Money Talks in RP Classification of LGUs

a common scene, part of Calabanga town's commercial center.

Local government units of the Philippines like provinces, cities and towns, are classified according to their annual income.

In 2001 municipalities which has an income of P35M or more belong to the uppermost bracket of 1st class towns, P27M or more but less than P35M are 2nd class; P21M or more but less than P27M are 3rd class; P13M or more but less than P21M are 4rth class, and P7M or more but less than P13M are 5th class.

Based on this criteria, there are 130 1st class towns, 140 2nd class, 204 3rd class, 543 4rth class, 401 5th class and 17 6th class towns, making a total of 1,435 in 2001.

In the year 2005, another classification took effect. Municipalities earning P50M or more are now classified as 1st class; P40M or more but less than P50M are 2nd class; P30M or more but less than P40M are 3rd class; P20M or more but less than P30M are 4rth class; P10M or more but less than P20M are 5th class; and, Below P10M are 6th class.

This new income bracket brought about changes in ranking and number of towns in each class. There are 187 1st class towns, 148 2nd class, 267 3rd class, 448 4rth class, 298 5th class, 6 in 6th class, bringing the total to 1,494 in 2005.

Philippine cities are also classified based on their annual earnings.

In 2001, cities with income of P205M or more are considered 1st class, P155M or more but less than P205M are 2nd class, P100M or more but less than P155M are 3rd class, P70M or more but less than P100M are 4rth class, P35M or more but less than P70M are 5th cllass, below P35M are in 6th class.

There are 2 special class cities, 46 1st class cities based on this criteria, 16 2nd class, 18 3rd class, 11 4rth class and 23 5th class, 1 unclassified, for a total of 117 in 2001.

Cities underwent another reclassification in 2005. Earnings of P300M or more make cities belong to the 1st class, P240M or more but less than P300M are 2nd class, P180M or more but less than P240M are 3rd class, P120M or more but less than P180M are 4rth class, P60M or more but lss than P120 are 5th class, below P60M are 6th class.

There are 2 special class cities, 42 1st class, 17 2nd class, 25 3rd class, and 6 4rth class, making for the total of 117 in 2005.

Accordingly, provinces are also ranked based on yearly income. In 2001, those earning P255M or more are 1st class, P170M or more but less than P255M 2nd class, P120M or more but less than P170M are 3rd class, P70M or more but less than P120M are 4rth class, P35M or more but less tha P70M are 5th class.

There were 17 1st class provinces, 23 2nd class, 12 3rd class, 7 4rth class binging the total of 79 in 2001.

By 2005, provinces were reclassified according to the following scheme: 1st class with earnings of P350M or more, 2nd class P280M or more but less than P350M, 3rd class P210M or more but less than P280M, 4rth class P140M or more but less than P210, 5th class P70M or more but less than P140M.

There were 44 1st class provinces, 14 2nd class, 12 3rd class, 7 4rth class, 2 5th class for a total of 79 in 2005.

Please note that some figures do not represent the total number of municipalities in the Philippines because of incomplete data on the municipalities from the National Capital region and the provinces of Negros Occidental, Sulu, Tawi-Tawi and Lanao del Sur.

Now that we have laid out this information, it will be a handy reference as we continue our series on annual income and expenses of local government units of Bicol.

In 2001, the following Camarines Sur towns are classified as 1st class: Pili, P49M; Nabua, P46M; Calabanga, P44MM; Ragay, P44M; Buhi P42M; Sipocot, P40M; Libmanan, P39M; Tinambac, P38M; Lagonoy, P36M; Goa P35M; and Bula, P35M.

In 2002, these are the 1st class municipalities of Camarines Sur: Libmanan P68M; Pili, P59M; Tinambac, P53M; Calabanga P52M; Buhi P51M; Sipocot P49M; Ragay P47M; Lagonoy P43M; Bula P42M; Baao P37M; Caramoan, P37M; Pasacao, P35M. Nabua and Goa has incomplete data.

(This is third part of the series on Bicol towns, cities and provinces annual income that Cbanga360(dot)Net will run as a series. To be continued.)


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