By Ivy Tejano
DAVAO CITY – Davao City’s proposed 2027 annual budget could reach P16 billion, up from P15.8 billion this year, depending on the final revenue estimates and budget documents, Councilor Danilo Dayanghirang, chairperson of the Committee on Finance, Ways and Means, and Appropriations, disclosed during the Pulong-Pulong sa Dabawenyos media forum over the weekend.
Dayanghirang said the final budget figures are not yet available because the city is still awaiting for the necessary documents. But he estimated that next year’s budget will be higher than this year’s.
The councilor said the city’s main revenue sources include the National Tax Allotment (NTA), the local taxes, business permits, licenses, service fees, and real property taxes.
He said NTA represents the share of national government tax collections allocated to local government units, with allocations determined by factors such as population and land area.
Given the city’s large population and land area, Dayanghirang said its NTA share is substantial. He added that NTA and local revenue collections would fund the proposed budget.
“The NTA share may be affected when new provinces, cities, and municipalities are created, as the national allocation must be distributed among more LGUs,” Dayanghirang said.
Dayanghirang also raised concerns about possible increases in real property taxes, saying higher taxes could lead to increased rents and other costs for the public.
The councilor welcomed the suspension of the measure’s implementation, noting that residents are already facing high electricity, commodity, and fuel costs.
Dayanghirang said the budget documents are expected to be submitted by the Mayor’s Office soon , afterwhich the proposed budget would undergo first reading and committee hearings.
“We will review the city’s revenues and budget allocations for various offices and programs, including allotment for safety and security, senior citizens, and persons with disabilities,” he said.
According to the councilor, 20 percent of the budget will also be allocated to the annual development fund.
He said the budget covers payments for barangay health workers and nutrition scholars, assistance for senior citizens, electricity, school security, and other public services.
Health, education, social services, and security are among the city’s major priorities for the 2027 budget, particularly as Davao City serves around two million residents across 182 barangays.
Dayanghirang said the city funds health facilities, scholarships, services for senior citizens and persons with disabilities, and logistical support for police operations.
The committee is expected to finish budget deliberations by November, allowing the City Council to approve the annual budget by December for implementation in 2027.
Dayanghirang said any remaining funds at the end of the year would be subject to audit and could later be used for a supplemental budget once the surplus is determined.
He added that government employees may receive additional bonuses or benefits depending on national government policies and the city’s financial capacity.
“The 13th-month pay is already included in the budget, while other benefits would depend on available funds and applicable rules,” the councilor said.
On the proposed Mindanao Railway Project, Dayanghirang said preparations had been made, but implementation remained dependent on the national government’s funding counterpart.
Dayanghirang said the project’s progress depends on the national government, which has yet to fully secure its share of the funding.
