BACKGROUND
 
Mindanao is saddled with huge challenges of poverty, economic underdevelopment, poor infrastructure, conflict and security. Seven of 10 poorest provinces in the Philippines are in Mindanao. Limited budget resources, ill-equipped staff, and lack of tools in governance reform impede the ability of Mindanao local governments in positively responding to these challenges.
 
Since the passage of the Local Government Code in 1991, USAID/Philippines has been supporting decentralization and local governance in the Philippines. Under the Transparent and Accountable Governance (TAG) Projects Phases 1 and 2 from 2002 to 2007, USAID provided support to The Asia Foundation (TAF) in improving business licensing and real property tax administration in select cities and municipalities in Mindanao. In October 2007, USAID/Philippines launched TAG3 to deepen technical assistance in 9 cities and 30 conflict-prone municipalities in Mindanao.
 
PURPOSE
 
Through TAG3, USAID and TAF provide a menu of technical support to Mindanao LGUs to enable them to improve local government administration, professionalize local government staff, overhaul the management of public enterprises, improve delivery of public services and ultimately, become more transparent and accountable. Technical assistance includes policy advisory, education and training, innovations, and sharing of best practices among TAG3 local government recipients.
 
ACTIVITIES
 
Assistance to 9 Mindanao cities:

  • Reforming economic policies to enhance investment climate and competitiveness – amendments to investment code, improvements to water tariff system
  • Improving human resource management – re-engineering of offices, revision of job descriptions, installation of merit-based recruitment and promotion system, staff training
  • Improving management of city services and enterprises, such as public markets, bus terminals and public hospitals
  • Upgrading of real property tax system – drafting of digitized maps, clearance process enhancements, tax delinquency assessment, tax collection reforms

 
Assistance to 30 conflict-prone municipalities in Mindanao:

  • Streamlining of business permitting and licensing services – review of clearance lines, reduction of transaction costs
  • Improving management of municipal economic enterprises, such as public markets, slaughterhouses, public hospitals
  • Improving human resource management – training needs assessment, feedback survey of local government employees, drafting of human resource plan
  • Enhancing real property tax administration – review of zoning policies and tax collection system
  • Promoting barangay planning and budgeting – training of local government staff