Councilors under the minority Team Rama camp can only watch as their counterparts from the Bando Osmena-Pundok Kauswagan (BO-PK) bloc raise their hands to vote for the passage of a reduced budget worth P64 million. (CDN PHOTO/JUNJIE MENDOZA)
CAN Cebu City reenact its annual budget and fall back on the current, much larger amount of P13.4 billion?
The pros and cons of reenacting the budget after the City Council last week approved a slashed figure of only P6.4 billion for 2016 is being studied, , said City Administrator Lucelle Mercado.
Allies of Mayor Michael Rama in the council earlier questioned whether the 9-3 vote in the council’s special session was enough support to approve the annual budget.
“We have to study how to handle this because number one, the numbers during the voting (were questioned),” said Mercado.
“The Department of Interior and Local Government (DILG) and Department of Budget and Management (DBM)have different opinions on the number of votes required, whether it should be an absolute majority or a simple majority,” she told reporters yesterday.
Councilor Gerry Carillo earlier questioned the number of votes, saying at least 10 votes are required for passage of the annual budget because the Local Government Code requires an “absolute majority” and not just 50 percent plus one.
Mercado agreed.
A slimmed down budget proposal of P8.9 billion was submitted by the Rama admnistration in October.
The council, dominated by the mayor’s critics, removed P2.5 billion in the final version, saying it had to be “consistent” with its objection against using proceeds from the sale of South Road Properties lots. The amount of P2.5 billion represented the first installment payment for the sale of two sRP lots to be received next year, a revenue whose legality has been challenged in court.
Mercado said they will meet with Acting Mayor Edgardo Labella and other officials once they receive a copy of the budget ordinance.
Whatever are the results of their meeting will guide how the acting mayor will decide on the budget, she said.
As early as now, she said, the City Budget Office will be comparing the current P13.4 billion budget and the approved budget of P6.4 billion for 2016.
“We have to look at the 2015 and 2016 budgets. There are different angles to be looked into like reenactment. The council will still have 90 days to review and act on the executive’s response. We have to study which is more advantageous for the city,” Mercado said.
If for one reason or another, a valid annual budget is not passed, the law requires a local government to fall back on a reenacted budget to ensure that government operations will continue.
City Budget Officer Marietta Gumia said if Cebu City’s annual budget is reenacted, they will prioritize personal services and maintenance and other operating expenditures. Capital outlay items will not be included.
Acting Mayor Labella said he would wait until he gets an official copy of the budget.
He said the case filed by former prosecutor Romulo Torres questioning the use of the SRP sale money was already dismissed in court.