Defensor takes lessons from Tupas’ mistakes

By Francis Allan L. Angelo

ILOILO Governor Arthur D. Defensor Sr. will observe budgeting rules in handing out the Christmas bonuses of Capitol employees.

Still reeling from a series of disallowances and refunds incurred by the previous Tupas administration, Defensor said he will wait for guidelines from the Department of Budget and Management (DBM) on the yearend benefits of the employees.

Defensor said he cannot promise any figure on the bonus the workers will receive until he has read the DBM guidelines.

Apparently, Defensor is avoiding the mistakes of former governor Niel D. Tupas Sr. who handed out bonuses double or triple the amount prescribed by the DBM.

Defensor said they have to follow the rules otherwise the employees will suffer, especially those who will retire as the disallowed benefits will be subtracted from their terminal leave pays.

“The giving of bonuses should not be used for political gimmick because there are guidelines that govern it. We will give the maximum allowable bonus to the Capitol employees,” Defensor added.

The Commission on Audit (COA) had declared as illegal the 14th month pay to Capitol employees in 2002 amounting to P30,000 per worker.

Also disallowed was the P50,000 bonus for each of the more than 2,000 employees in 2009.

COA had ordered the full refund of the disallowed benefits.

Defensor said they are still negotiating with COA for a soft scheme for the refund of the P102.7 million extra bonus given to Capitol employees in 2009.

COA disallowed the P50,000 bonus or Productivity Enhancement Incentive (PEI) since it was “granted despite the existence of excess in personal service limitation.”

COA stressed the payment of PEI to Capitol employees in 2009 constitutes an irregular and illegal transaction as defined under COA Circular No. 85-55A, having violated Section 325(a) of R.A. 7160 and Local Budget Circular No. 2009-93 dated Dec. 17, 2009.

No less than the Supreme Court affirmed the COA decision declaring as illegal the P21-million bonus distributed by Tupas back in 2002.

The former governor's contention was that no refund was necessary following a supposed condonation from no less than President Gloria Macapagal-Arroyo.

COA, however, refused to budge on its findings. (With reports from ECGarcia)