Rationalized Planning System

The Rationalized Local
Planning System
in the Philippines
AN OVERVIEW
RAGENE ANDREA L. PALMA, EnP
ragenepalma@gmail.com
littlemissurbanite.wordpress.com
References:
Rationalized Local Planning System in the Philippines by E. Serote;
HLURB CLUP Guidbook Volume 1; RA 7160

1
Planning
Structure
5
CLUP
3
Information
Base
7
Tools to
Implement
the CLUP
2
Mandates
4
Goal
Formulation
6
CDP
9
Monitoring
and
Evaluation
8
LDIP
10
Getting it to
Work

in “rationalizing”
DEVOLUTION
MULTIPLE PLANS ALIGNMENT OF PLANS

BODY POLITIC
Political subdivision of the national
government; exercise inherent powers
https://errolgatumbato.files.wordpress.com/2012/06/nnnp-map.jpg

BODY CORPORATE
Represents its residents; powers are used for good
governance and providing basic services; mandated to
promote general welfare
http://www.clker.com/cliparts/a/9/3/Q/2/1/small-crowd-hi.png

http://www.travelindia-guide.com/elections-indian-lok-sabha/india-election-2009-images/political-parties/congress.jpg
https://www.colourbox.com/preview/7335794-business-write-workshop-seminar-workshop-work-whiteboard-white-
technology-technical-drawi-technical-teacher-teach-summit-student-structure-software-sketch-sign-showing-show-
seminar-screen-science-research-presentation-pointing-plan-person-pen-organization.jpg
POLITICAL
TECHNICAL
Defines the content and direction of local
development
Sanggunian and the Local Development Council
Supplies technical information and processes;
no decision-making powers
MPDC, local special bodies, sectoral and functional
committees, non-government

CLUP CDP
Long-term guide for physical
development
Framework for the management
and co-management of the local
territory
Enacted to ZO and becomes
legally enforceable
Comes from the function of being
a political unit
Must be consistent with the PPFP,
RPFP, and NFPP
Multi-year plan that
promotes general welfare
Covers all development
sectors
Consolidates programs and
projects
Comes from the capacity of
being a corporate body

http://hlurb.gov.ph/wp-content/uploads/services/lgu/CLUP/HLURB_CLUP_Vol_1.pdf

SPATIAL

SECTORAL

MEANSOF
IMPLEMENTATION

CLUP IMPLEMENTATION TOOLS
http://www.psst.ph/wp-content/uploads/2016/10/taxes-uk.jpg
http://hiddencityphila.org/wp-content/uploads/2014/11/0-KeyImage.jpg
https://www.aei.org/wp-content/uploads/2010/12/eminent-domain-at-a-price.jpg
http://www.assetquest.com/wp-content/uploads/2015/09/investing-money.jpg
http://www.thecorner.eu/wp-content/uploads/2014/04/co-management.jpg
ZONING ORDINANCE EMINENT DOMAIN
PUBLIC CAPITAL
INVESTMENTS
CO-MANAGEMENT

CDP IMPLEMENTATION TOOLS
http://www.afgtrucks.com/wp-content/uploads/2016/06/Income-Tax-Return.jpg
https://docs.oracle.com/javase/8/javafx/user-interface-tutorial/img/pie-sample.png
http://www.donnybrook-balingup.wa.gov.au/files/2016/05/money.gif
http://www.binarysemantics.com/images/consulting/BOT.jpg
TAX LEVIES
SCHEMES
INDEBTEDNESS
INCOME FROM
NATIONAL SHARES

1
The Local
Planning Structure

“Technocrats in both national and local levels
prepare more or less elegant plans but it is
common knowledge that these plans merely
adorn the bookshelves of office executives...
The main reason for this unfortunate
reality is that legislators rarely
use the plan as a basis for enacting
laws and ordinances.”
Planning is political, but...

The Sanggunian
has power to “prescribe reasonable limits and restraints on
the use of property”
has power to appropriate public funds
If planning is policy making then the sanggunian being the
highest policy-making body is the ultimate planning body in
the LGU
is equally responsible for, and ought to be as actively
involved in planning as the executive

Planning is also technical
Sectoral committees’ inputs
Consultants on hand provide technical inputs

The Local
Planning Structure
and its Functions

Local Development Councils
1. Provincial
a. All mayors of component cities and municipalities;
b. The chairman of the committee on appropriations of the
sangguniang panlalawigan;
c. The congressman or his representative; and
d. Representatives of NGOs operating in the province, who shall
constitute not less than one-fourth (1 /4) of the members of
the fully organized council
2. City/Municipal
a. All punong barangays in the city or municipality;
b. The chairman of the committee on appropriations of the
sangguniang panlungsod or sangguniang bayan concerned;
c. The congressman or his representative; and
d. Representatives of NGOs operating in the city or municipality,
as the case may be, who shall constitute not le
3. Barangay
a. Members of the sangguniang barangay;
b. Representatives of NGOs operating in the barangay, who
shall constitute not less than one-fourth (1/4) of the members
of the fully organized council.
c. A representative of the congressman.

