Tuesday, November 27, 2007 Capitol hikes 2008 budget by P200T
THE P2.2-billion proposed 2008 budget of the Cebu Provincial Government is expected to be passed uncut by the Provincial Board (PB) during its first session next month.
PB Member Wenceslao Gakit, who heads the budget committee, said, after conducting budget hearings.
Only the allocation for the Office of the Provincial Accountant has a significant increase, from P15.03 million this year to P166.31 million for next year.
Gakit said he called the budget officer to explain the increase and he found out that the subsidy for hospitals’ operation, which was not in this year’s annual appropriation.
The P2.2-billion for next year is just a little higher than this year’s budget of P2.001 billion.
The bulk of the Capitol’s proposed budget for next year will go to general public services, which is more than P8 million.
Unlike Cebu City, where 23 percent or more than P500 million is appropriated for debt serving, Capitol need not set aside funds for debt servicing as the Province has remained debt-free.
Hospital operations get a share of more than P193 million, while next year’s appropriation for development fund, which is mandated by law for local government units, is P690 million.
This is larger than the 20 percent minimum requirement of P440 million. The release of the development fund depends on the governor’s discretion.
Allocations charged to the development fund are contained in the annual development plan approved by the Provincial Development Council (PDC).
Of the total P690 million development fund, the PDC has approved P507.2 million for economic services, P176.6 million for social services, and P6.2 million for general public services.
Some 53 percent of the appropriation comes from the Province’s share of the Internal Revenue Allotment.
This year’s allocation was passed uncut without much debate at the PB, but at least five of the opposition PB members were absent last January.
This was different in the late 1990s when the annual budgets were always the subject of a tug-of-war at the Capitol, forcing the Province to operate on a reenacted budget.
Among the new set of PB members, only Jose Mari Gastardo and Victoria Corominas belong to the opposition.
“This annual budget espouses the judicious application of resources, bearing in mind my principle in governance that a budget must be, beyond theoretical presentation, an approximation of people’s hopes and aspirations,” said Gov. Gwen-dolyn Garcia had said in her message when she submitted the budget to the provincial secretary last October. (MBG)
