L O C AT I O N M AP

City of Calapan

Oriental Mindoro

Occidental Mindoro

Manila
Luzon

City of Calapan

Cebu
Visayas

Davao

Mindanao

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City Development Strategy Report

Introduction
Calapan was converted into a city on March 21, 1998 by virtue of Republic Act 8475,
which was ratified by the town's residents in a plebiscite on the same day.

As urbanization started to occur in the 1980s and early 1990s, commerce boomed in the
city. This growth provided the city an opportunity to propel itself upwards, making it the
premier locality in the entire Mindoro province. Today, the city remains to be the major
supplier of rice to its neighbors in the Southern Tagalog region and asserts itself as the
gateway to the newly created region of MIMAROPA.

However, as Calapan benefits from the vibrant economic activities in the city, it is also
saddled with the complexities associated with urbanization. Overcoming these development
problems is a challenge for which Calapan gears itself.

Overall Local Development Vision And Strategy

"City of Calapan 2010: The agro-industrial center and the Progressive Gateway
to Southern Philippines"

Calapan envisions to retain its role as the rice granary and food basket of Southern Luzon
into the next decade, hence the realization of this vision in 2010. Recognizing, however,
that agriculture provides limited economic base and employment opportunities for a
rapidly expanding urban population, the City also plans to develop agri-based industries
to boost income and livelihood opportunities for its residents. These are mostly light
processing value-added agro-industries that would generate employment and would not
harm the environment at the same time.

With the creation of the MIMAROPA region, and the Advent and Institutional Lization
of the strong Republic Nautical Highway, Calapan is eyeing to become a progressive
gateway to the Southern Philippines area. Its accessibility and proximity to Metro Manila
and the CALABARZON provinces makes the City the ideal regional administrative capital
of the MIMAROPA region.

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In support of this vision, the City will focus on the following:

Economic. The City will focus on rice production and agro-based value-added industries to
promote employment and income opportunities for residents and to alleviate poverty in the city.

Social. Economic gains arising from sustained agro-industrial and commercial activities
are expected to improve the standard of living for the people and sustain the delivery of
basic services, especially health care, education and housing.

Environment. There is a need to balance progress and the City's natural environment
through the promotion of sustainable agricultural development and protection of the City's
inland and coastal waters and environmental conservation areas. A more efficient solid waste
management system will be put in place and the development of a sanitary landfill site will
be implemented. The City's natural environment will be nurtured as eco-tourism areas.

Cultural. Notwithstanding the advance in material progress and urbanization, the City's
cultural heritage and tradition will be preserved and nurtured for generations to come. A
deeper understanding of the City's history will be fostered among the residents.

Governance. Effective, efficient and participatory governance will be promoted. The

participation of stakeholders in the development process will be institutionalized. Younger
and more dynamic leaders will be encouraged to serve and participate in local governance.
The stakeholders would be made to realize that economic growth and development, as well
as the formulation of more responsive anti-poverty programs, are possible only through
improved urban governance.

The City has also identified the following strategies:

Promote sustainable agricultural development and food production;

• Encourage investments in value-added agro-industrial activities;
• Improve the City's support infrastructure;
• Expand provision of basic social services to the people to improve
their quality of life.
• Develop commercial and industrial growth centers outside the present Central
Business District;
• Integrate environmental management and conservation;
• Improve urban governance and the administrative machinery of the city through
capability building interventions, stakeholders' participation in local governance
and adoption of appropriate local polices and ordinances;
• Preserve and enhance the City's cultural heritage; and

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• Develop and enhance capacities on more efficient fiscal administration, including

resource mobilization and strategic spending.

Economic Development
As provinces near Manila transform themselves into industrial cities, the focus of food
production shifts to MIMAROPA. Because of its proximity and accessibility to Metro
Manila and the CALABARZON provinces, the City has the best opportunity to become
the major agricultural supplier in the region. This role is further enhanced by the presence
of relatively good farm to market roads, irrigation facilities, rice mills and other support
facilities in the City. The City's vast and fertile plain lands are ideal for agricultural
production. The existence of an expanded port in the City also facilitates the transport of
agricultural products to the CALABARZON region and Metro Manila.

