The Department of Finance (DOF) issued Department Order No. 074.2024 establishing the income classification of provinces, cities, and municipalities under Republic Act No. 11964.
This directive underscores the economic resilience and revenue growth of local government units (LGUs) across the country, with Isabela serving as a prime example.
On January 1, 2025, several LGUs in Isabela moved to higher income classifications, highlighting the province’s progress in fiscal management and local development.
“There are no more fourth-class or fifth-class municipalities in the province of Isabela,” Governor Rodito Albano said.
“Continuous ang pagpaplano ng ating PPDC and, of course, ‘yung coordination with the other finance people to uplift all of the local government units so that one day, lahat na ay maging first class.”
“Continuous ang pagpaplano ng ating PPDC and, of course, ‘yung coordination with the other finance people to uplift all of the local government units so that one day, lahat na ay maging first class,” Provincial Administrator Atty. Noel Manuel Lopez explained.
Isabela remains classified as a first-class province, reflecting its sustained economic strength and leadership.
The province now has 24 first-class municipalities, six second-class municipalities, and four third-class municipalities.
The City of Ilagan and Santiago City hold first-class city status, cementing their roles as regional economic leaders.
Meanwhile, Cauayan City has been elevated to second-class city status.
Twenty-four municipalities in Isabela are now classified as first-class LGUs.
Twenty-four municipalities in Isabela are now classified as first-class LGUs. These include Alicia, Cabagan, Dinapigue, Echague, Jones, Palanan, Roxas, San Mariano, San Mateo, and Tumauini, which were already recognized as first-class municipalities prior to the issuance of the No. 074.2024. Newly joining this rank are Luna, advancing from fifth to first class; Delfin Albano, Mallig, Naguilian, Quezon, Quirino, and Reina Mercedes, rising from fourth to first class; Angadanan, Aurora, Cabatuan, and Cordon, moving from third to first class; and Divilacan, Ramon, and San Pablo, transitioning from second to first class.
Four municipalities were upgraded from fourth to second class: Benito Soliven, Gamu, San Guillermo, and San Manuel. Additionally, Maconacon and San Agustin advanced from third to second class.
Four municipalities are now classified as third-class LGUs: San Isidro, which advanced from fifth class, and Burgos, Santa Maria, and Santo Tomas, which progressed from fourth to third class.