Rama defended it, COA called it “unrealistic”

Cebu City Mayor Michael Rama

CEBU CITY, Philippines — Cebu City has been striving for progress, but managing the city’s complex financial situation is no easy task.

Mayor Michael Rama, who is on preventive suspension, has come under scrutiny as the Commission on Audit (COA) proposed a P50-billion city budget for 2023. They called it the “most aggressive and unrealistic” projection yet.

The COA’s 2023 audit report highlighted several concerns about the city’s fiscal health, specifically stating that the proposed P50-billion budget is too ambitious considering the city’s existing cash reserves and funding capacity.

The audit shows that the budget could strain city resources and hinder the successful implementation of important projects.

read more:

Cebu City lacks cash reserves to achieve Singapore-like vision, says Audit Office

Cebu City Council says Cebu City has P1.4 billion in unspent calamity funds

Cebu City Government: Cebu City has 2,000 job vacancies, relies on temporary staff

Rama spoke about the COA’s findings at a recent news media forum. He was blunt but firm.

“First, come my ‘big’ press conference so I can share it all. You know, I’m sorry to tell you that the term ‘flag flag’ is trending, and hey, being flagged is trending, but I can answer it in due course,” Lamar said.

(First you come to my ‘big’ press conference so I can put it all together. You know, I’m sorry to tell you that the word ‘flag’ is really a fashion now. Using the flag is really a fashion, but I can answer it in due course.)

Rama was quick to clarify that the P50-billion budget is not an arbitrary number.

“I didn’t come up with this P50 billion out of thin air,” he stressed.

“Am I the only one who keeps asking, is there a thief? I want to answer this theft, did anyone lose 18 billion pesos?” he added.

(I always ask, was there theft? I want to answer, was there theft, was 18 billion pesos missing?)

read more: COA points out discrepancies in Malabon’s 2023 bank cash accounts

He explained that the budget proposal was the result of careful planning and collaboration with various committees.

Rama also noted that such an ambitious budget is necessary to transform Cebu City into a metropolis similar to Singapore and in line with his vision for the city’s future.

“I always make multiple promises and this P50 billion does not come out of thin air, so now, keep it because I have realized that,” he said.

He promised that a more detailed explanation would be provided at a “big” press conference scheduled for early August.

read more:

Cebu City Council says Cebu City has P1.4 billion in unspent calamity funds

Cebu City Government: Cebu City has 2,000 job vacancies, relies on temporary staff

The Commission on Audit (COA) recently released the 2023 annual audit report of Cebu City.

The report mentioned several items, especially the P50-billion-a-year budget proposed during Mayor Michael Rama’s tenure.

COA expressed concerns about the city’s ability to fund such a budget given its current fiscal situation, calling it an overly “aggressive and unrealistic” projection.

Read next