V. City Report

Olongapo (Philippines)

Ms. Lynette Labo Dela Cruz
Project Development Officer IV
City Planning and Development Office
Olongapo City Government

Olongapo City is at the southern end of Zambales province, 130km northwest of Manila. Olongapo has 3,740 registered businesses, 16 banks, and an inflation rate of 8.7 percent. There is one public hospital with 225 beds, and eight private hospitals with a total of 159 beds. There are 17 health centers. There are 361 doctors, 121 nurses, and 49 attendants.

The city began in 1572 under Spanish control. In 1898 the American government took over the former Spanish naval base at Subic Bay. The base expanded massively after 1946, displacing much of the established city. The city today has been in its actual location only 55 years. In 1959 Olongapo was turned over to the Philippine government and American rule ended.

It became a chartered city in 1966. In the early 1980's Olongapo experienced rapid urbanization.

In 1991 the bases agreement expired and the national government ordered the bases closed within a year. The same year Mt. Pinatubo erupted and dumped 14 inches of wet ash on the city. In 1992 the U.S. Navy completed its withdrawal and conversion of the bases for civilian and commercial use began. The World Bank provided financial assistance to the conversion effort. The Subic Bay Freeport now serves as the main industry in Olongapo City.

About 80 percent of the city's land has slopes of 18 percent and higher.

The city hopes to capitalize on the newly built Convention Center, City Museum and a commercial mall to develop tourism as a strategy for economic development, as well as the development of beach areas.

There are 37 public schools and 39 private schools.

The mayor and 10 councilors are all elected. They serve three-year terms and can be re-elected twice. The mayor serves as the chief executive officer of the city government. The vice-mayor presides over city council.

There are no traffic lights in the city.

The population is 229,000. Regarding the census figures, we have a disagreement with the census department, because it excludes weekly migrant workers, who receive services from the city five days per week.

The city can assess real property taxes, business taxes, franchise taxes, a tax on sand, gravel, and other quarry resources, professional taxes, and amusement taxes. Citizens also pay a city income tax. The city also receives proceeds from national internal revenue taxes.

Major challenges facing the city include unemployment, child labor, residents without permanent housing (squatters), water supply and sewage issues, traffic congestion and providing public transportation, and medical care.

Water is taken from the Sta. Rita River, and from Subic Bay Freeport. Average daily production is about 45,000 cubic meters. By 2010 this is expected to rise to 68,000 cubic meters per day. About 84 percent of residents are connected to the city water supply system.

The Subicwater and Sewerage Company water system is 70 percent privately owned and 30 percent publicly owned.

A major challenge facing the water system is that households in the city have flush toilets discharging into septic tanks. The city has no separate sewerage system with sewage treatment. In the combined sewage and drainage system, the sewage becomes a health hazard to residents and is a threat to local rivers. The Sta. Rita River is one of the city's major water sources. It has seven main tributaries which are in various stages of degradation mainly from siltation and unwarranted dumping of waste. Other challenges include water supply volume, and the cost of water to low-income groups.

Long term projects in Subicwater's development plan are expected to solve the problems of water scarcity and protect the environment. These involve the development of new water sources and the construction of waste water treatment facilities in Olongapo City and the Subic Bay Freeport Zone. Interconnection of the City with the Freeport supply system has already greatly improved the quantity and quality of water in the city.

Water meters are read monthly. The rate charged to domestic customers is less than residential. If a customer uses more, they pay a higher rate.