Section 7. Criteria.— For the purpose of this Act, the areas in the criteria shall be understood and interpreted as follows:
Good Fiscal or Financial Administration or Financial Sustainability – This refers to the condition where an LGU demonstrates positive and stable economic performance, and maintains, preserves and mandatorily upholds the practice of fiscal discipline, accountability and transparency by adhering to budgetary rules, public financial management, generally accepted and recognized accounting and auditing standards and full disclosure policy. Indicators shall include: (1) the issuance of an unqualified or qualified opinion on the financial statements of an LGU by the Commission on Audit (COA) in the immediately preceding year; (2) full, strict, and exacting compliance with the Full Disclosure Policy (FDP) of local budget and finances, bids and public offerings; and (3) posting of financial documents required to be posted in the FDP portal in the local government’s website.
Disaster Preparedness – This refers to an LGU;s preparedness for any disaster or natural or man-made calamity, by adopting relevant plans, taking proactive actions, and building its capacity to respond effectively to emergencies when needed. Indicators shall include: (1) having structures, plans and systems in place for disaster preparedness; (2) availability of a Provincial Development and Physical Framework Plan/Comprehensive Land Use Plan, Disaster Risk Reduction and Management (DRRM) Plan, Contingency Plan, and Local Climate Change Action Plan; (3) availability of working early warning and evacuation alert systems, evacuation centers, standard operating procedures in the event of disaster or calamity, emergency transportation facilities, relief operation equipment and tools, medical services, registration and security; and (4) being an awardee of the National Gawad KALASAG for Best Local Disaster Risk Reduction and Management Council.
Social Protection and Sensitivity Program – This refers to an LGU’s sensitivity and responsiveness to the needs of its constituents, recognizing and upholding the rights and privileges particularly those belonging to the vulnerable or disadvantaged sectors, such as, but not limited to, women, children, indigenous people, elderly, persons with disability (PWD), and informal settlers. Indicators shall include: (1) providing access to justice, particularly in cases of violence against women and children; (2) providing access for PWDs, senior citizens and pregnant women in frontline services; (3) enhancing mobility for PWDs in public infrastructure like local government center and hospitals in accordance with the Accessibility Law; (4) mandatory representation of indigenous people in compliance with the Indigenous Peoples Rights Act of 1997; (5) compliance with the mandatory representation in the sanggunian with representative accorded with regular privileges and emoluments of a sanggunian member; (6) presence of at least one (1) accredited LGU-managed residential care facility for the vulnerable sectors; and (7) representation from NGOs in the local development council and other special bodies consistent with the pertinent provisions of the Local Government Code.
Health Compliance and Responsiveness – This refers to the LGU‘s capability to effectively implement and deliver health services and information systems as well as pursue evidenced-based health promotion and protection policies scientifically proven and accepted to advance population health and individual well-being, reduce the prevalence of non-communicable diseases and its risk factors, lower the incidence of new infectious diseases, address mental health issues and improve health status throughout the life course. Indicators shall include: (1) ensuring access to nutritious, safe and affordable food; (2) regularly conducting physical activities in communities and schools; (3) strict enforcement of laws and ordinances that regulate tobacco sale and use, harmful alcohol consumption, and use of illicit drugs; (4) providing access to safe water and sanitation; (5) implementing immunization programs; (6) ensuring access to primary health care including prevention programs for hypertension, diabetes and cancer; and (7) establishing local surveillance and epidemiology systems to monitor health service delivery.
Programs for Sustainable Education – This refers to the initiatives of an LGU to institute education reforms and programs, provide equal access to quality education, promote lifelong learning opportunities for all, foster sports development and instill leadership and patriotism among the youth, as demonstrated by positive changes in the behavior and performance of individual citizens and the community as a whole. Indicators shall include positive results produced by Local School Board Policies and Programs, such as: (1) increased participation rate of students; (2) decreased number of drop-outs as well as out-of-school youths; (3) increase in cohort survival rates; (4) increase in achievement scores as measured by the national tests or assessment tools; and (5) establishment of child development centers, support to special education and the alternative learning system and parent effectiveness service program.
Business Friendliness and Competitiveness – This refers to an LGU’s unconventional initiative in encouraging local investment, together with local business enterprises and the working sector, through the adoption of policies, programs, systems, structures and/or local legislation that attract and create investment opportunities, and promote a business climate conducive to sustainable business growth. Indicators shall include: (1) adoption of simplified business processing and licensing system; (2) tracking of economic data of the locality and the sharing of the same with investors; (3) designation of a local economic investment promotion officer or its equivalent; (4) existence of an updated Citizen’s Charter; (5) adoption and maintenance of an updated Local Investment Incentive Code; and (6) good performance in business promotion as shown by the result of Business Friendliness or Competitiveness Assessment by the Philippine Chamber of Commerce and Industry or the National Competitiveness Council.
Safety, Peace and Order – This refers to a condition where an LGU establishes good and respectable performance in terms of maintaining peace and order in the community as demonstrated by reduced crime rate, effective anti-illegal drugs campaign, and efficient traffic management, among others, through the implementation of activities, programs and policies, and the appropriate provision of support mechanisms to ensure the safety and protection of its constituencies from injuries and unnecessary threats to life, security and property. Indicators shall include: (1) adopting a Local Anti-Criminality Action Plan or Peace and Order and Public Safety Plan; (2) providing logistical or financial support to the local police; (3) convening regularly the local Peace and Order Council; (4) establishing a functional local Anti-Drug Abuse Council; and (5) establishing and implementing a community-oriented policing mechanism.
Environmental Management – This refers to an LGU’s initiative to institute policies and programs that consistently and significantly preserves and protects the integrity of the environment with primary focus on solid waste management and ecological balance, as well as mitigation and adaptation to climate change. Indicators shall include: (1) advancing local policy and programs of action on Environmental Impact Assessment; (2) promoting social awareness and social responsibility programs; (3) managing and maintaining ecological balance within their territorial jurisdiction; (4) complying with at least the minimum standards set by the provisions of the Ecological Solid Waste Management Act of 2000; (5) establishing a material recovery-facility or an existing partnership with an entity with facilities that may be used for such purpose; (6) having access to a sanitary landfill or alternative technology; (7) maintaining an organized local Solid Waste Management Board; and (8) instituting policies, programs, systems, structures and/or local legislation in order to support and promote environmental protection in all levels of human transaction.
Tourism, Heritage Development, Culture and Arts – This refers to an LGU’s ability to promote and protect Philippine identity through local heritage and culture, or local legacy, in terms of preserving the cultural, historical and indigenous significance of the community, marketing the characteristics which the LGU is known or recognized for, and attracting foreign and local visitors and tourists to the locality. Indicators shall include: (1) the presence of a Local Tourism Officer or designated officer; (2) the establishment of a Tourist Information and Assistance Center; (3) the establishment of a tracking system of tourism data; (4) the presence of a local council for the promotion of culture and the arts; (5) the approval and implementation of a budget appropriated for the conservation and preservation of cultural property; and (6) existence of an updated cultural property inventory in the LGU.
Youth Development – This refers to an LGU’s ability to promote and establish adequate, effective, responsive and enabling mechanisms and support systems that will ensure the meaningful participation of the youth in local governance and nation-building. Indicators shall include: (1) adopting a local youth development program; (2) establishing a local youth development council; (3) providing a youth development office which shall be headed by a youth development officer; and (4) instituting policies, programs and systems in order to support and promote the vital role of youth in local governance.
The foregoing criteria may be expanded by the Council to align with the thrusts of the National Government and attune them with the changing times.