Page 1

HT

169 P6 V54

1973

DEVELOPMENT MAKATI

,

maturing

ISSUES

ON

PHILIPPINES: a new

town

Erlinda Villamayor "

filipinas foundation manila . • •••••••••• •• •••••••••• ••••••••••

-

m i. t ., urban systems

-....... '9~oratory, cQl7\brid.9tt . .mass. •• • • • • • • •• • • •••••••••••

...........

-

............


AYALA MUSEUY U . . ."

J"~", c. 3

AYALA FOUNDATION. INC .

FILIPINAS HERITAGE LIBRARY

r~~~d~


DEVELOPMENT ISSUES ON MAKATI,PHILIPPINES

:/

A Maturing New Town

\

ERLINDA

~LLAMAYOR

/"

AYALA MUSÂŁU:II Filipinas Foundat ion Inc. Makati, Philippines

u-.urr

M.l.T. Urban Systems Laboratory

Bldg. E40, M.I.T. Cambridge, Massachusetts, U.S.A.

June, 1973

Copyright 1973 Extracts from the text maybe reproduced provided the source is acknowledged.


;

,i


This report is extracted from a 10-volume planning report - "Innovations: A Social and Technological Development Strategy for the New Town of Makati, Philippines". The contents of the lO -volume planning report, a report which analyzed the goals behind spatial design and was a study on the social and spatial reconstruction of the new town, include the following: (1) Evaluational description of Makati as an industrial new town, an inquiry into the unique public/private relationships in the process of developing the site and evaluation on service deficiencies of the area; (2) Criteri a for Social and Technological development proposing a " service mixlT, which includes low-cost housing, transport service improvements, consumers cooperatives and environmental health. A detailed scheme and costing study is presented for each of the service sector; (3) Ap pendix volumes include annotated bibliography on new town development and related planning literature on developing areas, and critical listings of technological opportun ities in the Philippines, in t he field of housing, transport and health.

The views expressed in this report are the author's and is not necessarily shared by either M.I.T. or the Filipinas Foundation . The urban policies ~urveyed and analy zed wer~ of the pre-martial law period The reader i s cautioned to the possible chanses in the structure of urban policy making and of the changes in the pOlicies itself. x

x

x

x

x

x

x

x

x

x

x

x

Filipinas Foundation, Inc. Filipinas Foundation, Inc., a non-proÂŁit or~inization devoted to scientific research and development under the guidance 3nd supervision of the National Science and Development Board of the Governm.:: mt of the Philippines. It was initially capitalized with contributions fron Ayala Corporation 's principal stockholders. Board of Trus tees Joseph R. McMicking Cha irman Enrique J. Zobe l President Robert F. Chandler, Jr. Manuel G. Chuidian

Andre s Soriano, Jr. Arturo Tanco, Jr. Jaime C. Velasquez Trustees Renato de la Fuente Secretary


ACKNOWLEDGMENT

This report and the planning research project were supported by the Filipinas Foundation, Inc., Manila, and the M.I.T. Urban Systems Laboratory, Cambridge, Massachusetts. The project was funded by the Filipinas Foundation Inc. This author served as principal investigator 路 for the larger research and planning study. The field work, which was initiated as part of the project, done in Makati was carried out by the author with the help of Charles Libby, Jr. of the Department of Urban Studies and Planning, M.I.T. Much of the data in this report were taken from the field survey. I am especially grateful to Tomas Gomez III, former Executive Director of Filipinas Foundation, Inc. for initiating the project with us, and to Col. Antonio Henson, present Executive Director, for continued administrative support; to Professor Charles L. Miller, Director of the Urban Systems Laboratory, for providing work space and administrative support. The research team for the planning research project were: Charles Libby,Jr., Estanislao Soria, of the Asian Social Institute, Manila. I am also grateful to the following people ~ho have helped this author: Mr. Angel Estrada, for translating the Spanish ~ocument on pre-wav rail transport system, which appeared in the larger report, to English; Mr. Mel Granada and Christopher Gotangco for providing information on present and future urban policy for Makati. Likewise, there were persons in Ayala Corporation and in the office of the Mayor, municipality of Makati, who have extended this author some help in some ways. To them I extend my feeling of gratitude. Lastly, lowe much to Evangeline Rodil who acted as faithful correspondent, research - assistant, secretary- typist to this author throughout the project, and to Terry Francisco, who assisted in the typing of the manuscript.

Erlinda Villamayor Cambridge, Massachusetts


·

Should be

Page, Line

6, 20 6, 23 9, 2 11, 16 17, 11 20, 21 27, 7 27, 11 30, 5 30, 11 30, 34 31, 22 31(a) appendix, 31 33, 13 35, 18 36, 23 36, 29

37, 6 37, 35

. 43, 22 43, 43 43, 46 44, 43 44, 44 44, 45 45, 11 45, 31 46, 18 46, 19 48, 8 48, 11 48, 19

49, 49, 49, 49,

6 29

31 40 50, 2 50, 12 51, 12 51, 19

-

ERR A T A

.

and not

industrial and residential

industrial

Manila employment poblacion efficient deliverI of capita l1akati upper class highest ar e mostly

Manila the employment polbacion efficient delivery capital Makati class

No

higest all 110

1961 and subsequent years

1961-68 period

social

socail

For light

forliaht o turn other portion is established fourth respondents

Thru

poorer portion was established fourth HOiol8ver, respondents

rooted proposal for In contrast Cavits, Pasig "no traffic"

count fo, I1p.sh hour s • 22 Taxis at off peak hours our survey

at transfer Twenty Eight percent (28%) inside !1akati for these groups m·m ed or rented

Makati to have mid-day movement granting of expenses, their homes vehicle is another has become lmmm

1970, when revenues pesos

rotted

proposal on As compared Cavits. Pasig no traffic. count of

rush hours: 22 Taxis. this survey on --transfer

Seventy eight (78%) outs ide 11akati for the groups ot-m or pc id for rent Hakati have any movelllsnt

grant expenses:

the house vehide has been mown

1970, revenue s dollars


I Il II I lI I I

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TABLE OF CONTENTS

PAGE PART I

THE MUNICIPALITY AND THE NEW TOWN OF MAKATI Section 1 Section 2 -

PART II:

4 - 12

Municipality of Makati, MetroManila, and National Development

13 - 31

DEVELQfMENT ISSUES: TOWN STRUCTURE, HEALTH, EDUCATION, HOUSING AND TRANSPORTATION Section 1 Section 2

PART III:

Makati New Pm-m Development

-

Social Development Issues Transportation Issues: Nature of the Transportation Problem

Section 3 -

Public Finance

CONCLUSION

.

.

. . . . .

...

. . . . . .

32 - 41

-

42 50 54 51

.. .

55 - 56


FOREWORD Older cities are in the first instance, the victims of progress. In the Philippines, the central city of the primate metropolitan area have been the most evident casualty of sub-urbanization. Old centers decay. New town grows. There were changes, but the apparent stability of the old regional settlement patterns, obscured for many years the fundamental changes that were occurring within and around the older city. Somehow, "Changes" that did happen were , for a long time, not percieved lias datal!.

Likewise, the extent and quality of available information of the most recent part about such changes have not yielded "new ..:: videncesl1 - -the kind

required for effective urban planning. It is the central purpose of the report to provide some such new evidences --the "what" of decision-making. To date, disparity betwe e n theliterature about urban problems in the Philippines, and the "reality" of such problems exists. Taking as a case, the new town of Makati, the report proceeds to redefine the problems in a way that is more condusive to effective action. The structure of the report is divided into two thematic parts. Part one is an explanatory description of Makati as an industrial and only new town in the Philippines; its pre - eminence in Metro-Manila urban hierarchy. Part tHO is an evaluation of service deficiencies of the area, probing into the reality of Makati's urban problem, and not\ng similarities or aissimilarities or problem issues to those of the metropol itan Manila area- - the metropolitan regional context of Makati. Issues in transportation, housing, health, education, and residual management (as ~n the case of an urban reform cooperatives project) are analyzed in detail, taking into consideration the proper "scaling" (local vs. metropolitan) of such sectoral issues . Since the main theme of the report is urban development rather than urban metropolitan governance, discussions on private vs. governmental structure (for planning) were excluded. Since this paper is explanatory rather than recommendatory, development programs, schemes and general discussion on urban policy contained in the larger report is excluded. There was at the time of the research, no metropolitan planning agency for the Manila metropolitan area wherein urban data can be found. Likewise, the offi cial planning statistics are too aggregated to be useful for urban planning analysis. The statistical information, particularly social and economic data presented, have come from varied sources, and are of various dates. In retrospect, the research was a challenging exercise in planning and pol icy analysis with the use of scarce data; and since it is a truism that data wealth does not necessarily generate sound policy, this author hope t o have at least presented proper interpretation of available urban data .


PART I THE MUNICIPALITY AND THE NEIl TOlm OF MAKATI


DEFINITION OF TERMS:

"Municipality of Makati" - includes: a) the old communities not previously or presently owned by Ayala Corporation; b) Fort Bonifacio; c) New Town of Makati . Population Areal 1969 hectares Fort Bonifaยงio (national government property) Modern Makati (Ayala Corporation) Old Poblacion (mixed residential/commercial area outside modern Makati) Pre - 1948 Ayala Corporation subdivision TOTAL MAKATI 11UNICIPALITY

Source: (1) (2) (3)

2.

1,250 2 979.2 268.2 497.61 2,986

41,935 1 16,341 55,172 174,352 287,800

Office of the Mayor, Municipality of Makati. Real Es~ate Division, Ayala Corporation, Makati

59,254 - target population in the 50-year plan (1948-1990) 63.11 hectares - areas developed and controlled by the corporation; the remaining are sold to individual lot buyers. outside administrative jurisdicti0n of Makati local government, but population vote during mayoral election. Population, mostly enlisted men and families.

IINew Town of Makat i "- contigious tract of land totalling 1,476.63 hectares, (50% of total land area of Makati municipality, and 80% of total area is under local government administration and popularly known as "Makati II) with areas developed, subdivided and sold, or are presently controlled by the Corporation, during the period pre-1948 till present. The area is as follows: Pre - 1948 Post - 1948 -

Middle class residential development - 497.61 has. Commercial, upper middle class residential and industrial development ("modern Makat i") - 972.2 has.

3.

"Modern Makati"area within the new town of Makati owned and developed by the corporation during the period 1948 till present. The 1948 till present development, is a mUlti - purpose integrated plan, which included the following corporate ventures, site development, road construction.

4.

The Bureau of the Census and Statistics (BCS) Regional Groupings Classification:


I


2 -

1:Region I (Metropolitan Manila) - city of Manila, Quezon City ,

Region Region Region Region Region Region Region Region Region

Caloocan City , Pasay City , Makati, Mandaluyong, San Juan, and Navotas. II (liocos Mountain Province) - Abra, llecDs Norte, llDcos Sur , La Union, and Mountain Province. III (Cagayan Valley and Batanes) - Batanes, Cagayan , Isabela and Nueva Viscaya. IV (Central Luzon) - Bataan, Bulacan, Nueva Ecija, Pampanga, Pangasinan, Tarlac and Zambales. V (Southern Luzon and Islands) - Batangas, Cavite, Laguna, Marinduque, Occidental Mindoro, Palawan, Quezon and Rizal except the four municipalities included in Region 1 above. VI (Bieol) - Albay, Camarines Norte, Camarines Sur, . Catanduanes, Masbate, and Sorsogon. VII (Western Visayas) - Aklan, Antique, Capiz, Iloilo, Negros Occidental , and Romblon. VIII (Eastern Visayas) - Bohol, Cebu, Leyte , Negros Oriental , Samar, and Southern Lyete. IX (Southwestern Mindanao and Sulu) - Cotabato , Davao, Sulu, Zqmboanga del Norte and Zamboanga del Sur; and X (Northeastern Mindanao) - Agusan , Bukidnon , Lanao del Norte, Lanao de~ Sur, Misamis Occidental, t-tisamis Oriental, Surigao del Norte and Surigao del Sur .

•'~Metro Manila Region - Same as Region 1~Manila

:L.

Bay Region - (Tentative classification prepared by the ~epartment of Public Works and Communications, and the Institute of Planning, University of the Philippines, with the assistance of UNDP, United Nations).

The metropolitan Manila area is considered the core of what is known as the Manila Bay Region. Grouped into this region are the provinces of Pampang a , Quezon, Bulacan, Bataan, Rizal, Cavite, Laguna, Batangas, and the sub- province of Aurora. Cities(presently assigned : as Chartered)

San Pablo, Tagaytay, Trece Martires, Angeles, Batangas, Lipa, Caloocan, Quezon, Lucena, Manila and Pasay.

This region combines the provinces and cities contiguous to Manila and whose economic development and production are oriented towards Manila for market and distribution. It has an area of 2,628 thousand hectares and a population of 9,239 thousand. Tagalog is the maJor dialect of daily communication in this region. English is a frequently spoken business language. The region has large suitable lands for agriculture in the central plain provinces in the north. It has also mineral deposits, marble, limestone, clay, borite, perlite and silica and large forest areas covering 27% of the area, large areas of fishponds, and rich offshore


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fishing grounds. This region is the commercial, industrial and cultural hub of the country. It is also the most urbanized, having the highest population per unit area, the highest income per capita and the highest percentage of non - agricultural employment. Outside the metropolitan area, the dominant economic activity is still agriculture with rice, sugarcane and coconut as the important crops. There are also activities connected with the manufacture of cement, forestry and sawmilling, and handicraft industries oriented toward Manila for market, and the processing of coconut and sugarcane. The region is adequately provided with good road network having 24.5 kilometers per 10,000 has. A rail line runs through the region north-south . It has 11 national ports and 46 municipal ports, and 1 trunkline and 1 secondary airport. The major urban centers are, aside from the f1anila Metropolitan area, Olongapo, Angeles, San Fernando, San Pablo, Lipa City, Batangas and Lucena. It is an area dominated and influenced by Manila and whose problem of development regarding water supply, trans portation, housing industrial location, pollution, among other, cannot be solved within the boundaries of the metropolitan area alone but will involve the surrounding areas as well. The region is demarcated with the consideration of the development of the Manila Bay Metropolitan Region Development Project. "Metropolitan Manila (projected) as studied/defined by UNDP Institute of Planning, U.P. includes: Cities of t1anila, Quezon, Pasay and Caloocan; the towns of Makati, Mandaluyong, Paranaque, San Juan. Expansion to the North includes: a) Malolos , Guiguinto, Balagtas, Pandi, Angat, Norzagaray, Sta.Maria, Bocaue, Bulacan, Obando, Marilao, San Jose del Monte, Meycayayan, Valenzuela, Malabon, Navotas. To the East: Montalban, San Mateo, Marikina, Antipolo, Teresa, Angono, Taytay, Cainta, Pasig. To the South: Rosario, Noveleta, Kawit, Cavite City, Bacoor, Las Pinas, Binan, San Pedro, Muntinlupa, Taguig, Pateros . *Capital and administrative center of the Philippines - Quezon City ;':Commercial Capital - City of Manila


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SECTION 1 MAKATI NEW TOWN DEVELOPMENT

Makati New Town is the only rxample of a new town and the only industrial new town in the Philippines. The circumstances in which it was founded belong to a very special period in the nation's history--the post war II reconstruction period .

Unlike the British new towns , Hakati was not built as

a conscious instrument of a national policy for urban development . Makati, a total of 1,476.63(has.) of contiguous land is owned, developed and managed by a private enterprise--the Ayala Corporation. Like Swedish new towns, Makati is a metropolitan extension of a primer city. The new town development in a 50 - year plan, spanning from 1948 to 1990.

The 1970's were to be the

t hird place of development. Today, two-thirds of the land area is developed and sold. The remaining one-third is alloted for commercial and industrial uses which is now under construction . Makati is a new town located within the delimited ~1etro - Manila area. It is approximately 6 kilom~ers from the city of Manila (Central business district) and Manila Port. 1:

GENERAL FEATURES:

*

~':

Modern Makati Development

Hakati i s an industrial new town. The industrial area was zoned for mixed type of light manufacturing (mostly food and chemical plants), and tertiary industries. The development of the whole new town was mUlti- purpose --- a mixture of residential area (1,031.61 has.) was allocated to combine with 463.02 has. of commercial and industrial uses. In the areas zoned residential, living choices in the form of availability of a full variety of housing types were limited. The area was subdivided into three type l ots: 400sq.m. lot (for middle-income), 700 sq.m. lot (for upper middle income), and the "millionaire I s row" (1, 000 plus sq. m. lots). At the planning stage of the development, low-income housing was not seen as within the capacity of the developer to utilize whatever housing program exists at the time. Two factors influenced such decisions: 1) the developer was not engaged in home financing; and 2) no systematic, on-going national or local "housing" program existed at the time, in the sense of an integrated social policy for housing for each municipality and cities of the Metro-Manila area.

As per the definition and criteria 0 what a new town is set by authors, to name a few, Lloyd Rodwin (liThe British New Towns Policy", Cambridge, Harvard University Press, 1956) ; Pierre Merl ine (New Towns, 1971, Methuen Press); David Godschalk ("Creating New Communities" , JAIP, Nov. 1967).


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caarac teristi r:: s: tota l no.o f neigbborhoods- 28 total pop. e xcluding f ort bon U acio-305, 400 ( 1970) total land area:30 sg. hr . t otal pop:daytime,assume 500-600jOOO ( 1 Q 70) no.o f business f irms:2 9 ,B02 ( 1970 target pop. "or t h e inner cO Te< 59,000 ( 1990 ) location : 6 km .from manila"s central bUsiness distri c t types of industries: light - menufacturing(pharmaceutica l , ~ ood processine and bui l ding materials)

IlEVI TO \\1i 0 -' MA KATI

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If new towns were to be grasped as total environment, analysis of it must include information about how they were planned, their important social and physical relationship, and how they will grow and change. Three related aspects appear to constitute a working basis for analyzing "modern Makati I I .

