng mga Sangguniang Kabataan;
7504
7505 (3) in provinces, panlalawigang pederasyon ng mga Sangguniang Kabataan;

78
Adopted under SK Reform Law

228
7506 (4) in Bangsamoro Autonomous Region in Muslim Mindanao, panrehiyong
7507 pederasyon ng Sangguniang Kabataan;79 and
7508
7509 (5) on the national level, pambansang pederasyon ng mga Sangguniang Kabataan.
7510
7511 (b) The pederasyon ng mga Sangguniang Kabataan shall, at all levels, elect from
7512 among themselves the president, vice-president and such other officers as may be necessary
7513 and shall be organized in the following manner:
7514
7515 1. The panlungsod and pambayang pederasyon shall be composed of the Sangguniang
7516 Kabataan chairmen of barangays in the city or municipality, respectively;
7517
7518 2. The panlalawigang pederasyon shall be composed of presidents of the panlungsod
7519 and pambayang pederasyon;
7520
7521 3. The pangrehiyong pederasyon shall be composed of presidents of the panlungsod
7522 and panlalawigang pederasyon;
7523
7524 (c) The elected presidents of the pederasyon at the provincial and highly urbanized city
7525 shall constitute the pambansang katipunan ng mga Sangguniang Kabataan.
7526
7527 SECTION 450. Constitution and By-Laws. - The term of office, manner of
7528 election, removal and suspension of the officers of the pederasyon ng mga Sangguniang
7529 Kabataan at all levels shall be governed by the constitution and by-laws of the pederasyon
7530 in conformity with the provisions of this Code and regional policies on youth.
7531
7532 SECTION 451. Membership in the Sanggunian. - (a) A Sangguniang Kabataan
7533 chairman shall, upon certification of his/her election by the COMELEC and during his/her
7534 tenure of office is elected as pederasyon president, serve as an ex-officio member of the
7535 Sanggunian Panlalawigan, Sangguniang Panlungsod, and Sangguniang Bayan, as the case
7536 may be, without need of further appointment.
7537
7538 (b) The vice-president of the pederasyon whose president has been elected as president
7539 of a higher pederasyon shall serve as ex-officio member of the sanggunian concerned
7540 without need of further appointment.
7541
7542 (c) The pederasyon president or vice-president, as the case may be, shall be the
7543 chairman of the committee on youth and sports development of the sanggunian concerned.
7544
7545 CHAPTER X
7546 Linggo ng Kabataan
7547
7548 SECTION 452. Observance of Linggo ng Kabataan.- (a) Every barangay,
7549 municipality, city and province shall, in coordination with the pederasyon ng mga
79
Suggested during public consultation to have regional federation for the Sangguniang Kabataan officials.

229
7550 Sangguniang Kabataan at all levels, conduct an annual activity to be known as the Linggo
7551 ng Kabataan on such date as shall be determined by the Office of the President.
7552
7553 (b) The observance of the Linggo ng Kabataan shall include the election of the
7554 counterparts of all local elective and appointive officials, as well as heads of national
7555 offices or agencies stationed or assigned in the territorial jurisdiction of the local
7556 government unit, among in-school and community youth residing in the local government
7557 unit concerned from ages fourteen (14) to eighteen (18). During said week, they shall hold
7558 office as boy and girl officials and shall perform such duties and conduct such activities as
7559 may be provided in the ordinance enacted pursuant to this Chapter.
7560
7561 TITLE II
7562 THE MUNICIPALITY
7563
7564 CHAPTER I
7565 Role and Creation of the Municipality
7566
7567 SECTION 453. Role of the Municipality. - The municipality, consisting of a
7568 group of Barangays, serves primarily as a general-purpose government for the coordination
7569 and delivery of basic, regular and direct services and effective governance of the
7570 inhabitants within its territorial jurisdiction.
7571
7572 SECTION 454. Manner of Creation. - A municipality may be created, divided,
7573 merged, abolished, or its boundary substantially altered by an act of congress or the
7574 Parliament and subject to the approval by a majority vote of electorate80 of the votes cast
7575 in a plebiscite to be conducted by the COMELEC in the local government unit or units
7576 directly affected. Provided, that the criteria laid down in RA 7160 shall be satisfied., the
7577 plebiscite shall be held within one hundred twenty (120) days from the date of its
7578 effectivity.
7579
7580 SECTION 455. Requisites for Creation. – (a) A municipality may be created if it
7581 has average annual income of at least P2.5 million for the last two consecutive years as certified by
7582 Bangsamoro Treasury81;
7583
7584 (b) a population of at least twenty-five thousand (25,000) inhabitants as certified by the
7585 Philippine Statistics Authority; and
7586
7587 (c) A contiguous territory of at least fifty (50) square kilometers as certified by the Land
7588 Management Bureau: Provided, That the creation thereof shall not reduce the land area,
7589 population or income of the original municipality or municipalities at the time of said
7590 creation to less than the minimum requirements prescribed herein.
7591

80
Art. 6. sec. 10. R.A 11054. Par. 2. The parliament was empowered to create municipality

230
7592 There shall be a commitment to donate a lot area of not less than three hectares for
7593 the construction of a permanent government center like the municipal hall, health center,
7594 health center, multi-purpose hall and similar others. The copy of intent to donate shall be
7595 attached to the petition for creation of municipality or province and copy furnished to the
7596 Ministry of Interior and Local Government;82
7597
7598 SECTION 456. Municipalities Converted into Regular Municipality. – The
7599 municipalities existing as of the date of the effectivity of this Code like Al-Barka, Hadji
7600 Muhammad Ajul, Akbar, and Hadji Muhtamad in the Province of Basilan; and Datu Blah
7601 Sinsuat, Pandag, Mangudadatu, Northern Kabuntalan, Datu Anggal Midtimbang, Datu
7602 Hofer Ampatuan and Datu Salibo in the Province of Maguindanao shall be converted into
7603 regular municipalities entitled to IRA83.
7604 SECTION 457. Municipalities That May Be Created After the Effectivity of
7605 this Code. - Any municipality that may be created after the effectivity of this Code must
7606 comply with the minimum standard laid down by RA 7160 and this Code: Provided, that
7607 it shall be approved by a majority of the votes cast in a plebiscite conducted in the political
7608 unit directly affected.84
7609
7610 CHAPTER II
7611 Municipal Officials in General

7612 SECTION 458. Officials of the Municipal Government. - (a) There shall be in
7613 each municipality a municipal mayor, a municipal vice-mayor, Sangguniang Bayan
7614 members, a secretary to the Sangguniang

7615 Bayan, a municipal treasurer, a municipal assessor, a municipal accountant, a

7616 municipal budget officer, a municipal planning and development coordinator, a municipal
7617 engineer/building official, a municipal health officer and a municipal civil registrar.

7618 (b) The mayor may also appoint a municipal agriculturist, a municipal environment and
7619 natural resources officer, a municipal social welfare and development officer.

7620 (c) The mayor may appoint a municipal administrator, a municipal legal officer and
7621 municipal information officer and municipal population officer.
7622 (d) In the appointment of municipal employees especially on career positions, preference
7623 shall be given to qualified residents of the municipality.85
7624

82
To avoid unnecessary transfer of municipal set of government whenever new officials were elected.
83
Art. 18, sec.2 of R.A 11054;
84
art. 6, sec. 10, par. 2. Of R.A 11054;
85
Recommended by participant during consultation to optimized localized hiring;

231
7625 SECTION 459. Other Mandatory Position for Municipality-The Municipal
7626 government must also appoint the following officers and provide office space,
7627 administrative support and allocate funding thereof, to wit:
7628
7629 Local Disaster Risk and Reduction Management Officer86, Local Economic
7630 Investment Promotion Officer87 , Tourism Officer88, Environmental Officers, Information
7631 and Communication Technology Officer89 and Community-Based Training for Enterprise
7632 Development90, Local Youth and Development Officer.
7633
7634 The minimum qualification of the applicant for the above position are the following
7635 to wit:
7636 a. Must be a college a graduate of any relevant course;
7637 b. Must have at least 60 hours of training relevant to the position he/she wish
7638 to apply;
7639 c. Holder of second level eligibility or its equivalent;
7640 d. Must be a resident of the Municipality he/she may be assigned.
7641
7642 The officer/s appointed to the above position must enjoy all rights and protection
7643 afforded by law and same privileges granted by Municipal Government to its regular
7644 employees
7645
7646 CHAPTER III
7647 Officials and Offices Common to All Municipalities
7648 Article I - The Municipal Mayor
7649
7650 SECTION 460. The Chief Executive: Powers, Duties, Functions and
7651 Compensation. – (a) The municipal mayor, as the chief executive of the municipal
7652 government, shall exercise such powers and perform such duties and functions as provided
7653 by this Code and other laws.
7654
7655 (b) For efficient, effective and economical governance the purpose of which is the general
7656 welfare of the municipality, the municipal mayor shall:
7657
7658 (1) Exercise general supervision and control over all programs, projects, services, and
7659 activities within his municipality (of the municipal government,) for the general
7660 welfare of his constituent and in this connection, he shall:
7661

86
R.A 10121 and DILG M.C. no. 113 series of 2010. Strengthening Disaster Risk Reduction and Management
system;
87
DILG- MC-2010-113 requiring all LGU to designate LEIPO;
88
R.A 9593, tourism act of 2009, purposely to boost tourism industry in all level of LGU ,thus, bringing income
to LGU concerned;
89
Suggested by participant during consultation to address the new era of technology and address online
reporting;
90
DILG-MC- 2003-174 institutionalization of community-based training for enterprises development. ( CBTED)

232
7662 (i)Formulate the guidelines of municipal policies and be responsible to the
7663 Sangguniang Bayan for the program of government;

7664 (ii)Propose or Order the formulation of the municipal development plan, with the
7665 assistance of the municipal development council, and upon approval thereof by
7666 the Sangguniang Bayan, implement the same;
7667 (iii)At the opening of the regular session of the Sangguniang Bayan for every
7668 calendar year and, as may be deemed necessary, present the program of
7669 government and propose policies and projects for the consideration of the
7670 Sangguniang Bayan as the general welfare of the inhabitants and the needs of the
7671 municipal government may require;
7672
7673 (iv)Initiate and propose legislative measures to the Sangguniang Bayan and, from
7674 time to time as the require, provide such information and data needed or requested
7675 by said sanggunian in the performance of its legislative functions; Appoint all
7676 officials and employees whose salaries and wages are wholly or mainly paid out
7677 of municipal funds and whose appointments are not otherwise provided for in this
7678 Code, as well as those he may be authorized by law to appoint; situation may
7679
7680 (v)Appoint all officials and employees whose salaries and wages are wholly or
7681 mainly paid out of municipal funds and whose appointments are not otherwise
7682 provided for in this Code, as well as those he may authorized by law to appoint;
7683
7684 (vi)Upon authorization by the Sangguniang Bayan, represent the municipality in all
7685 its business transactions and sign on its behalf all bonds, contracts, and
7686 obligations, and such other documents made pursuant to law or ordinance;
7687
7688 (vii)Carry out such emergency measures as may be necessary during and in the
7689 aftermath of man-made and natural disasters and calamities assist them to return
7690 to normal life by providing livelihood, social, and psychological support (stress
7691 debriefing, focused group discussions, etc.) or programs to start a new life;91
7692
7693 (viii)Determine, according to law or ordinance, the time, manner and place of
7694 payment of salaries or wages of the officials and employees of the municipality;
7695
7696 (ix)Allocate and assign office space to municipal and other officials and employees
7697 who, by law or ordinance, are entitled to such space in the municipal hall and
7698 other buildings owned or leased by the municipal government;
7699
7700 (x)Ensure that all executive officials and employees of the municipality faithfully
7701 discharge their duties and functions as provided by law and this Code, and cause
7702 to be instituted administrative or judicial proceedings against any official or

91
Suggested by participants during consultation because accordingly, after the calamity, the victims left no
more assistant from lgu. They are just depending on the help of NGO.

233
7703 employee of the municipality who may have committed an offense in the
7704 performance of his official duties;
7705
7706 (xi)Examine the books, records and other documents of all offices, officials, agents
7707 or employees of the municipality and in aid of his executive powers and
7708 authority, require all national officials and employees stationed in or assigned
7709 to the municipality to make available to him such books, records, and other
7710 documents in their custody, except those classified by law as confidential;
7711 (xii)Furnish copies of executive orders issued by him to the provincial governor
7712 within seventy-two (72) hours after their issuance and to the Office of the Chief
7713 Minister through the Ministry of Interior and Local Government;92
7714
7715 (xiii)Must visit component Barangays of the municipality at least once a month and
7716 consider such visit an outreach program for Delivering Basic Services to
7717 Barangays and to deepen his/her understanding on problems or conditions
7718 therein. He/She may also conduct ulat sa Barangay to inform the component
7719 Barangay officials and inhabitants of general laws and ordinances which
7720 especially concern them, listen and give appropriate counsel to local officials
7721 or inhabitants , featuring achievement of Barangay concern and the municipal
7722 government, financial reporting, recognition of local innovations93 and
7723 conduct inspections to the end that the governance of the municipality will
7724 improve the quality of life of the inhabitants;
7725
7726 (xiv)Submit to the provincial governor, and to the Office of the Chief Minister
7727 through Ministry of Interior and Local Government94 the following reports: an
7728 annual report containing a summary of all matters pertaining to the
7729 management, administration and development of the municipality and all
7730 information and data relative to its political, social and economic conditions;
7731 and supplemental reports when unexpected events and situations arise at any
7732 time during the year, particularly when man-made or natural disasters or
7733 calamities affect the general welfare of the municipality, province, region or
7734 country.
7735
7736 (xv)Act on leave applications of officials and employees appointed by him and the
7737 commutation of the monetary value of leave credits according to law;
7738
7739 (xvi)Authorize official trips outside of the municipality of municipal officials and
7740 employees for a period not exceeding thirty (30) days;
7741

92
To monitor the LGU whether or not, they issued an executive order in accordance within their power and
authority.
93
Suggested by galing pook to bring government in the barangay level and to see their actual situation for
possible intervention. It will also increase the trust and confidence of the people to the government.
94
This is an exercise of power of supervision by the chief minister over constituent LGU to ensure that they
acted within their powers and to monitor their activity as well in their respective jurisdiction.

234
7742 (xvii)Call upon any national official or employee stationed in or assigned to the
7743 municipality to advise him on matters affecting the municipality and to make
7744 recommendations thereon, or to coordinate in the formulation and
7745 implementation of plans, programs and projects, and when appropriate, initiate
7746 an administrative or judicial action against a national government official or
7747 employee who may have committed an offense in the performance of his
7748 official duties while stationed in or assigned to the local government unit
7749 concerned;
7750 (xviii)Subject to availability of funds, authorize payment of medical care, necessary
7751 transportation, subsistence, hospital or medical fees of municipal officials and
7752 employees who are injured while in the performance of their official duties and
7753 functions;
7754
7755 (xix)Solemnize marriages for non- muslim;
7756
7757 (xx)Conduct a palarong bayan, in coordination with the Ministry of Basic, Higher,
7758 and Technical Education, as an annual activity which shall feature traditional
7759 sports and disciplines included in national and international games; and
7760
7761 (2) Enforce all laws and ordinances relative to the governance of the municipality and
7762 the exercise of its corporate powers provided for under this Code, implement all approved
7763 policies, programs, projects, services and activities of the municipality and, in addition
7764 to the foregoing, shall:
7765
7766 (i)Ensure that the acts of the municipality's component Barangays and of its
7767 officials and employees are within the scope of their prescribed powers,
7768 functions, duties and responsibilities;
7769
7770 (ii)Call conventions, conferences, seminars or meetings of any elective and
7771 appointive officials of the municipality, including provincial officials and
7772 national officials and employees stationed in or assigned to the municipality at
7773 such time and place and on such subject as he may deem important for the
7774 promotion of the general welfare of the local government unit and its
7775 inhabitants;
7776
7777 All conventions, seminars, conferences or meetings funded by local
7778 government unit concerned must be held within the territorial jurisdiction of the
7779 municipality or within Bangsamoro Autononmous Region in Muslim
7780 Mindanao; except justifiable reasons upon the approval of the Ministry of
7781 Interior in Local Government.95
7782
7783 (iii) Issue such executive orders as are necessary for the proper enforcement and
7784 execution of laws and ordinances;

95
Suggested by participant during consultation to ensure that the money of BARMM should circulate within
the BARMM and also to create more employment within the BARMM.

235
7785
7786 (iv) Whenever necessary, be entitled to carry one short firearm within his
7787 territorial jurisdiction; subject to the existing laws and regulation promulgated by a
7788 competent authority;
7789
7790 (v) Act as the deputized representative of the National Police Commission,
7791 formulate the peace and order plan of the municipality and upon its approval,
7792 implement the same and exercise general and operational control and supervision
7793 over the local police forces in the municipality in accordance with R.A. No. 6975;
7794
7795 (vi) Call upon the appropriate law enforcement agencies of the BARMM to
7796 suppress disorder, riot, lawless violence, sedition or to apprehend violators of the
7797 law when public interest so requires, and the municipal police forces are inadequate
7798 to cope with the situation or the violators;
7799
7800 (vii) Establish a Local Council for the Protection of Children96;
7801
7802 (viii) Established a Municipal Youth Development Council which shall assist the
7803 planning and execution of projects and programs of the Sangguniang Kabataan and
7804 the Pederasyons in all levels. The council shall be put under the Office of the Local
7805 Chief Executive, the Office of the Planning and Development, the Office of the
7806 Social Welfare, or in any other office deemed appropriate by the local government
7807 unit97
7808
7809 (3) Initiate and maximize the generation of resources and revenues, and apply the same
7810 to the implementation of development plans, program objectives and priorities as
7811 provided for under this Code, particularly those resources and revenues programmed
7812 for agro-industrial development and country-wide growth and progress, and relative
7813 thereto, shall:
7814
7815 (i) Require each head of an office or department to prepare and submit an
7816 estimate of appropriations for the ensuing calendar year, in accordance with the
7817 budget preparation process of this Code;
7818
7819 (ii) Prepare and submit to the sanggunian for approval the executive and
7820 supplemental budgets of the municipality for the ensuing calendar year in the
7821 manner provided for under this Code;
7822
7823 (iii) Ensure that all taxes and other revenues of the municipality are collected,
7824 and that municipal funds are applied in accordance with law or ordinance to the
7825 payment of expenses and settlement of obligations of the municipality;
7826

96
Title II, Sections 15 of the Juvenile Justice and Welfare Act of 2006 (and Article 87 of Presidential Decree
603) provides for the establishment and strengthening of LCPC in all levels of LGU
97
R.A 10742 or SK reform act of 2015, mandated the creation of LYDC in every level of LGU.

236
7827 (iv) Issue licenses and permits and suspend or revoke the same for any violation
7828 of the conditions upon which said licenses or permits had been issued, pursuant to
7829 law or ordinance;
7830
7831 (v) Issue permits, without need of approval therefor from any national agency,
7832 for the holding of activities for any charitable or welfare purpose, excluding
7833 prohibited games of chance or shows contrary to law, public policy and public
7834 morals;
7835
7836 (vi) Require owners of illegally constructed houses, buildings or other structures
7837 to obtain the necessary permit, subject to such fines and penalties as may be
7838 imposed by law or ordinance, or to make necessary changes in the construction of
7839 the same when said construction violates any law or ordinance, or to order the
7840 demolition or removal of said house, building or structure within the period
7841 prescribed by law or ordinance;
7842
7843 (vii) Adopt adequate measures to safeguard and conserve land, mineral, marine,
7844 forest, and other resources of the municipality; provide efficient and effective
7845 property and supply management in the municipality; and protect the funds, credits,
7846 rights and other properties of the municipality; and
7847
7848 (viii) Institute or cause to be instituted administrative or judicial proceedings for
7849 violation of ordinances in the collection of taxes, fees or charges, and for the
7850 recovery of funds and property; and cause the municipality to be defended against
7851 all suits to ensure that its interests, resources and rights shall be adequately
7852 protected;
7853
7854 (4) Ensure the delivery of basic services and the provision of adequate facilities as
7855 provided for under this Code:
7856
7857 The following are basic services that must be delivered by the municipality:98
7858
7859 FOR AGRICULTURAL SERVICES: Extension and on-site research services
7860 and facilities related agriculture and fishery activities which includes, dispersal of
7861 livestock and poultry, fingerlings, and other seeding materials for aquaculture;
7862 palay, corn and vegetable seeds farms; medicinal plant gardens; fruit tree, coconut
7863 and other kinds of seedling nurseries; demonstration farm; quality control of copra
7864 and improvement and development of local distribution channels preferably
7865 through cooperatives; inter-Barangay irrigation system, water and soil resource
7866 utilization and conservation projects; and enforcement of fishery laws in municipal
7867 waters including the conservation of mangroves;
7868
7869 ENVIRONMENTAL SERVICES: Pursuant to national policies and subject to
7870 supervision, control and review of the DENR, implementation of community-based

98
We just define further the basic services under section 17 of this code.

237
7871 forestry projects which include: integrated social forestry programs and similar
7872 projects; management and control of communal forests with an area not exceeding
7873 fifty (50) square kilometers; establishment of tree pars, greenbelts, and similar
7874 forest development projects;
7875
7876 HEALTH SERVICES which include: the implementation of programs and
7877 communicable and non-communicable disease control services; access to
7878 secondary health services; purchase of medicines, medical supplies, and equipment
7879 needed to carry out the services herein enumerated;
7880
7881 SOCIAL SERVICES which include: programs and projects on child and youth
7882 welfare, family and community welfare, women’s welfare, welfare of the elderly
7883 and disabled persons; community-based rehabilitation programs for vagrants,
7884 beggars, street children, scavengers, juvenile delinquents, and victim of drug abuse;
7885 livelihood and other pro-poor projects; nutrition services; and family planning
7886 services;
7887
7888 INFORMATION services which include investments and job placement
7889 information system, tax and marketing information systems, and maintenance of a
7890 public library;
7891
7892 SOLID WASTE DISPOSAL SYSTEM or environmental management system
7893 and services or facilities related to general hygiene and sanitation;
7894
7895 PUBLIC WORKS OR CONSTRUCTIONS such as Municipal buildings,
7896 cultural centers, public parks including freedom parks, playgrounds, and sports
7897 facilities and equipment, and other similar facilities;
7898
7899 INFRASTRUCTURE FACILITIES intended primarily to service the needs of
7900 the residents of the municipality and which are funded out of municipal funds
7901 including: but not limited to,
7902
7903 CONSTRUCTION AND MAINTENANCE OF MUNICIPAL ROADS AND
7904 BRIDGES;
7905
7906 The following are municipal roads and/ or bridges:
7907
7908 1.Those constructed by municipality out of its own funds;
7909
7910 2.Those constructed by higher local government unit or national
7911 government and turned over to municipality; and
7912
7913 3.Those constructed by private persons or entity and turn over to
7914 municipality.
7915

238
7916 CONSTRUCTION OF OTHERS FACILITIES such as for public elementary
7917 and secondary School; construction of clinics, health centers, and other health
7918 facilities necessary to carry out health services; construction of communal
7919 irrigation, small water impounding projects and other similar projects; fish ports;
7920 construction of artesian wells, spring development, rainwater collectors and water
7921 supply systems; construction of seawalls, dikes, drainage and sewerage, and flood
7922 control; provides traffic signals and road signs, and similar facilities, construction
7923 of public markets, slaughterhouses and other municipal enterprises; provide lot or
7924 space for public cemetery; construction of Tourism facilities and other tourist
7925 attractions, including: the acquisition of equipment, regulation and supervision of
7926 business concessions, and security services for such facilities; and Provide sites
7927 for police and fire stations, substation and the municipal jail;
7928
7929 and, in addition thereto, shall:
7930
7931 (x) Ensure that the construction and repair of roads and highways funded by the
7932 national government shall be, as far as practicable, carried out in a spatially
7933 contiguous manner and in coordination with the construction and repair of the
7934 roads and bridges of the municipality and the province; and
7935
7936 (xi) Coordinate the implementation of technical services rendered by national and
7937 provincial offices, including public works and infrastructure programs in the
7938 municipality;
7939

7940 (5) Exercise such other powers and perform such other duties and functions as may be
7941 prescribed by law or ordinance.
7942
7943 (c) During his incumbency, the municipal mayor shall hold office in the
7944 municipal hall.
7945
7946 (d) The municipal mayor shall receive a minimum monthly compensation
7947 corresponding to Salary Grade twenty-seven (27) as prescribed under R.A. No.
7948 6758 and the implementing guidelines issued pursuant thereto.
7949
7950 Article II – The Vice Mayor
7951
7952 SECTION 461. Powers, Duties and Compensation. - (a) The vice-mayor shall:
7953
7954 (1) Be the presiding officer of the Sangguniang Bayan and sign all warrants drawn on
7955 the municipal treasury for all expenditures appropriated for the operation of the
7956 Sangguniang Bayan;
7957
7958 (2) Subject to civil service law, rules and regulations, appoint all officials and
7959 employees of the Sangguniang Bayan, except those whose manner of appointment is
7960 specifically provided in this Code;

