Budgetary Requirements.
Section 27
SEC. 27. Budgetary Requirements.—The budgets of provinces, cities and municipalities for any fiscal year shall comply with the following requirements: The aggregate amount appropriated shall not exceed the estimated income certified collectible by the local treasurer; Full provisions shall be made for all statutory and contractual obligations of the local government concerned; Twenty per cent of the national internal revenue allotment accruing to the general fund of the local government shall be appropriated for developmental projects or activities; Aids to legally constituted barrios shall be provided in amounts not exceeding P500.00 per barrio; and Two per cent of the estimated revenue from regular sources, shall be set up as a yearly unappropriated reserve to cover unforeseen expenditures arising from the occurrence of natural calamities or financial dislocation on account thereof.