They are:

planning approach, physical form, and

ODe

aspect most pertinent

to Makati than to some of the other known examples of new town--the "catalytic"

quality of the development. 1. Goals

The two fundamental explicit corporate goals for building Makati, were: 1) Creation of a new social and physical environment which would work for people and business from what was then the ashes of World War II; 2) Capital venture: to make a profit in land development sale . The creation of a better environment was seen as consistent with the profit J ~tive. As a program goal, the developer stressed the simultaneous development of the industrial and residential areas since they wished to avoid "bedroom" development. Regarding planning goals, some authors, (Godschalk, 1967; Alonso, 1970)2 suggest that as part of the overall planning proces s , social factors, such as job-creation, must be ~onsidered. For a community t o be self-contained, there must be a high pe~centage of local jobs to resident labor force. Selfcontainment in this sens~ is regarded as a basic planning pre-requisite. Makati is self-contained in one way, but not in the sense of non-commutation of the work force. Makati's daytime worker resides in neighboring cities and municipalities. As contrasted to the British "dormi tory", new towns, Makati is "a place of work'! town. Regarding employment situation: it can be stated that public service jobs are held by residents. There exists rules (explicit or implicit) for such local recruitment policy. In contrast, jobs in industries (5 or more worker categories) are held by non-Makati residents. Auxil iary functions such as open market, retailing, small-scale service shops, exists in the old town and are major sources of local employment. No data on the distribution of industries by location is available. The "self- containment" issue does not seem to bear weight on Makati' sease. The new town lies within the present built - up area of Metropolitan Manila and, due to proximity, the job-generating process, stimulated by the commercialization and industrialization of Makati has a metropolitan-wide impact.

( 2 )David Godschalk, "Creat ing new Communi ties": A symposium on Process and Product". JAIP, Nov. 1967, Vol. XXXIII, No.5, William Alonso, "The Mirrage of New Towns", The Public Interests, No.19, Spring, 1970. (3)No data on the number of new jobs created each ye ar is available. Regarding the increasing scale of industrialization, i.e., rate of movement of number of industries to Makati: for the period 1955-1959, there was a constant rate of increase of 12% per year (for light manufacturing industries employing 5 or more workers). For the year 1969-1970, the rate of


6 -

(3) (Continuation)

increase was twice that of the yearly increase of the 1955-1959 period. For that year alone, there were 78 light manufacturing firms which applied for permits. Source: Mayor's office, Permits Division, Municipality of Makati. No data is available on employment structure of Makati residents. It is possible however, to know something about Makati workers. From the sample survey on journey to work and home travel patterns conducted by the author, on Makati's industrial workers, data showed that 98% of total number of respondents live outside Makati; U2% of 98% live in the city of Manila. Source:

E. Villamayor, Libby, Soria, "Innovations:

Social and Technologi-

cal Development Strategy for the New Town of Makati, Philippines" , Filipinas Foundation, M.l.T. Report. The Filipinas Foundation report findings are supported by other studies. On a survey done ,\n employment structure of the City of Hanila residents, data showed that 83% work in Manila, 12% work in the suburbs (Quezon City and Makati), and only 4% work in nearby provinces . Of the 12% sub-urban workers, 15% are factory workers (highest), 13% are workers in transportation and communications. Since Makati, together with the City of Manila are the major industria centers of the Hanila metropolitan area, one can f S9Y that, for workers not residing in Makati, a great percentage lives in the City of Manila and Quezon City. Also, one can infer from the city of Manila the employment structure data, that for Manila city residents who are employed in the suburbs, a great percentage work in Makati, and Quezon City. See NSDB, SWA, City of Manila Report: "Manila Its Needs and Resources". Manila, 1969.


7 -

Another interesting approach to the development of Makati, not explicitly stated as a corporate goal, but came out as an operational goal was the pioneering establishment of a unique partnership between local government functions and private sector's initiatives and resources. Throughout the construction phase, the developer took the initiative, provided initial capital and undertook construction and development. The development of site and basic services were capitalized and undertaken RY the Makati Development 4 Corporation, a subsidiary of the Ayala Corporation. T~e public administration and maintenance of the new town were to be a joint municipal governmentprivate developer cooperation. The total cost of development for the 979.2has. (modern Makati) was estimated to be P250m ($4,766/acre). Data on costing for the area developed in the pre 1948 period is unavailable. Below are costs for the post 1948 development. Cost:

Construction of Site and Services (1950 Prices), Modern Makat i P/ Sq.m.

1.

Site development inCluding road construction - Residenmal area Commercial/Industrial area

2.

Water, Sewage and drainage System, electricity, telephone lines

Total Cost P36.4m

P 2. 94 11.17

P95.5m

For a detailed breakdown on site construction costs - (see appendice #2) 5 Whilst 1Iprivate new town development 1l as is understood in the West , mean publicly finance, (or subsidized~, and supported by enabling quasi public or private organizations, the development of Makati was"private 1l in the following sense: the planning, site preparation (relocation of squatters), infrastructure and building construction, finance and continued management of built communities (with aid of resident associations) were all undertaken by the Corporation. (4)ExamPle: During the 1948-1955 period, the residential area was served by an independent network of water pipes at the expense of Ayala Securities Corp., but subject to the design and supervision of the metropolitan water district. Post 1955 NAWASA (National Waterworks and Sewage System) acquired from Ayala Corporation the water. lines at depreciated value (1300,000.00). The period 1958-1965 was a period of low water pressure for all residential areas. As a result, Ayala Corp. financed and constructed a total of 30 deep wells, two reservoirs, 1m gallon each, and independent water supply system for areas constructed at post 1965 period. The independent water supply system as per NAWASA ruling, may not be connected to the NAWASA system. The system is to be managed by Ayala Corp. Water rates to be charged would be the same as that of NAWASA rates. {5 )For a treatise on this, see Anthony Downs, 1ICreating Institutional Framework for Encouraging New Cities", JAIP, January, 1971.


8 -

2. Management of Modern Makati (Coordination between Ayala Corporation and the Local Government): Another functior., not explicitly stated as a corporate planning goal, at the early planning stage, but nonetheless became an operational goal --was the pursuit of a system of management corporation (through, some "process of consensus ") throughout the early phases of development . Cooperation, took

the following forms: construction and maintenance of municipal roads; public works building and utilities are the responsibilities of the municipal engineers; office funding of these services is to be shored by the national and local governments. Municipal taxation supports the general administration and protective services. It shares with provincial and national governments such services as health and welfare and barrio improvements. The local government, through the national planning commission provided the minimum requirements for building and planning which served as guidel ine for the developer. The national planning commission, with the registration commission, approved the Makati proposals and plans of which requirement were considerably 6 of higher standards than those stipulated by the commission. The maintenance of 411 of modern Makati was to be the responsibility of a created resident ass~ciation (Ayala-Paseo de Roxas Association). This association which is ~omposed of 39 members is assigned the tasks of: road repairs , garbage collection, beautification, traffi c signs installations, and security. The associat\on is a non-stock, ~on-profit organization. The funding- of the association CQmes from the dues collected from the members on the basis of the area of lot owned. This is a supra - tax (!luser-charges") over and above the tax that residents of Makati pay to the Municipality of Makati. The tax that residents pay is used to improve the poorer sections of the munici pality . MODERN MAKATI :

Type of Subdivision and Association Dues /Square Meter Residential Commercial Industrial

? .50 to .65 centavos .50 (undeveloped lots) 1.00 for developed lots not available

3. Town Structure Features: From the viewpoint of daytime travel needs of Makati workers, Makati is " self- contained" . The workers rarely travel outsige Makati for purposes of either business, shopping, and other social trips. Likewise, residents (6)F or a d e t al'1 e d wrlte-up . . . . on restrlctlons and rules, governlng the upper

income residential areas: see Loze, and de Guzman, "The Relation between The Private Sector and Local Government, focus: Ayala Subdivisions". Unpublished report , P.A. 309, seminar on local government. Manila, 1969. (7 )Villarnayor , Libby and Soria : '1Innovations : Social & Technological Dev ' t Strategy for the New Town of Makati", t1arch 1973, Chap.3, FFI - M.I.T . Report, March 1973.


9 -

(working in or outside Makati) make use of services in both the I'modern Makati" area and the old "polbacion ". Makat i is autonomous in terms of

absence of out of town daytime travel patterns. The physical planning of Makati could be said to reveal both the strength and weakness of new town development and construction. The development has greatly improved the housing and commercial office facilities in the area. The technoloeies used in building and site construction were advanced and efficient. The New Town is a laboratory for testing new innovations in engineering and construction techniques. (Examples of innovations: 1) efficiency by which

the water supply problem was met due to efficient engineering programming; 2) installation of biofilter sewage treatment; 3) high standard of safety in construction whereby buildings are required to withstand earthquake intensity of 14; and 4) guaranteed electric power service, garbage collection and regular maintenance of utilities and buildings). The apparent success in the technical-engineering management aspect of the development generated some unforseen results: the scale and speed of con - . struction and the successful application of engineering technology outstripped the leisurely pace of community development. The visual outcome was one of a forced process of evolution based on importation (of planning techniques and technology) .

Parallel with the efficient manner by which programming of engineering constr,uction was carried out, is the equally effective use or incorporation of real estate management techniques in programming the development . The land construction and land sales management were coordinated tasks within the project-planning system. The timely programming of these two tasks proved mutually supportive and were both contributive to the success in the land construction-management operations. (No project or site under the responsibility of the corporation was ever, or is currently abandoned . As a real estate venture, the developer, Ayala Corporation, registered a gross sale of 46.86m for the year 1970 with a net income after tax of 25m . Source: " Real Estate Marketing", page 30, Marketing Horizon, April 1972, Manila) . Perhaps the least satisfactory element in the development is architecture. (IIArchi tecture II to mean: urban form and building design). The physical form of a town furnishes necessary information about community structure, circula tion, scale, and placements of functional elements. vlliat of all these, takes modern Makati as subject for constructive criticism? It is difficult to separate all factors (aesthetic and otherwise) resulting from the influx of Spanish and American cultures into the Philippine history. Some are immediately evident , usually because they are misplaced in context: the residential portion of the new town, borrowed verbatim from the American (8)

Veritas Report: Section on "Survey of Shopper Needs", in The Mood of Makati, 1967. Manila, unpublished survey report.


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pre and post - war housing development process , insinuated in greater Manila area. Concessions have been made in the design of housing, such as security via walls and guardS, necessary perhaps, as a result of proximity to urban business centers --again, a forced choice, because of the difficulty of transport communication. Another resul t of central location is the high land costs forcing full coverage of land by houses, thus resulting into the internalization of neighborhood life, vis-a-vis, country clubs, as a focus of the upper income neighborhood str uctures. In "modern Makati " itself, the office complex is of a misplaced origin, the

structuring process is reversed from simil ar constructs in history in Nhich the necessity for high rise was implanted on an existing social, business and physical order. This order is lacking in Makati, the underlying fabric, while it exists , is of a much different nature. One manifest of this is the 9 lack of a ground level and little ground communications between points in a seemingly barren space . Landscaping of trees and plants is minimal. Likewise, the architect~oe serves no purpose other than to securely house corporate functionings. Wi\hin some office buildings, spaces are not economically allocated (i.e. spaces underutilized), expensive roof deck constructions are used only on occasion, while occupants of the building are seldom given access to the exteriors . If ~uch spaces were environmentally controlled, it could be used to highten the urba\it y of the area. Modern Makati is overzoned. Likewise, industries and commercial offices are lined in ribbon development fashion along major routes, making it a potential traffic clogged strip , in the event of increase in density. Alongst the strip of office buildings (Ayala Aven ue and Buendia Avenue), there is a ground level, an expensive arrangement of land which could be used in many ways (including servic i ng those who have no access to middle and upper priced services within the comp l ex;. These lack of. ser vices for middle low income Makati (or transient) workers were evident in the manner "mobile!! squatter type luncheon places have appeared in Makati parking lots. (9)

Zoning was strictly imposed as one form of development control throughout the planning and construction period, prohibiting retail shops in the ground floor of office buildings, gasoline stations, and other traffic generating activities. The zoning policy, however, runs counter to other design decisions, namely, that whilst public traffic was curtailed through prohibition of traffic generating ground level activities, the area was explicitly designed for vehicular use (cars). What was perhaps, guarded against were the unmanageable influx of commuters from nearby cities into the commercial - industrial core. Instead of incorporating an efficient pub lic transport system to service the area as tool for traffic management, the corporation adopted an oversimplified measure, i.e., curtailment of !!urban life ll generating activities. (10)

Dr . Manuel Escudero of WHO, in describing I'~hat appears to be Makati and Manila business districts, noted such places as psychologically !!alienatingl!. See M. Escudero I s IIPerceptions in an Urban Environment!!. Seminar 2 proceeding April 16 , 1969. Philippine Institute of Architects, I.P . -U . P.


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As a new town in a modernizing state, Makati epitomizes what most developing countries are presently experiencing--a social and ecological change that is likely to be uneven, discontinuous, characterized by acute (visual-physical and social) disturbances. In Makati, one notes the "'traditionalists" and ll II mo dernists constructs, to be all at once in fusion and in dichotomy. 4. IICatalytic ll Aspect of the Development The development generated many types of changes within and outside ~4akati. To name few obvious ones: 1) it reformed the traditional land development practice in the Philippines. The development became a "model" which served

to uplift co~~truction, land planning and management standards in the Philippines; 2) the experimentation and formation of various local business and citizen's associations elsewhere; 3) mobilization and institution of efficient municipal government, through the reorganization of the M~~ati Mayor's Office and the introduction of new city management techniques; 4) setting of new opportunities in bringing about reforms, such as, construction of more scho~s, and efficient delivery existing municipal sponsored social services. Given the situation of cooperation between the developer (Ayala Corporation) and the mayor's office, these enhancements were possible and in turn proved attractive to other industries, enough for them to locate in Makati. Lastly, the new town industrial development of Makati which steered the growth away from the city of Manila spurred the development of housing communities in the southern corridor (towards Laguna province). No accurate data is available on the number of residents in th'e newly developed subdivisions who work in Makati. However, the random survey done by the author, revealed the fact that housing communities S:mth of Makati serve as "bedroom communi ties" for Makati (some residents of B. F. Homes subdivision work in Makati).

(11 )

The development also generated superficial responses. Most largescale residential developments within the Manila metropolitan area a ttempts at duplicating the "snob-appeal II of Makati, (i. e. security guards at gates, pools, etc.). (12)

Christopher Gotangco, '1A Management Information System: Mayor's Office, Makati ll â&#x20AC;˘ Unpublished master thesis. The Asian Institute of Management, Manila.


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The Makati new town development can be said to be a "symbol" and a by-product

of a successful (corporate) organization of an integrated building, financing and real estate management system. As a capital venture, it is equally a success. As a city-planning and urban design - urban facilities planning exercises, it leaves much to be desired. As an opportunity for social development planning, the experience was not a total misfortune. Although systematic social planning was apparently not intended as an input to the plan, the corporation, at the later period, has set up a framework for social developments (evident in: 1) joint effort with the Mayor's office to implement social programs; 2) special policy of hiring unskilled labor in operations controlled by the corporation). Intended as an industrial center, Makati became one, through the use of tax incentives for businesses who wish to be located in Makati. The successful establishment of Makati as a functioning new town can be attributed to many factors. To name a few: 1) political climate of the time, in the city of 13 Manila, which contributed to the hastening of suburban exodus of industries; 2) Locational advantage - Ivtakati lies within the Philippines' primate re gion; 3) resource (1abor, capital, existing physical infrastructure) endowment already available in the region. There are other factors aside from this. Section 2 presents in ~etail, Metro-Manila's primacy and Makati's relation to it, as well as the factors or features of Makati, descriptive of its uniqueness as the only new town and only industrial new town in the Philippines.

(13 )

For write-up on political demagoguery and rivalries characteristic of Manila's 1960 politics. See, "Manila's loss, Makati' s gain" . Time Magazine, June 28, 1968, p.20.


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SECTION 2 MUNICIPALITY OF MAKATI, METRO-MANILA, AND NATIONAL DEVELOPMENT

Regional Inequal ity and the Primacy of Metro-Manila: The primacy of Metro- Manila shall be established by use of the following indicators: 1) demographic: concentration of population, rate of urbanization and pattern of inter- regional migration to show the extent of population gravitation to the primate region; 2) distribution of income; 3) concentration of industrial activities; 4) regional shares in national income . 1. Demographic Factors: l.a.

I nter- regional Migration. The rate of population increase between 1948 1960 varied considerably among different provinces in the Philippines. During this period, 24 provinces gained population at a rate higher than t~at of the recorded national average of 40.8%; while in 30 provinces, population declined at a lower rate than the national rate. The percent increase in the population was more than 100% in Rizal, Bukidnon, Davao, Cotabato, Agusan, and Lanao del Norte.

A similar trend continued for the period 1960-1970 . Between 1960 and 1970, 31 provinces gained population at a higher rate than that of the nat i onal rate of 2.968% per annum; whilr in 36 provinces, population increased lower than the national rate.

TABLE I -

1950-1970 Population Migration Trends, City of Manila and Rizal Province Rate of Increase/l,OOO pop .

Ci ty of Manila Rizal Province

15.252 55.515

(1)

For enumerations: See Yun Kim "Net Internal Migration in the Philippines 1960- 1970 11 , U.N. Popul ation Analysis Project. Bureau of Census and Statis t ics. Advanced copy report, (provided to the author, June 1972). There is no breakdown of the Rizal province data by municipality. Makati's 1960- 1970 increase owing to migration cannot be determined as per Yun Kim's study .


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There is a rapid population redistribution within the provinces in the Philippines. Some of these evidences are: 1) large differences in the rate of population growth among different provinces; and 2) a large proportion of population residing in a province other than the province of birth. The city of Manila, llDcos and Mountain Province, Central Luzon, Bicol and Masbate, and Eastern and Western Visayas, Southern Luzon, Northern and Southern Mindanao, gained population growth owing to internal migration. During the 1960-1970 period, the

province which gained most due to migration was Rizal Province. l.h.

Migrants' Characteristics. There were 1,825,876 female vs. 1,741,793 male ~igrants who changed their provincial residences between 19601970. This phenomenon is quite different from the pattern observed in most developing countries in recent years where male migrants far outnumbered female migrants, (Example, India). The largest majority of net migrants were from age groups 15-19 years, 20-24, and 25-29 years old. These three age groups contributed as many as 1,901,570 migrants or 53.5% of the total migrants. Twenty six percent (26%) of the male ~opulation of Rizal in 1970 were migrants who moved in during the 1960-1970 period. One half of the population of Rizal Province, aged 20 - 24 years present in 1970 were migrants who moved during the 1960 - 1970 period.

