Romualdez: 2024 nat’l budget has provisions to implement Mandanas ruling

MANILA, Philippines — The P5.768 trillion proposed national budget for 2024 has enough funds to ensure the continuous implementation of the Supreme Court’s Mandanas-Garcia ruling, which provides a greater share of funds to local government units (LGUs), according to Speaker Ferdinand Martin Romualdez.

Romualdez, during his speech at the Department of the Interior and Local Government (DILG) awarding of the Seal of Good Local Governance to outstanding LGUs, explained that additional funds would equip local governments with the resources needed for reforms and delivery of services.

This, the Speaker said, will be formalized when President Ferdinand Marcos Jr. signs the General Appropriations Bill (GAB) soon.

“In a few days, one of the most important pieces of legislation, the P5.768 trillion 2024 appropriations, will be submitted for the approval of President Ferdinand Marcos Jr. The House of Representatives crafted the 2024 budget to bring about balanced development, propagating progress not just in urban areas but across the archipelago, so that every Filipino, from the northernmost provinces to the southernmost islands, can thrive with peace and abundance,” Romualdez said.

“It also contains provisions for the effective implementation of the Mandanas ruling, ensuring that local governments have the resources they need for undertaking reforms at the local level. We hope that the inclusion of this provision will encourage more local governments to endeavor to take on the challenge of attaining the Seal of Good Local Governance,” he added.

The Mandanas-Garcia Ruling, named after petitioners Batangas Governor Hermilando Mandanas and former Bataan Governor Enrique Garcia Jr., is a Supreme Court decision that sided with the petition that questioned how the internal revenue allotment (IRA) or the income-share of LGUs were being computed.

Prior to the decision, not all taxes were used as a basis for the IRA.  But SC ruled that the IRA should come from 40 percent of all national taxes collected by the Bureau of Internal Revenue (BIR) and the Bureau of Customs, effectively increasing the budget allocated to LGUs.

IN THE KNOW: The Supreme Court’s Mandanas ruling

Regarding the Seal of Good Local Governance, Romualdez said he understands that attaining such a distinction is hard but not impossible as many cities, towns, and provinces have been given such awards.  To aid LGUs, the Speaker said the House is willing to coordinate with officials to help maximize funds and ensure the efficient and transparent delivery of services.

“We understand that undertaking this endeavor may seem difficult for first-timers. What today’s awardees show is that it can be done.  The House of Representatives is here to support all sectors, including local government officials, who desire to empower our fellow Filipinos so that they are able to pursue their ambitions,” he said.

“My office is open to establishing an institutional mechanism that will enable and facilitate better coordination between the House of Representatives and local government units,” he added.  “Let us continue working together – inspiring each other to build a Philippine economy that is stronger and more inclusive. With everyone’s cooperation, I am confident we will reach our shared national aspirations in the very near future.”