Requisites for Creation.
Section 164
SEC. 164. Requisites for Creation.— (1) A municipality may be converted into a component city if it has a population of not less than one hundred thousand as certified by the National Census and Statistics Office, and an average regular annual income, as certified by the Minister of Finance, of at least ten million pesos for the last three consecutive years. The territory need not be contiguous if it comprises two or more islands. (2) The regular annual income shall include the income allotted for both the general and infrastructure funds exclusive of trust funds, transfers, and nonrecurring income. (3) Municipalities created as component cities under this section shall continue to share their income with their respective provinces in the same manner as municipalities.