LOCAL GOVERNMENT UNITS can expect significant increases in the number of corporate locators, as well as a corresponding rise in revenues if they adopt a business-friendly governance framework.

One such system, called the Performance Governance System (PGS), has been used successfully by the LGU of San Fernando, Pampanga, which has shown dramatic improvements since its adoption, the Institute for Solidarity in Asia (ISA) said.

The city of San Fernando, Pampanga posed dramatic gains over the five years that it had been tracking its performance toward its goal of becoming ?the gateway to northern Philippines? by 2015, the ISA said.

A recent performance audit conducted by the ISA showed a growth of more than 100 percent in the number of business enterprises and a 33-percent hike in local income.

More importantly, processing time for business permits was streamlined from six weeks to two hours, resulting in a high satisfaction rating among constituents for efficient delivery of services.

?The PGS helped San Fernando focus on strategy,? Mayor Oscar Rodriguez said in a briefing. ?But the key to the city?s success is the involvement of our citizens and the commitment of our officials to render excellent public service comparable to what the private sector offers.?

San Fernando adopted the PGS as its governance framework in 2005. This entailed installing a so-called ?scorecard? infrastructure that enabled the city and its private sector partners to implement and measure its efforts to attain its goal.

The ISA administers the PGS program in LGUs, sectoral associations and other organizations as a way of raising the ethical and professional standards in the Philippine public sector.

Recognized recently by the Galing Pook Foundation for its innovative governance program, San Fernando is the first Philippine city to achieve a ?PGS-institutionalized? status.

?A governance culture that delivers results is embedded in both the bureaucracy and the private sector,? ISA executive director Christian Zaens said. ?It cannot be dislodged so easily.?

ISA chair Jesus Estanislao said his organization was pleased with the achievements of its LGU partners.