HOUSE YF RE

Republic of the Philippines RECENED
House of Representatives pate: 06 SEP 2016
Quezon City nian cn

SEVENTEENTH CONGRES ey:

First Regular Session
NUNIT
X SERVICE

RECISTRA
House Bit No. 8496 | ay is aso ws

Introduced by Representative EDGAR R. ERICE

EXPLANATORY NOTE

With its estimated population of 12.8 million and with this ever-growing sea of
humanity, the metropolis is constantly besieged by such perennial problems as
overpopulated slums, homelessness, traffic congestion, flash floods, pollution and urban
blight. This is compounded by the limited ability of the agency presently tasked to
coordinate the delivery of basic metro-wide services and facilities, hobbled by the fact that it
cannot exercise the police power and other municipal powers traditionally wielded by its
component local government units.

As organized under Republic Act No. 7924, the Metropolitan Manila Development
‘Authority is confined only to strictly defined planning, monitoring and coordinative functions,
as well as regulatory and supervisory authority over the delivery of metro-wide services
within the National Capital Region. It cannot even open private roads in gated private
subdivisions for the purpose of easing traffic gridlocks (MMDA vs, Bel-Air Village
Association, G.R. No. 135962); neither can it dismantle indiscriminately-installed signages
of billboards in the Metro-Rail Transit for the promotion of the public interest (MMDA vs.
Trackworks Rail Transit Advertising, G.R. No. 167514). This is because in both cases, the
‘Supreme Court has held that the MMDA, not being a political subdivision like provinces and
cities, does not possess police or legislative powers.

Yet, the MMDA is unfairly expected to solve all the gargantuan issues spawned by a
burgeoning urban agglomeration. If the metropolitan agency is to deal with NCR's
challenges in a more effective and decisive manner, then it must be invested with broader
political powers and greater financial resources. It must be supported by a more coherent
legal and policy framework that empowers, rather than emasculates, it.

Hence, the time has come for the establishment of a metropolitan entity that will
not be a mere administrative coordinating body like the MMDA, but a regional
political subdivision more akin to the Autonomous Region of Muslim Mindanao. This
proposed legislation seeks to form a special metropolitan regional government in
Metro Manila vested with the police power and other typical municipal powers, in
addition to the administrative and coordinative functions of the MMDA. It will not
result to the diminution of the local autonomy of the 17 component LGUs of NCR.


The bill defines the jurisdiction of the proposed Metropolitan Manila
Regional Administration to the coordination of the following specific metro-wide
services: development planning; transportation and traffic management; solid waste
disposal and management; flood control and sewerage management; urban
renewal, zoning and land use planning, and shelter services; health and sanitation,
urban protection and pollution control; public safety and disaster management;
public works and highways; and social welfare and services. It shall have an elected
governor, vice-governor, and members of the metropolitan legislative assembly.

The creation of an empowered regional government in Metro Manila is
actually in step with trends in many countries that implement the concepts of
"conurbation" ( which is a region comprising a number of cities, large towns, and
other urban areas that, through population growth and physical expansion, have
merged to form one continuous urban and industrially developed area) and "urban
agglomeration" (which is an extended city area comprising the built-up area of a
central place and any suburbs linked by a continuous urban area). The most notable
examples are Metro Tokyo, New York Tri-State Area, Greater London Area, Metro
Seoul, Montreal Urban Agglomeration and Metro Bangkok Administration.

It is respectfully submitted that in order to improve the present state of
governance in Metro Manila, the MMRA should be established to replace the
MMDA, and the metropolitan body's enormous responsibility and accountabilities
must be accompanied by the commensurate augmentation of its political authority
and financial capabilities. Thus, support and approval of this bill is hereby earnestly
enjoined.

LED

EDGAR R. ERICE
Representative

2” District, Caloocan City


Republic af the hi
House of Representatives
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

HOUSE BILL NO, 3496

Introduced by Representative EDGAR R. ERICE

AN ACT
CREATING A SPECIAL METROPOLITAN POLITICAL SUBDIVISION IN THE
NATIONAL CAPITAL REGION, TO BE CALLED THE "METROPOLITAN MANILA
REGIONAL ADMINISTRATIOI (MMRA), DEFINING ITS STRUCTURE OF
GOVERNMENT, ENUMERATING ITS POWERS AND FUNCTIONS, PROVIDING
FUNDING THEREFOR, AND FOR OTHER PURPOSES

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

ARTICLE 1
Name and Purpose

Section 1. The name of the Special Metropolitan Political Region in the National Capital
Region shall be the "Metropolitan Manila Regional Administration’, unless provided

otherwise by Congress upon the recommendation of the Metropolitan Legislative
Assembly.

Section 2. It is the purpose of this Act to establish, by authority of Section 11, Article X of
the 1987 Constitution, the Special Metropolitan Political Region in the present National
Capital Region, to provide its basic structure of government within the framework of the
Constitution and the national sovereignty and territorial integrity of the Republic of the
Philippines, and to ensure the effective and efficient planning, supervision, coordination
and delivery of certain metro-wide basic services that transcend the political and territorial
boundaries of the component local government units of the region.

ARTICLE Il
Area and Seat of Government

Section 1. (a) There is hereby created the Special Metropolitan Political Subdivision in the
National Capital Region (NCR), to be composed of the local government units (LGUs)

voting favorably in the plebiscite called for the purpose, in accordance with Section 10,
Article X of the Constitution.

(b) The plebiscite shall be conducted in the Cities of Caloocan, Las Pifias, Makati, Malabon,


Mandaluyong, Manila, Marikina, Muntinlupa, Navotas, Parafiaque, Pasay, Pasig, Quezon,
San Juan, Taguig, and Valenzuela, and the Municipality of Pateros.

Section 2, The Metropolitan Legislative Assembly, hereinafter referred to as the
Metropolitan Assembly, shall fix by ordinance the permanent seat of government for the
Metropolitan Manila Regional Administration, taking into consideration accessibility and
efficiency in carrying out its mandate under this Act: Provided, That the provisional seat of
the Regional Government shall be in Makati City.

