Christopher T. Pablo Senior Urban Development SpecialistWorld Bank

Municipal Performance Measurement: A Tool to Create Equity and Inclusiveness

THE PHILIPPINE CASE

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Setting the Context

Despite a long history of decentralization, local governments still depend largely on fiscal transfers

Categories of Local Government Units (LGUs) ProvincesCitiesMunicipalitiesBarangays

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Tools for Measuring Performance

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Local Government Performance Management System (LGPMS)

Seal of Good Housekeeping (SGH)

Galing Pook Award

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Local Governance Performance Management System (LGPMS): From Measurement to Performance Management

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Self-assessment, management & development tool on local government performance in the delivery of essential public services

Web-based information system on the state of local governance performance and the state of local development, using governance and development indicators

Source: http://www.blgs.gov.ph/lgpms

Source: http://www.blgs.gov.ph/lgpms

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LGPMS Framework

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Local Governance Management Performance

State of Local Governance Performance

Input Output

State of Local Development

Outcome

Input-Output-Outcome Relationship

Version 1 Version 2

Source: http://www.blgs.gov.ph/lgpms

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LGPMS Indicator Structure

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Performance Areas

Service Area

1. Administrative Governance

1. Local Legislation2. Development Planning3. Revenue Generation4. Resource Allocation and Utilization5. Customer Service6. Resource Management & Development

2. Social Governance

1. Health Service2. Support to Education3. Support to Housing & Basic Utilities4. Peace, Security and Disaster Risk

Management

3. Economic Governance

1. Support to Agriculture Sector2. Support to Fishery Services3. Entrepreneurship, Business and Industry

Promotion

4. Environmental Governance

1. Forest Ecosystem Management2. Freshwater Ecosystem Management3. Coastal Marine Ecosystem Management4. Urban Ecosystem Management

5. Valuing Fundamentals of Good Governance

1. Transparency2. Participation3. Financial Accountability

Governance Indicators Cluster

Development Sector

Development Sub-Sector

1. Social Development

1. State of Health & Nutrition

2. State of Education3. State of Housing &

Basic Utilities4. Peace and Order

Condition

2. Economic Development

1. State of Income2. State of Employment

3. Environmental Development

1. State of Agricultural Ecosystem

2. State of Forest Ecosystem

3. State of Coastal Marine Ecosystem

4. State of Freshwater Ecosystem

5. State of Urban Ecosystem

Development Indicators Cluster

Source: http://www.blgs.gov.ph/lgpms

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LGPMS Scaling System

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Performance Scale5 4 3 2 1

Excellent High but not Excellent

Fair Low Very Low

Development Index5 4 3 2 1

Very High High Fair Poor Bad

Source: http://www.blgs.gov.ph/lgpms

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Electronic Reports generated by LGPMS

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1. LGU Profile2. State of Local Governance Performance Report

(SLGPR)3. E-SLGPR Summary

- includes Year, Summary Type (National, Regional, Province) and Regional Name

4. Financial Performance5. State of Local Development Report (SLDR)6. E-SLDR Summary

Source: http://www.blgs.gov.ph/lgpms

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Sample Reports

9Source: http://www.blgs.gov.ph/lgpms

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Sample Reports

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Source: http://www.blgs.gov.ph/lgpms

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Uses of LGPMS information

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In planning and budgeting

In identifying areas for training & institutional strengthening

As inputs to project proposals

In performance monitoring (LGU Performance and State of Development)

In public reporting on government programs

Source: http://www.blgs.gov.ph/lgpms

Source: http://www.philippineestate.multipy.com

Source: Annual Report 2011, BLGS

Source: http://www.ipmprints.net

Source: http://www.stlucieco.gov

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Seal of Good Housekeeping (SGH) Raises the bar in measuring LGU

performance monitoring

A tool for good governance, accountability, honesty and transparency

Rewards performance with grants for development projects (Performance Challenge Fund)

Requirement to access loans

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Source: http://www.dilg.goh.ph

Source: http://www.mindanews.com

Source: http://www.boholpressrelease.com

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Requirements for the Seal of Good Housekeeping Compliance with the full

disclosure policy of DILG

No adverse reports from Commission on Audits

Compliance with the Anti-Red Tape Act

Adoption of Comprehensive Development Plan

Above benchmark performance in the LGPMS

13Source: http://www.noveletatown.blogspot.com

Source: Annual Report 2011, BLGS

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Performance Challenge Fund (PCF)

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An incentive system for local governments excelling good local governance performance

Helps stimulate local governments to put premium on transparency and accountability

Fund Allocation As subsidy for the 1st to 3rd class LGU

Province – Php7M (US$ 166T) City – Php3M (US$ 71T) Municipality – Php1M (US$ 24T)

As incentive to the 2012 Gawad Pamana ng Lahi Regional awardees Province – Php3M (US$ 71T) City – Php2M (US$ 47T) Municipality – Php1M (US$ 24T)

As incentive to the 2012 Gawad Pamana ng Lahi National awardees Php5M (US$ 118T) for each province, city and municipality

Source: DILG, Memorandum Circular on Scaled-up Seal of

Good Housekeeping, April 2012

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Galing Pook Award

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Private awards program

Recognizes best and innovative practices

Promotes adoption of good practices across the country

Source: http://www.galingpook.org

Source: http://www.galingpook.org

Source: http://www.maribojoc.gov.ph

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Looking forward….

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CSOs/People’s Organizations to become active partners in the validation of LGPMS and Performance Challenge Fund results

Performance-based grants still relatively new and still to be tested

Broader reform needed of fiscal transfer system to incentivize improved LGU performance (e.g., performance criterion in the Internal Revenue Allotment formula)

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http://swotti.starmedia.com/cities/manila_18733.htm

Mr. Christopher T. PabloSenior Urban Development SpecialistSustainable Development Department - PhilippinesThe World Bank - East Asia and the Pacific Region

Thank you! Manila, Philippines

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