EIGHTEENTH CONGRESS OF THE)
REPUBLIC OF THE PHILIPPINES )
Second Regular Session )

HOUSE OF REPRESENTATIVE

H.B.No,_8939

Introduced by Rep. Vilma Santos-Recto
6th District of Batangas

AN ACT
ACCELERATING PUBLIC SECTOR INVESTMENTS IN LOCAL
INFRASTRUCTURE, ESTABLISHING FOR THE PURPOSE THE LOCAL BUILD,
BUILD, BUILD PROGRAM, PROVIDING FUNDS THEREFOR, AND FOR OTHER
PURPOSES

EXPLANATORY NOTE

Local governments perform a critical role in the delivery of basic social services and
implementation of government programs and projects in the country. Under the prevailing
policy regime, local government units (LGUs) have significant mandates on matters
concerning agriculture, health, social welfare, public works, solid waste management,
environment, local enterprise management, public order and safety, human settlements,
tourism and even in disaster risk reduction and management. As such, the success of
government plans, programs and projects, especially in the remote areas of the country,
depends considerably on the capacity of the LGus and the availability of infrastructure to

effectively implement the laws and execute government interventions.

Despite the mandates imposed on local governments, the infrastructure system at the
local level remains inadequate, if not absent. This, in turn, impairs the ability of local
governments to effectively implement programs and projects within their respective

jurisdictions.


This bill seeks to remedy this situation by accelerating public infrastructure spending
at the grassroots level. This bill seeks to establish a Local Build, Build, Build Program as a
national strategy for providing intensive public infrastructure investment in all provinces,
cities, municipalities and barangays of the country. Under this proposed measure, the additional
share of LGUs from the national taxes collected by the Bureau of Customs in accordance with
the Supreme Court decision in Mandanas vs. Executive Secretary, G.R. No. 199802 shall be
earmarked for local infrastructure projects, particularly those that boost local employment and
tourism, raise agricultural productivity, manage health-related causes of mortality and
morbidity, maintain public order and safety, reduce the actual and opportunity cost of doing

business, and improve the delivery of basic social services.

The bill further mandates the release of the share of each province, city municipality,
and barangay from the Program to their respective treasurer without need of any further action
on a quarterly basis, and shall not be subject to any lien or holdback that may be imposed by
the national government. It also facilitates the convergence of local government interventions
and the cooperation among LGUs to ensure the enhancement of operational efficiency,
effective utilization of public resources, realization of project outcomes, and strengthening of
mechanisms for inter-local cooperation.

This intervention is conceived in cognizance of the indispensable role of local
governments in the delivery of social services, and their potential for greater contribution to

socioeconomic development and ultimately, nation-building.

In view of the foregoing, the swift passage of the proposed measure is earnestly sought.



EIGHTEENTH CONGRESS OF THE )

REPUBLIC OF THE PHILIPPINES )
Second Regular Session )
HOUSE OF REPRESENTATIVES
8939
H. B. No.

Introduced by Rep. Vilma Santos-Recto
6th District of Batangas

AN ACT
ACCELERATING PUBLIC SECTOR INVESTMENTS IN LOCAL
INFRASTRUCTURE, ESTABLISHING FOR THE PURPOSE THE LOCAL BUILD,
BUILD, BUILD PROGRAM, PROVIDING FUNDS THEREFOR, AND FOR OTHER
PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:
Sec. 1. Short Title. — This Act shall be known as the “Local Build, Build, Build Program

Act.”

Sec. 2. Declaration of Principles, —It is hereby declared a policy of the State to promote
genuine and meaningful local autonomy that empowers the territorial and political subdivisions
of the State to attain fullest development as self-reliant communities and more effective
partners in the realization of national objectives. In recognition of the role of provinces, cities,
municipalities and barangays in governance, and in line with the objective of spurring inclusive
economic development, the State shall establish mechanisms for providing additional resources
for public infrastructure at the local level to boost local employment and tourism, raise
agricultural productivity, manage health-related causes of mortality and morbidity, maintain
public order and safety, reduce the actual and opportunity cost of doing business, and improve
the delivery of basic social services.

Sec. 3. Local Build, Build, Build Program. — The Local Build, Build, Build, Program,
hereinafter referred to as the Program, is hereby established as a national strategy for providing
intensive public infrastructure investment at the local level.

