Victorias mayor clarifies DOF’s fourth class city classification

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• GILBERT P. BAYORAN

Mayor Javier Miguel Benitez issued a clarification after the income classification of Victorias City remained as a fourth-class city, pointing out that the data used by the Department of Finance, under Republic Act 11964, were based on the submitted statement of receipts and expenditures for the years 2020 to 2022.

“It is important to note that this period only includes six months of our administration,” said Benitez, who assumed office as mayor only on June 30, 2022. 

In a statement on Monday, Dec. 9, the mayor pointed out that given its size in terms of area and population, Victorias receives a relatively small National Tax Allotment (NTA) share, similar to La Carlota City.

The NTA share is a significant factor in income reclassification as it has contributed to the increase in income classification for other cities, even without substantial growth in their locally sourced revenues.

“While the implementing circular does not explicitly state that the income reclassification period should cover 2020 to 2022, the rationale stems from RA  11964 taking effect in 2023,” the mayor said.

Section 4 specifies that the basis for income classification is the last three fiscal years preceding the year of reclassification, which covers 2020-2022.

In 2021, Victorias City recorded an income of P684.520 million, which rose to P908.800 million in 2022, and P817.987 million in 2023, with average annual regular income reported at P803.769 million.

According to the computations from the City Treasurer’s Office, Victorias City falls short of the third-class threshold by around P50 million.

“This demonstrates the progress we’ve made under our administration and highlights the trajectory of growth we are striving to maintain,” Benitez said.

Stressing that his administration only started in 2022, he again noted that the data still showed a significant jump in that year.

He largely attributed it to the implementation of the Mandanas ruling and the gradual recovery of the economy after the pandemic.

Benitez said that he is incredibly proud that Victorias City was recognized by the Department of Trade and Industry as the Most Improved City in Western Visayas in 2023.

“This recognition is proof that we are on the right track. While this classification may reflect past performance, I am confident in the direction we are heading and the progress we have made, since taking office,” the mayor said.

He added: “This isn’t just about numbers – it’s about building a stronger, more resilient city”. | GB