Also in the perio~ 1960-1970, the city of Manila, I l ocos, Mt. Province, Central Luzon, Bic01 and Masbate, Eastern and Western Visayas regions were losing population heavily while, Cagayan Valley, Southern Tagalog , and Mindanao were gaining population through migration. Urbanization trend flows south of Metro-Manila area. In comparison, about 65% of the total male population in the city of Manila was lost due to out - migration of male population, ages ranging from 30 years over and below 15 years, although more than 28% of the male population, ages ranging from 20 - 24 years, in Manila during 1970 were in - migrants. Migrants were largely young adults. 1.9 million out of 3.7 million, or 53.5% of total migrants were of 15-29 years age group. 1.c.

Population: Growth,Size,Age,Sex. During the 1960-1970 period, the total Philippine population registered an increase of 36% (3.6 % per annum); the 11anila Bay Region, 51%; 4he Manila Metropolitan area 3 , and the city of Manila, 17%; Makati, 60%. See Table l - a. ,

(2)

Yun Kim, op.cit, pg. 14. (3)Bureau of Census and Statistics definition of io1etro-Manila. For the LP.U. P. UNDP report, "Manila Bay Metropolitan Framework Plan", October, 1971, University of the Philippines. (4 )

Source of Basic Date: Bureau of Census and Statistics, Survey of Households, For the Year 1960 and 1970. BCS, Manila.


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The total population of the Manila Bay Region stood at B.S6 million (in 1970) VB. 3.81 million (in 1948), representing an increase of 125% from 1948-1970. The Manila Bay Region's share of total Philippines' population went up from 20.9% (in 1960) to 23.2% (in 1970). See Table 3. In 1938, the population of Makati was 33,530. In 1948, population was 43,335; and in 1960, 114,333 persons were listed. In 1970, the population was 305,400. The increase for the period 1938-1948 was 7,805 or 780 persons per annum. For the period 1948-1960, the increase was 72,665 persons or 6,055 persons per year. The increase for 19481960 as accounted for by birth-death figures, average only 1,700 a year, which leaves 4,655 persons per year as influx to Hakati. (Source: Municipal Census Division, Office of the Mayor). The increase in population density, hence, was due to in-migration to residential areas developed by Ayala Corporation, and the establishment of industries and offices along Pasong Tamo, Buendia and Ayala Avenue. Makati's population growth is largely due to in - migration.

TABLE 1- A:

Population Growth Rate (Annual) Makati

Period 1960-1970 1946-1960

TABLE 2:

1-19 yrs. 19-60 yrs. 60 yrs. & over

Metro-Manila

Philippines

3.6 2 3.0

1

6.01 4 9.3%

Percentage Population Distribution by Age and Sex Total Philippines (1970)2

23.10 22.60 1.39

24.46 26.37 1. 79

47.56 49.26 3.17

48.9 39.8 2.8

53.2 34.2 3.5

Percent 47.09 52.62 100 100 100 3 Total Number 125,099 138,845 263,944 3,970,083 36,684,486 (1) Source: Mayor's Office, Municipality of Makati (2) Source: Bureau of Census and Statistics, "1970, Census of Populat ion and Housing," Advance Report. 1970, "Metro-Manila", is BCS I S definition. (3) Population forecast for total Philippines: 37,671 (high), 37,134 (low), 37,402 (medium) for year 1970; 53 ,41 5 (high), 46,978 (low), 51,407 (medium) for 1980; 76,654 (high), 61,001 (low), 69,800 (medium) for year 1990; and 111,139 (high), 72,732 (low), 91,684 (medium) for year 2000. Source: F. Lorimer "Analysis and Projections of the Population of the Philippines in "First Conference On Population".University of the Ph ilippines, 1965, page 203 . (4) Elvira M. Pascual, Population Redistribution in the Philippines, Manila. Population Institute, U.P., 1966, p. 64.


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<D M

1

27,088,000

300,000.00

Philippines (Bureau of Census & Statistics)

36,590,068

8,561,643

3

960,000

2,900,000

900,000

184,819

1960-1970

increase

4

Population

,

90

217.6

1,829

29,744

124

329.3

2,481

34,572

Density sq .rn. 1960 1970

The figure used by UNDP-U.P. is higher (1,793,116). The definition of metro-Manila is larger in scope than that of the Bureau of Census and Statistics' definition.

(4)

Bay Metro Framework Plan;1, October 197 1.

u. P.

(3)

~'Manila

Bureau of Technical Surveys and Maps, Survey Section, Interview (Telephone), Sept.?, 1972.

(2)

Institute of Planning, UNDP Report,

Source of basic data:

(1)

26

112

652

4,828

,Increase , In , Density

Bureau of Census & Statistics Survey of Population and Households.

5,659,207

3,970,083

2,959,140

1,618.24

26,000.00

1,323,430

1,138,611

38.28

3

1960 1970 in thousands

Population

Area,Population Densities, 1960 - 70

Manila Bay Region (UNDP-U.P. definition)

(Bureau of Census & Statistics definition)

Metro Manila

City of ;Ianila

2

Philippines:

City of Manila, Metro-Manila, Manila Bay Region

Area Km.2

TABLE 3:


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The Philippines ' Metro-Manila and Makati have a young population. In 1960, the population census of the Philippines reported that the average person for the country was 16.8 years of age. In 1968, it was 16.6 years of age. In the Makati Municipality, almost one-half of the population belongs to the economically active group (19-60 years of age), as contrasted to the total Philippine figure of 34.2% (See table 2). For Makati, females outnumber the males for all age groups. 1.d. Metro-Manila and Makati: Population Distribution, Area, Densities. Whereas the City of Manila's population increased by 17%, the city's average density went up from 29,744 to 34,572 personsTkm. implying a per capital reduction of land for all uses from 33 . 5 to 29 sq.m. The next most densed area is Pasay City, followed by Pasig. Makati ranks 5th amongst areas with high density. METRO-MANILA (Selected) City/Municipality City of Manila Pasay City Pasig San Juan Makati Cavite City/Rosario, Cavite Quezon City Source:

Density/km 34,572 14,689 12,050 10,025 8,840 6,500 4,520

U . P. -UNDP Report, 1!Manila Bay Metropolitan Framework

Plan", October 1971, University of the Philippines Increase in density in the cities and municipalities is, of course, due to population increases in these areas. Table 4 shows popUlation increase for 1960-1970 period for the contiguous (built-up) areas within the delimited Metro-Manila area. Table 5, shows Makati's popUlation growth and density profile in relation to metropolitan Manila. Although Makati registered an annual popUlation growth of 6% for the 1960- 1970 period, density (gross) increase was low. Makati, in the 1960's had approximately 40% of the total area, unoccupied. In the 1970's approximately 63 hectares, (controlled by the developer) were unoccupied. The Fort Bonifacio portion of Makati is totally undeveloped, except for few officers' housing. Table Sa shows the most dense residential community in Makati to have higher density than the city of Manila's average den sity of 34,572 persons'sq.km. Metro - Manila's population growth has been concentric though it has tended to pOlarize along major traffic routes. The city of Manila with the cities and municipalities surrounding it (Makati included), together forming 1/4 of the present metro-Manila land areas absorbed nearly 3/4 of the population increase in the 1960's.


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1 Metr o- Manila : Population Distribution (1960 - 1970 increase)

TABLE 4 :

1.

Ci ty of 11anila

184 , 8l9

2.

North Expressway into Obando , Marilao Quezon City and Caloocan San Juan - Marikina i1andaluyong - Antipolo , Angono Makati - Calamba - Carmona Pasay City - Rosario - Imus

190 , 069 490 , 044 147 , 959 246,320 322,768 211 , 192

3. 4. 5.

6. 7.

TOT

A

Percentage

Population Increase

Contiguous Areas

10.7 27.3 9.3 13.7 18.0

11. 8

1 , 793 , 116

L

100%

Source : (1)

Metro - Manil~

IrManila Bay (2 )

U. P. - UNDP definition.

M~tropolitan

The Bureau of Census and Statistics figure is higher (17%)

TABLE 5 :

1 Areas , Population , Gross Densities 1960 - 70

Makati

Areas sq.m. Populat i on 19 60 Population 1970 Increase in 1960 - 1970

Gross Dens i ty 1960 Gross Density 1970 Increase i n Density

( 1)

Data from: UNDP - U.P. Report,

Framewor,'k Plan !!, October 1971.

Househol d Popul ation .

30 114, 333 305 , 400 191 , 067 8 , 835 8 , 840 5

Manila

38 1 , 323,430 29 , 744 34, 572 3 , 628

Hetro- Manila 1 , 618 . 24 2 , 959 , 140 3,970,073 1,793,116 1 , 829 2 , 937 1 , 108

Philippines 300 , 000 27 , 558,000 37,158,000 9,600,000 90 124 26


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TABLE SA:

t1unicipality of Makati:

Comparative

Residential Densities

1)

Modern Makati (Ayala Planned Villages)

Areal

Household

Density

Sq.Km.

Population

Persons /Km.

5

16,341

3,200

229,524

2)

Mixed Residential-Commercial Area outside IImodern Makat i II

6

3)

Fort Bonifacio

4.5

41,935

1

38,250

9,000

Source of basic data: Real Estate Division, Ayala Corporation and Office of the Mayor, Municipality of Makati. (1)'

Barrios under this category have household population ranging from

16,562 for Barrio Tejeros (highest) to 1,974, Barrio Singkamas (lowest). In the Metropolitan Manila, 50.7% of the popUlation are female. In Makati, there is 4% more female than male of the working age-group. Metro-Manila popUlation is not as young as the rest of the country. 35.9% of Makati's total popUlation is under age 15 (43% for MetroManila) and about 47.56 is under 20 (52% for Metro-Manila).

1.e. Population Characteristics: Literacy. Compared to metro-Manila and total Philippines, Makati's popUlation is almost totally literate, (Ii terate, to mean, those who have attended primary schooling, _being able to read and write). There is no data available for Makati on "highest levels of schooling attended", by sex, age or residence of respondents. Table 6 was presented for general information.


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TABLE 6:

Literacy of Household Population, 10 Years of Age and Over, Both Sexes, Rural and Urban (1970) 1

Makati

Metro-Manila

Literate Illiterate

190,502 4,159

1,929,397 84,232

20,937,511 4,177,552

Total Population

194,661

2,013,629

25,115,063

(1)

Philippines

No data available for metro-Manila. Figure under the column is for Rizal Province (where metro - Manila is). The 1970 Census breakdown is by provincial level.

Source:

1970 census of population and housing, Bureau of Census and ~tatistics, Manila. Advance report copy.

1.f. Household Size and Definition.

For the 'city of Manila' and 'Metro-

Manila area', "hol1sehold" refers to a nuclear family and household and

earning members who are relatives or non-relatives. For the "total Philippines 11, "households II refer to a nuclear family. For Makat i, "households" refer to a nuclear family and household helps to a ratio of one domestic per 1.2 family member. The number of children per household is 6.8 (national average). TABLE 7:

Household Size (1967)

Average Size Makati/upper residential areas City of Hanila Metropolitan Manila Philippines

Source: (1)

(2)

10.54 9.8 9.8 8.8

(2) (1) (1) (1)

M. Concepcion, 1967, "The Population of the Philippines ". pp. 185-199, in the University of the Philippines First Conference on Population. Real Estate Division, Ayala Corporation, Makati.


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log.

• ab Ie Ilterature · 5 are unanlmous . Pattern. Ava~l in their conclusion: the norms , in terms of family size are difficult to specify, even within a cluster of population at a given point in time. Based on census data, specific counts indicate that the Filipino family size ranges between 5 to 7 children, with variations from 8 to 10 . In some sectors of the country , espcially in the sub-urban (Metro-Manila) middle-class communities , the sizes range from 3 to 5 (does not include household helps or live - in persons). See Table 7 for variations in the •• S~ze and

Fam~ly

Fertil~ty

definition of a I!household ll •

In the period before 1968 (pre - birth control programming years from 1958- 1968) , demographic data show~ a trend for big size families. Most social - anthropological literature cites the concept of the family as an important and pervasive principle in the Filipino culture- - often the interests of the family becomes superordinate over the interests of the individual members. This observation is based on the fact that almost all activities in the community centers around the family. This apparent ly traditional description of the family does not mean that no variations in both the st~ucture and function of the family in the Philippine society exists. There are numerous variations, the type of families found in Forbes ~ark, Makati, and the role they play in community life are certainly different from those found in say, the slUms in Tondo, Manila. J As regarding the deuerminants of fertility patterns, high income people in the urban areas have lower fertility records because they marry late, not necessarily because they have a lower average number of children as compared say, with the rest of society. Higher fertility rate of middle to upper class women can also be attributed to lower infant mortality, i.e. better health of the mother (Thomas Pullum IIAn Overview of Differentials in Philippine Marital Fertility': Population Institute, University of the Philippines, mimeographed unpublished report~. Family size is a function of fertility and fertility largely a function of marri age (legal and consensual) patterns. There are a l ot of sociological writings stating the Filipino family as an "extendedll type of family. This is a very generalized statement . In terms of residential structure, the Filipino rural and urban family as a general rule is "nucl ear" , i.e., a family newly formed lives apart (5 )Pullum Thomas , "An Overview o~ Diffe r entials in Philippine Marital Fertility ll, Population Institute, U.P. (1971) mimeographed unpublished paper, and M. Concepcion , "The Population of the Philippines", pp. 185199, in t he U.P. First Conference on Population. (6) Smith, Peter , "The Timing and Incidence of Marriage in the Philippines 11, Temporal Change and Sub - Group Differentials in 1968, Population Institute, U.P. , 1972.


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from the nearest kin . This does not mean they are not close, in terms of emotional, social , and economic terms , only that most newly formed couples establish separate households. In some isolated cases, extended type residential patterns occur , 1.e., families living in the same lot compound but in a separate house as in the case of the upper class urban residential areas,

It is possible to denote basic characteristics of a Filipino family and discuss in general terms its structure and function in the Filipino society. In both urban and rural areas, the family functions as the main point of reference i n the various networks of social relations. This point has great implications for planning networks of urban facili ties for the nuclear family. It must cater to family-centered or oriented patterns of behaviorism. The patterns for recent mi grants or transients in the metropolitan areas are different, i.e., students, migrant urban workers (settled or transient), who live apart from their families , and would require another type of service facilities. This group make up a distinct Tl classu, within the metropolitan area over all population con~guration or sub - group . Trends in timing of marriage can be an indication of the future size of an "average Tl Filipino family. From a survey on the percentage of un married groups , by age, and mean ages at marriage, for the year 19031960 , the percentage, of unmarried persons have steadily increased for all age groups except the oldest age groupings. The percentage of unmarried people at ages ranging from 15 - 19 rose by 13.7 points for the year 1903-1960 , and 11 points increase of ages ranging from 20 - 24. These changes in the timing of marriage for females were seen to be persistent over time. The tempo and age patterns of the changes clearly suggests the gradual diffus i on of "late marriages II , from younger to older age - groups over the period. The trend is expected to continue for the 1970's. (Source: Thomas Pullum , "A Comparison of recent Philippine Fertility with the Natural Fertility Hodel ll , Mimeographed paper, University of the Philippines, Population Institute, June 1972, pg.20). ~egarding fertility differentials by regions : Luzon Islands and :1indanao show the full range of total marital fertility rates. Luzon, Ilocos and the Nt . Province have the lowest fertility rates(6.47) and Central Luzon and Bicol region have the highest rates (B.36 and B.18 respect ive l y) . ~letro - Manila I s rate is 7,43 (intermediate). Birth control level at metro - Manila is the highest detected. !~etro-Manila (including' Hakati) women have about 30% fewer children while in the ages of 30 - 44. There is also evidence that in most Tlmodern" regions of the Philippines , women were employing some means of birth control after the age 30 , at least. (Source : Thomas Pullum , op.cit., pg.22. See also P. Smith, "Philippine Regional and Provincial differentials in Marriage and Family Building!!, Philippine Sociological Review, 1966 , Vol . 19 (3- 4) pp . 159 - 181).


