NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
5g •;) ^cna
of tl)c 
-l etiirp
23 HAR14 P3:42
SENATE
S.No. 2003
receive::; Bn
Introduced by Senator Loren B. Legarda
AN ACT
PROVIDING FOR THE DEVELOPMENT OF SUSTAINABLE CITIES AND 
COMMUNITIES IN THE COUNTRY, AND FOR OTHER PURPOSES
EXPLANATORY NOTE
According to the 2020 national census, the overall population of the National 
Capital Region (NCR) is 13.4 million, and 11% live in informal settlements. Not all 
informal settlers have low incomes, but many of them are susceptible to external 
shocks that could quickly drive them into poverty.
Several challenges in urban planning were identified in Metro Manila. These 
include the lack of mobility, congestion, lack of affordable housing, lack of reliable 
water supply and sanitation, weak healthcare systems, and an unhealthy urban 
environment, among others.
The Constitution provides that the State shall, by law, and for the common 
good, imdertake, in cooperation with the public sector, a continuing program of urban 
land reform and housing which will make available at affordable cost decent housing 
and basic services to underprivileged and homeless citizens in urban centers and 
resettlements areas.
Pursuant to the constitutional mandate, it is incumbent upon the state to ensure 
inclusive use of urban space for housing and to develop sustainable urban planning


that takes into account diversity and cultural heritage, creativity and irmovation, 
disaster risk management, climate resilience, ecological balance, solid waste 
management, urban air quality as well as open and safe spaces in the city. 
Participatory urban governance, urban safety, increased and improved digital 
connectivity and accessibility, as well as accessible, affordable, efficient, and 
sustainable urban mobility should likewise be prioritized in urban policymaking.
This biU seeks to incorporate the abovementioned factors for the development 
of sustainable cities and communities in the country. Furthermore, the bill mandates 
the Department of Human Settlements and Urban Development (DHSUD) to 
hctrmonize existing national housing and urban development plans with the 
provisions of this bill and formulate a National Housing and Urban Development 
Sector Plan (NHUDSP) to operationalize the goals of this proposed measure.
Towards this end, priority should be given to institutionalizing a national 
framework for creating sustainable cities and communities.
In view of the foregoing, the approval of this measure is earnestly sought.
N LEGARDA


NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
SENATE
s.No. 2003
Senate
oC t!j? ^Tcrftan
23 MAR 14 P3:42
Introduced by Senator Loren B. Legarda
AN ACT
PROVIDING FOR THE DEVELOPMENT OF SUSTAINABLE CITIES AND 
COMMUNITIES IN THE COUNTRY, AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled:
1 
Section 1. Short Title. - This Act shall be known as the "Sustainable Cities and
2 
Communities Act".
3 
Sec. 2. Declaration of Policy. - The State shall, pursuant to the constitutional mandate
4 
to undertake a continuing program of urban land reform and housing which will make available
5 
to underprivileged and homeless citizens decent and affordable housing, access to basic
6 
services, and adequate employment opportunities, and in consonance with the constitutional
7 
guarantees on social justice, general welfare, public health, and ecological balance, recognize
8 
the right to the city of all which encompasses the collective access to sustainable resources,
9 
meaningful participation in urban planning and governance, and social inclusion.
10 
It is likewise declared the policy of the State to promote inclusive, resilient, and
11 
sustainable urban development.
12 
Toward these ends, the State shall ensure the inclusive use of urban space for housing
13 
and livelihood, improve access to basic services, develop integrated public transportation
14 
systems and green infrastructures, protect ecosystems, and manage risks to climate change and
15 
disasters.
16 
Further, the State shall pursue programs to celebrate diversity and cultural heritage, foster
17 
creativity, innovation, and participation in urban planning and policy-making, and maintain
18 
public order and safety through the prevention of crime, violence and discrimination.


