| LPP
2008 YEAR END REPORT
by
GOV. LORETO LEO S. OCAMPOS
National President
THE
YEAR THAT WAS…
The
year 2008 once again gave the League of Provinces opportunities
to assert its collective resolve in ensuring the stability
of Philippine democracy while actively pursuing direct actions
in the furtherance of sustainable countryside development.
The economic losses brought about by natural and man-made
disasters that wrought havoc to the provinces the past year
were just temporary setbacks that tested the mettle of the
governors and the League to respond and implement effective
interventions for immediate rehabilitation towards normalcy
of the lives of the people affected.
There
were also several attempts from various sectors of government
to undermine decentralization. Our collective vigilance coupled
with prompt and decisive actions thwarted these re-centralization
coups. True to our dictum, the League of Provinces has proven
once again its role as the premier vanguard for local governments
and effectively protected the gains of 18 years of local autonomy.
ON
INTER-GOVERNMENTAL TRANSFERS
To
bolster local government finances, the League pressed for
the monetization of P12.5 billion representing the IRA differentials
due to the re-enacted budgets for the years 2001 and 2004.
The monetization was undertaken through the MIRACLE Program.
There is a strong clamor to revise the IRA distribution formula
to achieve a better fiscal balance at the local level. Much
has been discussed and investigated with regards to IRA issues,
but the struggle for an “ideal” IRA distribution
formula has always been challenging. It is in this context
that the League of Provinces is actively participating in
the discussions relative to the on-going study on the Improvement
of the Internal Revenue Allotment System.
The LGUs’ high degree of dependency on the IRA, especially
the provinces, has often been criticized with a suggestion
that the distribution formula should be reconfigured to stimulate
LGU revenue mobilization efforts.
To date, 9 new IRA models have been selected and simulations
for each model are being undertaken to determine which model
would be best suited to the needs of Philippine local governments.
ON
AGRICULTURE
The
League significantly complemented efforts in averting last
year’s impending rice shortage by giving full-support
and active involvement to the President’s Ginintuang
Masaganang Ani (GMA) Rice Program.
To
effectively boost rice productivity, governors allocated 50%
of their respective proceeds from the P12.5 billion IRA differential
monetization. The additional fund that the provincial governments
injected into the program was effectively utilized for area-specific
interventions in agriculture including infrastructure. The
provincial governments even took the cudgels in organizing
Local Food Summits to streamline the implementation of the
program.
To negate the effects of unscrupulous practices by some rice
traders, we embarked on a rigid monitoring of warehouses and
took the necessary measures to correct the inaccurate picture
in the media of rice supply and prices.
ON LOCAL GOVERNMENT REFORMS
On the area of local government reforms, the League consolidated
efforts to introduce amendments to the Local Government Code
of 1991. Proposed amendments to Book II – Local Taxation
were consensually drafted and finalized with the other Leagues
of Local Governments and the oversight national government
agencies.
The
proposed amendments have been transmitted to the Committee
on Local Government of the House of Representatives through
Committee Chairperson Cong. George P. Arnaiz and to the Committee
on Local Government of the Senate through Committee Chairperson
Senator Benigno Aquino III. We are now awaiting the conduct
of committee hearings in both houses of Congress wherein which
we could articulate our proposals.
Proposed amendments to Books I, III and IV of the LGC are
still being finalized.
ON
FEDERALISM AND CHARTER CHANGE
LPP
has adopted G.A. Resolution No. 2008-20 urging Congress to
enact the necessary legislation to amend the Constitution
of the Republic of the Philippines to change the present form
of government to either presidential-federal or parliamentary-federal.
The move is intended to make the Constitution more responsive
to the country’s economic development needs.
The resolution calls for the election of the Constitutional
Convention to be synchronized with the 2010 national elections.
The ConCon shall be mandated to formulate within one (1) year
the proposed amendments to the 1987 Constitution after which
it shall be submitted to the people for ratification through
a plebiscite.
