Part 1:

Local Governments

Atty. Maria Pilar Luisa C. Elago

What do you think of
when you hear Local
Government?
Examples of Local Government
A. Nature of Local Government Units
Under the 1987 Constitution, local governments or
local government units (LGUs) or municipal
corporations proper are referred to as “territorial
and political subdivisions” (Section 1, Article X,
1987 Constitution).

1987 Philippine Constitution

 • Legal Creation
• Corporate Name
Elements of a Local • Inhabitants
Government Unit • Territory
(Public Corporations, Ruperto G. Martin,
1985)
 An LGU can only exercise its powers
within its territorial boundary or
jurisdiction. Its powers are intramural.

As exceptions, an LGU can exercise its

Intramural powers outside the subdivision
Powers (extramural) on three occasions:
1. Protection of water supply
2. Prevention of nuisance
3. Police purposes.
 Municipal Waters

• “streams, lakes, and tidal waters within the municipality, not being the
subject of private ownership and not comprised within the national parks,
public forest, timber lands, forest reserves or fishery reserves”
• “marine waters included between two lines drawn perpendicularly to the
general coastline from points where the boundary lines of the municipality
or city touch the sea at low tide and a third line parallel with the general
coastline and fifteen (15) kilometers from it”
• When an LGU consists of one (1) or more islands, territorial jurisdiction can
also be exercised over all waters found inland, or in any area that is part of
its seabed, subsoil, or continental margin.
Alteration of Boundaries

A substantial alteration of the boundaries of a province

can only be done through a plebiscite called for the
purpose (and cannot be done simply through a law
passed by Congress).
Two-fold Character of LGUs

1. Governmental powers are those exercised in administering the

powers of the state and promoting the public welfare and they
include the legislative, judicial, public and political powers of
government. Examples are: delivery of sand for a municipal road,
local legislation, control over police and abatement of nuisance.
2. Proprietary powers, on the other hand, are exercised for the
special benefit and advantage of the community and include
those powers which are ministerial, private and corporate.
Examples are: public cemeteries, markets, ferries and waterworks.
Chapter X, Section 3, 1987 Constitution:
“The Congress shall enact a local government code which shall
provide for a more responsive and accountable local government
structure instituted through a system of decentralization with
effective mechanisms of recall, initiative, and referendum,
allocate among the different local government units their powers,
responsibilities, and resources, and provide for the qualifications,
election, appointment and removal, term, salaries, powers and
functions and duties of local officials, and all other matters
relating to the organization and operation of the local units.”

The Local Government Code of 1991

The Local Government Code of 1991

Congress in enacting the 1991 LGC and charters of

particular LGs allocates among the different LGs their
powers, responsibilities, and resources and provides for
the qualifications, election, appointment and removal,
term, salaries, powers and functions and duties of local
officials, and all other matters relating to the organization
and operation of the local units.
LGU Checks and Balances

• The system of checks and balances under the current system is statutorily
prescribed, unlike the three branches of National Government which is
constitutionally prescribed.
• Under the 1983 Local Government Code, the local chief executive
performed dual functions – executive and legislative, he/she being the
presiding officer of the Sanggunian. Under the 1991 LGC, the union of
legislative and executive powers in the office of the local chief executive
has been disbanded, so that either department now comprises different
and non-intermingling official personalities with the end in view of
ensuring better delivery of public service and providing a system of check
and balance between the two.
B. Types of Local Government Units
 Five Types of LGUs
(Sec. 1, Art. X, 1987 Constitution)

Autonomous Regions
Provinces
Cities
Municipalities
Barangay
 Chapter X, Section 15
“There shall be created autonomous regions in
Muslim Mindanao and in the Cordilleras consisting
of provinces, cities, municipalities, and
geographical areas sharing common and distinctive
historical and cultural heritage, economic and
social structures, and other relevant characteristics
1987 within the framework of this Constitution and the
Constitution national sovereignty as well as territorial integrity
of the Republic of the Philippines.”

Chapter X, Section 16
“The President shall exercise general supervision
over autonomous regions to ensure that the laws
are faithfully executed.”
 Chapter X, Section 17
“All powers, functions, and responsibilities not
granted by this Constitution or by law to the
autonomous regions shall be vested in the National
Government.”

1987 Chapter X, Section 19

“The first Congress elected under this Constitution
Constitution shall, within eighteen months from the time of
organization of both Houses, pass the organic acts
for the autonomous regions in Muslim Mindanao
and the Cordilleras.”
Autonomous Regions

• The Constitution identifies two Autonomous Regions: Muslim

Mindanao and Cordilleras.
• Autonomous Regions consist of provinces, cities, municipalities,
and geographical areas which share common and distinctive
historical and cultural heritage, economic and social structures,
and other relevant characteristics.
• Autonomous Regions are under the general supervision of the
President.
 Legislative Power of Autonomous Regions

Chapter X, Section 20, 1987 Constitution: “Within its territorial jurisdiction and subject to the
provisions of this Constitution and national laws, the organic act of autonomous regions shall
provide for legislative powers over:
(1) Administrative organization;
(2) Creation of sources of revenues;
(3) Ancestral domain and natural resources;
(4) Personal, family, and property relations;
(5) Regional urban and rural planning development;
(6) Economic, social, and tourism development;
(7) Educational policies;
(8) Preservation and development of the cultural heritage; and
(9) Such other matters as may be authorized by law for the promotion of the general
welfare of the people of the region.”
Security and Residual Powers STILL NATIONAL

