LPP to heed Malacañang austerity calls

LOCAL governments will have to bite the bullet.

League of Provinces of the Philippines national president and Bohol Gov. Erico B. Aumentado said he has called on the governors to institute austerity and cost-cutting measures to help the national government in the face of the looming economic crisis.

Among the thrift measures which Aumentado urged the provinces, and the other local governments for that matter, to undertake are reducing power and water consumption in government offices and to look into the possibility of reducing its personnel to those whose functions are vital, essential and indispensable to the effective delivery of public service.

Beyond making the call to his colleagues, Aumentado has already taken the lead and has begun implementing meaner austerity measures at the Bohol provincial capitol, such as switching off lights and water which are not in use, switching off of all airconditioning units during lunch breaks and at 4:00 in the afternoon, limiting the travel of provincial officials and employees to those essential and vital ones, among others.

Unless the country’s fiscal situation improves, he said, the provincial government of Bohol is seriously studying the proposal to lay-off casual and contractual employees at the Capitol whose jobs are redundant, not indispensable and do not pass the performance audit.

Aumentado ordered a mass lay-off early this year in order to avoid a possible budgetary deficit resulting from the reduction of the province’s 2004 IRA brought about by the re-enactment of the General Appropriation Act of 2003, after Congress failed to pass this year’s budget bill.

He said that aside from the austerity measures, he will also strongly urge his colleagues to help the national government in its tax collection efforts, during the league’s 2nd General Assembly set on Sept. 6 and 7 at the Edsa Shangri-la Hotel.

It may be recalled that during during its last meeting held in Cebu City, the LPP-National Executive Board approved NEB Resolution No. 2004-006 which urges all LGUs to support the Malacañang’s tax collection campaign by conducting local information and educational campaigns, advocacy programs and other initiatives

Aumentado, who sponsored the resolution, pointed out that “an increase in the tax revenues will also enhance the IRA and consequently, improve the delivery of basic services.” Forty percent of what the national government collects in the form of taxes goes back to the local governments in the form of IRA.