Mayor mulls condoning debts of beneficiaries

CEBU, Philippines - Mayor Michael Rama said he is planning to recommend for the condonation of the overdue debts of those indigent beneficiaries of the city housing projects who can no longer afford to pay their obligation because of poverty.

But Rama is also open to the suggestion that those who can no longer afford pay their amortization will just be required to work for the city and their salaries will be deducted certain amounts to answer for their obligation.

It was Collin Rosell, head of the Division for the Welfare of Urban Poor, who made the suggestion that those who cannot afford to settle their financial obligation to the city will just be required to pay their debts through service.

The mayor said there is a policy that the government may condone certain collectibles if found out that these can no longer be collected. However, it needs the approval of the Commission on Audit.

The Cebu City government, since the administration of then mayors Alvin Garcia and Tomas Osmeña, had already released more than P500 million for the city’s housing projects for the urban poor.

Of that amount, only a little more than P100 million has been collected so far because many of the beneficiaries just ignored their financial obligation to the city despite of the series of demands by the city.

To help those delinquent beneficiaries of the urban poor projects, including that of the Slum Improvement and Resettlement situated in barangays Sawang Calero, Pasil, Suba and Alaska-Mambaling, the City Council reduced the rate of their penalty.

Rama said the problem involving the city’s urban poor housing projects should be thoroughly discussed so they can come up with concrete solution to the problem.

Recently, beneficiaries of the SIR went to City Hall to ask for help against unscrupulous people claiming to represent the city government who keep asking for rent and issue illegal receipts. (FREEMAN)