Ubay, a town 140km away from the capital city of Tagbilaran, has been offered technical assistance by the Public Financial Management Regional Interagency Team (PFM-RIAT) to improve its local-revenue raising capabilities.
The town’s locally generated average annual income is still below the standard required for conversion into a city.
The Regional Development Council (RDC) has found that Ubay fails to meet the requirements for conversion into a city, as it has a locally generated average annual income of less than P100 million for the last consecutive two years based on the 2000 constant prices.
The RDC has offered technical assistance to the town to improve its local-revenue raising capabilities.
The town has approximately 335 square kilometers and a combined population of 85,799, making it the largest and most populated town in Bohol.
Bohol Gov. Aris Aumentado has been pushing for the cityhood of Ubay, hometown of his father, the late former governor Erico Boyles Aumentado.
However, in a recent RDC assessment, the town has not met the requirements for conversion into a component city.
The requirements include a locally generated average annual income of P100M, a contiguous territory of at least 100 square kilometers, and a population of not less than 150,000.
For the determination of annual income, in the conversion if a town into a component city, locally generated income is real property tax (General Fund), tax on businesses, other taxes, regulatory fees like permits and licenses, service and user charges (Service Incomes), receipts from economic enterprises, interest incomes plus shares from PEZA.
RDC has offered technical assistance to the town to help it improve its local revenue generation capabilities and meet the final requirement before it can become a city.
TOWN TO CITY
The process for a town to become a city varies by country and region.
In the Philippines, the process is defined by Republic Act 11683, which amends Section 450 of RA 7160 or the Local Government Code of 1991.
The law makes it easier for a municipality to apply to become a city.
The requirements for a municipality to become a city include a locally generated average annual income of at least P100 million for the last consecutive two years based on the 2000 constant prices, a contiguous territory of at least 100 square kilometers as certified by the Land Management Bureau, and a population of not less than 150,000 as certified by the Philippine Statistics Authority.
To this the RDC said based on the conditions for the conversion of Ubay into a component city, the town has not reached the required income to qualify for conversion into a component city.
EARLIER EFFORTS
In 2022, the Municipal Development Council (MDC) of Ubay crafted MDC Resolution No. 012-2022, earnestly requesting the RDC and the Bohol Provincial Development Council Bohol Governor Erico Aristotle Aumentado to favorably endorse to the 19th Congress to prioritize and support House Bill No. 5203.
Earlier also, Bohol Congressional District II representative Maria Vanessa C. Aumentado elevated the house bill seeking for the conversion of Ubay into a component city, and would be called as the Science City of Ubay.
According to Congresswoman Aumentado, Ubay has become a first class town in Bohol, and as to the 2020 census, the town’s 44 barangays has already a combined population of 85,799, which makes the town the largest and the most populated town in Bohol.
The town has approximately 335 square kilometers (292.05 hectares), and claims to be the most progressive town in terms of income and livelihood opportunities.
To push Ubay become a city, the RDC Development Administration Committee through its PFM-RIAT has offered its technical assistance to help the town improve its local revenue generation capabilities and hit the final requirement before the town can become a city. (with reports from PIA Bohol)