ARTICLE Ill
Declaration of Policies

Section 1. It is hereby declared to be the policy of the State to treat the National Capital
Region as a special highly-urbanized region where certain metro-wide basic services can
be more effectively and efficiently planned, supervised, coordinated and delivered by a
special metropolitan political subdivision as created herein.

Section 2. In consonance with this policy, the affairs of the NCR shall henceforth be
administered by the Metropolitan Manila Regional Administration (MMRA) to replace the
Metropolitan Manila Development Authority (MMDA) organized under Republic Act No.
7924. In addition to the planning, monitoring and coordinative functions, as well as the
regulatory and supervisory authority currently exercised by the MMDA over the delivery of
metro-wide services within the NCR, as provided under Section 5 of Republic Act No. 7924,
the MMRA shall enjoy the police power, the power of eminent domain and the power of
taxation, without prejudice to, or diminution of, the autonomy of the affected LGUs
concerning purely local matters,

Section 3, The MMRA shall be governed and administered in accordance with the 1987
Constitution, the Local Government Code of 1991, and this Act.

ARTICLE IV
Jurisdiction of the Metropolitan Manila Regional Government

Section 1, Pursuant to Section 11, Article X of the 1987 Constitution, the jurisdiction of the
Metropolitan Manila Regional Administration shall be limited to basic services requiring
coordination. As defined under this Act, basic services under the jurisdiction of the MMRA
are those services which have metro-wide impact and transcend legal political boundaries
or entail huge expenditures such that it would not be viable for said services to be provided
by the individual LGUs comprising the NCR. These services are hereby enumerated in the
succeeding sections of this Article.

Section 2. Development planning, which includes the preparation of medium and long-
term development plans; the development, evaluation and packaging of projects;
investment programming; and coordination and monitoring of plan-, program: and project-
implementation.

Section 3, Transportation and traffic management, which includes the formulation,
coordination and monitoring of policies, standards, programs and projects to rationalize the
existing transport operations, infrastructure requirements, the use of thoroughfares, and
Promotion of safe and convenient movement of persons and goods: provision for the mass

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transportation system and the institution of a system to regulate road users; administration
and implementation of all traffic enforcement operations, traffic engineering services and
traffic education programs, including the institution of a single ticketing system in the NCR.

Section 4. Solid waste disposal and management, which includes the formulation and
implementation of policies, standards, programs and projects for proper and sanitary waste
disposal. It shall likewise include the establishment and operation of sanitary landfill and
related facilities and the implementation of other alternative programs intended to reduce,
reuse and recycle solid waste.

Section 5. Flood control and sewerage management, which includes the formulation
and implementation of policies, standards, programs and projects for an integrated flood
control, drainage and sewerage system,

Section 6. Urban renewal, zoning and land use planning, and shelter services, which
includes the formulation, adoption and implementation of policies, standards, rules and
regulations, programs and projects to rationalize and optimize urban land use and provide
direction to urban growth and expansion, the rehabilitation and development of slum and
blighted areas, the development of shelter and housing facilities and the provision of
necessary social services thereof.

Section 7, Health and sanitation, urban protection and pollution control, which
includes the formulation and implementation of policies, rules and regulations, standards,
programs and projects for the promotion and safeguarding of the health and sanitation of
the region and for the enhancement of ecological balance and the prevention, control and
abatement of environmental pollution.

Section 8, Public safety and disaster management, which Includes the formulation and
implementation of programs and policies and procedures to achieve public safety,
especially preparedness for preventive or rescue operations during times of calamities and
disasters such as conflagrations, earthquakes, flood and tidal waves; and coordination and
mobilization of resources and the implementation for rehabilitation and relief operations in
coordination with national agencies concerned.

Section 9. Public works and highways, which includes the formulation and
implementation of policies, standards, programs and projects for an integrated system of
inter-L@U highways, roads, bridges, flyovers, waterworks and other Infrastructure facilities
intended to service the needs of the residents of the region and which are funded out of
regional funds.

Section 10. Social welfare and services, which includes the formulation and
implementation of programs, policies and procedures on poverty alleviation, population

management and development, drug and alcohol abuse rehabilitation, livelihood training,
and other inter-LGLJ services.

ARTICLE V
Institutional Linkages of the MMRA

Section 1. The President of the Philippines shall exercise general supervision over the
Metropolitan Manila Regional Administration, to ensure that national laws are



faithfully executed. The MMRA Governor shall exercise general supervision over the
component LGUs of the region, to see to it that regional ordinances in connection with the
metro-wide basic services mentioned under the preceding Article are duly observed and
complied with.

Section 2. The Regional Government shall maintain close coordination with the National
Government for the orderly implementation and administration of national programs,
policies and activities within the MMRA.

Section 3. The MMRA shall, in carrying out its functions, consult, coordinate and work
closely with its component LGUs, the National Economic Development Authority (NEDA)
and other national government agencies and accredited people's organizations (POs); non-
governmental organizations (NGOs), and the private sector operating in the NCR. The
Governor or his authorized representative from among the Metropolitan Cabinet, shall be
ex-officio member of the boards of government corporations, and of the departments and
offices of government whose activities are relevant to the objectives and responsibilities of
the MMRA which shall include but not limited to Metropolitan Waterworks and Sewerage
(MWSS), Department of Transportation and Communication (DOTC), Department of
Public Works and Highways (DPWH), Department of interior and Local Government
(DILG), and Housing and Urban Development Coordinating Committee (HUDCC).

The MMRA shall have a master plan that shall serve as the framework for the local
development plans of the component LGUs.

The MMRA shall submit its development plans and investment programs to the
NEDA for integration into the Medium-Term Philippine Development Plan (MTPDD) and
public investment program.

The MMRA shall, in coordination with the NEDA and the Department of Finance,
interface with the foreign assistance agencies for purposes of obtaining financing support,
grants and donations in support of its programs and projects.

ARTICLE VI
The Legisiative Department

Section 1. The legislative power shall be vested in the Metropolitan Assembly, except to
the extent reserved to the people of Metropolitan Manila Regional Administration by
provisions on initiative and referendum as provided by law.

Section 2. The Members of the Assembly shall be elected by popular vote, with one (1)
member elected from each of the congressional districts corresponding to the seventeen
(17) LGUs within NCR. They shall be elected in the same manner as the Members of the
House of Representatives.

