CEBU, Philippines - Local government units in Central Visayas are projected to earn P60.05 billion from local revenues, external sources and non-income receipts for 2015, government data showed. Of the estimated revenues, LGUs would be spending P30.32 billion or 50.5 percent for the year.
The figures were obtained from the online data of the Department of Budget and Management on Statement of Receipts and Expenditures by regional level of LGUs.
SRE reports the present year revenues and spending of LGUs from both current and continuing appropriations and gives specific data on the level of local capital expenses.
SRE is a financial report set by the Bureau of Local Government Finance to make LGUs transparent and liable in their respective income collections and disbursements.
Receipts of local governments include tax and non-tax revenues (local sources), sources from national tax collection and non-income receipts which come from capital investment, loans and borrowings, donations, subsidies and surplus of prior years.
Among the various local income sources, real property tax, which includes basic RPT and special education tax, is the most stable revenue source of LGUs. Others include business tax, regulatory fees and charges and receipts from economic enterprises.
DBM data also indicated that actual receipts of LGUs in Region-7 in 2014 amounted to P52.1 billion while disbursements reached P30.99 billion. A detailed breakdown of SRE of LGUs is available on DBM’s website under Budget of Expenditures and Sources of Financing.
SREs are prepared by local treasurers for the actual year and accountants and budget officers for the current and proposed budget years.
Local revenue sources of CV LGUs for 2015 are estimated to amount P9.95 billion while external sources and non-income receipts are to reach P22.96 billion and P6.02 billion, respectively, DBM data showed.
Aside from internal revenue allotment and earnings of state-owned corporations, LGUs also get shares of the national tax revenues from eco-zones, expanded value-added tax, national wealth and tobacco excise tax.
On the other hand, disbursements are spent for general, economic, social, debt services. Bulk of the estimated value for 2015 expenditures of CV LGUs will go to general services (PP15.19 billion) followed by social (P7.09 billion), economic (P5.88 billion) and debt services (P2.16 billion).
The SRE has been the standard financial performance reporting system for Philippine LGUs.
The DBM and Department of Finance earlier ordered LGUs to adopt a modified format of SRE to remain transparent in their respective financial status.
LGUs should fully and accurately disclose financial transactions on time to keep citizens informed on how public finances are obtained and spent.
BLGF is the agency that handles local finance and implements policies on local revenue administration. — (FREEMAN)