The City's economy is thriving because of trade, commerce and industry. The boom in
business may be ascribed to the sensitive response of the City Government to enhance
public utilities and maintain the needed economic infrastructure.

Since the City is endowed with natural scenic attractions, eco-tourism destinations are also
being eyed by the City Environment and Natural Resources Department and the City Trade
and Investment Department. Apart from untapped natural wonders, first class beach resorts
with complete amenities that cater to the needs of local and foreign tourists have already
sprouted along the coastal barangays.

DEVELOPMENT CHALLENGES
Unstable power supply. There is a need to ensure adequate source of power to
support the growing commercial enterprises in the City. At present, power supply is
principally sourced from the power barge owned by the National Power Corporation
(NAPOCOR). Because of mechanical and transmission problems, brownouts often occur
which affect business activities in the City.

Need to promote agricultural growth as a means of combating rural

poverty. The productivity of this sector must be enhanced in order to improve farmers'
income and generate livelihood opportunities in the rural areas. Included in agriculture is
the fishery sub-sector that also caters to a considerable number of the City's population.

Limited supply of potable water. The City's existing water supply system reveals
traces of saltwater intrusion. In order to support economic activities, there is a need to
upgrade the water supply network.

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IDENTIFIED STRATEGIES
Promote sustainable agricultural development and food production
to strengthen the city's role as the rice granary in South Luzon and reduce poverty among
farmers and fisherfolks.

Encourage investments in value-added agro-industrial activities.

The city will promote the establishment of industries engaged in the processing of agricultural
and aquacultural products to generate more employment and livelihood opportunities for
the residents of the city. An aggressive economic promotion campaign and marketing
linkages will be undertaken to attract investments in this area.

Develop commercial and industrial growth centers outside the present

Central Business District. In order to increase economic activities, commerce, trade and
production must be encouraged in areas outside the present city central business district,
particularly in the places designated in the new Comprehensive Land Use Plan as urban
expansion areas. This will increase business activities in the city resulting in more employment
for the people and greater revenues for the city.

Promotion of tourism industry. The promotion and development of tourism

attractions in the City will complement the local economic development activities.

Promotion of clean, safe and orderly community.

PRIORITY INVESTMENTS
Agriculture support programs., such as: a) Rehabilitation and expansion of
irrigated areas; b) Livelihood Assistance and Credit Assistance Program to Farmers and
Fisherfolks; c) establishment of Agricultural Whole Trade Center; d) Farm Mechanization
Assistance Program for Cooperatives; e) construction of Farm-to-Market roads; f) Capability
Building Program for Farmers' and Fishermen's Cooperatives

Investment Promotion Programs is being developed. The program is still limited

in participation in trade fairs, production of promotional materials using tri-media, and
business consultancy services. A package of promotional activities is still being evaluated.

Other priority targets: a) Social Infrastructure Program for Agrarian Reform

Beneficiaries; b) Creation of Credit Fund for Cooperatives / Associations; c) Establishment
of Fish Trading and Cold Storage Facilities; d) Expansion of City Level Grains Center; e)
Livestock Production and Protection Program; f) Tourism Investment Incentives Code; g)
Productivity and Quality Information Drive; h) Marine/Inland Fishery Development; i)
Trade Promotion Center; j) Enterprise Development Program; k) Conduct of Agro-Industrial

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Fairs; l) Formation of Trade and Industry Sectoral Associations; and m) Establishment of

Market/Slaughterhouse Complex.

Social Development
A myriad of issues and problems related to urbanization currently beset the City: urban
poverty, limited income and employment opportunities, environmental degradation, urban
blight and the proliferation of slums or ghettos, and the disintegration of the moral fiber
in the society caused by urban poverty. These are enormous challenges facing city managers
and urban planners today that must be addressed to make the city more livable and
sustainable.

