Tuesday, August 8, 2023

How Mayors Spend Millions of Pesos of Their Calamity Funds

 By Mortz C. Ortigoza, MPA

With the flooding brought by the recent two typhoons and monsoon rains, some of the towns and a city in Pangasinan declared a state of calamity through their lawmaking body that automatically opened five percent of their annual budget for allocation to their hapless constituents.

These local governments are the towns of Basista, Binmaley, Calasiao, Mangaldan, Mangatarem and Sta. Barbara and the city of Dagupan.


SCOURGED. (From top left photo and clockwise); Basista, Pangasinan Mayor J.R Resuello, Mangaldan Mayor Bona Fe D. Parayno, Sta. Barbara Mayor Lito Zaplan and Calasiao Mayor Kevin Roy Macanlalay.

According to the amended Section 324 (d) of Republic Act No. 7160 otherwise known as the Local Government Code of 1991: “Five percent (5%) of the estimated revenue from regular sources shall be set aside as annual lump sum appropriations for relief, rehabilitation, reconstruction and other works or services in connection with calamities which may occur during the budget year. Provided, however, that such fund shall be used only in the area, or a portion thereof, of the local government unit or other areas affected by a disaster or calamity, as determined and declared by the local sanggunian concerned”.

Calamity here is defined as a state of extreme distress or misfortune, produced by some adverse circumstance or event or any great misfortune or cause or loss or misery caused by natural forces.
Disaster is caused by fire or conflagration. The calamity fund shall be utilized only for relief operations.
Take for example the badly scourged Calasiao. It has a budget of P380 million this year where P19 million or five percent of it is part of the calamity fund for 2023.
According to Section 21 of the Republic Act 10121 otherwise known as Philippines Disaster Reduction and Management Act: “…Not less than five percent (5%) of the estimated revenue from regular sources shall be set aside as the Local Disaster Risk” Reduction and Management Fund (LDRRMF) to support disaster risk management activities such as, but not limited to, pre-disaster preparedness programs including training, purchasing life-saving rescue equipment, supplies and medicines, for post-disaster activities, and for the payment of premiums on calamity insurance”.
Thirty percent (30%), according to the same Section 21, shall be allocated as Quick Response Fund (QRF) or stand-by fund for relief and recovery programs in order that situation and living conditions of people in communities or areas stricken by disasters, calamities, epidemics, or complex emergencies may be normalized as quickly as possible.
Local government units including provinces and barangays (villages) in the country would not spend for relief operation and financial aid to their needy constituents the entire thirty percent (30%) for the two typhoons and monsoon rains that afflicted the residents on their area.
For instance, the LGU of Calasiao would not entirely appropriate its 30% or P5,700, 000 of its P19 million for this month because it would use some of the sums in some future fortuitous events and disaster until the year’s end. This unless the lawmaking body passes a supplemental budget for another calamities and disasters to ensue after it appropriated entirely this month all its five percent’s calamity fund.
The same Section stated that: “Unexpended LDRRMF shall accrue to a special trust fund solely for the purpose of supporting disaster risk reduction and management activities of the LDRRMCs within the next five (5) years. Any such amount still not fully utilized after five (5) years shall revert back to the general fund and will be available for other social services to be identified by the local sanggunian”.
The Provincial Disaster Risk Reduction Management Office (PDRRMO) of Pangasinan reported on August 2 that there were 496 partially and totally damaged houses in some areas in the huge province.
There were 27 houses totally destroyed and 298 partially damaged in Dagupan City; five totally damaged and 18 partially damaged abodes in Calasiao; Five partially destroyed houses in Sta. Barbara while one partially damaged abode in Mangatarem.
No destroyed abode in Binmaley as of press time.
Moreover, 54 totally damaged houses and 443 partially destroyed have been recorded in Aguilar, Alaminos City, Alcala, Bani, Basista, Bautista, Bayambang, Binalonan, Bugallon, Labrador, Lingayen, Malasiqui, Mangatarem, Mapandan, Manaoag, San Fabian, San Manuel, Sta. Maria, Tayug, Urbiztondo and Urdaneta City by the PDRRMO.
On its August 2 PDRRMO’s report: P224,324,669.29 damaged to agriculture, P1,842,396 destroyed to livestock and P36,100,000 damaged to infrastructure left by Super Typhoon Egay in Pangasinan.
Meanwhile, the province received P15 million from President Ferdinand R. Marcos, Jr. as financial aid to help in the recovery efforts from the destructions brought by the two typhoons and floods.
Vice Governor Mark Ronald Lambino, who represented Governor Ramon Guico III, received the assistance during the ceremonial turnover of cheque held on July 29 in Laoag City, Ilocos Norte.

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