LDC Functions
FORMULATE
• Plans and policies
• Annual public investment programs
• Investment incentives
COORDINATE
• Implementation of development programs
and projects
EVALUATE
• Programs and projects

Executive Committee
1. PROVINCIAL DEVELOPMENT COUNCIL Executive
Committee shall be composed of the governor as chairman,
the representative of the component city and municipal
mayors to be chosen from among themselves, the chairman
of the committee on appropriations of the sangguniang
panlalawigan, the president of the provincial liga ng mga
barangay, and a representative of NGOs that are
represented in the LDC, as members.
2. CITY / MUNICIPAL DEVELOPMENT COUNCIL Executive
Committee shall be composed of the mayor as chairman, the
chairman of the committee on appropriations of the
Sangguniang Panlungsod or Sangguniang Bayan, the
president of the city or municipal liga ng mga barangay,
and a representative of NGOs that are represented in the
LDC, as members.
3. BARANGAY DEVELOPMENT COUNCIL Executive Committee
shall be composed of the punong barangay as chairman, a
representative of the sangguniang barangay to be chosen
from among its members, and a representative of NGOs that
are represented in the LDC, as members.

Executive Committee Functions
ENSURE implementation
ATTEND to immediate
matters
FORMULATE policies, plans,
programs
TAKE final action on special
concerns

Sectoral Functional Committees
Members participate in functional
committees
Directly establishes connection with NGAs
Functions:
• Provide data and information
• Define planning details: Objectives,
targets, etc.
• Provide analysis for information
• Conduct public hearings
• Coordinate
• Monitor and evaluate

Secretariat
Provides both technical and
administrative support
Assists with documentation
Providing other types of
assistance

Local Planning and Development Office
Its “multifarious tasks” include:
1. Information management
2. Comprehensive and multi-sectoral planning
3. Investment programming
4. Public participation promotion
5. Secretariat services to LDC
Should have these abilities:
1. Familiarity with all aspects and stages of the
planning process
2. Ability to coordinate activities
http://www.jewishmag.com/132mag/passover_slave/title.gif

Local Planning and
Development Coordinator
Administrative
Support
Public Information and
Advocacy Service
Deputy Local Planning and
Planning and
Programming Division
Sectoral Coordination
and People Participation
Division
Planning Information
Management Division
CLUP Updating and
Revision Specialist
CDP Formulation
Specialist
LDP & AIP Preparation
Specialist
Social Development
Coordinator
Economic Development
Coordinator
Land Use & Infrastructure
Environmental
Management Coordinator
Institutional Development
Coordinator
Geographic
Information Section
Monitoring and
Evaluation Section
Statistical Database
Section
Special Studies and
Research Section
Local Planning and Development Office

2
Planning Mandates of
the Local Governments

The Constitution gives the basis for
resource management:
“The Congress shall give highest priority to the enactment of
measures that protect and enhance the right of all the people to
human dignity, reduce social, economic, and political inequalities,
and remove cultural inequities by equitably diffusing wealth and
political power for the common good. To this end, the State shall
regulate the acquisition, ownership, use and disposition of
property and its increments” (Article XIII, Section 1)
“The use of property bears a social function and all
economic agents shall contribute to the common good.
Individuals and private groups, including corporations,
cooperatives, and similar collective organizations, shall
have the right to own, establish and operate economic
enterprises, subject to the duty of the State to
promote distributive justice and to intervene when
the common good so demands” (Art. XII, Section 6).

Per RA7160
“Every LGU shall exercise the powers expressly granted,
those necessarily implied there from, as well as powers
necessary, appropriate or incidental for its efficient and
effective governance, and those which are essential for the
promotion of the general welfare. Within their respective
territorial jurisdictions, local government units shall ensure and
support, among other things, the preservation and enrichment
of culture, promote health and safety, enhance the right of
the people to a balanced ecology, encourage and support the
development of appropriate and self-reliant scientific and
technological capabilities, improve public morals, enhance
economic prosperity and social justice, promote full
employment among their residents, maintain peace and
order and preserve the comfort and convenience of their
inhabitants.” (Section 16)

Section 20 (c)
“The local government units shall, in
conformity with existing law, continue
to prepare their respective
Comprehensive Land Use Plans
enacted through zoning ordinances
which shall be the primary and
dominant bases for the future use of
the land resources
“Adopt a Comprehensive Land Use
Plan for the municipality/city: Provided,
that the formulation, adoption, or
modification of said plan shall be in
coordination with the approved
Provincial Comprehensive Land Use
Plan.”
Section 447(2)(vii)/Sec.
458(2)(vii)
Section 447(2)(ix) -
Municipality/Section 458(2)(ix) - City
“Enact integrated zoning
ordinances in consonance with
the approved Comprehensive
Land Use Plan, subject to
existing laws, rules and
regulations…”

CLUP CDP
Translated to Zoning Ordinance
Public investment programs,
private incentives for
investment
Assigned to
Sanggunian (the local
legislative body)
Local Development Council
Purpose
Management plan for the local
territory; serves as a “skeletal-
circulatory” framework;
Identifies areas for
development and non-
development; directs
development accordingly for
investments
An action plan; has cross-
sectoral programs; used for
implementation

Private Domain
(Alienable and
Disposable)
Ancestral
Domain
Public Domain
• Untitled A&D
• Timberlands
• Mineral Lands
• National Parks
• Municipal Waters
The Geographical Scope: 3 Domains

The Time Frame
Time Frame Plan
1 year AIP
3 years CDP
9 years CLUP
3 years LDIP
Remains in effect despite
administration change Zoning Ordinance

