Two Cebu City pharmacies yesterday withdrew as conduits of the city’s free medicine program for the poor.
The owner of Pro-Inay and Pro-Poor pharmacies said the Cebu City government failed to pay for P11 million in medicine stocks.
“We don’t really want to sue, but we will as a last resort in order to get paid,” said Myra Rentuza, who owns the boticas with her husband, Mayor Rico C. Rentuza of St. Bernard, Southern Leyte.
Starting yesterday, both boticas stopped releasing medicine to indigent beneficiaries who can qualify for up to P25,000 aid under the City Hospitalization Assistance and Medicines Program (Champ).
Four pharmacies are part of the program.
The City Accounting Office said the city government also has to settle bills with the two other pharmacies.
It owes Dominique Pharmacy P6.5 million and Dell P5.9 million for medicine purchases.
Pro Poor Pharmacy has one branch on B. Rodriguez Street in front of the Vicente Sotto Memorial Medical Center (VSMMC). Pro-Inay pharmacy is located at the back of Cebu Doctors’ Hospital.
“Dili man unta mi ganahan mokiha. Amo na lang na nga (We don’t want to do this. But this is our) last resort,” Myra told Cebu Daily News.
The couple sought the help of City Councilor Jose Daluz III last Monday.
Lack of documents
Myra said they have little choice since they are facing an estafa case from one of their suppliers.
Of the amount, the city government owes Pro-Poor Pharmacy P9 million and P2 million to Pro-Inay Pharmacy.
The city government’s obligation of P2.2 million to Pro-Poor was suspended by the Commission on Audit (COA), which questioned the free medicine program due to lack of documents.
Myra said the estafa case forced them to stop giving free medicines to beneficiaries of City Hall, formerly known as the City Assistance Medicines Program or Camp.
“Wala naman mi tambal kay wala naman mi ikapalit kay wala pa man mi mabayari (We don’t have any more medicines because we don’t have cash to buy since we have yet to be paid),” Myra told Cebu Daily News.
Myra said they will still have to consult their lawyers on what case to file against the city government, which may include a civil suit for the collection of a sum of money.
Contrary to reports that there was no contract with city hall, Myra said the two pharmacies signed an agreement with the Cebu City government.
Beneficiaries
She said she worried that the estafa case filed by their supplier could affect her husband’s reputation as a public official in Southern Leyte.
Last month the COA ordered the suspension of payments to Pro-Poor Pharmacy after the city failed to attach required documents.
The COA said some beneficiaries of the program could not be classified as poor. Auditors also conducted a random sampling that revealed that seven kinds of drugs had different prices.
Myra said she hopes the city government will settle the audit issues with COA so they can receive their payment.
Councilor Daluz said City Hall is now complying with COA’s demand but has difficulty securing the medical prescriptions of beneficiaries for medicines released last year.
Certifications
He said they recovered only 20 percent of the total prescriptions and it may take months or years to complete them.
Daluz, who heads the City Council’s finance committee, said they plan to ask COA to change their requirements to certifications from the doctors of beneficiaries.
Formerly known as Camp, the free medicine program was started by Tomas Osmeña during his term as mayor in October 2009 with the help of Daluz. Pro-Poor and Pro-Inay joined the program that year.
Mayor Michael Rama renamed the program to Champ and expanded coverage to P25,000 per beneficiary a year.
Cebu City Administrator Jose Mari Poblete said he hopes the problem won’t reach the court.
Poblete said he and Cathy Yso, chief of the city’s Department of Social Welfare and services (DSWS), are following up the COA’s requirements.
Champ administrative officer Marivic Alolod said some beneficiaries have complained that they no longer receive free medicine from the pharmacies in the program. Alolod said the city government released P700,000 to Pro-Poor Pharmacy.
In a related development, the Cebu City government will pay P2.3 million to the Red Carpet catering company after it completes documentary requirements of COA.
Daluz said COA earlier waived a pre-audit to hasten payment to Red Carpet, which served food to public school teachers who did poll duty in last year’s elections.
COA earlier questioned why no public bidding was done.
City Accountant Marietta Gumia said she will sign the accountant’s advice after receiving the check from the City Treasurer’s Office (CTO) to be issued as payment to Red Carpet.
Thee CTO said it is waiting for COA to release documents authorizing the release of the P2.3-million check.