1 
Sec. 3. Coverage. - All cities and municipalities, with a majority of barangays classified
2 
as urban by the Philippine Statistics Authority (PSA), hereinafter referred to as urban areas,
3 
are hereby mandated to align their plans, programs and activities towards the full
4 
implementation of this Act.
5 
Sec. 4. Guiding Framework for Sustainable Cities and Communities. - To fulfill its
6 
economic, political and social functions, a local government unit covered under this Act shall
7 
conform with and implement plans, programs and activities, guided by Ambisyon 2040 and
8 
the Philippine Standards for Sustainable Cities and Communities, according to the following
9 
principles:
10 
(a) Inclusive urban circular economy which creates decent jobs with fair wages;
11 
supports entrepreneurship, creativity and innovation; ensures safe and non-
12 
discriminatory working environments; and promotes resource-efficient industries
13 
and consumption;
14 
(b) Spatial justice which promotes multiple use of land to prevent forced
15 
evictions, displacement, marginalization, and gentrification; and ensures that
16 
urban development provides vulnerable and marginalized sectors the access to
17 
safe, adequate and affordable housing under different tenurial arrangements,
18 
giving priority to on-site resettlement, as well as universal healthcare, accessible
19 
education, infrastructures, livelihoods, food security and nutrition; and safe and
20 
inclusive public spaces that foster social cohesion;
21 
(c) Urban renewal which includes slum upgrading to improve housing,
22 
infrastructures and services; urban greening, including the promotion of urban
23 
agriculture for food security and communal wellness; and the development of
24 
inclusive, safe, accessible and enjoyable open spaces and parks;
25 
(d) Urban mobility and connectivity which provides for inclusive, safe, accessible,
26 
affordable, efficient and sustainable public transportation through the
27 
development of adequate transportation infrastructures, utilities and intermodal
28 
transportation systems, including non-motorized modes of transportation to
29 
strengthen global and urban-rural linkages and management;
30
31 
(e) ICT infrastructure for digital connectivity which provides for fast, secure, stable,
32 
and affordable internet connectivity that would be able to cater to technological
33 
innovations and enhance digitalization to strengthen global and urban-rural
34 
linkages and management;


1 
(f) Urban safety which ensures freedom of all persons, regardless of gender, age,
2 
health status, income, nationality, ethnicity, and political, religious or sexual
3 
orientation from crimes and all forms of violence and discrimination in the
4 
workplace and public spaces;
5 
(g) Ecological balance which requires the sustainable management of natural
6 
resources; protection and conservation of biodiversity, natural ecosystems and
7 
landscapes; proper waste management and sanitation; provision of green
8 
infrastructures; and the development and use of renewable energy sources in
9 
transportation, industry and households to reduce carbon footprint and improve
10 
water and air quality;
11 
(h) Climate resilience which builds the capacity of urban areas to adapt to and
12 
manage threats and risks posed by climate change and disasters to constituents
13 
especially vulnerable groups, and to facilitate post-disaster rehabilitation and
14 
recovery;
15 
(i) Cultural diversity which respects, protects, and promotes the diverse livelihoods,
16 
customs, memory, identities, expressions, and sociocultural forms of its
17 
inhabitants; preserves tangible cultural heritage, such as artistic creations,
18 
historical sites and monuments; and safeguards intangible cultural heritage, such
19 
oral traditions, performing arts, indigenous knowledge and traditional skills, as
20 
well as the instruments, objects, artifacts and cultural spaces associated therewith;
21 
(j) Participatory urban governance which involves political participation in the
22 
formulation, implementation, monitoring, and budgeting of urban policies in
23 
order to promote transparency, effectiveness, and inclusiveness in the
24 
engagement of a diverse set of inhabitants and their organizations, especially of
25 
urban poor and marginalized groups, upholding communal spirit and supporting
26 
community-building; and
27 
(k) Alignment of economic, social, and environmental policies between and among
28 
national, regional, city, and municipal government units, facilitating the
29 
achievement of the goals of each unit.
30 
The Department of Human Settlements and Urban Development (DHSUD), in
31 
consultation with relevant government agencies, local government units, civil society
32 
organizations, the private sector and the academe, shall, within 180 days from the effectivity
33 
of this Act, harmonize existing national housing and urban development plans with this Act
34 
and formulate, in coordination with the Department of the Interior and Local Government