Basic CLUP Contents
1.Four policy areas
2.Urban form
3.Land use policy framework

SPACE FOR
LIVING
ROAD
LIFE SUPPORT
SYSTEM
SPACE FOR
MAKING A LIVING
4 Policy Areas

SPACE FOR
LIVING
ROAD
LIFE SUPPORT
SYSTEM
PROTECTED AREAS
NIPAS, non-NIPAS, protected,
agricultural, environmentally-
constrained, heritage sites
SETTLEMENT AREAS
Urban, rural, indigenous peoples’
settlements
INFRASTRUCTURE AREAS
Transport network, social infrastructure,
economic infrastructure, administrative
support
SPACE FOR
MAKING A LIVING
PRODUCTION AREAS
Agricultural, industrial, commercial,
tourism, mining
4 Policy Areas

http://farm3.static.flickr.com/2016/2227710089_6b54bc3c2c_o.jpg
Urban Forms and Fabric Around the World

Land Use Policy Framework:
Where do you locate the policy areas?
“The chosen urban
form is then used
as the organizing
concept for the
location of various
land uses and the
formulation of
location policies to
be enforced
through the zoning
ordinance and
other regulatory
measures.”
http://pr2013.aaschool.ac.uk/submission/uploaded_files/SUSTAINABLE-ENVIRONMENTAL-
DESIGN/Density%20and%20Urban%20Form-Alexandra%20Andone%201.jpg

ECONOMIC
SOCIAL
ENVIRONMENTAL
PHYSICAL
INSTITUTIONAL
Understanding the CDP

WILDLIFE
LGBTQ
BRIDGE
SUPPLY
CHAIN
SOCIAL
JUSTICE
HOUSING
TAX
COLLECTION
ECOSYSTEM
MANAGEMENT
RIGHT-OF-WAY
INVESTMENT
ATTRACTION
CLASSIFY THESE

INTER-SECTORAL CONCERNS
SHOULD BE CROSS-CONSULTED

CDP COMPONENTS
1.Programs and Projects
2.Policies (local legislation)

THE LOCAL DEVELOPMENT
INVESTMENT PROGRAM
“this form of public spending will modify,
guide, direct, control or otherwise elicit
the desired private sector response in
order to accelerate local economic
development, raise the level of socio-cultural
well-being, improve the standard of public
services, utilities and infrastructures, and, on
the whole, attain the desired urban form in
the CLUP and the general welfare goals of
the CDP.”

LDIP COMPONENTS MAY:
1.Encourage growth
2.Discourage
development
3.Limit growth in the
urban fringe
http://www.conwaygroup.co.uk/images/property/residential/BallymiscawRoad_plans.jpg

LDIP COMPONENTS:
1.The Final Project List
Lifted from the plan; screened, evaluated
based on potential contributions; consistency
with urban form
2. Fiscal Management
Projected total funds are matched with funds
required for project implementation; links
budgeting to planning

3
Building and
Maintaining an
Information Base for
Local Planning

ECOLOGICAL PROFILE (EP)
LOCAL DEVELOPMENT
INDICATORS SYSTEM (LDIS)
In building a database:

ECOLOGICAL PROFILE (EP)
“a snapshot” or “profile of the area at a given point in
time”
“data should be presented with minimal analysis and
interpretation to give the SEP its maximum utility value”
“geographical distribution of data attributes is not
consistently portrayed” (city-, barangay-level)
“the most important information base for the
comprehensive planning”

EP: SOCIAL SECTOR
All about the Population
and Social Services
Population: Basis for determining public services; a
guide for allocating land due to people’s needs

https://www.google.com.ph/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&ved=0ahUKEwjS9efgmeXSAhUENrwKHQWsDMsQjBwIBA&url=http%3A%2F%2Fwww.themacroscope.org%2Fwp-
content%2Fuploads%2F2014%2F04%2Fpropsymbolmap.png&bvm=bv.149760088,d.dGc&psig=AFQjCNFyLJGGu8UjM6xaACsHwWePwG98_g&ust=1490103350399276
POPULATION SIZE

http://www.bbc.co.uk/staticarchive/af3f08c6599814eb48f31e342ff21057ad389f67.gif
POPULATION
PYRAMID

Age Groups Age
Dependent 0-14; 65 and above
Labor force 15-64
School age
3-6, 7-12, 13-16 (old educational system);
6-11, 12-15, 16-17 (K-12)
Female
reproductive age
15-49
POPULATION AGE GROUPS

affects the incidence of births, deaths and marriages;
implications on spatial mobility, work participation and
occupational structure
SEX COMPOSITION

FAMILY HOUSEHOLD
consisting of a person living
alone or a group of persons who
sleep in the same housing unit
and have a common
arrangement for the preparation
and consumption of food
a group of persons
living in the same
household related by
blood, marriage or
adoption

POPULATION GROWTH: Births, Deaths, Migration
http://static1.businessinsider.com/image/55b937bc2acae74c2f8b8d20-1200-
900/world-population-projection.png

https://www.google.com.ph/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&ved=0ahUKEwjfs8jumeXSAhVEgbwKHSSKA9EQjBwIBA&url=http%
3A%2F%2Fwww.statcan.gc.ca%2Fpub%2F92-195-x%2F2011001%2Fother-
autre%2Fpop%2Fimage%2Fpop.jpg&bvm=bv.149760088,d.dGc&psig=AFQjCNHx9TWLf7Y805-b5ns8xtMruhxyGg&ust=1490103627217468
GROSS POPULATION
DENSITY
number of persons per unit
of land area usually in
hectares or square
kilometers

http://www.geoknow.net/anthroposphere/images/urbanization/urbanization.jpg
EXTENT OF
URBANIZATION

