• 04/25/2019
  • 06:01 PM
League Online News


The Department of Budget and Management (DBM) raised this year’s budget allocation of local government units (LGUs), a report by the Philippine Star said.

For 2019, the DBM has increased LGUs’ internal revenue allotment (IRA), or the LGUs’ revenue share from the government, to P575.52 billion, 10 percent higher than a year earlier.

The agency accounted this to the creation of 15 barangays, namely North Bay Boulevard South Proper, NBBS Kaunlaran, NBBS Dagat-Dagatan, Tangos North, Tangos South, Tanza 1 and Tanza 2 in Navotas City.

New barangays formed also include Cabaritan and Quibel in Dumalneg, Ilocos Norte; Liwon in Asipulo, Ifugao; Pudo, Natonin, Mountain Province; Poblacion 3, Villanueva, Misamis Oriental; Upper Pugaan, Ditsaan-Ramain, Lanao del Sur; and Poblacion 2, Villanueva, Misamis Oriental.

According to the agency, the cost of devolved functions would no longer be deducted before the allocation of the IRA.

Instead, the amount would be disbursed again to LGUs as mandated by Section 284 of Republic Act 7160, otherwise known as the Local Government Code.

With that, 82 provinces will receive P132.37 billion of the total IRA; 145 cities, P132.37 billion; 1,478 municipalities, P195.68 billion; and 41,913 barangays, P115.10 billion.

Government compute local government’s revenue share based on the Bureau of Internal Revenue’s (BIR) collection in 2016.

The tax agency earned P1.58 trillion in 2016, up 9.31 percent from P1.44 trillion in 2015.

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