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Budget Preparation


          Evaluates and renders technical assistance in the preparation of the City’s Annual and Supplemental Budgets of the General Fund and its Special Accounts and Special Education Fund. Prepare forms, orders and circulars embodying instruction on budgetary and appropriation matters. Study and evaluate budgetary implications of proposed legislation and submit comments and recommendation; Coordinate with the City Treasurer, City Accountant and City Planning and Development Coordinator for purposes of budgeting.


Annual Budget 2007

A.     By Services:

        1.      General Services         –  P     452,814,237.17
        2.      Social Services           –          383,280,228.96
        3.      Economic Services      –          466,601,845.71
                         Total                     P1,302,696,311.84


B.     By Expense Class

        1.      Personal Services       –   P     452,411,607.72
        2.      MOOE                        –          501,713,110.57
        3.      Capital Outlay            –          348,571,593.55
                          Total                   P1,302,696,311.84




Budget Call for FY 2007


                                BUDGET MEMORANDUM NO. CL -2006 -01
                                                     June  28, 2006
                                                


To          :     The City Vice-Mayor, Sangguniang Panlungsod
                    Members, Department Heads, Assistant Department
                    Heads, Technical-Vocational School Administrators

                    City Auditor, City Prosecutor, Judges and Principals/
                    Head Teachers/Teachers-In-Charge of the Zamboanga
                    City National High Schools

                    All Others Concerned


SUBJECT:     POLICY GUIDELINES & PROCEDURES IN THE PREPARATION
                   OF THE FY 2007 BUDGET PROPOSALS


1.0     PURPOSE

          1.1  To provide the overall fiscal policy framework and priority 
                 thrust for FY 2007 within the context of the Local Development
                  Investment plan ,2006-2008;

          1.2  To prescribe the guidelines and procedures in the preparation 
                 of the FY 2007 office budget; and
  
          1.3  To set the schedule of budget preparation activities.
    

2.0     BUDGET FRAMEWORK

          2.1  The FY 2006 Budget shall be anchored on the plans and 
                 targets in the city's Local Development Investment Plan 
                 (LDIP) 2006 - 2008. It shall support the seventeen (17) 
                 programs of the Admininistration in relation to the seventeen (17)
                 point agenda aimed to build and strenghthen the foundation towards 
                 achieving sustainable properity  for the City of Zamboanga.

          2.2   Enhance tax collection efficiency through relentless tax 
                  information campaigns supported by an intensified tax
                  tax collection effort.

          2.3   Reforms in public expenditure management shall be vigorously
                  pursued.

          2.4   As a means to rationalize the FY 2007 budget thereby improving 
                  expenditure allocation and promoting efficiency and effectiveness 
                  in the operation of the city government, the following measures 
                  shall be implemented, to wit : 
                        a. Enforce energy conservation as one of the economic 
                            measures consistent with the national government's 
                            Energy Management Program.

                        b.  Encourage cost recovery measures for goods and services
                             delivered to support the revenue enhancement effort
                             of the government.

                        c.  Promote participative governance from the stakeholders of
                             civil society groups, NGOs. private sectors, and disadvantaged
                             groups through consultation to arrive at the decision on the
                             rational allocation of scarce resources. 

          2.5   Resources shall be directed towards increased agricultural productivity
                  and provision of basic health, social, education services, particularly 
                  to the marginalized secotr of society geared towards promoting 
                  economic growth with equity, to include the following priority ares, to
                  wit: 

                       a.   Expansion of commercial areas through the implementation of
                             the Integrated Bus Terminal in the East Coast envisioned to 
                             generate more employment, business and tourism. 

                       b.   Consultation of more school buildings to keep pace with the 
                             demand. 
                      
                       c.  Opening of City Road Networks. 
                       
                       d.   Undertake the Construction of Multi - level Parking to alleviate 
                             the parking space problem. 

                       e.  Development of Public cemeteries. 

                       f.  Establishment of a sanitary landfill. 

                       g.  Development of parks and gardens, particularly at Pasonanca 
                            and DCDP area. 

                       h.  Development of City Resettlement areas. 

                       i.  Development of Public Markets 

                       j. Development of the City Abbatoir 


                       k.  Farm-to-Market Roads 
 




3.0  Economic Fiscal Target

       The fiscal targets for FY 2007 of the General Fund is 
       P 1,210,310,926.00; Main Market P18,000,000.00; Sta. Cruz
       Commercial Complex P 11,000,000.00; and Slaughterhouse
       P5,500,000.00, Z.C. Sports and Recreational Coliseum -
       P500,000.00 totaled P1,245,310,926.00.


