Republic Act No. 11683

Section 450 of the Republic Act No. 7160, otherwise known as the Local

Government Code of 1991, as amended by Republic Act No. 9009, is hereby further

amended to read as follows:

• Section 450  Requisites for Creation.
  • a

    A municipality or a cluster of barangays may be converted into a component city

    if it has a locally generated average annual income, as certified by the Department

    of Finance, of at least One hundred million pesos (P100,000,000.00) for the last

    two (2) consecutive years based on 2000 constant prices, and if it has either

    of the following requisites:

    • i

      a contiguous territory of at least territory of at least one hundred (100) square kilometers, as certified by the Land Management Bureau; or

    • ii

      a population of not less than one hundred fifty thousand (150,000)

      inhabitants, as certified by the Philippine Statistics Authority (PSA).

    • Provided, That the creation thereof shall not reduce the land area, population and

      income of the original unit or units at the time of said creation to less than

      the minimum requirements prescribed herein.

    • A municipality or a cluster of barangays

      with a locally generated average annual income, as certified by the Department

      of Finance, of at least Four hundred million pesos (P400,000,000.00) for the last

      two (2) consecutive years based on 2012 constant prices may also be converted

      into a component city if it has either a population of not less than one by the

      PSA or a contiguous territory of at least one hundred (100) square kilometers,

      as certified by the Land Management Bureau; Provided, That three (3)

      years after the effectivity of this Act and every three (3) years thereafter,

      the threshold amount of Four hundred million pesos (P400,000,000.00) shall be

      increased by five percent (5%).

  • b

    The territorial jurisdiction of a newly-created

    city shall be properly identified by metes and bounds. The requirement on land

    area shall not apply where the city proposed to be created is composed of one

    (1) or more islands. The territory need not be contiguous if it comprises two

    (2) or more islands.

  • c

    The average annual income shall include the income accruing

    to the general fund, exclusive of specific funds, transfers, and non-recurring

    income.

  • d

    In order to minimize the effect of conversion, the newly converted

    cities shall, upon enactment of this Act, bring their respective allotment derived

    from the national taxes as municipalities to the allotment of cities: Provided, That said portability shall be effective for a period of three (3) years

    from conversion into cityhood.

The Department of the Interior and Local Government, the Department of

Finance, and the Department of Budget and Management shall promulgate and issue

the implementing rules and regulations within ninety (90) days from the effectivity

of this Act.

If any provision of this Act shall be declared invalid or unconstitutional, the remaining part or provisions not otherwise affected shall remain in force.

Any law, decree, ordinance, or administrative circulars not consistent with any provision of this Act is hereby amended, repealed or modified accordingly.

This Act shall take effect fifteen (15) days after its complete publication

in the Official Gazette (15) days after its complete publication in the Official Gazette or in at least two (2) newspapers of general circulation.'