Oliva: City had over P1B surplus in 2010

CEBU, Philippines - Former Cebu City treasurer Ofelia Oliva yesterday insisted that the city had more than a billion pesos in surplus during the later part of the administration of former mayor Tomas Osmeña, which is why she certified that it can be used to fund the P1.4 billion Supplemental Budget 3 of 2010.

Oliva, who is now temporarily detailed with the regional office of the Bureau of Local Government Finance-7, recalled that of the P1.4-billion proposed SB 3 of 2010, P500 million was really unobligated funds, while the rest of the amount was taken from the budgets of unrealized projects.

As of yesterday afternoon, Oliva requested Cebu City Budget Officer Nelfa Briones to secure all the documents involving SB 3 to clarify the issue once and for all.

The Commission on Audit said SB 3, which was done a few months before the last year’s May 10 elections is considered illegal because it was passed by the city council even if it does not have the necessary funds.

When The FREEMAN contacted Osmeña yesterday, the incumbent South District representative said he was not wrong when he worked for Oliva’s relief from her assignment as treasurer in Cebu City.

It was Osmeña who asked Finance Secretary Cesar Purisima to pull out Oliva from Cebu City because she is already overstaying.

“So you see, my recommendation to change Oliva was correct,” Osmeña said.

He added that if anyone is to be blamed if indeed the city has no funds to support its proposed supplemental budget, it should be Oliva because she certified that the city had P1.4 billion in surplus.

However, Oliva argued that granting that the city does not have the funds, Osmeña, as the head of the local government unit, is also liable as provided for under the provisions of the Government Accounting and Auditing Manual.

Mayor Michael Rama, who used to be the presiding officer of the city council when the proposed SB 3 was presented before the body, admitted that they did not question Oliva about the sources of funds of the proposed additional budget.

“Si treasurer Oliva maoy angay’ng mopasabot pag-ayo kabahin niana, ingon man ang former mayor,” said Rama.

SB 3 was intended for infrastructure projects for the Cebu City barangays, road concreting and construction of multi-purpose buildings, health centers, drainage and the P370-million payment for the city’s foreign debt.

Osmeña said he had millions in collectibles when he left the city as mayor because the city just sold P3.5 billion-worth of lots at the South Road Properties to Filinvest Land Inc. and SM Prime Holdings Inc.

The payment of the lots will be made in staggered basis until 2014.

“They gave only 30 percent down payment so the remaining 70 percent should be considered as surplus to Rama because he did not earn this,” he said.

Osmeña challenged Rama to work hard to improve the condition of the city.

“Remember, when I became mayor in 1987 I had no surplus at all and I did not borrow or sell anything. What I did in my first year was to convince the Japanese officials to approve and release P400 million for the Metro Cebu Development Project-1, start studies for MCDP-2 then got P80 million for the Pasil Fish Port,” he said. — /BRP - (THE FREEMAN)