Guidelines on the Analysis of CapDev Needs of LGUs

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 CapDev Analysis
(Province-wide ‘Capacity
Story’)

Evidence-based CapDev
Design and Standards

Regional Delivery
Mechanisms with National
Quality Assurance
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BACKGROUND & PURPOSE

Changing Mindsets. Influencing Behavior.

Changing Mindsets. Influencing Behavior.
 Background
LGUs have prepared their Devolution Transition Plans to transition them to the
requirements of full devolution following the Executive Order No. 138,
and it needs to be analyzed from a province-wide or area-wide perspective to support
shared development outcomes and determine the common and unique capacity
priorities by the province and its component LGUs.

The capacity requirements may fall under foundational, enabling, and developmental
CapDev interventions in accordance with DILG MC No. 2021-101 Guidelines on
Developing Capacities of Local Government Units in the Context of Full Devolution.

The segmentation of LGUs based on analysis of capacity and performance using

indicators from the SGLG is essential in clustering and prioritizing LGUs for CapDev,
as well as in analyzing the DTPs from a province- or area-wide perspective.

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 Purpose
The policy shall guide DILG Regional, Provincial and Field Offices in the
analysis of CapDev needs of the province and its component LGUs or
clusters of LGUs along shared ecosystem or shared requirements of
metropolitan or area-wide development.

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SCOPE & COVERAGE

Changing Mindsets. Influencing Behavior.

Changing Mindsets. Influencing Behavior.
 Scope/Coverage

• The policy covers all DILG Regional, Provincial, and Field Offices

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POLICY CONTENT

Changing Mindsets. Influencing Behavior.

Changing Mindsets. Influencing Behavior.
RO-Led CapDev Analysis

The DILG recognizes that the ROs are well-placed and most capable to lead and
coordinate with internal and external stakeholders the analysis for CapDev based on the
DTPs and LGU segmentation.

ROs are the highest policy coordinating
and administrative level of the
Department that is nearest to the
provinces - the highest tier assisting the
President in the exercise of general
supervision over LGUs, and/or Highly
Urbanized Cities (HUCs).
ROs have the systems and
mechanisms in place for expertise
collaboration and knowledge
co-creation through the LGRRC, MSAC,
the Development Administration Cluster
or Committee (DAC) of the Regional
Development Council, and the networks
of LRIs; and partnerships with HEIs.
ROs have the social and
political capital with
Provinces and Component
LGUs through the work of
Provincial and Field Offices
at the local level.

It is also the policy of the Department to empower and support ROs to develop their own
processes and directions for CapDev analysis for each province or clusters of provinces
and their component LGUs in their respective regions in recognition of the ROs’ familiarity
with local conditions and realities as well as their appreciation for national policy and
priorities.

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Whole-of-Province or Area-wide Approach
Consistent with the DILG’s advocacy, in support of the Local Government Code of 1991
(LGC), that the province shall exercise supervisory authority over its component LGUs, and in
recognition that socio-economic development is best sustained under conditions of scale,
cooperation, and collaboration, the analysis of CapDev needs shall be province-wide (e.g.
province with component LGUs) taking into account:
• Area-wide, integrated, and collaborative perspective, including where appropriate, factors such as natural
ecosystems and socio-economic linkages involving clusters of LGUs;

• Shared development outcomes drawn from the socio-economic potential of the province and component
LGUs, informed by existing provincial development and physical framework plans, strategy documents,
sector-based master plans, vision papers, and any whole-of-province reference document;

• Cross-boundary development and risks, such as those that support resilience and DRR and metro-wide
governance arrangements (e.g. tourism linkages, manufacturing and industrial hubs, logistic routes, social
protection standards, connectivity and mobility of people and goods, governance of public health etc.);

• Shared localized development directions vis-à-vis the Philippine Development Plan or Sustainable
Development Goals; and/or

• Whole-of-province commitments to support NEDA’s 10-point agenda to sustain socio-economic recovery

through measures shifting from COVID-19 pandemic to endemic mindset and capacity.

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Collaborative and Multi-stakeholder Approach
ROs, in their best judgment, shall mobilize the multi-disciplinary and multi-sectoral
expertise of stakeholders within and outside the Department, such as but not limited to
the LGRRC, MSAC, the DAC of the Regional Development Council, LRIs and HEIs,
including where essential, the officers and staff of the Provincial Government, to
enhance the analytical capacity for CapDev.

Framework/s for CapDev Analysis

Agreeing how to discipline the CapDev analysis in terms of focus and/or scope shall
be the discretion of DILG ROs based on the nuances of the province/s in the region.
Brainstorming within the RO and drawing insights from other stakeholders in the
context of collaboration and multi-stakeholder approach, among other tools to develop
appropriate framework/s, shall be the prerogative of ROs.