• Regional peace and order, and defense and security shall be the
responsibility of the local police agencies and the National
Government respectively.
• Whatever power or authority is not vested on the autonomous
regions remains with the National Government. Residual
regional powers lie with the National Government.
Non-incorporation of Cordillera Autonomous Region

The Autonomous Region of the Cordilleras has not been

incorporated since in the plebiscite held, the creation has
been rejected by all the covered provinces and city, save
one province. There can be no autonomous region
consisting of only one province.
Cordillera ADMINISTRATIVE Region (CAR)

The President can create the Cordillera Administrative

Region (CAR). The Executive Order does not create the
autonomous region for the Cordilleras. The CAR: (1) is not
a territorial and political subdivision; (2) is not a public
corporation; (3) does not have a separate juridical
personality; (4) is subject to control and supervision of
the President; and (5) is merely a regional consultative
and coordinative council.
 1. Highly-Urbanized Cities
(HUC)
Cities 2. Independent Cities (IC)
3. Component Cities (CC)
 Chapter X, Section 12
“Cities that are highly urbanized, as determined by
law, and component cities whose charters prohibit
1987 their voters from voting for provincial elective
officials, shall be independent of the province. The
Constitution voters of component cities within a province, whose
charters contain no such prohibition, shall not be
deprived of their right to vote for elective provincial
officials.”
 The highly-urbanized cities and
independent component cities are not
under the supervision of provinces and
their voters are not qualified to vote for
Cities - HUCs provincial officials. These cities are under
the direct supervision of the President and
are independent of provinces.
 Cities –
Component Component cities are under the
supervision of provinces and their
Cities voters elect provincial officials.
C. Creation of Local Government Units
 Chapter X, Section 10
“No province, city, municipality, or barangay may be
created, divided, merged, abolished, or its boundary
substantially altered, except in accordance with the
criteria established in the Local Government Code and
subject to approval by a majority of the votes cast in a
plebiscite in the political units directly affected.”
1987 Chapter X, Section 11,
Constitution “The Congress may, by law, create special metropolitan
political subdivisions, subject to a plebiscite as set forth in
Section 10 hereof. The component cities and municipalities
shall retain their basic autonomy and shall be entitled to
their own local executives and legislative assemblies. The
jurisdiction of the metropolitan authority that will hereby
be created shall be limited to basic services requiring
coordination.”
 Power to Create LGUs

• Only Congress and, by authority of law, local legislative councils,

can create specific LGs. Creation is a legislative act. The enabling
law is referred to as the charter of the LGU.
• The President or the Executive Branch of Government has no
power to create local governments.
Limitations on Power to Create

• Congress can provide for the incorporation of Autonomous Regions

identified under the 1987 Constitution. It has no power to create
other Autonomous Regions other than in Muslim Mindanao and
Cordilleras.
• The Organic Act shall define the basic structure of government for
the region consisting of the executive department and legislative
assembly, both of which shall be elective and representative of the
constituent political units. The organic acts shall likewise provide for
special courts with personal, family, and property law jurisdiction
consistent with the provisions of this Constitution and national laws.
 Plebiscite

The creation of the autonomous region shall be effective when

approved by majority of the votes cast by the constituent units in
a plebiscite called for the purpose, provided that only provinces,
cities, and geographic areas voting favorably in such plebiscite
shall be included in the autonomous region.
“Time Limit”

• The 1987 Constitution (Section 19, Article X) sets a timeframe

for the passage of the organic acts for the two identified
autonomous regions.
“The first Congress elected under this Constitution shall, within
eighteen months from the time of organization of both Houses,
pass the organic acts for the autonomous regions in Muslim
Mindanao and the Cordilleras."
Autonomous The President cannot create a “state”; i.e.,
Bangsamoro Juridical Entity established under
Region NOT a a Memorandum of Agreement, whose
“State” relationship with the government is
characterized by shared authority and
responsibility. It is a state in all but name as it
meets the criteria of statehood: (1) a
permanent population; (2) a defined territory;
(3) a government; and (4) a capacity to enter
into relations with other states.
Power to Transfer Regional Center

While the power to merge administrative regions is not provided

for expressly in the Constitution, it is a power which has
traditionally been lodged with the President to facilitate the
exercise of the power of general supervision over local
governments. The power to transfer a regional center is also an
executive function. This power of supervision is found in the
Constitution as well as in the Local Government Code of 1991.
 Congress can create provinces, cities,
municipalities and barangays subject to the
criteria specified under the 1991 LGC and
special laws such as Republic Act No. 9009
which pertains to the conversion of
municipalities to component cities.
Creation of “No province, city, municipality, or barangay
Prov/Cities/Brgys may be created, divided, merged, abolished,
or its boundary substantially altered, except
in accordance with the criteria established
in the Local Government Code and subject
to approval by a majority of the votes cast
in a plebiscite in the political units directly
affected.”
 LGC Requirements for each level of LGU

Requirement Province City Municipality Barangay

Income CC – 20M
20 million HUC – 50M 2.5 million ------
M to CC – 100M

Population CC – 150,000 Not MM –

250,000 HUC – 200,000 25,000 2,000
MM – 5,000
Land Area 2,000 km sq. 100 km sq. 50 km sq Continguous
Land Area

• For purposes of creation, only land area is material.

• The aggregate territory which includes water is not
relevant.
• Only the area that is included in the charter is counted.
• A charter does not need to mention population census.
• The requirements for the creation of a component city
and an independent component city are the same.
Income

Income under the 1991 LGC pertains to all funds of the

LGU including the Internal Revenue Allotment. However,
under R.A. 9009 which deals with the conversion of a
municipality to a component city, the funds must be
internally-generated.