DEVELOPMENT CHALLENGES
Poverty.Using the poverty threshold of P15,306.67 set for Southern Tagalog, at least
30.15% of the total households in Calapan live below the poverty line. Among the
disadvantaged sectors are the informal settlers, government employees, farmers and
fisherfolks, and laborers, among others.

Need to expand delivery of social services, particularly in health care in

order to alleviate urban poverty. While the City has already achieved significant improvement
in the delivery of health services, there is a need to sustain these health care programs in
order to cope with an expanding population. Medical services and facilities remain
inadequate. The City Government has only 33 medical staff to attend to the health and
medical needs of the residents. To date, no major medical center or tertiary hospital is
located in the City.

Need to expand the educational system in the City and to ensure that a
greater number of children and youth have access to primary and tertiary education. The
City has a high literacy rate of 98%. The challenge facing the City is to fully equip its
public elementary and high schools with the necessary facilities such as adequate classrooms,
laboratories, libraries and other equipment including computers. There is a need to maintain
the physical facilities of the public schools and to ensure sufficient textbooks and instructional
materials for the use of schoolchildren. There is also a need to continuously train teachers
from both public and private schools so that they can be properly equipped in assisting
children to acquire knowledge and learning in the classroom.

Need to ensure access to higher education.There is also a need to ensure

access to higher education for the youth of the city. College education in the Philippines
is quite prohibitive and beyond the reach of those in the low-income bracket. Many drop-

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out cases in the city is caused by lack of financial capability on the part of the parents to
support the tertiary education of their children.

Poor and inadequate potable water supply. As in other urban centers, the
City is being confronted with the problem of how to provide sufficient water supply for
its population. At present, the City is experiencing a shortage of potable water supply.
There is a need to tap and develop new sources of water supply for the City's expanding
population as the present sources have been contaminated by saltwater intrusion. The
replacement and rehabilitation of existing waterlines must also be undertaken to ensure a
more efficient distribution system of water supply. This issue must be resolved since access
to clean and potable water is one of the indicators in measuring human development and
in gauging a City's livability.

IDENTIFIED STRATEGIES
Broaden the provision of basic social services particularly for the
poor in order to improve their quality of life. The city's good economic
performance will be coupled with an expanded delivery of basic social services. This means
that the menu of public goods that will be provided to the public, particularly to the
marginalized shall be broadened, to include among others more social welfare and reproductive
health interventions.

Preserve and enhance the City's cultural heritage. Traditions, practices,

festivals and other observances of the people of the city expressing their cultural roots will
be preserved and commemorated on proper occasions. A museum serving as repository
of the city's history and traditions will be set up.

Adoption of successful approaches to poverty alleviation. The

experience of the City in confronting urban poverty provided at least two critical insights:
a) substantial investments must be made for well-targeted social development programs,
particularly in health care, social welfare, education and housing that will enable the poor
to meet their minimum basic needs and improve their standard of living; and b) involvement
of peoples' organizations or associations in service delivery and in the implementation of
anti-poverty programs helped in a more focused targeting of the programs.

PRIORITY INVESTMENTS
Rehabilitation of waterworks system will provide the City's residents with
a safe, accessible and regular supply of potable water.

Community based health program and Advocacy campaigns on proper health

practices among poor families in order to equip them with knowledge and skills insafeguarding
their own health. This is anchored on the idea of "putting health in the hands of the people."

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The City Health and Sanitation Department is a certified Sentrong Sigla of the Department
of Health (DOH), which aims to ensure the delivery of quality health care. Hence, the public
is assured that basic necessities and requirements of the DOH are present in the two (2)
health centers of the City.

Establishment of city hospital/medical center will make healthcare and

health services more accessible and readily available to the City's residents.

Establishment of a technical school. This project will address the problem of

providing the City's young adults with access to affordable higher education. It will also
be support by the City's College Scholarship Program to increased the educational attainment
of poor but talented young men and women.

