City Development Strategy Report for Makati City 9 Mar … · City Development Strategy Report for...

Cities Alliance Project Output

City Development Strategy Report for Makati City 9 Mar 2009

City Development Strategies in the Philippines: An Enabling

Platform for Good Governance and Improving Service Delivery

P098173

This project output was created with Cities Alliance grant funding.

City Development Strategies Report | 1

C I T Y D E V E LO P M E N TS T R AT E G I E S I NT H E P H I L I P P I N E S

CITY DEVELOPMENT STRATEGIES IN THE PHILIPPINES: AN ENABLING PLATFORM FOR GOOD GOVERNANCE AND IMPROVING SERVICE DELIVERY

The CDS3 Project is a technical assistance grant funded by Cities Alliance and

supported by the Asian Development Bank, Japan International Cooperation

Agency, UN-Habitat, and the World Bank. The CDS project was developed

in response to the need to introduce an integrated, comprehensive, and

participatory approach to urban management. Founded on the principles

of livability, bankability, competitiveness and good governance, the CDS

process guides the cities in the preparation of comprehensive, long-

term development strategies, where the city government involves local

stakeholders in the entire strategic planning process-assessment, visioning,

strategy formulation and project prioritization and capital investment

planning-through a series of consultations.

The World Bank implemented the pilot phase in the 1999 with 7 cities.

Since then, the League of Cities of the Philippines, carried out 2 succeeding

phases, which expanded the program to 58 cities in all. In 2001, the Up-

scaling Poverty Focused City Development Strategies (CDS2) covered

31 new cities. In 2005, the project CDS in the Philippines: An Enabling

Platform for Good Governance and Improving Service Delivery (CDS3)

added 15 new cities to the roster of CDS cities in the Philippines. Under

the preparation grant for the City Development and Investment Project,

the League also carried out CDS for 5 new cities. As of 2008, 64 of 120 cities

have participated in the CDS program, including 3 cities assisted by ADB

under the Cities without Slums Project (Caloocan, Quezon and Taguig),

and the 3 cities that participated in the Local Environmental Planning and

Management Project of the UNDP (Lipa, Cagayan de Oro and Tagbilaran).

For more information on CDS, you may visit http:www.cdsea.org

ContactMayor : Hon. Jejomar C. BinayAddress : City Hall, J.P. Rizal Street 1212 Makati City, Metro ManilaTel. No. : (02) 899-8994Fax No. : (02) 899-8933URL/Web : www.makati.gov.ph

C D S 2 0 0 8

Makati CityN C R , P H I L I P P I N E S

C I T Y D E V E LO P M E N TS T R AT E G I E S I N T H E P H I L I P P I N E S

A n Enabling Pla tform for Good Governance and improving Ser vice Deliver y

C I T Y D E V E L O P M E N T S T R AT E G I E S R E P O R T

Chairman: Hon. Jejomar C. Binay, Mayor

Vice-Chairman: Hon. Ernesto S. Mercado, Vice-Mayor

Members:Ms. Marjorie A. de Veyra, Acting City Administrator / Head, Makati Social Welfare and Development

Atty. Violeta S. Seva, Senior Advisor, Office of the Mayor

Engr. Merlina G. Panganiban, City Urban Development Officer

Ms. Nelia A. Barlis, City Treasurer

Mr. Lorenza Amores, City Budget Officer

Ms. Leonila G. Querijero, City Accountant

Engr. Mario V. Badillo, Head, Assessment Department

Engr. Nelson B. Morales, City Engineer

PREFACE

The City of Makati concurs with the City Development Strategies (CDS) Project in its main objective of assisting cities to experience sustainable development by enhancing their strategic planning, governance and resource mobilization capabilities. Guided by the principles of Livability, Bankability, Competitiveness and Good Governance, Makati as a CDS Project City will be able to further enhance its capacity to logically plan and implement priority programs and projects that will promote sustainable development within the City and improve the quality of life of Makati citizens, and ultimately, of the Filipino people.

Due recognition should be given the employees, technical staff and department heads of Makati City who carried out the actual research, groundwork and public consultation to formulate and develop Makati’s long-term development strategies.

