Council fails to override Rama veto on CCMC fund

The reallocation of P300 million for the Cebu City Medical Center, seen here during the inauguration of its expanded wing, to fund the senior citizens cash aid prompted the City Council to create a trust fund to ensure that appropriations won’t be diverted. (CDN FILE PHOTO)

The Cebu City Council fell one vote short of overriding Cebu City Mayor Michael Rama’s veto of an ordinance setting up a trust fund for all donations and funding for the Cebu City Medical Center (CCMC) project.

In yesterday’s City Council session, 11 voted to override the veto while two voted against and one councilor abstained.

Those who voted to override the veto were Cebu City Councilor Eugenio Gabuya Jr. who authored the ordinance and Councilors Margot Osmeña, Alvin Dizon, Leah Japson, Nida Cabrera, Sisinio Andales, Nestor Archival Sr., Robert Cabarrubias, Alvin Arcilla, James Anthony Cuenco and Mary Ann delos Santos.

Councilors Gerardo Carillo and Noel Wenceslao voted against the veto while Councilor Dave Tumulak abstained. Councilor and Association of Barangay Council president Philip Zafra was absent as well as Councilor Hanz Abella.

In vetoing the ordinance, Rama said only the City Treasurer’s Office is mandated to create a trust fund.

Legal quandary
City Legal Officer Jerone Castillo earlier said appropriations and donations cannot be mingled into one fund for the CCMC.

Gabuya refuted Rama’s contention, saying the Local Government Code states that the City Treasurer’s Office is mandated to maintain, not create a trust fund since the council is vested with the authority to create trust funds.

The councilor said there were city ordinances that created trust funds for the city’s cleanliness and beautification program, livelihood and health services among others.

“And just now we have also a trust fund for the Talamban Health Center, these are a few of the trust funds that the City Treasurer’s Office maintains,” Gabuya said.

Councilor Carillo said creating a trust fund for the CCMC creates a legal quandary. “The city government created the fund and as such is the trustor and at the same time it is the trustee and the beneficiary of the fund,” he said.

Mayor Rama later told reporters that the CCMC construction will proceed as scheduled despite the City Council’s restrictions.

When asked about the councilors identified with Team Rama who voted to override the veto, Rama said he doesn’t want to demand their support.