Inconsistencies in City’s annual budget: Garcia blames VM

CEBU, Philippines — Cebu City Mayor Raymond Alvin Garcia has welcomed the Department of Budget and Management’s (DBM) move to address inconsistencies in the city’s P14.6-billion 2025 annual budget—but questioned the rushed approval made by Vice Mayor Donaldo Hontiveros, who was the acting mayor, which he said may have compromised a thorough review.

In an interview yesterday, April 24, 2025, Garcia said it had already come to his attention that DBM-7 had reviewed the approved P14.6-billion 2025 annual budget, flagging and declaring some items inoperative.

As indicated in the review, the DBM acknowledged compliance with the laws cited in the budget ordinances. However, they identified appropriations totaling P79,705,000 that would be deemed inoperative. These were found to be inconsistent with the corresponding Annual Investment Plan (AIP) of the city government.

“That is something that I will have to look into and I will remedy, myself, kay the backstops with the mayor but of course you have to know, and we have to realize that the budget for 2025 was signed by the Acting Mayor,” said Garcia.

It may be recalled that during the last weeks of December 2024, Garcia went on leave, placing Hontiveros in the role of acting mayor, including during the approval of the annual budget.

Garcia had earlier questioned this, seeking clarity on whether there was proper transmission of the trimmed annual budget ordinance—especially since Hontiveros signed it on a non-working day.

Garcia further recalled that since the budget ordinance was submitted to Hontiveros, it raised concerns about whether the latter had enough time to review and discuss it “thoroughly.”

“Wa nila matan-aw, nya iya nalang gipirma on a Saturday,” he said.

According to Garcia, it would have been more “prudent” for Hontiveros to review the entire budget over the weekend and wait for him to return to office a few days later so that he could review the budget himself.

“But ila mang gidali, wa nila gitan-aw so mao na nagka problem ana hinuon ta karon,” said Garcia.

Reports stated that the trimmed annual budget was approved by the City Council on Friday, Dec. 27, 2024, during a special “hybrid” session.

Hontiveros later confirmed that he signed the budget the following afternoon after he and his legal counsel reviewed it with SP Secretariat lawyer Charisse Piramide.

Hontiveros also mentioned that he signed the ordinance in accordance with the process and acted swiftly to avoid having a reenacted budget.

Garcia, on the other hand, said that as city mayor, he would resolve the matter and remedy the situation.

In a separate interview, Hontiveros stated that his approval of the budget was based on the decision of the majority in the City Council, led by Acting Vice Mayor Nestor Archival Sr.

He said the expedited process was done in “good faith” to prevent disruption to the city’s 2025 operations.

He also argued that although some items were flagged by DBM-7, many of these were originally prepared by the Office of the Mayor and were part of the executive budget proposal submitted to the City Council.

“It was deliberated upon,” said Hontiveros.

Hontiveros further emphasized that the council had exercised its mandate and thoroughly scrutinized the overall budget. He added that, as acting mayor at the time, he observed the proceedings and approved the proposal in accordance with the law.

On the issue of whether the budget had not been “thoroughly” reviewed on his end, Hontiveros simply responded: “Everybody is entitled to their own opinion.”

“If kana ang tan-aw, I don’t really take it as offense,” he added.

He further stated that he approved the budget because he trusted the council’s judgment, being a member of the body himself.

It was reported that the Cebu City Council approved the annual budget of P14.6 billion, reflecting a reduction of P3.3 billion from the executive department’s original proposal of P17.9 billion.

The approval took place during a hybrid special session, decided through a division of the house, with eight votes in favor and seven against.

In the same review, the DBM also made recommendations regarding the city government’s overall operating expenses, especially those related to salaries and plantilla positions.

These included guidelines on the abolition or reclassification of salary grades, appropriations for overtime pay, and the criteria for bonuses and honoraria.

The DBM also recommended that the city government review its AIP before finalization, pointing out that the implementing schedules of the Cebu City Anti-Indecency and Tripartite Peace Industrial Council were still listed under fiscal year 2024.

“It is understood that this review does not authorize any item of appropriation that is specifically prohibited by or inconsistent with the provisions of law,” the DBM noted.

“Items of appropriations that are not included in the conditions mentioned above and are contrary to existing budgeting, accounting, and auditing rules and regulations shall not be allowed for disbursement,” they further concluded.

The overall review was signed by Maricor Baquial, acting director IV, and dated March 19, 2025. —/ATO (FREEMAN)