Cebu City Council Wants P700M New Hospital Fund Placed in Trust

The Cebu City Council has passed an ordinance mandating that the funds earmarked for the construction of the new Cebu City Medical Center (CCMC) be deposited in a trust account.

The measure was passed despite opposition from Cebu City Councilor Noel Wenceslao, who said having appropriated funds for the construction of the CCMC does not mean there is already an actual fund.

“Appropriation does not mean actual cash on hand. May we be forced to deposit cash even if it still to be collected?” Wenceslao said.

The initiative came after the executive department utilized PHP300 million funds earmarked for CCMC in 2014 to pay for the financial aid to senior citizens and other basic services of the city last year.

The new measure is still subject to Cebu City Mayor Michael Rama’s approval.

Cebu City Councilor Eugenio Gabuya Jr., author of the ordinance, said it is a “safety net” to secure and monitor the budget to avoid “co-mingling of public funds.”

“Establishing a trust fund for CCMC is the safest way to keep all the monies untouched for all other purposes except for the hospital construction,” he said.

Almost PHP700 million, including the PHP600 million total appropriation in 2014 and 2015, PHP12.6 million donation from the Association of Barangay Councils, PHP37 million from the “Piso Mo Hospital Ko” fundraising drive and other pledges, were purportedly set aside to commence the rebuilding.

The old CCMC building was demolished over a year ago after it was damaged by the magnitude 7.2 earthquake in 2013. (PNA) FFC/EB/EBP