239
7961
7962 (3) Assume the office of the municipal mayor for the unexpired term of the latter in the
7963 event of permanent vacancy as provided for this Code;
7964
7965 (4) Exercise the powers and perform the duties and functions of the municipal mayor
7966 in cases of temporary vacancy as provided for this Code; and,
7967
7968 (5) Exercise such other powers and perform such other duties and functions as may be
7969 prescribed by law or ordinance.
7970
7971 (b) The vice-mayor shall receive a monthly compensation corresponding to Salary
7972 Grade twenty-five (25) as prescribed under R.A. No. 6758 and the implementing guidelines
7973 issued pursuant thereto.
7974
7975 Article III - The Sangguniang Bayan
7976
7977 SECTION 462. Composition. – (a) The Sangguniang Bayan, the legislative body
7978 of the municipality, shall be composed of the municipal vice-mayor as the presiding officer,
7979 the regular sanggunian members, the president of the municipal chapter of the liga ng mga
7980 Barangay, the president of the pambayang pederasyon ng mga Sangguniang Kabataan, and
7981 the sectoral representatives, as members.
7982
7983 (b) In addition thereto, there shall be three (3) sectoral representatives: one (1) from
7984 the women; and, as shall be determined by the sanggunian concerned within ninety (90)
7985 days prior to the holding of local elections, one (1) from the agricultural or industrial
7986 workers; and one (1) from the other sectors, including the urban poor, indigenous cultural
7987 communities, or disabled persons.
7988
7989 (c) The regular members of the Sangguniang Bayan and the sectoral representatives
7990 shall be elected in the manner as may be provided for by law.
7991
7992 SECTION 463. Powers, Duties, Functions and Compensation. – (a) The
7993 Sangguniang Bayan, as the legislative body of the municipality, shall enact ordinances,
7994 approve resolutions and appropriate funds for the general welfare of the municipality and
7995 its inhabitants and in the proper exercise of the corporate powers of the municipality as
7996 provided under this Code, and shall:
7997
7998 (1) Enact and approve ordinances or pass resolutions necessary for an efficient and
7999 effective municipal government, and in this connection shall:
8000
8001 (i) Review all ordinances approved by the Sangguniang Barangay and
8002 executive orders issued by the Punong Barangay to determine whether these
8003 are within the scope of the prescribed powers of the sanggunian and of the
8004 Punong Barangay;
8005

240
8006 (ii) Maintain peace and order by enacting ordinances or resolutions to
8007 prevent and suppress lawlessness, disorder, riot, violence, rebellion or
8008 sedition and impose penalties for the violation of said ordinances;
8009 (iii) Approve ordinances imposing a fine not exceeding Five Thousand
8010 Pesos (P5,000.00) or an imprisonment for a period not exceeding six (6)
8011 months, or both in the discretion of the court, for the violation of a municipal
8012 ordinance;
8013
8014 (iv) Enact ordinances or resolutions to protect the inhabitants of the
8015 municipality from the harmful effects of man-made or natural disasters and
8016 calamities and to provide relief services and assistance for victims during
8017 and in the aftermath of said disasters or calamities and their return to
8018 productive livelihood following said events;
8019
8020 (v) Enact ordinances or resolutions intended to prevent, suppress and
8021 impose appropriate penalties for habitual drunkenness in public places,
8022 vagrancy, mendicancy, prostitution, establishment and maintenance of
8023 houses of ill repute, gambling and other prohibited games of chance,
8024 fraudulent devices and ways to obtain money or property, drug addiction,
8025 maintenance of drug dens, drug pushing, juvenile delinquency, the printing,
8026 distribution or exhibition of obscene or pornographic materials or
8027 publications, and such other activities inimical to the welfare and morals of
8028 the inhabitants of the municipality;
8029
8030 (vi) Enact an ordinance that would constitute Municipal Anti-Drug Abuse
8031 Council and adopt measures towards the prevention, rehabilitations and
8032 eradication of drug abuse, child abuse, and juvenile delinquency;99
8033
8034 (vi) Enact ordinances or resolution that will protect the environment and
8035 impose appropriate penalties for acts which endanger the environment, such
8036 as dynamite fishing and other forms of destructive fishing, illegal logging
8037 and smuggling of logs, smuggling of natural resources products and of
8038 endangered species of flora and fauna, slash and burn farming, and such
8039 other activities which result in pollution, acceleration of eutrophication of
8040 rivers and lakes, or of ecological imbalance;
8041
8042 (vii) Subject to the provisions of this Code and pertinent laws, determine
8043 the powers and duties of officials and employees of the municipality;
8044
8045 (viii) Determine the positions and the salaries, wages, allowances and other
8046 emoluments and benefits of officials and employees paid wholly or mainly
8047 from municipal funds and provide for expenditures necessary for the proper
8048 conduct of programs, projects, services, and activities of the municipal
8049 government;

99
Organization of MADAC is a gross roots program of DILG in countering drug related cases.

241
8050
8051 (ix) Authorize the payment of compensation to a qualified person not in the
8052 government service who fills up a temporary vacancy or grant honorarium
8053 to any qualified official or employee designated to fill a temporary vacancy
8054 in a concurrent capacity, at the rate authorized by law;
8055
8056 (x) Provide a mechanism and the appropriate funds therefor, to ensure the
8057 safety and protection of all municipal government property, public
8058 documents, or records such as those relating to property inventory, land
8059 ownership, records of births, marriages, deaths, assessments, taxation,
8060 accounts, business permits, and such other records and documents of public
8061 interest in the offices and departments of the municipal government;
8062
8063 (xi) When the finances of the municipal government allow, provide for
8064 additional allowances and other benefits to judges, prosecutors, public
8065 elementary and high school teachers, and other national government
8066 officials stationed in or assigned to the municipality;
8067
8068 (xii) Provide for legal assistance to Barangay officials, Barangay tanod and
8069 lupon who, in the performance of their official duties or on the occasion
8070 thereof, have to initiate judicial proceedings or defend themselves against
8071 legal action; and
8072
8073 (xiii) Provide for group insurance or additional insurance coverage for
8074 Barangay officials, including members of Barangay tanod brigades and
8075 other service units, with public or private insurance companies, when the
8076 finances of the municipal government allow said coverage.
8077
8078 (2) Generate and maximize the use of resources and revenues for the development plans,
8079 program objectives and priorities of the municipality as provided for under section 18 of
8080 this Code with particular attention to agro-industrial development and countryside
8081 growth and progress, and relative thereto, shall:
8082
8083 (i) Approve the annual and supplemental budgets of the municipal
8084 government and appropriate funds for specific programs, projects,
8085 services and activities of the municipality, or for other purposes not
8086 contrary to law, in order to promote the general welfare of the
8087 municipality and its inhabitants;
8088
8089 (ii) Subject to the provisions of Book II of this Code and
8090 applicable laws and upon the majority vote of all the members of the
8091 Sangguniang Bayan, enact ordinances levying taxes, fees and charges,
8092 prescribing the rates thereof for general and specific purposes, and
8093 granting tax exemptions, incentives or reliefs;
8094

242
8095 (iii) Subject to the provisions of Book II of this Code and upon
8096 the majority vote of all the members of the Sangguniang Bayan,
8097 authorize the municipal mayor to negotiate and contract loans and other
8098 forms of indebtedness;
8099
8100 (iv) Subject to the provisions of this Code and applicable laws
8101 and upon the majority vote of all the members of the Sangguniang
8102 Bayan, enact ordinances authorizing the floating of bonds or other
8103 instruments of indebtedness, for the purpose of raising funds to finance
8104 development projects;
8105
8106 (v) Appropriate funds for the construction and maintenance or
8107 the rental of buildings for the use of the municipality and, upon the
8108 majority vote of all the members of the Sangguniang Bayan, authorize
8109 the municipal mayor to lease to private parties such public buildings
8110 held in a proprietary capacity, subject to existing law, rules and
8111 regulations;
8112
8113 (vi) Whenever necessary, enact an ordinance that would
8114 regulate and/or restraints the use of property within the jurisdiction of
8115 the municipality;
8116
8117 (vii) Adopt a comprehensive land use plan for the municipality:
8118 Provided, that the formulation, adoption, or modification of said plan
8119 shall be in coordination with the approved provincial comprehensive
8120 land use plan; and that would align to Bangsamoro Autonomous
8121 Region in Muslim Mindanao regional plan;
8122
8123 (viii) Reclassify land within the jurisdiction of the municipality,
8124 subject to the pertinent provisions of this Code;
8125
8126 (ix) Enact integrated zoning ordinances in consonance with the
8127 approved comprehensive land use plan, subject to existing laws, rules
8128 and regulations; establish fire limits or zones, particularly in populous
8129 centers; and regulate the construction, repair or modification of
8130 buildings within said fire limits or zones in accordance with the
8131 provisions of the Fire Code;
8132
8133 (x) Subject to national law and Bangsamoro Autonomous
8134 Region in Muslim Mindanao regional law, process and approve
8135 subdivision plans for residential, commercial, or industrial purposes
8136 and other development purposes, and collect processing fees and other
8137 charges, the proceeds of which shall accrue entirely to the municipality:
8138 Provided, however, That, where approval by a national or Bangsamoro
8139 Autonomous Region in Muslim Mindanao regional agency or office is

243
8140 required, said approval shall not be withheld for more than thirty (30)
8141 days from receipt of the application. Failure to act on the application
8142 within the period stated above shall be deemed as approval thereof;
8143
8144 (xi) Subject to the provisions of this Code, grant the exclusive
8145 privilege of constructing fish corrals or fish pens, or the taking or
8146 catching of bangus fry, prawn fry or kawag-kawag or fry of any species
8147 or fish within the municipal waters;
8148
8149 (xii) With the concurrence of at least two-thirds (2/3) of all the
8150 members of the Sangguniang Bayan, grant tax exemptions, incentives
8151 or reliefs to entities engaged in community growth-inducing industries,
8152 subject to the provisions of this Code;
8153
8154 (xiii) Grant loans or provide grants to other local government units
8155 or to national, provincial and municipal charitable, benevolent or
8156 educational institutions: Provided, That said institutions are operated
8157 and maintained within the municipality;
8158
8159 (xiv) Regulate the numbering of residential, commercial and other
8160 buildings; and
8161
8162 (xv) Regulate the inspection, weighing and measuring of articles
8163 of commerce.
8164
8165 (3) Subject to the provisions of this code, grant franchises, enact ordinances authorizing
8166 the issuance of permits or licenses, or enact ordinances levying taxes, fees and charges
8167 upon such conditions and for such purposes intended to promote the general welfare of
8168 the inhabitants of the municipality, and pursuant to this legislative authority shall:
8169
8170 (i) Fix and impose reasonable fees and charges for all services
8171 rendered by the municipal government to private persons or entities;
8172
8173 (ii) Regulate any business, or practice of profession or calling
8174 which does not require government examination within the
8175 municipality and the conditions under which the license for said
8176 business or practice of profession may be issued or revoked;
8177
8178 (iii) Prescribe the terms and conditions under which public
8179 utilities owned by the municipality shall be operated by the municipal
8180 government or leased to private persons or entities, preferably
8181 cooperatives;
8182

244
8183 (iv) Regulate the display of and fix the license fees for signs,
8184 signboards, or billboards at the place or places where the profession or
8185 business advertised thereby is, in whole or in part, conducted;
8186 (v) Prohibit and/or regulate the establishment, operation, and
8187 maintenance of cockpits, and regulate cockfighting and commercial
8188 breeding of gamecocks: Provided, that existing rights should not be
8189 prejudiced;
8190
8191 (vi) Subject to the guidelines prescribed by the Department of
8192 Transportation and Communications, regulate the operation of
8193 tricycles, habal habal and grant franchises for the operation thereof
8194 within the territorial jurisdiction of the municipality;
8195
8196 (vii) Upon approval by a majority vote of all the members of the
8197 Sangguniang Bayan, grant a franchise to any person, partnership,
8198 corporation, or cooperative to establish, construct, operate and
8199 maintain ferries, wharves, markets or slaughterhouses, or such other
8200 similar activities within the municipality as may be allowed by
8201 applicable laws: Provided, That, cooperatives shall be given preference
8202 in the grant of such a franchise.
8203
8204 (4) Regulate activities relative to the use of land, buildings and structures within the
8205 municipality in order to promote the general welfare and for said purpose shall:
8206
8207 (i) Declare, prevent or abate any nuisance;
8208
8209 (ii) Require that buildings and the premises thereof and
8210 any land within the municipality be kept and maintained in a
8211 sanitary condition; impose penalties for any violation thereof, or
8212 upon failure to comply with said requirement, have the work done
8213 and require the owner, administrator or tenant concerned to pay
8214 the expenses of the same; or require the filling up of any land or
8215 premises to a grade necessary for proper sanitation;
8216
8217 (iii) Regulate the disposal of clinical and other wastes
8218 from hospitals, clinics and other similar establishments;
8219
8220 (iv) Regulate the establishment, operation and
8221 maintenance of cafes, restaurants, beerhouses, hotels, motels, inns,
8222 pension houses, lodging houses, and other similar establishments,
8223 including tourist guides and transports;
8224
8225 (v) Prohibit and/or regulate the sale, giving away or
8226 dispensing of any intoxicating malt, vino, mixed or fermented
8227 liquors at any retail outlet;

245
8228
8229 (vi) Regulate the establishment and provide for the
8230 inspection of steam boilers or any heating device in buildings and
8231 the storage of inflammable and highly combustible materials
8232 within the municipality;
8233
8234 (vii) Prohibit and/ or regulate the establishment,
8235 operation, and maintenance of entertainment or amusement
8236 facilities, including theatrical performances, circuses, billiard
8237 pools, public dancing schools, public dance halls, sauna baths,
8238 massage parlors, and other places of entertainment or amusement;
8239 regulate such other events or activities for amusement or
8240 entertainment, particularly those which tend to disturb the
8241 community or annoy the inhabitants, or require the suspension or
8242 suppression of the same; or, prohibit certain forms of amusement
8243 or entertainment in order to protect the social and moral welfare
8244 of the community;
8245
8246 (viii) Provide a place for impounding stray animals;
8247 regulate the keeping of animals in homes or as part of a business,
8248 and the slaughter, sale or disposition of the same; and adopt
8249 measures to prevent and penalize cruelty to animals; and
8250
8251 (ix) Regulate the establishment, operation, and
8252 maintenance of funeral parlors and the burial or cremation of the
8253 dead, subject to existing laws, rules and regulations.
8254
8255 (5) Approve ordinances which shall ensure the efficient and effective delivery of the
8256 basic services and facilities as provided for this Code, and in addition to said services and
8257 facilities, shall:
8258
8259 (i.)Enact an ordinance that provide for the establishment, maintenance,
8260 protection, and conservation of communal forests and water sheds,
8261 tree parks, greenbelts, mangroves, and other similar forest
8262 development projects;
8263
8264 (ii.)Enact an ordinance that establish markets, slaughterhouses or animal
8265 corrals and authorize the operation thereof, and regulate the
8266 construction and operation of private markets, talipapas or other
8267 similar buildings and structures;
8268
8269 (iii.)Enact an ordinance or resolution that authorize the establishment,
8270 maintenance and operation of ferries, wharves, and other structures,
8271 and marine and seashore or offshore activities intended to accelerate
8272 productivity;

246
8273
8274 (iv.)Regulate the preparation and sale of meat, poultry, fish, vegetables,
8275 fruits, fresh dairy products, and other foodstuffs for public
8276 consumption;
8277
8278 (v.)Regulate the use of streets, avenues, alleys, sidewalks, bridges, parks
8279 and other public places and approve the construction, improvement,
8280 repair and maintenance of the same; establish bus and vehicle stops
8281 and terminals or regulate the use of the same by privately-
8282 owned vehicles which serve the public; regulate garages and the
8283 operation of conveyances for hire; designate stands to be occupied
8284 by public vehicles when not in use; regulate the putting up of signs,
8285 signposts, awnings and awning posts on the streets; and provide for
8286 the lighting, cleaning and sprinkling of streets and public places;
8287
8288 (vi.)Regulate traffic on all streets and bridges, prohibit the putting up of
8289 encroachments or obstacles thereon, and, when necessary in the
8290 interest of public welfare, authorize the removal of encroachments
8291 and illegal constructions in public places;
8292
8293 (vii.)Subject to existing laws, provide for the establishment, operation,
8294 maintenance, and repair of an efficient waterworks system to supply
8295 water for the inhabitants; regulate the construction, maintenance,
8296 repair and use of hydrants, pumps, cisterns and reservoirs; protect the
8297 purity and quantity of the water supply of the municipality and, for
8298 this purpose, extend the coverage of appropriate ordinances over all
8299 territory within the drainage area of said water supply and within one
8300 hundred (100) meters of the reservoir, conduit, canal, aqueduct,
8301 pumping station, or watershed used in connection with the water
8302 service; and regulate the consumption, use or wastage of water;
8303
8304 (viii.)Regulate the drilling and excavation of the ground for the laying of
8305 water, gas, sewer, and other pipes and the construction, repair and
8306 maintenance of public drains, sewers, cesspools, tunnels and similar
8307 structures; regulate the placing of poles and the use of crosswalks,
8308 curbs, and gutters; adopt measures to ensure public safety against
8309 open canals, manholes, live wires and other similar hazards to life
8310 and property; and, regulate the construction and use of private water
8311 closets, privies and other similar structures in buildings and homes;
8312
8313 (ix.)Regulate the placing, stringing, attaching, installing, repair and
8314 construction of all gas mains, electric, telegraph and telephone wires,
8315 conduits, meters and other apparatus; and, provide for the correction,
8316 condemnation or removal of the same when found to be dangerous,
8317 defective or otherwise hazardous to the welfare of the inhabitants;

247
8318 (x.)Subject to the availability of funds and to existing laws, rules and
8319 regulations, establish and provide for the operation of vocational and
8320 technical schools and similar post-secondary institutions and, with
8321 the approval of the Ministry of Basic, Higher and Technical
8322 Education, fix and collect reasonable fees and other school charges
8323 on said institutions, subject to existing laws on tuition fees;
8324
8325 (xi.)Establish a scholarship fund for poor but deserving students residing
8326 within the municipality in schools located within its jurisdiction;
8327
8328 (xii.)Enact an ordinances or resolutions to prevent the introduction and
8329 spread of diseases;
8330
8331 (xiii.)Provide for an efficient and effective system of solid waste and
8332 garbage collection and disposal, and prohibit littering and the placing
8333 or throwing of garbage, refuse and other filth and wastes;
8334
8335 (xiv.)Provide for the care and support for the paupers, the aged, the sick,
8336 persons of unsound mind, disabled persons, abandoned minors,
8337 juvenile delinquents, drug dependents, abused children and other
8338 needy and disadvantaged persons, particularly children and youth
8339 below eighteen (18) years of age and, subject to availability of funds,
8340 establish and provide for the construction and operation of centers
8341 and facilities for said needy and disadvantaged persons;
8342
8343 (xv.)Establish and provide for the maintenance and improvement of jails
8344 and detention centers, institute sound jail management programs, and
8345 appropriate funds for the subsistence of detainees and convicted
8346 prisoners in the municipality;
8347
8348 (xvi.)Establish a municipal council whose purpose is the promotion of
8349 culture and the arts, coordinate with government agencies and non-
8350 governmental organizations and, subject to the availability of funds,
8351 appropriate funds for the support and development of the same; and
8352
8353 (xvii.)Establish a municipal council for the elderly which shall formulate
8354 policies and adopt measures mutually beneficial to the elderly and to
8355 the community; provide incentives for non-governmental agencies
8356 and entities and, subject to the availability of funds, appropriate funds
8357 to support programs and projects for the benefit of the elderly; and
8358
8359 (6) Exercise such other powers and perform such other duties and functions as may be
8360 prescribed by law or ordinance.

248
8361 The members of the Sangguniang Bayan shall receive a minimum monthly
8362 compensation corresponding to Salary Grade twenty-four (24) as prescribed under R.A.
8363 6758.
8364
8365 TITLE III
8366
8367 THE CITY
8368
8369 CHAPTER I
8370 Role and Creation of the City
8371
8372 SECTION 464. Role of the City. - The city, consisting of more urbanized and
8373 developed Barangays, serves as a general-purpose government for the coordination and
8374 delivery of basic, regular, and direct services and effective governance of the inhabitants
8375 within its territorial jurisdiction.
8376
8377 SECTION 465. Manner of Creation. - A city may be created, divided, merged,
8378 abolished or its boundary substantially altered, only by an Act of Congress, and subject to
8379 approval by a majority of the votes cast in a plebiscite to be conducted by the COMELEC
8380 in the local government unit or units directly affected. Except as may otherwise be provided
8381 in such Act, the plebiscite shall be held within one hundred twenty (120) days from the
8382 date of its effectivity.
8383
8384 SECTION 466. Requisites for Creation. – (a) A municipality or a cluster of
8385 barangays may be converted into a component city if it has a locally generated average
8386 annual income, as certified by the Department of Finance, of at least One hundred million
8387 pesos (P100,000,000) for the last two (2) consecutive years, and if it has the following
8388 requisites100:
8389
8390 (1) a contiguous territory of at least one hundred (100) square kilometers, as certified
8391 by the Lands Management Bureau; or
8392
8393 (2) a population of not less than one hundred fifty thousand (150,000) inhabitants, as
8394 certified by the Philippine Statistics Authority: Provided, That, the creation thereof
8395 shall not reduce the land area, population, and income of the original unit or units at
8396 the time of said creation to less than the minimum requirements prescribed herein.
8397
8398 (b) The territorial jurisdiction of a newly created city shall be properly identified by metes
8399 and bounds. The requirement on land area shall not apply where the city proposed to be
8400 created is composed of one (1) or more islands. The territory need not be contiguous if it
8401 comprises two (2) or more islands.
8402

100
Republic act no. 9009, increasing the average annual income requirement for a municipality or cluster of
barangays to be converted into a component city

249
8403 (c) The average annual income shall include the income accruing to the general fund,
8404 exclusive of special funds, transfers, and non-recurring income.
8405
8406 CHAPTER II
8407 City Officials in General
8408
8409 SECTION 467. Officials of the City Government. - (a) There shall be in each city a
8410 mayor, a vice-mayor, Sangguniang Panlungsod members, a secretary to the Sangguniang
8411 Panlungsod, a city treasurer, a city assessor, a city accountant, a city budget officer, a city
8412 planning and development coordinator, a city engineer, a city health officer, a city civil
8413 registrar, a city administrator, a city legal officer, a city veterinarian, a city social welfare
8414 and development officer, and a city general services officer.
8415
8416 The city government must also appoint the following officer and provide office
8417 space, administrative support and allocate funding thereof, to wit: Local Disaster Risk and
8418 Reduction Management Officer; Local Economic Investment Promotion officer; Tourism
8419 Officer; Environmental officers; Information and Communication Technology Officer;
8420 Community-Based Training for Enterprise Development.101
8421
8422 The minimum qualification of the applicant for the above position are the following
8423 to wit:
8424 a. Must be a college a graduate of any relevant course;
8425 b. Must have at least 60 hours of training relevant to the position he/she
8426 wish to apply;
8427 c. Holder of second level eligibility or its equivalent;
8428 d. Must be a resident of theCity he/she may be assigned
8429
8430 The office/s appointed to the above position must enjoy all rights, protection and privileges
8431 enjoyed by a regular employee of the said City.
8432
8433 (b) In addition, thereto, the city mayor may appoint a city architect, a city information
8434 officer, a city agriculturist, a city population officer, a city environment and natural
8435 resources officer, and a city cooperatives officer.
8436
8437 The appointment of a city population officer shall be optional in the city: Provided,
8438 however, That cities which have existing population offices shall continue to maintain such
8439 offices for a period of five (5) years from the date of the effectivity of this Code, after
8440 which said offices shall become optional.
8441
8442 (c) In the appointment of city employees especially for career positions, preference shall
8443 be given to qualified resident of the city where he/she will be assigned.102
8444
8445 (d) The Sangguniang Panlungsod may:

101
Creation of new office necessarily, carries the allocation of funds for its necessary expenses.
102
Promote localized hiring

250
8446
8447 (1) Maintain existing offices not mentioned in subsections (a) and (b) hereof;
8448
8449 (2) Create such other offices as may be necessary to carry out the purposes of the city
8450 government; or
8451
8452 (3) Consolidate the functions of any office with those of another in the interest of
8453 efficiency and economy.
8454
8455 (d) Unless otherwise provided herein, heads of departments and offices shall be appointed
8456 by the city mayor with the concurrence of the majority of all the Sangguniang Panlungsod
8457 members, subject to civil service law, rules and regulations. The Sangguniang Panlungsod
8458 shall act on the appointment within fifteen (15) days from the date of its submission,
8459 otherwise the same shall be deemed confirmed.
8460
8461 (e) Elective and appointive city officials shall receive such compensation, allowances, and
8462 other emoluments as may be determined by law or ordinance, subject to the budgetary
8463 limitations on personal services prescribed under Title Five, Book II of this Code:
8464 Provided, That, no increase in compensation of the mayor, vice-mayor and Sangguniang
8465 Panlungsod members shall take effect until after the expiration of the full term of the said
8466 local officials approving such increase.
8467
8468 CHAPTER III
8469 Officials and Offices Common to All Cities
8470
8471 Article I - The City Mayor
8472
8473 SECTION 468. Chief Executive; Powers, Duties and Compensation. – (a) The
8474 city mayor, as chief executive of the city government, shall exercise such powers and
8475 perform such duties and functions as provided by this Code and other laws.
8476 (b) For efficient, effective and economical governance the purpose of which is the general
8477 welfare of the city and its inhabitants pursuant to Section 16 of this Code, the city mayor
8478 shall:
8479
8480 (1) Exercise general supervision and control over all programs, projects, services, and
8481 activities of the city government, and in this connection, shall:
8482
8483 (i) Determine the guidelines of city policies and be responsible to the Sangguniang
8484 Panlungsod for the program of government;
8485
8486 (ii) Direct and or propose the formulation of the city development plan, with the
8487 assistance of the city development council, and upon approval thereof by the
8488 Sangguniang Panlungsod, implement the same;
8489

251
8490 (iii) Present the program of government and propose policies and projects for the
8491 consideration of the Sangguniang Panlungsod at the opening of the regular session
8492 of the Sangguniang Panlungsod every calendar year and as often as may be deemed
8493 necessary as the general welfare of the inhabitants and the needs of the city
8494 government may require;
8495
8496 (iv) Initiate and propose legislative measures to the Sangguniang Panlungsod and
8497 as often as may be deemed necessary, provide such information and data needed or
8498 requested by said sanggunian in the performance of its legislative functions;
8499
8500 (v) Appoint all officials and employees whose salaries and wages are wholly or
8501 mainly paid out of city funds and whose appointments are not otherwise provided
8502 for in this Code, as well as those he may be authorized by law to appoint;
8503
8504 (vi) Represent the city in all its business transactions and sign in its behalf all bonds,
8505 contracts, and obligations, and such other documents upon authority of the
8506 Sangguniang Panlungsod or pursuant to law or ordinance;
8507
8508 (vii) Carry out such emergency measures as may be necessary during and in the
8509 aftermath of man-made and natural disasters and calamities and assist them to
8510 return in normal life by giving psychological counselling or stress debriefing and
8511 livelihood support or programs to start a new life;103
8512
8513 (viii) Determine the time, manner and place of payment of salaries or wages of the
8514 officials and employees of the city, in accordance with law or ordinance;
8515
8516 (ix)Allocate and assign office space to city and other officials and employees who,
8517 by law or ordinance, are entitled to such space in the city hall and other buildings
8518 owned or leased by the city government;
8519
8520 (x) Ensure that all executive officials and employees of the city faithfully discharge
8521 their duties and functions as provided by law and this Code, and cause to be
8522 instituted administrative or judicial proceedings against any official or employee of
8523 the city who may have committed an offense in the performance of his official
8524 duties;
8525
8526 (xi)Examine the books, records and other documents of all offices, officials, agents
8527 or employees of the city and, in aid of his executive powers and authority, require
8528 all national officials and employees stationed in or assigned to the city to make
8529 available to him such books, records, and other documents in their custody, except
8530 those classified by law as confidential;
8531

103
Suggested by participants during consultation because accordingly, after the calamity, the victims left no
more assistant from lgu. They are just depending on the help of NGO.

