WHO APPROVED WHAT? VM Baronda, budget office clash over 2027 cuts

ILOILO CITY — A public disagreement has emerged over Iloilo City’s proposed 2027 budget after Vice Mayor Julie Grace “Love-Love” Baronda questioned the City Budget Office’s public criticism of her proposed programs, prompting the office to clarify the difference between investment planning and actual funding.

On Wednesday, Nov. 4, Baronda questioned why City Budget Officer Viminale Capulso publicly criticized her office’s proposed 2027 programs after the Local Finance Committee (LFC) had approved them and included them in the city’s Annual Investment Program (AIP).

Baronda took issue with Capulso’s remarks describing the programs as not aligned with her office’s mandate and “somewhat questionable,” noting that the Office of the Vice Mayor (OVM) had already presented and defended its proposed budget during the committee’s technical hearing.

The City Budget Office, a member of the LFC, was present during the technical hearing.

Under the Local Government Code of 1991, the LFC is composed of the local planning and development officer, the local budget officer, and the local treasurer.

Capulso earlier said some of the proposed expenditures were questionable because they were not aligned with the legislative mandate of the OVM.

She said this misalignment was among the reasons for the reduction in Baronda’s proposed budget.

Capulso also cited guidelines issued by the Department of Budget and Management (DBM), which clarify that the functions of the Sangguniang Panlungsod are limited to enacting ordinances and resolutions, approving budgets, and performing other legislative responsibilities.

The DBM reiterated this clarification in a letter dated Oct. 5, 2023.

Among the proposals Capulso cited were Baronda’s Libreng Sakay (free ride) program for college students, the establishment of a centralized three-digit hotline, and funding for a debate activity under the Empowering Youth Through Legislative Awareness Program.

Baronda, however, argued that her office’s proposed budget for fiscal year 2027 had undergone review, during which its programs were discussed, questioned, and justified before the LFC.

The LFC subsequently approved the proposal, although at a lower amount than originally requested.

Baronda also pointed out that the approved proposal had been incorporated into the city’s AIP for 2027.

“That is why I am asking: If the OVM’s proposed programs supposedly ‘do not align’ and are ‘somewhat questionable,’ why were these not questioned or disapproved during the technical hearing? Why did the LFC approve them and even include them in the AIP for 2027?” Baronda said in Hiligaynon.

Baronda said she found it “inappropriate” and “premature” for the budget officer to comment publicly while the proposed budget was still undergoing the budget process and had yet to be formally deliberated upon by the City Council.

She acknowledged that the city budget officer is responsible for scrutinizing proposed appropriations and ensuring compliance with applicable laws and regulations.

However, she stressed that any concerns should be raised through proper channels and supported by clear legal and technical grounds.

While LFC approval does not guarantee final passage of the proposed budget, Baronda maintained that the budget process should be conducted with fairness, consistency, professionalism, and transparency.

“If there were deficiencies in the proposed programs, these should have been raised during the technical hearing. If they were unacceptable, why were they approved? And if there were legal or technical deficiencies, why were these not addressed before the programs were included in the AIP?” she said.

Baronda said the proposed OVM programs are intended to support initiatives for the welfare and benefit of Ilonggos and should be assessed on their merits, legality, and intended public benefit.

“This is not merely about the budget of the Office of the Vice Mayor. This is about the integrity of the budget process, the consistency of our public officials, and the fairness that every office of the City Government deserves,” she said.

AIP inclusion not a guarantee

In a statement on Thursday, Nov. 5, the City Budget Office clarified that not all programs, projects, and activities included in the AIP are necessarily funded under the annual budget.

The office explained that the total budgetary requirements reflected in the AIP may exceed the city’s estimated revenues.

In such cases, strategic prioritization is necessary to determine which programs receive funding based on their importance.

The office added that items are not automatically disapproved or removed from the AIP because funding may be identified from sources other than the city’s locally generated income.

These sources may include loans, donations, national government funding such as the Local Government Support Fund, public-private partnership agreements, and others.

“This is a basic principle in budget preparation that everyone should not forget,” the office said.

The budget office also thanked Baronda for raising the issue. It said her concerns prompted the LFC to recognize the need to intensify its public education campaign on budget preparation and ensure a common understanding of the process.

“We remain transparent in our processes, and our office remains open to addressing any questions or clarifying concerns. We look forward to the committee hearings, which will provide the proper venue to discuss in detail every item included in the proposed 2027 budget,” it said.

The Committee on Appropriations, chaired by Councilor Rex Marcus Sarabia, is set to conduct hearings next week on the proposed budgets of the city’s various offices.

The dispute is not the first involving the budget of Baronda’s office. In November 2025, the Office of the Sangguniang Panlungsod faced a PHP 19 million reduction in its proposed 2026 budget, and Baronda declined to sign the proposed budget submitted by the Office of the Mayor.

Iloilo City is seeking a PHP 4.8 billion budget for 2027, up 6.67% from its PHP 4.5 billion budget for 2026.