Capitol is slated to borrow a total of P483,000,000 from a government bank to bankroll the upgrade of ten hospitals and procurement of heavy equipment managed-and- owned by the provincial government.
This surfaced after the Sanggunaing Panlalawigan has approved a Resolution No.2020-036, “Authorizing the Local Chief Executive of the Provincial Government of Bohol to negotiate, borrow funds, and to enter into a loan agreement with the Development Bank of the Philippines (DBP) to upgrade the facilities and equipment of the hospitals as well as acquire heavy equipment for road development and maintenance.”
Acting appropriation committee chair Board Member Restituto Auxtero has this explanation in his committee report: “The amount is for the Procurement of Heavy Equipment for Road Development and Maintenance – P218,000,000.00; and for the upgrading of Hospital Facilities and Equipment – P265, 000,000.00. So I think if you are going to add, the total is P 483,000,000.00. This is payable for a ten year period tenure with two year grace period and eight year state amortization on principal and interest.”
It will be recalled that the provincial government during the past administration reportedly also borrowed money in the amount of P150 million from a bank for the hospitals’ upgrade.
The SP acted on the request of Atty. Kathyrin Fe D. Pioquinto, Provincial Administrator, “pertaining to the development priorities of the Provincial Government of Bohol to upgrade the facilities and equipment of the hospitals as well as acquire heavy equipment for road development and maintenance.”
The letter of Pioquinto said that these are the “priorities have been included in the 2020 Annual Budget with identified sources from proceeds from proposed borrowings from government financial institutions. Based on the Annual Budget, the Provincial Government will access external funds for the following: Procurement of Heavy Equipment for Road Development and Maintenance – P218,000,000.00; and Upgrading of Hospital Facilities and Equipment – P265, 000,000.00.
The committee found that the above-mentioned priorities have been included in the 2020 Annual Budget with identified sources from proceeds from proposed borrowings from government financial institutions.
It also said that “based on the offer of financial institutions, the Development Bank of the Philippines provided the most appropriate loan package in terms of interest as well as loan requirements and processing.”
Among those present during the committee meeting on January 9, 2020 were:H Auxtero, Acting BM Aldner R. Damalerio, Member; BM Frans Gelaine C. Garcia, Member; BM Vierna Mae B. Maglasang, Member. BM Romulo G. Cepedoza, Member and BM Jone Jade A. Bautista, Member were represented by Rex Romani T. Tocmo and Janice M. Polinar, respectively.
Ms. Emerita Linda M. Lim, representing Mr. Peter Ross M. Retutal, Provincial Budget Officer; Mr. Eustaquio A. Socorin, Provincial Treasurer; Ms. Joseth J. Celocia, Provincial Accountant; Atty. Ruben Jay G. Medina, representing the Executive Judge Leo M. Lison; and, the Committee Secretariat were also present. (rvo)