Iloilo City Government posted surplus in 2021 despite the Covid-19 crisis, and this will create more projects as part of economic recovery.
Mayor Jerry Treñas credited taxpayers and City Hall workers in the efficient collection and prudent spending.
“I would like to thank the department heads and all employees of the City Government, and most especially the tax payers. Our City Accountant’s Office has identified a total of more than P400-million in surplus for last year. This is in addition to the surplus in the Local Economic Enterprise Office and the surplus in the Special Education Fund,” Treñas said.
Also read: Iloilo City Gains P400-M Surplus
“This will allow us to fund additional projects for this year. This is also record-breaking considering that we are still under a pandemic. I am very thankful for the success of our city due to the cooperation of everyone,” he added.
City Accountant’s Office reported an overage collection of P149.31-million; savings in Personnel Services (PS) and Maintenance and Other Operating Expenses (MOOE) of P237.11-million; and the adjustment of P14.27 million.
“The surplus came from the savings from MOOE, meaning the projects and programs that were not spent; possibly part of it came from the personnel services that were not also spent,” said City Treasurer Jinny Hermano.
“Part of it came from underestimated revenue after having collected taxes fees and charges more than our projected collectibles,” he added.
“We exceeded our target primarily on business taxes, P136-million; and real property taxes by at least P65-million,” Hermano said.
For one, Panay Electric Company, Inc. (Peco) paid its unpaid franchise taxes and penalties of its properties.
“We also did belt-tightening measures due to the pandemic last year, we only limit our expenses within the appropriation. We did not spend too much that’s why we have savings from MOOE and PS,” Hermano said.
Last year’s actual collection target was P2,608,803,871 but City Hall was able to collect P2,907,396,420 or over collection of P298,592,549.
“The gains were the outcome of good financial management. We hope for another surplus this year as the city intends to re-implement its collection strategy while encouraging prudent spending,” said Hermano.
Reports from: Alexandra Jover/Iloilo City PIO