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STATE OF THE CITY ADDRESS - Bacolod City

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3<br />

This brings us to the allegations raised by our political opponents that the<br />

Government Center is overpriced. May I inform you that the COA Regional<br />

Office has already rendered an official verdict on this issue. In answer to a<br />

request of COA-<strong>Bacolod</strong> Office, the COA Regional Office thru its Technical<br />

Services Office evaluated the structural, architectural, sanitary/plumbing,<br />

electrical and mechanical aspects of the Government Center project and based<br />

on their evaluation, they have found that the contract price of P394,957,121.01<br />

for the Government Center is REASONABLE. This official finding of the COA<br />

technical people should therefore put to rest this issue of overpricing. Any<br />

contrary opinion of other parties can only be speculative or even malicious.<br />

As for me and for the members of the Sangguniang Panlungsod and<br />

other city officials who stuck it out and made this dream a reality, we are now<br />

facing 13 cases relating to the Government Center Project. This is net of 1 case<br />

that was already dismissed. Enemies of this project have promised to file more.<br />

So be it. Despite the efforts of these “torpedoes” and “saboteurs”, we believe<br />

that this majestic Government Center is worth fighting for.<br />

Talk about the Government Center now leads us to highlight other<br />

accomplishments achieved over the past 12 months ending June 30, 2008.<br />

FISCAL MANAGEMENT<br />

First, on fiscal management, we have continued to manage our<br />

finances well and to operate within our means.<br />

When we started our term in mid-2004, the General Fund Budget for that<br />

year was only P618 million. It rose to P648 million in 2005 and to P675 million in<br />

2006. Again, it grew to P755 million in 2007. For this year, in 2008, we finally hit<br />

the P1 billion mark -- the first time ever that this has happened in the history of<br />

our city. This is a hefty increase of P245 million or 32% over the previous year.<br />

Growing by 62% from a general fund budget of P618 million to P1 billion in<br />

just 4 years is no mean feat. It is a pretty good indicator of the rapid growth and<br />

progress of our city and the healthy business climate spawned by our<br />

developmental efforts to produce the “enabling environment” needed by business<br />

to grow.<br />

Budgets of local government units or LGUs are funded from 2 sources:<br />

the Internal Revenue Allotment or IRA which is their share in revenues of the<br />

national government and from local fees and taxes that the LGUs themselves<br />

can legally impose. About 90% of LGUs nation-wide are IRA-dependent for the<br />

lion’s share of their funding. For many years, <strong>Bacolod</strong> was not an exception.

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