Mayor Manuel Sagarbarria yesterday assured government employees that the Dumaguete City government is not bankrupt as earlier reported, and that it has sufficient funds for wages, benefits and other expenses.

In a letter addressed to all city government employees, the mayor wrote that there is “no cause for alarm” and that salaries, wages and other lawful benefits of all regular down to contractual workers are covered and funded.

The letter was in reaction to rumors circulated earlier that the city government was bankrupt and facing a deficit in local funds. The reports triggered fear among employees who expressed concern over possible non-payment of their benefits, especially with the Christmas season coming.

In his letter, Sagarbarria also said that records would show that the previous administration had P200 million in various accounts, but that the fund just needed some documentary requirements before it could be released to various projects. These requirements were met after the present administration took over, he added.

He also said that, in about two years’ time, about P31 million from the P200 million was disbursed to various city projects.

The city has P169 million in various bank accounts as of September 30, 2012, as certified by the city treasurer, Sagarbarria said.

These include a total of P87,593,415.24 in savings/current and time deposits under the General Fund; P61,804,505.92 also in savings/current and time deposits under the Trust Fund; P3,269,955.26 in current/savings deposits under the Special Account; and, P16,372,858.75 in current/savings and time deposits under the Special Education Fund, for a total of P169 million.

Sagarbarria said any inquiries can be coursed through his office, the city treasurer, the city accountant and the city budget office.*JFP

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