Republic of the Philippines

Commission on Higher Education

Samar State University
COLLEGE OF GRADUATE STUDIES
Catbalogan City, Samar
Tel. Nos. (055) 543-8394 / (055) 251-2139
Website: www.ssu.edu.ph

Course : Masters in Public Management

Course Code : PM 505
Subject : Local Government Management
Reporters : Tuazon, Michael Ian
Borinaga, Angelo
Rebato, Jebith
Romero, Ranier
Gabitanan, Oscar
Semester : 1st semester of S.Y. 2017-2018
Professor : Prof. A. Poblete
Topic : Role of Local Government in Development /
(The Management of Local Services)
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LOCAL GOVERNMENT OF LOCAL SERVICES

MANAGEMENT OF LOCAL SERVICES

 It is improving quality of life in the LGU.
 Its purpose is to attain a certain level of standards of efficiency,
congruency and sustainability in Local Management of Local
Services, a methodical tool must be applied where the following
Baseline or Urban Karte Indicators must be fully captured, assessed
and addressed.

Major Components of Local Services in LGU

1. Social Service
2. Economic Services
3. Political/Administrative(Governance)
4. Local Management of Local Services
- It means capturing, assessing and addressing the above
components.

LOCAL DEVELOPMENT STRATEGY (LDS)

 It is a Hybrid Process (Planning and Management Process)
 It is when local people work together to achieve sustainable
economic growth that brings economic benefits and quality of life
improvements for the communities in the LGU.

Five (5) stages of Management in Local Services

1. Assessment (Where are we now?)
2. Develop Vision (Where do we want to be?)
3. Formulate Strategy (How do we get there?)
4. Prioritize Programs and Project (What actions need to be taken?)
5. Package-Implement-Review-Deepen

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Management of Context of LGU Local Services

Baseline Indicators:

SOCIAL SERVICES (LOCAL LIVABILITY) fit or suitable live in.

1. Basic Urban Services (Household Profile)
2. Healthful Environment
3. Safe Environment
4. Poverty
5. Amenity, Culture and Services

ECONOMIC SERVICES (LOCAL COMPETITIVENESS) Ability & Performance

1. Structure of Economic Activity
2. Human Resources
3. Availability of Technology
4. Market Accessibility
5. Support Services
6. Cost of Doing Business

POLITICAL AND ADMINISTRATIVE FUNCTIONS (GOVERNANCE)

1. Efficiency of Service Delivery
2. Transparency of LGU
3. Administrative Function
4. Bankability

PLANNING

LDS Process
- Is a tool for participatory planning

Participation
- It involves stakeholder in decision-making for the project and
allows them to partake in the opportunities it creates, they
should have also access to its immediate benefits and those it
produces.

Levels of Participation
- Information Sharing
- Consultation/Seeking Feedback (options/risks)
- Collaboration Joint decision making
- Empowerment/shared control- having the sense of ownership
or shared responsibility. (Legal power/authority)

FINANCING

The Capital Budget

- Is largely concerned with the creation of long term assets
(roads, pipes, schools and other services)
- It details the LGU long term capital improvements needs

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Components of Capital Budget
- Inventory of Capital Assets
- Developing of CIP
- Developing of Multi-year CIP
- Developing the Financial Plan (Sustainability)
- Process (Determine Financial Situation, Develop Financial
Goals, Identify alternative course of action, Evaluate
alternatives, Create & Implement Financial Action Plan,
reevaluate / revise the plan.
- Implementing the Capital Budget (Deals with big cost that
paid once to develop) e.g. construction of roads, buildings
etc.

Implementing the Capital Budget

The Multi-Year should include the following components (updated
annually)

1. All the relevant project/ investment cost details including

construction and financing cost.
2. The annual capital cost disbursement schedule including
direct construction payment but all principal/ interest
payments for debt financing; and
3. All the current account transfers including a separate
identification of costs to be transferred to the current
operating budget including; project design costs; future
operations and maintenance spending; and all feed and
interest charges required for successful project development.

Financial Analysis
- Central element of the capital budget and multi-year CIP
- Aimed at minimizing the financial effect of investment projects
on local budget, while maximizing the impact of the project
addressing the community’s needs(services)

Capital Budget Process

- Is a management tool for guiding the expenditures of public
resources over an extended period of time
- It represents commitment by the LGU to provide its community
with the desired and require level of service
- Sources and Utilization: 20% Development Plan (infra) and
Project Sector

IMPLEMENTATON

Capital Investment Plan (CIP) (detailed understanding of anticipated

investments into tangible capital assets, infrastructure, facilities, services,
installation needed.)
Decision used to undertake capital investment are motivated by several
criteria including:

- Degree of urgency of the project

- Benefits derived from the project
- Cost and financial impact of the project
- Acceptability to the local constituency

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 - In developing the CIP, it is important to establish goals for the
level and quantity of service term of measurable indicators.
- The use of service goals as motivational instrument
underpinning/strengthening the investment plan enables
jurisdiction to determine whether infrastructure should be
replaced, upgraded, or extended.
- The development of multi-year investment plan usually begins
with inventory of existing assets and compares this inventory
and level of service provided to the jurisdiction desired service
goals.
- Benefits of Multi-year Horizon CIP.
1. Assisting the jurisdiction in programming scarce financial
resources
2. Allowing the jurisdiction the opportunity to select
alternative (cost effective) solutions.
3. Allowing the jurisdiction to engage in prudent borrowing
and other public debt policies.

Detailed Financial Analysis

- Is the most critical stage of CIP of the LGUs capacity and ability
to undertake the investment program.

EVALUATION

Methodology
- The Assessment System being used here in the LGPMS (Local
Government Performance Management System), this is Web
Based System (Customized Software)

LGPMS- the LGPMS is a self-assessment, management and development

tool that enables provincial, city and municipal governments to
determine their capabilities and limitations in the delivery of essential
public services.

Citizens Satisfaction Index System - the pipeline for integration into the
LGPMS and will enable local authorities to gauge customer views in
reach and quality of basic services. This will render the system citizens
centric

5 PERFORMANCE AREAS AND SERVICE AREAS OF LGMPS

1. GOVERNANCE – Local Legislations, Transparency and Participation.

2. ADMINISTRATION – Development Planning, Revenue Generation,
Resource Allocation and Utilities, Financial Accountability, Customer
Service and Human Resource.
3. SOCIAL SERVICES- Health and Nutrition, Education, Housing and Basic
Utilities, Peace, Security and Disaster Preparedness.
4. ECONOMIC DEVELOPMENT – Agriculture, Fishing Development,
Business and Industry Promotion.
5. ENVIRONMENTAL MANAGEMENT – Natural Resources Management,
Solid Waste and Industry Pollution.

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