Youth wants Tarzan to explain loans
ANGELES CITY—Various youth and student groups challenged Rep. Carmelo “Tarzan” Lazatin (First District, Pampanga) to explain to the people of Angeles City why he acquired loans to fund certain projects including the reconstruction of the San Nicolas Public Market and to purchase equipment for solid waste management.
“Rep. Tarzan Lazatin must explain the loan transactions he made during his nine years as city mayor. Specifically, he must tell us the real score why a loan for the rebuilding of the San Nicolas Public Market was necessary and how it benefited the people and the city, if there was such benefit at all,” said Merry Grace Fernandez, spokesperson of the Youth for the Empowerment of the People (YEP).
“It is our collective view that the loans acquired by Lazatin were unnecessary. There are other ways to implement priority projects other than resulting to large scale [borrowing]. One is the build-operate-transfer scheme in partnership with the private sector. Under this scheme, the city government need not spend a single centavo.
The funds will be provided by the private sector partner corporation and it will operate the project for a certain period of time. Also under this scheme, the city will even receive a share in the earnings of the project,” Fernandez said.
Albert Danting of the Partido Abe Kapampangan-Youth Sector repeated YEP’s call and stated that, “Lazatin erred in acquiring those loans. He should have used the successful models implemented by other cities. He should have studied the Build Operate and Transfer (BOT) law and picked the scheme most suited for Angeles City.”
“Acquiring a loan for a city project is bad enough. What made matters worse was that part of Lazatin loans was used to purchase garbage bins. This is unfathomable. Nangutang si Tarzan upang ipambili ng garbage bins? Ganun ba talaga ka-bangkarote ang inabot ng gobyerno ni Lazatin noong siya ang mayor? Sobra-sobrang liit ba ng local na buwis na nakolekta at kinailangan pa ang umutang? Danting asked.
According to the Commission on Audit (COA) Special Audits Team report submitted to the late Interior Secretary Jesse Robredo in 2010, the City Government of Angeles under then Mayor Lazatin obtained loans from the Development Bank of the Philippines for the construction of the slaughterhouse and socialized housing, and from the Land Bank of the Philippines for the construction of school buildings, purchase of equipment and garbage bins, computerization of ONA, and construction of the public market at Barangay San Nicolas.
“Government is not a profit-oriented corporation that has a return-on-investment or ROI projection. Hence, any loan must be considered as unsound administrative and fiscal practice,” said Fides Miranda, a former Sangguniang Kabataan chairman and officer of YEP.
“A review of Lazatin’s loans also revealed that social preparations were not conducted. Further, we also discovered that the choice of funding institution was unilateral and without public consultation. Other funding agencies could have given concessions to the city including grants for social preparations including the conduct of information-education campaigns relative to the loan,” Miranda added.
In its report, the COA Special Audits Team indicated that the Angeles City Government borrowed more than it could afford to pay. The COA Team stated, “In the case of Angeles City , review of its Certified Statement of Income and Expenditures, and annual income for CYs 2006 to 2008 revealed that it was not in a position to provide appropriation sufficient to meet its amortization schedule. Its estimated revenues were only sufficient to meet its estimated expenditures.”
The administration of Francis “Blueboy” Nepomuceno, who was the city mayor when the COA Team conducted its investigation, even commented that, “When the previous administration (Lazatin) entered into a loan agreement with the Land Bank of the Philippines for the reconstruction of a public market, which is the San Nicolas Public Market, our office, the City Planning Development Office (CPDO), was not informed nor consulted and neither was involved in the LGUs loan negotiation.”
The COA Team revealed that the long-term loans acquired when Lazatin was the city mayor were “projects that may not even be considered feasible.”
“We are fully aware of the policy-differences between Mayor Ed Pamintuan and Lazatin and based on our objective assessment, Mayor Pamintuan’s policies are much better. Mayor Pamintuan’s programs and projects are also pro-people as well as pro-poor. Our undisputed choice is therefore Mayor Pamintuan. He now has our full and unwavering support,” Miranda said.
http://www.headlinegl.com/youth-wants-tarzan-to-explain-loans/
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