Council: Daily budget hearings next week

THE City Council will hold budget hearings daily except on Wednesday to hasten the review of Cebu City Mayor Michael Rama’s proposed budget of P11.8 billion.

On Monday, the City Council will proceed with discussing expenditures in the proposed executive budget.

Councilor Margot Osmeña, head of the Committee on Finance, said that as much as possible the council wanted to complete budget discussions on Friday so they could start to deliberate on whether to pass the mayor’s P11.8-billion budget.

A budget ordinance would also have to be submitted to the council for their approval.

Vice Mayor Joy Augustus Young said that as much as possible, the council would not want to reenact this year’s P4.5-billion budget next year.

But based on the outcome of discussions on the proposed revenue sources for the proposed 2012 budget, Young said he believed that only a minimal increase might be allowed in next year’s budget.

“There is no way to fit a big budget to a declining income,” he said.

The City Council has to pass the 2012 budget before the year ends; otherwise, the city would operate next year by using the reenacted 2011 budget.

City Treasurer Tessie Camarillo said that a reenacted budget would only allow basic expenditures like salaries, supplies and payment for electricity and water among others.

“Revenue sources would also be limited to local sources,” she said.

The council discussed during their budget hearing on Thursday a proposal to avail of a P2-billion credit line and the P4-billion revenue from economic enterprise activities that the Local Finance Committee (LFC) has identified to help fund Rama’s P11.8-billion budget. Chief of Reporters Doris C. Bongcac