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Fertility Amongst Migrants Migrants (to major urban areas in the Philippines) have lower fertility than natives; and that the difference is not explained away by differences between the age of marriage duration compositions of the groups. Although the over all fertility of migrants is lower than that of natives, the difference is not uniform for all ages and marriage durations. In general, the fertility of migrants who are young (under 30) and those who have been married for a relatively short period of time ( l ess than ten years) is higher than that of similar natives of older age and longer marriage durations whose fertility of migrants is lower. The possibility that the educational difference '1explains" migrant native fertility differentials was considered and rejected. Standardi zing for education does not alter the size or direction of the differences between migrant and native mean numbers of children over born; the means are 3.15 and 3.83, respectively. An interesting pattern is noted: migrant-native fertility differentials at varying educational levels. At the elementary level, migrant fertility is much lower than native fertility; at the high school level, it is almost equal; and at the college level, it is higher. These differences which are found within age groups as well, suggests tha t the migrant group has relatively low average fertility pr~marilY because of the low fertility of its poorly educated members. The findings that migrants and natives differ little with respect to selected indicators of participation in urban life does not support the hypothesis derived from the social-mobility theory. Although it might be argued that overcoming the handicaps of a rural background to achieve equality with natives in this respect does indicate more active participation by migrants. According to the Western theory of "social rnobili ty", migrants in the city seek occupational and financial success; because a large family might be an obstacle to the attainment of these goals under urban conditions, migrants act to limit the number of their children. This implies that migrants are rational and purposive in decisions about family size. They are "family planners ll â&#x20AC;˘ In various fertility studie s ~ comparison of migrants and natives in Manila indicate that there is little difference in the frequency of family planning acceptance; migrants and natives are almost equally likely to know about, approve of, and use contraception. Hendershot, Gerry E., 1971, "Cityward l'1 igration and Urban Fertility in the Philippines", Philippine Sociological Review, Vol. 19 (3 - 4) pp.183191. (8)

G. Hendershot, ibid. T. Pullum, op.cit. (1972) and P. Smith, op. cit. (1972).


24-

Since migrants are no more likely than natives to accept family planning, it is unlikely that this factor could explain migrant-native fertility differences. Most fertility studies tested directly the migrant-native fertility differences by comparing the fertility of migrants and nonmigrants separately among contraceptors and non - contraceptors, and showed that among both users and nOTI-users of contraception, the ferti lity of migrant is lower than that of urban natives. Although the difference is reduced among users, in observing migrant - native fertility differential, family planning does not account adequately as the differing factor. (See Pullum (1971), Hendershot (1971). An alternative means of achieving lower fertility is postponement of marriage. Either because of the temporary disruption of life - cycle activities caused by migration, or by intention for the purpose of avoiding the mobility - limiting ties of family life, migrants might be expected to delay marriage. It is hypothesized that rural-urban migrants tend to marry later than urban natives. The study showed that among females, the more urban the destination of migrants, the less likely they are to be married. In other words, migrants to cities, especially Manila, marry later than migrants to rural areas. Likewise, age at marriage of migrants was compared with the age of urban natives in Manila. It was found out that the median age at marriage for 9 migrant was 19.6 and for natives 19.3. However, although mi&rants do marry later, as hypothesized, this difference does not explain the migrant - native fertility differentials. The fortifying measures were presented and indicated that among both late and early marrying women, migrants have lower fertility than urban natives. In conclusion: The social mobility model, although deficient in some respects, does provide a plausible interpretation of many of the findings of many migration studies. It hypothesized correctly that migration is positively selective , that migrants participate as much as (if not more than) natives in urban life, and that migrants have lower fertility than natives. It does not adequately account for the means by which migrants achieve lower fertility, neither family planning nor late marriage provide an explanation. Inleupport to the study of Hendershot, we looked into the study of P. Smith and found that low fertility is somehow a regional characteristic and not due to cityward migration. In Smith ' s study, the Ilocos Region has the lowest fertility rates in the country where most of its populace have not in their lifetime migrated to any urban area. (9)

Hendershot, G. op.cit, pg. 185. (10)

Smith, Peter, 'IPhilippine Regional and Provincial Differentials in Marriage and Family Building : 1966 11 , Philippine Sociological Review, Vol.19 (3-4), pp. 159-181. See also: Nole De Los Angeles, I1Marriage and Fertility Patterns in the Philippines ll , Philippine Sociological Review, Oct . 1965, VO l .13, No .4, pp. 232 - 249.


25-

If the social - mobility model should prove a valid interpretation of the relation between migration processes and urban fertility in developing nations such as the Philippines, it may be paired with the assimilation model to reconcile the apparently contradictory findings in studies of migrant - native fertility differences. In developing nations where poorly developed system of transportation and communication make ruralurban migration a costly venture, migration will tend to select the upward mobile person, whose response to urban culture will be a rather rapid reduction in fertility to levels below those of the urban natives. In more developed nations, however, where transportation and communica tion are easy and relatively cheap, the mi~ration process will be less selective, and rural to urban migrants will be more nearly representatives of the rural population. 2.

Household Income, Expenditures, and Distribution

2.a. Household Income by Regions: The family income (national average) was Pl,471/annum in 1961; P2,541/ annum in 1965. A~erage income for metro - Manila in 1965 was highest at P6,590/annum. The next highest was in Southern Luzon which was P3,025/ annum . Income was lowest in Cagayan Valley (P1,322/annum). (Source: 1!Family Income and Expenditures, March 1965 11 â&#x20AC;˘ The BCS Survey of Households, Bulletin, series no.221). 1971 data was not readily available at the time of this study's survey. In 1961, Region 1 (Metro-Manila) with only 8.2% of all families in the country received 21.7% of total family income. In 1965, Metro-r~anila's share in the total family income was 23.2% registering an increase of 1.5%; whilst regions 2,3,6,7,8,9 and ten exhibited decreasing shares of income for the period 1961-1965. To conclude: Metro-Manila has a high percentage of persons with high income as compared with the rest of the regions in the country. 2.b. Distribution of Family Income and Income Per Capita figures: Manila Bay Region and Philippines.

Makati,

Table 8 shows that 42.60% of Makati household belongs to the P5,000 and above income range. Makati, being an area of high environmental quality, is a place where high income groups tend to reside. Figure A, "Lorenz Curve, showing the distribution of family income", shows Makati' s household income to be more equally distributed, as compared to the city of Makati and the Philippines figure. This does not mean, however, that standards of living for total Hakati is actually higher than the rest of the country. On the contrary, income per capita for r~akati is almost equal to that of the Philippines. See Table 9.


J


26 -

Percentage Distribution of Annual Household Income

TABLE 8:

Income (p) 1,999 and less

2,000-2,999 3,000-4,999 5,000 plus Source:

Philippines 1968

Metro-Manila

1968

tlakati 1969

69.95 12.63 9.55 7.87

25.33 26.10 23.65 24.92

16.1 18.52 22.57 42.60

May 1968, National Demographic Survey, Bureau of Census and Statistics, and Mayor's Office, Municipality of

Makati.

TABLE 9:

Income Per Capita (Pesos)

Makati (1969)

Manila Bay Region (1966)

Philippines (1969)

666 (1) 862 (2)

685 (4)

851 (3)

(1) Figure arrived at by dividing annual family income for total Makati by 8.8 (family size), national average.

(2) If divided by 6.8 (family size) (3) In real terms, the figure has grown by 2% annually over the last decade.

(4) "Manila Bay Region" as defined by U. P. UNDP, Study.

See

"Regional Delineation of the Philippines'!, UNDP Report, 1971No figure is available for Metro - Manila. The 1685 figure is from the report. Other Sources:

2.c.

"The Philippines: An IUNestment Handbook of Facts and Figures". Government of the Philippines Report, 1969, and municipal data on household income, supplied by the Mayor's office, Makati.

Expenditure Patterns. The average annual family expenditure in 1965 was 12,877 (for total

Philippines) and 16,685 (for Metro-Manila). Of the total amount spent, Metro - Manila households spent 44% on Food, (49% for Philippines), 24% on Housing (10% for Philippines), 5% on Clothing (10% for Philippines), 4% on Transportation which ranks 4th in Metro- Manila (1.5% and ranks 5th for total Philippines), 3.8% on Education which ranks 5th in Metro-

Manila (5% and ranks 4th in total Phi l ippines).

There is no data


1'IGlJRE A

DISTRIBUTION OF FAMILY INCOME Maka1t.!..( 1969) , Manila ( 1965), Philippines ( 1965)

, - - ,"-- - - -r--- -r -

100

-- <- -

I

80

~

.s 60 '"o ~

"

o

"

&

40 ,

MAKA([,I

PHILIPPINES 20

o 20

40

60

80

100

Per Cent of Household.

Source:BCS survey" of H01:lseholds , bulletin series no. 22, Family Income and expenditures, 1965.BC8


\


27 -

available on percentage nistribution of expenditures by items for . iT selecte d lncorne groups. Average Annual Family Expenditures by Major Occupation of Household Head, 1965: According to the BCS SUrvey, average expenditures were highest for the professionals and proprietors. These groups are reported to have the higest median income (15,999 and 13,527 respectively). The case was more pronounced in Metro-Manila where the median income of these two occupations nearly doubled that of their counterparts in the rural areas (r9,786 and n,692 vs. n,822 and n,031). The "big spenders" (professionals and proprietor class) are all in Metro-Manila . This is not surprising considering the fact that a large percentage of employment in the tertiary and secondary occupations are found in Metropolitan Manila. In 1960, tertiary occupations were 47.3% and secondary occupation 21.7% of total registered jobs in metropolitan Manila. The figures for the Philippi nes were: 65.0% for primary occupations, 13.2% for secondary and 21.8% for tertiary occupations. (Source : The B~S Survey of Households bulletin, labor force, 1960. Published by the Bureau of Census and Statistics, Manila . ) No data or furthe~ breakdown of data by municipal level (vis- a-vis Makati) is available. 3.

Unemployment rate and Employment Characteristics (1971) : Makati's rate of unemployment is low compared to Metro-Manila and that of total Philippines . For 1970, the unemployment rate was 5 . 4% (for total Philippines); 10 . 2% (for Metro - Manila). For 1969, the unemployment rate for Makati was 1.5%. (Source: BCS Survey of Household bulletin series No . 28, March 1971 and lIProfile of Makati", Municipal census Division, Municipality of Makati). Non - agricultural activities (industries) provided major sources of employment for Metro-Manila (99.3% of the area' s total registered jobs in 1971), and Makati (99.4% of the municipality's total registered jobs in 1969). For the Philippines, ln 1971, agriculture and related industries provided 48.5% of total jobs in the country and the remaining 48.5% was provided by non - agricultural activities . Comparing the 1971 figure with the above 1960 data, for total Philippines, one can note an

(11 )

A. Laquian, "Slums are for People", provided data on expenditure patterns of households with income of 12,999/annuam and less. The patterns for Metro - Manila low- income group is similar to the Philippine figure. Scattered data, however, suggests that expenditures for housing increases as income rises.


28 -

occupational shift from agriculture and related jobs to non-agriculture activities.

Labor Force by Occupation (1970) In 1970 , there were 1.8 million workers registered in the Philippines. In Rizal Province, there were 612,283 workers; in the city of Manila alone, there were 287,876 workers.

The Rizal Province figure included

cities and municipalities other than Manila City. No further breakdown on the Rizal figure was available to show the distribution of workers amongst cities and municipalities. It is not clear how many of the 612,283 are workers in Makati industries . The Bureau of Census surve~2registers workers by his place of residence and not by place of work. Of the 287,876 city of Manila workers, approximately 9% are looking for work for the first time; 30% are manufacturing workers; 27% are in Commerce; 18% are in Transport and Communications; 10% are in Construction; 8% in Agriculture, Hunting and Fishing; 3% in Mining and Quarrying; 'and 4% in activities not described. Of the 612,283 Rizal Province workers, approximately 7% are looking for work for the Birst time; 9% are agricultural workers; 2% are in Hining; 30% in manulacturing; 10% in Construction; 16% in Commerce; 15% in Transport ana Communications; and 7% are workers in activities not described. Again, it is not clear as to how many of th~se workers reside andlor Hork in Makati. All that is known is that a great percentage of light manufacturing industries in Rizal Province are located in Makati . (See section 2 of Part 1 for partial listings of industries) . From a special city-wide survey done on the city of Manila (see 1!Manila, Its Needs and Resources", NSDB and City of Manila Report, April 1965), it is possible to determine labor classification by sex and by place of employment for the city. Some of the findings were: 83% of Manila residents work in Manila, 12% work in the suburban area, 5% work in nearby provinces (outside Rizal). Of total surveyed workers, approximately 44% were service and recreation workers,2S% sales workers, 22% were craftsmen and factory workers, 18% were ' Transport and Communication workers. A majority of Manila workers who work in the suburbs were fishermen, clerical workers, and executives and managers. It is not clear how many of Manila's clerical and executive workers work in Makati. No such survey study was available in Makati, Quezon City and other towns within the metropolitan area.

The 1970 census of population and housing, BCS Report No.55 for Rizal Province , has labor force data by "major occupat ion group" and by 1!industry group " . However, the breakdown is by !1 ur ban- rural" category and does not specify place of either work or residence .


29 -

On the whole, various data presented showed the primacy of metro Manila (and Rizal Province) as a national service and manufacturing center. 4.

Shares in National Income, by Region (1968)

TABLE 10 :

Shares (%) in National Income by Region

Region I - Metro-Manila Region X - Southern Luzon Region IV - Central Luzon

TABLE 11:

1961

1962-1966

42.9 9.0 8.0

44.5 9.5 7.5

41.8 9.2 8.8

40.3 9.5 9.2

Regional Income by Industrial Sector, 1961-1968 Agriculture

Region 1 - Metro - Manila Region X - Southern Luzon Region IV - Central Luzon Source:

1968

1967

. 5% 56.1% 40.7%

Shares of Services

29.7% 25.0% 30.5%

Industries 69 .8% 23.9% 28 . 8%

Business Indicators, Vol.l, No.7, p.3, published by Economic Development Foundation, Makat i, Rizal.

Other related indi cators of the primacy of Metro- Manila include the shares in national income of Metro-Manila, rate of economic growth and the sectoral distribution of income compared to other regions of the country. From Table 10, one notes Metro-Manila to have contributed more than 2/5 of the national income for-1961 -19 68 period. MetroManila's share in national income largely comes from manufacturing 13 payroll (P182.0m); Service (154.0m), and Construction payroll (123.05m). Metro - Manila's contribution to GNP (1961) were as follows: manufacturing 54.1%; construction 77.5%; utilities 57.3%; Transport and Communications 59.2%. In subsequent years, there was no substantial change in Metro Manila's contribution to the total output for thes sectors, except for a slight decrease/increase in certain sectors . 14 The differing economic performance of the ten regions are as follows: the annual average growth rate for Region X was 19.3% (highest); (13 )

Master plan for a Sewerage System for Metro-Manila area, 1969. p.63. (14 )

Business Indicators, op.cit., p.4.

NAWASA,


30 -

followed by Eastern Visayas (15%); Central Luzon (13%); Bicol Region (12.9%); Southern Tagalog (11.7%). The "middle growth" rated areas are: Metro-Manila (9.5%); Southern Mindanao (9.6%1 and llocos (7.7%); slowest growing region is Cagayan Valley (2.2%). 5 Me data was available on what contribution Makati had on Metro - Manila's 9.5% growth. Likewise, no data was available on the further breakdown of the distribution of wages by type of economic activities for Metro-Manila aggregated figure. By use of common sensical reasoning and by observation, one can say that MetroManila's 77.5% share to GNP, from construction activities during the 1961-1968 period, largely comes from Makati. The 1960's was the construction "boom-period:! in Makati. 5.

Index of Physical Development There are other indicators on the primacy of Metro-Manila. indicator is the IIleve l of physical development f1 â&#x20AC;˘

One such

In the study dORe by A. Tioleco ("A Statistical Technique for Physical Planning"~ unpublished M.A. thesis. Statistical Center, University of the Philippines), Rizal Province was shows as the highest scoring province with an index of 22.1, while Batanes province has the lowest score (5.1). (The study tried to show a composite index of physical development and arrays provinces with respect to a notion of "levels of development". It combined 65 pieces of information describing 10 aspects of development, i.e., communication, housing, roads, etc. The index has a mean of 1.85 and standard deviation of 2.51). The study by Tioleco, however, hardly gave a glimpse on Metro-Manila's topology. One study, which was conducted on a city by city level and which gave a view on the differentiation between town and cities the Metro-Manila area, is Fujimoto's community differentiation study.

fg

Fujimoto reviewed the various communitY - l~nking studies on Philippine towns and presented his own methodology. By use of Guttman ' s "scale analysis", the study probed into how social information is maintained and ascertained the complexities of life in a given community. (15 )

Business Indicators, op. cit., p.4. (16)

Isao Fuj imoto, "The Socail Complexity of Philippine Towns and Cities", Solidarity, May 1968. Solidaridad Publishing House, pg. 42. (17) With 1965 as cut-off point, 39 communities were callsified as major market towns. In past ranking studies, Fujimoto noted that Makati is often not included. Fujimoto noted Makati to be a "very significant com munity" which did not fit in any of the previous ranking categories. In his "Social Complexity" scaling,Makati came out as important as Manila.


31 -

Fujimoto used three scales: commercial differentiation, recreation, and public articulation scales in his inventory procedure. The three scales all indicated the degree to which the Philippine cities were ordered in a cumulative fashion. Another scale, a fourth one, was introduced. Scale four showed the result of interlarding selected items from the previous scales--it showed the growth of the diverse array of cities and specific towns in relation to the general scale. For example, Makati with its television stations, stock market, offices of various diplomatic representatives is at scale level of Manila. Makati, like Manila can be considered the prime communication "nerve center" of the Philippines.

*~':*~':

Lack of data precludes a more quantitative analysis of Makati as an industrial new town; its precise role in recent national economic development. Detailed economic analysis on Ma~ati such as types and quantities of jobs the development generated, share in the GNP of the municipality's total economic activities (i.e., construction, manufacturing, money wages, etc.), is not available. What was established in sections 1 & 2 is a description of Makati's importance (and uniqueness as a town) within the metro-Manila urban hierarchy. She lies at the center of Metro-Manila's pre-eminence. With Metro - Manila serving as center of manufacturing and service industries for the country, Makati serves as Metro-Manila's (and the bay region's) center forlight, technologically-intensive manufacturing industries and related services. (See appendix (1) for structure of industries in Makati). Hakati is also a IIcommunication nerve" center. As one of the municipalities within the Metro-Manila area, Makati benefits from the level of physical and economic development established in the region. In addition, Makati has noticeable features which will make the area continually attractive to industries. To name a few: a literate, healthy populace belonging to the economically active age-groupings. Forty percent of households are in the 15,000 and above/annum income range (upper income persons who pay taxes) in the municipality. Standard of living is not much higher than the rest of the country but unemployment is lower than the city of Manila, or the whole metro-Manila area. A sound and relatively responsive urban government. All those make Makati a functioning new town.


APPENDICE #1

STRUCTURE OF BUSINESS ESTABLISHMENT:

A.

MAKATI NEW TOWN

By Type of Ownership Total Number of Firms (1965)2

- - - - - - -

Corporations ( multinational)! (manufacturing, investment firms)

29,804

440 (approximately)

Single proprietorship (stores, bars, restaurants)

Local operations (dealers , manufacturers, import - exports co. ; banks, investment companies, etc . ) - - - -

(1)

B.

29,364

Partial lists: Aboitiz Marketing , Acme Tools , Aircon, American Wire and Cable, Aircon Trading, American Oxygen G Acetylene Co., Inc., Armel Plastics, Atkins Kroll, Ault & Wiborg Co. , ColgatePalmolive, Commonwealth Foods, Connell Bros. Co., Dodge & Seymour, Ed Keller & Co., Squibb & Sons, Estraco, Inc., Far East Bank & Trust Co., F\lipinas Auto Sales, Firestone Tire & Rubber Co., GOOdrich, Goohlyear, IBM, Johnson G Johnson, Macondry G Co., Pfizer Laboratories, \S . C. Johnson G Son Phil . , Inc., Sinclair Parts.