252
8532 (xii)Furnish copies of executive orders issued by him, to the provincial governor
8533 and copy furnished to the Office of the Chief Minister through Ministry of Interior
8534 and Local Government104 and in the case of component city mayors, to the Office
8535 of the President in the case of highly-urbanized city mayors;
8536
8537 (xiii)Visit component Barangays of the city at least once a month and consider such
8538 visit as an out reach to deliver basic services. He/ She may also make an Ulat sa
8539 Barangay to inform the component Barangay officials and inhabitants of general
8540 laws and ordinances which especially concern them, listen and give appropriate
8541 counsel to local officials and inhabitants, and conduct visits and inspections to
8542 ensure that the governance of the city will improve the quality of life of the
8543 inhabitants;
8544
8545 (xiv)Act on leave applications of officials and employees appointed by him and the
8546 commutation of the monetary value of their leave credits in accordance with law;
8547
8548 (xv)Authorize official trips of city officials and employees outside of the city for a
8549 period not exceeding thirty (30) days;
8550
8551 (xvi)Call upon any national official or employee stationed in or assigned to the city
8552 to advise him on matters affecting the city and to make recommendations thereon;
8553 coordinate with said official or employee in the formulation and implementation of
8554 plans, programs and projects; and, when appropriate, initiate an administrative or
8555 judicial action against a national government official or employee who may have
8556 committed an offense in the performance of his official duties while stationed in or
8557 assigned to the city;
8558
8559 (xvii)Authorize payment for medical care, necessary transportation, subsistence,
8560 hospital or medical fees of city officials and employees who are injured while in
8561 the performance of their official duties and functions, subject to availability of
8562 funds;
8563
8564 (xviii)Solemnize marriage to non-muslims, any provision of law to the contrary
8565 notwithstanding;
8566
8567 (xix)Conduct an annual palarong panlungsod, which shall feature traditional sports
8568 and disciplines included in national and international games, in coordination with
8569 the Ministry of Basic, Higher, and Technical Education; and
8570
8571 (xx)Submit to the provincial governor and the Office of the Chief Minister through
8572 the Ministry of Interior and Local Government105 ; the following reports: an annual
104
It is in accordance with the power of supervision of chief minister over LGU to ensure that the LGU acted
within their authority. It is also an avenue to strengthen the coordination of constituent LGU and regional
government.
105
This is an exercise of power of supervision by the chief minister over constituent LGU to ensure that they
acted within their powers and to monitor their activity as well in their respective jurisdiction. It also increases

253
8573 report containing a summary of all matters pertinent to the management,
8574 administration and development of the city and all information and data relative to
8575 its political, social and economic conditions; and supplemental reports when
8576 unexpected events and situations arise at any time during the year, particularly
8577 when man-made or natural disasters or calamities affect the general welfare of the
8578 city, province, region or country;
8579
8580 (2)Enforce all laws and ordinances relative to the governance of the city and in the
8581 exercise of the appropriate corporate powers provided for under this Code, implement all
8582 approved policies, programs, projects, services and activities of the city and, in addition
8583 to the foregoing, shall:
8584
8585 (i)Ensure that the acts of the city's component Barangays and of its officials and
8586 employees are within the scope of their prescribed powers, duties and functions;
8587
8588 (ii)Call conventions, conferences, seminars, or meetings of any elective and
8589 appointive officials of the city, including provincial officials and national officials
8590 and employees stationed in or assigned to the city, at such time and place and on
8591 such subject as he may deem important for the promotion of the general welfare of
8592 the local government unit and its inhabitants.
8593
8594 All conventions, seminars, conferences or meetings funded by local government
8595 unit concerned must be held within the territorial jurisdiction of the city or within
8596 Bangsamoro Autonomous Region in Muslim Mindanao; except for some justified
8597 reason upon approval of the Ministry of Interior and Local Government106;
8598
8599 (iii)Issue such executive orders for the faithful and appropriate enforcement and
8600 execution of laws and ordinances;
8601
8602 (iv)Whenever necessary, be entitled to carry one short firearm within his territorial
8603 jurisdiction subject to the existing laws and regulation promulgated by competent
8604 authority107;
8605
8606 (v)Act as the deputized representative of the National Police
8607 Commission,formulate the peace and order plan of the city and upon its approval,
8608 implement the same; and as such exercise general and operational control and
8609 supervision over the local police forces in the city, in accordance with R.A. No.
8610 6975;
8611

the coordination of LGU and the regional government.

106
Suggested by participant during consultation to ensure that the money of BARMM should circulate within
the BARMM and to create more employment within the BARMM.
107
We regulate the privilege of local executive to carry firearms so that we can establish a community free
from firearms and create an impression of peaceful and safe community.

254
8612 (vi)Call upon the appropriate law enforcement agencies of Bangsamoro
8613 Government to suppress disorder, riot, lawless violence, rebellion or sedition, or to
8614 apprehend violators of the law when public interest so requires, and the city police
8615 forces are inadequate to cope with the situation or the violators;
8616
8617 (3)Initiate and maximize the generation of resources and revenues, and apply the same
8618 to the implementation of development plans, program objectives and priorities as
8619 provided for under this Code, particularly those resources and revenues programmed
8620 for agro-industrial development and countryside growth and progress and, relative
8621 thereto, shall:
8622 (i)Require each head of an office or department to prepare and submit an estimate
8623 of appropriations for the ensuing calendar year, in accordance with the budget
8624 preparations process under this Code;
8625
8626 (ii)Prepare and submit to the sanggunian for approval the executive and
8627 supplemental budgets of the city for the ensuing calendar year in the manner
8628 provided for under this Code;
8629
8630 (iii)Ensure that all taxes and other revenues of the city are collected, and that city
8631 funds are applied to the payment of expenses and settlement of obligations of the
8632 city, in accordance with law or ordinance;
8633
8634 (iii)Issue licenses and permits and suspend or revoke the same for any violation of
8635 the conditions upon which said licenses or permits had been issued, pursuant to law
8636 or ordinance;
8637
8638 (iv)Issue permits, without need of approval therefor from any national agency, for
8639 the holding of activities for any charitable or welfare purpose, excluding prohibited
8640 games of chance or shows contrary to law, public policy and public morals;
8641
8642 (vi)Require owners of illegally constructed houses, buildings or other structures to
8643 obtain the necessary permit, subject to such fines and penalties as may be imposed
8644 by law or ordinance, or to make necessary changes in the construction of the same
8645 when said construction violates any law or ordinance, or to order the demolition or
8646 removal of said house, building or structure within the period prescribed by law or
8647 ordinance;
8648
8649 (vii)Adopt adequate measures to safeguard and conserve land, mineral, marine,
8650 forest, and other resources of the city; provide efficient and effective property and
8651 supply management in the city; and protect the funds, credits, rights and other
8652 properties of the city; and
8653
8654 (viii)Institute or cause to be instituted administrative or judicial proceedings for
8655 violation of ordinances in the collection of taxes, fees or charges, and for the

255
8656 recovery of funds and property; and cause the city to be defended against all suits
8657 to ensure that its interests, resources and rights shall be adequately protected;
8658
8659 (4) Ensure the delivery of basic services and the provision of adequate facilities as
8660 provided for under section 17 of this Code:
8661
8662 All the services and facilities of the municipality and province, and addition thereto,
8663 the following:
8664
8665 (i)Ensure that the construction and repair of roads and highways funded by the
8666 national government shall be, as far as practicable, carried out in a spatially
8667 contiguous manner and in coordination with the construction and repair of the roads
8668 and bridges of the city, and in the case of component cities, of the city and of the
8669 province; and
8670
8671 (ii)Coordinate the implementation of technical services, including public works and
8672 infrastructure programs, rendered by national offices in the case of highly urbanized
8673 and independent component cities, and by national and provincial offices in the
8674 case of component cities; and
8675
8676 (5)Exercise such other powers and perform such other duties and functions as may be
8677 prescribed by law or ordinance.
8678
8679 (c)During his incumbency, the city mayor shall hold office in the city hall.
8680
8681 (d)The city mayor shall receive a minimum monthly compensation corresponding to Salary
8682 Grade thirty (30) as prescribed under R.A. No. 6758 and the implementing guidelines
8683 issued pursuant thereto.
8684
8685 Article II - The City Vice-Mayor
8686
8687 SECTION 469. Powers, Duties and Compensation. - (a) The city vice-
8688 mayor shall:
8689
8690 (1) Be the presiding officer of the Sangguniang Panlungsod and sign all warrants drawn
8691 on the city treasury for all expenditures appropriated for the operation of the Sangguniang
8692 Panlungsod;
8693
8694 (2) Subject to civil service law, rules and regulations, appoint all officials and employees
8695 of the Sangguniang Panlungsod, except those whose manner of appointment is
8696 specifically provided in this Code;
8697
8698 (3) Assume the office of the city mayor for the unexpired term of the latter in the event
8699 of permanent vacancy as provided for in this Code;
8700

256
8701 (4) Exercise the powers and perform the duties and functions of the city mayor in cases
8702 of temporary vacancy as provided for in this Code; and
8703
8704 (5) Exercise such other powers and perform such other duties and functions as may be
8705 prescribed by law or ordinance.
8706
8707 (b) The city vice-mayor shall receive a monthly compensation corresponding to Salary
8708 Grade twenty eight (28) for a highly urbanized city and Salary Grade twenty six (26) for a
8709 component city, as prescribed under R.A. No. 6758 and the implementing guidelines issued
8710 pursuant thereto.
8711
8712 Article III - The Sangguniang Panlungsod
8713
8714 SECTION 470. Composition. - (a) The Sangguniang Panlungsod, the legislative
8715 body of the city, shall be composed of the city vice-mayor as presiding officer, the regular
8716 sanggunian members, the president of the city chapter of the liga ng mga Barangay, the
8717 president of the panlungsod na pederasyon ng mga Sangguniang Kabataan, and the sectoral
8718 representatives, as members.
8719
8720 (b) In addition thereto, there shall be three (3) sectoral representatives: one (1) from the
8721 women; and, as shall be determined by the sanggunian concerned within ninety (90) days
8722 prior to the holding of the local elections, one (1) from the agricultural or industrial
8723 workers; and one (1) from indigenous cultural communities108.
8724
8725 (c) The regular members of the Sangguniang Panlungsod and the sectoral representatives
8726 shall be elected in the manner as may be provided for by law.
8727
8728 SECTION 471. Powers, Duties, Functions and Compensation. - (a) The
8729 Sangguniang Panlungsod, as the legislative body of the city, shall enact ordinances,
8730 approve resolutions and appropriate funds for the general welfare of the city and its
8731 inhabitants pursuant to section 16 of this Code and in the proper exercise of the corporate
8732 powers of the city as provided for under section 22 of this Code, and shall:
8733
8734 (1) Approve ordinances and pass resolutions necessary for an efficient and effective city
8735 government, and in this connection, shall:
8736
8737 (i) Review all ordinances approved by the Sangguniang Barangay and executive
8738 orders issued by the Punong Barangay to determine whether these are within the
8739 scope of the prescribed powers of the sanggunian and of the Punong Barangay;
8740
8741 (ii) Maintain peace and order by enacting ordinances to prevent and suppress
8742 lawlessness, disorder, riot, terrorism, violent extremism, rebellion or sedition and
8743 impose penalties for the violation of said ordinances;

108
R.A 8371 ( IPRA LAW) Ensure that the ICCs/IPs shall be given mandatory representation in policy-
making bodies and other local legislative councils

257
8744
8745 (iii) Approve ordinances imposing a fine not exceeding Five thousand pesos
8746 (P5,000.00) or an imprisonment for a period not exceeding one (1) year, or both in
8747 the discretion of the court, for the violation of a city ordinance;
8748
8749 (iv) Adopt measures to protect the inhabitants of the city from the harmful effects
8750 of man-made or natural disasters and calamities, and to provide relief services and
8751 assistance for victims during and in the aftermath of said disasters or calamities and
8752 their return to productive livelihood following said events;
8753
8754 (v) Enact ordinances that intended to prevent or prohibit , suppress and impose
8755 appropriate penalties for habitual drunkenness in public places, vagrancy,
8756 mendicancy, prostitution, establishment and maintenance of houses of ill repute,
8757 gambling and other prohibited games of chance, fraudulent devices and ways to
8758 obtain money or property, drug addiction, maintenance of drug dens, drug pushing,
8759 juvenile delinquency, the printing, distribution or exhibition of obscene or
8760 pornographic materials or publications, and such other activities inimical to the
8761 welfare and morals of the inhabitants of the city;
8762
8763 (vi) Enact ordinances that protect and rehabilitate the environment and impose
8764 appropriate penalties for acts which endanger the environment, such as dynamite
8765 fishing and other forms of destructive fishing, illegal logging and smuggling of
8766 logs, smuggling of natural resources products and of endangered species of flora
8767 and fauna, slash and burn farming, and such other activities which result in
8768 pollution, acceleration of eutrophication of rivers and lakes, or of ecological
8769 imbalance;
8770
8771 (vii) Subject to the provisions of this Code and pertinent laws, determine the powers
8772 and duties of officials and employees of the city;
8773
8774 (viii) Determine the positions and the salaries, wages, allowances and other
8775 emoluments and benefits of officials and employees paid wholly or mainly from
8776 city funds and provide for expenditures necessary for the proper conduct of
8777 programs, projects, services, and activities of the city government;
8778
8779 (ix) Authorize the payment of compensation to a qualified person not in the
8780 government service who fills up a temporary vacancy or grant honorarium to any
8781 qualified official or employee designated to fill a temporary vacancy in a concurrent
8782 capacity, at the rate authorized by law;
8783
8784 (x) Provide a mechanism and the appropriate funds therefor, to ensure the safety
8785 and protection of all city government property, public documents, or records such
8786 as those relating to property inventory, land ownership, records of births, marriages,
8787 deaths, assessments, taxation, accounts, business permits, and such other records

258
8788 and documents of public interest in the offices and departments of the city
8789 government;
8790
8791 (xi) When the finances of the city government allow, provide for additional
8792 allowances and other benefits to judges, prosecutors, public elementary and high
8793 school teachers, and other national government officials stationed in or assigned to
8794 the city;
8795
8796 (xii) Provide legal assistance to Barangay officials, tanod and lupon who, in the
8797 performance of their official duties or on the occasion thereof, must initiate judicial
8798 proceedings or defend themselves against legal action; and
8799 (xiii) Provide for group insurance or additional insurance coverage for all Barangay
8800 officials, including members of Barangay tanod brigades and other service units,
8801 with public or private insurance companies, when the finances of the city
8802 government allow said coverage;
8803
8804 (2) Generate and maximize the use of resources and revenues for the development plans,
8805 program objectives and priorities of the city as provided for under section 18 of this Code,
8806 with particular attention to agro-industrial development and city-wide growth and
8807 progress, and relative thereto, shall:
8808
8809 (i)Approve the annual and supplemental budgets of the city government and
8810 appropriate funds for specific programs, projects, services and activities of the city,
8811 or for other purposes not contrary to law, in order to promote the general welfare
8812 of the city and its inhabitants;
8813
8814 (ii)Subject to the provisions of Book II of this Code and applicable laws and upon
8815 the majority vote of all the members of the Sangguniang Panlungsod, enact
8816 ordinances levying taxes, fees and charges, prescribing the rates thereof for general
8817 and specific purposes, and granting tax exemptions, incentives or reliefs;
8818
8819 (iii)Subject to the provisions of Book II of this Code and upon the majority vote of
8820 all the members of the Sangguniang Panlungsod, authorize the city mayor to
8821 negotiate and contract loans and other forms of indebtedness;
8822
8823 (iv)Subject to the provisions of Book II of this Code and applicable laws and upon
8824 the majority vote of all the members of the Sangguniang Panlungsod, enact
8825 ordinances authorizing the floating of bonds or other instruments of indebtedness,
8826 for the purpose of raising funds to finance development projects;
8827
8828 (v) Enact an ordinance that appropriate funds for the construction and maintenance
8829 or the rental of buildings for the use of the city; and, upon the majority vote of all
8830 the members of the Sangguniang Panlungsod, authorize the city mayor to lease to
8831 private parties such public buildings held in a proprietary capacity, subject to
8832 existing laws, rules and regulations;

259
8833
8834 (vi)Prescribe reasonable limits and restraints on the use of property within the
8835 jurisdiction and enact an ordinance that would regulate and/or restraints the use of
8836 property within the jurisdiction of the municipality;
8837
8838 (vii)Adopt a comprehensive land use plan for the city: Provided, that in the case of
8839 component cities, the formulation, adoption or modification of said plan shall be in
8840 coordination with the approved provincial and regional comprehensive land use
8841 plan;
8842
8843 (viii)Reclassify land within the jurisdiction of the city, subject to the pertinent
8844 provisions of this Code;
8845
8846 (ix)Enact integrated zoning ordinances in consonance with the approved
8847 comprehensive land use plan, subject to existing laws, rules and regulations;
8848 establish fire limits or zones, particularly in populous centers; and regulate the
8849 construction, repair or modification of buildings within said fire limits or zones in
8850 accordance with the provisions of the Fire Code;
8851
8852 (x) Subject to regional law and national law, process and approve subdivision plans
8853 for residential, commercial, or industrial purposes and other development purposes,
8854 and to collect processing fees and other charges, the proceeds of which shall accrue
8855 entirely to the city: Provided, however, That where approval of a national agency
8856 or office is required, said approval shall not be withheld for more than thirty (30)
8857 days from receipt of the application. Failure to act on the application within the
8858 period stated above shall be deemed as approval thereof;
8859
8860 (xi)Subject to the provisions of Book II of this Code, grant the exclusive privilege
8861 of constructing fish corrals or fish pens, or the taking or catching of bangus fry,
8862 prawn fry or kawag-kawag, or fry of any species or fish within the city waters;
8863
8864 (xii)With the concurrence of at least two-thirds (2/3) of all the members of the
8865 Sangguniang Panlungsod, grant tax exemptions, incentives or reliefs to entities
8866 engaged in community growth-inducing industries, subject to the provisions of this
8867 Code;
8868
8869 (xiii)Grant loans or provide grants to other local government units or to national,
8870 provincial, and city charitable, benevolent or educational institutions: Provided,
8871 That, said institutions are operated and maintained within the city;
8872
8873 (xiv)Enact an ordinance that will regulate the numbering of residential, commercial
8874 and other buildings; and
8875
8876 (xv)Regulate the inspection, weighing and measuring of articles of commerce.
8877

260
8878 (3) Subject to the provisions of Book II of this Code, enact ordinances granting franchises
8879 and authorizing the issuance of permits or licenses, upon such conditions and for such
8880 purposes intended to promote the general welfare of the inhabitants of the city and
8881 pursuant to this legislative authority shall:
8882
8883 (i) Enact an ordinance that will fix and impose reasonable fees and charges for all
8884 services rendered by the city government to private persons or entities;
8885
8886 (ii)Enact an ordinance that will regulate or fix license fees for any business or
8887 practice of profession within the city and the conditions under which the license for
8888 said business or practice of profession may be revoked and enact ordinances
8889 levying taxes thereon;
8890
8891 (iii)Provide for and set the terms and conditions under which public utilities owned
8892 by the city shall be operated by the city government, and prescribe the conditions
8893 under which the same may be leased to private persons or entities, preferably
8894 cooperatives;
8895
8896 (iv) Enact an ordinance that will regulate and / or prohibit the display of and fix the
8897 license fees for signs, signboards, or billboards at the place or places where the
8898 profession or business advertised thereby is, in whole or in part, conducted;
8899
8900 (v)Any law to the contrary notwithstanding, authorize and/ or regulate the issuance
8901 of license to the establishment, operation, and maintenance of cockpits, and
8902 regulate cockfighting and commercial breeding of gamecocks: Provided, that
8903 existing rights should not be prejudiced;
8904
8905 (v)Subject to the guidelines prescribed by the Department of Transportation and
8906 Communications, regulate the operation of tricycles and grant franchises for the
8907 operation thereof within the territorial jurisdiction of the city;
8908
8909 (vii)Upon approval by a majority vote of all the members of the Sangguniang
8910 Panlungsod: grant a franchise to any person, partnership, corporation, or
8911 cooperative to do business within the city; establish, construct, operate and maintain
8912 ferries, wharves, markets or slaughterhouses; or undertake such other activities
8913 within the city as may be allowed by existing laws: Provided, That, cooperatives
8914 shall be given preference in the grant of such a franchise.
8915
8916 (4) Enact ordinances that will regulate activities relative to the use of land, buildings and
8917 structures within the city in order to promote the general welfare and for said purpose
8918 shall:
8919
8920 (i)Declare, prevent or abate any nuisance;
8921

261
8922 (ii)Enact ordinances that will require that buildings and the premises thereof and
8923 any land within the city be kept and maintained in a sanitary condition; impose
8924 penalties for any violation thereof; or, upon failure to comply with said
8925 requirement, have the work done at the expense of the owner, administrator or
8926 tenant concerned; or require the filling up of any land or premises to a grade
8927 necessary for proper sanitation;
8928
8929 (iii)Regulate the disposal of clinical and other wastes from hospitals, clinics and
8930 other similar establishments;
8931
8932 (iv) Enact ordinances that will prohibit and/ or regulate the establishment,
8933 operation and cafes, restaurants, beerhouses, hotels, motels, inns, pension houses,
8934 lodging houses, and other similar establishments, including tourist guides and
8935 transports;
8936
8937 (iv) Enact ordinances that prohibits and/ or regulate the sale, giving away or
8938 dispensing of any intoxicating malt, vino, mixed or fermented liquors at any retail
8939 outlet;
8940
8941 (vi) Regulate the establishment and provide for the inspection of steam boilers or
8942 any heating device in buildings and the storage of inflammable and highly
8943 combustible materials within the city;
8944
8945 (vi) Enact ordinances that prohibit or regulate the establishment, operation, and
8946 maintenance of any entertainment or amusement facilities, including theatrical
8947 performances, circuses, billiard pools, public dancing schools, public dance halls,
8948 sauna baths, massage parlors, and other places for entertainment or amusement;
8949 regulate such other events or activities for amusement or entertainment,
8950 particularly those which tend to disturb the community or annoy the inhabitants,
8951 or require the suspension or suppression of the same; or, prohibit certain forms of
8952 amusement or entertainment in order to protect the social and moral welfare of the
8953 community;
8954
8955 (viii)Provide for the place of impounding of stray animals; regulate the keeping of
8956 animals in homes or as part of a business, and the slaughter, sale or disposition of
8957 the same; and adopt measures to prevent and penalize cruelty to animals; and
8958
8959 (ix)Regulate the establishment, operation and maintenance of funeral parlors and
8960 the burial or cremation of the dead, subject to existing laws, rules and regulations.
8961
8962 (5) Enact and approve ordinances which shall ensure the efficient and effective delivery
8963 of the basic services and facilities as provided for under Section 17 of this Code, and in
8964 addition to said services and facilities, shall:
8965

