Republic of the Philippines

Province of Palawan
MUNICIPALITY OF MAGSAYSAY

OFFICE OF THE SANGGUNIANG BAYAN

EXCERPT FROM THE MINUTES OF THE REGULAR SESSION OF THE

SANGGUNIANG BAYAN OF MAGSAYSAY, PALAWAN HELD AT THE
SANGGUNIAN SESSION HALL HELD ON _____________________.

Present:

xxx xxx
xxx

ORDINANCE NO. _____

Series of ____

Authored by:
Sponsored by:

AN ORDINANCE ESTABLISHING GUIDELINES AND PRESCRIBING THE RATES

AND SERVICE FEES OF THE MAGSAYSAY WATER SUPPLY SYSTEM (MWSS)

WHEREAS, consistent with local autonomy and decentralization as

mandated under RA No. 7160 also known as the Local Government Code of 1991,
Local Government Units shall endeavor to be self-reliant and shall exercise such
powers and discharge such other functions and responsibilities for the provision of
basic services and facilities;

WHEREAS, Section 76 of the Local Government Code provides that “Every

Local Government Unit shall design and implement its own organizational structure
and staffing pattern taking into consideration its service requirements and financial
capability, subject to the minimum standards and guidelines prescribed by the Civil
Service Commission;

WHEREAS, Section 443 (c) of the Local Government Code likewise provides
that “The Sangguniang Bayan may: (1) maintain existing offices not mentioned in
subsection (a) and (b) hereof (mandatory and optional position); (2) create such other
offices as may be necessary to carry out the purposes of the municipal government,
or (3) consolidate the functions of any office with those of another in the interest of
efficiency and economy”;
 WHEREAS, the Municipality of Magsaysay is fully aware of communities’ dire
need for safe and dependable source of potable water supply and aims to provide
adequate, sustainable and cost-effective municipal-wide water supply systems;

WHEREAS, the realization of this project was made with a condition that it
should be a self-liquidating and income-generating project;

WHEREAS, after completion of the project and prior to its full implmentation,
guidelines must be established and rates and services fees must be prescribed
properly;

BE IT ORDAINED, as it is hereby ENACTED by the Sangguniang Bayan of

Province of Palawan in session:

ARTICLE I. TITLE AND OBJECTIVES

Section. 1 Title. This Ordinance shall be known as the “AN ORDINANCE

ESTABLISHING GUIDELINES AND PRESCRIBING THE RATES AND SERVICE
FEES OF THE MAGSAYSAY WATER SUPPLY SYSTEM (MWSS) IN THE
PROVINCE OF PALAWAN ”

Section 2. Objective. It is hereby determined to be desirable and necessary for the

public health, safety, and welfare of the different municipalities that a water system be
managed and operated by skilled personnel who will sustain the water system’s
optimum performance with the primary responsibility of ensuring the production and
delivery of safe and clean water supply to the consumers and the maximization of the
enterprise’s profit. Thus, the following provisions, including the prescribed schedule of
rates of water services, are hereby adopted to achieve the prevailing social and
economic efficiency requirement in public service for the following water system:

a.
b.

ARTICLE II. DEFINITION OF TERMS

Section 3. DEFINITION OF TERMS. As used in this Ordinance, the following terms

shall be construed as:

a. MAGSAYSAY WateMWOrks Office - also known as MWO, it is functional

entity under PEEDO of Provincial Government of Palawan responsible for
the protection, preservation, management and operation of the
MAGSAYSAY Water Supply System.
 b. MAGSAYSAY Water Supply System- a system which provides potable
water supply throughout the municipality of MAGSAYSAY, which is owned
and managed by the Provincial Government of Palawan.

c. Rate – a fixed charge per volume of the quantity of water being consumed.

d. Service Fee – refers to payment being charged to the customer of MWO

aside from the water bills.

e. Customer – a person who purchases water services from MWO.

f. Residential – a customer classification of MWO in which water use is for

residential such as family dwelling, boarding houses, apartments and the
likes.

g. Institutional/Government Establishments – a customer classification of

MWO in which water is for the use of public schools, public hospitals,
establishments of government agencies, churches and other institutional
edifice.

h. Commercial – a customer classification of MWO in which water is being

used for commercial establishments including private schools, private
hospitals, private banks and other private institutions.

i. Industrial – a customer classification of MWO in which water use is for

industrial consumption.

j. Water Traders/Bulk Sales Domestic – a customer classification of MWO that

refers to the legitimate and permitted trade of water obtained from MWO
that being sold in bulk.

k. Connection Fee – refers to a payment being charged to customer prior to

his/her water connection.

l. Transfer of Water Meter Fee – refers to a payment being charged to

customer who wishes to transfer the location of water meter.

m. Surcharge/Penalty – refers to ten percent (10%) extra charge to the current

bill of the customer of MWO who failed to pay after the due date.

n. Reconnection Fee – refers to a payment being charged to the customer of

MWO whose water services was previous disconnection before it will be
reconnected.

