Unfazed by critics throwing dagger looks at the prospects of the city borrowing money from the Development Bank of the Phils., City Mayor Dan Neri Lim defended yesterday the loan application of P240 million. Mayor Lim justified city hall’s plan to avail of its DBP credit line during yesterday‘s edition of his weekly radio program. In his defense, Mayor Lim said he was only being true to the authority granted to him by the Sangguniang Panglungsud in 2006 to negotiate for a P400 million loan. The money was supposed to be used for the planned construction then of the so-called “Big Bug” and waste treatment plant somewhere in Taloto. The two huge projects planned in his first term as city mayor had since been placed in the back burner in favor of other priority projects. The P240M loan application is part of the P400M credit line the state-owned DBP extended to the city government by virtue of the 2006 SP authority given to Mayor Lim to negotiate and apply.

The city executive’s rationale of the borrowing plan came as an aftermath of the 7-6 vote of the SP to muster a simple majority to gain approval for the loan application. It took the usual tie-breaker vote to cap the long impasse on whether the city is going to avail a new loan of P240 Million at a time when the term of Mayor Lim winds up with just four months remaining of his last term. His term ends noon of June 30 this year. During the special session of the SP held Friday, Resolution No. 18-13 reaffirming the authority of Mayor Lim to negotiate for a loan with the DBP was laid on the table for approval, together with another Resolution P.O. No. 03-13 which would authorize the city mayor to avail a new loan with DBP amounting P240.2M to fund road improvements and development of Mansasa and Cainggit beach in Booy. Of the new loan, P220M will be earmarked for city road concreting and P19.8M for the redevelopment of the beaches of Mansasa and Cainggit

The resolution also grants the city mayor the authority to sign the loan agreement, deed of assignment, to issue promissory notes and other pertinent documents. City Councilor Leonides Borja said the minority bloc made all efforts to put on hold the two measures. Based on their observations, City Councilors Bebiano Inting, Mariquit Oppus and Borja shared the same position against the propriety of obtaining a new loan at this time. Inting said in 2012, there were 34 road improvement works listed but only four were completed while 12 are still on–going and are not yet started. The accountant-councilor added that with another new loan, there is no more chance that these city roads will be improved. Councilor Borja also believes that it is not good for the incoming city administration to inherit the burden of paying these huge loans. “Aside from that, even with an approved loan, time is also limited for the incumbent city mayor as he is to step down this June and certainly these city projects remain not completed,” Borja said

Committee on appropriation and accounts chairman Nerio Zamora and lawyer-councilor Doni Piquero refuted the arguments of the minority councilors saying that it has already been agreed in an executive-legislative agenda meeting with mayor Lim that proceeds from the loan will prioritize city road improvements and this will be done. The majority bloc councilors assured that whoever sits as the next city mayor, road repairs will be on top of the immediate concerns since this the raging clamor of city residents today. After a heated discussion, when the two resolutions were submitted to division of the house, the voting resulted to tie 6-6 votes. However, the tie breaker vote of presiding officer Vice mayor Nuevas Montes favoring the two measures, paved the way for its final approval with a 7-6 votes.