Senate Bill No. 2464: Amending Secs. 442, 452, 453 & 461; RA 7160 (Income Requirements for the Creation of a Municipality)

For the past few years. the Philippines has experienced phenomenal economic growth and renewed investor trust and confidence. To sustain this progress for the next decade. there is a need to ensure that the growth would be supported by effective and streamlined policy structures and mechanisms. even in the local and provincial levels of government.

One of these efforts is the amendment of the process and requirements to determine an urbanized city. It has been two decades since the local government code was enacted. and it is high time to revisit and rationalize these requirements.

Two decades paved the way to advancement in technology, infrastructure development and other urbanization interventions, and economic inflation. Thus, it is imminent to update the income requirements in the declaration of a city as a highly urbanized city and the conversion of a municipality into a component city.

The proposal seeks to increase the income requirements for a municipality to become a component city from two million and five hundred thousand pesos to twelve million and five hundred thousand pesos for the last two consecutive years; for a highly urbanized status, the proposal seeks to increase the income requirements from fifty million pesos to two hundred fifty million pesos.

Such adjustment raises the standards of excellence among local governments and encourages further innovation and creativity in urbanization and development projects and programs.

From being called Sick Man of Asia, the time when the Philippines will be described as a middle-income nation or even a developed nation is within reach. Thus, it is essential that everyone. even local governments need to prepare and chip in in the efforts of creating and enabling environment for growth and prosperity to be realized by every Filipino family.

In view of the foregoing. the approval ofthis bill is earnestly sought.





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