262
8966 (i)Provide for the establishment, maintenance, protection, rehabilitation and
8967 conservation of communal forests, and watersheds, tree parks, greenbelts,
8968 mangroves, and other similar forest development projects;
8969
8970 (ii)Establish and regulate markets, slaughterhouses or animal corrals and authorize
8971 the operation thereof by the city government; and regulate the construction and
8972 operation of private markets, talipapas or other similar buildings and structures;
8973
8974 (iii)Authorize the establishment, maintenance and operation by the city government
8975 of ferries, wharves, and other structures intended to accelerate productivity related
8976 to marine and seashore or offshore activities;
8977 (iv)Regulate the preparation and sale of meat, poultry, fish, vegetables, fruits, fresh
8978 dairy products, and other foodstuffs for public consumption;
8979
8980 (iv)Regulate the use of streets, avenues, alleys, sidewalks, bridges, parks and other
8981 public places and approve the construction, improvement, repair and maintenance
8982 of the same; establish bus and vehicle stops and terminals or regulate the use of the
8983 same by privately-owned vehicles which serve the public; regulate garages and the
8984 operation of conveyances for hire; designate stands to be occupied by public
8985 vehicles when not in use; regulate the putting up of signs, signposts, awnings and
8986 awning posts on the streets; and provide for the lighting, cleaning and sprinkling of
8987 streets and public places;
8988
8989 (v)Regulate traffic on all streets and bridges; prohibit encroachments or obstacles
8990 thereon and, when necessary in the interest of public welfare, authorize the removal
8991 of encroachments and illegal constructions in public places;
8992
8993 (vii)Subject to existing laws, establish and provide for the maintenance, repair and
8994 operation of an efficient waterworks system to supply water for the inhabitants and
8995 to purify the source of the water supply; regulate the construction, maintenance,
8996 repair and use of hydrants, pumps, cisterns and reservoirs; protect the purity and
8997 quantity of the water supply of the city and, for this purpose, extend the coverage
8998 of appropriate ordinances over all territory within the drainage area of said water
8999 supply and within one hundred (100) meters of the reservoir, conduit, canal,
9000 aqueduct, pumping station, or watershed used in connection with the water service;
9001 and regulate the consumption, use or wastage of water and fix and collect charges
9002 therefor;
9003
9004 (viii)Regulate the drilling and excavation of the ground for the laying of water, gas,
9005 sewer, and other pipes and the construction, repair and maintenance of public
9006 drains, sewers, cesspools, tunnels and similar structures; regulate the placing of
9007 poles and the use of crosswalks, curbs, and gutters; adopt measures to ensure public
9008 safety against open canals, manholes, live wires and other similar hazards to life
9009 and property; and regulate the construction and use of private water closets, privies
9010 and other similar structures in buildings and homes;

263
9011
9012 (ix)Regulate the placing, stringing, attaching, installing, repair and construction of
9013 all gas mains, electric, telegraph and telephone wires, conduits, meters and other
9014 apparatus; and provide for the correction, condemnation or removal of the same
9015 when found to be dangerous, defective, or otherwise hazardous to the welfare of
9016 the inhabitants;
9017
9018 (x)Subject to the availability of funds and to existing laws, rules and regulations,
9019 establish and provide for the operation of vocational and technical schools and
9020 similar post-Secondary institutions and, with the approval of the Ministry of Basic,
9021 Higher, and Technical Education and subject to existing law on tuition fees, fix and
9022 collect reasonable tuition fees and other school charges in educational institutions
9023 supported by the city government;
9024
9025 (xi)Establish a scholarship fund for the poor but deserving students in schools
9026 located within its jurisdiction or for students residing within the city;
9027
9028 (xii)Approve measures and adopt quarantine regulations to prevent the introduction
9029 and spread of diseases;
9030
9031 (xiii)Provide for an efficient and effective system of solid waste and garbage
9032 collection and disposal; prohibit littering and the placing or throwing of garbage,
9033 refuse and other filth and wastes;
9034
9035 (xiv)Provide for the care and support to disabled persons, paupers, the aged, the
9036 sick, persons of unsound mind, abandoned minors, juvenile delinquents, drug
9037 dependents, abused children and other needy and disadvantaged persons,
9038 particularly children and youth below eighteen (18) years of age; and, subject to
9039 availability of funds, establish and provide for the operation of centers and facilities
9040 for said needy and disadvantaged persons;
9041
9042 (xv)Establish and provide for the maintenance and improvement of jails and
9043 detention centers, institute a sound jail management, and appropriate funds for the
9044 subsistence of detainees and convicted prisoners in the city;
9045
9046 (xvi)Establish a City council whose purpose is the promotion of culture and the
9047 arts, coordinate with government agencies and non-governmental organizations
9048 and, subject to the availability of funds, appropriate funds for the support and
9049 development of the same; and
9050
9051 (xvii)Establish a City council for the elderly which shall formulate policies and
9052 adopt measures mutually beneficial to the elderly and to the community; provide
9053 incentives for non-governmental agencies and entities and, subject to the
9054 availability of funds, appropriate funds to support programs and projects for the
9055 benefit of the elderly; and

264
9056
9057 (6) Exercise such other powers and perform such other duties and functions as may be
9058 prescribed by law or ordinance.
9059
9060 (b)The members of the Sangguniang Panlungsod of component cities shall receive a
9061 minimum monthly compensation corresponding to Salary Grade twenty-five (25) and
9062 members of the Sangguniang Panlungsod of highly-urbanized cities shall receive a
9063 minimum monthly compensation corresponding to Salary Grade twenty-seven (27), as
9064 prescribed under R.A. 6758 and the implementing guidelines issued pursuant thereto.
9065
9066
9067 TITLE IV
9068 PARLIAMENTARY DISTRICT
9069
9070 SECTION 472. Redistricting for Parliamentary Membership. - The parliament
9071 may undertake by law the new redistricting in order to ensure a more equitable
9072 representation of the constituent in the parliament109.
9073
9074 SECTION 473. Manner of Creation. - The parliament shall have power to
9075 reconstitute by law the parliamentary district apportioned among provinces, cities,
9076 municipalities, and geographical areas of Bangsamoro autonomous region to ensure
9077 equitable representation in the parliament.
9078
9079 SECTION 474. Requisites for the Creation. - The redistricting of province, cities
9080 and municipalities may be made on the following conditions:
9081
9082 (a) that each district shall be comprised, as far as practicable, of contiguous, compact,
9083 and adjacent territories; and
9084
9085 (b) that each district shall have a population of at least One Hundred Thousand
9086 (100,000)110.
9087
9088 TITLE V
9089 LEGISLATIVE DISTRICT
9090
9091 SECTION 475. Creation of Legislative District. - Nothing in this Code shall be
9092 construed to allow the Bangsamoro government to create a legislative district.111
9093
9094 SECTION 476. Procedure in Creating Legislative District. - When an act
9095 requires the creation of legislative district, the Bangsamoro government shall cooperate

109
art. 7. Sec. 10 of BOL empower the parliament to create parliamentary district.
110
art. 7. Sec. 10. Par. 2. Of BOL provides for the requisites for creation of parliamentary district.
111
art. 6. Sec.10. par. 4. Of BOL provides that only congress can create legislative district.

265
9096 and coordinate with the national government through the Philippine Congress-Bangsamoro
9097 Parliament forum to prioritize the deliberation on the creation of a legislative district112.
9098
9099 TITLE VI
9100
9101 THE PROVINCE
9102
9103 CHAPTER I
9104 Role and Creation of the Province
9105
9106 SECTION 477. Role of the Province. - The province, composed of a cluster of
9107 municipalities, or municipalities and component cities, and as a political and corporate unit
9108 of government, serves as a dynamic mechanism for developmental processes and effective
9109 governance of local government units within its territorial jurisdiction.
9110
9111 SECTION 478. Manner of Creation. - A province may be created, divided,
9112 merged, abolished, or its boundary substantially altered, only by an Act of Congress and
9113 subject to approval by a majority of the votes cast in a plebiscite to be conducted by the
9114 Comelec in the local government unit or units directly affected. The plebiscite shall be held
9115 within one hundred twenty (120) days from the date of effectivity of said Act, unless
9116 otherwise provided therein.
9117
9118 SECTION 479. Requisites for Creation. - (a) A province may be created if it has
9119 a locally generated annual income for the last two consecutive years, as certified by the
9120 Department of Finance, of not less than P200 million and either of the following
9121 requisites113:
9122
9123 (1) a contiguous territory of at least two thousand (2,000) square kilometers, as
9124 certified by the Land Management Bureau; or
9125
9126 (2) a population of not less than two hundred fifty thousand (250,000) inhabitants
9127 as certified by the Philippine Statistics Authority;
9128
9129 Provided, that the creation thereof shall not reduce the land area, population and
9130 income of the original unit or units at the time of said creation to less than the minimum
9131 requirements prescribed herein.
9132
9133 (b) The territory need not be contiguous if it comprises two (2) or more islands or
9134 is separated by a chartered city or cities which do not contribute to the income of the
9135 province.
9136

112
Art. 6. Sec. 10. Par.3 of BOL which provide manner for creation of legislative district.
113
House Bill 6177 which seeks to rationalize the creation of municipalities, highly urbanized cities, and
provinces.

266
9137 (c) The average annual income shall include the income accruing to the general
9138 fund, exclusive of special funds, trust funds, transfers, and non-recurring income.
9139
9140 CHAPTER II
9141 Provincial Officials in General
9142
9143 SECTION 480. Officials of the Provincial Government. – (a) There shall be in
9144 each province a governor, a vice-governor, members of the Sangguniang Panlalawigan, a
9145 Secretary to the Sangguniang Panlalawigan, a provincial treasurer, a provincial assessor, a
9146 provincial accountant, a provincial engineer, a provincial budget officer, a provincial
9147 planning and development coordinator, a provincial legal officer, a provincial
9148 administrator, a provincial health officer, a provincial social welfare and development
9149 officer, a provincial general services officer, a provincial agriculturist, and a provincial
9150 veterinarian.
9151
9152 The Provincial government must also appoint the following officer and provide
9153 office space, administrative support and allocate funding thereof, to wit: Provincial Local
9154 Disaster Risk and Reduction Management Officer; Provincial Local Economic Investment
9155 Promotion officer; Provincial Tourism Office; Environmental officer; Provincial
9156 Information and Communication Technology Officer; Provincial Community-Based
9157 Training for Enterprise Development.
9158
9159 The minimum qualification of the applicant for the above position are the following
9160 to wit:
9161 a. Must be a college a graduate of any relevant course;
9162 b. Must have at least 60 hours of training relevant to the position he/she
9163 wish to apply;
9164 c. Holder of second level eligibility or its equivalent;
9165 d. Must be a resident of the Province where he/she may be assigned.
9166
9167 The officer/s appointed to the above position must enjoy all rights, protection and privileges
9168 enjoyed by a regular employee of the said Province.
9169 (b) In addition, thereto, the governor may appoint a provincial population officer, a
9170 provincial natural resources and environment officer, a provincial cooperative officer, a
9171 provincial architect, and a provincial information officer.
9172
9173 The appointment of a provincial population officer shall be optional in the province:
9174 Provided, however, That provinces which have existing population offices shall continue
9175 to maintain such offices for a period of five (5) years from the date of the effectivity of this
9176 Code, after which said offices shall become optional.
9177
9178 (c) In the appointment of provincial employees especially on career positions, preference
9179 shall be given to qualified residents of the province.
9180
9181 (d) The Sangguniang Panlalawigan may:
9182

267
9183 (1) Maintain existing offices not mentioned in subsections (a) and (b) hereof;
9184
9185 (2) Create such other offices as may be necessary to carry out the purposes of the
9186 provincial government; or
9187
9188 (3) Consolidate the functions of any office with those of another in the interest of
9189 efficiency and economy;
9190
9191 (e) Unless otherwise provided herein, heads of departments and offices shall be appointed
9192 by the governor with the concurrence of the majority of all the Sangguniang Panlalawigan
9193 members, subject to civil service law, rules and regulations. The Sangguniang
9194 Panlalawigan shall act on the appointment within fifteen (15) days from the date of its
9195 submission; otherwise the same shall be deemed confirmed;
9196
9197 (f) Elective and appointive provincial officials shall receive such compensation,
9198 allowances, and other emoluments as may be determined by law or ordinance, subject to
9199 the budgetary limitations on personal services prescribed under Title Five, Book II of this
9200 Code: Provided, That, no increase in compensation shall take effect until after the
9201 expiration of the full term of all the elective officials approving such increase.
9202
9203 SECTION 481. Residence and Office. - During the incumbency of the governor,
9204 he shall have his official residence in the capital of the province. All elective and appointive
9205 provincial officials shall hold office in the provincial capital: Provided, That, upon
9206 resolution of the Sangguniang Panlalawigan, elective and appointive provincial officials
9207 may hold office in any component city or municipality within the province for a period of
9208 not more than seven (7) days for any given month.
9209
9210 CHAPTER III
9211
9212 Officials and Offices Common to All Provinces
9213 Article I - The Provincial Governor
9214
9215 SECTION 482. The Chief Executive: Powers, Duties, Functions and
9216 Compensation. - (a) The provincial governor, as the chief executive of the provincial
9217 government, shall exercise such powers and perform such duties and functions as provided
9218 by this Code and other laws.
9219
9220 (b) For efficient, effective and economical governance the purpose of which is the general
9221 welfare of the province and its inhabitants pursuant to Section 16 of this Code, the
9222 provincial governor shall:
9223
9224 (1) Exercise general supervision and control over all programs, projects, services, and
9225 activities of the provincial government, and in this connection, shall:
9226

268
9227 (i) Formulate the guidelines of provincial policies and be responsible to the
9228 Sangguniang Panlalawigan for the program of government;
9229
9230 (ii) Propose the formulation of the provincial development plan, with the assistance
9231 of the provincial development council, and upon approval thereof by the
9232 Sangguniang Panlalawigan, implement the same;
9233
9234 (iii) Present the program of government and propose policies and projects for the
9235 consideration of the Sangguniang Panlalawigan at the opening of the regular
9236 session of the Sangguniang Panlalawigan every calendar year and as often as may
9237 be deemed necessary as the general welfare of the inhabitants and the needs of the
9238 provincial government may require;
9239
9240 (iv) Initiate and propose legislative measures to the Sangguniang Panlalawigan and
9241 as often as may be deemed necessary, provide such information and data needed or
9242 requested by said sanggunian in the performance of its legislative functions;
9243
9244 (v) Appoint all officials and employees whose salaries and wages are wholly or
9245 mainly paid out of provincial funds and whose appointments are not otherwise
9246 provided for in this Code, as well as those he may be authorized by law to appoint;
9247 (vi) Represent the province in all its business transactions and sign in its behalf all
9248 bonds, contracts, and obligations, and such other documents upon authority of the
9249 Sangguniang Panlalawigan or pursuant to law or ordinance;
9250
9251 (vii) Carry out such emergency measures as may be necessary during and in the
9252 aftermath of man-made and natural disasters and calamities as well as assist those
9253 affected in returning to normal life by giving them livelihood, and social and
9254 psychological support or programs;
9255
9256 (viii) Determine the time, manner and place of payment of salaries or wages of the
9257 officials and employees of the province, in accordance with law or ordinance;
9258
9259 (ix) Allocate and assign office space to provincial and other officials and employees
9260 who, by law or ordinance, are entitled to such space in the provincial capitol and
9261 other buildings owned or leased by the provincial government;
9262
9263 (x) Ensure that all executive officials and employees of the province faithfully
9264 discharge their duties and functions as provided by law and this Code, and cause to
9265 be instituted administrative or judicial proceedings against any official or employee
9266 of the province who may have committed an offense in the performance of his
9267 official duties;
9268
9269 (xi) Examine the books, records and other documents of all offices, officials, agents
9270 or employees of the province and, in aid of his executive powers and authority,
9271 require all national officials and employees stationed in the province to make

269
9272 available to him such books, records, and other documents in their custody, except
9273 those classified by law as confidential;
9274
9275 (xii) Furnish copies of executive orders issued by him/her to the Office of the Chief
9276 Minister through the Ministry of Interior and Local Government within seventy-
9277 two (72) hours after issuance;
9278
9279 (xiii) Must visit component cities and municipalities of the province at once a
9280 month and consider such visit an outreach program for Delivering Basic Services
9281 to Municipalities and to deepen his/her understanding on problems or conditions
9282 therein. He/She may also conduct ulat sa Bayan for each municipality or cluster of
9283 municipalities to inform the municipal officials and inhabitants of general laws
9284 and ordinances which especially concern them, listen and give appropriate counsel
9285 to local officials or inhabitants , featuring achievement of the Municipalities
9286 concern and the provincial government, financial reporting, recognition of local
9287 innovations, good practices and present the proposed comprehensive land used
9288 plan.
9289
9290 (xiv) Act on leave applications of officials and employees appointed by him and
9291 the commutation of the monetary value of leave credits in accordance with law;
9292
9293 (xv) Authorize official trips of provincial officials and employees outside of the
9294 province for a period not exceeding thirty (30) days;
9295
9296 (xvi) Call upon any national official or employee stationed in or assigned to the
9297 province to advise him on matters affecting the province and to make
9298 recommendations thereon; coordinate with said official or employee in the
9299 formulation and implementation of plans, programs and projects; and when
9300 appropriate, initiate an administrative or judicial action against a national
9301 government official or employee who may have committed an offense in the
9302 performance of his official duties while stationed in or assigned to the province;
9303
9304 (xvii) Authorize payment for medical care, necessary transportation, subsistence,
9305 hospital or medical fees of provincial officials and employees who are injuredwhile
9306 in the performance of their official duties and functions, subject to availability of
9307 funds;
9308
9309 (xviii) Represent the province in inter-provincial or regional sports councils or
9310 committees, and coordinate the efforts of component cities or municipalities in the
9311 regional or national palaro or sports development activities;
9312
9313 (xix) Conduct an annual palarong panlalawigan, which shall feature traditional
9314 sports and disciplines included in national and international games, in coordination
9315 with the Ministry of Basic, Higher, and Technical Education; and
9316

270
9317 (xx) Submit to the Office of the Chief Minister through the Ministry of Interior and
9318 Local Government the following reports: an annual report containing a summary
9319 of all matters pertinent to the management, administration and development of the
9320 province and all information and data relative to its political, social and economic
9321 conditions; and supplemental reports when unexpected events and situations arise
9322 at any time during the year, particularly when man-made or natural disasters or
9323 calamities affect the general welfare of the province, region or country;
9324
9325 (2) Enforce all laws and ordinances relative to the governance of the province and the
9326 exercise of the appropriate corporate powers provided under this Code, implement all
9327 approved policies, programs, projects, services and activities of the province and, in
9328 addition to the foregoing, shall:
9329
9330 (i) Ensure that the acts of the component cities and municipalities of the province
9331 and of its officials and employees are within the scope of their prescribed powers,
9332 duties and functions;
9333
9334 (ii) Call conventions, conferences, seminars, or meetings of any elective and
9335 appointive officials of the province and its component cities and municipalities,
9336 including national officials and employees stationed in or assigned to the province,
9337 at such time and place and on such subject as he may deem important for the
9338 promotion of the general welfare of the province and its inhabitants;
9339
9340 All conventions, seminars, conferences or meetings funded by local
9341 government unit concerned must be held in the establishments within the territorial
9342 jurisdiction of the municipality or, if not available, in any nearest establishments
9343 within the Bangsamoro Autonomous Region in Muslim Mindanao or, for justifiable
9344 reason, outside of BARMM upon approval of the Ministry of Interior and Local
9345 Government;
9346
9347 (iii) Issue such executive orders for the faithful and appropriate enforcement and
9348 execution of laws and ordinances;
9349
9350 (iv) Whenever necessary, be entitled to carry one short firearm within his/her
9351 territorial jurisdiction, subject to the existing laws and regulations;
9352
9353 (v) In coordination with the mayors of component cities and municipalities and the
9354 National Police Commission, formulate the peace and order plan of the province
9355 and upon its approval, implement the same in accordance with R.A. No. 6975;
9356
9357 (vi) Call upon the appropriate national law enforcement agencies to suppress
9358 disorder, riot, lawless violence, rebellion or sedition or to apprehend violators of
9359 the law when public interest so requires and the police forces of the component city
9360 or municipality where the disorder or violation is happening are inadequate to cope
9361 with the situation or the violators; and

271
9362
9363 (vii) Establish a Local Council for the Protection of Children;
9364
9365 (viii) Establish the Provincial Youth Development Council which shall assist the
9366 planning and execution of projects and programs of the Sangguniang Kabataan, and
9367 the Pederasyons in all levels.
9368
9369 (3) Initiate and maximize the generation of resources and revenues, and apply the same
9370 to the implementation of development plans, program objectives and priorities as
9371 provided for under this Code, particularly those resources and revenues programmed
9372 for agro-industrial development and country-wide growth and progress and, relative
9373 thereto, shall:
9374
9375 (i)Require each head of an office or department to prepare and submit an estimate
9376 of appropriations for the ensuing calendar year, in accordance with the budget
9377 preparation process under this Code;
9378
9379 (ii)Prepare and submit to the sanggunian for approval the executive and
9380 supplemental budgets of the province for the ensuing calendar year in the manner
9381 provided for under this Code;
9382
9383 (iii)Ensure that all taxes and other revenues of the province are collected, and that
9384 provincial funds are applied to the payment of expenses and settlement of
9385 obligations of the province, in accordance with law or ordinance;
9386
9387 (iv)Issue licenses and permits and suspend or revoke the same for any violation of
9388 the conditions upon which said licenses or permits had been issued, pursuant to law
9389 or ordinance;
9390
9391 (v)Adopt adequate measures to safeguard and conserve land, mineral, marine,
9392 forest and other resources of the province, in coordination with the mayors of
9393 component cities and municipalities;
9394
9395 (vi)Provide efficient and effective property and supply management in the
9396 province; and protect the funds, credits, rights, and other properties of the province;
9397 and;
9398
9399 (vii)Institute or cause to be instituted administrative or judicial proceedings for
9400 violation of ordinances in the collection of taxes, fees or charges, and for the
9401 recovery of funds and property; and cause the province to be defended against all
9402 suits to ensure that its interests, resources and rights shall be adequately protected.
9403
9404 (4) The province must ensure the delivery of basic services provided under section 17 of
9405 this Code such as:
9406

272
9407 (i) AGRICULTURAL SERVICES: which include:114the prevention and control
9408 of the plant and animal pests and disease; dairy farms, livestock markets, animal
9409 breeding stations, and artificial insemination centers; and assistance in the
9410 organization of framer’s and fishermen’s cooperatives and other collective
9411 organizations, as well as the transfer of appropriate technology; Industrial research
9412 and development services, as well as the transfer of appropriate technology;
9413
9414 (ii) ENVIRONMENTAL SERVICES: Pursuant to national policies and subject
9415 to supervision, control and review of the Ministry of Environment, Natural
9416 Resources and Energy , enforcement of forestry laws limited to community-based
9417 forestry projects, pollution control law, small-scale mining law, and other laws on
9418 the protection of the environment; and mini-hydroelectric projects for local
9419 purposes;
9420
9421 (iii) HEALTH SERVICES: which include: Construction and maintenance of
9422 district hospitals, provincials’ hospitals and other tertiary health services;
9423
9424 (iv) SOCIAL SERVICES: which include, programs and projects on rebel
9425 returnees and evacuees; relief operations; and, population development services;
9426 (v) PUBLIC WORKS/OR CONSTRUCTION OF THE FOLLOWING, to wit:
9427 Provincial buildings, provincial jails, freedom parks and other public assembly
9428 areas and other similar facilities;
9429
9430 (vii) Infrastructure Facilities intended to service the needs of the resident of the
9431 province and which are funded out of provincial funds including , but not
9432 limited to, provincial roads and bridges ; inter-municipal waterworks drainage
9433 and sewerage , flood control , and irrigation systems; reclamation projects; and
9434 similar facilities;
9435
9436 (viii) Programs and Project for low-cost housing and other mass dwellings ,
9437 except those funded by the Social Security System (SSS) , Government Service
9438 Insurance System (GSIS) , and the Home Development Mutual Fund (HDMF):
9439 Provided , That national funds for these program and projects shall be equitably
9440 allocated among the regions in proportion to the ratio of the homeless to the
9441 population;
9442
9443 (ix) Investment support services, including access to credit financing;
9444
9445 (x) Upgrading and modernization of tax information and collection services
9446 through the use of computer hardware and software and other means;
9447
9448 (xi) Inter-municipal telecommunication services , subject to national policy
9449 guidelines; and
9450