JEJOMAR C. BINAYMAYOR

TABLE OF CONTENTS

PAGE

SELECTED URBAN KARTE INDICATORS

INTRODUCTION 1

SITUATION ANALYSIS

LIVABILITY 6

COMPETITIVENESS 10

BANKABILITY 12

GOOD GOVERNANCE 14

VISION AND CITY BRAND 17

STRATEGIES 17

PRIORITY PROGRAMS 18

DEFINITION OF TERMS & ACRONYMS

BCC Barangay Computer Center

BOD Biochemical Oxygen Demand

BOT Build-Operate-Transfer

BPO Business Process Outsourcing

CBD Central Business District

DENR Department of Environment and Natural Resources

DO Dissolved Oxygen

DOH Department of Health

EDSA Epifanio De Los Santos Avenue

EMB Environmental Management Bureau

FIES Family Income and Expenditure Survey

GIS Geographic Information System

ICT Information and Communications Technology

IRS International Reference Standard

IRA Internal Revenue Allotment

LAN Local Area Network

LGU Local Government Unit

MBDC Makati Business Development Council

MMDA Metropolitan Manila Development Authority

MRF Material Recovery Facility

MRT Metro Rail Transit

NCR National Capital Region

NGA National Government Agency

NGO National Government Organization

NSO National Statistics Office

PO People’s Organization

PNR Philippine National Railway

PUV Public Utility Vehicle

RPT Real Property Tax

SBD Satellite Business District

SEC Securities and Exchange Commission

TSP Total Suspended Particulate


A1

A2

A11

A7

A15

A17

A

B

C

A18

A

B

C

D

L1

L11

L14

L30

L41

L45

C18

A

B

C

D

C29

C32

B3

B4

FP2 - B

FP2 - D

G2

471,379

511,735

8.56%

27.36 Km2

471,379

103,981

1,452

36,217

169,284

yes

yes

yes

No data available

62.65%

83%

75%

8.50%

no data

6,813

No data available

1,284

4,727

n/a

56

10.90%

No data available

12.36%

No data available

1,142.74

2,676.79

5

2000 population

Total Population (2005)

Population Growth Rate (2000-2005)

Administrative Land Area (Km2)

Urban Population (projected 2005)

Number of Households (2000)

Estimated Employment by Industry Sector

Primary (agriculture, fishery, forestry)

Secondary (manufacturing, mining, processing)

Tertiary (services, banking, insurance, wholesale/retail trade)

What are the City’s geographical advantages?

Regional/provincial center

Accessibility to an airport of international standards

Accessibility to a port of international standards

Others (please describe)

% of HH with access to piped water (level 3)

Cohort survival rate for elementary (2005)

Cohort survival rate for high school (2005)

Infant mortality rate

Crime solution efficiency rate

Number of HH living in informal settlements

Building permits issued within the last 5 years

Residential

Commercial

Agricultural

Institutional

Unemployment rate (2001 vs. 2005)

% population with undergraduate degree

% Total Debt Servicing Needs to Total Regular Income

% of savings to expenditures (2007)

Per Capita Allocation to Health Services

Per Capita Allocation to Education Sector

Average Number of days to issue a NEW business license (w/ complete documents)

INDICATORS MAKATI

INTRODUCTION

Founded in 1670 as a visita of Sta. Ana de Sapa under the jurisdiction of the Franciscans, Makati was swampland, practically a wilderness, dismissed by Juan Miguel de Legazpi as worthless in 1571. The friars established two of the earliest churches in the Philippines - the Nuestra Señora de Gracia in Guadalupe and the Church of Sts. Peter and Paul - in Makati, drawing pilgrims from all over the country. Over the centuries, this small community would leave large imprints in social, economic and cultural history.

On January 2, 1995, Makati became a city by virtue of Republic Act 7854. Being the financial center of the country, Makati City accounts for 50% of the 10 highest earning, most profitable, and the largest corporations in the country as stated in the 2004 edition of the Top 5000 Corporations published by the SEC. It is home to 60,551 business establishments per activity, 3,686 of which are banks and finance-related businesses; seven (7) five-star hotels; 42 shopping centers; 4,877 restaurants and amusement places; 86 embassies consulates; and 12 international organizations.

Based on the 2000 Census, Makati has a total nighttime population of 471,379 or 103,981 households. Its daytime population however, triples at an estimate of 1.5 million because of the daily influx of workers from neighboring localities, businessmen, tourists, and other transient travelers to the City.

In 2002, Makati was declared as the prime “Urban Tourist Destination” in the country.


