LGUs told: Be creative in finding funds for projects

CEBU, Philippines —  Department of the Interior and Local Government (DILG) Secretary Benjamin “Benhur” Abalos Jr. told local chief executives (LCEs), especially the newly-elected ones, to be creative and to partner with the private sector for local projects.

As a former mayor of Mandaluyong City, Abalos suggested the Build-Operate-Transfer (BOT) initiative under the Private-Public Partnership (PPP) program that LGUs can use in resource generation.

Abalos spearheaded the Mandaluyong Marketplace, which happens to be the first PPP project in the country involving the development, financing, and construction of a public market, slaughterhouses, recreation, parking lots, and commercial complex.

The BOT is a project delivery mechanism in which government entities enter into a partnership with the private sector to implement projects.

"You must be creative in generating resources for your local government units (LGUs). There is always strategic planning. If you want to make a difference, maraming paraan," said Abalos in an orientation for newly elected officials last Thursday in Clark, Pampanga.

Abalos also floated the idea of leasing ‘air rights’ – a best practice he likewise executed as an LCE of

Mandaluyong City which has aided in augmenting the city’s local coffers.

Such practice allowed SM Megamall to construct a “connector building” between the mall’s two structures, provided that they pay the ‘air rights’ since the space between them is owned by Mandaluyong.

“As local chief executives of their respective LGUs, governors and mayors should always think outside the box and explore ways and means on how to get things done with the help of the private sector and other stakeholders for the benefit of their constituents. We did this in Mandaluyong, and I hope this can also be done in other LGUs as well,” stressed Abalos.

According to the National Building Code of the Philippines, ‘air rights’ is the right to physically develop and subsequently benefit or profit from the continued use of the air space above the road right-of-way (RROW).

The new DILG Secretary also said that local officials may also study the broad taxing powers given to LGUs by the Local Government Code of 1991 to increase their resource base.

"Ito (LGU Code) ang lagi ninyong pagbabasehan sa lahat ng gagawin n’yo. Make sure na lahat ng pipirmahan at gagawin n’yo ay always in accordance with the law,” Abalos added.

Abalos highlighted the areas in which decentralization will affect local leadership and the powers granted to LGUs by the Code.

"Devolution is important because it would give LGUs the power and funds needed to effectively solve the issues of your constituents," Abalos said.

The powers exercised by LGUs based on the LGC include police powers, eminent domain, and taxation. Taxing power, according to Abalos, is a tool that LGUs can also use to increase resources.

Meanwhile, Abalos also expressed support for Cebu's homegrown products, talents, and festivals when he graced the R’ Cebu Trade Fair at the Robinsons Galleria Cebu.

During the event, the Secretary highlighted the vital contribution of micro, small, and medium enterprises (MSMEs) to the country's economic progress.

Established during the height of the pandemic, the R’ Cebu Trade Fair envisions helping MSMEs recover from their losses and rebuild back their businesses.

In another development here, Abalos also told the Regional Management and Coordinating Council (RMCC) to submit a list of issues and recommendations that need to be addressed during his visit here the other day in Cebu.

The RMCC-7 (Interior Sector) is composed of the Bureau of Fire Protection (BFP), Bureau of Jail Management and Penology (BJMP), Police Regional Office, and National Police Commission (NAPOLCOM).

In a meeting, Abalos also emphasized the importance of witnesses in illegal drug cases as reported by the department’s official social media account. — JMD (FREEMAN)