Cebu City’s 2025 budget faces uncertainty as deadline looms

With the year coming to an end, the Cebu City Council has yet to approve Mayor Raymond Alvin Garcia’s proposed ₱17.9 billion budget for 2025, potentially affecting his plans and projects for the coming year.

During a press conference on Monday, December 23, Garcia urged the council to expedite budget approval, highlighting its critical role in funding his administration’s priority projects.

These projects include renovating the city archive building, constructing a new legislative building, and building a Department of Veterinary Medicine and Fisheries (DVMF).

If the council misses to approve the budget on Friday, December 27, the city will revert to a reenacted budget based on its 2024 allocation of P25 billion, which is P8 billion.

Garcia hopes that the budget will be approved on Friday, before the time runs out.

Reenacted Budget

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A reenacted budget allows the City Government to use funds only for maintenance and other operating expenses (MOOE) and personnel services (PS), preventing the allocation of funds for capital expenditures. This restriction would severely impact infrastructure projects, including the millions Garcia earmarked for priority construction.

Recurring expenses, such as Sinulog Festival subsidies, would remain unaffected. However, Garcia warned that critical programs, such as the P240 million allocated for road repairs and the P250 million for housing projects, would face significant delays.

Garcia’s P17.9 billion budget proposal prioritizes health, education, infrastructure, and environmental initiatives:

  • Health and Education: P1.2 billion, including P565 million for free education and P400 million for hospitalization and medicines.
  • Infrastructure: P180 million for renovations and new constructions, including P100 million for a legislative building.
  • Environmental Programs: P700 million, with P500 million for waste management and P200 million for climate change mitigation.
  • Digital Transformation: P400 million for a government service network and digital traffic system upgrades.
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The mayor has also allocated P640 million in financial aid to barangays, P240 million of which is designated for Sangguniang Kabataan (youth council) initiatives.

No time for politics

Garcia dismissed any political motives behind the council’s delay, expressing confidence in their deliberations despite previous disagreements over budget allocations.

He also emphasized the need for a realistic budget, contrasting his proposed figures with the P25 billion approved for 2024 and the P50 billion from 2023.

If the council fails to approve the budget, Garcia warned that infrastructure and social projects would bear the brunt of the limitations imposed by a reenacted budget. However, he assured that contingencies, such as tapping the Sinulog Foundation Inc., could temporarily bridge gaps for recurring expenses.