From SunStar:

Gwen steps in, asks Compostela officials to refrain from talking about budget row

COMPOSTELA Mayor Ritchie Wagas is optimistic the conflict over the town’s 2008budget will be resolved “within the week.”

“It was a collective effort of the legislative and executive branches with the intercession of the good governor,” Wagas told reporters after a closed-door meeting with Cebu Gov. Gwendolyn Garcia, which lasted for about an hour.

Garcia reportedly asked the squabbling executive and legislative officials of the northern town to refrain from issuing statements to the media about the budget dispute.

Wagas said it was not a gag order, but a request of the governor. The governor called for the meeting, reportedly to intercede in the delayed approval of the proposed P58-million annual budget.

Wagas, Vice Mayor Joel Quiño and Councilors Venancio Gatdula Jr. and Duque Arceo attended the meeting.

Denial

The governor’s meeting came a day after opposition town councilors, in a press conference, denied that they crippled the delivery of basic services when they deferred the budget’s approval.

They said they only wanted to prevent the misuse of funds.

In a complaint filed last week, about 100 Compostela residents asked the ombudsman to investigate the vice mayor and the council’s finance committee, over the council’s failure to approve the budget that the mayor submitted last October.

Wagas said yesterday that the town officials and Garcia arrived at a “master plan” to resolve the conflict.

“This is for everybody’s welfare. We heed the governor’s call that we will work on this and inform the public in due time. It is our commitment to the governor,” said Wagas.

Prior to their meeting, Vice Mayor Quiño confirmed the town council held a special session in the morning, still on the annual budget.

Discussion

Quiño said that the town council even invited Wagas to attend so the mayor could participate in the discussion on projects requested by the different barangays.

Sun.Star Cebu tried but failed to get Quiño’s comment on a report that he berated a priest in Compostela for commenting on the stalled annual budget.

Wagas, reacting to statements made during Monday’s press conference, denied reports that once the council approves the proposed budget, the town government would go bankrupt.

In a press statement faxed to Sun.Star Cebu yesterday, he also outlined the legal framework for the budget, which the Local Government Code defines, as well as the guidelines issued by the Department of Budget and Management.

The budget process begins with the mayor’s preparation and submission of the executive budget on or before Oct. 16 every year.

Hearings

The council then has to call for hearings and refer the proposal to the finance committee for a more thorough review.

After the council approves the appropriations, they then send it to the mayor, who may approve or veto the measure. Two-thirds of the council membership is needed to override the mayor’s veto.

“The critical path in the budgetary process is the timeline. If the mayor fails to submit on time, he can be penalized,” said Wagas.

He asked why the finance and appropriations committee failed to report on the executive budget, more than 150 days since it was sent to them. (GMD)