Tom, Mike argue over P389M in city’s scholarship payables

The Cebu City government has yet to settle last year’s obligations of P389.7 million to contractors, service and goods providers and schools participating in its scholarship program.

Of that amount, the City Accounting Office said P100.7 million is owed to 15 schools, colleges and universities.

The biggest amount of P36.5 million is payable to to three campuses of the University of Cebu (UC).

“The city is losing its financial stability,” said Rep. Tomas Osmena but Mayor Michael Rama said delayed processing of documentary requirements were behind the late release.

“Let’s check because there are those who didn’t comply with documentation requirements,” he said.

Rama said the city can can start changes in its scholarship program and spread the scholars equally to different participating schools and not only one college.

Osmeña defended his ally, Councilor Rodrigo “Bebot” Abellanosa, against criticisms of conflict of interest in the participation of his Asian College of Technology (ACT) in the city’s scholarship program.

He said it was not true that ACT gets the biggest share of the city’s scholarship funds.

Osmeña said the decision of the scholarship committee to remove ACT from its list of accredited schools was “pure harassment.”

“How can you say the scholarship program will continue if the city cannot even pay the schools?,” Osmeña asked. He said the students chose to enroll at ACT “so there is no undue advantage.” “Where is the conflict of interest there?”.

He said students prefer to enroll at ACT “because that is what they can afford.”

ACT has close to 6,000 city scholars who receive P11,000 assistance per semester from the city.

A sum of P10,000 is for the tuition and P1,000 for other school needs.

The school also gives P10,000 as its counterpart financial aid to city scholars.

“Why do you disqualify the most affordable school that we have?” the congressman said. Osmeña said, students were not forced to enroll at ACT.

Councilor Abellanosa said his school has unpaid claims of P100 million since two years ago because of the city’s refusal to pay his schools due to inadequate documentary requirements.

Rama earlier said he was having ACT’s tax payment records reviewed.The mayor said yesterday that Osmeña was not in a position to discuss what conflict of interest means.