The first reported Spanish expedition to Apayao was made in 1663. This was followed 122 years later in 1875 by the Spanish explorer Guillermo Galvez who was sent from Cagayan Valley to suppress a revolt. At the end of the Spanish regime, Apayao was divided into two separate "Politico Commondancias" for administrative purposes, namely, Apayao and Itawes. These were established in 1901 as part of Cagayan province. In 1907, Apayao and Itawes became separate sub-provinces. Itawes later became known as Kalinga sub-province. Both became part of the Lepanto – Bontoc Province which has created by Act No. 1876 of the Philippine Commission. Thirteen years later on February 4, 1920, Apayao and Kalinga became sub-provinces of the Mountain Province which was created by Act 2772 of the same Philippine Commission. Included in this province were Bontoc, Benguet and Ifugao. On June 18, 1966, Republic Act 4695 was enacted by the Philippine Congress providing for the division of the Mountain Province into four administrative provinces. This resulted in the merging of Apayao and Kalinga into one province known as Kalinga-Apayao for almost 30 years. The town of Kabugao, is the oldest among the municipalities, having been organized into township as early as 1913 under the American military regime in the island. It became a regular Municipality only on June 25, 1963 under Executive Order No. 42, together with the Municipalities of Luna, Calanasan, Conner and Pudtol. These five towns have been existent as municipalities since the Spanish and American colonial rules in the country. The municipalities of Flora and Sta. Marcela were created by legislations after the last pacific war. On June 18, 1966, Republic Act 4695 was enacted creating from the Mountain Province four independent provinces which are: Benguet, Ifugao, Mountain Province (Bontoc) and Kalinga-Apayao. On July 15, 1987, Executive Order No. 220 was issued and signed by Her Excellency President Corazon C. Aquino, creating the Cordillera Administrative Region, hereinafter referred to as CAR. The province of Kalinga-Apayao and Ifugao of Region 2 were included in the territorial coverage of CAR. In 1994, Congressman Elias K. Bulut filed the bill in Congress for the possible separation of Kalinga and Apayao. On February 14, 1995, Republic Act No. 7878 was enacted. This Act provides for the conversion of the sub-provinces of Kalinga and Apayao into regular provinces to be known as the province of Kalinga and the province of Apayao. This amended Republic Act No. 4695 and paved way for the corporate existence of the Province of Apayao as distinct and separate province. The people of Apayao are called "Isnag". Foreign anthropologists who have conducted extensive ethnographic studies on the early inhabitants of the area have various assumptions on the origin of the term "isnag". Some say that the town of Pudtol used to be inhabited in colonial times by "people who speak the Isnag language and where classified as "Filipinos who have become to be called a cultural minority". All other people living outside of the hinterlands who speak other vernaculars are "simply called Filipinos". The apparent focus of early studies on ethnic cultures in the islands renewed the emphasis on classifying the inhabitants into minority and majority cultural groups. The purpose of this was administrative in nature. The Spanish and American regimes found that Filipinos along the coastal places and lowlands were easily brought into folds of the law under these respective times. Those living in the mountains and hills were rebellious and oppose to the presence of foreign invaders in their midst. The Province of Apayao got its name from the warm water of the rivers that interweave in the region where most of the early inhabitants settled. The life of the early Iyapayaos has much to do with the river which they later called "apayaw" along which most of them lived. They do not live on the river flats but on the mountain sides for safety. Many of their communities are named after the streams that are near to them. The river serves these people in many ways. It is their source of food and water. Much of the transportation is on the streams and the men are expert boatmen and raftsmen. The province of Apayao is geographically divided into two regions, namely: Upland Apayao which is composed of Calanasan, Conner and Kabugao and Lowland Apayao which is composed of Flora, Luna, Pudtol and Sta. Marcela.