Amid SB-1 deadlock: Rama asks P206 million additional budget

CEBU, Philippines - With the P2.8 billion Supplemental Budget-1 still pending before the Cebu City Council, the executive department has asked for a second supplemental budget amounting to P206 million for “urgent and necessary expenses.”

Mayor Michael Rama submitted yesterday the proposed SB-2 for City Council’s approval amid the ongoing deadlock in the first supplemental budget this year.

The bulk of the proposed SB-2 goes to the cash incentives of the close to 5,000 regular and casual employees of City Hall amounting to P127 million. It also included the P50 million for the garbage collection and tipping fee of the city, among others.

 “I am submitting herewith for your consideration, Supplemental Budget No. 2 CY 2015 for the General Fund Proper and Special Accounts, City of Cebu, to cover urgent and necessary expenses,” read Rama’s letter to members of the City Council.

City Administrator Dr. Lucelle Mercado said the employees cash incentives will be given across the board at P30,000 each.

The city’s Program on Awards and Incentives of Service Excellence (PRAISE) issued a resolution on December 1 citing the awards received by the city government from the National Competitiveness Council as justification for giving the incentive.

Cebu City was awarded as the third most competitive highly urbanized city among 144 other cities in the country and the city ranked second for the infrastructure category.

 “By virtue of the said awards, it is deemed rightful to grant the employees a Cash Incentive for all the hardworks and effort that led the City of Cebu to receive the said awards,” the resolution reads.

The resolution was signed and approved by PRAISE Chairman Jose Maria Eugenio Elizalde, Vice-chairman Mercado, and members lawyer Mary Ann Suson, City Budget Offi-cer Marietta Gumia, Planning Head Kenneth Carmelita Enriquez, and City Treasurer Diwa Cuevas. The resolution was also signed by Rama.

The other members of PRAISE who did not sign the resolution were City Councilors Margarita Osmeña and Sisinio Andales. The councilors were attending the regular session of the City Council when the PRAISE held its meeting.

Mercado said this would be the biggest incentive that the city will give to its employees.

In the resolution, PRAISE cited guidelines on the amount of the incentive that will be received by the employees.

Personnel who have rendered less than four months of service as of October 31, shall be entitled solely to the cash incentive pro-rated as follows: personnel who have served for three months but less than four months would receive 40 percent of the amount, 30 percent will be given to those personnel who have served two months but less than three months, while 20 percent for those who have served for a month but less than two months, and 10 percent would be given to those who have worked less than a month.

“The current administration is keen on providing incentives for its employees who contributed in the agency’s achievement and to motivate employee efforts toward higher productivity, performance and greater accountability in the public sector,” the resolution reads.

PRAISE cited its mandate that it can recommend incentives “on the basis of special achievements, innovative approaches to assignment, exemplary service to the public and recognition by an outside group of a particular achievement.”

Cuevas said the incentive is for the employees since the productivity enhancement incentive, which is equivalent to one month salary, is still pending due to the deadlock in the budget deliberation.

Even with the possible release of the incentive, Cuevas assured that the city will not exceed the 45 percent limit on personal services as mandated under the Local Government Code. Cuevas said the city has distributed P10,000 incentive to employees last year while P20,000 was given in 2013.

Vice Mayor Edgardo Labella, who is now acting ma-yor, has asked Councilor Nestor Archival, who is acting presiding officer of the City Council in lieu of Labella, for a special session to discuss the proposed SB-2.

Labella said the City Council has agreed to have a special session on Monday to discuss the items of the proposed SB-2. — /FPL (FREEMAN)