G2

G7

G11

1

2

3

4

5

6

7

8

9

10

11

Average Number of days to RENEW business license (w/ complete documents)

% of local revenue/total revenue

Frequency of meetings of the Local Development Council (LDC)

ADDITIONAL DATA (from the survey)

Poverty Incidence

Performance of elementary children in NAT

Performance of high school children in NAT

Percentage of participation of Local Special Bodies (LSBs) in public hearings conducted

Presence of ELA (if yes, proceed to questions 6 and 7; if no, proceed to question 8)

Percentage of Projects implemented from ELA derived from CLUP

Percentage of Projects implemented from AIP derived from ELA

No. of registered small and medium industries (2001 vs 2005 for all types)

Number of barangays practicing segregation at source and served by an MRF

Percent of waste generated diverted from disposal

Presence of sanitary landfill

INDICATORS MAKATI

1

93.14%

2 times a year

City Development Strategies Report | 1

2 | City of Makati City Development Strategies Report | 3

Mindanao

Visayas

Luzon

Makati City

Manila Bay

Lagunade Bay

A

A. TarlacB. TarlacC. QuezonD. ZambalezE. BataanF. RizalG. Batangas

B

C

D

EF

G

Makati City

Makati City

Pasig

Paterosv

Taguig

MarikinaQuezon City

MandaluyongManila

Navotas

San Juan

Pasay

Parañaque

Las Piñas

Valenzuela


SITUATION ANALYSIS

LIVABILITY

Majority of the households in Makati have access to potable water supply, electricity, and toilet facilities. According to the data from the 2000 Census, 62.65% of households have their own faucet (Level 3) while 25.72% have shared faucets (Level 2). Data also shows that 97.7% of the households in Makati have access to toilet facilities while 100% of households have access to electricity.

The participation rate of school-age going population enrolled in public elementary schools for S.Y. 2004-2005 is 87.67% while in high school the percentage is 76.69%. Classrooms to pupil ratio in elementary is 1:36 classroom and 1:55 in the secondary level. Teacher to student ratio in elementary is 1:31 while in high school the ratio is 1:26.

In terms of health services, the City Government owns and operateds the following facilities: Ospital ng Makati, Acute Care Center, twenty-seven (27) health centers, and three (3) lying-in clinics. There is sufficient number of doctors, dentists, nurses and midwives. Generally, Makati City Government is compliant with the standard set by the Department of Health (DOH) in terms of health workers-population ratio.

The top-10 causes of deaths, are lifestyle diseases, which include heart diseases, cancer, pneumonia, hypertension, accident/injury, cerebro-vascular diseases, diabetes mellitus, asthma/COPD, kidney diseases, and pulmonary tuberculosis.

While Makati City is noted for its efforts to sustain a livable environment, the air and water quality in the City fell short of the DENR standard. The air quality in the city, according to data provided by DENR-EMB in 2005, had a Total Suspended Particulate (TSP) level average value of 181ug/Ncm.

Based on the data collected by the Makati Department of Environmental Services, every individual in the city generates garbage at an average of 0.49 kilo per day. All of the households in the City of Makati have access to garbage collection. To facilitate the proper collection, segregation, disposal of biodegradable wastes and temporary storage of non-biodegradable wastes, Material Recovery Facilities (MRFs) are maintained throughout the city.

Crime rate in Makati is 0.85 for every 1,000 population which is considered very low. One of the factors that contribute to this is the additional

manpower support of Makati’s Department of Public Safety and the Bantay Bayan of the barangays. Crime solution efficiency in the City is high at 94.2%.

Based on the 2000 Family Income and Expenditure Survey (FIES) conducted by NSO, the poverty incidence in the City was low at 1.67%. As of June 2006, the City Government registered 6,813 families of informal settlers, an increase from the 2005 figures of 8,678 families. They represent six percent (6%) of the total number of families in the City.

Being an urban tourism destination, Makati City has more than enough lodging facilities, shopping malls, cinemas, restaurants, museums, tourist attractions, and heritage sites that can meet the needs of a wide range of tourists from backpackers to those looking for luxurious accommodations. In addition to the public transportation system composed of buses, jeepneys and taxis, the City Government has an extensive network of pedestrian overpasses that can allow one to comfortably navigate the city streets on foot. Its urban revitalization program has also contributed greatly to improving the streetscapes and pedestrian facilities. The road network of the City is already 100 percent paved and parking facilities are available which make mobility in the City more convenient.

