Local execs hail withheld IRA release

The League of Provinces yesterday hailed President Arroyo’s order to release the unprogrammed shares of local government units after the funds were withheld from their Internal Revenue Allotment (IRA) during the Estrada administration.

The President’s action followed a recent Supreme Court ruling that the withholding of the IRA shares, set aside as unprogrammed funds by Congress in the 2000 General Appropriations Act, was unconstitutional.

"I am expressing the sentiments of all local government units (LGUs)," said league acting president, Nueva Ecija Gov. Tomas Joson III in lauding the President’s announcement.

"The money from the withheld IRA shares will certainly go a long way toward meeting the needs of the LGUs," said Joson, who presided over the league’s general assembly yesterday in Pasig City.

Joson noted that Mrs. Arroyo, who dropped by during cocktails, "recognizes the intrinsic value of local autonomy and the relationship of the LGUs to the central government in ensuring the delivery of basic social services to the people."

Earlier, the President also authorized payment to the LGUs of IRA shares withheld by two previous governments and abolished the Local Government Service Equalization Fund, a funding program seen by LGUs as having "sucked portions of the IRAs."

The government is seen to push through with the monetization program so that the cited IRA shares could be advanced up front by banking institutions thus, easing the burden on the government, the league said.

Other governors meanwhile joined in expressing their gratitude to the President for her quick action on the withheld IRA shares.

Southern Leyte Gov. Rosette Lerias, whose region ranks as among the poorest in the country, said she was "very happy" given the extent of what the President’s announcement can do for her province and constituents.

Oriental Mindoro Gov. Arna Panaligan said people in the province could expect "some kind of boom" because of this.

"We have so many pending projects like bridges, farm-to-market roads," Panaligan said.

League spokesman Eastern Samar Gov. Ben Evardone said it was "as if manna fell from heaven."

"I think we can say that we are seriously on the right track to achieving the 10-point legacy agenda of the President," Evardone said, adding that basic and better infrastructure in the region will increase trade and commerce especially in the marketing of local produce.