1 
(DILG), the National Economic and Development Authority (NEDA), and the PSA, a National
2 
Housing and Urban Development Sector Plan (NHUDSP) to operationalize the goals of this
3 
Act, taking into consideration the unique and evolving economic, social and institutional
4 
contexts of the country.
5 
The NHUDSP shall provide short-term, medium-term, and long-term strategic plans to
6 
achieve the goals of this Act.
7 
The NHUDSP shall also generate estimates and projections to determine present and
8 
future demand for infrastructures and services in urban areas, and shall identify policy and
9 
program interventions to address challenges to sustainable urban development, and specific
10 
periodic targets and indicators and investment requirements thereof
11 
Sec. 5. Targets and Indicators. - In preparing the NHUDSP, the DHSUD, NEDA, DILG,
12 
and the PSA shall be guided by the principles provided under Section 4 of this Act, as well as
13 
the targets and indicators set forth in the 2030 Agenda for Sustainable Development and the
14 
New Urban Agenda of the United Nations:
15 
(a) Urban population living in slums - measured in tenns of proportion of urban
16 
population living in slums, informal settlements or inadequate housing;
17 
(b) Public transport access - measured in terms of proportion of population that has
18 
convenient access to public transport, by sex, age, income group, and persons
19 
with disability;
20 
(c) Sustainable urbanization rates - measured in terms of ratio of land consumption
21 
rate to population growth rate;
22 
(d) Urban planning and management - measured in terms of proportion of cities with
23 
a direct participation structure of civil society in urban plarming and management
24 
that operate regularly and democratically;
25 
(e) Protecting cultural heritage - measured in terms of total public and private
26 
expenditure per capita spent on the preservation, protection and conservation of
27 
all cultural and natural heritage;
28 
(f) Deaths and injuries from disasters - measured in terms of number of deaths,
29 
missing persons and directly affected persons attributed to disasters per 100,000
30 
population;
31 
(g) Economic losses from disasters - measured in terms of direct economic loss in
32 
relation to global GDP, damage to critical infrastructure and number of
33 
disruptions to basic services, attributed to disasters;


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
(h) Solid waste management - measured in terms of proportion of urban solid waste 
regularly collected and with adequate final discharge out of total urban solid 
waste generated;
(i) Urban air quality - measured in terms of the annual mean levels of fine particulate 
matter;
(j) Open spaces in cities - measured in terms of average share of the built-up area of 
cities that is open space for public use for all, by sex, age and persons with 
disability;
(k) Safe spaces in cities - measured in terms of proportion of persons who are victims 
of physical or sexual harassment, by sex, age, persons with disability, and place 
of occurrence, in the previous 12 months;
(l) Urban and regional planning - measured in terms of proportion of population 
living in cities that implement urban and regional development plans integrating 
population projections and resource needs, by size of city;
(m) Integrated disaster risk management - measured in terms of adoption and 
implementation of national disaster risk reduction strategies;
(n) Local disaster risk management - measured in terms of adoption and 
implementation of local disaster risk reduction strategies in line with national 
disaster risk reduction strategies;
(o) Urban economy - measured in terms of percentage of the labor force in the 
education and Research and Development sectors, and unemployment rate and 
number of businesses;
(p) Innovation-geared education - measured in tenns of the number of Science, 
Technology, Engineering, and Mathematics higher education degrees;
(q) Use of renewable energy - measured in terms of percentage of consumed energy 
from renewable sources;
(r) Universal healthcare - measured in terms of number of in-patient hospital beds 
and physicians;
(s) Food security - measured in terms of percentage of city budget spent on initiatives 
on urban agriculture;
(t) Water and wastewater management - measured in terms of water consumption 
per capita, percentage of households with access to basic water supply, 
percentage of treated wastewater that is reused;