114
We just define further the basic services under section 17 of this code.

273
9451 (xii) Tourism development and promotion programs.
9452
9453 and in addition, thereto, shall:
9454
9455 (xii.i)ensure that all construction or repair of roads and bridges funded by
9456 national government or BARMM as far as practicable, be carried
9457 out in spatially contiguous manner and in coordination with the
9458 LGU where the project is actually located.
9459
9460 (xii.ii)There must be coordination in the implementation of technical
9461 services by BARMM or national offices for the province and its
9462 component cities and municipalities, including public works and
9463 infrastructure programs of the provincial government and its
9464 component cities and municipalities;
9465
9466 (5) Exercise such other powers and perform such other duties and functions as may be
9467 prescribed by law or ordinance.
9468
9469 (c)The provincial governor shall receive a minimum monthly compensation corresponding
9470 to Salary Grade thirty (30) prescribed under R.A. No. 6758 and the implementing
9471 guidelines issued pursuant thereto.
9472
9473 Article II - The Provincial Vice-Governor
9474
9475 SECTION 483. Powers, Duties and Compensation. - (a) The vice-
9476 governor shall:
9477
9478 (1) Be the presiding officer of the Sangguniang Panlalawigan and sign all warrants drawn
9479 on the provincial treasury for all expenditures appropriated for the operation of the
9480 Sangguniang Panlalawigan;
9481
9482 (2) Subject to civil service law, rules and regulations, appoint all officials and employees
9483 of the Sangguniang Panlalawigan, except those whose manner of appointment is
9484 specifically provided in this Code;
9485
9486 (3) Assume the office of the governor for the unexpired term of the latter in the event of
9487 permanent vacancy as provided for in this Code;
9488
9489 (4) Exercise the powers and perform the duties and functions of the governor in cases of
9490 temporary vacancy as provided for in this Code; and
9491
9492 (5) Exercise such other powers and perform such other duties and functions as may be
9493 prescribed by law or ordinance.
9494

274
9495 (b) The vice-governor shall receive a monthly compensation corresponding to Salary
9496 Grade twenty-eight (28) as prescribed under R.A. No. 6758 and the implementing
9497 guidelines issued pursuant thereto.
9498
9499 Article III - The Sangguniang Panlalawigan
9500
9501 SECTION 484. Composition. - (a) The Sangguniang Panlalawigan, the legislative
9502 body of the province, shall be composed of the provincial vice-governor as presiding
9503 officer, the regular sanggunian members, the president of the provincial chapter of the liga
9504 ng mga Barangay, the president of the panlalawigang pederasyon ng mga Sangguniang
9505 Kabataan, the president of the provincial federation of sanggunian members of
9506 municipalities and component cities, and the Sectoral representatives, as members.
9507
9508 (b)In addition thereto, there shall be three (3) Sectoral representatives: one (1) from the
9509 women; and as shall be determined by the sanggunian concerned within ninety (90) days
9510 prior to the holding of the local elections, one (1) from the agricultural or industrial
9511 workers; and one (1) from the other Sectors, including the urban poor, indigenous cultural
9512 communities, or disabled persons.
9513 (c)The regular members of the Sangguniang Panlalawigan and the Sectoral representatives
9514 shall be elected in the manner as may be provided for by law.
9515
9516 SECTION 485. Powers, Duties, Functions and Compensation. - (a) The
9517 Sangguniang Panlalawigan, as the legislative body of the province, shall enact ordinances,
9518 approve resolutions and appropriate funds for the general welfare of the province and its
9519 inhabitants and shall:
9520
9521 (1) Approve ordinances and pass resolutions necessary for an efficient and effective
9522 provincial government and, in this connection, shall:
9523
9524 (i)Review all ordinances approved by the sanggunians of component cities and
9525 municipalities and executive orders issued by the mayors of said component units
9526 to determine whether these are within the scope of the prescribed powers of the
9527 sanggunian and of the mayor;
9528
9529 (ii)Maintain peace and order by enacting an ordinance or measures to prevent and
9530 suppress lawlessness, disorder, riot, violence, rebellion or sedition and impose
9531 penalties for the violation of said ordinances;
9532
9533 (iii)Approve ordinances imposing a fine not exceeding Five thousand pesos
9534 (P5,000.00) or imprisonment not exceeding one(1) year, or both in the discretion
9535 of the court, for the violation of a provincial ordinance;
9536
9537 (iv) Enact and adopt measures or comprehensive plan to protect the inhabitants of
9538 the province from the harmful effects of man-made or natural disasters and
9539 calamities, and to provide relief services and assistance for victims during and in

275
9540 the aftermath of said disasters and calamities and their return to productive
9541 livelihood following said events;
9542
9543 (v)Enact and approve ordinances intended to prevent, suppress and impose
9544 appropriate penalties for habitual drunkenness in public places, vagrancy,
9545 mendicancy, prostitution, establishment and maintenance of houses of ill repute,
9546 gambling and other prohibited games of chance, fraudulent devices and ways to
9547 obtain money or property, drug addiction, maintenance of drug dens, drug pushing,
9548 juvenile delinquency, the printing, distribution or exhibition of obscene or
9549 pornographic materials or publications, and such other activities inimical to the
9550 welfare and morals of the inhabitants of the province;
9551
9552 (vi) Enact and approve ordinances that will protect and rehabilitate the environment
9553 and impose appropriate penalties for acts which endanger the environment, such as
9554 dynamite fishing and other forms of destructive fishing, illegal logging and
9555 smuggling of logs, smuggling of natural resources products and of endangered
9556 species of flora and fauna, slash and burn farming, and such other activities which
9557 result in pollution, acceleration of eutrophication of rivers and lakes, or of
9558 ecological imbalance;
9559
9560 (vii)Subject to the provisions of this Code and pertinent laws, determine the powers
9561 and duties of officials and employees of the province;
9562
9563 (viii)Determine the positions and the salaries, wages, allowances and other
9564 emoluments and benefits of officials and employees paid wholly or mainly from
9565 provincial funds and provide for expenditures necessary for the proper conduct of
9566 programs, projects, services, and activities of the provincial government;
9567
9568 (ix)Authorize the payment of compensation to a qualified person not in the
9569 government service who fills up a temporary vacancy, or grant honorarium to any
9570 qualified official or employee designated to fill a temporary vacancy in a concurrent
9571 capacity, at the rate authorized by law;
9572
9573 (x)Provide a mechanism and the appropriate funds therefor, to ensure the safety and
9574 protection of all provincial government property, public documents, or records such
9575 as those relating to property inventory, land ownership, records of births, marriages,
9576 deaths, assessments, taxation, accounts, business permits, and such other records
9577 and documents of public interest in the offices and departments of the provincial
9578 government; and
9579
9580 (xi)When the finances of the provincial government allow, provide for additional
9581 allowances and other benefits to judges, prosecutors, public elementary and high
9582 school teachers, and other national government officials stationed or assigned to
9583 the province.
9584

276
9585 (2) Generate and maximize the use of resources and revenues for the development plans,
9586 program objectives and priorities of the province as provided for under Section 18 of this
9587 Code, with particular attention to agro-industrial development and country-wide growth
9588 and progress and relative thereto, shall:
9589
9590 (i)Enact the annual and supplemental appropriations of the provincial government
9591 and appropriate funds for specific programs, projects, services and activities of the
9592 province, or for other purposes not contrary to law, in order to promote the general
9593 welfare of the province and its inhabitants;
9594
9595 (ii)Subject to the provisions of Book II of this Code, Bangsamoro Organic Law
9596 and applicable laws and upon the majority vote of all the members of the
9597 Sangguniang Panlalawigan, enact ordinances levying taxes, fees and charges,
9598 prescribing the rates thereof for general and specific purposes, and granting tax
9599 exemptions, incentives or reliefs;
9600
9601 (iii)Subject to the provisions of Book II of this Code and applicable laws and upon
9602 the majority vote of all the members of the Sangguniang Panlalawigan, authorize
9603 the provincial governor to negotiate and contract loans and other forms of
9604 indebtedness;
9605
9606 (iv)Subject to the provisions of Book II of this Code and applicable laws and upon
9607 the majority vote of all the members of the Sangguniang Panlalawigan, enact
9608 ordinances authorizing the floating of bonds or other instruments of indebtedness,
9609 for the purpose of raising funds to finance development projects;
9610
9611 (v) Enact and appropriate ordinances that would appropriate funds for the
9612 construction and maintenance or the rental of buildings for the use of the province;
9613 and upon the majority vote of all the members of the Sangguniang Panlalawigan,
9614 authorize the provincial governor to lease to private parties such public buildings
9615 held in a proprietary capacity, subject to existing laws, rules and regulations;
9616
9617 (vi) Enact and approve an ordinance that would regulate or prohibit the use of
9618 property within the jurisdiction of the province;
9619
9620 (vii)Review the comprehensive land use plans and zoning ordinances of component
9621 cities and municipalities and adopt a comprehensive provincial land use plan that
9622 would align to the comprehensive land use plan of the Bangsamoro Autonomous
9623 Region in Muslim Mindanao, subject to existing laws;
9624
9625 (3) Adopt measures to enhance the full implementation of the national agrarian reform
9626 program in coordination with the Department of Agrarian Reform;
9627
9628 (4) Subject to the provisions of Book II of this Code and the Bangsamoro Organic Law,
9629 grant franchises, approve the issuance of permits or licenses, or enact ordinances levying

277
9630 taxes, fees and charges upon such conditions and for such purposes intended to promote
9631 the general welfare of the inhabitants of the province, and pursuant to this legislative
9632 authority, shall:
9633
9634 (i)Fix and impose reasonable fees and charges for all services rendered by the
9635 provincial government to private persons or entities; and
9636
9637 (ii)Regulate and fix the license fees for such activities as provided for under this
9638 Code.
9639
9640 (5) Enact and approve ordinances which shall ensure the efficient and effective delivery
9641 of the basic services and facilities as provided for under Section 17 of this Code, and, in
9642 addition to said services and facilities, shall:
9643
9644 (i)Enact and approve ordinances that safeguards against pollution and for the
9645 preservation of the natural ecosystem in the province, in consonance with approved
9646 standards on human settlements and environmental sanitation;
9647
9648 (ii)Subject to applicable laws, facilitate or provide for the establishment and
9649 maintenance of a waterworks system or district waterworks for supplying water to
9650 inhabitants of component cities and municipalities;
9651
9652 (iii)Subject to the availability of funds and to existing laws, rules and regulations,
9653 provide for the establishment and operation of vocational and technical schools and
9654 similar post-Secondary institutions; and, with the approval of the Ministry of Basic,
9655 Higher, and Technical Education and subject to existing laws on tuition fees, fix
9656 reasonable tuition fees and other school charges in educational institutions
9657 supported by the provincial government;
9658
9659 (iv)Establish a scholarship fund for the poor but deserving students in schools
9660 located within its jurisdiction or for students residing within the province;
9661
9662 (v) Enact and approve ordinances or other quarantine regulations to prevent the
9663 introduction and spread of diseases within its territorial jurisdiction;
9664
9665 (vi)Provide for the care and support for the paupers, the aged, the sick, persons of
9666 unsound mind, abandoned minors, abused children, disabled persons, juvenile
9667 delinquents, rehabilitation for drug dependents, and other needy and disadvantaged
9668 persons, particularly children and youth below eighteen (18) years of age; subject
9669 to availability of funds, establish and support the operation of centers and facilities
9670 for said needy and disadvantaged persons; and facilitate efforts to promote the
9671 welfare of families below the poverty threshold, the disadvantaged, and the
9672 exploited;
9673

278
9674 (vii)Establish and provide for the maintenance and improvement of jails and
9675 detention centers, institute a sound jail management program, and appropriate funds
9676 for the subsistence of detainees and convicted prisoners in the province;
9677
9678 (viii)Establish a provincial council whose purpose is the promotion of culture and
9679 the arts, coordinate with government agencies and non-governmental organizations
9680 and, subject to the availability of funds, appropriate funds for the support and
9681 development of the same;
9682
9683 (ix)Establish a provincial council for the elderly which shall formulate policies and
9684 adopt measures mutually beneficial to the elderly and to the province; and subject
9685 to the availability of funds, appropriate funds to support programs and projects for
9686 the elderly; and provide incentives for non- governmental agencies and entities to
9687 support the programs and projects of the elderly; and
9688 (x)Exercise such other powers and perform such other duties and functions as may
9689 be prescribed by law or ordinance.
9690
9691 (b) The members of the Sangguniang Panlalawigan shall receive a minimum monthly
9692 compensation corresponding to Salary Grade twenty-seven (27) as prescribed under R.A.
9693 6758 and the implementing guidelines issued pursuant thereto.
9694
9695 TITLE VII
9696
9697 APPOINTIVE LOCAL OFFICIALS COMMON TO ALL MUNICIPALITIES,
9698 CITIES AND PROVINCES
9699
9700 Article I - Secretary to the Sanggunian
9701
9702 SECTION 486. Qualifications, Powers and Duties. – (a) There shall be a
9703 Secretary to the sanggunian who shall be a career official with the rank and salary equal to
9704 a head of department or office.
9705
9706 (b )No person shall be appointed Secretary to the sanggunian unless he is a citizen of the
9707 Philippines, a resident of the local government unit concerned, of good moral character, a
9708 holder of a college degree preferably in law, commerce or public administration from a
9709 recognized college or university, and a first grade civil service eligible or its equivalent.
9710
9711 The appointment of a Secretary to the sanggunian is mandatory for provincial, city
9712 and municipal governments.
9713
9714 (c) The Secretary to the sanggunian shall take charge of the office of the Secretary to the
9715 sanggunian and shall:
9716
9717 (1) Attend meetings of the sanggunian and keep a journal of its proceedings;
9718

279
9719 (2) Keep the seal of the local government unit and affix the same with his signature to all
9720 ordinances, resolutions, and other official acts of the sanggunian and present the same to
9721 the presiding officer for his signature;
9722
9723 (3) Forward to the governor or mayor, as the case may be, for approval, copies of
9724 ordinances enacted by the sanggunian and duly certified by the presiding officer, in the
9725 manner provided in Section 54 under Book I of this Code;
9726
9727 (4) Forward to the sanggunian panlungsod or bayan concerned, in the case of the
9728 Sangguniang Barangay, and to the Sangguniang Panlalawigan concerned, in the case of
9729 the Sangguniang Panlungsod of component cities or Sangguniang Bayan, copies of duly
9730 approved ordinances, in the manner provided in Sections 56 and 57 under Book I of this
9731 Code;
9732 (5) Furnish, upon request of any interested party, certified copies of records of public
9733 character in his custody, upon payment to the treasurer of such fees as may be prescribed
9734 by ordinance;
9735
9736 (6) Record in a book kept for the purpose, all ordinances and resolutions enacted or
9737 adopted by the sanggunian, with the dates of passage and publication thereof;
9738
9739 (7) Keep his office and all non-confidential records therein open to the public during the
9740 usual business hours;
9741
9742 (8) Translate into the dialect used by the majority of the inhabitants all ordinances and
9743 resolutions immediately after their approval, and cause the publication of the same
9744 together with the original version in the manner provided under this Code; and
9745
9746 (9) Take custody of the local archives and, where applicable, the local library and
9747 annually account for the same; and
9748
9749 (d) Exercise such other powers and perform such other duties and functions as may be
9750 prescribed by law or ordinance relative to his position.
9751
9752 Article II - The Treasurer
9753
9754 SECTION 487. Appointment, Qualifications, Powers and Duties. - (a) The
9755 treasurer shall be appointed by the Secretary of Finance from a list of at least three (3)
9756 ranking, eligible recommended by (of) the governor or mayor, as the case may be, subject
9757 to civil service law, rules and regulations.
9758
9759 (b) The treasurer shall be under the administrative supervision of the governor or mayor,
9760 as the case may be, to whom he shall report regularly on the tax collection efforts in the
9761 local government unit;
9762

280
9763 (c) No person shall be appointed treasurer unless he is a citizen of the Philippines, a resident
9764 of the local government unit concerned, of good moral character, a holder of a college
9765 degree preferably in commerce, public administration or law from a recognized college or
9766 university, and a first grade civil service eligible or its equivalent. He must have acquired
9767 experience in treasury or accounting service for at least five (5) years in the case of the city
9768 or provincial treasurer, and three (3) years in the case of the municipal treasurer.
9769
9770 The appointment of a treasurer shall be mandatory for provincial, city and
9771 municipal governments.
9772
9773 (d) The treasurer shall take charge of the treasury office, perform the duties provided for
9774 under Book II of this Code, and shall:
9775 (1) Advise the governor or mayor, as the case may be, the sanggunian, and other local
9776 government and national officials concerned regarding disposition of local government
9777 funds, and on such other matters relative to public finance;
9778
9779 (2) Take custody of and exercise proper management of the funds of the local government
9780 unit concerned;
9781
9782 (3) Take charge of the disbursement of all local government funds and such other funds
9783 the custody of which may be entrusted to him by law or other competent authority;
9784
9785 (4) Inspect private commercial and industrial establishments within the jurisdiction of
9786 the local government unit concerned in relation to the implementation of tax ordinances,
9787 pursuant to the provisions under Book II of this Code; and
9788
9789 (5) Maintain and update the tax information system of the local government unit;
9790
9791 (e) In the case of the provincial treasurer, exercise technical supervision over all treasury
9792 offices of component cities and municipalities; and
9793
9794 (f) Exercise such other powers and perform such other duties and functions as may be
9795 prescribed by law or ordinance.
9796
9797 SECTION 488. Assistant Treasurer. - (a) An assistant treasurer may be appointed
9798 by the Secretary of Finance from a list of at least three (3) ranking, eligible recommendees
9799 of the governor or mayor, subject to civil service law, rules and regulations.
9800
9801 (b) No person shall be appointed assistant treasurer unless he/she is a citizen of the
9802 Philippines, a resident of the local government unit concerned, of good moral character, a
9803 holder of a college degree preferably in commerce, public administration, or law from a
9804 recognized college or university, and a first grade civil service eligible or its equivalent.
9805 He/she must have acquired at least five (5) years experience in the treasury or accounting
9806 service in the case of the city or provincial assistant treasurer, and three (3) years in the
9807 case of the municipal assistant treasurer.

281
9808
9809 The appointment of an assistant treasurer shall be optional for provincial, city and
9810 municipal governments.
9811
9812 (c) The assistant treasurer shall assist the treasurer and perform such duties as the latter
9813 may assign to him/her. He/she shall have authority to administer oaths concerning notices
9814 and notifications to those delinquent in the payment of the real property tax and concerning
9815 official matters relating to the accounts of the treasurer or otherwise arising in the offices
9816 of the treasurer and the assessor.
9817
9818 Article III - The Assessor
9819
9820 SECTION 489. Qualifications, Powers and Duties. – (a) No person shall be
9821 appointed assessor unless he/she is a citizen of the Philippines, a resident of the local
9822 government unit concerned, of good moral character, a holder of a college degree
9823 preferably in civil or mechanical engineering, commerce, or any other related course from
9824 a recognized college or university, and a first grade civil service eligible or its equivalent.
9825 He/she must have acquired experience in real property assessment work or in any related
9826 field for at least five (5) years in the case of the city or provincial assessor, and three (3)
9827 years in the case of the municipal assessor.
9828
9829 The appointment of an assessor shall be mandatory for provincial, city and
9830 municipal governments.
9831
9832 (b) The assessor shall take charge of the assessor's office, perform the duties provided for
9833 under Book II of this Code and shall:
9834
9835 (1) Ensure that all laws and policies governing the appraisal and assessment of real
9836 properties for taxation purposes are properly executed;
9837
9838 (2) Initiate, review, and recommend changes in policies and objectives, plans and
9839 programs, techniques, procedures and practices in the valuation and assessment of real
9840 properties for taxation purposes;
9841
9842 (3) Establish a systematic method of real property assessment;
9843
9844 (4) Install and maintain a real property identification and accounting system;
9845
9846 (5) Prepare, install and maintain a system of tax mapping, showing graphically all property
9847 subject to assessment and gather all data concerning the same;
9848
9849 (6) Conduct frequent physical surveys to verify and determine whether all real properties
9850 within the province are properly listed in the assessment rolls;
9851

282
9852 (7) Exercise the functions of appraisal and assessment primarily for taxation purposes of
9853 all real properties in the local government unit concerned;
9854
9855 (8) Prepare a schedule of the fair market value for the different classes of real properties,
9856 in accordance with Title Two under Book II of this Code;
9857
9858 (9) Issue, upon request of any interested party, certified copies of assessment records of
9859 real property and all other records relative to its assessment, upon payment of a service
9860 charge or fee to the treasurer;
9861
9862 (10) Submit every semester a report of all assessments, as well as cancellations and
9863 modifications of assessments to the local chief executive and the sanggunian concerned;
9864
9865 (11) In the case of the assessor of a component city or municipality attend, personally or
9866 through an authorized representative, all sessions of the local board of assessment appeals
9867 whenever his assessment is the subject of the appeal, and present or submit any information
9868 or record in his possession as may be required by the board;
9869
9870 (12) In the case of the provincial assessor, exercise technical supervision and visitorial
9871 functions over all component city and municipal assessors, coordinate with component city
9872 or municipal assessors in the conduct of tax mapping operations and all other assessment
9873 activities, and provide all forms of assistance therefor: Provided, however, That, upon full
9874 provision by the component city or municipality concerned to its assessor's office of the
9875 minimum personnel, equipment, and funding requirements as may be prescribed by the
9876 Secretary of Finance, such functions shall be delegated to the said city or municipal
9877 assessor; and
9878
9879 (c) Exercise such other powers and perform such other duties and functions as may be
9880 prescribed by law or ordinance.
9881
9882 SECTION 490. Assistant Assessor. - (a) No person shall be appointed assistant
9883 assessor unless he/she is a citizen of the Philippines, a resident of the local government unit
9884 concerned, of good moral character, a holder of a college degree preferably in civil or
9885 mechanical engineering, commerce, or any related course from a recognized college or
9886 university, and a first grade civil service eligible or its equivalent. He/she must have
9887 acquired experience in assessment or in any related field for at least three (3) years in the
9888 case of the city or provincial assistant assessor, and one (1) year in the case of the city or
9889 provincial assistant assessor.
9890
9891 The appointment of an assistant assessor shall be optional for provincial, city and municipal
9892 governments.
9893
9894 (b) The assistant assessor shall assist the assessor and perform such other duties as the latter
9895 may assign to him/her. He shall have the authority to administer oaths on all declarations
9896 of real property for purposes of assessment.

