Republic of the Philippines
HOUSE OF REPRESENTATIVES 
Quezon City 
TWENTIETH CONGRESS 
First Regular Session 
HOUSE BILL NO. 2202 
_____________________________________________________________________ 
Introduced by Representative ANTONINO B. ROMAN III 
_____________________________________________________________________ 
EXPLANATORY NOTE 
Flooding is a recurring and intensifying challenge across the 
Philippines, affecting rural and urban communities alike. In cities like 
Cagayan de Oro, Butuan, Marikina, Davao, and Iloilo, and provinces such as 
Agusan del Sur, Albay, Bataan, Capiz, Isabela, Leyte Maguindanao, 
Pampanga, and parts of Cagayan Valley, Bicol, Eastern Visayas, BARMM, 
and Central Luzon, floods routinely damage homes, disrupt schools and 
businesses, and threaten lives. While local government units (LGUs) are at 
the frontlines of flood response and prevention, many lack the technical capacity 
or resources to carry out long-term, effective solutions. 
This bill proposes the creation of a performance-based fund to support 
LGUs that proactively plan for flood resilience. By linking financial 
support to the submission of flood investment plans and actual outcomes -- like 
functioning drainage systems or reduced exposure to high-risk areas -- we 
ensure that resources are directed where they are needed most and are used 
effectively. This is not just about money; it is about giving LGUs a fair chance 
to build safer communities, with support for planning, training, and 
implementation. 
The approach builds on existing Disaster Risk Reduction and 
Management (DRRM) and climate plans already mandated by law. It 
benefits a wide array of constituencies, from coastal to upland regions. 
Most importantly, it offers clear eligibility guidelines and leverages the 
experience of national agencies that have worked with LGUs before. 
This measure is part of the Flood Resilience Legislative Package of 
2025, a three-part reform strategy designed to transform how the 
Philippines anticipates, funds, and prevents flooding. Alongside this bill, the 
package includes: the National Flood Risk Governance and Data Integration 
Act, which consolidates flood-related data and mandates coordinated 
governance; and the Urban Wetlands and Easement Protection Act, which 
strengthens enforcement of natural and legal flood buffers. Together, these 
bills aim to modernize flood governance, empower LGUs, and restore natural 
defenses across all regions of the country. 
July 23, 2025
8:37 am


Immediate passage of the measure is earnestly sought. 
ANTONINO B. ROMAN III 


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
TWENTIETH CONGRESS 
First Regular Session 
HOUSE BILL NO. 2202 
_____________________________________________________________________ 
Introduced by Representative ANTONINO B. ROMAN III 
_____________________________________________________________________ 
AN ACT 
CREATING A PERFORMANCE-BASED FLOOD RESILIENCE 
INCENTIVE AND INVESTMENT FUND TO SUPPORT 
LOCAL GOVERNMENT UNITS IN REDUCING FLOOD RISK, 
APPROPRIATING FUNDS THEREFOR, AND FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
Section 1. Title. -- This Act shall be known as the “Flood Resilience Incentive and 
Performance Fund Act of 2025.” 
Section 2. Declaration of Policy. -- It is the policy of the State to strengthen local 
government capacity to prevent, mitigate, and adapt to flooding through targeted 
financial incentives, capacity building, and accountability mechanisms. The State 
recognizes the need to link resource allocation to measurable risk reduction outcomes 
to ensure the effectiveness and sustainability of flood control efforts.  
Section 3. Definition of Terms. – As used in this Act: 
a.
Flood Resilience Investment Plan (FRIP) refers to a time-bound and costed
document submitted by an LGU outlining programs and projects to reduce
flood risk, harmonized with the Local Climate Change Action Plan (LCCAP)
and Local Disaster Risk Reduction and Management Plan (LDRRMP).
b. Nature-Based Solutions refer to ecosystem-centered interventions such as
wetland restoration, mangrove planting, or rain gardens that reduce flood risk
and provide co-benefits.
c.
Performance-Based Fund refers to a financial arrangement where the release
of funds is conditioned upon the achievement of pre-agreed outputs or
outcomes.


Section 3. Creation of the Flood Resilience Fund. -- There is hereby created a 
special purpose grant fund, to be known as the “Flood Resilience Incentive and 
Performance Fund,” which shall be administered by the Department of Budget and 
Management (DBM), in coordination with the Department of the Interior and Local 
Government (DILG), Department of Science and Technology (DOST), Department of 
Public Works and Highways (DPWH), and the Climate Change Commission (CCC). 
 
 
The administration of the Fund shall be consistent with applicable public 
financial management laws, including the Government Auditing Code, and subject to 
review by the Commission on Audit (COA). 
 
Section 4. Purpose of the Fund. -- The Fund shall be used exclusively to support 
LGU projects, plans, and activities that aim to reduce flood risk and improve climate 
resilience, including but not limited to: 
 
a. Local flood infrastructure plans and mapping; 
 
b. Community-based early warning systems; 
 
c. Nature-based solutions such as wetlands, rain gardens, and mangrove 
reforestation; 
 
d. Technical capacity development of LGU Disaster Risk Reduction and 
Management (DRRM) officers and engineers; 
 
e. Maintenance of drainage and pumping systems; and 
 
f. Localized flood data generation and sharing. 
 
Section 5. Eligibility and Allocation Criteria. -- To be eligible for funding, an LGU 
must: 
 
a. Have an updated LCCAP and LDRRMP; 
 
b. Submit a FRIP consistent with national guidelines and harmonized with and 
integrated into the LGU’s existing LCCAP and LDRRMP; 
 
c. Demonstrate a commitment to data sharing and inter-LGU coordination; and 
 
d. Meet minimum standards for project design, safeguards, and participatory 
processes. 
 
 
Allocation of the Fund shall be guided by: 
 
a. Degree of flood vulnerability (based on hazard maps); 
 
b. Size and density of population at risk; 
 
c. Historical damage from flooding; and 
 


d. Availability of counterpart funding or in-kind contribution from LGUs. 
 
 
All allocations shall be published annually on the websites of DBM and 
DILG, along with the eligibility scores and criteria used. 
 
Section 6. Monitoring, Evaluation, and Performance Incentives. -- The Fund shall 
include a performance-based incentive mechanism that rewards LGUs for achieving 
measurable outcomes such as reduced flood exposure, timely project completion, and 
effective operations and maintenance. The Climate Change Commission and DOST 
shall jointly develop verifiable and transparent metrics, which shall be published and 
updated regularly. Independent performance audits may be commissioned to ensure 
objectivity. The DILG shall submit an annual performance report to Congress. 
 
Section 7. Appropriations. -- An initial amount of Two Billion Pesos (Php 
2,000,000,000.00) is hereby appropriated from the General Appropriations Act of the 
year following the effectivity of this Act. Thereafter, such sums as may be necessary 
shall be included in the annual national budget. The Fund may also receive grants, 
donations, and endowments from local and international sources. 
 
 
Multi-year programming shall be allowed under this Fund, subject to 
applicable guidelines and government budgeting rules 
 
Section 8. Implementing Rules and Regulations. -- The DBM, DILG, DPWH, 
CCC, and DOST shall jointly promulgate the implementing rules and regulations 
within ninety (90) days from the effectivity of this Act. 
 
Section 9. Separability Clause. -- If any provision of this Act is declared 
unconstitutional or invalid, the remaining provisions shall remain in full force and 
effect. 
 
Section 10. Repealing Clause. -- All laws, decrees, executive orders, rules, and 
regulations inconsistent with this Act are hereby repealed or amended accordingly. 
 
Section 11. Effectivity. -- This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in at least two newspapers of general circulation. 
 
 
Approved,