CEBU, Philippines - To avoid coming up with an “unrealistic” Annual Investment Plan, the Cebu City Council has asked the City Development Council to set parameters stakeholders and the barangays to observe in proposing projects and programs.
The move came after the CDC endorsed to the City Council the 2015 AIP amounting to P36 billion, which is even almost double the proposed P18.9 annual budget.
Assuming the whole 2015 annual budget is used for AIP-listed projects, there would be around P17 billion worth of unprioritized projects and expenditures.
“Sana there should be guidelines or a pie how much will be allocated for the stakeholders or barangays so that the amount will not be ballooning to P36 billion,” said council Committee on Budget and Finance Head Margarita Osmeña said.
City Councilor Noel Eleuterio Wenceslao said the AIP should be “realistic” as it serves as basis for projects to prioritize in next year’s annual budget.
“It’s too big to fund and to approve the same. Practically, we can’t fund them all,” Wenceslao said of the projects and expenditures contained in the AIP.
The P36 billion includes infrastructure projects under the Department of Engineering and Public Works (P7.9 billion); Office of the Mayor (P5.6 billion); General Service Office (P2.9 billion); financial aid to 80 barangays (P3.2 billion); and City Environment and Natural Resources Office (P2.7 billion).
Other items were disaster risk reduction programs (P243.6 million); installation of barangay boundary arc (P20 million); improvement of street lighting in the city (P200 million); and socialized housing for City Hall employees (P250 million).
The 2015 AIP also includes repair and construction of drainage (P1.5 billion); purchase of Province-owned lots (P400 million); construction of facilities for the street dwellers (P100 million); and relocation of illegal settlers in coastal areas (P100 million).
In an executive session yesterday, CDC Head Kenneth Carmelita Enriquez said the P36 billion comprised the “wish list” of the city barangays, non-government organizations, and other sectors of society totaling to P3.3 billion; and the budget requests of various City Hall departments and special bodies totaling P32.7 billion.
She said the P3.3 billion was included in the proposed annual budget to be charged against the proposed local development fund of P610.6 million. The P2.6 billion balance, though, would be sourced from the respective budget allocation of the different City Hall offices and departments.
The AIP contains programs and projects that are funded by the local development fund, which accounts for 20 percent of the city’s Internal Revenue Allotment share.
Enriquez proposed that AIP projects and expenditures not covered by the 2015 annual budget be accommodated in the next supplemental budget or in the 2016 annual budget.
The proposed 2015 annual budget would be sourced from the city’s projected tax revenue (P2.6 billion), non-tax revenue (P770 million), sale of government lots (P10.8 billion), auction sale of real properties and share from joint venture and other activities (P50 million each), Internal Revenue Allotment (P1.4 billion) as recommended by the Department of Budget and Management, and proceeds from domestic borrowings amounting to P3.1 billion, among others.—Kristine B. Quintas/RHM (FREEMAN)