Micro finance project will provide seed capital assistance to organizations of youth,
women and the senior citizens to enable them to start a small enterprise. The beneficiaries
will use the seed money to finance livelihood projects such as a small village store, a
dressmaking shop, a motor repair shop, a poultry farm, a piggery or a fishpond.

The following investments are reflected in the City Investment Plan, however, due to funding
constraints, implementation of the following programs and projects may only be determined
in the future: a) Anti-Drug/Sports and Recreation Program; b) Shelter Program; c) Employees
Village; d) Community Based Disaster Management Program; e) Evacuation Center for
Disaster Prone Barangays; f) Crisis Center for Disadvantaged Groups; g) Value Reorientation
Program (Gender Sensitivity, Responsible Parenthood, Sex Education); h) Recognition of
Outstanding Calapeños; i) Development of Cultural Attractions; j) Calapan City Museum;
k) Mangyan Replica Village; l) Establishment of Cultural Area; m) Annual Celebration of
City Fiesta and Foundation Day; and n) May Flower Barangay Fiesta Celebration.

Urban Design And Transport

The City Government created its own Comprehensive Land Use Plan (CLUP) and Land
Use Management System (LUMS) to guide the optimum utilization of land.

The LUMS follows the impact assessment and performance-based models. Rather than
observing the traditional "end-state, exclusionary zoning" model, the LUMS allows for
mixed-use developments within the various land use classifications. Rather than specifying
a long list of allowed and disallowed uses, the LUMS treats all land uses as "uses by right"
and their ultimate acceptance relies on the evaluation procedures of the system. These

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evaluation procedures rely on an impact assessment that considers both positive and negative
impacts of individual projects on social, environmental, economic/fiscal as well as public
service considerations. Further, the LUMS is performance-based as it provides guidelines
on how a specific project should be developed in relation to its environment and neighborhood.

DEVELOPMENT CHALLENGES
Inadequate and unstable power supply. All barangays in the city has access
to electricity. Power supply is principally sourced from the power barge owned by the
NAPOCOR. Because of mechanical and transmission problems, brownouts often occur
which affect business activities in the City.

Need to upgrade its physical infrastructure. Infrastructure is vital in attracting

investments, facilitating commercial activities and promoting over-all economic growth.
While at present, the City has an excellent network of rural roads, it is necessary to extend
this road network to the deepest rural hinterlands in order to spur rural productivity and
progress. It is also important to open up new circumferential and radial road networks near
the City proper to address traffic and urban congestion. The drainage system, the seaport
and the airport evidently need improvements.

Drainage.The City, being located in a vast floodplain area, is extremely susceptible

to flooding. The major causes of flooding include the overflowing of rive channels and
the rise in tidal elevations. While the City has undertaken a major improvement of the
drainage system in the central business district, dredging is needed to solve flooding
in the urban barangays of the city. As huge investment is required to undertake the
dredging of the Calapan River, negotiations with the national government regarding the
needed funds are ongoing.

Water supply. A private companyt is serving the cities water supply network. However,
most of the households connected do not have potable water, due to salt water intrusion.
As a result, most of these residents resort to buying potable water from water haulers or
fetching water from other barangays. Areas not served by the company resort to shared tube
pipes, shared faucets, free flow wells and shallow wells.

IDENTIFIED STRATEGIES
Upgrade the City's support infrastructure. To support agro-industrial
development the city's infrastructure will continue to be upgraded through the construction
of irrigation, post harvest facilities, and roads connecting the market and the production
centers.

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Strict enforcement of zoning ordinances will ensure that new developments

in the City will conform with the City's CLUP and LUMS. At the same time, it will also
allow the City Government to effectively manage growth.

PRIORITY INVESTMENTS
Urban infrastrcuture and facilities, such as: a) Land-based power supply
system; b) concreting, widening and alignment of farm-to-market roads and radial and
circumferential roads; c) Calapan air and seaport improvement; d) multi-modal transport
terminal; e) transport master plan; f) Develop a road inventory; g) gradual implementation
of public terminal; and h) prepare and update city maps.