ARTICLE III
WATER SERVICE APPLICATION

Section 4. Application for Water Service Connection. The applicant for

water service connection shall fill up and submit the corresponding application form in
the MAGSAYSAY WateMWOrks Office. If the applicant is not the owner of the house
or the premises where the connection will be installed, the water services application
must be signed by the owner of the property who shall guarantee payment of bills
overdue in case of default by the customer. Installation of service connection will be
made upon approval thereof and payment of all fees and other charges. Service
connections are non-transferable. MWO shall limit the unit of service connection to
one (1) household, building or premises. All transactions for water service shall be
made through authorized personnel of MWO. The terms and conditions defined in the
water service contract shall herein apply and hold until the termination of such contract

Section 5. Requirements for Water Service Connection. The following

documents must be submitted together with the accomplished application form prior
the approval of the application for water connection:

1. Barangay Certification;
2. Identification Card (ID)
3. If the applicant is not the registered owner of the house, building or
establishment, submission of any of the following:
a. Deed of sale
b. Lease Contract
c. Consent of the Owner

Section 6. Water Service Contract. Upon the submission of the required

documents, the Water Service Contract shall be prepared by the MWO Administrative
Officer duly signed by the Plant Manager with the concurrence of the PEEDO
Department Head.

Section 7 Terms and Conditions. The following terms and conditions shall
be adopted in the Water Service Contract:

A. Water Connection
.
1. Size of Line Connection, location and work. MWO reserves the right to
determine the size of service connection and their location with respect to
the boundaries of the premises to be served. The laying of customer service
lateral to the meter shall not be done until the location of the service
connection has been determined and approved by MWO. The work of
tapping the MAIN connecting the service pipe thereto and laying the pipe
from the curb line including the digging and filling of the trench on the streets
in which a water is situated, will be performed only by plumber personnel of
the MWO.

2. Materials for Installation Of Service Connection. MWO shall furnish all

the necessary pipes, appurtenances, materials and fittings for the installation
of service connection and bill the consumers correspondingly.
 3. Cost of the Service Connection. The total cost of installing service
connections shall be amounting to One Thousand Five Hundred Pesos (Php
1,500.00) that shall include the cost of water meter (1/2 inch), standpipes (for
1/2 inch household connection) and other materials, labor, transportation,
supervision and engineering. Cost of lateral pipes in excess of ten (10)
meters, other materials, labor and other service connection from the water
meter to any part of the house shall be borne by the customer. Payments of
charges for damaged road pavements during tapping of a service connection
shall be shouldered by the customer, who shall pay the corresponding
amount to the MWO or its equivalent office or authority in-charge of
maintenance of damaged road. Prices of materials and fittings are subject to
adjustment without prior notice depending on actual purchase prices. Price
adjustment shall apply only to those items actually purchased at increased
prices.

4. Maintenance of Service Connection. The service laterals extending from

the water main curb line to the water meter shall be maintained by the
MAGSAYSAY WateMWOrks Office. All pipes and fixtures extending from the
curb cock shall be furnished and maintained by the customer or the owner of
the property. No tapping will be made on customer’s own service line (from
water main distribution to meter) and he/she shall maintain expenses for all
pipes and fixtures extending from the meter to his house interior. The MWO
shall be notified in advance of any transfer of house /lot property or
ownership thereof, change of address (if tenant), or transfer of connection,
as the case may be.

B. Water Meters

1. Care and Protection of Water Meters. MWO shall provide the water meter
and customers shall henceforth take proper care and protect the water meter
from any damage, impairment, loss or destruction. In case of mechanically
defective and/or worn-out meters, customer shall request in writing for a
meter change and MWO may proceed to replace or change defective or
worn-out meters upon inspection and examination thereof with pay.

2. Water Meter Tampering/Illegally Installed Meters. Customer shall desist

from any form of water meter tampering and installing stolen or pilfered water
meters. Service connections whose water meters are found to be tampered
with or illegally installed shall be immediately disconnected without prior
notice, and appropriate charges shall be filed in court by the wateMWOrks
against the concerned customer.