283
9897
9898 Article IV - The Accountant
9899
9900 SECTION 491. Qualifications, Powers and Duties. - (a) No person shall be
9901 appointed accountant unless he/she is a citizen of the Philippines, a resident of the local
9902 government unit concerned, of good moral character, and a certified public accountant.
9903 He/she must have acquired experience in the treasury or accounting service for at least five
9904 (5) years in the case of the provincial or city accountant, and three (3) years in the case of
9905 the municipal accountant.
9906 The appointment of an accountant is mandatory for the provincial, city and
9907 municipal governments.
9908
9909 (b) The accountant shall take charge of both the accounting and internal audit services of
9910 the local government unit concerned and shall:
9911
9912 (1) Install and maintain an internal audit system in the local government unit concerned;
9913
9914 (2) Prepare and submit financial statements to the governor or mayor, as the case may
9915 be, and to the sanggunian concerned;
9916
9917 (3) Apprise the sanggunian and other local government officials on the financial
9918 condition and operations of the local government unit concerned;
9919
9920 (4) Certify to the availability of budgetary allotment to which expenditures and
9921 obligations may be properly charged;
9922
9923 (5) Review supporting documents before preparation of vouchers to determine
9924 completeness of requirements;
9925
9926 (6) Prepare statements of cash advances, liquidation, salaries, allowances,
9927 reimbursements and remittances pertaining to the local government unit;
9928
9929 (7) Prepare statements of journal vouchers and liquidation of the same and other
9930 adjustments related thereto;
9931
9932 (8) Post individual disbursements to the subsidiary ledger and index cards;
9933
9934 (9) Maintain individual ledgers for officials and employees of the local government unit
9935 pertaining to payrolls and deductions;
9936
9937 (10) Record and post in index cards details of purchased furniture, fixtures, and
9938 equipment, including disposal thereof, if any;
9939
9940 (11) Account for all issued requests for obligations and maintain and keep all records and
9941 reports related thereto;

284
9942
9943 (12) Prepare journals and the analysis of obligations and maintain and keep all records
9944 and reports related thereto; and
9945
9946 (13) Exercise such other powers and perform such other duties and functions as may be
9947 provided by law or ordinance.
9948
9949 (c) The incumbent chief accountant in the office of the treasurer shall be given preference
9950 in the appointment to the position of accountant.
9951 Article V - The Budget Officer
9952
9953 SECTION 492. Qualifications, Powers and Duties. - (a) No person shall be
9954 appointed budget officer unless he/she is a citizen of the Philippines, a resident of the local
9955 government unit concerned, of good moral character, a holder of a college degree
9956 preferably in accounting, economics, public administration or any related course from a
9957 recognized college or university, and a first grade civil service eligible or its equivalent.
9958 He/she must have acquired experience in government budgeting or in any related field for
9959 at least five (5) years in the case of the provincial or city budget officer, and at least three
9960 (3) years in the case of the municipal budget officer.
9961
9962 The appointment of a budget officer shall be mandatory for the provincial, city, and
9963 municipal governments.
9964
9965 (b) The budget officer shall take charge of the budget office and shall:
9966
9967 (1) Prepare forms, orders, and circulars embodying instructions on budgetary and
9968 appropriation matters for the signature of the governor or mayor, as the case may be;
9969
9970 (2) Review and consolidate the budget proposals of different departments and offices of
9971 the local government unit;
9972
9973 (3) Assist the governor or mayor, as the case may be, in the preparation of the budget and
9974 during budget hearings;
9975
9976 (4) Study and evaluate budgetary implications of proposed legislation and submit
9977 comments and recommendations thereon;
9978
9979 (5) Submit periodic budgetary reports to the Department of Budget and Management;
9980
9981 (6) Coordinate with the treasurer, accountant, and the planning and development
9982 coordinator for the purpose of budgeting;
9983
9984 (7) Assist the sanggunian concerned in reviewing the approved budgets of component
9985 local government units; and
9986

285
 9987 (8) Coordinate with the planning and development coordinator in the formulation of the
9988 local government unit development plan;
9989
9990 (c) Exercise such other powers and perform such other duties and functions as may be
9991 prescribed by law or ordinance.
9992
9993 (d) The appropriations for personal services of the budget officer provided under the
9994 Department of Budget and Management shall, upon effectivity of this Code, be transferred
9995 to the local government unit concerned. Thereafter, the appropriations for personal services
9996 of the budget officer shall be provided for in full in the budget of the local government unit.
9997
9998 Article VI - The Planning and Development Coordinator
9999
10000 SECTION 493. Qualifications, Powers and Duties. - (a) No person shall be
10001 appointed planning and development coordinator unless he/she is a citizen of the
10002 Philippines, a resident of the local government unit concerned, of good moral character, a
10003 holder of a college degree preferably in urban planning, development studies, economics,
10004 public administration, or any related course from a recognized college or university, and a
10005 first grade civil service eligible or its equivalent. He/she must have acquired experience in
10006 development planning or in any related field for at least five (5) years in the case of the
10007 provincial or city planning and development coordinator, and three (3) years in the case of
10008 the municipal planning and development coordinator.
10009
10010 The appointment of a planning and development coordinator shall be mandatory
10011 for provincial, city and municipal governments.
10012
10013 (b) The planning and development coordinator shall take charge of the planning and
10014 development office and shall:
10015
10016 (1) Formulate integrated economic, social, physical, and other development plans and
10017 policies for consideration of the local government development council;
10018
10019 (2) Conduct continuing studies, researches, and training programs necessary to evolve
10020 plans and programs for implementation;
10021
10022 (3) Integrate and coordinate all sectoral plans and studies undertaken by the different
10023 functional groups or agencies;
10024
10025 (4) Monitor and evaluate the implementation of the different development programs,
10026 projects, and activities in the local government unit concerned in accordance with the
10027 approved development plan;
10028
10029 (5) Prepare comprehensive plans and other development planning documents for the
10030 consideration of the local development council;
10031

286
10032 (6) Analyze the income and expenditure patterns, and formulate and recommend fiscal
10033 plans and policies for consideration of the finance committee of the local government
10034 unit concerned as provided under Title Five, Book II of this Code;
10035
10036 (7) Promote people participation in development planning within the local government
10037 unit concerned; and
10038
10039
10040 (8) Exercise supervision and control over the Secretariat of the local development
10041 council;
10042
10043 (c) Exercise such other powers and perform such other functions and duties as may be
10044 prescribed by law or ordinance.
10045
10046 Article VII - The Engineer
10047
10048 SECTION 494. Qualifications, Powers and Duties. - (a) No person shall be
10049 appointed engineer unless he/she is a citizen of the Philippines, a resident of the local
10050 government unit concerned, of good moral character, and a licensed civil engineer. He/she
10051 must have acquired experience in the practice of his/her profession for at least five (5) years
10052 in the case of the provincial or city engineer, and three (3) years in the case of the municipal
10053 engineer.
10054
10055 The appointment of an engineer shall be mandatory for the provincial, city and
10056 municipal governments. The city and municipal engineer shall also act as the local building
10057 official.
10058
10059 (b) The engineer shall take charge of the engineering office and shall:
10060
10061 (1) Initiate, review and recommend changes in policies and objectives, plans and
10062 programs, techniques, procedures and practices in infrastructure development and public
10063 works in general of the local government unit concerned;
10064
10065 (2) Advise the governor or mayor, as the case may be, on infrastructure, public works,
10066 and other engineering matters;
10067
10068 (3) Administer, coordinate, supervise, and control the construction, maintenance,
10069 improvement, and repair of roads, bridges, and other engineering and public works
10070 projects of the local government unit concerned;
10071
10072 (4) Provide engineering services to the local government unit concerned, including
10073 investigation and survey, engineering designs, feasibility studies, and project
10074 management;
10075

287
10076 (5)In the case of the provincial engineer, exercise technical supervision over all
10077 engineering offices of component cities and municipalities; and
10078
10079 (c) Exercise such other powers and perform such other duties and functions as may be
10080 prescribed by law or ordinance.
10081
10082 Article VIII - The Health Officer
10083
10084 SECTION 495. Qualifications, Powers and Duties. - (a) No person shall be
10085 appointed health officer unless he/she is a citizen of the Philippines, a resident of the local
10086 government unit concerned, of good moral character, and a licensed medical practitioner.
10087 He/she must have acquired experience in the practice of his/her profession for at least five
10088 (5) years in the case of the provincial or city health officer, and three (3) years in the case
10089 of the municipal health officer.
10090
10091 The appointment of a health officer shall be mandatory for provincial, and city
10092 governments.
10093
10094 (b) The health officer shall take charge of the office on health and shall:
10095
10096 (1)Take charge of the office on health services, supervise the personnel and staff of said
10097 office, formulate program implementation guidelines and rules and regulations for the
10098 operation of the said office for the approval of the governor or mayor, as the case may
10099 be, in order to assist him in the efficient, effective and economical implementation of a
10100 health services program geared to implementation of health- related projects and
10101 activities;
10102
10103 (2) Formulate measures for the consideration of the sanggunian and provide technical
10104 assistance and support to the governor or mayor, as the case may be, in carrying out
10105 activities to ensure the delivery of basic services and provision of adequate facilities
10106 relative to health services provided under Section 17 of this Code;
10107
10108 (3) Develop plans and strategies and upon approval thereof by the governor or mayor as
10109 the case may be, implement the same, particularly those which have to do with health
10110 programs and projects which the governor or mayor, is empowered to implement and
10111 which the sanggunian is empowered to provide for under this Code;
10112
10113 (4) In addition to the foregoing duties and functions, the health officer shall:
10114
10115 (i) Formulate and implement policies, plans, programs and projects to promote the
10116 health of the people in the local government unit concerned;
10117
10118 (ii) Advise the governor or mayor, as the case may be, and the sanggunian on
10119 matters pertaining to health;
10120

288
10121 (iii) Execute and enforce all laws, ordinances and regulations relating to public
10122 health;
10123
10124 (iv) Recommend to the sanggunian, through the local health board, the passage of
10125 such ordinances as he may deem necessary for the preservation of public health;
10126 (v) Recommend the prosecution of any violation of sanitary laws, ordinances or
10127 regulations;
10128
10129 (vi) Direct the sanitary inspection of all business establishments selling food items
10130 or providing accommodations such as hotels, motels, lodging houses, pension
10131 houses, and the like, in accordance with the Sanitation Code;
10132
10133 (vii) Conduct health information campaigns and render health intelligence services;
10134
10135 (viii)Coordinate with other government agencies and non-governmental
10136 organizations involved in the promotion and delivery of health services; and
10137
10138 (ix) In the case of the provincial health officer, exercise general supervision over
10139 health officers of component cities and municipalities; and
10140
10141 (5) Be in the frontline of health services delivery, particularly during and in the aftermath
10142 of man-made and natural disasters and calamities; and
10143
10144 (c)Exercise such other powers and perform such other duties and functions as may be
10145 prescribed by law or ordinance.
10146
10147 Article IX - The Civil Registrar
10148
10149 SECTION 496. Qualifications, Powers and Duties. – (a) No person shall be
10150 appointed civil registrar unless he/she is a citizen of the Philippines, a resident of the local
10151 government unit concerned, of good moral character, a holder of a college degree from a
10152 recognized college or university, and a first grade civil service eligible or its equivalent.
10153 He/she must have acquired experience in civil registry work for at least five (5) years in
10154 the case of the city civil registrar and three (3) years in the case of the municipal civil
10155 registrar.
10156
10157 The appointment of a civil registrar shall be mandatory for city and municipal
10158 governments.
10159
10160 (b) The civil registrar shall be responsible for the civil registration program in the local
10161 government unit concerned, pursuant to the Civil Registry Law, the Civil Code, and other
10162 pertinent laws, rules and regulations issued to implement them.
10163
10164 (c) The Civil Registrar shall take charge of the office of the civil registry and shall:
10165

289
10166 (1) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10167 the case may be, implement the same, particularly those which have to do with civil
10168 registry programs and projects which the mayor is empowered to implement and which
10169 the sanggunian is empowered to provide for under this Code;
10170
10171 (2) In addition to the foregoing duties and functions, the civil registrar shall:
10172
10173 (i)Accept all registrable documents and judicial decrees affecting the civil status of
10174 persons;
10175
10176 (ii)File, keep and preserve in a secure place the books required by law;
10177
10178 (iii)Transcribe and enter immediately upon receipt all registrable documents and
10179 judicial decrees affecting the civil status of persons in the appropriate civil registry
10180 books;
10181
10182 (iv)Transmit to the Office of the Civil Registrar- General, within the prescribed
10183 period, duplicate copies of registered documents required by law;
10184
10185 (v)Issue certified transcripts or copies of any certificate or registered documents
10186 upon payment of the prescribed fees to the treasurer;
10187
10188 (vi)Receive applications for the issuance of a marriage license and, after
10189 determining that the requirements and supporting certificates and publication
10190 thereof for the prescribed period have been complied with, issue the license upon
10191 payment of the authorized fee to the treasurer;
10192
10193 (vii)Coordinate with the National Statistics Office in conducting educational
10194 campaigns for vital registration and assist in the preparation of demographic and
10195 other statistics for the local government unit concerned; and
10196
10197 (3) Exercise such other powers and perform such other duties and functions as may be
10198 prescribed by law or ordinance.
10199
10200 Article X - The Administrator
10201
10202 SECTION 497. Qualifications, Term, Powers and Duties. - (a) No person shall
10203 be appointed administrator unless he/she is a citizen of the Philippines, a resident of the
10204 local government unit concerned, of good moral character, a holder of a college degree
10205 preferably in public administration, law, or any other related course from a recognized
10206 college or university, and a first grade civil service eligible or its equivalent. He/she must
10207 have acquired experience in management and administration work for at least five (5) years
10208 in the case of the provincial or city administrator, and three (3) years in the case of the
10209 municipal administrator.
10210

290
10211 The term of administrator is coterminous with the appointing authority.
10212
10213 The appointment of an administrator shall be mandatory for the provincial and city
10214 governments, and optional for the municipal government.
10215
10216 (b) The administrator shall take charge of the office of the administrator and shall:
10217
10218 (1) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10219 the case may be, implement the same particularly those which have to do with the
10220 management and administration-related programs and projects which the governor or
10221 mayor is empowered to implement and which the sanggunian is empowered to provide
10222 for under this Code;
10223
10224 (2) In addition to the foregoing duties and functions, the administrator shall:
10225
10226 (i) Assist in the coordination of the work of all the officials of the local government
10227 unit, under the supervision, direction, and control of the governor or mayor, and for
10228 this purpose, he may convene the chiefs of offices and other officials of the local
10229 government unit;
10230
10231 (ii) Establish and maintain a sound personnel program for the local government unit
10232 designed to promote career development and uphold the merit principle in the local
10233 government service;
10234
10235 (iii) Conduct a continuing organizational development of the local government unit
10236 with the end in view of instituting effective administrative reforms;
10237
10238 (3) Be in the frontline of the delivery of administrative support services, particularly those
10239 related to the situations during and in the aftermath of man-made and natural disasters
10240 and calamities;
10241
10242 (4) Recommend to the sanggunian and advise the governor and mayor, as the case may
10243 be, on all other matters relative to the management and administration of the local
10244 government unit; and
10245
10246 (5) Exercise such other powers and perform such other duties and functions as may be
10247 prescribed by law or ordinance.
10248
10249 Article XI - The Legal Officer
10250
10251 SECTION 498. Qualifications, Term, Powers and Duties. - (a) No person shall
10252 be appointed legal officer unless he/she is a citizen of the Philippines, a resident of the local
10253 government unit concerned, of good moral character, and a member of the Philippine Bar.
10254 He/she must have practiced his/her profession for at least five (5) years in the case of the
10255 provincial and city legal officer, and three (3) years in the case of the municipal legal

291
10256 officer. The term of the legal officer shall be coterminous with the appointing authority.
10257 The appointment of legal officer shall be mandatory for the provincial and city
10258 governments and optional for the municipal government.
10259
10260 (b) The legal officer, the chief legal counsel of the local government unit, shall take charge
10261 of the office of legal services and shall:
10262
10263 (1) Formulate measures for the consideration of the sanggunian and provide legal
10264 assistance and support to the governor or mayor, as the case may be, in carrying out the
10265 delivery of basic services and provisions of adequate facilities as provided for under
10266 Section 17 of this Code;
10267
10268 (2) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10269 the case may be, implement the same, particularly those which have to do with programs
10270 and projects related to legal services which the governor or mayor is empowered to
10271 implement and which the sanggunian is empowered to provide for under this Code.
10272
10273 (3) In addition to the foregoing duties and functions, the legal officer shall:
10274
10275 (i) Represent the local government unit in all civil actions and special proceedings
10276 wherein the local government unit or any official thereof, in his official capacity, is
10277 a party: Provided, That, in actions or proceedings where a component city or
10278 municipality is a party adverse to the provincial government or to another
10279 component city or municipality, a special legal officer may be employed to
10280 represent the adverse party;
10281
10282 (ii) When required by the governor, mayor or sanggunian, draft ordinances,
10283 contracts, bonds, leases and other instruments, involving any interest of the local
10284 government unit; and provide comments and recommendations on any instruments
10285 already drawn;
10286
10287 (iii) Render his opinion in writing on any question of law when requested to do so
10288 by the governor, mayor, or sanggunian;
10289
10290 (iv) Investigate or cause to be investigated any local official or employee for
10291 administrative neglect or misconduct in office, and recommend appropriate action
10292 to the governor, mayor or sanggunian, as the case may be;
10293
10294 (v) Investigate or cause to be investigated any person, firm or corporation holding
10295 any franchise or exercising any public privilege for failure to comply with any term
10296 or condition in the grant of such franchise or privilege, and recommending
10297 appropriate action to the governor, mayor or sanggunian, as the case may be;
10298

292
10299 (vi) When directed by the governor, mayor, or sanggunian, initiate and prosecute
10300 in the interest of the local government unit concerned any civil action on any bond,
10301 lease or other contract upon any breach or violation thereof; and
10302
10303 (vii)Review and submit recommendations on ordinances approved and executive
10304 orders issued by component units;
10305 (4) Recommend measures to the sanggunian and advise the governor or mayor as the
10306 case may be on all other matters related to upholding the rule of law;
10307
10308 (5) Be in the frontline of protecting human rights and prosecuting any violations thereof,
10309 particularly those which occur during and in the aftermath of man- made or natural
10310 disasters or calamities; and
10311
10312 (6) Exercise such other powers and perform such other duties and functions as may be
10313 prescribed by law or ordinance.
10314
10315 Article XII - The Agriculturist
10316
10317 SECTION 499. Qualifications, Powers and Duties. - (a) No person shall be
10318 appointed agriculturist unless he/she is a citizen of the Philippines, a resident of the local
10319 government unit concerned, of good moral character, a holder of a college degree in
10320 agriculture or any related course from a recognized college or university, and a first grade
10321 civil service eligible or its equivalent. He/she must have practiced his/her profession in
10322 agriculture or acquired experience in a related field for at least five (5) years in the case of
10323 the provincial and city agriculturist, and three (3) years in the case of the municipal
10324 agriculturist.
10325
10326 The position of the agriculturist shall be mandatory for the provincial government
10327 and optional for city and municipal governments. However, five (5) years upon the
10328 effectivity of this Code, the appointment of municipal agriculturist shall be mandatory for
10329 the city and municipality provided that they are technically and financially capable as may
10330 be determined by Ministry of the Interior and Local Government after an assessment and
10331 evaluation to that effect.
10332
10333 (b) The agriculturist shall take charge of the office for agricultural services, and shall:
10334
10335 (1) Formulate measures for the approval of the sanggunian and provide technical
10336 assistance and support to the governor or mayor, as the case may be, in carrying out said
10337 measures to ensure the delivery of basic services and provision of adequate facilities
10338 relative to agricultural services as provided for under Section 17 of this Code;
10339
10340 (2) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10341 the case may be, implement the same, particularly those which have to do with
10342 agricultural programs and projects which the governor or mayor is empowered to
10343 implement and which the sanggunian us empowered to provide for under this Code;

293
10344
10345 (3) In addition to the foregoing duties and functions, the agriculturist shall:
10346
10347 (i) Ensure that maximum assistance and access to resources in the production,
10348 processing and marketing of agricultural and aqua-cultural and marine products are
10349 extended to farmers, fishermen and local entrepreneurs;
10350 (ii) Conduct or cause to be conducted location-specific agricultural researches and
10351 assist in making available the appropriate technology arising out of and
10352 disseminating information on basic research on crops, preventive and control of
10353 plant diseases and pests, and other agricultural matters which will maximize
10354 productivity;
10355
10356 (iii) Assist the governor or mayor, as the case may be, in the establishment and
10357 extension services of demonstration farms or aqua-culture and marine products;
10358
10359 (iv) Enforce rules and regulations relating to agriculture and aquaculture;
10360
10361 (v) Coordinate with government agencies and non- governmental organizations
10362 which promote agricultural productivity through appropriate technology
10363 compatible with environmental integrity;
10364
10365 (4) Be in the frontline of delivery of basic agricultural services, particularly those needed
10366 for the survival of the inhabitants during and in the aftermath of man-made and natural
10367 disasters; (5) Recommend to the sanggunian and advise the governor or mayor, as the
10368 case may be, on all other matters related to agriculture and aqua- culture which will
10369 improve the livelihood and living conditions of the inhabitants; and
10370
10371 (c) Exercise such other powers and perform such other duties and functions as may be
10372 prescribed by law or ordinance.
10373
10374 Article XIII - The Social Welfare and Development Officer
10375
10376 SECTION 500. Qualifications, Powers and Duties. - (a) No person shall be
10377 appointed social welfare and development officer unless he/she is a citizen of the
10378 Philippines, a resident of the local government unit concerned, of good moral character, a
10379 duly licensed social worker or a holder of a college degree preferably in sociology or any
10380 other related course from a recognized college or university, and a first grade civil service
10381 eligible or its equivalent. He/she must have acquired experience in the practice of social
10382 work for at least five (5) years in the case of the provincial or city social welfare and
10383 development officer, and three (3) years in the case of the municipal social welfare and
10384 development officer.
10385
10386 The appointment of a social welfare and development officer is mandatory for
10387 provincial and city governments, and optional for municipal government. However, Five
10388 (5) years upon the effectivity of this Code, the appointment of Social Welfare and

294
10389 Development officer shall be mandatory for municipality provided that are technically
10390 and financially capable as may be determined by Ministry of Interior and Local
10391 Government after an assessment and evaluation to that effect.
10392
10393 (b) The social welfare and development officer shall take charge of the office on social
10394 welfare and development services and shall:
10395 (1) Formulate measures for the approval of the sanggunian and provide technical
10396 assistance and support to the governor or mayor, as the case may be, in carrying out
10397 measures to ensure the delivery of basic services and provision of adequate facilities
10398 relative to social welfare and development services as provided for under Section 17 of
10399 this Code;
10400
10401 (2) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10402 the case may be, implement the same particularly those which have to do with social
10403 welfare programs and projects which the governor or mayor is empowered to implement
10404 and which the sanggunian is empowered to provide for under this Code;
10405
10406 (3) In addition to the foregoing duties, the social welfare and development officer shall:
10407
10408 (i) Identify the basic needs of the needy, the disadvantaged and the impoverished
10409 and develop and implement appropriate measures to alleviate their problems and
10410 improve their living conditions;
10411
10412 (ii) Provide relief and appropriate crisis intervention for victims of abuse and
10413 exploitation and recommend appropriate measures to deter further abuse and
10414 exploitation;
10415
10416 (iii) Assist the governor or mayor, as the case may be, in implementing the
10417 Barangay level program for the total development and protection of children up to
10418 six (6) years of age;
10419
10420 (iv) Facilitate the implementation of welfare programs for the disabled, elderly, and
10421 victims of drug addiction, the rehabilitation of prisoners and parolees, the
10422 prevention of juvenile delinquency and such other activities which would eliminate
10423 or minimize the ill-effects of poverty;
10424
10425 (v) Initiate and support youth welfare programs that will enhance the role of the
10426 youth in nation-building;
10427
10428 (vi) Coordinate with government agencies and non- governmental organizations
10429 which have for their purpose the promotion and the protection of all needy,
10430 disadvantaged, underprivileged or impoverished groups or individuals, particularly
10431 those identified to be vulnerable and high-risk to exploitation, abuse and neglect;
10432

295
10433 (4) Be in the frontline of service delivery, particularly those which have to do with
10434 immediate relief during and assistance in the aftermath of man-made and natural disaster
10435 and natural calamities;
10436
10437 (5) Recommend to the sanggunian and advise the governor or mayor, as the case may be,
10438 on all other matters related to social welfare and development services which will
10439 improve the livelihood and living conditions of the inhabitants; and
10440 (c) Exercise such other powers and perform such other duties and functions as may be
10441 prescribed by law or ordinance.
10442
10443 Article XIV - The Environment and Natural Resources Officer
10444
10445 SECTION 501. Qualifications, Powers and Duties. - (a) No person shall be
10446 appointed environment and natural resources officer unless he/she is a citizen of the
10447 Philippines, a resident of the local government unit concerned, of good moral character, a
10448 holder of a college degree preferably in environment, forestry, agriculture or any related
10449 course from a recognized college or university, and a first grade civil service eligible or its
10450 equivalent. He/she must have acquired experience in environmental and natural resources
10451 management, conservation, and utilization, of at least five (5) years in the case of the
10452 provincial or city environment and natural resources officer, and three (3) years in the case
10453 of the municipal environment and natural resources officer.
10454
10455 The appointment of the environment and natural resources officer is mandatory for
10456 provincial, city and municipal governments.
10457
10458 (b) The environment and natural resources management officer shall take charge of the
10459 office on environment and natural resources and shall:
10460
10461 (1) Formulate measures for the consideration of the sanggunian and provide technical
10462 assistance and support to the governor or mayor, as the case may be, in carrying out
10463 measures to ensure the delivery of basic services and provision of adequate facilities
10464 relative to environment and natural resources services as provided for under Section 17
10465 of this Code;
10466
10467 (2) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10468 the case may be, implement the same, particularly those which have to do with
10469 environment and natural resources programs and projects which the governor or mayor
10470 is empowered to implement and which the sanggunian is empowered to provide for under
10471 this Code;
10472
10473 (3) In addition to the foregoing duties and functions, the environment and natural
10474 resources officer shall:
10475

