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Devolution Order Is Not a Replacement for a New Charter, Says PBBM

On Wednesday, President Ferdinand Marcos Jr. stated that the proposed Charter revisions being pushed in Congress are not an alternative to the previous administration’s executive order demanding the full devolution of essential services from the national government agencies to the local government units (LGUs).

After attending the 126th anniversary of the Philippine Army in Taguig City, Marcos spoke to the media and noted that the Charter change initiative by Congress is distinct from the devolution order under Executive Order (EO) 138 issued by former president Rodrigo Duterte, which grants more authority and responsibility to LGUs.

โ€œNo. According to what I gather, the economic provisions of the Constitution are the focus of the Charter revision attempts. That is what that is about, he continued.

“And the argument put up by the supporters in the House and the Senate is that they must be modified because these circumstances have changed. And a constitutional amendment is necessary if we are to fully benefit from the new economy. Thus, he said, “that’s not the same thing.

In light of the Mandanas-Garcia decision by the Supreme Court, Marcos stated that his government will reexamine EO 138, emphasizing the necessity to “get it right.”

In spite of the additional internal revenue allotment (IRA), he claimed that devolving tasks to lower-class areas would disadvantage them and go against the intent of the high court order.

We came to the conclusion that “it shouldn’t be one size fits all,” in Hindi. “Each case should be handled differently,” he declared.

Amenah Pangandaman, secretary of the Department of Budget and Management (DBM), stated President Marcos issued a directive to evaluate the division of duties, programs, and projects between the Executive branch and the LGUs to ensure the effective and efficient provision of public services.

“We were given the task by the President to study the projects and programs whose implementation will remain with the national government because the national government is the only entity that is able to carry out these projects, and to determine which projects will be devolved to the local government units,” she said.

Pangandaman stated that the DBM, National Economic and Development Authority, Department of the Interior and Local Government, and Department of Finance will all work together to provide ongoing capacity development interventions for the full devolution of certain functions and services to the LGUs.

In a press conference held by the palace on Tuesday, Pangandaman said, “Rest assured that the DBM will provide support to capacitate our LGUs, especially those who are disadvantaged and lagging.”

She cited EO 138 while stating that the Growth Equity Fund (GEF) will provide financial support to underprivileged and underperforming LGUs in order to help them effectively implement their devolved tasks and services.

She added that the administration is actively considering the suggestions and objections made by LGUs about the implementation of full devolution.

Full devolution encourages decentralization, as does the Mandanas-Garcia ruling’s mandate for LGUs to receive a larger just share of all national taxes and revenues.

It promotes the establishment of a system of decentralization whereby local government units (LGUs) are given more autonomy in managing their resources, with the idea being that LGUs are in a better position to address the fundamental needs of their constituents and can, therefore, provide better services.

In the Mandanas Garcia case, the Supreme Court ruled that all national tax collections, with the exception of those going to special purpose funds and special allocations for utilizing and developing the nation’s wealth, should be factored into the calculation of the LGUs’ just share.

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