A. In their entirety, all cities and municipalities having a population density of at least
1,000 persons per square kilometer.
B. Poblaciones or central districts of municipalities or cities which have a population
density of at least 500 persons per square kilometer.
C. Poblaciones or central districts (not included in A & B) regardless of their population
size if they have the following:
a) street pattern, i.e. network of streets in either parallel or right-angel orientation;
b) at least six establishments such as commercial, manufacturing, recreation
and/or personal services;
c) at least three of the following:
· town hall, church or chapel with religious services at least once a month;
· public plaza, park or cemetery;
· market place or building where trading activities are carried on at least once
a week;
· a public building like school, hospital, puericulture and health center or
library.
“URBAN”

“URBAN”
1. If a barangay has a population size of 5,000 or more, then a
barangay is considered urban, or
2. If a barangay has at least one establishment with a minimum
of 100 employees, a barangay is considered urban, or
3. If a barangay has 5 or more establishments with a minimum
of 10 employees, and 5 or more facilities within the two-
kilometer radius from the barangay hall, then a barangay is
considered urban
Further, all barangays in the National Capital Region are
automatically classified as urban and all highly urbanized cities
would be subjected to the urban-rural criteria in order to
determine its urban-rural classification. All other barangays are
therefore classified as rural.
http://nap.psa.gov.ph/pressreleases/2004/30Jan04_urban.asp

POPULATION PROJECTION:
AVERAGE ANNUAL GROWTH METHOD
Increase of population for two periods of time
Used for short- to medium-term projections
EXAMPLE:
“Taguig increased 13.3 thousand people
per year from 1980 to 1990.”

STEP 1
Assign time 1 (t1) and time 2 (t2)
STEP 2
Get the corresponding population from the table
Population, Census Years 1970-2010 (In thousands)

STEP 1
Assign time 1 (t1) and time 2 (t2)
STEP 2
Get the corresponding population from the table:
Population of time 1 (Pt1) and population of time 2 (Pt2)
In thousands

STEP 1
t1 = 1980 t2 = 1990
STEP 2
Pt1 = 134 Pt2 = 267
In thousands

t1 = 1980
t2 = 1990
Pt1 = 134
Pt2 = 267
In thousands

t1 = 1980
t2 = 1990
Pt1 = 134
Pt2 = 267
In thousands
Pt2 – Pt1
t2 – t1

t1 = 1980
t2 = 1990
Pt1 = 134
Pt2 = 267
In thousands
Pt2 – Pt1
t2 – t1
267 - 134
1990 - 1980

t1 = 1980
t2 = 1990
Pt1 = 134
Pt2 = 267
In thousands
Pt2 – Pt1
t2 – t1
267 - 134
1990 - 1980
=
133
10

t1 = 1980
t2 = 1990
Pt1 = 134
Pt2 = 267
In thousands
Pt2 – Pt1
t2 – t1
267 - 134
1990 - 1980
=
133
10
Taguig increased 13.3 thousand
people per year from 1980 to
1990

Your turn!
By how many people per year did NCR
increase from 2000 to 2010?

SOLUTION
t1 = 2000
t2 = 2010
Pt1 = 467
Pt2 = 644
Pt2 – Pt1
t2 – t1
11,836 – 9,932
2010 – 2000
=
1,904
10
NCR increased 190.4 thousand
people per year from 2000 to 2010

AVERAGE ANNUAL GROWTH RATE
EXAMPLE:
“Taguig’s population almost doubled from
1980 – 1990.”
The growth rate for this period is 9.9%
increase per year.

( )
By how much did the population of Taguig
change from 1980 to 1990?
%Δ 1980 - 1990
P90 – P80
P80
(100) = 99%

( )
%Δ 1980 - 1990
P90 – P80
P80
(100) = 99%
Percentage almost doubled!
But we’re looking for the RATE.

( )
AAGR80, 90 :
P90 – P80
P80
(100) = 9.9%
1990 - 1980

Your turn!
By how much per year did the population of
Taguig change from 2000-2010?

Your turn!
( )AAGR00,10 :
P10 – P00
P00
(100) = ?
2010 - 2000
( )644 - 467
467
(100) = 3.8%
10
AAGR00,10 :

COMPOUNDED GROWTH RATE
EXAMPLE:
The population of Taguig in 2020 will be
1.2 million.

What will be the population of Taguig in 2020?
Pt2 = Pt1 (1 + r)
(t2 – t1)

What will be the population of Taguig in 2020?
Pt2 = Pt1 (1 + r)
(t2 – t1)
We need the growth rate to solve this:
Derive from any two population years with available data.

( )
t1 = 1980
t2 = 1990
Pt1 = 134
Pt2 = 267
r =
Pt2
Pt1
1
t2 -t1
- 1
( )r80,90 =
267
134
1
10
- 1
r80,90 = 0.07

Now that we have the value of r (0.07), let’s
plug it back into the compound growth
formula, and assign new time values:
Pt2 = Pt1 (1 + r)
(t2 – t1)
t1 = 2010
t2 = 2000
Pt1 = 644
Pt2 = ?