Section 3. No person shall be a Member of the Assembly unless he/she is: (a) a natural-
born citizen of the Philippines; (b) at least twenty-one (21) years of age on the day of the
election; (c) able to read and write; (d) a registered voter of the district in which he/she shall
be elected on the day he/she files his/her certificate of candidacy; and (e) a resident thereof
for a period of not less than five (5) years immediately preceding the day of the election.

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Section 4. The Assembly shall be composed of the MMRA Vice-Governor as Presiding
Officer, the regular elected Members, the president of the Metro Manila Mayors League, the
president of the Metro Manila Vice-Mayors League, and the president of the Metro Manila
Councilors League.

Section 5. The Assembly, as the legislative body of the MMRA, shall enact ordinances,
approve resolutions and appropriate funds for the general welfare of the region and its
inhabitants pursuant to Section 16 of the Local Government Code, and in the proper
exercise of the corporate powers of the region as provided for under Section 22 of the Local
Government Code. Specifically, the Assembly shall:

(a) Approve ordinances and pass resolutions necessary for an effective and efficient
regional government;

(b) Promulgate rules and regulations, and set policies and standards for metro-wide
application governing the delivery of basic services, and prescribe and collect
service and regulatory fees;

(c) Approve metro-wide plans, programs and projects, and issue rules and regulations
and resolutions deemed necessary by the MMRA to carry out the purposes of this
Act;

(d) Review all ordinances approved by the sanggunians of component LGUs and
executive orders issued by the mayors of said component units, with respect to the
metro-wide basic services Identified under Article IV of this Act, to determine
whether these are within the scope of the prescribed powers of the sanggunians
and of the mayors;

(e) Determine the positions and fix the compensation of the officers and personnel of
the MMRA, regional commissions, boards and offices;

(f) Enact the annual and supplemental budgets of the regional government for
submission to the Department of Budget and Management;

(g) Subject to the provisions of Book I! of the Local Government Code and applicable
laws, and upon the majority vote of all the members of the Assembly, enact
ordinances levying taxes, fees and charges, prescribing the rates thereof for
general and specific purposes, and granting tax exemptions, incentives or reliefs, in
connection with the metro-wide basic services identified under Article IV of this Act;

(h) Subject to the provisions of Book II of the Local Government Code and applicable
laws, and upon the majority vote of all the members of the Assembly, authorize the
MMRA Governor to negotiate and contract loans and other forms of
indebtedness;

(i) Subject to the provisions of Book II of this Code and applicable laws and upon the
majority vote of all the members of the Assembly, enact ordinances authorizing the
floating of bonds or other instruments of indebtedness, for the purpose of raising
funds to finance development projects;

(@) Appropriate funds for the construction and maintenance or the rental of buildings for
the use of the MMRA; and upon the majority vote of all the members of the
Assembly, authorize the MMRA Governor to lease to private parties such public


buildings held in a proprietary capacity, subject to existing laws, rules and
regulations;

(k) Prescribe reasonable limits and restraints on the use of property within the
jurisdiction of the region;

(). Review the comprehensive land use plans and zoning ordinances of component
cities and municipalities and adopt a comprehensive regional land use plan;

(m) Impose and collect fines and penalties for violations of regional ordinances and
regulations; and

(n) Perform such other functions as the law may provide.

Section 6. The Members of the Assembly shall have a term of three (3) years which shall
begin, unless otherwise provided by law, at noon on the 30th day of June next following
their election. No Member of the Assembly shall serve for more than three (3) consecutive
terms. Voluntary renunciation of or removal from office for any length of time shall not be
considered as an interruption in the continuity of his service for the full term for which he
was elected.

Section 7. In case of vacancy in the Assembly occurring at least one (1) year before the
expiration of the term of office, a special election shall be called to fill the vacancy in the
manner presoribed by regional ordinance: Provided That the Member elected shall serve
only for the unexpired term.

Section 8. Every Member of the Assembly shall take an oath or affirmation of allegiance to
the Republic of the Philippines before taking his/her seat.

Section 9. Unless otherwise provided by Congress, a Member of the Assembly shall
receive a monthly compensation corresponding to Salary Grade twenty-eight (28) as
prescribed under Republic Act No. 6758 and its implementing rules, except the Presiding
Officer of the Assembly who shall racelve a monthly compensation corresponding to Salary

Grade thirty (30). They shall not receive during their tenure any other emoluments from the
Government.

Section 10, Any Member of the Assembly who accepts an appointment and qualifies for
any position in the Government, including government-owned or controlled corporations or
their subsidiaries, shall automatically forfeit his/her seat in the Assembly.

Section 11. All Members of the Assembly shall, upon their assumption of office, make a full
disclosure of their financial and business interests, including those of their spouses and
unmarried children under eighteen (18) years of age living in their households. They shall
notify the Assembly of any potential conflict of interest that may arise from the filing of
measures of which they are authors. Any Member found guilty of non-disclosure as required
under this section may be expelled by a two-thirds (2/3) vote of all the Members of the
Assembly, without prejudice to his/her other liabilities under pertinent legislation.

Section 12. No Member of the Assembly may personally appear as counsel before courts



of justice or quasi-judicial and other administrative bodies. Neither shall he/she, directly or
indirectly, be interested financially in any contract with, or in any franchise or special
privilege granted by the Government, or any subdivision, agency or instrumentality thereof,
including any government-owned or controlled corporation or its subsidiary, during his/her
term of office. He/She shall not intervene in any matter before any office of the Government
for his/her pecuniary benefit or where he/she may be called upon to act on account of
his/her office.

Section 13. No Member shall be questioned or be held liable in any other place for any
speech or debate made in the Assembly or in any committee thereof.

Section 14. The Assembly shall adopt its own internal rules of procedure by a majority vote
of all its Members, which shall include the selection of members of its standing committees
and the suspension or expulsion of its Members.

The Assembly shall elect from among its Members a Majority Floor Leader and
‘such other officers as the rules may provide.

A majority of all the Members of the Assembly shall constitute a quorum to do
business, but a smaller number may adjourn from day to day and may compel the
attendance of absent Members in such manner, and under such penalties, as. the
Assembly may provide.

