Creation and powers of MMDA

Replacement and governing structure

Section 2 establishes the MMDA to replace the Metro Manila Authority (MMA) organized under Executive Order No. 392 (1990).
Section 2 requires the MMDA to perform planning, monitoring, and coordinative functions, and to exercise regulatory and supervisory authority over the delivery of metro-wide services within Metro Manila without diminution of local autonomy concerning purely local matters.
Section 4 provides that the Metro Manila Council is the governing board and policy-making body of the MMDA.
Section 4 composes the Metro Manila Council of the mayors of the eight (8) cities and nine (9) municipalities enumerated in Section 1, plus the president of the Metro Manila Vice Mayors League and the president of the Metro Manila Councilors League.
Section 4 makes the heads (or duly authorized representatives) of DOTC, DPWH, DOT, DBM, HUDCC, and PNP attend council meetings as non-voting members.
Section 4 provides that the Council shall be headed by a chairman appointed by the President, who holds office at the discretion of the appointing authority and has the rank, rights, privileges, disqualifications, and prohibitions of a cabinet member.
Section 4 provides for key officials—general manager, assistant general manager for finance and administration, assistant general manager for planning, and assistant general manager for operations—appointed by the President with the consent and concurrence of the majority of the Council, subject to civil service laws, with security of tenure and removal for cause in accordance with law.
Section 4 requires the assistant general manager for planning to have not less than five (5) years extensive experience in development and planning or to hold a master’s degree in urban planning or similar disciplines.
Section 4 entitles the chairman and council members to allowances and per diems in accordance with existing policies and rules.

Metro-wide services and coverage

Section 3 defines metro-wide services under the jurisdiction of the MMDA as services that have metro-wide impact, transcend local political boundaries, or entail huge expenditures such that individual local government units would not be viable providers.
Section 3 enumerates metro-wide services to include:
- Development planning, including medium and long-term development plans; development, evaluation, and packaging of projects; investments programming; and coordination and monitoring of plan, program, and project implementation.
- Transport and traffic management, including formulation, coordination, and monitoring of policies, standards, programs, and projects to rationalize transport operations, infrastructure requirements, and safe and convenient movement of persons and goods; provision for mass transport system; regulation of road users; administration and implementation of traffic enforcement operations, traffic engineering services, and traffic education programs; and institution of a single ticketing system in Metro Manila.
- Solid waste disposal and management, including formulation and implementation of policies, standards, programs, and projects for proper and sanitary disposal; establishment and operation of sanitary land fill and related facilities; and implementation of alternative programs intended to reduce, reuse and recycle solid waste.
- Flood control and sewerage management, including formulation and implementation of policies, standards, programs, and projects for an integrated flood control, drainage, and sewerage system.
- Urban renewal, zoning, and land use planning, and shelter services, including formulation, adoption, and implementation of policies, standards, rules and regulations, programs and projects to rationalize and optimize urban land use and direct urban growth and expansion; rehabilitation and development of slum and blighted areas; development of shelter and housing facilities; and provision of necessary social services.
- Health and sanitation, urban protection and pollution control, including formulation and implementation of policies, rules and regulations, standards, programs, and projects for promotion and safeguarding of health and sanitation and enhancement of ecological balance and prevention, control, and abatement of environmental pollution.
- Public safety, including formulation and implementation of programs and policies and procedures for public safety—especially preparedness for preventive or rescue operations during calamities and disasters such as conflagrations, earthquakes, flood and tidal waves—and coordination and mobilization of resources and implementation of contingency plans for rehabilitation and relief operations in coordination with concerned national agencies.

Core powers: services and traffic enforcement

Section 5 empowers the MMDA to formulate, coordinate, and regulate implementation of medium and long-term plans and programs for delivery of metro-wide services and land use and physical development, consistent with national development objectives and priorities.
Section 5 requires the MMDA to prepare, coordinate, and regulate implementation of medium-term investment programs for metro-wide services indicating sources and uses of funds for priority programs and projects, including packaging of projects and presentation to funding institutions.
Section 5 authorizes the MMDA to undertake and manage, on its own, metro-wide programs and projects for delivery of specific services under its jurisdiction subject to approval of the Council, and permits creation of appropriate project management offices.
Section 5 directs the MMDA to coordinate and monitor implementation of plans, programs, and projects in Metro Manila, identify bottlenecks, and adopt solutions to implementation problems.
Section 5 mandates the MMDA to set policies concerning traffic in Metro Manila and coordinate and regulate traffic management implementation regarding enforcement, engineering, and education.
Section 5 authorizes the MMDA, upon request, to provide extended assistance and cooperation, including assignment of personnel, by other concerned government agencies and offices.
Section 5 authorizes the MMDA to install and administer a single ticketing system, and to fix, impose, and collect fines and penalties for violations of traffic rules and regulations—moving or non-moving.
Section 5 authorizes the MMDA to confiscate and suspend or revoke drivers’ licenses in enforcement of traffic laws and regulations, with RA 4136 and PD 1605 not limiting this authority.
Section 5 requires MMDA enforcement of traffic laws and regulations through its traffic operation center, and authorizes MMDA to deputize members of the PNP, traffic enforcers of local government units, duly licensed security guards, or members of non-governmental organizations to whom delegated authority may be given, subject to conditions and requirements imposed by the Authority.
Section 5 authorizes the MMDA to perform other related functions to achieve its objectives, including undertaking delivery of basic services to local government units when deemed necessary subject to prior coordination with and consent of the concerned local government unit.

