Cebu City Scholarship Allowance Delays Affect 37,000 Students Due to Funding Gap
Thousands of scholars in Cebu City are experiencing significant delays in receiving their school allowances, a situation attributed to a substantial funding shortfall and processing bottlenecks. This issue is severely impacting students' ability to cover essential daily expenses such as transportation, food, and other school-related costs.
Budget Shortfall and Processing Delays
During a City Council meeting held on Tuesday, April 7, 2026, officials revealed that the Cebu City College Scholarship Program (CCCSP) is facing a critical budget gap. The program requires approximately P550 million to function effectively but was allocated only P340 million in the 2025 budget. This P200 million shortfall has made it challenging to release allowances on schedule.
Councilor Pastor Alcover Jr. brought the matter to light after numerous students reported not receiving their first-semester allowances for the 2025–2026 academic year. The delays have created financial strain for scholars who depend on these funds for their basic needs.
Widespread Impact on Students
Education consultant Joy Augustus Young confirmed that approximately 37,000 scholars are affected by the payment delays. He emphasized that students rely heavily on these allowances to manage their daily living expenses and academic requirements.
Young further explained that the delays are compounded by administrative processing requirements. Since allowances are distributed through a payroll system, the city must meticulously verify student lists before any funds can be disbursed, adding another layer of complexity to the timeline.
Delays Linked to School Submissions
The speed of processing is heavily dependent on how quickly partner schools submit their billing documents. Smaller institutions have managed to complete their submissions more rapidly, while larger schools with a higher number of scholars, such as the University of Cebu and Cebu Eastern College, have taken longer to provide the necessary paperwork.
"Those who submit first will be given whatever funds are available immediately," Young stated, highlighting the competitive nature of the allocation process given the limited resources.
Reconciling Past Obligations
Compounding the current issue, some scholars have claimed they are still owed allowances from previous semesters. Young noted that the city is actively reviewing records, including about P58 million in unpaid obligations from an earlier term, to determine the validity of these claims.
He attributed part of the budget constraints to timing issues. When a new administration assumed office in July 2025, the annual budget had already been approved, leaving little room for immediate adjustments. Securing additional funding now requires the approval of supplemental budgets, a process that itself takes considerable time.
Funds Now Being Processed
In a recent development, the CCCSP office announced on March 17 that it has been authorized to utilize part of the 2026 budget to cover the pending allowances. Processing is currently underway, with officials working diligently to release payments to all affected scholars as swiftly as possible.
The city aims to resolve this pressing issue and ensure that students receive the financial support they are entitled to, mitigating the impact on their education and well-being.
