2009 R - 152 - STRONGLY OPPOSING THE PASSAGE OF HOUSE BILL NUMBER 24 AND CALLING FOR ITS OUTRIGHT REJECTION

EXCERPTS FROM THE MINUTES OF THE REGULAR SESSION OF THE SANGGUNIANG PANLUNGSOD OF OLONGAPO, HELD ON OCTOBER 14, 2009, AT THE CITY HALL.

PRESENT:

Hon. Cynthia G. Cajudo - - City Vice-Mayor & Presiding Officer

Hon. Gina Gulanes-Perez - - - City Councilor

Hon. John Carlos G. delos Reyes- - - “ “

Hon. Rodel S. Cerezo- - - “ “

Hon. Sarah Lugerna Lipumano-Garcia - - “ “

Hon. Edwin J. Piano- - - - “ “

Hon. Angelito W. Baloy - - “ “

Hon. Aquilino Y. Cortez, Jr. - - “ “

Hon. Anselmo A. Aquino- - “ “

Hon. Elena C. Dabu- - “ “

Hon. Jonathan G. Manalo- - “ “.

Hon. Cheenee F. Hoya- - -“ “

ABSENT:

None.

RESOLUTION NO. 152

(Series of 2009)

A RESOLUTION STRONGLY OPPOSING THE PASSAGE OF HOUSE BILL NUMBER 24 AND CALLING FOR ITS OUTRIGHT REJECTION

WHEREAS, House Bill Number 24 was filed in Congress which seeks to exempt capital towns of provinces without cities from the requirements of cityhood specifically on the locally generated income of P100 million pesos;

WHEREAS, the House Committee on Local Government recently approved the passage of the Bill despite vehement objections from League. Furthermore, the Bill was approved without proper consultation and notification with the League;

WHEREAS, in LCP vs. COMELEC, the Supreme Court had ruled that “the creation of cities and other political units must follow the same uniform, non- discriminatory criteria found solely in the Local Government Code”;

WHEREAS, the City of Olongapo submits its strong opposition to House Bill 24 on the following grounds:

1. With the implementation of the first tranche monthly salary schedule for local government personnel under the new Salary Standardization Law 3 (SSL3) next year, the passage of the Bill will mean massive lay-offs (especially for the casual employees). Furthermore, the decrease in the IRA share will put a strain on the resources of the existing cities and will significantly impact the increasing demands for the delivery of basic services to the constituents.

2. It is the intent of RA 9009 that the municipalities that want to be converted into cities must prove that they will be capable of internally generating the income that will be sufficient for its sustenance. Amending RA 9009 simply to accommodate capital towns of provinces without cities would be inconsistent with the principle of cityhood.

3. Based on the local income data obtained from BLGF, all the capital towns were not able to meet the P100 million pesos locally generated income. Worst, 20 out of the 30 capital towns have a locally generated income of P20 million pesos and below. Clearly, these capital towns are not qualified to be converted into cities even applying the old requirement of P20 million pesos.

4. The current IRA sharing scheme is no longer responsive to the needs of the Philippine cities, which are at the forefront of bearing the great burden of urbanization in our country.

5. In LCP vs. COMELEC, the Supreme Court held that the intention of Section 10, Article X of the Constitution is to “insure that the creation of cities and other political units must follow the same uniform, no-discriminatory criteria found solely in the Local Government Code. While HB 24 seeks to amend Section 450 of the LG Code, the proposed exemption violates the requirement that the criteria for conversion of municipalities into cities must be uniform and non-discriminatory.

6. HB 24 also violates the equal protection clause of the Constitution. The proposed classification does not rest on substantial distinctions. There are no substantial distinctions between capital municipalities of provinces without cities and other municipalities that justify exempting these capital municipalities from the income requirement. It may also be argued that there is no substantial distinction between capital municipalities of provinces without cities and capital municipalities of provinces with cities.

NOW, THEREFORE, with the unanimous accord of the Members of the Sangguniang Panlungsod present,

RESOLVED, AS IT IS HEREBY RESOLVED, by the Sangguniang Panlungsod in session assembled to:

1. STRONGLY OPPOSE the passage of House Bill Number 24

2. CALL for the outright rejection of House Bill Number 24 for being unconstitutional and

3. URGE the Honorable Members of the 14th Congress to uphold the principles laid down by the Supreme Court in LCP vs. COMELEC;

RESOLVED FURTHER, AS IT IS HEREBY FURTHER RESOLVED, that copies of this Resolution be forwarded to Senate President Juan Ponce Enrile. House Speaker Prospero Nograles, the Chairman of the House Committee on Local Government, Hon. George P. Arnaiz, the Chairman of the Senate Committee on Local Government, Sen. Noynoy Aquino III, all the senators and all the members of the House Committee on Local Government for their favorable consideration and immediate action, and the authors of the House Bills and the League of Cities of the Philippines for their information.

APPROVED UNANIMOUSLY, October 14, 2009.

CYNTHIA G. CAJUDO

City Vice-Mayor & Presiding Officer

GINA GULANES-PEREZ JOHN CARLOS G. DELOS REYES

City Councilor City Councilor

RODEL S. CEREZO SARAH LUGERNA LIPUMANO-GARCIA

City Councilor City Councilor

EDWIN J. PIANO ANGELITO W. BALOY

City Councilor City Councilor

AQUILINO Y. CORTEZ, JR. ANSELMO A. AQUINO

City Councilor City Councilor

ELENA C. DABU JONATHAN G. MANALO

City Councilor City Councilor

CHEENEE F. HOYA

City Councilor

ATTEST:

ELFLIDA S. SALMON

Council Secretary

APPROVED BY HIS HONOR, THE CITY MAYOR ON _____________________.

JAMES GORDON, JR.

City Mayor

ATTEST:

DELFIN A. JUICO, JR.

Secretary to the City Mayor