The Assembly or any of its committees may conduct inquiries or public
consultations in aid of legislation in accordance with its rules. The rights of persons
appearing in or affected by such inquiries shall be respected.

The Assembly shall keep a Journal of its proceedings and a record of its caucuses
and meetings. The records and books of accounts of the Assembly shall be preserved and
be open to public scrutiny. The Commission on Audit shall publish an annual report of the
itemized list of expenditures incurred by the Members of the Assembly within sixty (60)
days from the end of every regular session.

Section 15. The Assembly may request the presence of the MMRA Governor, the
members of the Metropolitan Cabinet or their deputies, as the rules shall provide, for
questioning on matters falling within the scope of their responsibilities. Subject to the rules
of the Assembly, the legislative power to inquire on matters relating to the exercise of
administrative functions by an agency of government within the MMRA shall be in the form
of written questions.

Section 16, Except as provided by its rules, the Assembly shall meet in open session.
Regular session shall commence on the 4th Monday of July and shall continue to be in
session for such number of days as may be determined by the Assembly until thirty (30)
days before the opening of its next regular session, exclusive of Saturdays, Sundays and
legal holidays. The Assembly may meet in special sessions at the request of one-third (1/3)
of all its Members or by call of the MMRA Governor. Such special session must be
convened with a special agenda.

Section 17. No proposed ordinance shall become a law of regional application unless it
has passed three (8) readings on separate days, and printed copies thereof in its final form

7|Pa



have been distributed to its Members three (3) days before its passage, except when the
MMRA Governor certifies to the necessity of its immediate enactment to meet a public
calamity or emergency.

Section 18. Every proposed ordinance passed by the Assembly, shall, before it becomes a
law of regional application, be presented to the MMRA Governor. If he/she approves the
same, he/she shall sign it on each and every page; otherwise, if it contains ultra vices
provisions, or if he/she finds it objectionable on policy grounds, or both, he/she shall veto it
and return it with his/her written objections to the Assembly, which shall enter the objections
at large in its Journal and proceed to reconsider it. If, after such reconsideration, two-thirds
(2/3) of all Members of the Assembly shall agree to pass the proposed ordinance, it shall
become a law of regional application. In all such cases, the vote shall be determined by
yeas or nays, and the names of the Members voting for or against shall be entered in the
Journal. The MMRA Governor shall communicate his/her veto of any bill to the Assembly
within thirty (80) days after the date of receipt thereof; otherwise, it shall become a law of
regional application as if he/she had signed it.

Section 19. The Presiding Officer of the Assembly shall, within ten (10) working
days from approval thereof, submit to the President and to both Houses of Congress a
certified true copy of all ordinances and resolutions approved by the Assembly.

ARTICLE VII
The Executive Department

Section 1. The executive power shall be vested in the Regional Governor who shall be
elected at large by direct vote of the people of the Metropolitan Manila Regional
Administration.

Section 2. No person may be elected Governor of the MMRA unless he/she is: (aja
natural born citizen of the Philippines; (b) a registered voter of the MMAA; (0) able to read
and write; (d) at least thirty-five (35) years of age on the day of the election; and (e) a
resident of the MMRA for at least five (5) years immediately preceding the election

Section 3. The Governor, as the chief executive of the regional government, shall exercise
such powers and perform such functions as provided by this Act, the Local Government
Code, and other laws. The Governor shall:

(a) Execute the regional laws, policies and measures approved by the Metropolitan
Assembly and be responsible for the effective and efficient day-to-day management
of the operations of the MMRA;

(b) Exercise general supervision and control over all programs, projects, sorvices and
activities of the regional government;

(c) Enforce all laws and ordinances relative to the governance of the MMRA and the
exercise of the appropriate corporate powers provided for under Section 22 of the
Local Government Code;


(d) Ensure that the acts of the component LGUs of the region and of their officials and
employees, with respect to the metro-wide basic services identified under Article |V
hereof, are within the scope of their prescribed powers, duties and functions;

(e) Exercise control over all the regional executive departments, commissions, boards,
and offices;

(P) Appoint, subject to civil service laws, rules and regulations, all subordinate officers
and employees, who shall enjoy security of tenure and may be removed only for
cause in accordance with law. The Governor is hereby authorized to engage the
services of experts/consultants either on full time or part-time basis, as may be
required in the performance of his functions and duties as may be determined by
him;

(g) Prepare the annual budget for the operations of the MMRA for submission to the
Assembly;

(h) Represent the regional government in all its business transactions and sign in its
behalf all bonds, contracts, and obligations, and such other documents upon prior
authority of the Assembly or pursuant to law or ordinance;

() Carry out such emergency measures as may be necessary during and in the
aftermath of man-made and natural disasters and calamities;

() Ensure that all executive officials and employees of the regional government
faithfully discharge their duties and functions as provided by law and this Act, and
cause to be instituted administrative or judicial proceedings against any official or
employee of the MMRA who may have committed an offense in the performance of
his official duties;

(k) Submit for consideration of the Assembly such other policies and measures as may
be deemed necessary to carry out the purposes and provisions of this Act;

(I) Subject to the guidelines and policies set by the Assembly, prepare the staffing
pattern and fix the number of subordinate officials and employees of the MMRA;
and exercise the power to discipline subordinate officials and employees under the
provision of law;

(m) Prepare an annual report on the accomplishments of the MMRA at the close of
each calendar year for submission to the Assembly and to the President of the
Philippines; and

(n) Perform such other duties as may be assigned to him/her by law or by the
Assembly.

Section 4. Unless otherwise provided by Congress, the Governor shall receive a monthly
compensation corresponding to Salary Grade thirty-one (31) as prescribed under Republic
‘Act No. 6758 and its implementing rules. He/She shall not receive during his/her tenure any

are



other emoluments from the Government.