Key Opportunities/Strengths

1. Comprehensive Education Program

Makati provides a heavily subsidized tertiary education and a fully-subsidized pre-school, elementary, and secondary education where students are provided with free textbooks, workbooks, bags, t-shirts, notebooks, pencils and shuttle bus service. Education infrastructure could be accessed easily anywhere in the city and have high-quality building standards equipped with modern educational facilities such as computers, speech laboratories, multi-media libraries, audio-visual equipment and science laboratories.

The City Government also subsidizes the Division of Makati City Schools for the salary of teachers who do not hold plantilla position in the Department of Education (DepEd) to ensure that there is sufficient number of teachers in the City’s public educational institutions.

2. Holistic Health Care System

For the past two decades, the local government of Makati has prioritized healthcare delivery to its residents, anchored on disease prevention and surveillance, as well as treatment that is accessible for all residents.


Indigent residents can avail of subsidized hospitalization services through the Makati Health Program, popularly known as “Yellow Card” at the City Government-owned Ospital ng Makati and at the newly-opened Acute Care Center. Now called Makati Health Plus, the program has been expanded to include Philhealth insurance coverage to provide the residents access to health services not only in Makati, but in all PhilHealth-accredited hospitals and clinics all over the country. In addition, the City Government launched a city-wide immunization program which can be availed from the different health centers.

3. Peace and Order

The staunch support of the local government is a contributory factor in the improved peace and order situation in the City. The City Government not only provides new patrol vehicles, ammunitions, communication equipment, modern police and fire stations, but also provides additional allowances and capability enhancement program to all its personnel.

Moreover, the City Government is currently establishing the Command, Control, and Communications Center (C3). Patterned from USA’s 911, the Command Center will integrate all public safety, traffic and emergency services. Some 35 government vehicles used by the Makati Police, Fire, Rescue and the Department of Public Safety were provided with a Global Positioning System or GPS to enable the Command Center to trace the location of these vehicles in case of emergency. Close-circuit TV cameras linked to C3 will also be installed in major roads and intersections to monitor vehicular traffic. Likewise, the City provides state of the art facilities to the Makati-Philippine National Police (Makati-PNP). Operation of the Command Center will be the greatest innovation in maintaining peace and order in the country.

4. Affordable Housing

The City Government is the first, if not the only local government unit that has embarked on a rental housing program in an effort to provide decent and affordable housing to low- and middle-income families. The City has the four-storey Makati Homes I with 310 units and the five-storey Makati Homes II with 480 units. Rent ranges from 1,000 to P3,000 pesos a month. But given the limited land area available in Makati, the City Government has also undertaken efforts to relocate informal settlers to neighboring provinces of Metro Manila in partnership with the National Government.

5. Environment

Makati City Government has been implementing the three-pronged approach in environmental management – Urban Greening, Solid Waste Management, and Pollution Control. Programs and projects are implemented in partnership with the barangays, private sector, schools, socio-civic organizations, and the residents.

6. Transport and Traffic

One of the City’s strengths is its strong partnership with the private sector in terms of transport and traffic management in the Central Business District (CBD). Brought about by rapid urbanization, traffic congestion has become the primary problem in the CBD which is caused by huge number of vehicles that pass through the area everyday. Faced with such situation, the City Government saw the need to enter into a partnership with the private sector to alleviate to problem. Thus, the Makati Parking Authority or MAPA was created and its major concern is to exclusively manage the traffic and parking system in the CBD.

Main Development Challenges

1. Participation Rate in Schools

Despite the efforts of the City Government to provide free education, cohort survival rates are still lagging. The 2001 figures show that only 78.44% of the children who entered Grade 1 in S.Y. 2000-2001 made it to Grade 6. In the same manner, only 76.11% of those children who enrolled in 1st year high school reached 4th year. This implies that only about 3 out of 4 pupils finish elementary and secondary education in the city. The decline in the participation and completion rates of children is commonly attributed to poverty although other factors such as lack of interest of some children to go to school and some parents to send their children to school may also contribute to this situation.

2. Water supply and pollution

While majority of households have access to level 2 and 3 water supply (88.4%) and toilet facilities (97.7%), the City Government aims to expand these services to 100% of the population.