By Acti vi ties Total Number of Firms (1965)2

29,804

r4anufacturing (mostly chemicals, food, machine parts , drugs, apparel ) - - - -

30%

Tertiary industries (banks , real estate, development firms, insurance, importexport) - - - - - - - - - - - - - - - approximately 30% of tota1 3 Services (laundry, tailoring, grocery stor es, merchandising, restaurants, etc . )

(2) (3)

Source:

approximateJ-y 30%

- - - - - - - - - - - - - - - of tota1 3

Employing 5 or more workers. No data on !1 marg inal" occupations. No data is available on exact number. Approximation was arrived at a turn study of business permits applications for the years 1969- 1970 and 1972, and assumed trend to be the same for year ' 65. Bureau of Census and Statistics, 1965 Survey on Industrial Estab lishment. Additional data supplied by Atty . R. Reyes, Liason officer, Mayor ' s Office, Municipality of Makati.


APPENDICE # 2

SITE DEVELOPMENT COSTS Estimated

Cost

total area

factor used/ sq .m.

Estimated total cost (including 5% extra)

2.94 3.00 3.91 I, 3 . 87 1' 4 . 39'" 4 . 00

2 , 760 , 500 2,395 , 000 2 , 554,000 2 , 275,500 1 ,496 ,500 2 , 100 , 000

538 279 764 359 368 268

Magallanes Village 740,000 Dasmariftas Village 1,300,000 Salcedo Village 410,000 San Carlos Village 290 , 000 Santiago Subdivision 530 , 000

4 . 45 4 .1 0 5 . 00 4 . 45 4.40

3,457,500 5,596 , 500 2,152,500 1,355,000 2 , 448,500

807 1,090 700 500 1,500

Rizal Subdivision Pa l m IIC n "

\ 90 , 000 113,580

4.50 4.50

897,500 536,500

25 0 150

118,023 106,000 153,157 340 , 013 300,000 58 ,000 132 , 000 80,000 54 , 000 50,000 43,400 235 , 000

6.33 1' 3 . 00 3.521' 2 .16 1, 3.00 10.00 8.50 3.25 6.26 11.17 0.75 1. 50

SUBDIVISION

per sq . m.

Number of resi dential

Number of

industrial lots

lots

A. RESIDENTIAL Forbes Park Forbes Park North San Lorenzo Village Urdaneta Village Bel- Air Subdivision Legazpi Village

936,344 760 ,000 650 ,139 560 , 000 324 , 676 500 , 000

1 (Ayala Comp. ) (118,000 sq. m. ) 23

(91,000 m2 ) 18 6

B. COMMERCIAL & INDUSTRIAL AREA Buendia uF" Buendia "Gil Kayamanan "All Kayamanan !'B" Kayamanan "C 11 Apartment Ridge Ayala Ave. South Ayala Ave . North Ayala Triangle Roxas Triangle Park-Cemetery area Commercial center

TOTAL COST -

Source :

747 , 500 334,000 539,500 734 , 500 945,000 590,000 1,125,000 275 , 000 340,000 560,000 33,000 150 , 000

145 141 25 57 53 (9apts. ,1 hotel) -

?36,399,999 17,573

Office files, Real Estate Division , Ayala Corporation.

1468


APPENDICE # 3

TABLE 1b:

COMPARATIVE AREA AND POPULATION DENSITY, CITY OF MANILA AND MAKATI VS. OTHER FOREIGN CITI ES.

AREA

-

,

POPULATION

DENSITY

City of Manila (1970)

38 sq,kM.

1,323,430

Makati (1970) including 1/2 of Fort Bonifacio

30 sq.kl'l.

305,400

New York 1970, Central 1 City, Manhattan Islands

830 58

7,772 1,518

9,364 26,181

Singapore (1970) Main

117

1,632

13,949

Bangkok (1971), Central City3

239

2,271

9,502

urban area 2

34,572 11,800 8,840 4

(1)

New York Times, Feb. 15, 1973. (2)

Thomson and Wardlaw, "Growth and Change in Singapore \I, Royal Australian Planning Institute, Journal , Vol.9, No.2, April 1971. (3)

Embassy of Thailand, Washington D.C. (4 )

The Dens i ty figure provided by the U.P. Institute of Planning, See U. P. Report October 1971, "Manila Bay Metropolitan Framework Plan 1\.


PART II DEVELOPMENT ISSUES:

Town Structure,

Health, Education,Housing and Transportation


32 -

Because of Makati's uniqueness as a town, and even if (given a hypothetical case), net population growth and migration be stopped, there will still be a major development (city planning vs. a more narrow real estate planning) task ahead. The reason has more to do with the make - up rather than the size of the area's population. 1 Taking Makati's population and situational characteristics, this portion of the report proceeds to enumerate and analyze what these issues or tasks are. As a method for analysis (for easy handling of identifying the "urban problems") ~ issues were divided into:

(1) those with bearing on technology; (2) those with bearing on the more immediate social and economic needs of households . On the matter of "technologically" developing Makati, two items come to mind. IIDevelopment ll can be posed along the following terms: (1) increase in functional efficien cy of already available public faci.li ties; (2) right choice of technology, systems and services delivered to the right people (consumer). On a more direct "people related" issue, broader set of items come to mind: a sense of "community" (integration), urbanity, provlslons of basic necessities for urban life (food, shelter, health care, education) come under the II so ftware" order. Whilst other new towns in the world have problems of attracting industries to the place, Makaf had no such problem. As a result of the influx of industries to Makati, municipal revenues (through income and real propoerty taxation) increased by 2,000% in 10 years (1960-1971),2 enabling the local government to pursue public service improvements. Basic urban physical infrastructure is in ex~stence. (See Appendice 1 for sele cted items of urban services in Makati). Ipdeed, development issues to be discussed are those dealing with Makati; Municipality t s prospect as a "maturing" town .

(1)

For this reason, the ten volumes planning report from which this paper is based, did not emphasize physical land-use planning. The study is one of a planning statement on a variety of features (which could be incorporated in some future "systematic planning processes") vs. a single directed future or a plan. Besides, "Modern Makati" had already a "plan What the whole municipality needs is a systematic city planning process arid related institutions for planning. (For an analysis on Makati Administration, see Villamayor, Libby i. Soria, "Innovations . . . "Chapter 7 Part Three, "Administration and Finance". FFI- M.I.T Report, March, 1973.

II.

(2)

Source of basic data: Makati.

Municipal Assessor's Office, Municipal Town Hall,


33 -

SECTION 1 SOCIAL DEVELOPMENT ISSUES 1.

On People Related Issues:

Makati as an Integrated Community

Makati's communicty is not yet fully integrated. Whilst this is no open animosity between the residents of the modern section and of the P90rer sections, there is no substantial interaction either. 3 Provisions for urban services amongst the different communities are lopsided. Services in "modern Makati" range from "adequate to abundant" whilst other areas have barely adequate services. 4 For areas outside modern Makati there are six major needs: Drainage 15%; Schools 14%; Hospital 13%; better roads and streets 13%; water facilities 12%.

(Percent means percentage of total households outside Modern Makati).

The lagging socia~ and economic situation of the other portion of Makati, is not one of failure in corporate responsibility, i.e., the entrepreneurial effort surrounding t~e physical development of Makati New Town. The new town scheme was from the start, not integrated in any conscious community industrialization policy. There was at the time no conscious and explicit public industrializatiop policy or programs f0 the area from which new 5 town building was seen to be one of its t001s. (3)

See Section on residents' "attitudes towards large businesses in r~akati" and "attitudes towards residents of modern upper income residential areas"., pp.20 - 24, and "attitudes toward quality of life in Makatil! by respondent's place of residence within Makati, in "Mood of Makati ll , Oct. 21, 1871, Veritas report, as quoted in Villamayor, Libby & Soria, "Innovations: Social & Technological Development Strategy for Makati".

FFI-M.I.T. Report, March 1973. (4 )

See Appendice 2 IIWater Supply in Modern Makati ll , on level of service for that portion of Makati. (5 )

Programming for small-scale industries for Makati is a recent policy, currently understudy by the present Mayor(Hayor Yabut). From: Interview with Mr. M. Granada (Assistant to the Mayor), Aug. 15, 1972. Historically, the practice of planning in the Philippines is largely national in level and scope, often not realized in spatial terms. Economic planning targets are set in terms of income, patterns of commitment, etc. but location of industries, patter of land-use are merely implied. Likewise, until very recently, there was no national government sponsored new towns policy to the scope and extent of influence of the British New Town

Policy.


34 -

To this date, better wages offered by Makati industries benefit non - Makati residents (90% of workers in Makati industries who reside elsewhere). What Makati lacks is the provision of opportunities and relevant services for the 60% of total population below the VS,OOO/annum income to live humbly in the town , and the capacity of the town to support them in diverse occupations mainly devoted to servicing the needs of the local markets. 6 \

Though Makati is a functioning new town, heightened sense of " urbanitylt and livability " still has to be achieved.

There lack distinct micro - forms

(enclaves for activity-groupings) and varieties of such forms. What exists are strips of undifferentiated buildings. Facili,ies are scattered and there is lack of convenient means of getting into them. There is no proper guidance on how to get to these facilities (need for "city furniture II like signs, lights, information booths, clock, traffic signs). Makati is lucky to have a diverse group of popUlation (re: "ethnics II and the "internationalized!1). But there lacks a variety of housing and living choices for such diverse groups . (To cite an example, female workers predominate, yet most office buildings in Makati have no female rest lounge, few have ladies rooms on ground level , no seats in bus stops, streets ill - lighted, etc.)

(6 )

As a response to these matters, a preliminary investigation on the revi talization of the Tramo area Consumers C00peratives projects (located in a district right in the boundary line separating Makati and Pasay City), was done. The potentialities of the project for servicing Makati was the prime focus of study . The project status: 9 stores still exist ing, no program expansion, lacks leadership, and currently ill- managed. See Villarnayor , Libby 6. Soria, Itlnnovations: Social and Technological Development Stra-cegy for Makati It , Chapter 3, "Urban Cooperatives", FFIM.l.T Report , March 1973. (7)

For a critique from an urban design and traffic circulation point of view, and proposals for improving "movement system" in and around Makati, See Villamayor, Libby & Soria, "Innovations: Social and Technological Development Strategy for Makati II, FFI - t1. 1. T Report, March 1973, Chapter 1 " Transportation II . The movement system study includes an intra barrio, inter- barrio circulation plan.


\


35 -

2.

Education

Educational facilities insMakati (outside the ':modern area") is geared

towards formal education. A change in attitude towards education is needed, (learning as that which occurs in places other than schools), Makati's problem is similar to that of the City of Manila. New learning opportunities such as (1) vocational education for work in the human services of health, nutrition, recreation, rehabilitation, etc. , (2) training of para professionals, (3) environmental education for work on traffic safety, building and open space maintenance, (4) fir~t aid training, ( 5) consurnership, and learning as integrated with recreation, are few of the programmatic opportunities for Makati. 3.

Health

Makati has less an image of decay than the City of Manila. However, Makati 's unhealthiness should be measured by another yardstick. Health hazards may mean pollution, safety, (in industry, buildings, streets , etc .). Because of dualistic development, Makati acquired two types of health problems: problems due to underdevelopment and progress. For the two problems, one type of health care and delivery system is established, knowlingly or unknowingly aimed at meeting both types of health problems.

(8)

In 1960, percentage distribution of expenditures for all Philippine municipal schools and programs, was 46% of total expenditures for urban social services. Still , the system has not ~Et the demands. For major urban areas in the Philippines in t he 1960's, the drop - out figures are : 52% of general secondary students enrolled the previous year dropped out of the next school year. (Source: P. t40ral "Educational Planning, Status, Problems and Possibilities", '!he Philippine Economy Bulletin January 1963). In Makati, approxi mately 40% of students enrolling for primary and secondary levels for the first time, are not accepted. (Source: "Makati Profile, 1969, published report by the Municipality of Makati, Growth of Makati school population averages at 8% per annum, Source: M. Cruz, "School Problems needing Solution ". Makati Progress Review, 1965, Makati

(9) For a program on "Theater development for Makati", see Villamayor, Libby 6. Soria, "Innovations: Soc ial and Technological Development Strategy for Makati 1/, FFI-M. I. T, report March 1973, Chapter 5 "Educational Theater". (10 )

lIWestern Medicine, consumption-oriented," Curative, hospital-oriented delivery system" for the rich and skilled urban minority and (implicitl~T or explicitly), also for the low-incomed majority.


36 -

Two causes of health problem:

(1) general level of "underdevelopment 11 ,

(2) hazards brought about by progress. Health hazards due to progress (pollution, industrial safety, etc.) are best discussed and solved as a national level policy. The issues under discussion here are those of "community in character ll and due to underdevelopment. The population group under discussion are those living outside II mo dern r1akati " .

The community health problem, in turn, can be specified into: (1) problem issues rooted in economics and (2) issues that are technological i.e . , hazards due to use of wrong medicinal product and health delivery system or simply non provision of right products and systems. Somehow, ignorance of the population make - up, their health characteristics, and nature of their demand for hl~lth services often leads to over-supply of certain types of health care. Clearly, what in fact, is Makati's state of health? Makati's mortality rate is lower than Metro-Manila's. Makati's total death (1971) is 873, (.3% of total 1971 population) vs. Manila City's 1.3%, Makati's physical environment is much healthier than the rest of Metro-Mani!~. Only 15% of Metro-Manila's household is connected to a sewerage system, compared to 85% of Makati's household connected to a sewage system. Broncho pneumonia ranks first as cause of death (11.8% of Makati's 1971 total death) and malnutrition and hypertensive cardio vascular disease ranks second (6.9% and 6.4% respectively). No data is available on geographic distribution of death by barrio w~thin Makati and by age groups. Malnutrition ranks fourth as major cause of aeath, a revelation quite astonishing considering Makati's affluence. Health Resources: Makati has a total of 14 city puericultures and two rural health1~nits. Health facilities and services for "curative" care is available. In some parts of Makati, the environment is not conducive to good health. For all income levels in communities outside modern Makati, drainage was a common problem (80% of total household respondents considered it adequate). Respondents from lower income categories found all services related to environmental health deficient. Only 5.8% considered the drainage system adequate, 20% rated hospitalization adequate, 14.0% considered garbage collection and 16.0% rated water service, adequate. ( 11)

For data on cost distribution, see Palaypay "Parasitic Control", Unpublished Paper, as quoted in Villamayor, Libby & Soria's "Innovations" , FFI-M. I. T Report, Chapter 6 "Environmental Health." (12 )

Manila, Its Needs and Resources.

NSDB-SWA, City of Manila, Report,

1967, p. 133. (13)

See Villamayor, Libby & Soria, Innocations, March 1973, Chap. 4 "Environmental Health" for details on present structure of health facilities & programs in Makati. (14 )

"The Modd of Makati" veritas repor-t, October 1971, as quoted In Villamayor, Libby & Soria's " Innovations ... "


37 -

From the above, we note an oversupply of capital intensive health facilities, and very little ~5tention to preventive health care, vis - a-vis, environmental health planning . The above are issues related to matters of re-orienting the health program as well as supply of demanded technOlogy (health infrastructure). What about issues rotted in economics? Compared to the City of Manila, Makati's residents know about and make use of existing facilities. Drug prescriptions are oftIg given but high costs of drugs prevent people from purchasing medication . Drugs are imported, and a consumer pays 100% in price for a product of which substance (active ingredients) only costs 30% of total price. Perhaps, a program for development of tradil~onal medicine (pharmacological research and development) can be initiated . "The inability to pay for consumer goods in this case, drugs, at current market price ", also applies to food purchases . Rising food costs prevent consumption of nutritious diet. To summarize : the root causes of the health problems are: (1) low quality of physical environment such as inadequately constructed and heated houses; (2) archaic water distribution and drainage system in the Metro- Manila area (includes parts of Makati outside "Modern Makati"); (3) nutritional deficiencies; and high cost of drugs. The health problems are environmental, educational and dietary . On a broader scope, it is also economic. 4.

Housing

The Makati housing problem is not a slum and squatter problem. Of the total number of squatters in Metro - Manila (1968), .8% of squatters are in Makati, 24.5% are in Quezon City, and 27.6% in Manila . . Six percent (.6%) of ยงlum dwellers are in Makati V5. 80 . 7% in Manila, and 2.6% in Quezon City.1 Comparing construction activities for various cities and municipalities In the Metro-Manila area, Makati's problem is not one of aggregate supply. For a more detailed study and outline of proposals for relevant health infrastructure for Makati, see Villamayor, Libby & Soria's IIInnovations .. II March 1973 report , Chapter 4 "Environmental Healthll . To name a few: (1) ideas about water storage, (2) housing system built around the health concept, (3) site planning and parasitic control. (16)

From interview, Councilor Charita Planas, August 16, 1972, Manila. (17)

For a proposal on a Makati botanical garden in Makati to serve both as urban open recreation space and for the development of medicinal plants, see : Villamayor, Libby & Soria, tllnnovations ... I I , Chapter 4 "Environmental Health." (18 )

"Squatting and slum dwelling in Metropolitan Manila", Report submitted by a special committee of the National Housing Council to the Office of the President in 1968.


