Pasig LGU passes DILG's 2021 'Good Financial Housekeeping'

Pasig City was among the cities recognized by the Department of Local and Interior Government (DILG) for passing the Good Financial Housekeeping (GFH) standards and practices for 2021.

The GFH evaluates and awards local government units (LGU) for their performances in terms of "financial transparency and fiscal accountability".

Pasig City Mayor Vico Sotto shared the good news in a social media post on Tuesday, June 14, as he thanked his constituents in the local government who are all proud of this achievement.

However, the mayor said it is likely that they will not receive the DILG's Seal of Good Local Governance for 2021 due to the underutilization of some funds.

"We pass most indicators, but some of our funds are underutilized. A good problem to have – because of our LGU cleanup, we saved a lot; now we work on using these extra funds," Sotto said.

Sotto's administration has been marked by his anti-corruption initiatives, particularly in reforming the city's bidding and procurement systems.

They shifted these systems to involve more open, public, and transparent processes to encourage competition amongst contractors and reduce costs.

The past procurement system was rife with corruption as local government officials and employees were able to receive kickbacks from "under the table" operations, which bloated the funds needed for certain projects.

From the start of Sotto's term in July 2019 until February 2021, the reforms yielded P1.2 billion of government funds saved.

In 2021, Sotto also reshuffled the Bids and Awards Committee (BAC), which he noted was "the hardest decision of his first mayoral term," as it delayed some of the city's projects. However, he said it was necessary in order to address the corrupt practices within the office.

Las Pinas City, Makati City, Muntinlupa City, Quezon City, and Pasay City we're among those who passed the GFH in the National Capital Region (NCR).

Pasig City also passed the 2019 GFH along with 14 other cities.