Bacolod City Hall explains allocations for P4.4-B loan

By Dolly Yasa

BACOLOD City – Controversy hounds the pending P4.4-billion loan of the city government here with the Development Bank of the Philippines (DBP).

The controversy started with the recent statement from Public Information Officer Carmela Arcolas-Gamboa to a digital media outfit that P279.3 million of the loan was earmarked for the furniture and equipment of the city mayor’s office.

Gamboa later clarified that the funds were for the proposed new legislative building.

During a press conference Monday, Sangguniang Panlungsod majority floor leader Al Espino justified that the P279.3-million allocation is neither for the mayor’s office nor for the legislative building alone.

He claimed that it is for the eight proposed projects included in the loan.

“There was a controversy about the P279.3 million supposedly earmarked for the mayor’s office,” Espino said.

Espino dismissed this as a misconception and misdeclaration.

“In recent light there have been misconceptions about a lump sum appropriation from the loan for the furniture, there have been misdeclarations and I think damo wala ka intiendi,” he pointed out.

He identified the eight projects as legislative building furniture allocation of P85 million; construction of/improvement of mini hospitals in five barangays (P65 million); improvement/ rehabilitation of the old city hall (P27 million); construction of city warehouse (P10.1 million); construction of city engineers motorpool area (P12.2 million); improvement of a tree park (P3 million); improvement/ construction of city health complex (P30 million); and recovery and recycling and ecopark (P3 million).

“So it is not just one, amo na kis-a ga gwa ang confusion. I think the Sanggunian Panlungsod has exercised its function for check and balance as far as this appropriation is concerned,” he added.

As to the status of the P4.4-billion loan, Espino also explained that they are waiting for the advice of the Departments of  Budget and Management and Finance, particularly on the debt ceiling capacity of the city.

“This will be handed down to us through our city treasurer, that will now comply as our fund source pwede ta na ma obra nga approved budget for our contract for our loan, Espino said.

Meanwhile, Bacolod City Mayor Alfredo Benitez also clarified the issue that P2 million was allocated for the doors of the city mayor’s office saying “It is not just the doors as it includes the windows.”

Last April 28, 2023, Benitez and Development Bank of the Philippines (DBP) chief executive officer Michael de Jesus led the ceremonial signing of the P4.4-billion loan agreement between the city and the bank to fund 17 projects of the city.