The main sources of water pollution in Makati continue to be the discharge of domestic sewage and industrial wastewater and indiscriminate dumping of garbage into the river systems and waterways.


3. Protection

The Central Business District (CBD) remains a strategic target for terrorists if their objective is to paralyze the City and the national government. Aside from providing the police with patrol vehicles, ammunitions, communication equipment and modern police stations, there is a need to meet the standard number of police enforcers serving the population. In the city, the police-population ratio of 1:1,000 is lower than the standard of two (2) policemen for every 1,000 population.

4. Disaster Management

The expanding population of the City due to in-migration is at risk when a devastating natural disaster occurs. It should be noted that a section of the Valley Fault System is located in the eastern part of the City that has the potential of generating widespread damage to life and property in the event of a strong earthquake. The City has very limited open spaces and it will make evacuation efforts very difficult. Park spaces only account to seven percent (7%) of the total land area. There is a need to improve the City Government’s disaster-response program. Some low-lying barangays are also vulnerable to flooding while the elevated barangays are prone to landslide.

5. Traffic

Mobility in the City is hampered by the traffic congestion attributed to the daytime population. Approximately 40% of the vehicles in Metro Manila pass through Makati; majority of which are private cars which is a transportation mode that does not efficiently maximize the use of road space.

COMPETITIVENESS

Makati has been known as the Financial Center of the Philippines, taking the place of Manila after World War 2. It attracts foreign and local investors because of its high quality of facilities and services. At the same time, it is the country’s social, cultural and commercial center, and always considered at the forefront of innovations in the delivery of urban basic services.

Makati is still the top choice location of investors not only because of its superior infrastructure facilities and services, but also because of its business friendly services. In 2005 alone, a total of 60,551 business establishments per activity have registered in Makati. Majority of these establishments are in retail and services.


Aside from being the haven of diverse business establishments, the presence of highly-developed telecommunication facilities has positioned the City as a primary choice for investments, particularly in the IT and BPO industry.

Also, the presence of established academic institutions, such as the Asian Institute of Management and various universities such as University of Makati, MAPUA, Ateneo Professional School, Assumption College, CEU, La Salle Graduate School, and Lyceum Law School provides an extensive resource of highly-skilled and education manpower, at the same time develops the city’s potential for becoming a Center for Academic Excellence.

At present, there is an emerging high growth of ICT industries in the City especially the Business Process Outsourcing (BPO) firms in the presence of contact centers and logistics offices. There is also a huge share of wholesale and retail trade which can be further enhanced to establish Makati not only as the country’s financial, commercial and shopping center but the ASEAN region as well.

Furthermore, the emerging global business in health, retirement, and care-giving services as well as the growing regional interest in education institutions in the country can be explored by the City Government taking into consideration the existing health and educational facilities within the City.


1. Globalization

While Makati has proven itself as a primary investment site in the Philippines, it also needs to look at how to maintain its competitiveness in the region. Furthermore, policies need to be set in place to balance urbanization and sustainable development.

2. Concentration of Economic Activities in the Central Business District

Makati’s economic activities have been mainly concentrated within the CBD and most of the City’s communities and residents have not participated in and benefited from these intensive and wide ranging economic activities. The high unemployment rate in the City illustrates the disconnection between the CBD and the other parts of the City. Workers from other cities and towns have benefited more from the City’s job market rather than its own residents. Even businesses



1. Being the financial center of the country, the City of Makati has sustained its revenue generation for the past 20 years. The City generated P7.4 Billion in 2005 which is 27 times more than what it earned in 1986 with only P274.1 Million. Including the income of the thirty-three (33) barangays, Makati City earned 7.74 billion pesos in 2005.

2. Computerization of major operations in the Finance Sector is one of the main factors for the sustained revenue generation of the City Government of Makati. The City has put tremendous investment in the computerization of real property tax, business tax, permits, and other services. This resulted to increased efficiency in collection and monitoring.

3. While most Local Government Units (LGUs) in the country depend on the Internal Revenue Allotment (IRA) from the national government for their revenue source, Makati is quite an exception. Since 1986, income from IRA accounted only about 6 to 8% of the City’s total income. This makes the City Government more than capable of generating revenues for its own programs and projects.


