Republic of the Philippines
HOUSE OF REPR:'SENTATIVES
Quezon City

FIFTEENTH CONGRESS
Third Regular Session

6664

HOUSE BILLNO._~

Introduced by: HONORABLE ROMEO M. JALOSJOS, JR.

EXPLANATORY NOTE

In the interest to develop social, economic, cultural and political atmosphere in a _ capital
‘town/municipality of a certain province where there is no city, there is an urgent need to provide
additional provision on SECTION 450 OF REPUBLIC ACT 7160 AS AMENDED BY REPUBLIC ACT NO. 9009,
OTHERWISE KNOWN AS THE LOCAL GOVERNMENT CODE OF 1991.

A province where there is no city as a capital identity of a certain province is deprive to be developed of
business opportunities, such status will not attract investors confidence and invigorate the business
climate.

Thus, the proposed measure will consider additional requirements on the above mentioned R.A 7160 to
be able to attain qualification as a component city in the capital town/municipality of certain province
where there is no city, so as to improve its condition on governance and business perceptions which is
directly proportional to the investors geographic locators investment plans and prospects.

ROMEO MTALOSIOS, JR.
Representative
2™ District, Zamboanga Sibugay


Republic of the Philippines
HOUSE OF R-PRESENTATIVES
Qu. City

FIFTEEN CONGRESS
THIRD Ri GL AR SEASON

nous: sittno. 6664

JONORABLE ROMEO M. JALOSJOS, JR.

Inroduced

AN ACT PROVIDING ADDITIONAL REQUIREMENTS ON THE LOCAL GOVERNMENT CODE. UNDER
SECTION 450- REQUISITES FOR CREATION, AND ALLOW CONVERSION OF A CAPITAL
‘TOWN/MUNICIPALITY INTO A COMPONENT CITY ONLY IN A PROVINCE WHERE NO EXISTING CITY
BEING A CAPITAL IDENTITY OF A CERTAIN PROVINCE, AND AMENDING FOR THE PURPOSE SECTION
450 OF REPUBLIC ACT NO. 7160, AS AMENDED BY REPUBLIC ACT NO. 9009, OTHWISE KNOWN AS THE
LOCAL GOVERNMENT CODE OF 1991, AND FOR OTHER PURPOSE.

Be it enacted by the Senate and House of Representatives of the Philippines in congress assembled:

1. SECTION 1. Section 450 of Republic Act No. 7169, as amended by Republic Act. No. 9009, is
hereby further amended to read as follows:

a. “Section 450 REQUISITES FOR CREATION-(a) A municipality or a cluster of barangays may be
converted into a component city if it has a locally generated average annual income, as.
certified by the Department of Finance, of at least One Hundred Million Pesos
(P 100,000,000.00) for the last two (2) consecutive years based on 2000 constant prices, and
if it has either of the following requisites:

(i) a contiguous territory of at least one hundred (100) square kilometers, as certified by
the land Management Bureau, or
(li) a population of not less than one hundred fifty thousand (150,000) inhabitants, as

certified by the National Statistics Office

b. PROVIDED THAT THE CAPITAL TOWN OF A PROVINCE/S WITHOUT A CITY AS A CAPITAL
IDENTITY OF THE PROVINCE SHALL BE ALLOWED TO BE CONVERTED INTO A COMPONENT
CITY WITH A REQUIRED ANNUAL CAPITAL INCOME OF FIFTY MILLION PESOS
(P 50,000,000.00)

¢. PROVIDED FURTHER THAT THE CAPITAL TOWN OF A PROVINCE/S WITHOUT A CITY AS
CAPITAL IDENTITY OF THE PROVINCE SHALL BE ALLOWED TO BE CONVERTED INTO A
COMPONENT CITY WITH A CONTIGUOUS TERRITORY OF AT LEAST 50 SQUARE
KILOMETERS, AS CERTIFIED BY THE LAND MANAGEMENT BUREAU;

d. AND PROVIDED FURTHERMORE A NOT LESS THAN SEVENTY FIVE THOUSAND (75,000)
INHABITANTS, AS CERTIFIED BY THE NATIONAL CENSUS AND STATISTICS OFFICE,


e. The creation thereof shall be allowed ONLY ON THE PROVINCE/S WITHOUT AN EXISTING
CITY TO BE THE CAPITAL IDENTITY OF A CERTAIN PROVINCE, PROVIDED ON THE
ADDITIONAL REQUIREMENTS OF THI. ACY PERTAINING TO LAND AREA, POPULATION AND
INCOME PRESCRIBE HEREIN.

SECTION 2. Plebiscite. — Existing capital towns are hereby converted into component cities upon
approval by a majority of the votes cast in a plebiscite to be held in the said capital town. The
Department of the Interior and Local Gove’. nent (DILG) shall submit to the Commission on
elections (COMELEC) the list of capital towns, which qualify under this ACT, within thirty (30)
days from the effectivity of this Act.

‘The COMELEC shall conduct and supervise such plebiscite in qualified capital towns within
ninety (90) days from receipt of the said list. The expenses for such plebiscite shall be borne by
the capital town concerned.

SECTION 3. Applicability of Laws.- The provisions of Republic Act No. 7169 otherwise knoen as
the Local Government Code of 1991, and other laws as are applicable to cities, shall govern the
capital towns, which are converted into cities under the immediately preceding sections, insofar
as they are not consistent with the provision of this Act.

SECTION 4, RULE AND REGULATIONS. — The DILG shall issue the necessary rules and regulations
within thirty (30) days after the effectivity of this Act.

SECTION 5.- EFFECTIVITY.- This Act shall take effect fifteen (15) days after its complete
publication in at least two (2) national newspapers of general circulation.

APPROVED.