Davao City's P17.23-billion budget for 2027 passes second reading
The proposed spending plan now awaits a third and final reading before going to the mayor and the Department of Budget and Management.
The Davao City Council has approved the city's proposed P17.23-billion budget for 2027 on second reading, according to Councilor Danilo Dayanghirang, chair of the Committee on Finance, Ways and Means and Appropriations, as reported by SunStar.
Speaking during a live discussion on Wednesday, November 11, 2026, Dayanghirang said his committee reported the measure back to the floor on Tuesday and the council approved it that same day. Once it clears third and final reading, Mayor Sebastian Duterte will sign the budget ordinance and send it to the Department of Budget and Management for review.
Dayanghirang said having the budget approved by January allows salaries to be paid from the start of the year. Without a new budget, the previous year's budget is reenacted. "Kaya very important na 'yung budget ay ma-aprubahan yearly para 'yung mayor maka-adjust ng kanyang mga project," he said, meaning the yearly approval lets the mayor adjust his projects.
According to the committee's report, the city expects P17.28 billion in funds for 2027, up P1.39 billion or 8.74 percent from P15.89 billion this year. The National Tax Allotment makes up P11.23 billion, or 65 percent, while local sources led by business and real property taxes account for P5.95 billion. About P44.97 million from economic enterprises such as markets, slaughterhouses and cemeteries remains unappropriated.
The Office of the City Mayor has the largest allocation at P5.13 billion, followed by the City Social Welfare and Development Office at P1.93 billion, the City Health Office at P1.18 billion, the City Environment and Natural Resources Office at P1.15 billion, and the City Disaster Risk Reduction and Management Office at P1.10 billion.
The P2.25-billion Development Fund will cover 91 projects across the city's three districts, including P448.62 million for flood control and P656.06 million for road networks. Dayanghirang also cited an additional P42.5 million for building a University of Southeastern Philippines campus in Paquibato District.
The committee urged the City Engineer's Office to strengthen pre-assessment of projects, including site and readiness checks, to reduce implementation delays. The budget also raises plantilla positions from 3,672 to 3,689, mainly for a new special needs intervention center for children; 1,411 positions were vacant when the budget was prepared.
Why it matters for Davao
The budget determines funding for city services, salaries, flood control and road projects in Davao City next year; passing it before January avoids reenacting the 2026 budget.
This article was written by the DavaoNews desk with AI assistance, using reporting by SunStar. Facts come from the original report, which we credit and link below. Our editorial policy
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