Environment

DEVELOPMENT CHALLENGES
Need to protect and manage properly the City environment. The
rapid growth in urban population has put pressure on the City's natural resources such as
agricultural lands that have been opened up for settlements and urban expansion as well
as the City's rivers and coastal waters that have experienced environmental degradation.
Several mangrove areas in the City have been destroyed resulting in the reduction of fish
production. This could affect food production in the City as well as the livelihood opportunities
of the City's farmers and fisherfolks.

Need to put up a sustainable and integrated solid waste management

systemfor the City. This should encompass all aspects of waste management from
garbage collection, segregation and provision of disposal and dumping facilities.

Inadequate housing facilities and proliferation of informal settlements

in the City. As of 2000, 31,624 individuals or 29.69% of the total city population live
in settlements without tenurial rights. More than 5,000 of which are informal settlers in
both public and private lands; at least half are located in danger zones.

IDENTIFIED STRATEGIES
Adoption of an integrated environmental management and
conservation approach (e.g., watershed management plan, integrated coastal
management plan, etc.). The growth path for the city seeks harmony between economic
progress and agro-industrialization and the preservation of the city's natural environment
through a more effective solid waste management and protection of the city's environmental
conservation zones. Cooperation with neighboring LGUs will be forged in the protection
and rehabilitation of shared natural resources, such as the Calapan River.

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Integrated solid waste management program (ISWMP). The City has

always pla ced a high priority on managing the environment, particularly when it comes
to solid waste management. In addition to the City's on-going ISWMP that adopts a multi-
pronged approach to the issue, the City Government has acquired 10 hectares to develop
a controlled dumpsite, which will eventually be converted into a sanitary landfill site.

Strict implementation of the new Comprehensive Land Use Plan of

the City that designates areas for urban expansion and those for environmental protection
and conservation. This includes initiatives to prevent additional settlements along river
easements

Delineation of an environmental conservation area. This includes the

floodplain, prime agricultural, wetlands, coastal regions as well as those with steep slopes.
It is the intent of the plan to protect the general welfare of the public as well as to guard
against the loss of life and property. Hence, land uses that are allowed in this area shall
mainly be open space and low-density developments. This area shall be -used primarily
for agricultural production, agri-forestry, reforestation, open space and environmental-
friendly recreation activities. The minimization of soil erosion is one of the primary concerns
of this area. Reforestation using indigenous plant species along with the utilization of
Sloping Area Land Technology in sloping terrain is encouraged.

The slash and burn method of land clearing is prohibited in this

area. Of concern also is the protection of surface and groundwater from contamination.
The use of inorganic and agrochemicals in agricultural activities shall be minimized and
the use of herbicides in grass and weed treatment shall be prohibited. Further, the riverine,
coastal and wetland areas shall be rehabilitated through the introduction of artificial reefs,
replantation of mangroves, etc.

PRIORITY INVESTMENTS
The city’s priority projects in the environment sector include; a) Sanitary Landfill
and Waste Recycling Center; b) Flood control system, including the concreting of drainage
and development of sewerage system; c) Coastal Zone Rehabilitation; d) Improvement of
Calapan Nature Park and development of River Parks,; e) Island Development Program;
f) Artificial Reef Installation; g) Bantay Dagat Program

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Financing
The City admits its high dependence on Internal Revenue Allotment (IRA), which
enabled the City Government to implement development programs and projects. From
the time Calapan City was chartered, it was able to engage in the physical development
of the city, such as the completion of the two-story Social Service Building beside
the old City Hall and the on-going construction of a new City Hall. IRA has been
used to finance the construction of drainage facilities and installation of streetlights
in the Central Business District, farm to market roads, school buildings, and acquisition
of relocation sites, among others.

