Tubay, which was named after its brave founder Datu Tabay, lays claim to being the second Spanish settlement in Agusan. Formerly, the people settled in the wilderness of Ilihan, then transferred to sitio Malubog and later to tubay-tubay and Sebang near the mouth of the Jabonga River. However, the danger of constant inundation and Moro attacks convinced the succeeding leaders of the place to move the pueblo Daan Lungsod where now survives the massive magkuno posts of a once strongly built spacious church. And it was here the settlement firmly took roots.
Since 1898, Tubay was a prosperous town but when the Americans visited Tubay and Cabadbaran, they were convinced that the latter was the better seat of government. Therefore, in 1903, Tubay was reduced to a barrio to give ways its equally thriving neighbor Cabadbaran. Although reduced to a barrio status, it still remained a center of commercial activities due to the presence of Chinese merchants there. Boom in business in Tubay was still noticeable until the early and fabulous 20’s when the navigable Jabonga River was still the chief artery of its copra and hemp traffic. However, when the provincial road connecting Cabadbaran to Butuan and Cabadbaran to Santiago was finished, business in Tubay began to decline and business through the Jabonga River slowly disappeared.
On October 20, 1947, Tubay regained its township by virtue of Presidential Proclamation No. 44 of the late President Manuel A. Roxas.
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