ILOILO City — A combined P52.1 million in confidential and discretionary funds is being sought for the Office of the City Mayor under the proposed 2027 city budget, with P30 million earmarked for confidential operations whose expenditure details are subject to restricted auditing procedures.
The proposed allocation includes P30 million in confidential funds and P22,142,791 in discretionary funds.
City Budget Officer Viminale Capulso said the confidential fund would be subject to existing government guidelines, which limit the allocation to whichever is lower between 30 percent of the city’s total peace and order budget and three percent of its annual budget.
The proposed P30-million confidential fund may finance intelligence gathering, police-related operations, witness protection, temporary accommodation for individuals facing security threats, and financial rewards for informants.
“Among the authorized uses are expenses for keeping witnesses in secure locations, intelligence operations, and information gathering. Rewards may also be given to individuals who provide useful information, provided these are covered by the guidelines,” Capulso said.
However, the City Budget Office does not have access to the detailed liquidation documents covering confidential fund expenditures, which undergo a restricted auditing process, Capulso said.
“The transactions are processed through cash advances, and the liquidation documents are placed in sealed envelopes for direct submission to COA in Manila. Access to these documents is restricted, and only the Commission on Audit is authorized to examine their contents,” she explained.
Meanwhile, the proposed P22,142,791 discretionary allocation falls under Extraordinary and Miscellaneous Expenses, a separate spending category intended to support various activities of the mayor’s office.
Capulso said the fund could finance rewards and recognition for individuals who distinguish themselves in sports, academics, and other fields.
“This fund may be used to recognize the achievements of athletes, students, and other individuals who have demonstrated outstanding performance. It serves a different purpose from the confidential fund,” she said./PN
