MANDANAS RULING

LGU
& THE DILG
Excerpts from RO Presentation
On Mandanas Ruling

Clarifies the just share of Internal Revenue Allotment (IRA) of the LGUs to
include all national taxes and not limited to national internal revenue
taxes
On Mandanas Ruling

Implications

(1) More resources for LGU service delivery

● Increase of IRA will help fund devolved basic services such as health,
agriculture, education, disaster management, peace and order, and
safety
● Expectation for better performance
On Mandanas Ruling

Implications

(2) Fewer resource for PPAs for NGAs

● PPAs of NGAs that encompass the roles and service delivery functions of
LGUs will be removed and devolved to LGUs.
● Fewer PPAS for NGAs, expected to perform less implementation and more
oversight functions
On Mandanas Ruling

Implications

(3) Greater demand for capacity and supervision of LGUs

● Expanded oversight role of DILG, exercise of oversight responsibilities of
provinces, cities and municipalities over their respective component LGUs
Areas to be Strengthened
LGU
1. Local Development Planning to ensure that programs and projects are responsive to the
needs of the people and with appropriate funds
2. Public Financial Management to ensure effective administration of funds to achieve maximum
value for money in the delivery of services
3. Monitoring and Evaluation to assess project performance whether the intended outcomes are
being achieved
4. Project Management to achieve desired results on set timelines
5. Community Mobilization/ Participation to provide more platforms for citizens engagement
and ensure participative local planning process
Areas to be Strengthened
DILG
1. Improve Local Economic Development to ensure self-sufficiency and sustainability and build
up the economic capacity of LGUs to improve their economic future and the equality of life for
all
2. Establish Anti-corruption measures and transparency to safeguard the resources of LGUs and
ensure that it is utilized judiciously
3. Scale-up disaster preparedness to increase adaptive capacities and resiliency of LGUs to
disaster, including crisis and risk management
4. Exacting accountability to ensure that local officials are performing their functions effectively
and make sure that they must at all times be accountable to the people they serve
5. Promote peace and order to significantly reduce all forms of criminality, insurgency and illegal
drugs to ensure the environment is conducive to sustained LG growth and development
LGU Preparedness

❏ Public Financial Management Assessment Tool (PFMAT)

❏ LGU Absorptive Capacity
❏ CapDev Assessment Tool
❏ Competency Tool
 DILG’s supervision to
DILG as an organization
LGUs

● Tailored capacity development

● Enabling policy anchors both on executive
interventions based on LGU current
and legislative tracks
capacities. Shift in DILG’s capacity-
● Increased monitoring and evaluation
building approaches to appropriate
capacity (i.e., effective systems, tools, and
interventions for LGUs
● human resources) with effective ‘carrot and
Ensuring that increased devolved
stick’ mechanisms;
funds will be spent efficiently and
● Strengthened ties with civil society as
effectively through enhanced results-
‘partners in supervision’
oriented performance management
● Appropriate organizational and system
monitoring and evaluation/audit
arrangements including its relationships
with other NGAs.
Ways Forward
1. Firm up DILG internal management structure to implementation of the SC ruling
implementation
● Development of DILG Transition Plan
● Formulation Executive and Legislative Policy Agenda to support Full Devolution
● Development of a Capacity Building Program for LGUs
● Development of Communication and Advocacy Strategies
1. Mobilize of resources for Transition PPAs
● Request for ADB technical assistance to engage DAP on the development of transition
plans
● Partnership with LGU Leagues for another round of LGU consultations
● Budget support for FY 2021
1. Carry-out massive communication and advocacy campaigns for LGUs, CSOs, and public in
general
2. Enhance capacity of LGUs and DILG (i) review of LGU Transition Plans and (ii) M&E of the
implementation of transition plans