A. Financial Performance
1. Revenue Generation
Financial performance is divided into two parts: (1) Revenue Generation, and (2) Resource Allocation and Utilization. Indicators of revenue generation capacity includes cost to collect revenues, rates of locally sourced revenue to total income and locally sourced revenue per capita. Resource allocation and utilization performance indicators include personal services expenditure ratio, total expenditure per capita and debt service ratio.
Locally-Sourced Revenues
The provincial locally-sourced revenues is 12.71% total income. This comes from Real Property Tax, Business Tax, Non-Tax Revenue and Interest from Bank Deposits. The Dependency Rate from External Source Revenue is 87.29% . The province a little bit better off than the average 2nd class province in the Philippines with a dependency ratio of 89.63% and that of all provinces nationawide with a dependency rate of 87.80%.
Regular Revenue to Total Income
The province of Lanao del Norte generates its regular revenues in a manner and in accordance with the Provincial Revenue Code and Local Government Code of 1991 (RA 7160). It comprises the Real Property Taxes, Permits and Licenses, Business Permits and the share of Internal Revenue Allotment (IRA). It represents 94.84% of the total revenues generated in the year 2009.
Locally-Source Revenue Level
Locally-source Revenue are classified into two sources: 1.) External Source include IRA, Loans/credits, Grants/Aids and Inter-local Government Loans;2.) Local Sources include Real Property Tax, Business Tax, Non-Tax Revenue and Interest and earned. The amount of P12.6M locally source revenue was lower than the average 2nd class provinces which is recorded at P56.1M.
2. Resource Allocation and Utilization
Personal Services Expenditure
B. Budget Fund Allocation
Estimated Income and Expenditure
The province had a total of P779,101,697.00 estimated income for CY 2009. A total of P8,891,011.00 or almost 2% are estimated to the Local Taxes and 98% is estimated for the General Income Account.
- Estimated Income
| A. Tax Revenue | |
| Local Taxes |
P8,891,011.00 |
| B. General Income Account | |
| 1. Internal Revenue Allotment |
561,310,024.00 |
| 2. Permits and Licenses |
865,000.00 |
| 3. Business & Service Income |
185,152,621.00 |
| 4. Other Income |
22,883,041.00 |
| Total Estimated Income |
P 779,101,697.00 |
- Estimated Expenditures by Sector
The total budget allocation of the province is P779,101,697.00 for fiscal year 2009 to fund its operation. A total of P508,865,309.00 are allocated to its regular operations, an amount of P 67,573,483.00 for the Budgetary Requirements, P135,162,005.00 for the Statutory & Contractual Obligations and P67,500,900.00 for the Non-Office Expenditures.
|
SECTOR |
PERSONAL SERVICES |
MOOE |
CO |
TOTAL |
| Regular Operations | ||||
| General Services |
85,113,109.00 |
139,587,179.00 |
38,624,401.00 |
263,324,689.00 |
| Social Services |
112,284,760.00 |
9,617,300.00 |
0.00 |
121,902,060.00 |
| Economic Services |
23,606,060.00 |
71,582,500.00 |
28,450,000.00 |
123,638,560.00 |
| Sub-Total |
221,003,929.00 |
220,786,979.00 |
67,074,401.00 |
508,865,309.00 |
| ADD: | ||||
| Budgetary Requirements | ||||
| 1. Debt Servicing |
35,161,308.00 |
|||
| 2. 5% Reserved Fund |
31,950,175.00 |
|||
| 3. Aid to Barangay Development Fund |
462,000.00 |
|||
| Total Budgetary Requirements |
67,573,483.00 |
|||
| Statutory & Contractual Obligations |
135,162,005.00 |
|||
| 1. 20% Development Fund |
112,262,005.00 |
|||
| 2. MIRIDP-Equity Commitment |
20,000,000.00 |
|||
| 3. Provision for Elderly & Disabled |
2,200,000.00 |
|||
| 4. Gender & Development Program |
700,000.00 |
|||
| Total Statutory & Contractual Obligations |
135,162,005.00 |
|||
| Non-Office Expenditures |
67,500,900.00 |
|||
|
TOTAL APPROPRIATIONS |
P |
779,101,697.00 |
C. Actual Income and Expenditure
|
PARTICULARS
|
2008 |
2009
|
Percent Growth
|
| Income
I. Internal/Local Taxes 1.1 Real Property Tax 1.2 Business Tax 1.3 Other Taxes 1.4 Fees and Charges 1.5 Economic Enterprise Sub-Total
2. External Sources 2.1 IRA 2.2 Extraordinary Receipts Sub-Total
|
12,412,511.38 528,955.00 337,975.99 859,352.71 62,324,138.71 76,462,933.79 481,404,221.00 5,993,346.38 487,397,567.38
|
12,070,749.44 593,249.20 680,423.48 463,300.00 26,919,755.64 40,727,477.76 561,756,072.00 3,476,243.39 565,232,315.39
|
(0.03) 0.12 1.01 (0.46) (0.57) (0.47) 0.17 (0.42) 0.16
|
|
Total Income |
563,860,501.17 |
605,959,793.15 |
0.07 |
| Expenditures:
PS MOOE CO Debt Service |
175,011,232.01 261,784,822.91 39,745,771.89 22,954,733.48 |
161,027,171.02 323,913,499.78 22,633,288.24 22,954,732.88 |
(0.08) 0.24 (0.43) (0.00) |
|
Total Expenditures |
499,496,651.29 |
530,528,691.92 |
0.06 |
| SURPLUS |
64,363,849.88 |
75,431,101.23 |
0.17 |
The revenue of the province largely comes from Internal Revenue Allotment (IRA). In FY 2009, the province’s IRA amounted P 561,756,072.00 which is 99.38% of the total income.
The total income of Internal/Local Taxes decreased at 47% due to the slight decrease in collection of the Real Property Tax at 3% and large decrease in collection of Fees and Charges at 46% and Economic Enterprise at 57%. There is a big difference in terms of income from Economic Enterprise for the reason that the total income from FY 2008 includes the income from Provincial Hospitals and Rice Sales Revenue. While in the current year, the income of hospitals and rice revenue is not included as an income from Economic Enterprise since it is allocated for the purchased of hospital medicines for the next Fiscal Year.
On expenditures, highest increase is noted on Capital Outlay at 43%. This was mainly due to many development programs and projects implemented this year to include the (2) Provincial Service Bus, Heavy Equipments for Infrastructure and a number of pieces of Personal Computers to the provincial employees. The Total Expenditures is P530,528,691.92.
In FY 2009, the province attained a surplus of Php 75,431,101.23 which is 17% higher than the 2008 surplus.