Said Resolution has been submitted to the House of Representatives
as the official position of LPP and articulated by the LPP
Secretariat in hearings of the House Committee on Constitutional
Amendments. No less than former La Union Governor and now
Chairperson of the House Committee on Constitutional Amendments,
Cong. Victor Ortega, acknowledged the timeliness and relevance
of our proposal.
To put substance to the clamor for a shift to a federal form
of government, the League has decided to take the lead in
bringing the proposal to the attention of the greatest number
of Filipinos to generate awareness on the issue and get the
people’s informed feedback.
Therefore, last September 11, 2008, the League conducted the
Governors’ Forum on Federalism at the Marco Polo Hotel
in Cebu City. The event was in collaboration with the Konrad
Adenauer Stiftung (KAS), the German Technical Cooperation
(GTZ), and the Balay Mindanao Foundation.
The forum was not intended to come up with a decision but
merely to inform, educate and create a healthy exchange of
ideas with the objective of laying the foundation for a distinctively
Philippine model of federalism.
More discussions and dialogues on federalism are in the pipeline
for 2009.
ON MINING CONCERNS
The
League gave it support to responsible mining pursuant to the
President’s directive of revitalizing the mining industry.
LPP was even made a regular member of the Minerals Development
Council to ensure cooperation and open-dialogue with LGUs
on matters relative to mining.
However, the implementation got off on the wrong foot early
in 2008 as the League was able to gain knowledge of a draft
DENR Administrative Order whose obvious intent is to centralize
all mining activities including small-scale mining operations
under the DENR and called for a nationwide moratorium on the
issuance of small-scale mining permits for all kinds of mineral
ores.
Several contentious issues relative to this draft DAO were
subsequently threshed out and agreements were reached between
LPP and the DENR Secretary.
However, as the finalization of the aforesaid DAO was being
carried-out by the LPP Committee on Mining and the DENR Committee
on Small-Scale Mining, Sec. Atienza issued another Department
Administrative Order this time requiring all export of mineral
ores including tailings to secure a Mineral Ore Export Permit
(MOEP) from the Office of the Secretary in total disregard
for the governors’ devolved function of issuing an ore
transport permit through the PMRB for small-scale mining for
both local and foreign transport. The supposed intent was
to effectively monitor the actual volume of all minerals being
exported to other countries and ensure that excise taxes are
promptly paid.
This issue was recently resolved during a dialogue with Sec.
Atienza last January 15, 2009 at the Makati Shangrila Hotel.
Although, DENR DAO-2008-20 will not be recalled, the secretary
will issue an amended department order bestowing the power
to issue the MOEP to the governors.
To
date, a new DENR Memorandum Order which supposedly incorporated
our recommendations has been issued by Secretary Atienza.
and the LPP Committee on Mining is studying its provisions.
ON
PARTNERSHIPS
The League recognizes the add-on value of forging alliances
with other stakeholders in the implementation of programs
and projects geared towards the well-being of the Filipino
people.
1)
Health
In recognition of the alarmingly poor health status of Filipino
children and the need to provide them with basic health
services while effectively promoting positive values, the
League of Provinces advocated for and implemented the Essential
Health Care Package for Children in all F-1 Provinces in
collaboration with GTZ, InWENT, WHO Collaborating Center
in the Netherlands, the Department of Education and the
National College of Public Health. Due to the success of
the project, plans are now being finalized to implement
it nationwide.
LPP has also signed a Memorandum of Agreement with the Philippine
College of Surgeons. Through the MOA, the League has firmed
up its support for the conduct of outreach surgical missions
program to facilitate the promotion of quality health care
to the countryside.
2)
Early Childhood Care and Development
In the last quarter of 2008, LPP, in partnership with the
Council for the Welfare of Children (CWC) and the United
Nations Children’s Fund (UNICEF), was also poised
to conduct the Governors’ Forum on Early Childhood
Care and Development (ECCD). Unfortunately, due to time
constraints, the project was shelved for implementation
on the first quarter of 2009. Your cooperation is once again
requested to make this project a success.