1 
(u) Access to ICT services - measured in terms of proportion of population that has
2 
access to fast, secure, stable, and affordable internet services to cater and
3 
accommodate online or digital transactions or services necessary for the conduct
4 
of daily activities in the modem society; and
5 
(v) Such other targets and indicators as determined by DHSUD, NED A, DILG, and
6 
PSA consistent with the principles that guide sustainable cities and communities
7 
as provided in Section 4 of this Act: Provided, That at any time, but not more than
8 
once every five years, such targets and indicators may be reviewed or revised as
9 
the need arises to conform to changes and new developments brought about by
10 
the latest trends in institutionalizing sustainable cities and communities.
11 
Sec. 6. Urban Planning and Development. — The DHSUD, in coordination with NEDA,
12 
DILG, and DPWH shall provide technical assistance to local government units in the
13 
integration of the pertinent provisions of this Act, the National Urban Development and
14 
Housing Framework, and the NHUDSP in their Annual Development Plans, Annual
15 
Investment Plans, Physical Framework Plans, Development Master Plans, Comprehensive
16 
Land Use Plans, Disaster Risk Reduction and Management Plans, and similar plans.
17 
National agencies and local government units shall ensure the genuine and adequate
18 
participation in urban, regional, spatial and environmental planning; Provided, That, access to
19 
information, official records, public records and to documents and papers pertaining to official
20 
acts, transactions or decisions, and research data related to urban development to enable
21 
informed participation in the decision-making shall be made available pursuant to Section 7,
22 
Article III of the 1987 Constitution.
23 
Sec. 7. Incentives for Sustainable Cities. - The DILG and the Department of Budget and
24 
Management shall incorporate the annual targets set by DHSUD, DILG, and NEDA in the
25 
awarding of the Seal of Good Local Governance under Republic Act No. 11292 otherwise
26 
knovm as "The Seal of Good Local Governance Act of 2019."
27 
Sec. 8. Appropriations. - National government agencies and local government units shall
28 
include in their respective programs the needed operational and institutional requirements in
29 
upholding the enumerated rights in this Act which fall within their respective legal mandates,
30 
the initial funding of which shall be charged against their current appropriations. Thereafter,
31 
such sums as may be necessary for the continued implementation of this Act by the national
32 
government agencies shall be included in the annual General Appropriations Act.
33 
The National Government and local government units shall accordingly pursue
34 
alternative resource mobilization strategies, including, but not limited to, public-private


1 
partnerships with guidance of the Public-Private Partnership Center, official development
2 
assistance, and land value capture, to leverage public resources and maximize their value to
3 
finance the operational requirements of this Act.
4 
Sec. 9. Public Participation. - National Agencies and Local Government Units shall
5 
ensure the genuine and adequate participation in urban, regional, spatial and environmental
6 
planning through the following:
7 
(a) Incentives for the private sector - the Department of Finance shall provide
8 
incentives to the participation of the private sector in the achievement of the goals
9 
identified under this Act, in accordance with Republic Act No. 10771, otherwise
10 
known as the “Philippine Green Jobs Act of 2016”;
11 
(b) Capacity building for communities - dthe DHSUD shall provide technical
12 
assistance to homeowners’ associations, neighborhood associations, people's
13 
organizations, and other local organizations to empower them as partners in
14 
achieving the goals of this act, and enable them to undertake community-level
15 
actions towards becoming sustainable communities; and
16 
(c) Informed participation - information, education and communication materials
17 
shall be developed to make the NHUDSP accessible to all. Every Filipino shall
18 
have access to information, official records, public records and to documents and
19 
papers pertaining to official acts, transactions or decisions, and research data
20 
related to urban development to enable informed participation in the decision-
21 
making process.
22 
Sec. 10. Report to Congress. - The DHSUD, NEDA, and DILG shall submit an annual
23 
report on the performance of their respective duties provided for under this Act and the
24 
compliance of cities and urban municipalities to the provisions of this Act to Congress of the
25 
Philippines, through the Committee on Housing and Urban Development of the House of
26 
Representatives and the Committee on Urban Planning, Housing and Resettlement of the
27 
Senate.
28 
Sec. 11. Implementing Rules and Regulations. - Within six (6) months from the
29 
effectivity of this Act, the DHSUD, in consultation with the NEDA, DILG, PSA, local
30 
government units, civil society organizations, the private sector and the academe, shall
31 
promulgate the implementing rules and regulations for the effective implementation of this
32 
Act.


1 
Sec. 12. Separability Clause. - If any provision of this Act or a portion thereof is declared
2 
unconstitutional, the remainder of this Act or any provision not affected thereby shall remain
3 
in force and effect.
4 
Sec. 13. Repealing Clause. - All laws, decrees, orders, rules and regulations or parts
5 
thereof inconsistent with the provisions of this Act are hereby repealed or modified
6 
accordingly.
7 
Sec. 14. Ejfectivity. - This Act shall take effect after fifteen (15) days from its publication
8 
in the Official Gazette or in a newspaper of general circulation.
Approved,