However, the City Government has realized that there is a need to impose fiscal discipline
in light of the ballooning expenditures of the City. Hence, the City Government formulated
effective mechanisms to substantially reduce its expenditures. Cost-cutting on unnecessary
spending, proper prioritization of local development projects and extensive budget planning
were other measures the City Government were successfully implemented. It also enjoined
its officials and employees to adopt austerity program that ensured savings in the form
of budget surplus for the city's future use.

In the middle of this financial constraint, the City Government explored the possibility
creative mechanisms such as "bond flotation" and "Build-Operate and Transfer" scheme
to generate revenues or solicit funding for big ticket projects.

DEVELOPMENT CHALLENGES
Limited LGU resource to finance the identified development
programs. The identified social and physical development programs that the City
must be undertaken to promote economic growth and reduce poverty. However, present
internal revenue allotment share and local taxes are not enough to support these vital
programs.

IDENTIFIED STRATEGIES
Develop and enhance the resource mobilization capacity of the City
Government to lessen the city's dependence on IRA. The City Government plans to
generate revenues through promotional programs for taxpayers, computerization of the
tax billing, collection and tracking systems and instituting legal actions against delinquent
taxpayers. The City Government will also explore and tap other non-traditional sources
of financing and the lending facilities of national and international agencies in order to
fund the programs and projects necessary to promote local economic development and
reduce urban poverty.

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Mobilize additional financial resources to meet the huge investment needs

of City through the following: a) increased reliance on the private sector and local initiative;
b) building of financial and implementation capacity; c) greater efficiency and cost
effectiveness of service delivery; d) reduction in political interference in operations; and
e) movement towards financially sustainable pricing levels and structures, and the associated
decline in local government financing needs.

PRIORITY INVESTMENTS
The city’s priority projects in the finance sector include: a) Computerization
Program; b) Establishment of market/slaughterhouse complex; c) Creation of Innovative
Revenue Generating Activities; d) Legal Action Against Delinquent Tax Payers

Governance

With the devolution of many critical services, the City Government must possess the
competence, training and proper orientation to effectively assume this huge responsibility.
Hence, it is critical to build the capability of the various departments and offices of the
City government, particularly those engaged in frontline service delivery and to recruit
more dynamic and competent professionals to staff these agencies.

DEVELOPMENT CHALLENGE
Need to improve urban governance. It goes without saying that the ability
of the City to promote local economic growth, facilitate investments and formulate pro-
poor development programs hinges on the quality of leadership and management of the
City The challenge for the residents of the City is to ensure that capable, well-qualified and
credible leaders and managers occupy responsible positions in City Hall, and are committed
to implementing a system for good governance.

IDENTIFIED STRATEGIES
Improve urban governance through institutionalized himan resource development
In order to promote good urban governance, there is a need to enhance the capability of
the administrative arm of the City Government from the managerial level down to the staff.
Attendance in special studies, trainings and seminars both in the country an abroad will
be undertaken for key City Government managers and staff in order to expand their
knowledge in various aspects of urban governance.

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Continuously improve the existing administrative machinery. The City

Government will continue to invest in equipment and facilities to increase the efficiency
of its employees.

Encourage more people's participation in governance. Private sector

will be engaged to provide services, such as waste management, water supply, power supply
and communications, while stakeholders will be engaged through the conduct of sectoral
fora on a regular basis to elicit feedback and update them on the programs/projects of the
City

PRIORITY INVESTMENTS
The city’s priority investments in the Governance Sector include: a) Strengthening
of Human Resource Management Office; b) Lingkod Barangay Program;
c) Capability Building Seminar and Training Program for City Government Personnel;
d) Computerization program; e) Establishment of One-stop-shop center/Convergence Center
in the New City Hall; f)Institutionalization of People Empowerment; g) Enactment of the
City Administrative Code; h) Creation of the following Department Units: 1) Human
Resource Department;2) Population Management Department; 3) Internal Control Unit
under the Mayor's Office, excluding Financial Management

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