3)
Environment
To complement national deforestation efforts, LPP forged
a partnership with the Boy Scouts of the Philippines in
the implementation of a nationwide tree-planting project
in cooperation with the Coca-Cola Bottling Company called
“Go Green: Go for the Real thing.”
The Energy Development Corporation (EDC) has requested our
support in the implementation of a similar project called
“Trees for the Future” project. We have linked
them up with the BSP to forge a tripartite partnership.
UNFINISHED
BUSINESS
Last July 2008, the Department of Budget and Management issued
Local Budget Memorandum 57 in response to Proclamation No.
1489 which declared the 2007 Population Census as official.
This literally caused significant decreases in the IRA allocation
of fifty-nine (59) province provinces. To compound the woes
of local governments, the arbitrary reduction in the IRA was
implemented in the middle of the year when LGUs . Plans, programs
and activities in line with approved local development plans
and budgets were affected.
To remedy the situation, LPP requested the President to suspend
Proclamation No. 1489 until such time that the 2007 Population
Census is revalidated and to direct the DBM to revert to the
utilization of the 2000 Census in the computation of the 2008
Final IRA.
Unfortunately, in December of last year, Executive Secretary
Eduardo Ermita directed DBM Secretary Rolando Andaya that
continue with the utilization of the 2007 Census in the computation
of the 2008 Final IRA with the provision that all LGUs that
suffered decreases in their allocation shall be granted financial
assistance equivalent to two (2) months of the difference
between the indicative and final computation.
We still have to hear from DBM when and by what mode the financial
assistance will be released.
We have also initiated talks with the Philippine Charity Sweepstakes
Office that has resulted into the PCSO Ambulance Program.
The program intends to provide one (1) ambulance to all the
municipalities. It has been agreed that PCSO will shoulder
sixty percent and the LGU will provide forty percent of the
cost. We are still awaiting the implementing guidelines of
the program.
GOVERNORS’
AUSTRALIAN STUDY TOUR
It
wasn’t all work for our governors in 2008. Our humble
victories were made sweeter by the weeklong International
Benchmarking on the Delivery of Basic Services held last August
25-30, 2008 in Australia.
Twenty-two
governors participated in the activity which is part of the
LPP General Action Plan. The study tour gave us the opportunity
to observe and learn the various modalities of service delivery
in the State of Victoria for possible replication in our respective
provinces.
Of course, we were also able to visit the Parliament House,
the different government agencies as well as the top tourist
sites in the State.
We are currently coordinating with our partner, the Victorian
Local Governance Association, for the conduct of a second
study tour in the State of Victoria for those governors who
were not able to join the first study tour.
The LPP Secretariat is also negotiating with other foreign
counterparts for possible official visits to countries like
Singapore, Malaysia, China and possibly Germany.
CONCLUSION
Our accomplishments in 2008 would not have been possible if
not for the cooperation and commitment of our fellow governors
to provide strategic directional thrusts to all local governments
in the pursuit of sustainable local development while striving
for greater self-reliance.
In 2009, the League of Provinces shall remain vigilant in
the protracted struggle for genuine and meaningful local autonomy.
Let us stay focused to our vision and mission as the Premier
League of Local Governments.
And although the Philippines is in a better position to weather
the global economic meltdown, its ill-effects will in one
way or the other be felt by our people. It is our task therefore
is to ensure that if ever the situation presents itself, short-term
relief is made accessible at the local level. Simultaneously,
the League of Provinces must buckle-down to strategize and
provide precise interventions to bring about long-term reforms.
Let us brace ourselves for 2009 and God willing, we shall
be able to withstand the crisis and the provinces shall be
the bastion of economic growth and opportunities for the Filipino
people!
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