4.0  General and Procedural Guidelines

       4.1   Performance - Based Budgeting

              Performance - Based Budgeting shall be equated with expected results
              - - meaning the Major Final Outputs ( MFOs) shall be the primary ele-
              ments or units for determining resource allocation. Such MFO allocations 
              shall be the basis of a regular monitoring and evaluation of the 
              financial and physical performance of the office / unit.

       4.2   Maximum Utilization of Resources 

              The priority concerns for FY 2007 shall focus on agricultural productivity, 
              infrastructure build-up and improvement of the quality of basic education, 
              particularly programs and projects under the AIP, that would provide for 
              employment generation and poverty reduction. Funds for compensation 
              adjustments of city officials and employees shall also be set aside. 

 
5.0   Budget Ceilings

       5.1  The budget ceilings for the FY 2007 of respective offices will be issued 
              by the Local Finance Committee as guide in the preparation of the 
              budget proposals for Maintenance and Other Operating Expenses and 
              Capital Outlay which must be supported by the Worksheet ( Annex A ) 
              and Justification Working Paper ( Annex B ). The Budget proposals shall
              be based on idenitfied programs , projects and activities with expected 
              results.

       5.2  Proposals for Equipment and Infrastructure Outlays shall include only
              those within the approved Local Development Investment Plan ( LDIP ) 
              and Annual Investment Program ( AIP ) for Fiscal Year 2007.

       5.3  Budget proposals submitted over and above the ceiling shall be 
             reduced to their office ceilings by the Local Finance Committee.
 
       5.4 The rationale for the allocation of limited resources shall be made 
             as follows:

             5.1  By Sector
             5.2  By Object of Expenditures

                   5.2.1  Personal Services (PS)
                   5.2.2  Maintenance and Other Operating Expenses (MOOE)
                   5.2.3  Capital Outlay (CO)
 
              5.3  By Department / Office 

        5.5   Appropriations shall be made exclusively for the specific purpose for 
               which they have been appropriated.  


        5.6  Offices shall exercise prudence in their spemnding and practice cost 
               recovery measures and entrepreneurship in the delivery of public s
               services. Strict compliance with the provisions of RA 9184 " Government 
               Procurement Reform Act" and accounting and auditing rules and 
               regulations in the disbursement of budget funds shall be observed to 
               the highest degree.

       5.7  The budgetary proposals shall be made in accordance with NGAS
              Revised Chart of Accounts, pursuant to COA Circular
              No. 2001-005, dated October 30, 2001 and COA Circular
              No. 2003-015 dated June 17, 2003, and COA Circular No. 2004-008
              dated September 20, 2004.

              The individual office budget proposals for FY 2007 shall be
              submitted directly to the City Budget Office on or before 
              July 14, 2006.


6.0  Submission Requirements and Timetable

      The individual office budget proposals shall be submitted in the Local Budget 
      Preparation Form No. 3 ( Program Appropriation & Obligation by Object ) and 
      Local Budget Preparation Form No. 5 ( Functional Statement , Objectives and 
      Expected Results).


                                        Budget Preparation Timetable


Office/Unit Responsible
Activity

Duration/Dateline




City Planning and Dev't Coordinator, City Dev't Council, Sangguniang
Panlungsod and City Mayor




Finalizes AIP for endorsement to LDC, SP and LCE for final approval.


March 1-15, 2006





Local Finance Committee




Determination and submission to the City Mayor of the estimated income and budgetary ceilings for the ensuing year.


June 16 -21, 2006





               





























 







City Mayor



Issuance of Budget Policy Statement or Budget Call.


June 21-28, 2006



City Mayor/Local Finance Committee


Conduct of Budget Workshop/ Forum



July 3  & 4 , 2006



Heads of Offices/Departments



Preparation and Submission of Budget Proposals to the City Mayor through the City Budget Officer.

July 3 -15, 2006


City Budget Officer



Review, evaluation and consolidation of budget proposals.

July 16 - August 11, 2006



City Mayor, City Finance Committee, Department Heads

Conduct of Technical Budget Hearings (TBH)


August 14-18, 2006



City Budget Officer



Examination/Consolidation of budget proposals into a Local Expenditure Program ( LEP ) and a budget document to support LEP in the Budget of Expenditure and Sources of Financing ( BSEF ).

Aug. 21 - Sept. 8, 2006



City Mayor


Conduct of Executive Final Review and Prepares Budget Message

September 11-15, 2006


Printing Press


Printing and Binding of
FY 2007 Executive Budget.

Sept. 18-29, 2006


City Budget Officer



Submission of the FY 2007 Executive Budget to the City Mayor

October 2, 2006



City Mayor


Submission of the Executive Budget to the Sangguniang Panlungsod
October 6, 2006





                        ( Sgd. ) CELSO L. LOBREGAT
                      City Mayor