Section 5. There shall be a Regional Vice-Governor of the MMRA who shall have the same
qualifications and term of office, and be elected with and in the same manner as the MMRA
Governor. He/She may be removed from office in the same manner as the Governor. The
Vice Governor shall:

(a) Be the Presiding Officer of the Metropolitan Legislative Assembly and sign all
warrants drawn on the regional treasury for all expenditures appropriated for the
operation of the Assembly;

(b) Subject to civil service law, rules and regulations, appoint all officials and
‘employees of the Assembly, except those whose manner of appointment is
specifically provided in this Code;

(c) Assume the office of the Governor for the unexpired term of the latter in the event of
permanent vacancy as provided for in Section 44, Book 1 of the Local Government
Code;

(d) Exercise the powers and perform the duties and functions of the Governor in cases
of temporary vacancy as provided for in Section 46, Book | of the Local
Government Code; and

(e) Exercise such other powers and perform such other duties and functions as may be
prescribed by law or ordinance.

Section 6, (a) The terms of office of the Governor and Vice-Governor shall be for a period
of three (3) years which shall begin at noon on the 30th day of June next following the day
of the election and shall end at noon of the same date three years thereafter.

(b) No Governor or Vice-Governor shall serve for more than three (3) consecutive
terms. Voluntary renunciation of or removal from office for any length of time shall not be
considered an interruption in the continuity of the service for the full term for which he was
elected.

Section 7. Before they enter on the execution of their office, the Governor and the Vice-
Governor shall take the following oath or affirmation: "| do solemnly swear (or affirm) that 1
will faithfully and conscientiously fulfil my duties as Regional Governor (Regional Vice-
Governor) of the Metropolitan Manila Regional Administration, preserve and defend the
Constitution of the Republic, and the national and regional laws, do justice to every man,
and consecrate myself to the service of the Metropolitan Manila Regional Administration
and the nation. So help me God."

Section 8. In case of death, permanent disability, removal from office, or resignation of the
Governor, the Vice-Governor shall become the Governor to serve the unexpired term, In
which case, the Senior Member of the Assembly shall become the Presiding Officer. In
case of death, permanent disability, removal from office, or the resignation of both the
Governor and the Vice Governor, the Senior Member of the Assembly shall become the
Governor to serve the unexpired term.

10 |



Section 9. In case of temporary incapacity of the Governor to perform his/her duties on
account of physical or legal causes, or when he/she is on official leave of absence or travel
outside the territorial jurisdiction of the Republic of the Philippines, the Vice-Governor, or if
there be none or in case of his/her permanent or temporary incapacity or refusal to assume
office, the Senior Member of the Assembly shall exercise the powers, duties and functions
of the Governor.

Section 10. The Governor or the Vice-Governor may be removed from office for culpable
violation of the Constitution, treason, bribery, graft and corruption, other high crimes or
betrayal of public trust by a three-fourths (3/4) vote of all the Members of the Assembly

The Assembly may initiate the removal of the Governor or the Vice-Governor under
this Section by a majority vote of alll its Members. The Assembly shall promulgate the
necessary rules to carry out effectively the purposes of this Section,

Section 11. The Governor or the Vice-Governor may be recalled once during his/her term
of office for loss of confidence. The Assembly shall provide the procedure and system
whereby such recall can be made: Provided, That no recall shall take place within one year
from the date of the official's assumption of office or one year immediately preceding a
regional election.

Section 12. The Governor shalll be assisted by a Metropolitan Cabinet of ten (10)
members, consisting of the Regional Manager, who shall act as the Secretary of the
Cabinet, and the heads of the nine (9) departments corresponding to the nine (9) metro-
wide services mentioned under Article IV of this Act. The Members of the Cabinet shall
come from the local government units within MMRA: Provided, That no two (2) or more
members of the Cabinet shall come from the same LGU.

The members of the Cabinet must be registered voters and residents of the NCR for
at least three (8) years immediately preceding their appointment.

The Governor shall appoint the members of the Cabinet subject to confirmation by
the Assembly.

Section 13. The Governor, the Vice-Governor, and the Members of the Metropolitan
Cabinet and their deputies shall not hold any other office or employment during their tenure.
They shall not, during said tenure, directly or indirectly, practice any other profession,
participate in any business, or be financially interested in any contract with, or in any
franchise, or special privilege granted by the Government or any subdivision, agency, or
instrumentality thereof, including government-owned or controlled corporations or their
subsidiaries. They shall strictly avoid conflicts of interest in the conduct of their office.

The spouse and relatives by consanguinity or affinity within the fourth civil degree of
the Governor shall not, during his/her tenure, be appointed members of the Cabinet or
chairpersons of regional commissions, or heads of bureaus or offices, including
government-owned or controlled corporations and their subsidiaries located in the MMRA.

Section 14. Appointments extended by the Acting Governor within ninety (90) days before
the assumption of office by the elected Governor shall remain effective, unless revoked by

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the elected Governor within ninety (90) days from such assumption or resumption of office.

Section 15. The Governor shall not issue appointments, remove personnel, or unless
authorized by the Commission on Elections, undertake public works projects, within the
prohibited period before and after a regional election as provided by law.

Section 16. The Governor shall appoint, in addition to the members of the Cabinet, their
deputies, the chairpersons and members of the commissions and the heads of bureaus of
the Regional Government, and those whom he may be authorized by regional law to
appoint. The Assembly may, by law, vest the appointment of other officers or officials lower
in rank to the heads of departments, agencies, commissions, or boards.

Section 17, The Governor shall address the Assembly at the opening of its regular
session, He/She may also appear before it at any time. The Assembly may invite the
President of the Philippines and other government officials to address it.

ARTICLE VIII
Other Officials of the Metropolitan Manila Regional Administration

Section 1. In addition to the afore-named officials, the MMRA shall have a Metropolitan
Regional Manager, a Secretary to the Metropolitan Assembly, a Regional Legal Officer, a
Regional Treasurer, a Regional Budget Officer, a Regional Accountant, a Regional
Engineer, a Regional Architect, a Regional General Services Officer, and a Regional
Information Officer. They shall be appointed by the MMRA Governor with the consent and
concurrence of the majority of the Metropolitan Assembly, subject to civil service laws and
regulations. They shall enjoy security of tenure and may be removed for cause in
accordance with law.

Section 2. The Assembly may: (a) Create such other offices as may be necessary to carry
out the purposes of the metropolitan regional government; or (lb) Consolidate the functions
of any office with those of another in the interest of efficiency and economy.

