106 villages can’t account for P222M in quarry taxes

CITY OF SAN FERNANDO—The Pampanga provincial government has released P222.5 million representing the 40-percent share of 106 barangays (villages) from quarry taxes from July 1, 2010 to April 30, 2015, but none of the villages have reported exactly how the revenues were spent.

Citizens’ groups or church-based organizations have not requested copies of reports on quarry revenues and expenditures either, a check by the Inquirer with the provincial government showed.

Sand is bountiful in Pampanga, belched out by Mt. Pinatubo’s 1991 eruptions that triggered a lingering disaster until 1997. Lahar washed down by rains flattened rivers, buried farmlands and fishponds and erased more than 100 villages from the map.

Despite big income from quarry tax share, barangay leaders still seek the help of the provincial government for medical and educational needs of their constituents.

Arthur Punsalan, provincial environment and natural resources officer, said the shares of the province from quarry taxes (30 percent), towns and cities (30 percent) and barangays (40 percent) were being remitted to the general fund of the local governments.

Much like other public revenues, the income undergoes regular scrutiny by the Commission on Audit (COA), he said.

“After the statutory budget of 5 percent for disaster response and 20 percent for development fund, barangay councils should spend the remaining 75 percent on development projects,” he said.

While the COA posts on its website its audit findings of provincial, municipal or city transactions, it does not do the same for barangay councils.

Board Member Jerome Tubig, president of the League of Barangays of the Philippines in Pampanga, said the bylaws of the league did not include a mechanism for reporting on expenditures.

Barangay leaders go through the regular budgeting, disbursement and spending process required by the COA, he said. The Department of the Interior and Local Government directs councils to post budget and expenditure reports in barangay halls.

The quarry tax share excludes the income of the barangay from environmental, ecological or road fees that councils collect from hauling companies.

The biggest earner, Barangay Manibaug Pasig in Porac town, received shares of P67.7 million. The village chief, Nemencio Punzalan, on Tuesday did not answer calls or text messages seeking an accounting of the amount.

Of the total P1.3 billion collected by the administration of Gov. Lilia Pineda from July 1, 2010 to April 30, 2015, the provincial government took in P720.6 million from the P250 administrative fee and P66.3 million in measuring fees, a report from the provincial accountant showed.

Total quarry taxes, at P150 per truckload, amounted to P556.2 million.

The 30-30-40-percent sharing scheme imposed by the Local Government Code of 1991 (Republic Act No. 7160) entitles the provincial government P166.9 million and grants 18 towns and two cities at least P166.9 million. The law gives 106 barangay P222.5 million from the quarry earnings.

Pineda said the provincial shares have financed health services in 10 provincial hospitals.