C. Water Delivery

1. Pressure Condition. MWO supplies water accepted pressure conditions

which the distribution system can provide. Customer is informed beforehand
about such condition of pressure and over-all service efficiency obtained
within the MWO distribution System. MWO cannot be held liable or
 accountable for any damages arising from the low or high pressure or other
such condition of pressure especially if such sudden changes in pressure
condition are due to some circumstances beyond control of the
MAGSAYSAY WateMWOrks Office.

2. Emergency Shutdown/Service Interruption. MAGSAYSAY

WateMWOrks Office reserves to shut off water supply during emergency or
critical situations. This will be done only when absolutely necessary and as
much as it is practicable shall notify the public through all applicable means
in advance of any major interruption, particularly those affecting a great
portion of the service area of those service zones which are most populous
commercial centers. MWO however, cannot be held liable for only such
emergency shutting off of water supply. The management is obliged to
inform the public in advance of any major service interruptions especially
those lasting of more than twenty four (24 hours), such information fully
explaining the public the causes of such service interruption. MWO shall
exert its best efforts to prevent any major service interruption and if ever such
circumstances beyond its control takes place and efforts to prevent such
fails, MWO shall exhaust all means and bring back water service to its normal
force within the shortest time possible. Damaged pumping equipment and
facilities must be replaced immediately so as to avoid inconvenience to the
public and interrupting the supply of potable water for more than the
necessary period.

D. Repair and Maintenance

1. Service Repair. All leakage and damages detected or discovered at any

point or area of our water system must be immediately reported to MWO by
phone or by person so the management may promptly respond to this
problem. MWO shall not leave unattended any reported leakages or
damages; repair jobs must be given priority and attended promptly and
efficiently. In case of leakages within the premises of customer’s residence
or property, MWO personnel may be requested to perform service repair with
the customer shouldering all expenses like cost of materials/fixtures to be
replaced and labor or technical supervision needed. All damages to fixtures
as a result of leakages from the gate valve to the faucet shall be assumed
by the customer and thus the latter also shall shoulder the total cost of such
repairing (materials and service charges).

2. Customer Premises Entry. The MWO personnel shall secure the consent
of the person requesting repairs prior entry to his premises for meter reading,
inspection and leak repair. Any harassment, intimidation, overhanging or
misdemeanour committed by office plumbing personnel in dealing with
customer should be immediately reported to MWO for proper disciplinary
action. Customer may put in writing any complain, suggestion or comment,
and drop at the suggestion box (to be found just inside the office) for
appropriate action.

3. Customer Complaints. Customer complaints must be put in writing using

the form provided for this purpose. Only formal written complaints will be
entertained by office personnel. Complaints of no water supply and other
 request for services however may be reported by phone to authorized
wateMWOrks personnel.

ARTICLE IV
WATER BILL, COLLECTION AND REFUND

Section 8. Water Billing. Water charges shall begin upon installation of

service connection and setting of the meter. Water bills shall be computed according
to customer classification based on monthly consumption registered in the water
meter.

Water system service area shall be divided into zones in order to distribute the
work load in a month. Every zone shall be assigned a meter reading date every month.
Notice of collection or the water bill shall be delivered to customers fifteen (15) days
prior to due date. When no monthly consumption was registered as a result of
defective meter, the average consumption of customer of three (3) months
immediately before the date when they become unserviceable or defective shall be
the basis for the subsequent water bills, or customer may request that the water meter
be replaced. In case leakage after the water meter, the customer shall be billed
according to the registered consumption in the water meter.

Section 9. Collection. The Finance Section of the MAGSAYSAY

WateMWOrks Office shall be in-charge of the collection of the water fees and service
charges in accordance with the rates, fees and charges herein provided. The funds
collected therefrom shall be deposited to the Provincial Treasurer’s Office.

All payments shall be made at the MWO through the cashier or authorized staff.
All payments made to the MWO shall be covered by official receipts. Payment in lump
sum shall be applied first to bills in arrears surcharge, expenses and penalties before
the current bill obligation is paid. The collections of service fees and other charges
shall accrue to the special account under the general fund which shall be created for
the purpose.