Unless otherwise provided herein, heads of departments and offices shall be
appointed by the Governor with the concurrence of the majority of all the Assembly
Members, subject to civil service law, rules and regulations. The Assembly shall act on the
appointment within fifteen (15) days from the date of its submission; otherwise the same
shall be deemed confirmed;

Appointive regional officials shall receive such compensation, allowances, and other
emoluments as may be determined by law or ordinance, subject to the budgetary limitations
on personal services prescribed under Title Five, Book II of the Local Government Code:
Provided, That no increase in compensation shail take effect until after the expiration of the
full term of all the elective officials approving such increase.



ARTICLE IX
The Budget Process

Section 1. (a) Each head of department or office shall submit a budget proposal for his/her
department or office to the MMRA Governor on or before the 15th of July of each year:
Provided, That the budget proposal of each department or office shall be categorized under
either economic, social or general services: Provided, further, That each service shall be
covered by the budget of at least one (1) department or office of the regional government.
The said budget proposal shall be prepared in accordance with such policy and program
guidelines as the Governor may issue in conformity with the regional development plan, the
budgetary ceilings prescribed by the regional finance committee, and the general
requirements prescribed in Title 5, Book I! of the Local Government Code.

(b) Budget proposals of departments or offices shall be divided into two (2) primary
categories, namely: the current operating expenditures and the capital outlays. Such
budget proposals shall contain the following information:

(1) Objectives, functions, and projects showing the general character and
relative importance of the work to be accomplished or the services to be
rendered, and the cost thereof;

(2) Organizational charts and staffing patterns indicating the list of plantilla
positions with their corresponding salaries, and proposals for reclassification
of positions and salary changes, as well as the creation of new positions
with their proposed salary grade, duly supported by proper justification;

(8) Brief description of the functions, projects and activities for the ensuing
fiscal year, expected results for each function, project and activity, and the
nature of work to be performed, including the objects of expenditure for
each function, project and activity;

(4) Relation of the work and financial proposals to approved local development
plans;

(6) Estimated current operating expenditures and capital outlays with
comparative data for the last two (2) preceding, current, and ensuing fiscal
years; and

(6) Accomplishment reports for the last two (2) preceding and current fiscal
years.

Section 2. Upon receipt of the statements of income and expenditures from the Regional
Treasurer, the budget proposals of the heads of departments and offices, and the estimates
of income and budgetary ceilings from the regional finance committee, the Governor shall
Prepare the executive budget for the ensuing fiscal year in accordance with the provisions
of this Article. The Governor shall submit the said executive budget to the Metropolitan
‘Assembly not later than the 16th of October of the current fiscal year. Failure to submit such
budget on the date prescribed herein shall subject the Governor to such criminal and
administrative penalties as provided for under the Local Government Code and other
applicable laws.

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Section 3. On or before the end of the current fiscal year, the Assembly shall enact,
through an ordinance, the annual budget of the MMRA for the ensuing fiscal year on the
basis of the estimates of income and expenditures submitted by the Governor.

Section 4. The ordinance enacting the annual budget shall take effect at the beginning of
the ensuing calendar year. An ordinance enacting a supplemental budget, however, shall
take effect upon its approval or on the date fixed therein. The responsibility for the
execution of the annual and supplemental budgets and the accountability there for shall be
vested primarily in the Governor.

Section 5. All budgetary proposals shall be included and considered in the budget
preparation process. After the Governor shall have submitted the executive budget to the
‘Assembly, no ordinance providing for a supplemental budget shall be enacted, except when
supported by funds actually available as certified by the local treasurer or by new revenue
sources.

A supplemental budget may also be enacted in times of public calamity by way of
budgetary realignment to set aside appropriations for the purchase of supplies and
materials or the payment of services which are exceptionally urgent or absolutely
indispensable to prevent imminent danger to, or loss of, life or property, in the jurisdiction of
the regional government or in other areas declared by the President of the Philippines in a
state of calamity. Such ordinance shall clearly indicate the sources of funds available for
appropriations, as certified under oath by the Regional Treasurer and Regional Accountant
and attested by the Governor, and the various items of appropriations affected and the
reasons for the change

Section 6, Unexpended balances of appropriations authorized in the annual
appropriations ordinance shall revert to the unappropriated surplus of the general fund at
the end of the fiscal year and shall not thereafter be available for expenditure except by
subsequent enactment. However, appropriations for capital outlays shall continue and
remain valid until fully spent, reverted or the project is completed. Reversions of continuing
appropriations shall not be allowed unless obligations there for have been fully paid or
otherwise settled. The balances of

continuing appropriations shall be reviewed as part of the annual budget preparation and
the Assembly may approve, upon recommendation of the Governor, the reversion of funds
no longer needed in connection with the activities funded by said continuing appropriations
subject to the provisions of this Section.

Section 7. Incase the Assembly fails to pass the ordinance authorizing the annual
appropriations at the beginning of the ensuing fiscal year, it shall continue to hold sessions,
without additional remuneration for its Members, until such ordinance is approved, and no
other business may be taken up during such sessions. if the Assembly still fails to enact
such ordinance after ninety (90) days from the beginning of the fiscal year, the ordinance
authorizing the appropriations of the preceding year shall be deemed re-enacted and shall
remain in force and effect until the ordinance authorizing the proposed appropriations
is passed by the Assembly. However, only the annual appropriations for salaries and

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wages of existing positions, statutory and contractual obligations, and essential operating
expenses authorized in the annual and supplemental budgets for the preceding year
shall be deemed re-enacted and disbursement of funds shall be in accordance therewith.
In the implementation of such re-enacted ordinance, the Regional Treasurer shall exclude
from the estimates of income for the preceding fiscal year those realized from nonrecurring
sources, like national aids, proceeds from loans, sale of assets, prior year adjustments, and
other analogous sources of income. No ordinance authorizing supplemental appropriations
shall be passed in place of the annual appropriations. In case the revised income estimates
be less than the aggregate re-enacted appropriations, the Regional Treasurer shall
accordingly advise the Assembly which shall, within ten (10) days from the receipt of such
advice, make the necessary adjustments or reductions, The revised appropriations
authorized by the Assembly shall then be the basis for disbursements.

