Cash aid for other LGUs not discussed by PB

CEBU, Philippines - The disbursement of financial assistance to other local government units declared under a state of calamity was not discussed by the Cebu Provincial Board, said Provincial Secretary Aniceta Pasaylo.

Pasaylo was asked by the Commission on Audit to furnish a copy of the minutes taking up the deliberation of the PB on the proposed budget for the five percent lump-sum calamity fund under the 2011 annual budget.

“This office has none of the requested documents as there was no discussion on the matter during the regular session on December 13, 2010 when said budget was taken up,” said Pasaylo in her letter addressed to State Auditor Barbara Ann Aloba dated August 15, 2012.

Aloba asked Pasaylo if the Provincial Disaster Risk Reduction Management Plan (PDRRMP) FY 2011 Budget Proposal in the amount of P85.7 million was submitted or presented to the sanggunian for deliberation.

In its Audit Observation Report, COA observed that the aggregate amount of P27 million disbursed out of the PDRRMF, formerly known as the 5% Calamity Fund, of CY 2011 which was released to the provinces of Albay and Ilocos Norte, the cities of Cagayan de Oro, Iligan, Dumaguete and Tanjay and the municipality of Valencia, Negros Oriental, were transferred without approval from the Sangguniang Panlalawigan.

Republic Act 10121, also known as the “Philippine Disaster Risk Reduction and Management Act of 2010” provides that, “upon the recommendation of the LDRRMO and approval of the sanggunian concerned, the LDRRMC may transfer the said fund (LDRRMF) to support disaster risk reduction work of other LDRRMCs which are declared under state of calamity.”

The COA also observed that the 5% Lump-sum Calamity Fund under the Office of the Governor, inasmuch as the approved Executive Annual Budget showed only a lump-sum budget of P85.7 million for the calamity fund without any specifics or details.

Provincial legal officer Marino Martinquilla noted that the matter of the submission of the said PDRRMP to the SP is “of no moment” for what is important is the fact that the SP had approved the Appropriation Ordinance which includes the calamity funds.

The same argument Provincial Budget Officer Emme Gingoyonhad pointed out in his letter to Aloba saying that the Executive Annual Budget which was approved by the SP through Resolution No. 2012-2010 enacting Appropriation Ordinance No. 2010-11, served as the SP approval required under Section 21 of RA 10121.

Governor Gwendolyn Garcia earlier said that the matter was already resolved during the exit conference with COA.

During the conference, Garcia pointed out that the released fund was already part of the P87 million calamity fund mandated under the Local Government Code.

Garcia said the Supreme Court ruled that in the execution of the budget for the payment of goods and services based on an appropriation ordinance, no prior approval from SP (Sangguniang Panlalawigan) is needed.  - THE FREEMAN