Pre and Post Mandanas-Garcia Ruling Implementation: An Analysis of Revenue Generation in the Local Government Unit of Bislig

Public Administration

This study examines the revenue generation status of LGU-Bislig before and after the implementation of the Mandanas-Garcia Ruling, a landmark fiscal reform that expanded the share of local government units (LGUs) in national tax revenues. Using a quantitative approach, the research assessed key revenue indicators including Internal Revenue Allotment (IRA), local tax collection efficiency, non-tax revenue utilization, and Public-Private Partnerships (PPP). Survey data from the City Treasurer’s Office and barangay treasurers, alongside financial records, revealed that prior to the ruling, Bislig City was highly dependent on IRA with minimal PPP activity. Post-implementation, findings showed improvements in tax revenues and utilization of the Full Devolution Fund; however, PPP initiatives remained weak. Statistical analysis indicated significant relationships in revenue generation components before and after the ruling, except between IRA and non-tax revenue expansion. The study highlights that while the ruling improved fiscal capacity, it did not fully address structural issues in local revenue generation. Thus, the research contributes to the discourse on fiscal decentralization by offering localized insights and stressing the need for LGUs to develop more robust, diversified, and sustainable revenue systems. It also recommends institutional reforms to improve PPP facilitation and reduce long-term dependence on national transfers.

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