Section 1. The territorial and political subdivisions of the Philippines are the provinces, cities, municipalities, and barrios.
Section 2. The Batasang Pambansa shall enact a local government code which may not be thereafter amended except by a majority vote of all its Members, defining a more responsive and accountable local government structure with an effective system of recall, allocating among the different local government units their powers, responsibilities, and resources, and providing for the qualifications, election and removal, term, salaries, powers, functions, and duties of local officials, and all other matters relating to the organization and operation of the local units. However, any change in the existing form of local government shall not take effect until ratified by a majority of the votes cast in a plebiscite called for the purpose.
Section 3. No province, city, municipality, or barrio may be created, divided, merged, abolished, or its boundary substantially altered except in accordance with the criteria established in the local government code, and subject to the approval by a majority of the votes cast in a plebiscite in the unit or units affected.
Provinces with respect to component cities and municipalities with respect to component barrios, shall ensure that the acts of their component units are within the scope of their assigned powers and functions. Highly urbanized cities, as determined by standards established in the local government code shall be independent of the province.
Local government units may group themselves, or consolidate or coordinate their efforts, services, and resources for purposes commonly beneficial to them.
Section 5. Each local government unit shall have the power to create its own sources of revenue and to levy taxes, subject to limitations as may be provided by law.