Risk Reduction body urged: Move P105M to special trust fund

THE Cebu City Risk Reduction Management Council (CCRRMC) has to transfer P105.3 million in excess funds from last year’s share of calamity funds into a special trust fund account so that the appropriation can still be made available for use in the next five years.

Councilor Nida Cabrera warned Cathy Yso, CCRRMC executive director, that her office might lose the appropriation which may be declared as “savings” if this would not be transferred into a trust fund account.

Yso said she would coordinate with acting City Treasurer Emma Villarete on the matter.

State Auditor Cymbeline Celia Chiong Uy said in an Audit Observation Memorandum dated April 30 that the City Account should transfer the still unspent calamity funds into a trust fund “solely for the purpose of supporting disaster risk reduction and management activities.”

“Any such amount still not fully utilized after five years shall revert back to the general fund and will be available for other social services identified by the local sanggunian,” said Uy quoting Section 21 of R.A. 10121 or the Disaster Risk Reduction Management Act.

The city government allocated P157.4 million as calamity funds in 2012.

Of the appropriation, 70 percent amounting to P110.2 million was set aside for pre-disaster and post-disaster requirements while the remaining 30 percent amounting to P47.2 million is for use as quick response fund.

As of December 31, 2012, a total of P105.3 million of the P157.4 million appropriation remained unspent.

Yso said that the P105.3 million appropriation was already identified as fund source for the implement of some of the city’s disaster mitigation programs.

However, she said that the appropriation have not been disbursed because the said projects are either ongoing implementation or still for implementation.

Cabrera said that as a procedure, unspent appropriation from the calamity funds had to be deposited into a trust fund account so that this will not be used for another purpose./Chief of Reporters Doris C. Bongcac