Pt2 = 644 (1 + 0.07)
(2010-2000)
r = 0.07
t1 = 2010
t2 = 2000
Pt1 = 644
Pt2 = ?
Pt2 = 1,266.86 thousand

EP: THE LOCAL ECONOMY
All about markets, employment,
industries, potential investments

Primary
Secondary
Tertiary
Quaternary
Quinary
STRUCTURE OF THE LOCAL ECONOMY

LINKAGES
i. Backward – an activity or industry that provides input materials and
services to, say, agriculture, e.g. farm implements, fertilizers, pesticides,
certified seeds is linked in a backward manner. ii.
ii. Forward – an activity that uses the output of a particular activity, say,
sugar milling, e.g. candies, softdrinks, confectionery, is linked in a
forward manner.
iii. Vertical – where two or more firms produce components of a final
output, e.g. parts of a car.
iv. Horizontal – where two or more firms produce complete products that
are complementary in use, e.g. furniture shops each specializing in one
type of furniture like chairs, tables, cabinets, etc.
v. Diagonal – where a service cuts across different types of firms, e.g.
security services, insurance, messengerial or forwarding services.
vi. Residentiary – where services to the employees or managerial staff are
provided by firms or households, e.g. housing, recreation, food catering

LINKAGES
http://thienhungfruit.com/wp-content/uploads/2015/04/Durian.jpg

LINKAGES
http://foodevolution.com.ph/wp-content/uploads/2016/07/foodevolution_-Davao-
candy.jpg
http://www.stepbysteprecipe.com/wp-content/uploads/2010/05/img_3241.jpg

LINKAGES
http://foodevolution.com.ph/wp-content/uploads/2016/07/foodevolution_-Davao-candy.jpg
http://www.stepbysteprecipe.com/wp-content/uploads/2010/05/img_3241.jpg
http://www.yixunmachines.com/uploads/140225/2-140225162202442.jpg
http://worldartsme.com/images/black-and-white-candy-wrapper-clipart-1.jpg
https://d30y9cdsu7xlg0.cloudfront.net/png/5024-200.png

DEMONSTRATE YOUR OWN
LINKAGE TREE

CUMULATIVE CAUSATION
BY GUNNAR MYRDAL

TOWN SPECIALIZATION
LOCATION QUOTIENT
Pertains to the specialization of an area
Variable may be employment or local exports
Can be expressed in 1% or proportion
If greater than 1, the specialization has a comparative
advantage among other industries

EMPLOYMENT (in thousands) by industry group, 2002
Does Region I specialize in tertiary industries?

% employment,
R1 tertiary
% employment,
country tertiary

% employment,
R1 tertiary
% employment,
country tertiary
694
1,622
14,461
30,439
= 0.89

% employment,
R1 tertiary
% employment,
country tertiary
694
1,622
14,461
30,439
= 0.89 0.89 < 1

% employment,
R1 tertiary
% employment,
country tertiary
694
1,622
14,461
30,439
= 0.89 0.89 < 1
No, R1 does not specialize
in tertiary industries.

Your turn!
Does NCR specialize in tertiary activities?

SOLUTION
% employment,
NCR tertiary
% employment,
country tertiary
3,048
4,002
14,461
30,439
= 1.62 1.62 > 1

MONEY FLOW THEORY
•IRA share of the LGU
•Salaries of NGA personnel
posted in the locality
•Homeward remittances of
locals working elsewhere
•Earnings of local capital
invested elsewhere
•Export sales of local
products
•Foreign-funded projects
implemented in the locality
•Receipts from tourism
•Receipts from services to
outsiders
•Capital lent by banks to local
residents
•Inbound investments
•Municipal share to
provincial government
taxes (RPT, etc.)
•Outside purchases of the
local government
•Outside purchases of local
households
•Imports of local business
establishments
•School expenses of locals
studying elsewhere
•Profits of investors
remitted elsewhere
•Salaries paid to workers in
the locality who live
elsewhere
•Local savings invested by
commercial banks
elsewhere
•Insurance premiums paid
by locals
•Outbound investments by
locals
https://qph.ec.quoracdn.net/main-qimg-7a9d1917ae2f0e344ce423e0ddbfc08c
INFLOW
OUTFLOW

MONEY FLOW THEORY
Two scenarios
If there is hardly any storage:
(1)Increase the magnitude and
rate of inflow.
(2) Decrease the magnitude and
rate of outflow.
(3)Adopt both measures at the
same time
There is sizeable storage:
Direct policy and development
towards money circulation and
growth

MONEY FLOW THEORY
Take scenario #2: Decrease the magnitude and rate of outflow
Money simply stored does not grow; Money must circulate

DAVID HARVEY’S THEORY OF
CIRCUITS CAPITAL
Private owners invest where perceived return is greatest.
FASTEST
SLOWEST
Explains why we have more banks and malls
than manufacturing businesses and
agricultural investments.

EP: THE PHYSICAL AND
SPATIAL BASE
About land supply,
natural resources,
and infrastructure

ADMINISTRATIVE / BOUNDARY / POLITICAL MAP
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TOPOGRAPHIC MAP

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Soil
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SOIL MAP

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HYDROGEOLOGIC MAP

Existing Land Use
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map.jpg
LAND USE MAP

. Land Classification Map
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LAND CLASSIFICATION

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RIVER SYSTEMS

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BIODIVERSITY MAP

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INFRASTRUCTURE MAP

SIEVE MAPPING
GEOGRAPHIC
INFORMATION SYSTEM

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5.jpg
SOCIAL INFRASTRUCTURE

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ECONOMIC INFRASTRUCTURE

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Q0EUpEBw.jpg
PUBLIC SPACES

EVALUATION CRITERIA
FOR INFRASTRUCTURE
WAYS FORWARD
1. Appropriateness
2. Adequacy
3. Level of utility
4. Accessibility
a) freeze the expansion of
existing facilities
b) extend or expand the
existing service
c) put up new needed
facilities.

