Iloilo City Hall eyes austerity measures

THE Iloilo City Government is planning to put in place belt-tightening actions amid the economic impact of coronavirus disease (Covid-19) pandemic.

This was the recommendation to Mayor Jerry Treñas after the Local Finance Committee (LFC) members met to discuss repercussions and/or effects of enhanced community quarantine (ECQ) on Annual Appropriation Calendar Year 2020.

LFC is chaired by City Treasurer Jinny Hermano, while members include City Budget Officer Ninda Atinado, City Accountant Michelle Lopez and City Planning and Development Coordinator Jose Roni Peñalosa.

The move targets to save some P166 million to be available in anticipation of uncertain times and to respond to urgent needs of Ilonggos.

LFC noted the recommendations are in line with Department of Budget and Management (DBM) National Budget Circular 580 dated April 22, 2020 regarding adoption of economy measures in government due to emergency health situation.

These are also subject however to modification/reevaluation depending on severity of effect of Covid-19 crisis to financial standing of city.

LFC manifested concerns including expected shortfall in city's revenue collections, depletion of Quick Response Fund (QRF), and sustenance of programs and projects.

They proposed recommendations for adoption of economy measures for mayor's consideration such as:

* Discontinuance or deferment of the following:

a.) All Capital Outlays except for the purchase of ambulances and other motor vehicles required by military and uniformed personnel for direct services;

b.) Start-up construction of government buildings as well as repairs or renovation works subject to mayor's discretion;

c.) All foreign and local travels unless those taken at no cost to government or are essential or necessary;

d.) Conduct of celebrations and cultural or sports activities not related to core function of city including athletic competitions;

e.) Services of consultants and technical assistants;

f.) Cost of trainings, seminars and workshops.

LFC recommended the observance of austerity measures in consumption of fuel, water and electricity expenses.

"Services of job hires and contract personnel paid on a daily rate basis be reduced to a maximum of 16 days per month effective May 2020; which will not only limit expenses to allowable level but will also promote social distancing on the workplace," they added.

LFC suggested suspension of implementation of salary adjustment under Salary Standardization Law (SSL 5).

They also called for deferment of grant of additional allowances to national government officials and employees considering that the same is dependent upon availability of funds.

Likewise, LFC proposed for deferment of filling up of vacancies in plantilla to generate Personnel Services (PS) savings subject to mayor's discretion.

LFC further suggested the adoption of compensatory time off in lieu of overtime pay for those rendering overtime services in all offices. (PR)

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