Metro Manila Council functions

Section 6 states the Metro Manila Council is the policy-making body of the MMDA.
Section 6 requires the Council to approve metro-wide plans, programs, and projects.
Section 6 authorizes the Council to issue rules and regulations and resolutions necessary to carry out the purposes of the Act.
Section 6 permits the Council to increase the rate of allowances and per diems of council members effective during the term of the succeeding Council.
Section 6 requires the Council to fix the compensation of MMDA officers and personnel and to approve the annual budget for submission to the Department of Budget and Management (DBM).
Section 6 authorizes the Council to promulgate rules and regulations and set metro-wide policies and standards governing delivery of basic services; prescribe and collect service and regulatory fees; and impose and collect fines and penalties.

Chairman and general manager duties

Section 7 requires the chairman to appoint, subject to civil service laws, all subordinate officers and employees, with security of tenure and removal only for cause in accordance with law.
Section 7 authorizes the chairman to engage experts/consultants on full-time or part-time basis as required for the performance of functions.
Section 7 requires the chairman to execute policies and measures approved by the Metro Manila Council and to be responsible for efficient and effective day-to-day management of MMDA operations.
Section 7 requires the chairman to prepare the annual budget for MMDA operations for submission to the Council.
Section 7 requires the chairman to submit other policies and measures to the Council for consideration when deemed necessary to carry out the Act.
Section 7 requires that, subject to Council guidelines and policies, the chairman prepare staffing patterns, fix the number of subordinate employees, and exercise disciplinary power under law.
Section 7 requires submission of an annual report on MMDA accomplishments to the Council and the President at the close of each calendar year.
Section 8 requires the general manager to assist the chairman in administration, supervision of subordinate personnel, and supervision of operations of MMDA operating centers and units.
Section 8 requires the general manager to assist in review of plans and programs, and in the preparation of the annual report of activities and accomplishments.
Section 8 provides that other duties and functions may be delegated or assigned by the chairman from time to time.

Institutional linkages and planning integration

Section 9 requires the MMDA to consult, coordinate, and work closely with LGUs, the National Economic and Development Authority (NEDA), and other national government agencies mentioned in Section 4, and with accredited people’s organizations (POs), non-governmental organizations (NGOs), and the private sector operating in Metro Manila.
Section 9 designates the MMDA chairman or his authorized representative from among Council members as ex officio member of boards of government corporations and committees of departments and offices of government whose activities are relevant to MMDA objectives, including (but not limited to) MWSS, DOTC, DPWH, HUDCC, and DILG.
Section 9 requires the MMDA to have a master plan serving as the framework for local development plans of component LGUs.
Section 9 requires MMDA to submit development plans and investment programs to NEDA for integration into the Medium-Term Philippine Development Plan (MTPDD) and the public investment program.
Section 9 requires implementation of MMDA plans, programs, and projects to be undertaken by LGUs, concerned national government agencies, POs, NGOs, the private sector, and MMDA itself where appropriate.
Section 9 authorizes the MMDA to enter into contracts, memoranda of agreement, and other cooperative arrangements for delivery of required services within Metro Manila.
Section 9 authorizes the MMDA, in coordination with NEDA and the Department of Finance, to interface with foreign assistance agencies to obtain financing support, grants, and donations for MMDA programs and projects.

Funding, revenue sharing, and budget

Section 10 authorizes appropriation of One billion pesos (P1,000,000,000) for the initial operation of the MMDA.
Section 10 provides that annual expenditures, including capital outlays of MMDA, shall be provided in the General Appropriations Act.
Section 10 provides that MMDA shall continue to receive the Internal Revenue Allotment (IRA) currently allocated to the present MMA.
Section 10 empowers MMDA to levy fines, and to impose fees and charges for various services rendered.
Section 10 requires that 5% (Five percent (5%)) of the total annual gross revenue of the preceding year, net of the internal revenue allotment, shall accrue and become payable monthly to MMDA by each city or municipality mentioned in Section 2.
Section 10 directs that in case of failure to remit the fixed contribution, the DBM shall cause disbursement to MMDA chargeable against the IRA allotment of the city or municipality concerned, notwithstanding Section 286 of RA 7160.

Transitory, repeals, separability, and effectivity

Section 11 provides that to prevent disruption pending full implementation of MMDA’s organizational structure and staffing pattern, all officials and employees of the interim MMA shall continue to perform duties and functions and receive salaries and allowances until they receive notice of change of duties and functions or transfer to another office or position.
Section 11 requires transfer to and assumption by MMDA of all assets, properties, accountability, obligations, indebtedness, or liabilities of the interim MMA, subject to conditions established by DBM, Office of the President, and Commission on Audit.
Section 11 requires civil service laws on displacement of personnel affected by the Act to be strictly enforced and requires the national government to provide amounts necessary to pay benefits accruing to displaced employees at the rate of one and one-fourth (1 1/4) month's salary for every year of service.
Section 11 provides that if displaced employees are qualified for retirement under existing retirement laws, they may opt to receive benefits thereunder.
Section 12 repeals Executive Order No. 392 dated January 9, 1990.
Section 12 provides that all other laws, decrees, executive orders, rules and regulations, or parts inconsistent with or contrary to the Act are repealed or modified accordingly.
Section 13 provides separability: if any part or provision is held unconstitutional or invalid, unaffected parts remain in full force and effect.
Section 14 sets effectivity: the Act takes effect fifteen (15) days following completion of its publication in at least two (2) newspapers of general circulation.
The Act is Republic Act No. 7924, entitled “AN ACT CREATING THE METROPOLITAN MANILA DEVELOPMENT AUTHORITY, DEFINING ITS POWERS AND FUNCTIONS, PROVIDING FUNDS THEREFOR AND FOR OTHER PURPOSES.”
The Act is approved March 1, 1995, and is dated March 01, 1995 with approval by Fidel V. Ramos as President of the Philippines.