EP: THE ENVIRONMENT
Environment and
natural resources

Natural Resources
Inventory
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Environmental
Assessment
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YOUR TURN
DRIVER ?
PRESSURE ?
STATE Uncontrolled waste management
IMPACT ?
RESPONSE ?

LOCAL DEVELOPMENT INDICATOR SYSTEM
Portrays information in three dimensions:
TOPICAL OR
SECTORAL
TEMPORAL
GEOGRAPHICAL OR
SPATIAL

DELINEATION OF
GEOGRAPHICAL UNITS
PROCESSING OF DATA
ENTRIES INTO INDICATORS
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9B68C8850228-web.png
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GB/Data-Processing.gif
Enables us to
comprehend the city in
its entirety and in
relation to counterparts
Used to standardize (per
capita, %, average, etc.) for
cognition, analysis, policy-
making, and M&E

Using the LDIS
• Use as an information base
• Used to extract intelligence from data through problem-
finding
• Generate the information: What do the figures mean?
• Probe into the cause: Why?
• Explore the implication: So what?

PROBLEM- AND SOLUTION-
FINDING ANALYSIS

“...the process of
determining goals and
designing the means by
which these goals may be
achieved.”
- Robert Young
THE ELABORATION
OF ENDS
THE SPECIFICATION
OF MEANS

‘...goal formulation is the
“hingepin on which the rational
planning process turns”.
(Chadwick)
A badly conceived goal cannot
lead to a good plan. Worse,
without goals, any move that
people make is at best only an
aimless rambling, a
directionless locomotion.’

VALUES GOALS
Motivates action
and behavior
Welfare values: Well-
being, wealth, skill,
knowledge
Deference values:
Respect, affection,
justice,
righteousness
derives motivation from both
internal (value) and
external (stimuli) sources
s m a r t
OBJECTIVES

5 SOURCES OF GOALS
1. The Universal Concept of Public
Interest
2. The General Welfare Goals
3. Regional Physical Framework Plans
4. National Policies
5. Local Communities

Observed
Conditions
Explanations Implications Policy Options
Poverty rate is
increasing
Rapid tourism
establishment
growth along
coastal area
Frequent flooding
Limited parks and
open spaces for
the citizenry
YOUR TURN

GOALS
a.To achieve a rational distribution of
the region’s population.
b.To ensure access to economic
opportunities and social services.
c. To attain optimum utilization of
natural resources.
d.To preserve and maintain the
integrity of the environment

We envision Davao City as the Premier
Socio-economic and Tourism Center in
Mindanao, East Asean Growth Area (EAGA)
and the Asia-Pacific Region propelled by
enlightened leaders and empowered
citizenry and committed to sustainable
growth and development under the
guidance of Divine Providence.
VISION: DAVAO CITY

...A modern urban center where people
can put up their business and thrive
...Where people can find decent work and
means of living to feed, house, and educate
their families
...Where people will be safe and able to
pursue their dreams of a better life for
themselves and their loved ones
VISION: BACOLOD CITY

“An empowered and healthy Negrense
in a globally-competitive, ecologically
balanced and peaceful Negros
Occidental under a responsive and
accountable governance.”
VISION: NEGROS OCCIDENTAL

A VISION STATEMENT...
1. Is long term
2. must reflect its dual character as a political unit
and as a corporate body
3. a desired role the LGU can play or the best
contribution it can make to the development of
the nation, the region and the province of which
the LGU is an integral part
4. a desired state of the LGU as an environment
for its inhabitants to live in and where they can
make a living

◙ The town/city/province as an effective partner in
national development
o Identification of the wider region to which it
relates
o Definition of its role or roles in the region
◙ The town/city/province as an environment for living
and as a place for making a living
o Qualities of the people as society
o Nature of the local economy
o State of the natural environment
o Condition of the built environment
ELEMENTS OF A VISION STATEMENT

5
THE COMPREHENSIVE
LAND USE PLANNING
PROCESS

1
Balancing the future
demand for, and supply of
land for urban
development
2
Generation and
characterization of
alternative spatial
strategies or urban forms
3
Evaluating the alternatives
and selecting the
preferred strategy
4
Detailing the preferred
urban form
5
Formulating the land and
water use policy
framework

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demand-clipart_632-395.jpeg

1) projection of future demand for
urban land,
2) assessment of land supply, and
3) matching the demand with
available supply
IT’S ALL ABOUT

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Weidenpesch_(9506).jpg
SUPPLY STRATEGIES: INFILLING

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europe.eu/media/default/0001/04/63fe3cb09336ea6e358091e99e295c988cc899f8.jpeg
DENSIFICATION

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URBAN RENEWAL

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do/PublishingImages/Civil_Infrastructure/H2189_civil_infrastructure_Central_Reclmn_1_b.jpg
RECLAMATION

DEMAND STRATEGIES
1) Improved rural services
2) Alternative growth centers
3) Relocation or resettlement

GENERATION OF SPATIAL STRATEGIES

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communities-map-1942.jpg

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ak0.pinimg.com/originals/1a/88/5e/1a885e2158b61f167c9df259c45e2d04.jpg

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nasa.jpg?w=800&h=534
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IN EVALUATING
ALTERNATIVES,
THERE ARE SEVERAL
METHODS

CRITICISMS ON THE
COST-BENEFIT ANALYSIS
1) The calculation of costs and benefits in
monetary terms may be too long, complicated,
and expensive.
2) It does not accommodate intangible benefits
nor indirect costs of related projects.
3) It does not give room for uncertainties in
implementation.
4) It is suitable for the evaluation of single projects
with simple objectives.
5) It does not lend it self to participatory processes
and is confined to technical evaluations only

