Duterte vetoed bill strengthening PCA to safeguard vs. corruption —Palace

Presidential spokesperson Salvador Panelo on Sunday defended President Rodrigo Duterte’s decision vetoing the bill seeking to strengthen the Philippine Coconut Authority (PCA), saying that some grounds are susceptible to corruption.

According to Panelo, the P10 billion annual appropriation of an industry that does not require the approval of the Executive Branch is "susceptible to corruption akin to creating pork barrel funds."

On Friday, Executive Secretary Salvador Medialdea forwarded to Congress the veto against Senate Bill 1976 and House Bill 8522 entitled An Act to Further Strengthen the Philippine Coconut Authority. 

“It is therefore with a heavy heart that he exercises his veto power pursuant to Article 6, Section 27, Paragraph 1 of the Constitution over the said bill, with the thought and confidence that the lawmakers can re-craft one that will provide more safeguards to protect the taxpayers' money and shield the levy funds from irregular and unlawful use, as well as guarantee its proper management,” Panelo said.

Aside from not seeking approval from the Executive Branch, Duterte vetoed the bill also because of its inclusion of the functions in sale, disposition, or dissolution of coco levy assets but "without checks and balances."

“Such condition will diminish the ability of the Department of Justice, through the Office of the Solicitor-General in coordination with the Presidential Commission on Good Government to act on cases relating to coco levy assets,” Panelo said.

Another reason was the bill called for a reconstituted 15-member PCA Board which includes seven members coming from the private sector. Panelo said it will allow private persons to influence the disbursement of public funds.

“Finally, (because) the PCA is set up like the Road Board which is heavily criticized for allegations of corruption and misappropriation of funds,” he said.

However, Panelo hopes that the veto of the bill will give Congress a chance to improve the PCA and the distribution of coco levy funds.

“The veto by PRRD of the legislative measure is a reflection of the principled stand of this administration in promoting good governance and public accountability,” Panelo emphasized.

Meanwhile, Senator Cynthia Villar, chairperson of the Senate Committee on Agriculture and Food, on Saturday said the veto of the bill is unfortunate.

"However this does not mean that all hopes are lost for our 3.5 million coconut farmers who have waited for decades to benefit from the coconut levy funds," she said.

Villar said once she gets enlightened on Duterte's reasons for vetoing the bill, she "will work with him to improve this bill."

In November 2018, the Senate adopted and ratified a bicameral conference committee report on the PCA with the bill seeking to lay out a P100-billion trust fund for coconut farmers. —Joviland Rita/KG, GMA News