Iloilo City eyes PHP 4.8-billion budget, more health aid
By Rjay Zuriaga Castor
ILOILO CITY — The city government has proposed a PHP 4.8 billion budget for 2027, with funding prioritized to enhance health care access, expand educational support, and strengthen social welfare initiatives.
The proposed budget is 6.67 percent higher than the PHP 4.5 billion budget for 2026.
Mayor Raisa Treñas-Chu said the proposed budget seeks to cushion residents from external economic pressures, including global market volatility, the ongoing conflict in the Middle East, rising fuel prices, and inflation.
The proposed budget, which covers the second year of the city’s Strategy Roadmap under Treñas-Chu’s administration, includes expanded social assistance, infrastructure development, and other priority programs.
“This budget is not merely a financial statement, but the lasting cornerstone of the legacy we are building together,” Treñas-Chu said.
The initial allocation for the Assistance to Individuals in Crisis Situation program would increase from PHP 30 million to PHP 50 million.
Funding for the HAPLOS indigent medical assistance program would rise from PHP 20 million to PHP 30 million.
The city government also plans to invest in road networks, flood control systems, and multipurpose halls in various barangays.
It will also fund the operation of a waste-to-energy project in Barangay Ingore in La Paz district.
The proposed budget also provides for priority programs and projects under Local Budget Memorandum No. 94, mandatory statutory obligations, debt servicing, allowances for national government officials serving in the city, gender and development initiatives, and Maintenance and Other Operating Expenses (MOOE) accounts for city councilors.
Treñas-Chu said the financial plan aims to protect household purchasing power while sustaining essential public services amid global uncertainty.
“By prioritizing targeted subsidies, optimizing resources, and strengthening local economic resilience, we are ensuring that the compounding burdens of rising costs do not fall squarely on the shoulders of our citizens,” Treñas-Chu said.
Sectoral allocations
General public services would receive the largest share of the proposed budget at PHP 2.179 billion, or 45.39 percent of the total, to support administrative and governance operations of the 15 departments of the city government.
Social services would get PHP 1.083 billion, or 22.56 percent, to fund health care, community welfare, and social assistance programs of six offices.
Economic services would receive PHP 964.39 million, or 20.09 percent, to support local enterprises and infrastructure.
Other services and special-purpose allocations would account for PHP 574.09 million, or 11.96 percent.
By expense class, MOOE would receive PHP 2.079 billion, or 43.31 percent of the proposed budget, followed by personnel services at PHP 1.393 billion, or 29.01 percent.
Special-purpose appropriations would amount to PHP 757.12 million, or 15.77 percent, while capital outlay would receive PHP 323.86 million, or 6.75 percent.
Financial expenses would account for PHP 247.63 million, or 5.16 percent.
Revenue sources
The city government expects local revenue sources to account for 53.41 percent of its projected funding, while the National Tax Allotment (NTA) would make up the remaining 46.59 percent.
The NTA, formerly known as the Internal Revenue Allotment, is the share of national taxes released to local governments.
Tax revenues are projected at PHP 2.258 billion, up 4.66 percent from the previous year.
The city’s NTA share is estimated at PHP 2.186 billion, a 10.75 percent increase.
Service and business income is projected at PHP 305.84 million, down 5.47 percent.
The city’s 2 percent economic zone share is expected to reach PHP 50 million, up 11 percent.
Gains and miscellaneous income are projected at PHP 420,000.
Receipts from city economic enterprises, including rehabilitated public markets and the slaughterhouse, are expected to reach PHP 119.46 million, a 42.27 percent increase.
The Iloilo Terminal Market is projected to generate PHP 37.27 million, while the Iloilo Central Market is expected to contribute PHP 24.04 million.
Treñas-Chu forwarded the proposed budget to Vice Mayor Lady Julie Grace Baronda for legislative authorization on Monday.
The Sangguniang Panlungsod, the city council, which the vice mayor presides over, must approve the budget before it takes effect.
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