Section 8. The budgets of the MMRA for any fiscal year shall comply with the following
requirements:

(a) The aggregate amount appropriated shall not exceed the estimates of income;

(b) Full provision shall be made for all statutory and contractual obligations of the
MMRA: Provided, however, That the amount of appropriations for debt servicing
shall not exceed twenty percent (20%) of the regular income of the regional
government; and

(c) Five percent (§%) of the estimated revenue from regular sources shall be set
aside as an annual lump sum appropriation for unforeseen expenditures arising
from the occurrence of calamities: Provided, however, That such appropriation
shall be used only in the area, or a portion thereof, of the MMRA declared by the
President in a state of calamity.

Section 9. The use of the MMRA funds shall be subject to the following limitations:

(a) The total appropriations, whether annual or supplemental, for personal services
of the Regional Government for one (1) fiscal year shall not exceed forty-five
percent (45%) of the total annual income from regular sources realized in
the next preceding fiscal year. The appropriations for salaries, wages,
representation and transportation allowances of officials and employees of the
public utilities and economic enterprises owned, operated, and maintained by
the Regional Government concerned shall not be included in the annual budget
‘or in the computation of the maximum amount for personal services. The
appropriations for the personal services of such economic enterprises shall be
charged to their respective budgets;

(b) No official or employee shall be entitled to a salary rate higher than the
maximum fixed for his position or other positions of equivalent rank by
applicable laws or rules and regulations issued there under;

(c) No regional fund shall be appropriated to increase or adjust salaries or wages
of officials and employees of the national government, except as may be
expressly authorized by law;



(d) In cases of abolition of positions and the creation of new ones resulting from the
abolition of existing positions in the career service, such abolition or creation
shall be made in accordance with pertinent provisions of this code and the civil
service law, rules and regulations;

(e) Positions in the official plantilla for career positions which are occupied by
incumbents holding permanent appointments shall be covered by adequate
appropriations;

(f) No changes in designation or nomenclature of positions resulting in a promotion
or demotion in rank or increase or decrease in compensation shall be allowed,
except when the position is actually vacant, and the filling of such positions shall
be strictly made in accordance with the civil service law, rules and regulations;

(g) The creation of new positions and salary increases or adjustments shal in no
case be made retroactive; and

(h) The annual appropriations for discretionary purposes of the Governor shall not
exceed two percent (2%) of the actual receipts derived from MMRA service fees
in the next preceding calendar year. Discretionary funds shall be disbursed only
for public purposes to be supported by appropriate vouchers and subject to
such guidelines as may be prescribed by law. No amount shall be appropriated
for the same purpose except as authorized under this Section.

Section 10. The Governor shall have the power to veto any particular item or items in an
appropriation or revenue ordinance, but the veto shall not affect the item or items to which
he/she does not object. The veto may be reconsidered and overridden by the Assembly by
a vote of two-thirds (2/) of all its Members.

Section 11. The Department of Budget and Management shall review ordinances
authorizing the annual or supplemental appropriations of the MMRA.

Section 142, Appropriations for ordinary administrative purposes not duly obligated shall
terminate with the fiscal year and all unexpended balances thereof shall be automatically

reverted on the 31st of December of each year to the general fund of the Regional
Government.

Section 13. The formulation and enactment of budgets in the MMRA shall observe the
following fundamental principles:

(a) No money shall be paid out of the Regional Treasury except in pursuance of
an appropriation made by regional law.

(b) No public money or property shall be appropriated, applied, paid or
employed, directly or indirectly, for the use, benefit, or support of any sect,
church, denomination, sectarian institution, or system of religion or of any
priest, imam, preacher, minister, or other religious teacher or dignitary as
such, except when such priest, imam, preacher, minister or dignitary is
assigned to the regional police force or to any penal institution, or

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government orphanage or leprosarium within the NCR.

(c) All money collected on any regional tax levied for a special purpose shall be
treated as a special fund and paid out for such special purpose only. If the
purpose for which a special fund was created has been fullfilled or
abandoned, the balance, if any, shall accrue to the general funds of the
Regional Government.

(d) No funds or resources shall be disbursed unless duly approved by the
Governor or by his/her duly authorized representative.

(e) Trust funds shall only be paid out of the Regional Treasury upon fulfilment of
the specific purpose for which said funds were created or received.

(f) No provision or enactment shall be embraced in the MMRA appropriations
ordinance unless it relates specifically to some particular appropriation
therein. Any such provision or enactment shall be limited in its operation to the
appropriation to which it relates.

() The procedure in approving appropriations for the Metropolitan Assembly
shall strictly follow the procedure for approving appropriations for other
departments and agencies of the Regional Government.

(h) A special appropriations ordinance shall specify the purpose for which it is
intended, and shall be supported by funds actually available as certified by the
Regional Treasurer, or to be raised by a corresponding revenue proposal
therein

(1) No regional ordinance shall be passed authorizing’ any transfer of
appropriations; however, the Governor may, by regional law, be authorized to
augment any item for his/her office from savings in other items of the
appropriations for his/her office.

Section 14. There is hereby created in the MMRA a regional finance committee to be
composed of the Member of the Metropolitan Cabinet who heads the Development

Planning Department, the Regional Budget Officer, and the Regional Treasurer. It shall
exercise the following functions:

(a) Determine the income reasonably projected as collectible for the ensuing fiscal
year;

(b) Recommend the appropriate tax and other revenue measures or borrowings
which may be appropriate to support the budget;

(c) Recommend to the Governor the level of the annual expenditures and the
ceilings of spending for economic, social, and general services based on
the approved regional development plans;



(d) Recommend to the Governor the proper allocation of expenditures for each
development activity between current operating expenditures and capital
outlays;

(e) Recommend to the Governor the amount to be allocated for capital outlay
under each development activity or infrastructure project; and

() Conduct semi-annual review and general examination of cost and
accomplishments against performance standards applied in undertaking
development projects. A copy of this report shall be fumished the Governor
and the Assembly, and shall be posted in conspicuous and publicly
accessible places in the component LGUs of the MMRA.

