THE Department of Budget and Management (DBM) disallowed a P1.3-million appropriation for the Mandaue City Government’s job-order employees, saying the City already exceeded the personnel spending limits set by law.

The rest of the P108.6-million second supplemental budget for 2008, however, was in order, DBM 7 Director Carmela Fernan told the mayor and the city council in a letter last month.

Asked what will be the city’s next move, Vice Mayor Carlo Fortuna said the budget officer will just have to explain and show proof to the DBM that the actual personnel expenditures fell below the City’s budget.

Fortuna, the council’s presiding officer, said the DBM saw only the budgeted personnel (or personal services) items.

The actual expenditures were much lower, and the City stayed within the 45-percent cap set by Section 325 of the Local Government Code, he said.

The mayor, he pointed out, did not hire any casual employees last year, although there was a budget for it.

In her letter, Fernan said the P108,616,797 supplemental budget complied with the implementing rules and regulations of the Local Government Code, except for the lump sum appropriation for “other personnel benefits” worth P1.3 million.

She also said the benefits were not specified. (OCP)

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(January 15, 2009 issue)
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