Budget committee cuts P88M earmarked for livelihood program

Budget committee cuts P88M earmarked for livelihood program
Cebu City Hall
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THE Cebu City Council’s committee on budget and finance has removed the P88 million allocation for the livelihood program from the proposed first supplemental budget (SB1) after the office of Mayor Raymond Alvin Garcia failed to provide clear justification for the fund’s use.

Councilor Noel Wenceslao, committee chair, confirmed the removal in a text message to SunStar Cebu on Tuesday, March 25, 2025, citing the absence of direction and explanation from the implementing office. 

“This committee observed [a] lack of interest on the part of the Office of the Mayor as implementing office of the livelihood program,” read a portion of the committee report, which was obtained by SunStar Cebu. 

The Division of the Welfare of the Urban Poor (DWUP), which was represented in a budget hearing last March 17, also failed to clarify its role in the distribution of financial assistance under the proposed livelihood program.

“No clear answers were provided as to the functions of the said department specifically in matters related to distribution of financial assistance,” it said.

As a result of the cut, the proposed SB1 now stands at P587,796,271.60, down from P635 million. The council is expected to discuss the proposal again during its regular session on Wednesday, March 26.

Veto 

Wenceslao said Mayor Raymond Alvin Garcia could still veto if the council approved the SB1. 

The budget for the livelihood program was initially pegged at P100 million but was revised to P88 million before its removal.

Meanwhile, the council approved an increase in the proposed Charter Day bonus for City Hall employees from P25,000 to P35,000, which requires an additional P52 million under SB1. 

The council later returned the proposed SB1 to Garcia for revision primarily because the proposed increase in the Charter Day bonus lacked a clear source of funding within the SB1.

According to Wenceslao, the committee report from budget hearings on Feb. 21 and 25 revealed the lack of a clear funding source for the increased bonus. He explained that the financial capacity of special accounts, such as those under DWUP and city hospitals, was insufficient to cover the additional P10,000 per employee

The proposed SB1 went through several hearings before reaching its current form.  

In previous budget hearings, Wenceslao himself questioned the livelihood program’s specifics, pointing out that despite multiple sessions, there were still uncertainties about how the program would be implemented.

Councilor Joy Augustus Young, for his part, expressed doubts about the program’s long-term impact. He also warned of possible abuses due to the absence of concrete data to support its effectiveness.

Councilor Jocelyn Pesquera echoed Young’s concerns, reiterating the need for more transparency and safeguards in the proposal.   

Appeal 

Garcia has defended the proposed livelihood program budget, urging the council to support its continuation and possible expansion. 

Last March 18, Garcia said the City Government has been conducting ongoing orientations and payouts for livelihood program recipients.

He said beneficiaries of the livelihood program have expressed satisfaction, adding that approving the SB1 could lead to an expansion of the program, although he did not provide further details.

Last January, Councilor Nestor Archival said the funds originally allocated for parks and playgrounds were redirected to livelihood programs in a manner that constituted “technical malversation.” The lawmaker alleged that these programs were being used as a political tool ahead of the midterm elections in May. 

Garcia denied that he used livelihood dole-outs to his advantage.  

Garcia and Archival are running for mayor in the upcoming polls. The other candidates include dismissed mayor Michael Rama, former Customs chief Yogi Filemon Ruiz and independent candidate Julieto Co.  / JPS    

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