296
10476 (i) Establish, maintain, protect and preserve communal forests, watersheds, tree
10477 parks, mangroves, greenbelts and similar forest projects and commercial forest, like
10478 industrial tree farms and agro-forestry projects;
10479
10480 (ii) Provide extension services to beneficiaries of forest development projects and
10481 technical, financial and infrastructure assistance;
10482
10483 (iii) Manage and maintain seed banks and produce seedlings for forests and tree
10484 parks;
10485 (iv) Provide extension services to beneficiaries of forest development projects and
10486 render assistance for natural resources-related conservation and utilizationactivities
10487 consistent with ecological balance;
10488
10489 (v) Promote the small-scale mining and utilization of mineral resources,
10490 particularly mining of gold;
10491
10492 (vi) Coordinate with government agencies and non- governmental organizations in
10493 the implementation of measures to prevent and control land, air and water pollution
10494 with the assistance of the Department of Environment and Natural Resources;
10495
10496 (4) Be in the frontline of the delivery of services concerning the environment and natural
10497 resources, particularly in the renewal and rehabilitation of the environment during and in
10498 the aftermath of man-made and natural calamities and disasters;
10499
10500 (5) Recommend to the sanggunian and advise the governor or mayor, as the case may be,
10501 on all matters relative to the protection, conservation, maximum utilization, application
10502 of appropriate technology and other matters related to the environment and natural
10503 resources; and
10504
10505 (c) Exercise such other powers and perform such other duties and functions as may be
10506 prescribed by law or ordinance.
10507
10508 Article XV - The Architect
10509
10510 SECTION 502. Qualifications, Powers and Duties. - (a) No person shall be
10511 appointed architect unless he/she is a citizen of the Philippines, a resident of the local
10512 government unit concerned, of good moral character, a duly licensed architect. He/she must
10513 have practiced his profession for at least five (5) years in the case of the provincial or city
10514 architect, and three (3) years in the case of the municipal architect. The appointment of the
10515 architect is optional for provincial, city and municipal governments.
10516
10517 (b) The architect shall take charge of the office on architectural planning and design and
10518 shall:
10519

297
10520 (1) Formulate measures for the consideration of the sanggunian and provide technical
10521 assistance and support to the governor or mayor, as the case may be, in carrying out
10522 measures to ensure the delivery of basic services and provision of adequate facilities
10523 relative to architectural planning and design as provided for under Section 17 of this Code;
10524
10525 (2) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10526 the case may be, implement the same, particularly those which have to do with architectural
10527 planning and design programs and projects which the governor or mayor is empowered to
10528 implement and which the sanggunian is empowered to provide for under this Code;
10529
10530 (3) In addition to foregoing duties and functions, the architect shall:
10531
10532 (i) Prepare and recommend for consideration of the sanggunian the architectural
10533 plan and design for the local government unit or a part thereof, including the
10534 renewal of slums and blighted areas, land reclamation activities, the greening of
10535 land, and appropriate planning of marine and foreshore areas;
10536
10537 (ii) Review and recommend for appropriate action of the sanggunian, governor or
10538 mayor, as the case may be, the architectural plans and design submitted by
10539 governmental and non-governmental entities or individuals, particularly those
10540 forundeveloped, underdeveloped, and poorly-designed areas; and
10541
10542 (iii) Coordinate with government and non-government entities and individuals
10543 involved in the aesthetics and the maximum utilization of the land and water within
10544 the jurisdiction of the local government unit, compatible with environmental
10545 integrity and ecological balance.
10546
10547 (4) Be in the frontline of the delivery of services involving architectural planning and
10548 design, particularly those related to the redesigning of spatial distribution of basic facilities
10549 and physical structures during and in the aftermath of man-made and natural calamities and
10550 disasters;
10551
10552 (5 ) Recommend to the sanggunian and advise the governor or mayor, as the case may be,
10553 on all other matters relative to the architectural planning and design as it relates to the total
10554 socioeconomic development of the local government unit; and
10555
10556 (c) Exercise such other powers and perform such other duties and functions as may be
10557 prescribed by law or ordinance.
10558
10559 Article XVI - The Information Officer
10560
10561 SECTION 503. Qualifications, Powers and Duties. - (a) No person shall be
10562 appointed information officer unless he/she is a citizen of the Philippines, a resident of the
10563 local government unit concerned, of good moral character, a holder of a college degree
10564 preferably in journalism, mass communication or any related course from a recognized

298
10565 college or university, and a first grade civil service eligible or its equivalent. He/she must
10566 have experience in writing articles and research papers, or in writing for print, television
10567 or broadcast media of at least three (3) years in the case of the provincial or city information
10568 officer, and at least one (1) year in the case of municipal information officer.
10569
10570 The appointment of the information and communication technology officer is
10571 mandatory for the provincial, city and municipal governments.
10572
10573 The term of the information officer is co-terminous with that of the appointing
10574 authority.
10575 (b) The information officer shall take charge of the office on public information and shall:
10576
10577 (1) Formulate measures for the consideration of the sanggunian and provide technical
10578 assistance and support to the governor or mayor, as the case may be, in providing the
10579 information and research data required for the delivery of basic services and provision of
10580 adequate facilities so that the public becomes aware of said services and may fully avail
10581 of the same;
10582
10583 (2) Develop plans and strategies and, upon approval thereof by the governor or mayor,
10584 as the case may be, implement the same, particularly those which have to do with public
10585 information and research data to support programs and projects which the governor or
10586 mayor is empowered to implement and which the sanggunian is empowered to provide
10587 for under this Code;
10588
10589 (3) In addition to the foregoing duties and functions, the information officer shall:
10590
10591 (i) Provide relevant, adequate, and timely information to the local government unit
10592 and its residents;
10593
10594 (ii) Furnish information and data on local government units to government agencies
10595 or offices as may be required by law or ordinance; and non-governmental
10596 organizations to be furnished to said agencies and organizations;
10597
10598 (iii) Maintain effective liaison with the various Sectors of the community on matters
10599 and issues that affect the livelihood and the quality of life of the inhabitants and
10600 encourage support for programs of the local and national government;
10601
10602 (4) Be in the frontline in providing information during and in the aftermath of manmade
10603 and natural calamities and disasters, with special attention to the victims thereof, to help
10604 minimize injuries and casualties during and after the emergency, and to accelerate relief
10605 and rehabilitation;
10606
10607 (5) Recommend to the sanggunian and advise the governor or mayor, as the case may be,
10608 on all other matters relative to public information and research data as it relates to the
10609 total socioeconomic development of the local government unit; and

299
10610
10611 (c) Exercise such other powers and perform such other duties and functions as may be
10612 prescribed by law or ordinance.
10613
10614 Article XVII - The Cooperatives Officer
10615
10616 SECTION 504. Qualifications, Powers and Duties. - (a) No person shall be
10617 appointed cooperative officer unless he/she is a citizen of the Philippines, a resident of the
10618 local government unit concerned, of good moral character, a holder of a college degree
10619 preferably in business administration with special training in cooperatives or any related
10620 course from a recognized college or university, and a first grade civil service eligible or its
10621 equivalent. He/she must have experience in cooperatives organization and management of
10622 at least five (5) years in the case of the provincial or city cooperatives officer, and three (3)
10623 years in the case of municipal cooperatives officer.
10624
10625 The appointment of the cooperatives officer is optional for the provincial and city
10626 governments.
10627
10628 (b) The cooperatives officer shall take charge of the office for the development of
10629 cooperatives and shall:
10630
10631 (1) Formulate measures for the consideration of the sanggunian, and provide technical
10632 assistance and support to the governor or mayor, as the case may be, in carrying out
10633 measures to ensure the delivery of basic services and provision of facilities through the
10634 development of cooperatives, and in providing access to such services and facilities;
10635
10636 (2) Develop plans and strategies and, upon approval thereof by the governor or mayor,
10637 as the case may be, implement the same, particularly those which have to do with the
10638 integration of cooperatives principles and methods in programs and projects which the
10639 governor or mayor is empowered to implement and which the sanggunian is empowered
10640 to provide for under this Code;
10641
10642 (3) In addition to the foregoing duties and functions, the cooperatives officer shall:
10643
10644 (i) Assist in the organization of cooperatives;
10645
10646 (ii) Provide technical and other forms of assistance to existing cooperatives to
10647 enhance their viability as an economic enterprise and social organization;
10648
10649 (iii) Assist cooperatives in establishing linkages with government agencies and
10650 non- government organizations involved in the promotion and integration of
10651 theconcept of cooperatives in the livelihood of the people and other community
10652 activities;
10653

300
10654 (4) Be in the frontline of cooperatives organization, rehabilitation or viability-
10655 enhancement, particularly during and in the aftermath of man-made and natural
10656 calamities and disasters, to aid in their survival and, if necessary subsequent
10657 rehabilitation;
10658
10659 (5) Recommend to the sanggunian, and advise the governor or mayor, as the case may
10660 be, on all other matters relative to cooperatives development and viability- enhancement
10661 which will improve the livelihood and quality of life of the inhabitants; and
10662
10663 (c) Exercise such other powers and perform such other duties and functions as may be
10664 prescribed by law or ordinance.
10665 Article XVIII - The Population Officer
10666
10667 SECTION 505. Qualifications, Powers and Duties. - (a) No person shall be
10668 appointed population officer unless he/she is a citizen of the Philippines, a resident of the
10669 local government unit concerned, of good moral character, a holder of a college degree
10670 with specialized training in population development from a recognized college or
10671 university, and a first grade civil service eligible or its equivalent. He/she must have
10672 experience in the implementation of programs on population development or responsible
10673 parenthood for at least five (5) years in the case of the provincial or city population officer
10674 and three (3) years in the case of the municipal population officer.
10675
10676 The appointment of a population officer shall be optional in the local government
10677 unit.
10678
10679 (b) The population officer shall take charge of the office on population development and
10680 shall:
10681
10682 (1) Formulate measures for the consideration of the sanggunian and provide technical
10683 assistance and support to the governor or mayor, as the case may be, in carrying out
10684 measures to ensure the delivery of basic services and provision of adequate facilities
10685 relative to the integration of the population development principles and in providing access
10686 to said services and facilities;
10687
10688 (2) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10689 the case may be, implement the same, particularly those which have to do with the
10690 integration of population development principles and methods in programs and projects
10691 which the governor or mayor is empowered to implement and which the sanggunian is
10692 empowered to provide for under this Code;
10693
10694 (3) In addition to the foregoing duties and functions, the population officer shall:
10695
10696 (i) Assist the governor or mayor, as the case may be, in the implementation of the
10697 Constitutional provisions relative to population development and the promotion of
10698 responsible parenthood;

301
10699
10700 (ii) Establish and maintain an updated data bank for program operations,
10701 development planning and an educational program to ensure the people's
10702 participation in and understanding of population development;
10703
10704 (iii) Implement appropriate training programs responsive to the cultural heritage
10705 of the inhabitants; and
10706
10707 (c) Exercise such other powers and perform such other duties and functions as may be
10708 prescribed by law or ordinance.
10709
10710 Article XIX - The Veterinarian
10711
10712 SECTION 506. Qualifications, Powers and Duties. - (a) No person shall be
10713 appointed veterinarian unless he/she is a citizen of the Philippines, a resident of the local
10714 government concerned, of good moral character, a licensed Doctor of Veterinary Medicine.
10715 He/she must have practiced his/her profession for at least three (3) years in the case of
10716 provincial or city veterinarian and at least one (1) year in the case of the municipal
10717 veterinarian.
10718
10719 The appointment of a veterinarian officer is mandatory for the provincial and city
10720 governments.
10721
10722 (b) The veterinarian shall take charge of the office for veterinary services and shall:
10723
10724 (1) Formulate measures for the consideration of the sanggunian, and provide technical
10725 assistance and support to the governor or mayor, as the case may be, in carrying out
10726 measures to ensure the delivery of basic services and provision of adequate facilities
10727 pursuant to this Code;
10728
10729 (2) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10730 the case may be, implement the same, particularly those which have to do with the
10731 veterinary-related activities which the governor or mayor is empowered to implement
10732 and which the sanggunian is empowered to provide for under this Code;
10733
10734 (3) In addition to the foregoing duties and functions, the veterinarian shall:
10735
10736 (i) Advise the governor or the mayor, as the case may be, on all matters pertaining
10737 to the slaughter of animals for human consumption and the regulation of
10738 slaughterhouses;
10739
10740 (ii) Regulate the keeping of domestic animals;
10741
10742 (iii) Regulate and inspect poultry, milk and dairy products for public consumption;
10743

302
10744 (iv) Enforce all laws and regulations for the prevention of cruelty to animals; and
10745
10746 (v) Take the necessary measures to eradicate, prevent or cure all forms of animal
10747 diseases;
10748
10749 (4) Be in the frontline of veterinary related activities, such as in the outbreak of highly-
10750 contagious and deadly diseases, and in situations resulting in the depletion of animals for
10751 work and human consumption, particularly those arising from and in the aftermath
10752 ofman-made and natural calamities and disasters;
10753
10754 (5) Recommend to the sanggunian and advise the governor or mayor, as the case may be,
10755 on all other matters relative to veterinary services which will increase the number and
10756 improve the quality of livestock, poultry and other domestic animals used for work or
10757 human consumption; and
10758
10759 (c) Exercise such other powers and perform such other duties and functions as may be
10760 prescribed by law or ordinance.
10761
10762 Article XX - The General Services Officer
10763
10764 SECTION 507. Qualifications, Powers and Duties. - (a) No person shall be
10765 appointed general services officer unless he/she is a citizen of the Philippines, a resident of
10766 the local government unit concerned, of good moral character, a holder of a college degree
10767 on public administration, business administration and management from a recognized
10768 college or university, and a first grade civil service eligible or its equivalent. He/she must
10769 have acquired experience in general services, including management of supply, property,
10770 solid waste disposal, and general sanitation, of at least five (5) years in the case of the
10771 provincial or city general services officer, and at least three (3) years in the case of the
10772 municipal general services officer. The appointment of a general services officer is
10773 mandatory for the provincial and city governments.
10774
10775 (b) The general services officer shall take charge of the office on general services and shall:
10776
10777 (1) Formulate measures for the consideration of the sanggunian and provide technical
10778 assistance and support to the governor or mayor, as the case may be, in carrying out
10779 measures to ensure the delivery of basic services and provision of adequate facilities
10780 pursuant to Section 17 of this Code and which require general services expertise and
10781 technical support services;
10782
10783 (2) Develop plans and strategies and upon approval thereof by the governor or mayor, as
10784 the case may be, implement the same, particularly those which have to do with the general
10785 services supportive of the welfare of the inhabitants which the governor or mayor is
10786 empowered to implement and which the sanggunian is empowered to provide for under
10787 this Code;
10788

303
10789 (3) In addition to the foregoing duties and functions, the general services officer shall:
10790
10791 (i) Take custody of and be accountable for all properties, real or personal, owned
10792 by the local government unit and those granted to it in the form of donation,
10793 reparation, assistance and counterpart of joint projects;
10794
10795 (ii)With the approval of the governor or mayor, as the case may be, assign building
10796 or land space to local officials or other public officials, who by law, are entitled to
10797 such space;
10798 (iii) Recommend to the governor or mayor, as the case may be, the reasonable rental
10799 rates for local government properties, whether real or personal, which will be leased
10800 to public or private entities by the local government;
10801
10802 (iv) Recommend to the governor or mayor, as the case may be, reasonable rental
10803 rates of private properties which may be leased for the official use of the local
10804 government unit;
10805
10806 (v) Maintain and supervise janitorial, Security, landscaping and other related
10807 services in all local government public buildings and other real property, whether
10808 owned or leased by the local government unit;
10809
10810 (vi) Collate and disseminate information regarding prices, shipping and other costs
10811 of supplies and other items commonly used by the local government unit;
10812
10813 (vii) Perform archival and record management with respect to records of offices
10814 and departments of the local government unit; and
10815
10816 (viii) Perform all other functions pertaining to supply and property management
10817 heretofore performed by the local government treasurer; and enforce policies on
10818 records creation, maintenance, and disposal;
10819
10820 (4) Be in the frontline of general services related activities, such as the possible or
10821 imminent destruction or damage to records, supplies, properties, and structures and the
10822 orderly and sanitary clearing up of waste materials or debris, particularly during and in
10823 the aftermath of man-made and natural calamities and disasters;
10824
10825 (5) Recommend to the sanggunian and advise the governor or mayor, as the case may be,
10826 on all other matters relative to general services; and
10827
10828 (c) Exercise such other powers and perform such other duties and functions as may be
10829 prescribed by law or ordinance.
10830
10831 TITLE XVIII
10832
10833 LEAGUES OF LOCAL GOVERNMENT UNITS AND ELECTIVE OFFICIALS

304
10834
10835 CHAPTER I
10836 Leagues of Local Government Units
10837 Article I - Liga ng Mga Barangay
10838
10839 SECTION 508. Purpose of Organization. - There shall be an organization of all
10840 Barangays to be known as the Liga ng mga Barangay for the primary purpose of
10841 determining the representation of the Liga in the Sanggunians, and for ventilating,
10842 articulating and crystallizing issues affecting Barangay government administration and
10843 securing, through proper and legal means, solutions thereto.
10844
10845 SECTION 509. Representation, Chapters, National Liga. - Every Barangay
10846 shall be represented in said liga by the Punong Barangay, or in his absence or incapacity,
10847 by a sanggunian member duly elected for the purpose among its members, who shall attend
10848 all meetings or deliberations called by the different chapters of the liga. The liga shall have
10849 chapters at the municipal, city, and provincial levels. The municipal and city chapters of
10850 the liga shall be composed of the Barangay representatives of municipal and city
10851 Barangays, respectively. The duly elected presidents of component municipal and city
10852 chapters shall constitute the provincial chapter. The duly elected presidents of highly-
10853 urbanized cities and provincial chapters shall become part of the National Liga ng mga
10854 Barangay.
10855
10856 SECTION 510. Organization. - The liga at the municipal, city, provincial,
10857 regional, and national levels directly elect a president, a vice-president, and five (5)
10858 members of the board of directors. The board shall appoint its Secretary and treasurer and
10859 create such other positions as it may deem necessary for the management of the chapter. A
10860 Secretary- general shall be elected from among the members of the national liga and shall
10861 be charged with the overall operation of the liga on the national level. The board shall
10862 coordinate the activities of the chapters of the liga.
10863
10864 SECTION 511. Ex-Officio Membership in Sanggunians. - The duly elected
10865 presidents of the liga at the municipal, city and provincial levels, shall serve as ex-
10866 officio members of the Sangguniang Bayan, Sangguniang Panlungsod, Sangguniang
10867 Panlalawigan, respectively. They shall serve as such only during their term of office as
10868 presidents of the liga chapters, which in no case shall be beyond the term of office of the
10869 sanggunian concerned.
10870
10871 SECTION 512. Powers, Functions and Duties of the Liga. - The Liga shall:
10872
10873 (a) Give priority to programs designed for the total development of the Barangays and in
10874 consonance with the policies, programs and projects of the national government;
10875
10876 (b) Assist in the education of Barangay residents for people's participation in local
10877 government administration in order to promote united and concerted action to
10878 achieve country-wide development goals;

305
10879
10880 (c) Supplement the efforts of government in creating gainful employment within the
10881 Barangay;
10882
10883 (d) Adopt measures to promote the welfare of Barangay officials;
10884 (e) Serve as a forum of the Barangays in order to forge linkages with government and non-
10885 governmental organizations and thereby promote the social, economic and political well-
10886 being of the Barangays;
10887
10888 (f) Each Barangay league must submit to the office of the Ministry of Interior and Local
10889 Government a quarterly written report of their meetings and activities including some
10890 recommendation for effective delivery of public services and for good governance;115 they
10891 may also give or submit a report to the ministry on interior on local government anytime
10892 and in any form (written or electronic) on problems they have observed in the
10893 implementation of government projects within their territorial jurisdiction and/ or the acts/
10894 performance of any government officials116.
10895
10896 (g) Exercise such other powers and perform such other duties and functions which will
10897 bring about stronger ties between Barangays and promote the welfare of the Barangay
10898 inhabitants.
10899
10900 Article II - League of Municipalities
10901
10902 SECTION 513. Purpose of Organization. - There shall be an organization of all
10903 municipalities to be known as league of municipalities for the primary purpose of
10904 ventilating, articulating and crystallizing issues affecting municipal government
10905 administration, and securing, through proper and legal means, solutions thereto. The league
10906 shall form provincial chapters composed of the league presidents for all component
10907 municipalities of the province.
10908
10909 SECTION 514. Representation. - Every municipality shall be represented in the
10910 league by the municipal mayor or in his absence, by the vice-mayor or a sanggunian
10911 member duly elected for the purpose by the members, who shall attend all meetings and
10912 participate in the deliberations of the league.
10913
10914 SECTION 515. Powers, Functions and Duties of the League of Municipalities.
10915 - The league of municipalities shall:
10916
10917 (a) Assist the Bangsamoro Autonomous Region in Muslim Mindanao and the national
10918 government in the formulation and implementation of the policies, programs and projects
10919 affecting cities as a whole;
115
It was suggested during consultation to activate, monitor, and received recommendation from the leagues
on matters that affect their groups or their constituent in general.
116
Suggested by stakeholder during consultation to help the Bangsamoro government in monitoring the
implementation of government project and the performance of government officials from region down to
barangay.

306
10920
10921 (b) Promote local autonomy at the municipal level;
10922
10923 (c) Adopt measures for the promotion of the welfare of all municipalities and its officials
10924 and employees;
10925 (d) Encourage people's participation in local government administration in order to
10926 promote united and concerted action for the attainment of country-wide development
10927 goals;
10928
10929 (e) Supplement the efforts of the Bangsamoro Autonomous Region in Muslim Mindanao
10930 and the national government in creating opportunities for gainful employment within the
10931 municipalities;
10932
10933 (f) Give priority to programs designed for the total development of the municipalities in
10934 consonance with the policies, programs and projects of the national government;
10935
10936 (g) Each municipal league must submit to the office of the Ministry of Interior and Local
10937 Government a quarterly written report of their meetings and activities including some
10938 recommendation for effective delivery of public services and for good governance117; they
10939 may also give or submit a report to the ministry on interior on local government anytime
10940 and in any form (written or electronic) on problems they have observed in the
10941 implementation of government projects within their territorial jurisdiction and/ or the acts/
10942 performance of any government officials
10943
10944 (h) Serve as a forum for crystallizing and expressing ideas, seeking the necessary assistance
10945 of the national government, and providing the private sector avenues for cooperation in the
10946 promotion of the welfare of the municipalities; and
10947
10948 (i) Exercise such other powers and perform such other duties and functions as the league
10949 may prescribe for the welfare of the municipalities.
10950
10951 Article III - League of Cities
10952
10953 SECTION 516. Purpose of Organization. - There shall be an organization of all
10954 cities to be known as the League of Cities for the primary purpose of ventilating,
10955 articulating and crystallizing issues affecting city government administration, and securing,
10956 through proper and legal means, solutions thereto. The League may form chapters at the
10957 provincial level for the component cities of a province. Highly urbanized cities may also
10958 form a chapter of the League. The National League shall be composed of the presidents of
10959 the league of highly urbanized cities and the presidents of the provincial chapters of the
10960 league of component cities.
10961

117
It was suggested during consultation to activate, monitor, and received recommendation from the leagues
on matters that affect their groups or their constituent in general.