38 -

Ten per cent of total dwelling c?TIstructed in ~~zal province are in Makati (25% in Quezon City and 11% in Caloocan City). The problem is more of equal distribution of supply of housing units. 80% of total residential dwellings constructed in Makati is of the single detached type, wi standards beyond the means of families under the V700 per month income. In t1etro-Hanila more families need houses. The price for which most people can afford to pay for a house is much lower than the cost for which a house can be constructed. Most houses that are constructed contain at least 75 sq.m. of living space. The cost of construction per sq. m. is 1200 (1968 prices). The minimum cost of a house is 115,000 excluding land cost. 21

28

The number of families which can afford a mlnlmum priced house at any given time depends on income level, expenditures alloted to housing and home financing terms available. Families earning less than 1700/month cannot afford the minimum house cost of 115,000 under present conventional mortgage terms?2 A housing shortage exists because more than 70% of families in Metro-Manila earns less than 1700 in 1970. For Makati, it is 64% of total household population. The average price of a house produced in Metro-Manila is much higher than the 115,000 minimum. Actual construction for 1969 in the Metro-Manila area showed the average cost of residential building to be priced at P30,000 per unit. A mere 10% of Metro-Mani2~ households earns Pl,300 per month (income needed to support payments). For Makati, 16% of total households earns Pl,300 per month and above. Housing shortage necessarily results in the spiralling increase in rent prices. Appendix 3 shows rent structure in Makati. Consumers meet the increase in rising cost by spending more for such item. For the period between 1961-1965, expenditures for food declined. A family spending 1676 annually for housing in the early 1960's, spent '1,347 fpr the year 1965, a 100% increase in expenditure in 4 years. (See M. Concepcion "Demographic Considerations", Business Prospects, 1970, Manila, p.49). One major obstacle for providing the needed housing is unavailability of inexpensive urban land. Price of residential urban land in Metro-Manila increases at a rate of 12% per year. Land values in Makati residential areas ranges from Vl00 per sq.m. to 1175 per sq.m. in 1970. The housing situation, i.e., problems (high cost of land and construction, (19)

1970 census of housing and population.

BCS Report, l1arch 1971.

(20 )

Villamayor, Libby G Soria;

"Innovations ... ", Chapter 2 "Housing", p. 5.

(21) Housing in the Philippines for the 1970's. (22 )

Bancom Report, op.cit., p.l0. (23)

Bancom Report, op.cit., p.13.

Bancom Report, Manila, 1968,p.8.


1


39 -

conventional mortgage and finance systems) and opportunities characteristizing I~etro-Manil a

is identical to that of Makati.

The factor which contributes to

the exi sting gap between the minimum cost of a house and the maximum amount most families can pay for a house is ident i cal for both Makati and the rest of Metro-Manila. I nstitutional factors impe ding the growt h of better supply and management of housing may be less in Makati due to recent introduction of progressive urban management. The characteristics of programmatic opportunities in housing are identical : it is both "product - deliveryll oriented. The present orientation of Makati municipal govern~qnt towards housing takes in the form of active supply of finished products. Whilst two middle - income housing projects are planned for Makati, presently there lacks an integrated urban policy framework for municipal housing. For the middle income housing projects current l y proposed, and as a matter of general attitude, there is a strong tendency to treat housing solely as an architectural and engineering problem. Attention on the 56% of total Makati population having incomes ~~ V400 per month and below i s lacking (possibly a low-income housing scheme). At the stage in which an intensified scale in housing construction is pursued by and in the municipality, it may be useful to institute an overall urban policy for the municipality, not only for the sector in housing, but also related services such as income maintenance program , cooperatives and envi ronmental health.

For the modern "inner core" portion of Makati, the development problem is an urban design problem. For the new town as a whole, it is a public - use facilities planning problem; specifically , the equal redistribution of existing resources, and future planning for the right services (requiring a change in the present urban development philosophy). All these plans are achievable. Decision makers have resources , i . e . , complex organizations (equipped with techniques and manpower) adaptive to change. Reckoning with in-migration is another new town problem . Decision makers in Makati must come up with some definite urbanization- migration policy . Ayala Complex (modern Makati) has a target population (59 , 000 in 1990) and plans for them ; but what is the municipality ' s desired population level, say in 1980? Wi ll in - migration be curtailed? Encouraged? Perhaps a related issue to any population resettlement policy for Makati is one which deals with the development of Metro - Manila . This issue is transport development. If Makati does not plan to increase density (i . e. avoid attracting .migrants through policy of making services such as housing readily available) - will Makati pursue a municipal public policy on transport issue. Will it state its share (24 )

See Section 3, " Description and Evaluation of Currently proposed housing Schemes " , of Chapter 2, " Housing" in Villamayor , Libby and Soria, It Innovat ions . .. . II for detail s. (25)

See page 41 of this report.


40 -

of responsibility (and anticipate benefits on part of Makati ' s workers), the planning for a Metro transport system.

lTI

In the event an inter-city nationally managed transport system is established, does Makati intend to set-up an "on- demand ll , local (Intra-Makati) transport

service? What are the economic benefits of increasing density or land and space utilization . At what level is increased density desirable. The primary factors conditioning the nature of urban service system are the structure of effective demand (which is conditioned both by the level of per capita income and by the interplay of socia - political forces) and the endowment of factors of production . The highly capital intensive service systems which exist at present in the developed countries generally were predated by more labour intensive systems . As their GNP grew (with a conse quent increase in the capital; labour ratio) and as advanced technology and infrastructure were developed, new resources were channeled into programmes distributed by more capital - intensive delivery systems. Developing countries (the Philipp~nes is no exception) with low levels of per capita income generally do not possess these well developed infrastructure, and labor is plentiful relative to capital. This is not to deny that there has been the depressed sections of the cities of the devel oped highly industrialized world. The main contention, however, concerns the broad composition of urban expenditures in most developing countries (as noted in the municipality of Makati's pub l ic health expenditures which are allocated to the delivery of curative health care, i.e., construction of physical plants, free medicine, etc . ). The reason why these countries developed these largely inappropriate programmes/delivery systems are vari ed and complex. 1he system has partially been a consequence of the structure of effective demand and its related factors. Other reasons for these inappropriate decisions have been the nexus of decision- making commonly referred to as " demonstration effect" the historic ties of ex- colonies to their mother country - and the fact that the elites, because of their high incomes and general high living standard, have had a lesser demand for urban services and aid than the majority middle income portion of the populace. In Makati , public municipal policy seem to trend towards "private corporate path", vis - a - vis prestige projects characterize urban programmes (one example is the current decision of the Mayor to hire the architect who designed some of the modern buildings in the Ayala Complex to design the middle income housing project . The reason behind the choice: he ~anted to show the people of Makati that the architect for the rich also designs for them ). It is also a trivial e xamp l e, but symptomatic of prevailing attitude. In designing for l ow to middle income housing, t he decision nexus of comfort, cheap housing , efficient l y managed and de l ivered units, does not come out strong . An alternative paradigm for a municipal public urban deve l opment plan is required not only for Makati but the rest of the Phil ippine cities. Once a paradigm is set, the expertise and resources that made Makati new town possib l e can then be used .


\


41 -

(25 )

A scheme for low- middle income public housing (to mean low capital and maintenance requirements) was presented in the larger report. The scheme is basically a site and service type scheme. Apartment spaces of a minimum set size are provided in a four- storey structure. Costing study includes expenditures for installations of sanitary and electrical facilities . See Villamayor, Libby & Soria "Innovations. . .", FFI-M. I. T Report, March 1973, Chapter 2, IIHousing" .


42 -

SECTION 2 TRANSPORTATION ISSUES:

Nature of The Transportation Problem

One urban issue which has a bearing on both technology and human resource development is transportation. Makati's population is a working and a commuting population. The economic survival of a city depends on the ability of its workers to move around easily. Makati is an industrial new town that must nurture its economy. An intercity, journey to work to and from Makati, user need survey which was carried out as part of a study to determine the nature of and problems regarding access to Makati. The study probed into time, effort and expenditure patterns that an urban worker allot for travel. A random sample of 1,000 respondents was taken from selected private business firms. Since office workers were chosen as respondents, the focus is therefore primarily on commuters who make up the daytime population of Makati. In pursuing the survey, Makati's future role as a regional, commercial and industrial center was taken as a prime consideration in the design of the survey. As a result, we foresee the importance in terms of quantity and in terms of impact of trave movements of the daytime populace on Makati fu gre f urban environment vs. thGse who live but not necessarily work in Makati,

2

Private industry was chosen for random sampling, because it is to our knowledge that public positions (jobs) in Makati's public institutions are largely held by residents of Makati, who are likely not to engage in intercity journey to work commutation. Results of Survey The respondents were asked their place of residence to determine the origin of a greater bulk of workers in Makati. Twenty- five percent (25%) of total respondents live in Quezon City, twenty- eight percent (28%) from Manila, 6% from Pasay City, 22% from cities and provincial capital towns outside the five mile boundaries from Makati, such as Caloocan City, Pasig and Cavite City, 7% live' in municipalities adjacent to Makati and Manila such as San Juan, Paranaque, Navotas, Malabon, 4% live in nearby municipality of Mandaluyong, 5% live in towns within the inner metropolitan ring, 3% live in towns outside the present delimited metropolitan area. (26)

Residents of Makati are of two types: The rich P25,000 per year and above income who travel by chauffered or owner-driven car; middle to low income class who use the same mode of public transportation, travel the same public transport route as those represented in the sample. It is possible therefore to generalize from the study, when referring to what Makati's urban worker's transportation service needs are.


43 -

Table 1 -

Distribution of Mode of Transportation for Each City , by Type.

Quezon City figures show residents patronage of buses . This is not surprising due to function of Quezon City ' s size. Quezon City has more buses than jeepneys plying major routes for inter-city travel . Pasay City respondents use more jeepneys . Pasay is a small city , adjacent to Makati, largely serviced by jeepneys along its major route . It is not unusually surprising for the respondent-commuter to make jeepneys his mode of travel. Pasay City ' s inter-city, intra - community travel is serviced by smaller jeepneys (PUJ) and tricycles. Tricycles make up 27% of total mode of travel, noted for Pasay. Mandaluyong respondents - commuters show highest preference for jeepney mode. Mandaluyong figures show the city to have the highest occurrence of II more than two ride transfer" . Mandaluyong respondents - commuters therefore travel short distances taking short distance jeepney rides. From the survey, one Mandaluyong respondent noted "banca- ride across Pasig River", as one mode of travel. For commuters from other cities other than the major cities of Quezon, Pasay and Manila , such as Caloocan and Cavite, figures for bus and jeepney modes are almost identical (bus makes 31% of total vehicular movement and 33% for jeepneys). Likewise, bus and jeepney modes figures are almost identical in the 11anila City data . As compared, for residents or commuters in major cities bordering Makati: the pedicab system is an intra- municipal/town mode of transport. Inter-city jeepney system is the primary mode of transportation for residents of Pasay City, Manila and Mandaluyong. Cities with highest use of jeepney mode of transport are also cities whose residents experience highest number of ride transfers . The jeepney more than the "collectivo ll is clearly, at least, one of the mode used for long distance commuting and possibly the mode of transportation for one-ride travel. (See figure for Manila, Table 1) . Taxi usage is also highest at cities where "more than two rides II figures are highest (Manila and cities of Caloocan and Cavite). Clearly, taxi ride is one of the mode of travel chosen by residents from these areas. Manila residents respondents compared with the rest of respondents, therefore, use a variety of travel mode. Commuters from the city of Manila patronize taxi as one alternative mode of transport supplementary to buses and jeepney rides. Residents of Quezon City have the highest rate of car ownership. "Car-pool" system (as similarly practiced in suburban communities in the United States) is used in major cities within the Manila metropolitan area, i.e . Quezon City and Manila. It follows that car-poo l practice occur in cities having high car ownership figure. Commuters from citi es, registeripg a high number of respondents with high income (V400 per month and above) within Metro-Manila such as Manila, Caloocan , Cavite . Pasig respondents uses taxi more often than the rest of respondents excepting commuter- respondents from Quezon City. Use of taxi maybe a function of distance. It cost an average of P5 to travel from Cubao, Quezon City to Ayala Avenue, Makati by taxi on no traffic hours. Quezon City respondents who use taxi will have to be in the over P800 income bracket,


24

25

1 196

Mandalu,yong

Other major cities

4%

36

23

692

48

24

803

Inner Ring

Outer Ring

4%

5%

2%

1%

3.s:t 84%

83%

91%

83%

88%

89%

88%

4%

25% 96%

86%

78%

92%

39% 189% 1 120%

19% 178% 1 33%

4% 175%

5%

7%

14%

I

I

29%

22;:;

39%

28%

29%

12%

18%

28%

5%

147%

160%

148%

I

56%

66%

.009%

86%

18%

5%

17%

12%

8%

I 10%

7%

4%

18%

8%

58%

27%

12%

28%

66%

32%

61%

86%

25%

58%

75%

62%

26%

63%

T r a vel 5/ Pattern CharacteristicsOne Two More than Ride Rides Two Rides

responden~using

private transport

2!

One way trip.

by category of auto uss.

&

. by the total no.

of respondents to determine % of private travel

Percentage - total no. of respondents using each categorized mode !. by the total no. of respondents using â&#x20AC;˘ public transport.

Total no. of

-41 Total no. of respondents using automobile

df

~

1/ Using public/private transport.

I Ll______~L-_ _- L_ _ _ _- L_ _.- L_ __ L_ _~_ _L -_ _~_ _~~_ _~_ __ L_ __L __ _ _ _~

Total

21%

36

59

19%

15%

W/in metro-area 1

Municipalities

163

3%

209

221

4%

8%

38

41

Pasay City

Manila

9%

163

189

1/

Respon-

dents

Total No. of Resp. MODE OF TRAVEL ),1-1_ _Using Private Transportation I Public Transportation-' Public Owneli" 2// c011ec1 TriCar !J( ar-PoolITotal- Bus Jeepnsy tivos Taxi cycles Trans â&#x20AC;˘

Ioluezon City

Place of Residence

Total No. of

TABLE I - Choice of Mode of Travel to Makati by Point of Origin and Number of Ride Transfers


92

483 45

404

105 98 59

38

209

24

163

36

36

23

Pasay City

Mandaluyong

Other Cities

Metropolitan

Inner

Outer

"

"

38%

32%

30%

31%

40%

36%

28%

49%Y'

Bus

-~

- -

37%

33%

41%

33%

44%

37%

37%

- -- - - - - -

-

r

36%1/

Jeepney

12%

8%

12%

11%

15%

5%

7%

15%1/

Collectivos

-

of transport.

"

vehicles used to determine the distribution for each citizen, zone, by type of mode

1/ Percentage - total number of vehicles by type of mode divided by total number of public transport

TOTAL - 1,785

301

163

Quezon City

Manila

hioles Used

portation Ve-

Residence

Respondents

Choice of 110de of Travel to Makati by Point of Origin

Total No. of Public Trans-

Using Public Transportation

Place of

Total No. of

PUBLIC TRANSPORTATION:

TABLE I-a

2%

16%

24%

21%

T a xis

22%

24%

.004%

27%1/

Tricycles

, ,


692

803

112 (6%)

""

*

83 (10%)

Car pool

19 (2%)

+

(mmer driven)

30%

578 30%

571

Total Total No. No. of of Jeepney Bus

217 11%

157 8%

Total No. of Total Collec- No. of tivos Taxis

12%

262 1,785

Total No. Total No. of of Public Vehicles Used Tricycles bJ' Respondents

1,897

Vehicles

Private

Grand Total Public &

Travel to Makati f rom All Points (Place of Residence)

Of' t.nt.!:!l

TIn.

nf' lTch;,..l.:.c:: l1<:1",rl !lie::

p,,""'-i,.. '1',..."'".::. .... ",...+."'+; .... ." m .... r1""

+J-."" 'h"",

., ... r1

-i"''''' ....... '''.. r

"' .....

.,.+"'..... .,. _ .. 1;",,,,,

......

t..rÂĽJ!

".;>

Car ormership rate - 10% of total no. of respondents min cars and drive them to tmrk. The figure con serve as an indicator cf future requirements for planning urban parking facilities. FiguI'â&#x201A;Źs for car-pool can only show the eh~ent to which car-pooling is practiced in the metro-area, and together with car ownership figure shm,s the extent of autOl1lobile movement around Makati. Car-pool figure cannot serve only as indicator for parking requirements. -

=

Total No. of Private Vehicles (Automobiles)

Short Analysis:

Total No. of Public Transport Commuters

Total No. of Respondents

Total No. of Vehicles Used bl ResEondents bl TYPes:


1


Place of

I

-

-

Pe r centa ge

-

'-------

9% - - ---

L ______

31%

18%

8%

60'"

61%

86%

,25 1

62;:'

30'''; 58%

78%

62%

20%

63%

Mor e Than Two

13%

28%

66%

32%

Two Rides

of r ide in each category di vided by t otal no. of r ide t r a ns f er t o dete rmine per centage

------

676 = 100%

18%

5%

One ride travel only makes up 9% of total no. of travel ride characteristics; more than hlO travel-ride makes up 60;:; o;.~ :!':lovement system in the journey to \\ork and back tra.vel pattern of Hakati I s urban s alaried workers.

for each type of travel mode charact er istic.

(%) = no .

GRAND TOTAL

SHORT ANALYSIS:

-

1/

Outer Ring

22

36

Inner Ring

"

36

MuniCipalitie s in Metrop olit an Ar ea

17%

8%

â&#x20AC;˘

149

Other Major Cities

Mandaluyong

8%

10,1;

23

.

209

8""

38

Pasay City

Manila

3%

!!

One Ride

163

Total No . of Ride Tr ansfers

Quezon City

Resi dence

Total No. of Respondents Us ing Public Transpor t

Character istics of Hode of Travel per Point of Origin

TABLE I-c


44 -

which are groups not included in the sampling. Income has nothing to do with particular choice of mode of transportation. For example, Mandaluyong residents have the highest number of respondents in the P500 plus per month, but has zero taxi-usage. It may be stated that choice of mode. of transport is largely shaped by the availability of vehicle and not due to taste and preference for a particular mode ascribed to a particular life style of a certain income group', Strict preference for a particular mode of travel, i. e. car travel (owner-driven and taxi travel) maybe visible or holds ,true for income class above P1,OOO per month (not included in sample). Survey results showed the lack of a one mode of travel in commuting from major cities and from almost all municipalities within the presently delimited metropolitan area, to Makati. Eighty-six percent (86 %) of total respondents from the inner zone of present delimited Metro area; followed by 75% of total number of respondents frcm Mandaluyong and thirdly, by Quezon City (63% of total respondents), take two or more rides (one way trip). One third of total respondents ride twice while 10% ride once. This means that an average earner spends more than he should for transportation. For example, a case of a Quezon City resident under the income range of P300 per month who has to take an average of three rides to Makati (to cite an extreme condition): His transportation expenses would be 55 centavos one way which equals to 122 per month or 7% of his monthly income. The more ride transfers, the more expensive the total transport fare for the commuter, because of the minimum 15 centavos fare charged per ride. (Jeepney fare - 2.5 centavos per km. per passenger with a minimum of 15 centavos. Bus fare, commuting in greater distance charges 2.2 centavos per km. per passenger with a minimum of 15 centavos). If the same individual is lucky to get, say, two rides from Quezon City to Makati, he pays 45 vs. 55 centavos per one way trip. Fare rates are reasonable. Transport is expensive due to needless ride transfers . Table la.