Section 10. Disputed Bills. In case a formal complaint is made by the

customer claiming that his/her water bill is excessive and overly discrepant with his
actual consumption, a re-reading of the water meter shall be made specifically to
determine whether there are leaks in the meter. If no such leak is found in his/her
meter, customer may request for a water meter test on conditions set forth hereto. If
such meter is found within the approved level of accuracy and still, customer insists
on disputing his water bill, an official investigation shall be conducted by the
MAGSAYSAY WateMWOrks Office’s authorized staff in the premises of said customer
to determine the veracity of the latter’s claim and find out other possible causes for
such allegedly excessive consumption reading.

Section 11 Refund and Adjustment. If for any valid cause, the customer
becomes entitled to refund, such as overpaid closing bill, or other just cause, a demand
may be made by him/her to MWO for refund of such overpayment. If no demand on
refund is made by the customer in his overpaid closing bill within the period of one (1)
year, said amount shall accrue to the funds of the MWO. If overpayment was made
on a bill which is not a closing bill, amount overpaid may be credited to the customer’s
account as advance payment for succeeding water bills. Any overcharge shall be
subject to refund by the customer upon the latter’s demand. Adjustment in water bills
shall be made only upon the authorization of the MWO plant manager.

Section 12. Surcharge/Penalty. If water bill remains unpaid after the due
date, a grace period of five (5) days without disconnection shall be granted to allow
the customer to pay his water bill but with added charge (surcharge) of ten percent
(10%) of the current bill. After the lapse of the grace period and the water bills remain
unpaid said service connection will be subjected for disconnection (on the 6th day after
the 2nd month due date). The bill collector shall not accept payment when notice for
disconnection was already served. In case litigation is necessary, delinquent
concessionaires shall pay an additional twenty five percent (25%) of the total unpaid
bills to cover attorney’s fee and litigation cost.

ARTICLE V
EACH WATER SYSTEM RUN BY THE MWO MAY HAVE ITS OWN WATER
TARIFF DERIVED FROM CAREFUL FINANCIAL EVALUATION AND ANALYSIS

Section 13. MAGSAYSAYWater System. The following water meter rate

schedules are hereby imposed in the computation of water bills to customers:

A. Water Rates for Residential Consumption

Consumption Rate per Cubic Meter Remarks
Bracket
0 to 10 m³ Flat Rate/Minimum
11 m³ to 15 m³ per m³ in excess of the
minimum
16 m³ to 20 m³ per m³ in excess of the
minimum
21 m³ to 30 m³ per m³ in excess of the
minimum
26 m³ to 30 m³ per m³ in excess of the
minimum
31 m³ and above per m³ in excess of the
minimum
B.

B. Water Rates for Commercial Consumption

Consumption Rate per Cubic Meter Remarks
Bracket
0 to 10 m³ Flat Rate/Minimum
11 m³ to 20 m³ per m³ in excess of the
minimum
21 m³ to 30 m³ per m³ in excess of the
minimum
 31 m³ and above per m³ in excess of the
minimum
C.

C. Water Rates for Institution/Government Consumption

Consumption Rate per Cubic Meter Remarks
Bracket
0 to 10 m³ Flat Rate/Minimum
11 m³ to 15 m³ per m³ in excess of the
minimum
16 m³ to 20 m³ per m³ in excess of the
minimum
21 m³ to 30 m³ per m³ in excess of the
minimum
26 m³ to 30 m³ per m³ in excess of the
minimum
31 m³ and above per m³ in excess of the
minimum

E. OTHER SERVICE FEES.

a. Application for New Connection. Installation
Fee
b. Transfer of Water Meter
c. Reconnection Fee
d. Transfer of Ownership

F. Environmental Fee

A special levy of Php 1.00 on every cubic meter of water billed to the
MWO Customer. This amount is already included in the water rates being
imposed by the office and shall be set aside as payment for Ecosystem
Services or Environmental Fee which be for this local government’s program
on the preservation and conservation of our watersheds.
ARTICLE VI
WATER DISCONNECTION AND RECONNECTION

Section 14. Disconnection. Customer may apply for voluntary disconnection

of his/her service connection any time he/she desires so. The following shall be
legitimate grounds for cutting of water supply to customer:
 a. Non-payment of water bills on disconnection date indicated in the notice of
collection (on the 6th day after the due date);
b. Unauthorized sale of water;
c. Unauthorized sub-connection to connection of persons other than members of
family as applied;
d. Illegally installed or pilfered meter;
e. Illegal connection or connections existing without official authority or
registration with MWO; and
f. Any form or meter tampering.