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Service Delivery
ROs shall consider the ‘bundle of services’ that a province and its component LGUs
prioritize to support shared province-wide outcomes in accordance with the
whole-of-province or
area-wide approach:
• Not all fully-devolved functions will matter to achieve the province-wide
outcomes during the transition period for full devolution (i.e., 2022-2024).
• LGUs shall likely select their own priority services vis-à-vis the full menu of
devolved functions.

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Time
ROs shall also consider the element of time in analyzing CapDev vis-à-vis
priority bundle of services by provinces and their component LGUs, specifically:
• Capacity needed for the province and its component LGUs to deliver
services in the first year of full devolution to ensure continuous,
non-interrupted services, despite the devolution transition from NGA
service delivery to local delivery systems.
• Capacity needed to support the province and its component LGUs to
deliver services during the devolution transition period 2022-2024 and to
realize the shared development outcomes.

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CapDev Interventions
Using the RO’s preferred framework to understand how the province-wide
direction and outcomes shall be facilitated and realized through better
capacity, the ROs shall determine the common foundational capacity
needs in the first year of implementation of full devolution, and the mix of
foundational, enabling, and/or developmental interventions during the full
devolution transition period.
a. Foundational CapDev refers to the basic minimum needs required for LGUs to
implement the requisites of full devolution.
b. Enabling CapDev refers to the basic minimum needs required to provide a conducive
environment for local governance and development.
c. Developmental CapDev refers to the basic minimum needs required to align
LGU-specific development priorities with area-wide and/or provincial-regional
development.

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Prioritization of CapDev Needs
CapDev needs determined by ROs shall be considered.
• Using the RO's preferred analytical framework and in consideration of the categories
of CapDev interventions (F,E,D), the RO shall develop its prioritization criteria to
determine which CapDev interventions need to be given full attention in the first six
months under the new terms of office of elected officials (i.e. June-December 2022)
and those that shall be programmed in the full transition period (2022-2024)
• The ROs shall review the CapDev priorities regularly to take into account new
information, directions, and/or context-specific opportunities or challenges that the
province and its component LGUs need to address.

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Use of DILG Data
In the analysis of CapDev needs, especially those that need to be
addressed immediately in 2022, ROs are encouraged to use the following
references:
a. Governance Assessment Report (GAR)
b. CapDev Agenda and other available capacity assessment results (including sectoral
assessments)
c. Report on LGU Segmentation into Capacity-Performance Quadrants
d. DTPs
e. Other available sectoral data

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Strategic Communication and Relationship Management
ROs shall communicate the results of the CapDev analysis with the
following partners and stakeholders
a. NGA partners through the RDC
b. LGU partners through the Governor to build local ownership and support,
especially on the province-wide development outcomes and the required support
by component LGUs to realize these
c. Other LGU Executives
d. Other stakeholders

Monitoring and Evaluation of CapDev

LGA and Regional Office shall establish a monitoring and evaluation
system for the CapDev analyses.

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Timeline of Activities

Analysis of CapDev Needs

Provincial – 1st Week of July 2022
Regional – 2nd Week of 2022
National – 3rd - 4th week of July 2022

Presentation of Analysis Results

Regional Devolution Transition Committee - 3rd - 4th week of July 2022
Governors – 1st Week of August 2022
Regional Development Council (RDC) – 2nd – 3rd week of October 2022

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Timeline of Activities

Updating of CapDev Needs Analysis based on New CapDev Agenda of LGUs

Provincial Level - October 2022
Regional Level - November 15, 2022
National Level - November 30, 2022

Communication to Stakeholders of Regional and National Analysis

– 1st – 2nd week of December 2022

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 Timeline of Activities
JULY AUG SEPT OCT NOV DEC

Provincial Analysis
1st week

Regional Analysis
2nd week

National Analysis
3rd-4th week

Presentation to Presentation Presentation

Regional Devolution to Governors to Regional
Transition 1st week Development
Updating of
Committee Council
CapDev Needs
3rd - 4th week 2nd – 3rd week
Analysis – Communication
Regional Level to Stakeholders
Updating of CapDev 1st – 2nd week of Regional and
Needs Analysis – National
Provincial Level National Level Analysis
1st – 4th week 3rd – 4th week 1st – 2nd week

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Formative CapDev Analyses- ROs I, MIMAROPA, VI, IX, and X were
selected to prototype one province-wide CapDev analyses within a 10-day
period using DTPs, LGU segmentation, and other existing data. LGA shall
make these formative reports to ROs upon request to foster a culture of
learning within the Department.

The presentations and the recordings can be accessed through the link:
https://bit.ly/capdevanalyticsprototypes

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