PLANNING BALANCE SHEET
By Nathaniel Lichfied
present not only the tangible costs and
benefits but also the intangible and
unmeasured costs and benefits for different
affected groups

GOAL ACHIEVEMENT MATRIX By Morris Hill

GOAL ACHIEVEMENT MATRIX
Highly participatory
Biases from different groups
are all factored in
A social consensus is
achieved

UPON SELECTION OF THE STRATEGY
Detail the following:
1. Settlement areas: CBD (center),
residential areas
2. Production areas: Commercial areas,
industrial areas, agricultural and resource
areas, tourism areas
3. Infrastructure areas: Circulation system,
utilities, urban services
4. Open space and preservation areas

6
THE COMPREHENSIVE
DEVELOPMENT
PROCESS

SECTORS AND THEIR CONCERNS
Social Quality of Life, Social Characteristics, Access to
Social Services, Social Justice, General
Welfare
Economic Full employment, food security, business and
investments
Environment Safeguarding and conserving resources and the
environment
Infrastructure Enhancement of economic prosperity;
Promotion of health and safety; Preservation of
comfort and convenience among the residents
Institutional Planning, local fiscal management, governance,
public participation

IDENTIFY AND ARRANGE
PROGRAMS AND PROJECTS

PROGRAM / PROJECT VS CONTRACTUAL ENGAGEMENTS

CREATING THE EXECUTIVE
LEGISLATIVE AGENDA (ELA)
“sectoral programs and projects and the
proposed legislations are compiled,
reconciled, and otherwise processed and
refined to form the LGU’s Executive –
Legislative Agenda (ELA) for the next 3
years”

7
Tools for Implementing
the CLUP

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ZONING

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041015.jpg
TAXES

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041015.jpg
REAL
PROPERTY TAX
SPECIAL EDUCATION
FUND
IDLE LANDS
SPECIAL BENEFIT
LEVY

RPT Privilege of land ownership is taxed
Special
Education
Fund
Administered by the local school boards, the
SEF goes into financing the construction and
repair of school buildings, facilities and
equipment, conduct of educational research,
purchase of books and periodicals, and the
development of sports.
Special
Benefit Levy
assessment on lands that are specially
benefited by public works projects, whether
these be new construction or improvements
on existing ones. This tax allows local
governments to recover as much as sixty
percent (60%) of the cost of the project
Idle Lands Lands that are unutilized or not improved

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724x437.jpg
EMINENT DOMAIN
The transfer of
privately owned
land into the
hands of local
governments

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PUBLIC INVESTMENT
PROGRAMMING

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star/business/agriculture/20150719/training-program-6.jpg
GUIDED PRIVATE INVESTMENT

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.png
CO-MANAGEMENT OF OTHER
DOMAINS

8
Local Investment
Programming

UNDERSTANDING THE CONCEPTS OF...
Local Development
pertains to only those projects that are within
the scope of the LGU;
in pursuance of the LGU’s exercise of its
powers and in the discharge of its duties and
functions necessary for effective governance
and essential for the promotion of the general
welfare.

UNDERSTANDING THE CONCEPTS
OF...
Public Investment
“investment is what is left after deducting all
expenses necessary to run the government
machinery, to satisfy the claims of creditors if
public debt has been incurred, and to comply
with statutory reserves”

1
Call for project
ideas
2
Solicit and compile
project ideas
3
Initial screening of
projects
4
Screening for
complementarity,
compatibility, or
conflict
5
Project ranking
6
Estimating project
costs
PREPARING THE
RANKED LIST OF
PROJECTS

1
Call for project
ideas
Official public
announcement
2
Solicit and compile
project ideas
1. Based on the CDP
2. Identified by the
Sectoral Committee
3. From other sources,
such as the barangay
development council,
NGOs, private sector,
individuals, etc.

3
Initial screening of
projects
4
Screening for
complementarity,
compatibility, or
conflict
1. Consolidate repetitive
or redundant
proposals
2. Screen out projects
that are impractical or
undesirable
3. Screen out projects
that are implemented
by other agencies
Use the conflict-
compatibility-
complementarity
matrix

5
Project ranking
Goal-achievement
matrix (GAM) is
utilized
Factors in social
and political
considerations
Trims down the project list; may have modification

6
Estimating project
costs
1. Matching of projects with available funds
2. If there are already available cost estimates, LPDO only
needs to validate or refine estimates

DETERMINING INVESTIBLE
FUNDS
LGU financing depends on:
1. Revenue level of the LGU
2. Level of recurring local government
operating expenditures
3. Current public debt level
4. Statutory debt ceiling
5. Potential sources of additional revenue
available for investment project financing

THE LOCAL FINANCE COMMITTEE
1. Composed of the LPDC, Budget Officer,
Treasurer
2. Charged with setting the level of the
annual expenditures and ceilings of
spending for socio-economic and general
services based on the approved
development plans

1
Collect revenue data and
determine trends
2
Collect operating
expenditure data
incuding debt and
determine trends
3
Establish structural
relationships of revenue
and expenditure items to
population and
economic development
4
Project future recurring
LGU revenue and
operating expenditure
levels
5
Compute the
financial surplus
available
DETERMINING
INVESTIBLE
FUNDS

1
Collect revenue data
and determine trends
is any inflow of funds to the LGU regardless
of whether the source is repayable or not.
WHAT IS REVENUE?
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49706957214