Service connections which are disconnected due to non-payment of water bills

and/or other accounts may be the subject of legal suit filed by the MAGSAYSAY
WateMWOrks Office if customer concern refuses to settle properly his/her account.

Section 15. Reconnection. No service reconnection shall be made without

the customer paying first his/her outstanding account with the MWO and/or payment
of reconnection fee.

ARTICLE VII
PROHIBITED ACTS

Section 16. Unauthorized Sale of Water. No person or persons shall sell

water obtained from the water system not authorized by the MAGSAYSAY
WateMWOrks Office. Water sold by bulk from the office is not to be resold unless the
customer is classified as water trader. Likewise customers shall not sell water through
his service connection. Water that is obtained from public drinking fountains faucets
for which the government is not billed or charged by MWO is also strictly not to be
resold. Persons caught violating regulation shall be sent an official warning by MWO
to stop such unauthorized sale of water. The MAGSAYSAY WateMWOrks Office may
result to legal action against violator if persons concerned to heed repeated warnings
from it.

Section 17. Tampering and other Prohibitions. Tampering and other

prohibitions are illegal and subject to disciplinary action and penalties imposed by
MWO. No person except employees or representatives of MWO shall at any time and
in anytime and in any manner operate the curb cocks or valve, main cocks or gate
valves of the distribution system. Withdrawing water directly from reservoir mains by
means of pumps, apparatus or other devices without proper permit from the office is
strictly prohibited. Withdrawal of water from public drinking faucets is prohibited.
Connecting hoses especially such public faucets and drinking fountain is also strictly
prohibited. The P.D. 198 otherwise known as “Provincial Water Utilities Act” prohibits
installing of faucet connected before the meter; unauthorized reconnection of water
service line previously disconnected by the MWO; tampering meter seals and
overflowing water tanks left uncorrected after first notice from the office; and all other
forms of water waste or revenue.

Section 18. Cross Connection. No person, firm or corporation shall install or

maintain any physical connection between any private or industrial source of water
supply and MWO water supply, without installing prescribed checked valves and
measures to prevent back flow and other pollution hazards. Existing cross connection
must be periodically checked and inspected by regular sanitary inspection and
appropriate recommendations must be immediately carried out to strictly control all
types of connection. Cross connection that resulted from negligence on the part of the
customer will be his/her responsibility. Said connection must be immediately
connected upon receipt of the first notice from the MWO. Failure to comply of such
orders will be sufficient ground for disconnection of the said service line. Cross
connection that resulted from faulty installation of pipes and fixtures by the MWO
personnel must be immediately reported and connected by the MWO at customer’s
expenses.

ARTICLE VIII
COMMON PROVISIONS

SECTION 19. ADMINISTRATIVE PENALTIES. Any person(s) found to be

violating any provision of this Provincial Ordinance is hereby fined a minimum amount
of Php 5,000.00 (up to the amount of damaged government property) and possible
permanent disconnection of water supply for private and commercial clients for
succeeding offenses and upon recommendation of MWO, and for any erring
government employee(s) an appropriate administrative case will be filed.

SECTION 20. INCOME. All income of the MWO shall accrue to the special
account made for the Provincial Economic Enterprise Development Office (PEEDO)
of the Provincial Government of Palawan.

SECTION 21. BUDGETARY REQUIREMENTS. The special account made for

the Provincial Economic Enterprise Development Office (PEEDO) of the Province of
Palawan may be utilized by PEEDO to finance its management and operations.
However, to guarantee efficient management and operation of the water system, the
Province of Palawan must appropriate in its Annual Budget Plan an amount sufficient
to cover its operational cost as determined by the Plant Manager.

Section 22. AUDITING. Disbursements, reimbursements and books of

accounts relative to the management and operations of the MWO shall be subject to
the usual government accounting and auditing procedures, rules and regulations.

Section 23. SEPARABILITY CLAUSE. Should any provisions of this

ordinance be declared unconstitutional and/or null and void, the provision not affected
thereby shall remain in full force and effect.

Section 24. REPEALING CLAUSE. Any ordinance or parts thereof

inconsistent with this enactment is hereby repealed and amended accordingly.

Section 25. EFFECTIVITY. This ordinance shall take effect immediately after
approval and posting.

SO ORDAINED.

APPROVED AND ENACTED this ____ day of ______________201___.

I HEREBY CERTIFY to the correctness of the foregoing ordinance.

 Secretary to the Sanggunian

Attested:

Provincial Governor/Presiding Officer

Approved:

Provincial Governor