Technical and financial capacity building is required for LGUs: DBM chief
Amenah Pangandaman, secretary of the Department of Budget and Management (DBM), holds that only until LGUs are adequately equipped “technically and financially” can certain national government functions be “effectively devolved” to local government units (LGUs).
To discuss the most recent initiatives and strategies of various government agencies and leagues by the full devolution under the Mandanas-Garcia Supreme Court ruling, Pangandaman made this remark as she presided over the sixth meeting with members of the Committee on Devolution (ComDev) on Monday.
According to a DBM press release, the ComDev addressed updates regarding the submission and assessment of the National Government Agency (NGA) Devolution Transition Plans (DTPs), a review of the functions/services/Programs, Activities, and Projects (PAPs) for full devolution, and presentation of the draft Executive Order (EO) amending EO No. 138.
The full transfer of responsibility for providing basic services and facilities to LGUs before the end of 2024 is mandated by EO 138, signed by former President Rodrigo Duterte on June 1, 2021.
Earlier, President Ferdinand “Bongbong” Marcos Jr. ordered a study of the duties that should go to local governments and those that the national government should retain. He also extended the deadline for some duties to move to local governments until 2027.
According to Pangandaman, who leads the ComDev, the sessions were an important step in seeking full devolution and the culmination of group efforts to carry out the President’s directive.
According to the Local Government Code and the Mandanas-Garcia decision, she promised that “we would continue to increase coordination and provide the necessary assistance to empower our LGUs.”
“We think that complete financial and technical capacity for our LGUs will result in effective devolution,” she continued.
Out of the 20 DTPs anticipated from the involved NGAs, the DBM has only received 18.
The Department of Health and the Commission on Population and Development are the two NGA DTPs out of the 18 that were proposed that have been accepted (POPCOM).
Equality of opportunity
Arsenio Balicasan, secretary of the National Economic Development Authority, stressed the significance of discussing the proposed changes to ensure that Filipinos have equal opportunities for growth and development.
The proposed amendment’s explanation and guiding principles, which may provide clarity in some situations, are a significant addition. So that we can guarantee that everyone has equal access to economic and social possibilities, regardless of where they live, Balisacan said.
To achieve “complete decentralization,” according to Department of Finance Secretary Benjamin Diokno, changes should be made at the national and local levels.
Among the tasks are local infrastructure, primary healthcare, social welfare, and agricultural expansions. That is where the functions must be devolved because those are the main expenditure obligations, according to Diokno.
The capacity and priorities of LGUs must also be considered during devolution, according to Benjamin Abalos Jr., secretary of the Department of the Interior and Local Government.
“Devolution should depend on the LGU, its development priorities, capacity, and available resources. According to Abalos, according to the size, technical requirements, and nature of the programs, initiatives, and activities, devolution should be transitioned.
Model EO
The draft EO modifying EO No. 138 was given to the committee members during the ComDev meeting.
The ComDev decided to set up a technical working group to consider the LGU leagues’ feedback and meet again in two weeks to adopt the draft amendatory EO.
In the upcoming two weeks, the secretariat will also keep in touch with the stakeholders to finish the draft for the President’s presentation.
Deputy Executive Secretary for Internal Audit Ricojudge Janvier Echiverri, Governor Hermilando Mandanas of the League of Provinces of the Philippines, Executive Director of the League of Cities of the Philippines Veronica Hitosis, Mayor Cynthia Falcotelo-Fortes of the League of Municipalities of the Philippines, Executive Director of the Liga ng mga Barangay ng Pilipinas Louvkee Fanlo, and Executive Director of the Union of Local Authorities of the Philippines
The Mandanas-Garcia decision resulted from a 2013 Supreme Court petition filed by Governor Mandanas and former Bataan governor Enrique Garcia Jr. with other local elective officials regarding LGU shares of the internal revenue allotment, completely transfers or devolves the provision of basic services to LGUs (IRA).
After the SC upheld the decision in 2018, the LGUs will begin receiving a fair portion of all national taxes collected as of 2022.
Previously, LGUs received their IRAs from the Bureau of Internal Revenue, which collected 40% of all federal internal revenue taxes.
LGUs are anticipated to raise the IRA by 27.61 percent due to the SC decision.
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