Section 15. The Governor shall inform the Assembly every quarter on the conduct of
regional affairs and the state of regional finances.

Section 16. The financial accounts of the expenditures and revenues of the MMRA shall be
audited by the Commission on Audit. The financial accounts of the MMRA, including all
payments from the reserve fund, shall be submitted by the Governor to the Assembly,
together with the statement of audit prepared by the Commission on Audit within ten (10)
working days from receipt thereof.

ARTICLE X
Transitory Provisions

Section 1. (a) The existing Metropolitan Manila Development Authority shall be deemed
abolished and the officials thereof considered as having ceased in office upon the election
and qualification of the officials of the MMRA as provided in this Act.

(b) All regular and permanent personnel of the MMDA shall continue to hold office
unless they are replaced by the Regional Government within six (6) months
from the organization thereof; otherwise, they shall be considered regular
and permanent employees of the Regional Government. Nothing in this Act,
however, shall derogate from any right or privilege enjoyed by any public
official or employee under existing laws. Retiring employees shall be given full
benefits under existing laws. Those who opt to transfer to another government
office shall be allowed, subject to Civil Service laws and regulations.

(c) Properties and assets of the present MMDA shall be tured over to the
Regional Government. Those lands, buildings and other permanent
structures located in the local government units that do not vote favorably in
the plebiscite for the ratification of this Act may be acquired by the LGU
concerned for value.

Section 2. All personnel of the National Government and of governmentowned or
controlled corporations who are absorbed by the Regional Government shall retain their
seniority rights, compensation and benefits.

Section 3. Within one (1) month from the organization of the MMRA, an Oversight

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Committee composed of the Executive Secretary as Chair, the Secretary of Budget and
Management, the Secretary-General of the National Economic and Development Authority,
the Regional Governor of the MMRA, the Presiding Officer of the Metropolitan Legislative
Assembly, two (2) Senators to be designated by the Senate President and two (2)
Representatives to be designated by the Speaker of the House of Representatives, as
Members, shall be organized for the purpose of supervising the transfer to the MMRA of
such powers and functions vested in it by this Act and the appropriations of the offices or
agencies, including the transfer of properties, assets and liabilities, and such personnel as
may be necessary, and of identifying the other line agencies and government-owned or
controlled corporations that may be absorbed by the Regional Government and, with
respect to the latter, also the terms and conditions of their turnover.

Within six (6) months after its organization, the Oversight Committee shall submit
its report and recommendations to the President of the Philippines who shall act on the
report and recommendations within ninety (90) days after receipt thereof: Provided,
however, That if the President fails to act within said period, the recommendations of the
Oversight Committee shall be deemed approved.

Section 4. Upon the organization of the MMRA, the line agencies and offices of the
National Government dealing with local government; development planning; transportation
and traffic management; solid waste disposal and management; flood contro! and
management; urban renewal, zoning and land use planning, and shelter services; health
and sanitation, urban protection and pollution control; public safety and disaster
management; public works and highways; and social services, including their personnel,
equipment, properties and budgets, shall be immediately placed under the control and
supervision of the Regional Government.

The National Government shall continue such levels of expenditures as may
be necessary to carry out the functions devolved under this Act: Provided, however, That
the annual budgetary support shall, as soon as practicable, terminate as to the line
agencies or offices devolved to the Regional Government.

Section 5. Notwithstanding the provisions of the preceding Section, the Government
Service Insurance System, the Social Security System, the Pagtutulungan-Ikaw, Bangko,
Industriya at Gobyerno (PAG-IBIG) and other funds of similar trust or fiduciary nature shall
be exempt from the coverage of this Act.

Section 6. Pending the enactment of a regional budgetary law, the budgeting process of
the Regional Government shall be govemed by pertinent rules and regulations prescribed
by the Department of Budget and Management.

Section 7. The first regular elections of the MMRA Governor, MRA Vice-Governor and
Members of the Metropolitan Assembly under this Act shall be held not earlier than sixty
(60) days or later than ninety (90) days after the ratification of this Act. The Commission on

Elections shall promulgate such rules and regulations as may be necessary for the conduct
of said election.

Section 8.To carry out the purposes of this Act, the amount of Five Billion Pesos



(P5,000,000,000) every year is hereby authorized to be appropriated for the initial operation
of the MMDA, and as its operating budget for the first three years of its existence .
Thereafter, the annual expenditures including capital outlays of the MMRA shall be provided
in the General Appropriations Ordinance to be enacted by the Metropolitan Assembly.

The MMRA shall continue to receive the Internal Revenue Allotment (IRA)
currently allocated to the present MMDA. Five percent (5%)of the total annual gross
revenue of the preceding year, net of the internal revenue allotment, of each local
government unit voting to be integrated into the MMRA, shall accrue and become payable
monthly to the MMRA by each city or municipality. In case of failure to remit the said fixed
contribution, the DBM shall cause the disbursement of the same to MMRA chargeable
against the IRA allotment of the city or municipality concerned, the provisions of Section
286 of Republic Act No. 7160 to the contrary notwithstanding.

Section 9. The provisions of this Act are hereby declared to be separate and in the event
one or more of such provisions are held unconstitutional, the validity of other provisions
shall not be affected thereby.

Section 10. All laws, decrees, orders, rules and regulations, and all other issuances, or
parts thereof, which are inconsistent with this Act are hereby repealed or modified
accordingly.

Section 11, The Local Government Code of 1991 shall apply in all matters that are not
covered by this Act.

Section 12. The creation of the Metropolitan Manila Regional Administration shall take
effect when approved by a majority of the votes cast by the constituent units provided in
paragraph (b) of Section 1 of Article II of this Act in a plebiscite which shall be held not
earlier than ninety (90) days or later than one hundred twenty (120) days after the approval
of this Act: Provided, That only the local government units voting favorably in such plebiscite
shall be included in the MMRA. The LGUs which in the plebiscite do not vote for inclusion in
the MMRA shall remain in the existing administrative regions: Provided, however, that the
President may, by administrative determination, merge the existing regions.

Section 13. This Act shall take effect after fifteen (1) days following its complete
publication in the Official Gazette and at least one (1) newspaper of general circulation.

Approved,

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