Duterte: Dev’t pursuits to be achieved despite delay in passing budget

President Rodrigo Duterte expressed optimism that the government will be able to achieve its development goals even after the much-delayed passage of the P3.662-trillion national budget this year.

Duterte signed the General Appropriations Act for 2019 (Republic Act 11260) on Monday, putting an end to the government’s four-month reliance on a reenacted spending plan that has affected the implementation of several programs and projects.

The national budget was caught in an impasse after members of the House of the Representatives and the Senate wrangled over alleged anomalous budget insertions.

“We remain steadfast and optimistic. With massive spending for economic and social services, our development pursuits will be sustained. We are ushering in the country’s golden age of infrastructure as we aggressively build our infrastructure assets,” he said in his veto message to Congress dated April 15.

The Duterte administration, which came to power in 2016, aims to pour more than P8.2 trillion into its flagship infrastructure program “Build, Build, Build” until 2022—building ports, airports, roads, railways, energy facilities, irrigation systems, and flood control facilities projects.

“We are also advancing our human capital, our biggest asset, in recognition of our people’s valuable role in nation-building as efficient and productive members of our society. To sustain our growth targets, we remain prudent in our financing program,” the President said.

He added the results “may not always be immediate, but if our efforts are sustained, we will eventually reap the fruits of our hard work.”

Duterte vetoed P95.37 billion worth of public works appropriations out of the original P3.757-trillion spending plan. He said the items, which came as a result of post-ratification budget realignments made by lawmakers, are not within the “programmed priorities” of the government.

Malacañang called the vetoed public works items unconstitutional.

Senate President Vicente Sotto III earlier identified the list of programs and projects that the Senate wanted removed from the national budget, including the P75 billion funded from post-ratification realignments and placed under the Local Infrastructure Program of the Department of Public Works and Highways (DPWH).

“Admittedly the passage of the FY 2019 budget was not as smooth as we had hoped for. But we can look back at this experience positively if we choose to see certain delays as a manifestation of our legislators’ commitment to the exercise of the power of the purse for the common good,” the President said.

Duterte also maintained that he will not tolerate corruption.

“Allow me to take this opportunity to emphasize that the hard-earned money of our people must be used to improve the condition of our country and their overall welfare,” he said.

“I have said this before and I will say it again—I will not tolerate corruption in my administration.”

He said a government position should never be used for personal gain.

“Otherwise we are not worthy of the offices we hold. As public officials, we must honor our offices and the Filipino people whom we serve,” Duterte said.

Aside from scratching off some public works items, the President also vetoed the following provisions in the budget:

1. “Use of income” under the Department of Labor and Employment-National Labor Relations Commission
2. Special provisions on the implementation of projects by the Department of Agriculture, the Department of Public Works and Highways and the Department of Trade and Industry concerning allocations to local government units (LGUs)-special shares of LGU in the proceeds of national taxes, shares in tobacco excise taxes from locally-manufactured Virginia-type cigarettes and Burley and native tobacco products
3. Assistance to municipalities and cities under the Local Government Support Fund insofar as the use of the fund for maternal and child health projects
4. Provision that will effectively reduce the mandated allocation of internal revenue allotment shares of LGUs, thus impairing the constitutional prescription on equitable IRA shares of LGUs in national taxes
5. Provision that effectively removes the inherent authority of the concerned agencies to assess reasonable fees in the provision of services in connection with the retention or reacquisition of Philippine citizenship
6. Provision on special work permit under the Department of Justice-Bureau of Immigration
7. Provision on allowing the use of the calamity fund for the relief, recovery, reconstruction and other work or services in connection with natural or human induced calamities which occurred more than two years from the budget year.
8. Unprogrammed appropriations under the Coconut Farmers and Industry Development Fund as a result of the veto of the bill seeking to strengthen the Philippine Coconut Authority
9. Provisions on special road support fund, special local road fund and special vehicle pollution control fund under the DPWH are no longer relevant following the passage of the law that abolished the Road Board.
10. Provision on prohibitions against the use of unprogrammed appropriations by the Office of the President as it limits the power of the President, as chief architect of foreign policy, to enter into loan agreements consistent with Section 20, Article VII of the 1987 Constitution
11. “Authorized Deductions” under general provisions which includes obligations to financing and other similar entities that have authority to engage in lending and mutual benefits
12. “Impoundment of Appropriations” under general provisions which provides that the inaction of Congress within 30 days from receipt of an impoundment proposal is considered disapproval

The President subjected certain provisions of the budget law to conditional implementation including allowance and benefits of teachers and the creation of teaching positions, construction of evacuation centers, funding for foreign-assisted projects, revolving fund, government internship program and tertiary education subsidy.

Also for conditional implementation are lump-sum appropriations for capital outlays, financial assistance to local government units funding requirements of the country's foreign service, provision of salaries under the assistance to indigent patients, double programming of funding source and allocation of maintenance and other operating expenses to lower courts.  — BM, GMA News