To respond to the challenging demand for globalization and local autonomy in addition to infrastructure and service provision; innovative revenue generation and resource mobilization schemes must be explored. Makati must broaden its financial horizon and redefine its financing strategies to ably respond to these challenges.

1 Improving revenue collections through the implementation of the Revised Makati Revenue Code and enhancing tax collection efficiency will support this challenging demand to provide better basic services to Makati.

2 The need to maximize utilization of the City’s financial resources through formulation of utilization plan, restructuring of loans, and institutionalizing a system on impact assessment for major city services, etc.

3 Tap other potential sources of funds such as inventory and sale of forfeited/unredeemed delinquent properties, conversion of idle properties or construction of other infrastructure to generate income and exploration of non-traditional sources (BOT or Joint venture).

located within the barangays or communities have not employed local residents in significant numbers. The few that are employed are in lower paying, manual and short-term contract jobs. The high unemployment level reflects a serious mismatching of skills of the City’s labor force and the required skills in the job market. Though the City provides subsidized secondary and collegiate education to residents, it seems that there is a continuing need to focus and redirect education programs to the needs of the job markets in the CBD and community businesses.

3. Urban Renewal

Lagging or depressed areas is also a major concern since this contributes to the overall picture of the City. Breakthroughs are being proposed to enhance the economic competency and activities of these areas by increasing their economic base as well as pushing for possible extension of business sites in the less affluent communities and barangays.

4. Energy-efficiency

This pertains basically to the need of buildings to adopt energy-efficient technologies in building design. Since many such buildings are home to most number of call centers that require massive consumption of energy, market-based solutions and technologies of the private corporations operating in the City should be encouraged.

BANKABILITY

Makati City is right alongside Quezon City and Manila as among the richest LGUs in the country. In 2005, the City Government posted an income of PhP7.4 billion, more than 75% of which was generated through local revenues, mainly through real property taxes, PhP3.257 billion (43%) and the issuance of city licenses and permits PhP2.378 billion (31%)

The amount of loans of Makati for the past five (5) years totaled to 3.488 billion pesos, with an outstanding balance of 1.9 billion as of July 31, 2006. The debt service ratio of Makati is 12.36% of the annual regular income.

City assets total to around 20 billion pesos broken down into: 10.9 billion for buildings, 2.7 billion for equipment, 876 million pesos for land, and 5.5 billion for other assets such as cash, receivables, pre-paid assets, investments, etc.

For the past three (3) years, the ratio of savings to expenditure is 16%.


GOOD GOVERNANCE

The local government of Makati has always upheld the policy of participatory governance and the principle of involving the stakeholders comprised of the business sector, National Government Agencies (NGAs), Non-Governmental Organizations (NGOs), and People’s Organizations (POs), academe, and the barangays in determining the city’s future development directions. The City Government believes that Makati’s vision can only be achieved if there is a strong, proactive, and committed partnership among all the sectors of the City.

Over the years, the City Government’s network of partners has steadily increased. These partnerships have resulted to meaningful programs and projects that have reached more target sectors and communities. There are partnerships and special bodies created for specific concerns such as business promotion, health, environment, public safety, among others.

It has also been the policy of the City Government to promote transparency in governance. A variety of communication channels are used not only to interact with the public to know their concerns but to inform them of the activities of the City Government that have been made available to the public. These include the publication of newsletters and annual reports, radio program, Mayor’s Day, Helplines, as well as maintenance of the City’s website. The Local Chief Executive also conducts regular meetings with the departments/offices of the City Government and dialogues with the people in the barangays to get first hand information on the concerns of Makati constituents.

Another aspect of governance is the effective and efficient delivery of public services. To ensure this, major operations of the City Government such as real property appraisal, tax monitoring, zoning, business licensing, and other services have been computerized. These computerization projects have resulted to increased revenue collection and reduced transaction time of service delivery.


1. Strong Multi-Sectoral Participation

Since 1988, the City has been conducting an annual Program Review and Planning Workshop (PRPW) wherein the City Government, Barangays, and the Sangguniang Kabataan with the active participation of the private sector and civil societies review and assess organizational performance and provide further direction for the City to take for the coming years.

Being the center of business and finance in the Philippines, the largest group of stakeholders in Makati is the business sector. In relation to this, a Council composed of the officials from the City Government and the business sector has been established to open the lines of communication for the furtherance of shared objectives and common interests for the progress of businesses in Makati. The Makati Business Development Council (MBDC), which is composed of business leaders and officials of local and foreign chambers of commerce was created, and regularly meets once a month. It serves as the listening post and advisory group to help shape the policies and directions of the City Government.

