THE Marcos administration has earmarked over P1-trillion National Tax Allotment (NTX) for local government units (LGUs) under the 2026 General Appropriations Act (GAA).
In a press conference, Acting Department of Budget and Management Secretary Rolando Toledo said the NTX is on top of over P31.7 billion special shares from the National Government and P1.41 billion from fire code fees.
He said LGUs will also receive P57.87 billion in Local Government Support Fund for 2026, which is more than double last year’s allocation.
The Local Government Support Fund is vital to strengthen basic services and support far-flung localities, especially low-income or resource-constrained LGUs.
In terms of disaster response and rehabilitation, Toledo said a P15.33 billion out of the P39.82 billion in National Disaster Risk and Reduction Management Fund (NDRRMF) for 2026 will go directly to LGUs’ rehabilitation and construction works.
The DBM chief said P10.685 billion was allotted for the quick reaction fund (QRF), adding the emergency fund could be replenished once the LGUs have spent 50 percent of their QRFs.
Toledo said the increase in the allocation for LGUs is in recognition of its role in attaining development by bringing public services close to the people and by empowering LGUs.
“Ang paniniwala ng administrasyon ay simple at direkta -- kung local ang problema, sa lokal na pamahalaan din dapat manggaling ang diskarte o desisyon,” he said.
(The administration’s belief is simple and straightforward — if the problem is local, the strategy or decision should also come from the local government.)
“Kaya sa 2026, hindi lamang natin dinagdagan ang pondo ng mga LGU, binago natin ang mismong paraan ng paglalagay ng pondo sa budget. Mas malinaw ang papel ng lokal na pamahalaan, mas buo ang kanilang kapangyarihan at mas malinaw ang pananagutan,” Toledo added.
(So in 2026, we not only increased the funding for LGUs, we also changed the very way the budget is allocated. The role of local government is clearer, their powers are stronger, and their accountability is more defined.) (TPM/SunStar Philippines)