1. Early Settlements and Foundations
The recorded history of Sagay dates back to circa 1860 when Teniente Francisco Rodriguez and Basilio Cordova founded a small settlement near the mouth of what is known today as the Bulanon River. The settlement which is Barangay Bulanon was then called Arguelles. In due time, the settlement prospered and became the town proper. Arguelles was to be the center of commerce and trade in the area for about ten years from the time of its founding. In 1870, the Spanish Governor ordered the transfer of the town into a bigger and more progressive community, also near the sea. The place was christened “Pueblo de Magallanes” in honor of the discoverer of the Philippines Fernando Magallanes. “Pueblo de Magallanes” today is Barangay Old Sagay.

2. Early Political, Social, Economic development

Having now the status of a pueblo, Sagay was entitled to have a “Capitan del Pueblo,” the highest town official during the time. The first top one appointed to this position by the Spanish Governor was Elulalio Rodriguez. He was later succeeded by Gregorio Parreño who was in turn also succeeded by Pedro Katalbas Y Villanueva.

During the Philippine Revolution, Sagay contributed its share to what proved to be a successful national struggle for independence. The hard-won First Philippine Republic was however shortlive when the country passed to the hands of another colonial power, the United States of America in 1898. Not long afterward, Sagay, like the rest of the country was experiencing the era of Americanization. The American influence seeped into every aspects of Sagay’s life: - politically and culturally.

At this period of Sagay’s history, land transportation began to supplant sea travel but the seaside community continued to flourish. The first public schools conducted in English were established. Mr. Cornelio Pascual, Sr., was the first English Teacher assigned in Vito. American missionaries were sent to tutor more Filipino English teachers.

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Sagay Under Spain
 
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