The City of Makati, likewise, engages in Sister-City relationships with both local and foreign towns and cities to boost its links with relevant entities. At present, Makati has already forged twinning/sister-city relations with 17 foreign and 62 local cities/municipalities.

2. Transparency

The regular conduct of “Ugnayan sa Barangay” or dialogues with barangay officials and constituents have provided a venue for open discussion of problems facing every barangay. The City also has a variety of communication channels such as the regular publication of the Makati Mirror, Makati Today, Annual Report, etc. The Radyo Makati which is aired every Sunday from 7:30 to 9:00 A.M. on DWIZ provides another venue where the people can address their various concerns.

The City Government also recognizes that bringing the government closer to the people is an effective means of showing transparency in governance. A Mayor’s Day is held every Tuesday from 10:00 am to 12:00 noon to give the constituents the opportunity to bring to the Mayor’s attention their needs, concerns, and suggestions. Makati also has the Makati Helplines, a 24-hour hotline for fast action on complaints, queries, requests, and assistance.

3. Efficiency of Service Delivery

As early 1995, the City Government of Makati has continuously pursued its computer-based system of delivering public services to make them more efficient, transparent, and accessible to its constituents. A Geographic Information System (GIS) has been developed that provides spatial data for real property appraisal and tax monitoring, business taxes, zoning and urban development, peace and order, emergency response and maintenance of facilities.

For the convenience of taxpayers, Makati City implemented the Computerized Tax Payment in thirteen (13) barangays wherein


residents and business owners can pay their taxes electronically through the Makati Wide Area Network. Normal transactions that usually take 30 to 60 minutes could be completed in just 2 to 5 minutes in their respective barangay halls.

Barangay Computer Centers (BCCs) have also been established which provide free computer training and free use of the facilities to barangay residents.

A local area network (LAN) interconnects almost all the City Government’s departments/offices with unlimited internet access, and e-mail facilities. The City Government of Makati also maintains its own website (www.makati.gov.ph) which offers online services such as downloadable application forms for business permit, individual mayor’s permit, locational clearance, and on-line application for Senior Citizens Privilege Cards.

4. Fiscal Autonomy

One of the strengths of the City Government of Makati in terms of governance is that it has achieved a certain degree of fiscal autonomy which is not being enjoyed by most of the local government units in the Philippines. In 2005 alone, 93% of the city’s revenue came from local taxes and fees while only 7% came from the Internal Revenue Allotment or IRA. Being a local government unit which is not solely reliant on the IRA provided by the National Government, Makati was able to finance its own operation and the timely provision of basic services to its constituents.

5. Homogenous Political Structure

Another characteristic of governance in Makati which is viewed as strength is that it has a homogenous political structure. Almost all of the elective officials of the City Government from 2004 to 2007 belong to one political party, PDP Laban. Only one (1) councilor is independent and is not affiliated with any political party. This homogeneity of the political structure of Makati implies that there is no conflict in terms of the policy directions where the City Government is heading as the legislative office of the local government is supportive of the local chief executive. In this manner, plans and projects that require the resolution of the City Council are implemented in a timely and orderly way.


Despite the comprehensive social development program that the City Government of Makati has been providing to its constituents, one issue

that arises is that these programs have attracted low-income migrants into the City and prompted the increase of the demand for social services. This may cause strain on the City’s budget and human resources which later on could limit the capacity of the City Government to undertake additional development programs in the future.

VISION AND CITY BRAND

For many years, Makati has been known as the “Financial Center of the Philippines.”

The new vision for Makati which was formulated in 2002 states:

“Makati shall lead the Philippines into the 21st century: its global and national enterprises, leading the creation of a new, responsible and sustainable economy; its citizens, productive, empowered and God-loving.”

In order to achieve the vision for Makati, the mission is:

“The Makati City Government will be the model for world-class local governance: providing for the well-being of its citizenry through delivery of the highest level of basic, social, and economic services with breakthrough technologies, sustainable financing, and competent, responsible, and professional civil servants.”

For the 21st century, the City Government aims to position Makati as a livable city with capability to deliver enhanced services to the constituents. It also aims to provide a balanced growth which ensures the economic, social, and physical well-being of the communities and all the individuals within them.