Choice of Mode of Transportation

More commuters to Makati ride buses than jeepneys . This supports another finding the study made, which is that: more buses than jeepneys ply Makati area. In a vehicle count made at various entry points to Makati, ratio of buses to jeepney is 1.1:1.00. The numeric difference is not significant but the fact when compared to the 1957-1958 OD survey (suburbs t o city of Manila CBD) bespeaks of interesting comparison between Makati and the City of Manila . In the 1957-1958 Metro- Manila OD survey, jeepneys are the prime mode of transport. Bus operators, plying long routes cutting through Makati, also seem to respond to demand, i.e. more buses were counted, on peak hours vs. low peak hours. Vehicle count done by the author at the intersections of Aya路l a and Highway, J. P. Rizal and Highway and Buendia and Taft Avenue, on one representative working day (Tuesday, July 3, 1973) before the rainstorm that flooded Central Luzon and Metro Manila. The count was made between 7:15 a.m. to 8:10 a.m. and 2:00 to 3:00 p.m. Total vehicle count of all entry points: 33 buses, 28 jeepneys, 20 taxis, during rush hours: 29 buses, 27 jeepneys, 22 taxis.


45 -

Long distance commuters like Quezon City respondents and residents of cities of Caloocan, Pasig and Cavite commute primarily by bus. Residents from municipalities within the Metro-Manila area within the five mile radius from Makati use tricycles (pedicabs), the most. Table II.

Travel Time Experience

A greater number of respondents from Quezon City (70%) and from Manila (75%) note traffic as a problem . This is to be expected. From the OD survey study of 1957-1958, the city of Manila was shown as the best serviced city in the whole metropolitan area and also the most congested. The waiting time problem cannot be said to be the prime and foremost problem due to the period this survey was taken. It was after the flood and a great portion of public vehicles were not in operation. It would be safe to assume however, that it is a problem. Manila has the highest number of respondents (34%) noting "crowded vehicles II and "run-down vehicles" as major problems, followed by respondents from outlying cities in Metro-Manila area . "Waiting time" was noted as one of the problems by respondents from all cities and municipalities, highest in towns within the present delimited metropolitan area, followed by Pasay City. Percentage of total respondents who noted Itgeneral condition of vehicles" as added problem to waiting and traffic, are: 32% for No.1; 18% for No.2; 30% for No.3; 24% for No.4; 28% for No.5; 40% for No.6; 27% for No.7; 41% for No.8. The remaining percentage of respondents noted traffic and/or waiting time as major deficiency. in present level of transportation service. Some special comments about travel time experience which was not included in the tabulation, but worth mentioning are: One respondent complained about lack of available vehicles . Another complained on the lack of available jeepneys from the corner of Buendia Avenue and Taft Avenue going to A~ala. In the case of too-crowded vehicles, some complained that they can hardly move which at times result in several victims of "pickpockets". In the case of run-down vehicles, it is hard for some respondents to transfer to another because most of the vehicles are already full, on transfer points. But the least cited as a problem are bad roads due to flood. Some roads have potholes which result in traffic congestions and "tr.ip ".clltting" of jeepneys who avoid or refuse to pass on these kind of roads. Table III .

Patterns of Social and Business Travel Needs: Residents.

Makati Daytime

During daytime, movements associated with "lunching l1 make up the greatest percentage of travel: (within the building, vertical travelling to top . floor of building or road travel to restaurants outside one's workplace.) , 路 Seventy three percent (73%) of total respondents lunch at eating places .. within Makati; 21% bring their own luch; a sizeable minority go home for lunch, largely residents from neighboring Pasay City (20% of Pasay respondents). Next to travel associated with eating-out (lunching) social trips related to socialization, i.e., visiting friends and trips related to health,


1


24

163

36

36

23

4. Mandaluyong

5. Other Major Cities

6. Municipalities w/in metroarea

7. Inner

8. Outer

V

83%

89%

88%

85%

35%

42%

33%

38%

20%

34%

21%

30%

8%

19%

14%

4%

7%

8%

4%

33%

38%

14%

54%

19%

48%

9%

58%

50%

39%

49%

4&1-

81%

40%

50%

13%

17%

19%

2&1-

15%

5%

30%

13%

2%

3%

13%

8%

.008%

.004%

2%

2% 8%

2%

hrs. &1-

4-~

Two4la,yl

Private transport commuter was not included. Private cars ply the same routes, use the same road system, therefore general level of traffic delays encounter by private transport c<lllllllUter will not be significantly different from those of public transport commuter. Private cars may take side roada to avoid traffic, but so does enterprising bus and jespney drivers. (From observation of author, on routes: Highway 54, Makati to Quiapo route vis Taft Avenue, June -Sspt. 1972).

83%

83%

100%

80%

75%

75%

78%

85%

Traffic

-

General Con- I/ dition of Vehicle. Too -Crowded Run-Down

Total No. of Hours SDert on Travel, Less Hrs . Hrs. Mrs. Than 2-2~ii2 1 Hour l-1-i/2 3-4-1/2

Travel Time Experience

Percentage of total respondents who complained about "general conditions of vehicles" in addition to comments on waiting and traffic problema are, 32% for Quezon City; 18% for Pasay City; 36% for Manila; 24% for Mandaluyongl 2&1- for other cities ; 40% for no. 6; 27% for no. 7; 41% for no. 8.

NOTE:

42%

209

3. Manila

75%

90%

38

2. Pasa,y City

78%

163

1. Quezon City

Place of Residence

Total No. of Respondents Taking Public Trans- Waiting portation T:lJne

JOlll'll8l to Work:

TABLE II


Total No.

2%

221

24

Outer Ring

L-- __ _ _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _______ _

10%

2%

48

llU'ler Ring

803

32%

59

Metropolitan

TOT A L

76%

12%

196

Other Cities

-- --

73%

79%

62%

51,%

68%

12%

25

77%

66%

Manda1uyong

Manila

20%

41

Pasay City

76%

for Lunch

2%

Lunch

Out W/in 11akati

Go Horns

189

pondents

of Res-

Quezon City

Place of Residence

-,

-

21%

21%

35%

13%

12%

20%

30%

12%-

22%

- I __

.

- -

5%

8%

6%

8%

5%

4%

5%

5%

3%

Go N.A. Shopping (Bring own Outside Lunch Makati ,

8%

8%

10%

10%

8%

20%

10%

5%

4%

~ocial Trips ~ea1th/ Visit

fOther

13f,

16%

17%

19%

15%

25%

17%

25%

15%

28%

17%

29%

32%

I 36% I 26%

24,%

24;~

13%

29%

13%

27f,

24%

12% 2C1';

Makati

Makati

15%

10%

7%

N.A.

Do

Business Business OUtside Inside

Do

Patterns of Social and Business Travel Needs of Makati Daytime Residents

TABLE III

2H

29%

15%

4lf,

25%

21,%

19%

20%

15%

34%

29%

21%

2%

33%

18%

31,%

31,%

49%

,J/in Ayala Comn1ex N.A.

Business

Do

~


1


46 -

i.e. visiting doctors, dentists, etc. make up the daytime travel movement of Makati's urban workers. The survey shows ve ry little indication of trave l associated with s hopping. (This may imply that shopping centers in Makati are largely patronized by Makati residents). About 13% of total number of respondent s do not engage in either shopping or social visiting but restrict their movements largely to travel related with eating out. The above survey results are indicators of the nature of traffic movements in and around Makati during lunchtime, i.e. movement of traffic is more pedestrian than vehicular. It would be useful if a network of pedestrian route currently being used by the respondents (i.e. daytime Makati residents), for lunchtime travel can be mapped-out, so that the path can be imp~oved. (Section on short-term strategy of the chapter on transportation contained in the larger report presents general proposals on raising environmental quality of routes). Mos t respondents (34% of total number of respondents) are office workers, stationed primarily in their offices and whose work does not require intraMakati or inter-city travel. Only 15% of total number of respondents conduct business requiring travel out of Makati. Seventy eight percent (78%) of the total number of respondents transact business outside Makati, 21% have business which can be transacted within the Ayala Complex. 27 The above figure points to the extent Makati is self-contained in matter of travel needs and transactions related to business. This is to some extent to be expected consider~g the nature of in~ustries located in Makati. They are largely tertiary, i.e. banking, insurance and drug manufacturing industries. Movement within Ayala Complex maybe largely associated with messengerial services such as delivery of parcels, memos, and taking aside the problem for the need of labor intensive activities in Makati for a moment, such messengerial service movement can be satisfied through the installation of an underground conveyor system for delivery of parcels, papers and papers within the Ayala industrial complex. However, such high level technology may not be required at this present stage of Makati's development. Another type of travel related to business have something to do with occasional meetings and consultations of people from related companies. Such travel needs, either vehicular or pedestrian, can be eliminated through the use of office communication systems such as the TV phone, or local circuit TV. Again, these are advanced technologies which Makati as an industrial center of activity may not require in the 1980s. (27)

To some respondents, transacting business is irregular and is being done only when necessary. There are some respondents who transact business outside Makati once a week; some transact business inside Makati everyday or more than twice a day. Source: From special comments, notes from survey questionnaire handwritten or scribbled by respondents.


\

L


47 -

Table IV.

Income Structure of Urban Wage Earners (Makati)

A great bulk (26% of total number of respondents) of Makati wage earners belongs to the 1300-400 per month wage scale. Followed by wage earners in the 1400-500 per month (23%). Wage earners of 1600-700 per month rank third (19%). A total of 61% of total number of respondents, have wages above the 9400 per month scale, which is 150-100 higher than the median income for the nation. Makati's urban wage can safely be ascertained as the highest in the Metro-Manila area and the nation. Makati's workers spend more for transportation (61% of total number of respondents take more than two rides). The 'pinch ' is not noticeable when taking the average Hage earnerS of Makati but can be seen when one considers workers with a salary of 1300 per month or below. Residents from Mandaluyong have the highest number of persons in tne over 9500 per month income range (58% of total Mandaluyong respondents) compared with similar figures from other cities and municipalities. Pasay City residents have lowest number of representative persons in the V500 per month and over income range, compared with similar figures from other cities and municipalities. Quezon City and Manila respondents follow Mandaluyong, showing a high number of persons in the over V500 per month income range. Table V, V-a, VI.

Household Expenditure Patterns (Data for city of Manila)

Data for Makati is not available. As per Transportation survey results, Manila workers are highly represented in Makati. So the figure on Manila was chosen as a representative example of household expenditure patterns, pertinent to our analysis. Table VI shows average monthly expenditures of Manila household per expendi ture types (1965 figures). Average income is 1302-386 per month. The difference in income of the three groups in the study reveals expenditure habits peculiar to their way of life. One general trend is the decrease in the percentage of food expenditures with increase in income. See Table V. The pattern of expenditure for transportation is as follows: the lower the income, the more is spent for transportation in relation to other expenditures. The amount spent for transportation (public transport fare) was lower in the median income level and expenditures rise again in the income groups above the 1350 per month (median income level). See Table V. The data available for Manila is only for income range 1100 per month to 1350 per month. No data is available on the household expenditure pattern of families with income above the average monthly income of P350. However, the percent increase, which is 35%, in expenditure for transportation from the 1200 income to the 1350 income bracket can be safely assumed as the constant rate of increase throughout the income level below the 1700 per month income. Expenditure patterns for people in the 1300 to 1700 income


I


221

Manila

24

803

Outer Ring

Grand Total

I

!

.i•

I,

13%

8%

4%

10%

17%

,

24%

12%

26%

21% 23%

42%

29%

18%

22%

8%

23%

31%

19%

29% -

I

27%

21%

30%

25%

32%

13%

12%

8% •

,I

,

I

I

14%

19%

18%

14%

14%

32%

14%

15%

12%

I

!

,I

I

19%

8%

27%

15%

22%

20%

17%

7%

20%

3%

4%

2%

4%

1%

5%

1"150-200/ 1"200-300/ )'300-400/11"400-500/ 11"500-600/ 11"600-700/ 1"700 Month : Honth : Month I Month I Honth Month +

I

I

, I,

I

I

I

I

2%

4%

5%

2%

2%

9%

1%

ResDonses

No. of

Percentage = no. divided by total no. of respondents. Average income (national figures) = t300/mo . 5~~ of total Makati respondents have income above the national average. Makati ' s daytime population are tertiary industry employees, mostly private, the r efore median income can be expected to be at least 1100 more than median income of other cities. Makat i is an industrial to~~.

48

Inner Ring

NOTE:

59

196

W/in Metro area

Municipalities

Other Ci.&eS: Caloocan, Cavite, Pasig

25

41

Pasay City

Manda1uyong

189

Total No. of Respondents

Quezon City

Place of Residence

Income Structure of Makati Urean 'flage Earners


j


61.39 10.64 . 32

72.43 2.21 2.61

82.56 1. 81 1. 31

.33

Food

Clothing

Medicine

Lightin

Source:

100. 00

2.9 6

Laguian, A.: I1S1 ums are for People: The BartioMagsaysay Pilot Project in Urban Community Development " ! U.P. Press, 1968

100.00

4.48

3.37

Miscellaneous

100.00

.20

.06

Total

14.96

5.32

2.81

Personal Allowance

.09

3.86

5.63

1. 49

Housing

Recreation

2.17

1. 82

2.00

Transportation

-

.92

1. 95

1.65

Wate r

1. 23

%

%

%

1.14

per month

per month

per month

/"

1200- 1350

!'l00-1200

Breakdown of Expenditures According t o Actual Consumption for One City Included in Survey (City of Manila)

Less than 1100 .00

Table V:


Repair or improvement of house

Food

Clothing

Children's needs (e .g. education)

Investment in Business

2.

3.

4.

5.

6.

100.00

From data above there is indication that persons from these income groups will engage in more travel than their basic needs require them to do.

100.00

100.00

31.25

Note:

a

a

50.00

a

a

a

18.75

Laguian, A.: "Slums are for People: The Barrio Magsaysay Pilot Report in Urban Community Development", U.P. Press, 1968

21.43

14.28

25.00

39.29

a

16 . 67

22.22

22.22

38.89

%

& above per month

i' 200

Source:

Total

Furniture and household appliances

%

Less than 1100.00 per month

Income Level 1100-1199 per month %

Projected Use of Saving on Expected Additional Income

1.

Use

Table V-a:


1


Table VI:

Source:

44.4%

Interpreted as transporation allowance.

for total Manila households.

Average income is V302-V389 per month.

----.

Figure is

1969.

of Manila Report "Manila, It's Needs and Resources",

N.S.D.B., The Social Welfare Department of the City

**

*

~

15.5%

Miscellaneous** -

18.2%

Housing

Food

4.2%

3.8%

1.9%

Medical

/

4.2%

~-~

/

7.7%

Clothing

Utilities

Recreation

Education

The Distribution of Average Monthly Expenditure * of Manih Households, 1965


48 -

range do not greatly vary. (No systematic data to support this. The statement is from observation. A family with 1.700 per month income may eat more protein food than a P300 per month income family but the percentage of expenditure for food in relation to other items do not vary). For people who are in the 1700 per month and above salary group life style can be expected to vary. 1700 per month salary are managerial positions. Also, the under 1700 per month are likely not to own private cars. Transportation expenditures for the groups are for public transportation fares; whilst the groups in the 1700 per month income bracket and above income range (from observation) us~ a variety of transportation modes, i.e., some may at one time in their life own or paid for rent cars. Some occasionally use taxis in addition to patronizing bus and jeepneys. The expenditure profile for the Manila sample may be similar to that of Makati and Quezon City. Standard of living in these cities are similar. **1:~':~':

The survey result shows and confirms the explicit lack of direct one ride route from major cities out in the 7 kms. radius from Makati and from municipalities in the "inner-ring and "outer-ring". It is also particularly interesting to note neighboring towns like Mandaluyong which is located within the 7 kms. rddius from Makati have only 8% of its total respondents able to take one-ride travel. "One-ride direct route" travel is therefore not a function of "nearness to M~kati". One tends to think or assume that ready access is available or poss .i ble the nearer the point of destination. Cross checked with other data on prop0rtion of vehicles to users, i.e. there are 2.6 vehicles used/800.mted in survey per one respondent. We can conclude that lack of direct one-ride travel can be attributed either to insufficient number of routes open to traffic or that vehicular routes presently used do not provide the shortest and most direct access to destination points as in the case of Manila and l-1andaluyong respondents travel pattern. The poetic phrase "so n~ar yet so far" aptly describe the travel time experience noted in the survey results. H

The availability of v~hicles largely shapes choice of mode of transport, and that respondent-commuter take the first available vehicle regardless of vehicle's destination, and transfer rides in numbers sufficient to get him to his final dest ~nation. Survey information on choice of mode of travel may not have a direct implication for Makati's immediate need to reshape the present community structure but can serve as background information on characteristics of travel behaviors in and around cities and municipalities bordering Makati. The information can also serve as indicator to trends in the supply of urban transport per type of vehicle and can be used when a further detailed comprehensive study on


49 -

transportation for Makati or Metro - Manila is undertaken. Knowledge of the geographic dispersion of trips and the composition or urban transport demand, with emphasis on variations that might occur at different hours of the day and among urban trips with different purposes (for example, business trip and social- recreational trips) was attempted in the study. Survey shows that any movement whether for business or social- recreational is more pedestrian than vehicular, and that journey to and from work makes 28 up most of the urban transportation demands for Makati daytime population. As regarding geographic dispersion of trips: 27% (highest figure) of total vehicular traffic are trips with Manila origin, followed by trips with Quezon City origin (17%). Transit improvement and public attitudes toward modal choice: Tables 1 & 11 give information on the attitudes of Makati urban commuters toward service considerations. More complaints are aired against waiting time and traffic and very littl e on the quality and nature of transport technology itself. Likewise, choice of mode has little correlation with income structure. The respondents' perception of what their transport needs are therefore not characterized in accordance to specific vehicle type. His primary desire is a shorter travel time, least expensive, reagrdless of vehicle type. He takes whatever mode is available. In the United States, aQ often - suggested method to improve transit patronage is to build a new modern rail transit system. The logic is that a "better" product will attract more customers, including significant numbers of automobile commuters. Another common l y suggested method to increase transit patronage is to reduce the price of transit services by government subsidy. In a developing country like the Philippines, "better-product" is not nece ssarily a prime inducer for patronizing one mode vs. another. A rail transit system which can travel at less time than the 1- 1/2 to 2-1/2 hours for two way trips, currently spent by 50% of total number of respondents and grant fares at less than the average amount an urban worker spends for daily transportation expenses: (BO centavos for two ways) will not be an unrealis tic transportation scheme for Metro-Manila in the not so distant future. The car vs. public transport debate does not apply to Metro-Manila. There is currently public transportation patronage. It is the only mode of travel available to Makati's salaried workers . ----Although there are 2.6 vehicles per one person (total number of vehicl es counted in survey used by respondents divided total number of respondents). (28)

The number of social trips to and from Makati is irregular. Majority of the respondents stay in Makati for lunch and 11% take their lunch in the house . Others make social trips when they have time. Five percent go shopping outside. One half of the total respondents transact business inside Ayala. Around 30% transact business within Makati and 12% outside Makati .


