Rama readies P200M supplemental budget

CEBU, Philippines - Road asphalting, health, lights, peace and order, garbage, traffic and drainage are among the items to be funded in the fourth supplemental budget of Cebu City which Mayor Michael Rama is now finalizing to submit before the city council.

 Rama said this year’s fourth supplemental budget would reach as much as P200 million.

 The amount would include the P20 million budget for the rehabilitation of the Plaza Indepencia that was damaged during the construction of the South Road Properties (SRP) subway.

 Rama hopes to be able to submit the supplemental budget number 4 before the initial schedule of the budget hearing on July 14.

 According to Rama, this will be partly sourced from the P153 million Local Development Fund set for realignment. The LDF was originally intended for minor projects of the barangays but was not utilized by former Mayor Tomas Osmeña so Rama can use it during his term. It has to be realigned to be used for the supplemental budget no. 4.

 The City Treasurer’s Office earlier revealed that there is no new source of fund that is why they have to resort to realignment. CTO still has to raise P985 million to fund projects and other expenses for the whole year.

 Rama said that he does not want to avail of loans to fund the supplemental budget no. 4.

 “I don’t want to start with borrowing. That’s not my cup of tea. We already have enough debt, we need to first feel comfortable. I never think of borrowing at this time,” Rama said.

 He however clarified that it does not mean that there would be no loans under his administration.

 “It doesn’t mean there will be no borrowing in the future. Because I believe that when we borrow, that means we can pay. Unlike many, they keep on borrowing but they do not have the capability of paying. That is why they are into what we call the state of drowning,” he said.

 Last December, the city approved the biggest Annual Budget for this year which amounted to P3.196 billion.

 On January this year, it also approved P25-million SB 1 for the Election Reserve Fund. The second supplemental budget shortly followed amounting to P483.8 million. Last March, SB 3, the biggest supplemental budget ever approved, reached almost P1.5 billion. (FREEMAN NEWS)