GENERAL SANTOS CITY — The city government may need to allocate additional funds to sustain its financial assistance program for farmers and fisherfolk as City Ordinance No. 20, Series of 2023 undergoes review, following concerns that an interest provision could undermine its intent as a social support measure.

Mayor Lorelie Pacquiao has directed the Sangguniang Panlungsod (SP) to revisit and amend provisions of the Lingap at Gabay para sa Magsasaka at Mangingisda Ordinance, particularly the clause imposing a 5 percent interest rate on farmer-beneficiaries of the assistance program.

SP Committee on Agriculture chairperson and City Councilor Richard L. Atendido said removing the interest rate may require the local government to increase its budget allocation to accommodate future beneficiaries. “Mapugos na magpadugang ug fund para sa next farmers,” Atendido told The Snitch, noting that the current structure partly relies on repayments to sustain the program.

Atendido explained that the 5 percent interest was originally designed to function as a rolling fund, allowing repayments to finance subsequent batches of farmers and fisherfolk should the city’s allocation prove insufficient. “Para sana sa roll-over fund ang 5%, para sa next batch ng farmers na hindi makaka-avail kung kulang ang fund from the LGU,” he said.

However, Mayor Pacquiao stressed that the ordinance should prioritize assistance over revenue generation, saying the interest provision runs counter to the program’s purpose of easing—not compounding—the financial burden on farmers and fisherfolk. “Sa ordinance, may interest na 5%, kaya gibalik nako para tanggalon kay tabang man atoa, dili man negosyo,” she said.

Atendido acknowledged the mayor’s concerns, noting that the interest rate could become excessive for farmers engaged in multiple cropping cycles. He pointed out that farmers who plant three times a year could effectively face up to 15 percent in annual interest. “Yes, nakita pud nako nga dako ang 5% kay kung maka-three cropping ang farmer, mugawas og 15% per annum ang interest. So dako jud. That’s why gi-revisit nako ang ordinance,” he said.

The review comes as the city government has yet to release the implementing rules and regulations (IRR) for the ordinance. According to Atendido, the IRR had already been prepared and was nearly ready for implementation, but amendments to the ordinance are being prioritized. “Tapos na unta ang IRR, for implementation na. Pero paspas lang ni pag-amend,” he said.

City officials said further deliberations are expected to determine how the program can remain financially sustainable while ensuring it delivers meaningful and accessible support to General Santos City’s farmers and fisherfolk.