.\

1


50 -

"Waiting time!! is still one of the prime problems and non-availability ~9 vehicles (as mentioned by respondents themselves in the questionnaire) . The two data can be reconciled by hypothesizing the following: a commuter who takes at least two rides, must encounter at least one instance of prolonged waiting . The number of vehicles entering Makati is not an indication that the commuter is best served. The critical question is: Where are these vehicles going, what are their routes? Do they pass at routes where demand for travel is most acute? And is the supply of vehicles proportionate to demand during critical hours, such as the peak hours? 3 Besides the desirability of transit planning 0as tool for better delivery of travel services, rational routing of the different modes is obviously a solution to the root cause of what to the Makati workers has been known as "urban transportation problem".

(29)

One of the resp0ndents suggested that Ayala Corporation should increase the authorized bus companies to enter Ayala Avenue. The present bus companies such as the Super Transit, l1apalad and MD, are not enough to accommodate the large number of employees in the business and commercial districts within the Makati area. Some MD buses coming from Pasay are already full upon entering Ayala Avenue, and so with those buses going to Quiapo. Some employees have to wait up to 6:30 p.m . before they could get a ride. The situation is even worse during rainy season . Furthermore, because these buses are always full, the tendency is that some become victims of "pickpockets IT. From: tlSpecial Suggestions" respondents scribbled on their questionnaires . ( 30)

For a preliminary study on an experimental rail transport services for Metro- Manila, see Villamayor, Libby and Soria "Innovations . . â&#x20AC;˘ II FFIM. I.T Report, March 1973. Chapter 1 - Transportation.


51 -

SECTION 3 PUBLIC FINANCE

Clearly, emphasis on the transitional stage of Makati from a corporate industrial new town to a development town (with tasks of migrant absorption or dispersal, equalization of service level disparities, etc.) must and is being drawn. This private sector-local government's change in goal focus require analysis of the financial capability of the area to support such development intentions. A rough study on Makati government's finance (see tables 1-5 and figures 1-7) suggests the following conclusions: 1) Revenues are increasing at a rapid but highly variable rate. 2)

Revenues, since 1965 ("boom period ll of the new town development),

have been increasing faster than the expenditures, until in 1970, revenues were more than double expenditures. 3) Neither revenues nor expenditures can be projected on the basis of past data, because of the variable nature of data, and because of insufficient data on the elements that make up the accounts. A.

Revenue

Figures 1,2, and 3 show revenues to the Makati government in absolute dollars, in rates of change and in comparison to national government revenues. In figures 1 and 2,four distinct periods of intake can be seen: a slow increase from 1955-1960; a faster increase from 1960-1965; a decline from 1965 to 1967; and a skyrocket increase from 1968 to 1971. A comparison to figures 3 and 4 shm. . s the remarkable resemblance between the revenue patterns of Makati and the national government, suggestions that changes in the national economy have a decisive effect on Makati l s development. If that -_is the case, then future data on the national economy could be useful in estimating the trend of the Makati economy (to the extent that the analysis of "trends 11 alone is important.) To get a better picture of what I1drove" the on two main revenue sources - - real estate fees - - were analyzed in figures 5 and 6. erratic that no useful conclusions could be

revenue patterns locally, data property tax and building permit Again- the growth rates were so drawn.

It would have been very helpful to compare the changes in Makati l s revenues to changes in demographics (populat ion and corporat ions) . This would have permitted an analysis of whether revenue increases were the result of new sources (more people, more corporations), or of new collection policies.

*lowe

much to Ronald Cornman (Ph.D. candidate of the Department of Urban Studies and Planning, M.I.T) for the analysis of revenue data.


1


0/ /0

'NOREAS6( AVE./YOAR)

50

·

5'00

~

·

~oo

~o

·

.

~

l. ~

III 0 ~

zo ·

200

10

,00

w (L

o _ _--=o::::---_~_ YEAR

\'\~o

.55'~5G

60

Q

- --

,~.,~ f,J,'0 / "

\~S'I)

-

---- £-5" ~/(tO

-- .. - -_ . COl;;

...-70 11

FIG.1.. RAIT OF REVENUE GROWTH

FIG.1. REVENUES

MAKAT\ GOVERNMEN1 ItO

.

D/o

. INCRE:ASE" (AV£. jYEAR)

400

III Cl

III

_0

20.

UI

(L

\00 '

20 YEAR.

1"0

.0

10 11

FIG 3, REVENUES

",0

~

r.o

70 11

FIG. 4-. RATE OF REVENUE GROWTH

NFlTIONFlL GOVERNME.NT


\1

,


0/0 GROWTH (AVE ';YEAR ) IhO

.• 'jo GROWTH (AV

100

YEAR)

100

.

• •

o

Y~A~ - I"ISt

S5

I~"'L

.

I~n

1'!JS"1.

FI G. 5 REAL ESTATt PROPERTY TAX

FI6.G BUILDING PERMIT F~ES

M A K AT I 45 ~

~

~

<I)

<>

'a.."

~o

UJ

z0 ::i

-.J

;;;

IS

z

1%0

1~~5

FlG.7. REVENUES·

1%0

1~10-11

,-

EXPENDI1URES ......


j


52 -

It would also have allowed a reasonably accurate projection of the revenues that could be anticipated in the future.

B.

Expendi ture

Figure 7 shows a pattern of expenditures similar to, but not congruent with the pattern for revenues, with a slow irregular growth from 1956 to 1964; a very rapid gro'iolth to 1965; a fast, irregular growth from 1965 to 1968, and a faster, steady increase from 1968 to 1971. There was not enough recent data on expenditures to judge the effects of the various budget elements on future expenditures. "If the budget data from 1965 to 1971 is available, this data would be helpful in judging whether the various budget elements were performing according to policy expectations. (Again, demographic data, by service-groups, would be helpful in making budgetary projections). C.

Revenue Surplus

Since the planning or new projects depends 0n an available surplus, the forecasting of this surplus was of major concern. As said above, neither revenues nor expenditures could be forecasted because of the irregularity oJ the patterns and absence of "driving- force" data. But figure clearly shows the general direction, to 1971: revenues have been close to expendi tures from 1955 to 1960, but after the revenue-surge from 1960-1964, the rate of increase for revenue surpluses accereated greatly. Needless to say, if the recent fast increases in revenues have been the result of explicit collection policy and if that policy is connected to development strategies which will continue to generate revenues at the present rate, Makati could count on major revenue surpluses in the future. Such great surpluses, if continued, would put Makati in the unique position of being able to consider not only the financing of the municipal government, but other aspects of the Makati economy as well, t~rough a new form of financial intermediary (such as a municipal development bank) that might at the same time increase the amount of capital in Makati and reduce the amount of Makati government income taxable by the national government. Finally, of course, Makati's capacity to generate l arge surpluses will depend on its ability to plan the use of its diminisning land. Notice must be given, however, to the drop in the rate of revenue increase from 1968 - 1970 (500+%) to 1970 - 1971 (20%). The significance, at this distance cannot be known, but surely those directly involved will be able to sense whether the !lboom!l is still on, or whether it has peaked, leading to slow growth or decline.


53 -

Conclusion This very rough and elemental study has shown only that an outside evaluator can make no clear judgements about the financial future of the Makati government, except that, as long as revenue-producing land is available, productive people are encouraged to locate, and the budget growth remains constant, the surpluses will be great assuming that collections remain constant. As land becomes less available, public policy, not the currently dominant market, will increasingly become the prime determinant.


I


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Table 1. Year

1955 1956 1959 1960 1964 1968 1970 1971

Makati Government Revenues

P(OOO) 600 680 860 1,370 10,900 9,400 35 , 000 41,800

Ave./Yr. Increase .03 .09 .53 1. 73 - .003 5.44 .20

Table 3 . Makati Real Estate Property Tax Coll ection Year

P(OOO)

1955 1960 1962 1971

280 500 2,000

Table 5.

3 , 900*

Ave . /Yr . Increase .16 1.50 .11

Annual Budgets of Makati : Year

1956 - 57 1957-58 1958 - 59 1959 - 60 1960-61 1961- 62 1962 - 63 1963 - 64 1964 - 65 1965 - 66 1966 - 67 1967 - 68 1968-69 1969 - 70

I'm . 660 .720 .886 1.068 1.209 1.590 2.999,6 3 . 000 7.000 8.000 9 . 025 9.375 12 . 000 15.000

Table 2 .

National Gov' t Revenues

Year

P(m)

1951 1960 1964 1969 1970

35 42 67 78 114

Ave./Yr. Increas e .02 .20 .03 .46

Table 4. Makati Building Permi t Fee Col lection Year

)' ( 000)

1956 1960 1971 1972

68 163 1,300 1 ,600

1956 to 1970

Ave./Yr. I ncrease . 35 .63 .23


I


APPENDIX NO.1 CCllPARATIVE LEVEL OF SELECTED URBAN SERVICES: CITY OF MANILA & MAKATI MANILA

MAKATI

41 units

Health:

Health Centers Child Care/Day Nurseries Family Planning Hospitals Housing (Sanitary facilities) (Household to mean living in following housing types, selected on the basis of follolnng proportion: strong materials 5%,

14

4 units 7 units 1 unit 25% of total households without toilet and bath (1967)

n.a. n.a. 1

10% or less of total households without toilet and bath (1967)

mixed materials )0%, light materials 15%, barong-barong or makeshift 50%. Police:

No. of persona covered per policeman

Public Schools :

290 (1969)

570 (1970)

No. of students per school

Primary ) Elementary Intermediate) High School SruRCE OF BASIC DATA:

8,000 1,)24 4,000

6,)00 (elementary) ),800

Manilla: Its Needs & Resources, NSDB, SWA, City of Manila Report (1967); 1969 Municipal Data, Office of the Mayor, Municiilality of Makati.

APPENDIX NO.2 WATER CCNSUMPTICN LEVELS (In cu. m.) UPPER CLASS RESIDENTIAL (PHILIPPINES)

UNITED STATES

Forbes Park

Mandal"long

Los Angeles

New York

Daily ave. per house

8

7

6

4.5

Max. daily ave. per house

14

11.4

7

6.0

7

0.8

Max. hourly ave. per house

sruRCE:

Real Estate Division, Ayala Corporation

no record

no record


'i2,700/mo.

'i 950-1,400/mo. 'f~,700/mo.

'i

'i2, ?DO/mo.

Magallanes

Forbes Park North

Real Estate Division, Ayala Corporation.

950-1,400/mo.

Prepared by S. Nicdao

950-1,400/mo.

'il,250-1,400/mo.

950-1,400/mo.

'i2,700/mo.

'i

'il,250-1,400/mo.

'i 300-550/mo.

-

1970 -- - -

'i2,700/mo.

'il,lOO-1,300/mo.

'il,250-1,400/mo.

'i 350-600/mo.

1971

*

Some selected properties. No data available for the whole area. administration had only started in 1967 for some areas.

As the development/

In Upper Class Residential Areas, Rent increases seem slight. Also, in comparison with other residential areas outside Ayala, the Rent increase in Ayala is low. Comprehensive survey of Rents outside Ayala is not available. However, from sample survey of two properties, the author noted: middle income apartments of price range 'i250-275/mo. in 1965, increased to 'i350-450/mo. in 1970 (10% increase per year).

SOURCE:

'i

'il,250-1,400/mo.

~1,250-1,400/mo.

Bel Air

R

'i 22S-550/mo.

'i 22S-5S0/mo.

'i 22S-450/mo.

-

Pa.lJn Village

-

AREA

-

1968

1967

YEA 1969

RENT STRUCTURE: AYALA PLANlIED CC!1MUNITY RESIDENTIAL AREAS!>

APPENDIX NO.3


APPWDIX NO.4

CCMPARATIVE HOUSlNG DWSITY Sq. M. of Floor Space/Person

5.81 /

Manila Makati

Modern !,yala Planned Village Âť Outside Ayala Planned ) Village

Equivalent Western standardsY Similar to Manila figure.

Tokyo, Japan

6.oJI

Calcutta, Indif_

3.7!Y

Western Countries (U .S., Sweden)

Less than one person/room (Average Roo,," Size

~

12 sq. kill.)

1/

SWA, NSDB Report (1967) "Manila:

Its Needs & Resources", p. 147.

Y

Real Edtate Division, Ayala Corporation. ment in San Lorenzo, Magallanes, etc.

J!

HUD Brief, "Housing Program in Japan" published by the Office of International Affairs, June 1971.

Notes on Residential Develop-

41 Statistical Bureau. Government of West Bengal, "Survey of Housing Conditions in Calcutta Corporation Area."

Calcutta, Dec. 1967 .


'-~.'

,


APPlllDIX NO.5 COHPARATIVI!: STRUCTURE OF URBAN LAND VALUES:

RESIDENTIAL AREAS

1960 (l"/Sq. N.) (1)

Makati!i Modern Ayala Complex Outside Ayala Complex (Areas bordering the City of Manila)

(2)

1970 (l"/Sq. M.)

12 .50-30 not available

55-275 100-150

100-600

The City of ManilaS!

SOURCES:

11

Real Estate Division - Ayala Corpor.tion, Nakat i

21

Nanil. Board of Realtors APPEN DIX NO.6 CClIPARATIVE LAND VALUES: RlIRAL Vs. URBAN RE3IDENTIAL LOTS (Ave rag" minimwn ',osts for all urban and rural areas . of the Philippines, 1960 prices)

l"/Sq. Urban Rural SaJRCE:

M.

10 1

J. de Vera "The Philippine Housing Need", The Philippine Economy Bulletin, January 2, 1963, p. 16. APPENDIX NO.7

*

Figures arrived at by extrapolation of the average household size (e.g. the current observed size), and applied to the projected population total.

SOURCE:

Jacobo de Vera,"The Philippine HOUSing Ne , d." Bulletin, January 1963, p. 18.

The Philippine Econonv


PART III CONCLUSION


1


55 -

The case study showed that: new town developments car- be successfully implemented without explicit support of a formal national legislation, and such development can be a tool for industrialization and modernization. In many non-western areas, modernization has been a result of commercialization and bureaucracy, rather than industrialization. For Metro- Manila and specifically the new town of Makati, modernization did occur as a result of a twin process of commercialization and industrialization. But are industrialized and modernized new towns, developed towns? From this case, one can note that development (socia-economic) of the local area lags behind the process of industrialization and modernization. Clearly, the experience shows that benefits from locally stimulated economic growth may have metropolitan to national scale impact and that at the same time leaves income gap between the local rich and poor not any smaller. (See Part 1 no.3). The efficient manner by which the new town was constructed, created a discrepancy in matters of performance and guidance system between the developments achieved through the aid of private capital and municipal government financed social projects. For Makati, to reach its full poten tial as a development town, public and private policy makers should recognize the continuing need for: 1) setting up and updating goals and strategies; 2) instit~ting economic development schemes in which the subcommunities of the new town depend upon the town for small-scale trade and services and not merely short-term welfare legislations; and 3) instituting social planning within t<he new town to respond t o particular needs of the migrants and low income, old time residents. The rough study on hiera~chical structure of cities and towns within the Metro - Manila area (Part 1, section 2) showed an interesting result: MetroManila has two major, equally important economic and communication center-the City of Manila and Makati. The fact runs contrary to prototypical spatial organization of the third world primate region: that there always exists one primate city in an agglomeration of urbanized settlements. The nature of human, economic and geographic landscape in Metro-Manila area is one in which two structurally different area occupies primacy: Makati as an economic - technocratic center (service, manufacturing, financial), and the City of Manila as an economic center (trade and manufacturing) relying on old, colonial-period road networks and facilities. Another important observation on sociography: population dispersal and density characteristics are very much a function of economics. From an areal map, low income settlements are detectible, (i.e. small vs. larger grid pattern for upper income areas), and are in the town's periphery where land costs are relatively cheaper. This holds true for Makati New Town, the city of Manila and Pasay City. The pattern is reverse from that observed in the American cities vis-a - vis a city structure of a dense inner 'core of low income communities and a periphery of upper income, low density suburban developments. Lastly, a note on Makati's prospect for~community based on economic integration and development pattern, is perhaps the best manner by which to conclude


I

1


56 -

this piece. Makati is at a crossroad. It can develop along either of the following: a) existing corporate command planning system structured around the logic of the market system with local government possibly adopting the same economic model (cash flow model of the private developer,)of community development, but in a non-collaborative process; b) transitional line from existing corporate command planning to planning (economic and physical) as a collaborative process; and c) existing corporate command planning system with the local government adopting a parallel and collaborative (or nODcollaborative) development guidance system that programs public costs and benefits~all urban projects as an added local government function.

* * *


., ....

"'~~

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FII"IPINAS ~2.~~! I TAG r. '[ - - - - - town I

1\ I': It

-

I.IHIlARY

, •

,,

,

, ...... ;

o

II

0 0 0 530

issues on Makati, Philippines: a maturing new Villamayor

Development issues on Makati, Philippines : a maturing new town  
Development issues on Makati, Philippines : a maturing new town