Sec. 4. Coverage. - Any provision of the law to the contrary notwithstanding, this Act
shall apply to all provinces, cities, municipalities, and barangays, including barangays created

pursuant to Ordinances of the Sangguniang Panlungsod or Sangguniang Panlalawigan


Sec. 5. Infrastructure Projects. — Infrastructure projects that may be funded under the
Program shall include the construction, completion, upgrading, repair, rehabilitation, or
improvement of the following:

(a) Local Public Buildings and Other Infrastructure;

(b) Local Roads and Bridges;

(c) Local Drainage, Flood Mitigation and Flood Control Systems;

(d) Local Transport Infrastructure;

(e) Local Agricultural and Irrigation Facilities;

(£) Local Educational Infrastructure;

(g) Local Health Infrastructure;

(h) Local Social Welfare Infrastructure;

(i) Local Housing and Resettlement Projects;

(Local Water Supply and Sanitation Infrastructure;

(k) Local Solid Waste Management Infrastructure;

() Local Jail and Prison Infrastructure;

(m) Local Public Enterprise Infrastructure;

(n) Local Electrification Infrastructure; and

(0) Other infrastructure projects to be identified by the Department of the Interior and
Local Government (DILG):

Provided, That the construction, completion, upgrading, repair, rehabilitation, or
improvement of such infrastructure shall be complementary and supplementary to other similar
undertaking of national government agencies and shall not be a duplication of or replacement
for any existing programs and projects already implemented at the local level by any

government agency or instrumentality including local government units.


Sec. 6. Planning Requirement of Infrastructure Projects. — Infrastructure projects to be
undertaken under the Program shall be included in the Comprehensive Development Plan,
Local Development and Investment Plan, and Annual Investment Program of the local
government concerned.

Sec. 7. Convergence of Local Build, Build, Build Projects and Activities. — Within the
framework of a comprehensive local development and consistent with the basic policy on local
autonomy, the President of the Philippines shall exercise general supervision over LGUs in the
implementation of the Program within their respective jurisdictions. The city and municipal
governments shall, in the exercise of general supervision over component barangays, ensure
that the projects to be implemented by their respective component barangays shall complement
and converge seamlessly with their respective comprehensive city or municipal development
plans.

Sec. 8. Inter-Local Partnership and Cooperation. — Local government units may,
through appropriate ordinances, consolidate or coordinate their efforts, services, and resources
in the implementation of projects under the Program to ensure the enhancement of operational
efficiency, effective utilization of public resources, realization of project outcomes, and
strengthening of mechanisms for inter-local cooperation. In support of such undertaking, the
LGUs concerned may contribute funds, real estate, equipment, and other kinds of property and
appoint or assign personnel under such terms and conditions as may be agreed upon by the
participating LGUs through a Memorandum of Agreement.

Sec. 9. Local Build, Build, Build Appropriations. — The amount necessary for the
implementation of the provisions of this Act shall be sourced from the share of LGUs from the
national taxes collected by the Bureau of Customs based on the collection of the third fiscal
year preceding the current fiscal year,

Sec. 10. Allocation to Local Government Units. — The share of each LGU in the
appropriations as provided in Section 9 of this Act shall be in accordance with Section 285 of
Republic Act 7160, as amended, otherwise known as the “Local Government Code of 1991.”

Sec. 11. Automatic Release of Shares. - The share of each local government unit in the
Local Build, Build, Build Appropriations as provided in Section 9 of this Act shall be released,
without need of any further action, directly to the provincial, city, municipal or barangay
treasurer, as the case may be, on a quarterly basis within five (5) days after the end of each
quarter, and which shall not be subject to any lien or holdback that may be imposed by the

national government for whatever purpose.


Sec. 12. Implementing Rules and Regulations. ~ Within sixty (60) days from the
effectivity of this Act, the DILG and the Department of Budget and Management shall, in
coordination with the Department of Public Works and Highways, Department of Finance,
League of Provinces, League of Cities, League of Municipalities, Liga ng mga Barangay and
other government agencies concemed, jointly promulgate the rules and regulations to
effectively implement the provisions of this Act.

Sec. 13. Separability Clause. — If any portion of this Act is declared invalid or
unconstitutional, the portions or provisions which are not affected shall continue to be in full
force and effect.

Sec. 14. Repealing Clause. — All laws, acts, decrees, executive orders, issuances, and
rules and regulations or parts thereof which are contrary to and inconsistent with this Act are
hereby repealed, amended or modified accordingly.

Sec. 15. Effectivity. This Act shall take effect fifteen (15) days after its publication in
the Official Gazette or in a newspaper of general circulation.

Approved,