Strategies

1. Improvement of Infrastructure, Facilities, and Urban Management

Infrastructure development will consist of upgrading of road infrastructure and expansion of capacity in highly congested areas; establishment of gateway parking facilities; and upgrading of drainage and flood control facilities. Improving of urban management will focus on improving traffic management, maintenance of clear surroundings and high environmental quality; and improvement of peace and order situation.


2. Business Retention, Promotion, and Expansion

The City needs to strengthen its competitiveness and remain as the country’s economic hub. This can be achieved by: improving the regulatory and governance framework to create the necessary climate conducive to business expansion and retention. To be competitive in the global economy, Makati will promote and support high growth industries particularly in Science and Technology, ICT, health and medical services.

3. Enhancement of Social Development

This includes the following: (1) Upgrading of all levels of the education system to improve capacity of students/graduates for participation in the workforce demand of the business community; (2) enhancement of health programs to emphasize preventive health care and promotion of healthy lifestyle; and (3) provision of affordable housing in the less developed and low-income areas.

4. Expansion of Financial Resources

To ensure the City’s fiscal sustainability and autonomy that will respond to the challenging demands for infrastructure and service provision, another strategy is the expansion of the City’s financial resources. This will require the formulation and use of innovative financing schemes to enable the City Government to generate additional resources.

Priority Programs

Subject to validation by different stakeholders of Makati, the priority programs and projects are as follows:

1. Makati Urban Transport Integration Project

2. Housing Development Program

3 Development of Satellite Business Districts (Integrated Area Development)

4. Development of Community Commercial Zones in the Barangays

5. Urban Redevelopment Projects (Strip Development)

6. Makati Heritage Zone Project

Members:Mr. Danilo V. Villas, Head, Department of Environmental Services

Mr. Hermenegildo C. San Miguel, Head, Public Safety Department

Ms. Priscilla M. Ferolino, Head, Education Department

Dr. Lourdes B. Salud, Head, Health Department

13. Mr. Jimmy Bacamante, Head, Economic Enterprises and Management Office

14. Ms. Vissia Marie P. Aldon, Human Resources and Development Officer

15. Atty. Rodel R. Nayve, City Secretary

16. Atty. Rogelio U. Marasigan, City Consultant

17. Coun. Ernesto A. Aspillaga, Chairman, Committee on Urban Development

18. Coun. Romulo V. Peña, President, Liga ng mga Barangay

19. Ms. Constancia Lichauco, Director, Liga ng mga Barangay Affairs

Support Group:

1. Mr. Anthony Xenon P. Walde, Urban Development Department

2. Ms. Anna Rose Caro, Urban Development Department

3. Mr. Ryan Barcelo, Makati Social Welfare Department

4. Ms. Paz Andrea Guintu, Miscellaneous Division, Finance Department

5. Ms. Aileen Soriano, Budget Department

6. Ms. Rheelyn Silan, Accounting Department

7. Ms. Kathleen Almonte, Department of Environmental Services

8. Mr. James Noel J. Rojo, Office of the Mayor

9. Ms. Liza Velle B. Ramos, Office of the Mayor

We would also like to acknowledge the following people who had been members of the Makati CDS Team:

1. Mr. Nicanor V. Santiago Jr., Former City Administrator

2. Mr. Roberto E. Chang, Former City Budget Officer

3. Mr. Jerry Oliman, Former Head, Economic Enterprises and Management Office

4. Coun. Rodolfo F. Sese, Former President, Liga ng mga Barangay

5. Ms. Cherry Joyce M. Peñano, Former Staff, Office of the Mayor

20 | City of Makati

CDS2 Project Office- League of Cities of the PhilippinesUnit 1209 City Land 10, Tower 2, Valero cor. Dela Costa Sts.

Salcedo Village, Makati City 1200, Philippines

Tel. No.: (632) 892-6892 • Fax No.: (632) 892-6681Email: [email protected] • URL: http://www.cdsea.org

CDS Project Office - League of Cities of the Philippines 1278 Estrada St., Malate, Manila, Philippines

Telephone: (632) 536-4728 521-6461

Fax: (632) 521-6461 local 102 E-mail: [email protected]

URL: http://www.cdsea.org

City Development Strategy Report for Makati City 9 Mar … · City Development Strategy Report for...

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