1
WHAT ARE EXAMPLES
OF LGU REVENUES?
a. Real Property Taxes
b. Business Fees and Licenses
c. Other Taxes
d. Service and Operations Income
e. Internal Revenue Allotment

1
(1) changes in the tax base such as
increases in the number of taxable
structures or businesses; and
(2) changes in tax rates
WHAT THE ANALYSIS MUST HAVE

2
Collect operating
expenditure data incuding
debt and determine trends
evenue data and determine
trends
WHAT IS OPERATING
EXPENDITURE?
includes personnel services (including social
charges) and maintenance and other
operating expenses (MOOE) such as office
supplies and expenses, utilities (power,
water, telecommunications), office
equipment and miscellaneous expenses.
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sweat.png

2
Collect operating
expenditure data incuding
debt and determine trends
evenue data and determine
trends
HOW TO ANALYZE THE
EXPENDITURE
1. General public services
2. Social services
3. Economic services

3
population and
(1) the overall national and regional
economic picture including
development trends;
(2) demographic shifts; and
(3) changes in the local market,
particularly in the local labor market.
KEY FACTORS TO BE
CONSIDERED

WHAT SHOULD
PROVIDE GUIDANCE:
1. General public services
2. Social services
3. Economic services
3
population and

FOR EXAMPLE
1. Trend in per capita yield
2. Movement of business tax yield
3
population and

4
LGU revenue and
levels
ASSESSMENT SHOULD SHOW
(1) a conscious upward or downward
adjustment of the computed historical
growth rates or
(2) through the assumed per capita income
growth rates to which the appropriate
revenue elasticity is to be applied

4
LGU revenue and
levels
WHAT DATA TO USE FOR PROJECTION
(1) the historical 3 to 5 year average
annual expenditure increase or
(2) the historical average expenditure
per unit of output in the case of LGU
business enterprises

4
LGU revenue and
levels
GROWTH RATE SCENARIOS
(1) No change
(2) Change by constant amounts (due to recent
shifts in the analysis, anticipated changes,
different estimates)
(3) Change at a constant rate
(4) Correlation with economic or demographic
variable

PROJECTED REVENUES
(LESS) : PROJECTED OPERATING EXPENSES
(LESS) : EXISTING DEBT SERVICE REQUIREMENTS
(EQUALS) : AMOUNT AVAILABLE FOR NEW INVESTMENT FINANCING
5
Compute the
financial surplus
available
NEW INVESTMENT FINANCING CAPACITY

MATCHING AND ITERATION
STREAM 1
Project Cost
Estimates
STREAM 2
Projection of
funds available

(1) First round matching
(2) LDC approves
(3) LDC deliberates and decides on the financing
approach
CONSERVATIVE DEVELOPMENTAL PRAGMATIC

CONSERVATIVE DEVELOPMENTAL PRAGMATIC
Only projects
that can be
funded from
regular sources
will be
implemented
Short list of projects is
taken as final and
irreducible. The LGU
will then tap all
sources possible to
raise the needed funds
to implement the
project package
Combination of
conservative and
developmental

CONSERVATIVE
Only projects
that can be
funded from
regular sources
will be
implemented
1.LDC trims the project list
2.LDC approves the final list
of projects
3.LPDO prepares the 3-
year annual investment
plan

DEVELOPMENTAL
Short list of projects is
taken as final and
irreducible. The LGU
will then tap all
sources possible to
raise the needed funds
to implement the
project package
1.Improve fiscal management
(tax, cut expenditures,
impose levy)
2.Incur public debt or credit
financing (loans, issuance of
bonds, borrowing, pre-
financing with private sector,
i.e. BOT)

9
MONITORING AND
EVALUATION:
TOWARDS CYCLICAL
PLANNING

MONITORING
a continuous process of data collection and
analysis to check whether a project is running
according to plan and to make adjustments if
required. It is an evaluative study directed to
the short term.

EVALUATION
a systematic process of collecting and analyzing
information about activities and results of a
project in order to determine the project’s
relevance and/or to make decisions to improve
the efficiency and effectiveness of a project.

10
GETTING THE LOCAL
PLANNING SYSTEM TO
WORK

(1)Agriculture and Fisheries Management Plan,
including the Strategic Agriculture and Fisheries
Development Zone (SAFDZ)
(2)Forest Management Plan or Forest Land Use Plan
(FLUP)
(3)Sustainable Integrated Area Development Plan or
Local Agenda 21 (SIADP)
(4)Integrated Watershed Management Plan (IWMP)
(5)Ancestral Domain Sustainable Development and
Protection Plan (ADSDPP)
(6)Protected Area Management Plan (PAMP)
(7)Coastal Resources Management Plan (CRMP)
SHOULD BE INCORPORATED INTO THE CLUP

Plans that require inter-sectoral functional committees
(a)Local Poverty Reduction Action Plan
(b)Disaster Management Plan
(c) Sustainable Development Plan
(d)Gender and Development Plan
(e)Food Security Plan
(f) Integrated Area Community Peace and Order and Public Safety Plan
Plans that fall within the concern of individual sectors
(a)Action Plan for the Council for the Protection of Children
(b)Annual Culture and Arts Plan
(c) Agriculture and Fisheries Management Plan
(d)Coconut Development Program
(e)Local Entrepreneurship Development Program
(f) Local Tourism Plan
(g)Small and Medium Enterprise Development Plan
SHOULD BE INCORPORATED INTO THE CDP

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