a Pilot Demonstration Activity (PDA) on water governance which was co-financed by the Asian Development Bank.

In response to the challenges to water resource management, ongoing actions for the PDA in Baguio City include:

1. Situational Analysis
A Report on the State of Baguio City's Water: A written situationer was prepared to serve as a basis to evaluate the state of the city's water. The situationer describes, analyzes, and evaluates different parameters to describe the state of Baguio's water resource supply and access, river basins, watershed and drainage, and flood control. It seeks to analyze data and identify gaps in water management. The situationer was presented to the Baguio City Technical Working Committee on Water Resource. The committee identified a framework with corresponding indicators for data processing and analysis on water management.

The situationer contains selected qualitative and quantitative indicators to describe the water sector. The indicators included in the framework for water governance in Baguio City are Water Quality/Treatment/Health, Watershed and River Systems, Cost Recovery and Water Supply and Source/Water Consumption/Access.

Each of the indicators were assessed in terms of:

• Improved policy, regulatory and institutional frameworks such as the implementation of the polluter-pays principle, water quality norms and standards, and market-based regulatory mechanisms;
• Supply optimization includes assessments of surface and groundwater supplies, water balances, wastewater reuse, and environmental impacts of distribution and use options;
• Access and Demand Management includes cost-recovery policies, water use efficiency technologies, and decentralized water management authority;
• Equitable Access to water resources through participatory and transparent management, including support for effective water users association, involvement of marginalized groups, and consideration of gender issues;
• Intersectoral approach to decision-making, combining authority with responsibility for managing the water resource.

2. Identifying and involving the Stakeholders

Establishing A Local Water Organization Mechanism and Strengthening Multi-Stakeholder Participation in Water Governance: City Administrative Order 461 Series of 2004 issued on November 3, 2004, formalizes the creation of an inter-agency body for local water governance. The inter-agency body includes a Local Water Management Team chaired by the city mayor, a technical working group composed of the different heads of line agencies in the city, city government offices, and NGOs.

As the lead-implementing agency, the city government ensures multi-stakeholder participation through equitable representation between and among concerned sectors. A series of workshops, conferences and dialogues paved the way for the identification of priority water action agenda, target setting, clarification of specific roles and accountabilities of stakeholders, and the formalization of working committees to sustain the water management process.

3. Setting Priorities and Targets

Baguio City's 8-Point Water Agenda (2005-2008). Adopted by the city in January 27, 2005 through the approval of the City Mayor (Hon. Braulio Yaranon) and City Council, Chairman for the Environment Committee (Hon. Erdolfo B. Balajadia).

1.  Ensure Sustainable Access to Safe Water for the remaining 25% of the city?s population. --Baguio Water District, Baguio Health Department, City Planning and Development Office
2. Reduce non-revenue water from 38-45% to 20-30%. --Baguio Water District
3. Increase forest cover in all watersheds in Baguio City by at least 20 percent. --City Environment, Parks and Management Office, Department of Environment and Natural Resources-Forest Management Bureau
4. Reduce waste in Balili River by 25 percent and reduce BOD levels by 15%. --City Environment, Parks and Management Office, Department of Environment and Natural Resources-Environment Management Bureau
5. Optimize investments for the city?s water treatment facility and expand coverage of connection to prevent pollution.--City Environment, Parks and Management Office, City Planning and Development Office, National Economic and Development Authority
6. Mainstream gender and apply community-based approaches to water management. ? Office of the City Social Work and Development, City Planning and Development Office, Jaime V. Ongpin Foundation
7. Enact a common water agenda and adopt a local water code. ? City Council, City Planning and Development Office, Jaime V. Ongpin Foundation
8. Harmonize actions and work together towards water security. --SWIM Local Water Governance Board and Technical Working Group