WHEREAS, there is a need to strengthen the mechanism for coordinating the efforts of national and local government officials and non-governmental organizations to accelerate economic and social growth and development at the regional and local levels;

WHEREAS, there is a need for greater participation from the private sector and non-governmental organizations in the development planning process;

NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, by virtue of the powers vested in me by law, do hereby order the following:

SECTION 1. Reorganization and Strengthening of the Local Development Councils. - The Provincial Development Councils, City Development Councils, Municipal Development Councils and Barangay Development Councils are hereby reorganized and strengthened. The Councils shall assist local legislative bodies in setting the direction of economic and social development and coordinating development efforts in their respective territorial jurisdictions.

1.1	Composition of the Local Development Councils.
1.1.1	Barangay Development Council. - The Barangay Development Council shall be headed by the Barangay Captain and shall be composed of the following members:

1.1	Composition of the Local Development Councils.
1.1.1	Barangay Development Council. - The Barangay Development Council shall be headed by the Barangay Captain and shall be composed of the following members:
	(i)	The Sangguniang Barangay;
	(ii)	The Department of Local Governments officer assigned to the municipality;
	(iii)	Representatives of government agencies working or assigned in the barangay and
	(iv)	Representatives of the private sector and non-governmental organizations operating in the barangay.
1.1.2	City Development Council and Municipal Development Council. - The City and Municipal Development Council shall be headed by the Mayor and shall be composed of the following members:
	(i)	The Barangay Captains;
	(ii)	The Chairman of the Appropriations Committee of the Sangguniang Committee of the Sangguniang Panglungsod/Bayan;
	(iii)	Heads of offices in the City or municipality of departments and agencies represented in the Cabinet: Provided, that each Department or Agency shall be represented by only one head of office;
	(iv)	Representatives of the private sector and non-governmental organizations who shall not be more than one-fourth of the members of the fully constituted council and who shall be confirmed by the ex-officio members of the Municipal Development Council in accordance with the Rules and Regulations to the Rules and Regulations to be prescribed under Section 9 of this Executive Order.

SEC. 2. Executive Committee. - The local development councils may, by council, resolution, create an Executive Committee, and define its membership, functions and responsibilities.

SEC. 3. Sectoral or Functional Committees. - The local development councils may organize sectoral or functional committees in accordance with the rules and regulations to be prescribed under Section 9 of this Executive Order.

SEC. 4. Secretariat. - There shall be constituted for each Council a Secretariat which shall be responsible for providing technical support, and documentation of proceedings and reports.

4.1	The Barangay Development Council Secretariat shall be headed by the Barangay Secretary who shall be assisted by the Department of Local Government officer assigned to the barangay.
4.2	The Municipal, City, and Provincial Development Council Secretaries shall be headed by the Municipal, City and Provincial Planning and Development Coordinators, respectively.
4.3	The local development councils shall determine the membership of their respective secretariats.
4.4	The offices of the various agencies of the government shall, upon request of the local development council secretariats, provide such technical support as may be required in the discharge of their functions. The local development council may avail of the services of any non-governmental organization, or educational and research institutions.

SEC. 5. Functions of the Local Development Council. - The Provincial Development Council, City Development Council, and Municipal Development Council, and Municipal Development Council shall have the following functions:

(i)	Formulate long-term, medium term, and annual socio-economic development plan and policies;
(ii)	Formulate the medium-term and annual public investment programs;
(iii)	Appraise and prioritize the socio-economic development programs and projects;
(iv)	Formulate local investment incentives to promote the inflow and direction of private investment capital;
(v)	Coordinate, monitor and evaluate programs and project; and
(vi)	Perform such other functions as may be provided for by law or component authority.

The Barangay Development Council shall have the following functions:

(i)	Mobilize citizens ™ participation in local development efforts;
(ii)	Identify programs and projects, based on local requirements;
(iii)	Monitor and evaluate program and project implementation; and
(iv)	Perform such other functions as may be provided for by law or competent authority.

SEC. 6. Relation to local legislative bodies and the Regional Development Council.

6.1 Sangguniang Barangay

The Sangguniang Barangay shall approve the policies, programs and projects proposed by the Barangay Development Council, prior to submission to the City or Municipal Development Council for integration into the Municipal or City Development Plan.

6.2 Sangguniang Panglungsod and Sangguniang Bayan

Sangguniang Panglungsod and Sangguniang Bayan shall approve the policies, program and projects proposed by the City or Municipal Development Councils, prior to submission to the Provincial Development Council for integration into the Provincial Plan.

6.3 Sangguniang Panlalawigan

The Sangguniang Panlalawigan shall approve the policies, programs and projects proposed by the Provincial Development Council, prior to the submission to the Regional Development Council.

6.4 Regional Development Council

The Regional Development Council shall integrate into the Regional Development Plan the policies, programs and projects approved by the Sangguniang Panlalawigan and the Sangguniang Panglungsod of chartered cities, prior to submission to the National Economic and Development Authority Board, in accordance with Executive Order No. 308.

SEC. 7. Budget Information. - The Department of Budget and Management shall furnish the Councils information on financial resources applicable to their respective jurisdictions to guide then in their planning functions.

SEC. 8. Planning and Budgeting Measures. - In accordance with Section 7 of Executive Order No. 308, the Development Budget Coordination Committee of the NEDA Board, in coordination with the Department of Local Governments, shall modify the process of budget preparation and issue guidelines that would provide greater autonomy to the Councils in its programs and projects consistent with regional, provincial, municipal and barangay development plans, and with national priorities.

SEC. 9. Implementing Authority. - The NEDA Board, in coordination with the Department of Local Governments, the President of the Provincial Governors and City Mayors League, and the President of the Municipal Mayors League, is hereby authorized to promulgate the necessary rules and regulations to implement this Executive Order.

SEC. 10. Repealing Clause. - All orders, rules and regulations and other issuances or parts thereof, which are inconsistent with this Order are hereby repealed or modified accordingly.

SEC. 11. Effectivity. - This Executive Order shall take effect immediately.

DONE in the City of Manila, Philippines, this 4th day of March, in the year of Our Lord. Nineteen hundred and eighty-eight.


By the President:

CATALINO MACARAIG, JR.
Executive Secretary