The Budget Trap in Cebu: Gwen Garcia’s Legal Last Gasp or Political Landmine?

Wazzup Pilipinas!?

Just one day before leaving office, outgoing Cebu Governor Gwendolyn Garcia signed off on a parting memo that has sent shockwaves across the province—and ignited a firestorm of debate over legality, ethics, and political sabotage.

On June 16, 2025, Garcia issued Memorandum No. 36-2025, ordering the creation of multiple trust funds for her flagship programs—Suroy-Suroy Sugbo, Sugbo Segurado, Sugbo Negosyo, among others—citing Section 309(b) of the Local Government Code as legal basis. Her defenders say it's lawful. Her critics say it's a time-delayed bomb designed to cripple the incoming administration of Governor-elect Pam Baricuatro.

So, what is it? A responsible fiscal mechanism?

Or the final gasp of a dynasty desperate to rule from beyond its grave?

The Memo That Shook Cebu

Governor Garcia’s directive instructs the Provincial Treasurer to earmark provincial funds into a maze of trust accounts—funds that cannot easily be touched, realigned, or redirected by the next administration.

On the surface, it sounds routine. Trust funds are legal tools used by local governments to earmark money for specific programs. But here's the twist: Garcia signed this sweeping order days before stepping down. No transition consultation. No dialogue with the incoming team. Just a memo—quietly issued, forcefully binding.

To her critics, this isn’t continuity. It’s conquest by paperwork.

To her allies, it’s legacy preservation.

To the people of Cebu? It may be a bit of both—but not without consequences.

The Legal Thin Line: Clever or Contemptuous?

Garcia’s move rests on a real legal provision—Section 309(b) of the Local Government Code—which authorizes local government units to establish trust funds. On its face, the memo doesn’t violate any black-letter law.

But legality isn’t always morality.

Legal scholars and watchdog groups now question whether Garcia’s use of Section 309(b) crosses into bad faith—a violation of Section 3(e) of the Anti-Graft and Corrupt Practices Act, which penalizes public officials who cause undue injury or grant unjust advantage. The law doesn’t require a smoking gun—just evident bad faith or gross negligence.

Garcia’s timing raises eyebrows. Her memo doesn’t merely suggest continuation of funding; it locks the future government into her vision, leaving Governor-elect Baricuatro with frozen funds and inherited obligations she did not approve.

That’s not a transition. That’s a fiscal straitjacket.

A Hostage Situation in Disguise

By cementing funding into specific trust accounts—shielded from immediate reallocation—Garcia has effectively neutralized Baricuatro’s discretion over billions in provincial resources. Trust funds are notoriously hard to untangle. They require legal processes and sometimes court intervention to unwind.

In real terms, Baricuatro is now stepping into a governorship where the major budget decisions have already been made—by someone no longer in power.

This is not a handover.

It’s a hijacking of the future.

Ethics, Delicadeza, and the Absence of Grace

It’s not just what Garcia did. It’s how—and when—she did it.

There was no consultative transition. No transparent budgeting process involving both teams. Instead, this memo arrived like a midnight ordinance: swift, silent, and unmistakably strategic.

In a democratic society, such behavior flies in the face of delicadeza, the cultural norm of stepping aside with dignity. Garcia had every opportunity to let the people’s choice take the reins. Instead, she chose to govern from the shadows, embedding her policies into the administrative machinery through legal technicality.

If this was her final act as governor, it was not one of statesmanship—it was one of control.

The Road Ahead: Pam Baricuatro’s First Test

Governor-elect Pam Baricuatro must now decide:

Will she play along with Garcia’s budgetary blueprint, or will she fight to reclaim the mandate given to her by the people?

Early signs suggest the latter. Her transition team is reportedly preparing a legal review, and a potential challenge to Memorandum No. 36-2025 is looming. If Baricuatro wants to govern with autonomy, she may need to move swiftly—legally and publicly.

The tools exist. Trust funds can be suspended or revised through legal channels. The Commission on Audit may step in. And if necessary, the courts can determine whether Garcia’s maneuver was clever governance—or unlawful obstruction.

Final Word: Legacy or Landmine?

Governor Gwendolyn Garcia’s memo is legally defensible, but ethically indefensible. It’s a classic case of what’s technically allowed versus what’s morally sound.

It may survive a legal challenge.

But it will not survive the judgment of history.

This is not the graceful end of a storied political career.

This is the bureaucratic equivalent of setting traps in a house you no longer own.

Governor Pam Baricuatro now carries the burden—not just of governing Cebu—but of restoring the sanctity of political transitions in the province. And the people must stand behind her—not just as voters, but as guardians of democratic integrity.

Let this be the last time a public office is used as a private chessboard.

Let the trust of the people—not trust funds—guide Cebu’s future.

About "WazzupPilipinas.com"

WazzupPilipinas.com is the fastest growing and most awarded blog and social media community that has transcended beyond online media. It has successfully collaborated with all forms of media namely print, radio and television making it the most diverse multimedia organization. The numerous collaborations with hundreds of brands and organizations as online media partner and brand ambassador makes WazzupPilipinas.com a truly successful advocate of everything about the Philippines, and even more since its support extends further to even international organizations including startups and SMEs that have made our country their second home.