CEBU CITY — Governor-elect Pamela Baricuatro’s transition team has raised legal concerns over outgoing Gov. Gwendolyn Garcia’s last-minute directive to establish trust funds for at least 15 provincial programs.
Lawyer Edmund Lao, who leads Baricuatro’s transition team, warns that the last-minute move by Garcia could restrict the incoming administration’s ability to manage public funds.
In a phone interview, Lao said they are still verifying whether Memorandum 36-2025, which Garcia signed on June 16, has proper legal basis.
The memorandum instructs Provincial Treasurer Atty. Roy Salubre to create separate trust funds for various flagship programs such as Suroy Suroy Sugbo, Sugbo Negosyo, Sugbo Kuryente, Sugbo Patubig, and others.
Lao pointed out that while some of the programs may have been previously backed by ordinances, those laws may not necessarily authorize the establishment of distinct trust funds.
He said such funds are typically part of the General Fund and are subject to existing budget procedures if unused.
He also noted that their team has yet to access official records from the capitol, which are expected to be turned over after June 30.
He emphasized that without enabling ordinances passed by the Sangguniang Panlalawigan, the governor cannot unilaterally create trust accounts.
According to him, doing so could limit the flexibility of the next administration to realign funds based on new priorities.
“It may appear also that the trust funds are intended to tie the hands of the incoming administration relative to the use thereof,” Lao said.
Baricuatro, in a public statement posted online, condemned Garcia’s action as a blatant rejection of good governance and democratic transition.
She described the memo as a misuse of authority that could undermine the fiscal integrity of the province and interfere with the new administration’s mandate.
“This act of sabotage undermines the trust placed in us by the people of Cebu and threatens the fiscal integrity of our province,” Baricuatro said.
“It is an abuse of power designed to hinder the incoming administration’s ability to serve effectively,” she added.
She added that her team will take legal steps to review the memo and ensure transparency in all transactions, stressing that the public deserves a government guided by law and accountability.
Garcia, for her part, cited Section 309(b) of the Local Government Code and Commission on Audit (COA) Circular 92-382 as legal bases for her directive.
The trust funds also include accounts for the 20 percent Development Fund, tourism-related activities such as canyoneering, reforestation and watershed projects under Republic Act 7638, and the Capitol Lot Sales Settlement Account.
Baricuatro had earlier announced her intention to discontinue expensive tourism initiatives like Suroy Suroy Sugbo, saying they diverted public resources from infrastructure and social services in underserved barangay (villages).
She had criticized the millions spent on accommodations and caravans, arguing that tourism must benefit communities, not highlight personalities.
Despite these objections, Garcia maintained that her directive was lawful and aimed to ensure continuity of existing programs.
