The Department of the Interior and Local Government (DILG) warned the local government units (LGUs) on Tuesday, June 30, against rogue groups that are offering access to the more than P30 billion funds intended for local development and infrastructure projects.
DILG Secretary Eduardo M. Año issued the caution after receiving reports from the agency’s regional and field offices that swindlers are out to dupe the LGUs into believing that they can expedite the access to the Local Government Support Fund-Financial Assistance to Local Government Units (LGSF-FALGU) in exchange for favors, commissions or fees.
Among the infrastructure and other projects covered under LGSF-FALGU are local roads and/or bridges, public markets, slaughterhouses, multi-purpose buildings/halls, multi-purpose pavements, drainage canals, sea wall/river wall, water system projects including level 1 stand-alone water points, evacuation centers, public parks, fish ports, and post-harvest facilities composed of ice plant and cold storage facilities.
He advised the LGUs never to transact with any fixer, scammer or third-party entity and instead proceed directly to the regional offices of the Department of Budget and Management (DBM) to apply for the said fund.
“Let’s protect government funds. We are issuing a warning to the LGUs against third-party entities who are engaging in illegal transactions intending to access the LGSF-FALGU fund. Pangalagaan at protektahan natin ang pondo’t kaban ng bayan (Let us take care and protect public funds and government coffers),” Año said.
A total of P13.586-billion LGSF-FALGU fund was allocated for 2021 with 319 LGUs green-lighted to access P2.93-billion, which accounts for 22 percent of the program fund for the year.
Under the 2021 General Appropriations Act (GAA) or Republic Act (RA) No. 11518, the LGUs are encouraged to avail of the LGSF-FALGU fund for their local infrastructure and development projects to boost their local economies as part of the economic stimulus program of the government.
Año noted that all applications should be submitted directly to the DBM as stated in Local Budget Circular (LBC) No. 131 or the guidelines on the release and utilization of the local government support fund-other financial assistance to LGUs in the Fiscal Year (FY) 2021 GAA or RA 11518.
The DILG chief also directed all DILG regional directors (RDs) to monitor and submit to the DILG Central Office reports of illegal transactions together with the names of groups or individuals involved in these illegal acts.