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Marcos extends full LGU devolution until 2028
President Ferdinand "Bongbong" Marcos Jr. has extended the transition period for the full devolution of executive branch functions to local government units (LGUs) until 2028, amending Executive Order (EO) No. 138 from 2021.
Issued through EO 103, the extension aims to provide LGUs more time to enhance their capacities for delivering devolved services, acknowledging their varying capabilities and circumstances.
Under the new EO, provinces and municipalities will shift to full devolution by 2028, while cities will fully implement devolved functions and services by 2027.
This move supersedes the original timeline set by EO 138, which mandated full devolution by the end of fiscal year 2024.
The original EO 138 was enacted to support the implementation of the Supreme Court's Mandanas-Garcia ruling, which broadened LGUs' tax shares from national taxes.
The Supreme Court ruling stated that all collections of national taxes, except for special purpose funds and those for the development of national wealth, should be included in the computation of LGUs' just share.
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