307
10962 SECTION 517. Representation. - Every city shall be represented in the league by
10963 the city mayor or in his absence, by the city vice-mayor or a sanggunian member duly
10964 elected for the purpose by the members, who shall attend all meetings and participate in
10965 the deliberations of the league.
10966
10967
10968 SECTION 518. Powers, Functions and Duties of the League of City. - The
10969 league of cities shall:
10970
10971 (a) Assist the Bangsamoro Autonomous Region in Muslim Mindanao and national
10972 government in the formulation and implementation of the policies, programs and projects
10973 affecting cities as a whole;
10974
10975 (b) Promote local autonomy at the (city) all level;
10976
10977 (c) Adopt measures for the promotion of the welfare of all cities and its officials and
10978 employees;
10979
10980 (d) Encourage people's participation in local government administration in order to
10981 promote united and concerted action for the attainment of country-wide development
10982 goals;
10983
10984 (e) Supplement the efforts of Bangsamoro Autonomous Region in Muslim Mindanao and
10985 the national government in creating opportunities for gainful employment the cities;
10986
10987 (f) Give priority to programs designed for the total development of constituent unit in
10988 consonance with the policies, programs and projects of the national government;
10989
10990 (g) Serve as a forum for crystallizing and expressing ideas, seeking the necessary assistance
10991 of the national government and providing the private sector avenues for cooperation in the
10992 promotion of the welfare of the cities;
10993
10994 (h) Each city league must submit to the office of the Ministry of Interior and Local
10995 Government a quarterly written report of their meetings and activities including some
10996 recommendation for effective delivery of public services and for good governance; and
10997 they may also give or submit a report to the ministry on interior on local government
10998 anytime and in any form ( written or electronic) on problems they have observed in the
10999 implementation of government projects within their territorial jurisdiction and/ or the acts/
11000 performance of any government officials
11001
11002 (i) Exercise such other powers and perform such other duties and functions as the league
11003 may prescribe for the welfare of the cities.
11004
11005 Article IV - League of Provinces
11006

308
11007 SECTION 519. Purpose of Organization. - There shall be an organization of all
11008 provinces to be known as the League of Provinces for the primary purpose of ventilating,
11009 articulating and crystallizing issues affecting provincial government administration, and
11010 securing, through proper and legal means, solutions thereto.
11011
11012 SECTION 520. Representation. - Every province shall be represented in the
11013 league by the provincial governor or in his/her absence, by the provincial vice-governor or
11014 a sanggunian member duly elected for the purpose by the members, who shall attend all
11015 meetings and participate in the deliberations of the league.
11016
11017 SECTION 521. Powers, Functions and Duties of the League of Provinces. - The
11018 league of provinces shall:
11019
11020 (a) Assist the Bangsamoro Autonomous Region in Muslim Mindanao and the national
11021 government in the formulation and implementation of the policies, programs and projects
11022 affecting provinces as a whole;
11023
11024 (b) Promote local autonomy at the provincial level;
11025
11026 (c) Adopt measures for the promotion of the welfare of all provinces and its officials and
11027 employees;
11028
11029 (d) Encourage peoples participation in local government administration in order to promote
11030 united and concerted action for the attainment of countrywide development goals;
11031
11032 (e) Supplement the efforts of the Bangsamoro Autonomous Region in Muslim Mindanao
11033 and the national government in creating opportunities for gainful employment within the
11034 province;
11035
11036 (f) Give priority to programs designed for the total development of the provinces in
11037 consonance with the policies, programs and projects of the national government;
11038
11039 (g) Serve as a forum for crystallizing and expressing ideas, seeking the necessary assistance
11040 of the national government and providing the private sector avenues for cooperation in the
11041 promotion of the welfare of the provinces;
11042
11043 (h) Each provincial league must submit to the office of the Ministry of Interior and Local
11044 Government a quarterly written report of their meetings and activities including some
11045 recommendation for effective delivery of public services and for good governance; and
11046 they may also give or submit a report to the ministry on interior on local government
11047 anytime and in any form ( written or electronic) on problems they have observed in the
11048 implementation of government projects within their territorial jurisdiction and/ or the acts/
11049 performance of any government officials
11050

309
11051 (i) Exercise such other powers and perform such other duties and functions as the league
11052 may prescribe for the welfare of the provinces.
11053
11054 Article V - Provisions Common to All Leagues
11055
11056 SECTION 522. Funding. - (a) All leagues shall derive its funds from contributions
11057 of member local government units and from fund-raising projects and activities without
11058 the necessity of securing permits therefor: Provided, That the proceeds from said fund-
11059 raising projects and activities shall be used primarily to fund the projects for which the said
11060 proceeds have been raised, subject to the pertinent provision of this Code and the pertinent
11061 provisions of the Omnibus Election Code.
11062
11063 (b) All funds of leagues shall be deposited as trust funds with its treasurer and shall be
11064 disbursed in accordance with the board of director's resolutions, subject to pertinent
11065 accounting and auditing rules and regulations: Provided, That the treasurer shall be bonded
11066 in an amount to be determined by the board of directors. The funds of a chapter shall be
11067 deposited as chapter funds and funds of the national league shall be deposited as national
11068 funds.
11069
11070 (c) The municipal government, city government and provincial government and regional
11071 government must give financial subsidy to the league in support to their activity subject to
11072 the availability of funds118.
11073
11074 (d) To maximize cooperation, coordination and camaraderie among and between local
11075 government units, They may group themselves or form an alliances for purposes
11076 commonly beneficial to them. The Regional Government is oblige to give financial subsidy
11077 for the said alliances subject for the availability of funds.
11078
11079 SECTION 523. Organizational Structure. - To ensure the effective and efficient
11080 administration, the leagues for municipalities, cities and provinces shall elect chapter- level
11081 and national-level boards of directors and a set of officers headed by the president. A
11082 secretary- general shall be chosen from among the national league members to manage the
11083 day to day operation and activities of the national league. The board of directors on the
11084 chapter or national level may create such other positions as may be deemed necessary for
11085 the management of the chapters and of the national league. The national board of directors
11086 of the leagues for municipalities, cities or provinces shall coordinate programs, projects
11087 and activities of chapter and the national-level league.
11088
11089 SECTION 524. Constitution and By-laws of the Liga and the Leagues. - All
11090 other matters not herein otherwise provided for affecting the internal organization of the
11091 leagues of local government units shall be governed by their respective constitution and by-
11092 laws which are hereby made suppletory to the provision of this Chapter: Provided, That

118
Suggested during consultation because their monthly dues are not sufficient to cover their proposed
activities.

310
11093 said Constitution and By-laws shall always conform to the provisions of the Constitution
11094 and existing laws.
11095
11096 CHAPTER I
11097 Leagues and Federations of Local Elective Officials
11098
11099 SECTION 525. Organization. - (a) Vice-governor, vice-mayors, sanggunian
11100 members of barangays, municipalities, component cities, highly-urbanized cities and
11101 provinces, and other elective local officials of local government units may form their
11102 respective leagues or federation, subject to applicable provisions of this Title and pertinent
11103 provisions of this Code;
11104
11105 (b) Sanggunian members of component cities and municipalities shall form a provincial
11106 federation and elect a board of directors and a set of officers headed by the president. The
11107 duly elected president of the provincial federation of sanggunian members of component
11108 cities and municipalities shall be an ex-officio member of the Sangguniang Panlalawigan
11109 concerned and shall serve as such only during his term of office as president of the
11110 provincial federation of sanggunian members of component cities and municipalities,
11111 which in no case shall be beyond the term of office of the Sanggunian Panlalawigan
11112 concerned.
11113
11114 SECTION 526. Constitution and By-Laws. - The leagues or federations shall
11115 adopt a Constitution and by-laws which shall govern their internal organization and
11116 operation: Provided, That said Constitution and by-laws shall always conform to the
11117 provision of the Constitution and existing laws.
11118
11119 SECTION 527. Funding. - The leagues and federations may derive their funds
11120 from contributions of individual league or federation members or from fund-
11121 raising projects or activities. The local government unit concerned may appropriate funds
11122 to support the leagues or federation organized pursuant to this Section, subject to the
11123 availability of funds.
11124
11125 BOOK IV
11126 MISCELLANEOUS AND FINAL PROVISIONS
11127
11128 TITLE ONE. – PENAL PROVISIONS
11129
11130 Section 528. Posting and Publication of Ordinances with Penal Sanctions. -(a)
11131 Ordinances with penal sanctions shall be posted at three (3) conspicuous119 places in the
11132 provincial capitol, city, municipal or Barangay hall, as the case may be, for a minimum
11133 period of six (6) consecutive weeks. Whenever available, such ordinances shall also be
11134 published in a newspaper of general circulation, within the territorial jurisdiction of the
11135 local government unit concerned, or by any other mode of publications120. Unless

119
Amended from prominent place to conspicuous place to ensure that the constituents are properly informed.
120
Provided an alternative mode of publication to ensure that information to disseminated to the people

311
11136 otherwise provided therein, said ordinances shall take effect on the day following its
11137 publication, or at the end of the period of posting, whichever occurs later.
11138
11139 (b) Any public officer or employee who violates an ordinance shall be meted administrative
11140 disciplinary action, without prejudice to the filing of the appropriate civil or criminal
11141 action.
11142
11143 (c) The secretary to the Sanggunian concerned shall transmit official copies of such
11144 ordinances to the Chief Executive Officer of the Official Gazette within twelve (12) days
11145 following the approval of the said ordinance for publication purposes. The Official Gazette
11146 may publish ordinances with penal sanctions for archival and reference purposes.
11147
11148 (d) Publication shall include its translation to local dialects121.
11149
11150 Section 529. Withholding of Benefits Accorded to Local Government Units
11151 Officials and Employees. -Willful and malicious withholding of any of the benefits
11152 accorded to Barangay, Municipal, City, or Provincial officials and employees provided by
11153 this Code hereof shall be punished with suspension or dismissal, from office of the official
11154 or employee responsible therefor.
11155
11156 Section 530. Failure to Post and Publish the Itemized Monthly Collections and
11157 Disbursements. - Failure by the local treasurer or the local chief accountant to post the
11158 itemized monthly collections and disbursements of the local government unit concerned
11159 within ten (10) days following the end of every month and for at least two (2) consecutive
11160 weeks at prominent places in the main office building of the local government unit
11161 concerned, its plaza and main street, and to publish said itemization in a newspaper of
11162 general circulation, where available, in the territorial jurisdiction of such unit, or by any
11163 other mode of publication, shall be punished by a fine not exceeding Five thousand pesos
11164 (Php 5,000.00) or by suspension or by imprisonment not exceeding one (1) year or both
11165 such fine, suspension or imprisonment at the discretion of the court.
11166
11167 Section 531. Engaging in Prohibited Business Transactions or Possessing
11168 Illegal Pecuniary Interest. – Any local official and any person or persons dealing with
11169 him who violate the prohibitions provided in Section 89 of Book I hereof, shall be punished
11170 with imprisonment for six months and one day to six years, or a fine of not less than Fifteen
11171 thousand122 pesos (Php 15,000.00) nor more than Fifty thousand pesos (Php50,000.00), or
11172 both such imprisonment and fine, at the discretion of the court.
11173
11174 Section 532. Refusal or Failure of Any Party or Witness to Appear before the
11175 Lupon or Pangkat. – Refusal or willful failure of any party or witness to appear before
11176 the Lupon or Pangkat in compliance with a summons issued pursuant to the provisions on

121
Included translation as suggested during consultation because constituent could not understand
ordinances from local government units
122
Higher penalties would influence violators in not committing the acts as suggested during the consultation
with BARMM constituents.

312
11177 the Katarungang PamBarangay under Chapter 7, Title One of Book III of this Code may
11178 be punished by the city or municipal court as for indirect contempt of court upon
11179 application filed therewith by the Lupon chairman, the Pangkat chairman, or by any of the
11180 contending parties. Such refusal or willful failure to appear shall be reflected in the records
11181 of the Lupon secretary or in the minutes of the Pangkat secretary and shall bar the
11182 complainant who fails to appear, from seeking judicial recourse for the same cause of
11183 action, and the respondent who refuses to appear, from filing any counterclaim arising out
11184 of, or necessarily connected with the complaint.
11185
11186 A pangkat member who serves as such shall be entitled to an honorarium, the
11187 amount of which is to be determined by the Sanggunian concerned, subject to the
11188 provisions in this Code cited above.
11189
11190 Section 533.Penalties for Violation of Tax Ordinances. – The Sanggunian of a
11191 local government unit is authorized to prescribe fines or other penalties for violation of tax
11192 ordinances but in no case shall such fines be less than Ten thousand pesos (Php 10,000.00)
11193 nor more than Fifty thousand pesos (Php 50,000.00), nor shall imprisonment be less than
11194 one (1)month nor more than six (6) months. Such fine or other penalty, or both, shall be
11195 imposed at the discretion of the court. The Sangguniang Barangay may prescribe a fine of
11196 not less than One thousand pesos (Php 1000.00) nor more than Ten thousand pesos (Php
11197 10,000.00).
11198
11199 Section 534. Omission of Property from Assessment or Tax Rolls by Officers
11200 and Other Acts. – Any officer charged with the duty of assessing real property who
11201 willfully fails to assess, or who intentionally omits from the assessment or tax roll any real
11202 property which he knows to be taxable, or who willfully or negligently underassesses any
11203 real property, or who intentionally violates or fails to perform any duty imposed upon him
11204 by law relating to the assessment of taxable real property shall, upon conviction, be
11205 punished by a fine of not less than Ten thousand pesos (Php 10,000.00) nor more than Fifty
11206 thousand pesos (Php 50,000.00), or by suspension, or by imprisonment of not less than one
11207 (1) month nor more than six (6) months, or both such fine and suspension or imprisonment,
11208 at the discretion of the court.
11209
11210 The same penalty shall be imposed upon any officer charged with the duty of
11211 collecting the tax due on real property who willfully or negligently fails to collect the tax
11212 and institute the necessary proceedings for the collection of the same.
11213
11214 Any other officer required by this Code to perform acts relating to the
11215 administration of the real property tax or to assist the assessor or treasurer in such
11216 administration, who willfully fails to discharge such duties shall, upon conviction be
11217 punished by a fine of not less than Five thousand pesos (Php 5,000.00) nor more than Fifty
11218 thousand pesos (Php 50,000.00) or suspension, or imprisonment of not less than one (1)
11219 month nor more than six (6) months, or both such fine and suspension or imprisonment, at
11220 the discretion of the court.
11221

313
11222 Section 535.Government Agents Delaying Assessment of Real Property and
11223 Assessment Appeals.– Any government official who intentionally and deliberately delays
11224 the assessment of real property or the filing of any appeal against its assessment shall be
11225 liable for suspension ,or upon conviction, be punished by a fine of not less than Five
11226 thousand pesos (Php 5000.00) nor more than Fifty thousand pesos (Php 50,000.00), or by
11227 imprisonment of not less than one (1) month or more than six (6) months, or both such fine
11228 and imprisonment, at the discretion of the court.
11229
11230 Section 536. Failure to Dispose of Delinquent Real Property at Public Auction.
11231 – The local treasurer concerned who fails to dispose of delinquent real property at public
11232 auction in compliance with the pertinent provisions of this code, and any other local
11233 government official whose acts hinder the prompt disposition of delinquent real property
11234 at public auction shall, upon conviction, be subject to a fine of not less than Ten thousand
11235 pesos (Php 10,000.00) nor more than Fifty thousand pesos (Php 50,000.00), or
11236 imprisonment of not less than one (1) month nor more than six (6) months, or both such
11237 fine and imprisonment, at the discretion of the court.
11238
11239 Section 537. Prohibited Acts Related to the Award of Contracts Under the
11240 Provisions on Credit Financing. – It shall be unlawful for any public official or employee
11241 in the provincial, city, or municipal government, or their relatives within the fourth civil
11242 degree of consanguinity or affinity, to enter into or have any pecuniary interest in any
11243 contract for the construction, acquisition, operation, or maintenance of any project awarded
11244 pursuant to the provisions of Title Four in Book II hereof, or for the procurement of any
11245 supplies, materials, or equipment of any kind toused in the said project. Any person
11246 convicted for violation of the provisions of said Title shall be removed from office and
11247 shall be punishable by imprisonment of not less than two (2) month, nor more than three
11248 (3) years, at the discretion of the court, without prejudice to prosecution under other law.
11249
11250 Section 538. Act of Officials in Violation of the Provisions of this Code. Any act
11251 of officials and employees in violation of the provisions of this Code shall be
11252 administratively liable, without prejudice to the filing of criminal and civil case.
11253
11254 TITLE TWO. – PROVISIONS FOR IMPLEMENTATION
11255
11256
11257 Section 539. Mandatory Review Every Five Years. – The Bangsamoro
11258 Parliament shall undertake a mandatory review of this Code at least once every five (5)
11259 years and as often as it may deem necessary, with the primary objective of providing a
11260 more responsive and accountable local government structure.
11261
11262 Section 540. Insurance Coverage. – The Government Service Insurance System
11263 (GSIS) shall establish and administer an appropriate system under which the Punong
11264 barangay, the members of the Sangguniang Barangay, the Barangay secretary, the
11265 Barangay treasurer, and the members of the Barangay tanod shall enjoy insurance coverage
11266 as provided in this Code and other pertinent laws.

314
11267
11268 There shall be a system that will provide insurance coverage for the Punong barangay, the
11269 members of the Sangguniang Barangay, the Barangay secretary, the Barangay treasurer,
11270 the members of the Barangay tanod, and the members of the Barangay Peacekeeping
11271 Action Team (BPAT) shall enjoy insurance coverage as provided in this Code and other
11272 pertinent laws.
11273
11274 Section 541. Personnel Retirement and/or Benefits. – An official or employee of
11275 the national government or local government unit separated from the service as a result of
11276 reorganization effected under this Code shall, if entitles under the laws then in force,
11277 receive the retirement and other benefits accruing thereunder: Provided, however, That
11278 such benefits shall be given funding priority by the Department of Budget and Management
11279 in the case of national officials and employees, and the local government unit concerned in
11280 the case of local officials and employees.
11281
11282 Where the employee concerned is not eligible for retirement, he shall be entitled to a
11283 gratuity from the national government or the local government unit concerned, as the case
11284 may be, equivalent to an amount not lower than one (1) month salary for every year of
11285 service over and above the monetary value of the leave credits said employee is entitled to
11286 receive pursuant to existing laws.
11287
11288 Section 542. Inventory of Infrastructure and Other Community Facilities.– (a)
11289 Each local government unit shall conduct a periodic inventory of infrastructure and other
11290 community facilities and undertake the maintenance, repair, improvement, or
11291 reconstruction of these facilities through a closer cooperation among the various agencies
11292 of the national government operating within the province, city, or municipality concerned.
11293
11294 (b) No infrastructure or community project within the territorial jurisdiction of any local
11295 0government unit shall be undertaken without informing the local chief executive and the
11296 Sanggunian concerned.
11297
11298 Section 543. Records and Properties. – All records, equipment, buildings,
11299 facilities, and other properties of any office or body of a local government unit abolished
11300 or reorganized under this Code shall be transferred to the office or body to which its
11301 powers, functions, and responsibilities are substantially devolved.
11302
11303 Section 544. Monitoring and Evaluation System. The Bangsamoro Government
11304 shall establish a monitoring and evaluation system to ensure full delivery of basic services,
11305 faithful implementation of plans, programs, and projects, and compliance to existing
11306 policies, laws, rules and regulations.123
11307
11308
11309
11310

123
Suggested by the constituents that a separate monitoring team be established in BARMM./

315
11311 TITLE THREE. – TRANSITORY PROVISIONS
11312
11313 Section 545. Tax Ordinances or Revenue Measures.- All existing tax ordinances
11314 or revenue measures of local government units shall continue to be in force and effect
11315 after the effectivity of this Code unless amended by the Sanggunian concerned, or
11316 inconsistent with, or in violation of, the provisions of this Code.
11317
11318 Section 546. Formulation of Implementing Rules and Regulations.- (a)Within
11319 six (6) months after the approval of this Code, the Chief Minister shall convene the
11320 Oversight Committee as herein provided. The said Committee shall formulate and issue
11321 the appropriate rules and regulations necessary for the efficient and effective
11322 implementation of any and all provisions of this Code, thereby ensuring compliance with
11323 the principles of local autonomy as defined under the Constitution.
11324
11325 (b) The Committee shall be composed of the following:
11326
11327 (1) The Executive Secretary, who shall be the Chairperson;
11328
11329 (2) Four (3) members of the Bangsamoro Parliament to be appointed by the Chief
11330 Minister of the Bangsamoro Government, to include the Chairperson of the
11331 Committee on Local Government;
11332
11333 (3) The Cabinet, represented by the following:
11334
11335 (i) Minister of the Interior and Local Government
11336 (ii) Ministry of Finance and Budget and Management
11337
11338 (3) One (1) representative from each of the following:
11339
11340 (i) The League of Provinces;
11341 (ii) The League of Municipalities; and
11342 (iii) The Liga ng mga Barangay.
11343
11344 (c) The Committee shall submit its report and recommendation to the Chief Minister
11345 within two (2) months after its organization. If the Chief Minister fails to act within thirty
11346 (30) days from receipt thereof, the recommendation of the Oversight Committee shall be
11347 deemed approved. Thereafter, the Committee shall supervise the transfer of such powers
11348 and functions mandated under this Code to the local government units, together with the
11349 corresponding personnel, properties, assets and liabilities of the offices or agencies
11350 concerned, with the least possible disruptions to existing programs and projects. The
11351 Committee shall likewise recommend the corresponding appropriations necessary to
11352 effect the said transfer.
11353

316
11354 For this purpose, the services of a technical staff shall been listed from among the
11355 qualified employees of the Parliament, the regional government offices, and the leagues
11356 constituting the Committee.
11357
11358 (d) The funding requirements and the secretariat of the Committee shall be provided by
11359 the Office of the Chief Minister.
11360
11361 (e) The sum of Three million pesos (P3,000,000.00), which shall be charged against the
11362 appropriations of the Office of the Chief Minister is hereby allotted to the Committee to
11363 fund the undertaking of an information campaign on this Code. The Committee shall
11364 formulate the guidelines governing the conduct of said campaign, and shall determine
11365 the national agencies or offices to be involved for this purpose.
11366
11367 SECTION 547. Transitory Provisions on the Gradual Devolution. – Seven (7)
11368 years after the effectivity of the Code, the Committee shall conduct comprehensive
11369 assessment on the capacity of the local government units and promulgate guidelines in the
11370 implementation of the devolution process.
11371
11372 After the completion of the assessment, the Committee shall submit. a
11373 comprehensive report on the devolution process including recommendations on effective
11374 collaboration between the Bangsamoro Government and the local government units in the
11375 delivery of devolved services and facilities.
11376
11377 Affected ministries in the implementation of the gradual devolution shall reorganize
11378 their structure and services to avoid overlapping of functions. The ministries shall ensure
11379 the security of tenure of the affected personnel is respected and no demotion in rank as
11380 provided for by the existing rules and regulations. Further, the reorganization of concerned
11381 ministries shall be guided by the following policies:
11382
11383 (a) Capacity development intervention to the local government units;
11384 (b) Prioritize regional mandate not covered by the devolved services and facilities;
11385 (c) Ensure the complementation of regional and local government services.
11386
11387 The local government units may be allowed to implement projects funded by the
11388 Bangsamoro Government, particularly, projects operated and maintained by the concerned
11389 units and subject to their absorptive capacity as certified by Ministry of the Interior and
11390 Local Government and Ministry of Public Works.
11391
11392 SECTION 548. Transitory Provisions on the Barangays Without Internal
11393 Revenue Allotment. - (a) The Ministry of the Interior and Local Government, within 60
11394 days after the effectivity of this Code, shall create a committee that will revalidate the
11395 compliance of those barangays created under Muslim Mindanao Autonomy Act No. 25
11396 that failed to meet the standard requirements laid down in Republic Act No. 7160.
11397

317
11398 The Committee shall be composed of representatives from the Ministry of the
11399 Interior and Local Government, Philippine Statistics Authority, Ministry of Environment,
11400 Natural Resources and Energy, and Ministry of Finance, and Budget and Management.
11401
11402 After revalidation, the validating team shall submit the result of the validation to
11403 the Office of the Chief Minister for appropriate action of those barangays that have already
11404 met the criteria laid down by Republic Act No. 7160. The said barangays shall
11405 automatically be entitled to the Internal Revenue Allotment as provided in Section 6,
11406 Article X of the 1987 Constitution.
11407
11408 (b) Those barangays that still failed to meet the criteria laid down by RA 7160 shall
11409 be reverted to their mother barangays.
11410
11411 (c) After the effectivity of this Code, the creation of a new barangay must comply
11412 with the requirements laid down by this Code.
11413
11414 SECTION 549. Transitory Provisions for Municipality. - (a) After the
11415 effectivity of this Code, the creation of municipalities must comply with the requisites
11416 provided by this Code such as income, population and territory.
11417
11418 (c) Pending the conversion of the 63 barangays in North Cotabato into appropriate
11419 territorial or political subdivision, the barangays shall be constituted as a Special
11420 Geographic Area and be grouped into eight (8) cluster;
11421
11422 (d) For this purpose, the Parliament shall enact a law creating a Special Geographic
11423 Area Development Authority that will manage the development affairs in the Special
11424 Geographic Area;
11425
11426 (e) The Special Geographic Area Development Authority shall perform those powers
11427 and services devolved to local government units under this Code other than those delivered
11428 by the barangays; and
11429
11430 (f) The Special Geographic Area Development Authority shall be composed of the
11431 Board, Director General, and eight (8) Cluster Coordinators and shall perform planning,
11432 implementation, monitoring, and coordinating function and in the process exercise
11433 supervisory and regulatory authority over the promotion of general welfare of the people
11434 without prejudice to the autonomy of barangay local government units.
11435
11436 (d) The Bangsamoro Government shall provide financial and technical support to these
11437 special geographical units.
11438
11439 TITLE FOUR. – FINALPROVISIONS
11440
11441 Section 550. Devolved National Agencies and Offices. – Line agencies of Office of the
11442 National Government devolved to the autonomous region pursuant to Section 4, Art. XIX

318
11443 of Republic Act No. 6734, as amended by Republic Act No. 9054 shall continue to be
11444 placed under the control and supervision of the Chief Minister.
11445
11446 Section 551. Repealing Clause. – (a) All laws, orders, acts, charters, decrees, executive
11447 orders, proclamations, rules and regulation and all other issuances, or part thereof, which
11448 are inconsistent with this code are hereby repealed or modified accordingly.
11449
11450 Section 552. Separability Clause.-If, for any reason or reasons, any part or provision of
11451 this Code shall be held to be unconstitutional or invalid, other parts or provisions hereof
11452 which are not affected thereby shall continue to be in full force and effect.
11453
11454 Section. 553. Effectivity Clause. – This Code shall take effect immediately following
11455 its complete publication in at least one (1) newspaper of general circulation in the
11456 Bangsamoro Autonomous Region in Muslim Mindanao.
11457
11458
11459
11460 ATTY. ALI PANGALIAN M. BALINDONG
11461 Speaker
11462
11463 This Act was passed by the Bangsamoro Parliament on ___________.
11464
11465
11466
11467 PROF. RABY B. ANGKAL
11468 Secretary General
11469
11470 APPROVED:
11471
11472
11473
11474 AHOD BALAWAG EBRAHIM
11475 Chief Minister
11476 Date:______

319