CBMS refers to an organized technology-based system of collecting, processing, and validating necessary disaggregated data that may be used for planning, program implementation, and impact monitoring at the local level while empowering communities to participate in the process.

• generate updated and disaggregated data necessary in the targeting of beneficiaries (e.g. identifying beneficiaries for social development programs);
• conduct of a more comprehensive poverty analysis and needs prioritization (e.g. generating registries on/locating vulnerable sectors/groups);
• design of appropriate policies and interventions;
• provision of a mechanism for impact monitoring over time (e.g. statistics on  Sustainable Development Goals [SDG] indicators to monitor compliance to the SDGs);
• provision of information that can be used in planning (e.g. Comprehensive Land Use Plan [CLUP], Comprehensive Development Plan [CDP]) to enable a system of public spending that warrants government allocation on areas and populace that are most wanting;
• establishment of a data collection, data sharing, and information management system which shall respect the fundamental human right to privacy, ensure data quality, and uphold data protection principles of legitimate purpose, transparency, and proportionality;  
• establishment of a CBMS database at the national and city/municipal level; and,
• generation of relevant statistics at higher levels that will complement and supplement local level data. 

Republic Act No. 11315, otherwise known as the Community-Based Monitoring System Act, was signed into law by President Rodrigo Roa Duterte on 17 April 2019. Subsequently, the CBMS Implementing Rules and Regulations (IRR) was signed by the National Statistician and Civil Registrar General, Undersecretary Dennis S. Mapa, on 20 May 2020.

The law provides for the adoption of a community-based monitoring system that shall contain disaggregated city and municipal data. It identified the

• (i) mechanism for implementation to include periodicity and coverage of data collection;
• (ii) structure for CBMS implementation indicating agencies responsible for overall management, supervision, advocacy, and capacity building; and
• (iii) utilization and regulation in the dissemination of such information.

Statistical information can be generated on the following data that are to be collected:

• Data items needed to compute the Multidimensional Poverty Index (MPI)
MPI is a measure that inteds to capture deprivations in various dimensions. This measure can be broken down to reveal incidence and contribution of each indicators to the overall deprivation, thus, providing a clearer picture for the design and implementation of poverty reduction programs and policies.
• Data to be collected from households include the following, among others:
  • Demography
  • Education
  • Health
  • Economic activity
  • Housing, water, and sanitation
  • Disaster preparedness
• Data to be collected from the barangays include the following, among others;
  • Service facilities in the barangay
  • Volunteerism
  • ICT readiness of the barangay
  • Disaster risk reduction management practices and resources
  • Natural resources of the barangay
• Data to be collected from service and community facilities include "Location" among others.

CBMS shall be undertaken regularly with synchronized data collection to be conducted by every city and municipality every three (3) years.

It may also be conducted at shorter intervals, by cities and municipalities at their own expense, for purposes peculiarly useful to them.

• PSA will be in charge of the triennial synchronized conduct of the CBMS.
• LGUs will be responsible for the conduct of CBMS in between years of synchronized conduct.