DOH, PhilHealth shortchanged by P28.3B in proposed 2020 budget —Recto

Senate Pro Tempore Ralph Recto on Thursday said the Department of Health and Philhealth were shortchanged by P28.3 billion in sin tax shares in the proposed 2020 budget.

“The Department of Health and PhilHealth should not be begging for funds. They should automatically be getting what is due them from the TRAIN Law (Republic Act 11346 ),” Recto said in a press statement.

He said RA 11346 mandates that 50% of excise tax collections on tobacco and soda products shall be earmarked for health.

He said the 50% health share shall, in turn, “be allocated and used exclusively” in the following manner: 80% to the PhilHealth for Universal Health Care, and 20% to the DOH’s Health Facilities Enhancement Program (HFEP) and medical assistance program.

Recto, a former National Economic and Development Authority chief, said in 2018, the total collections from alcohol was P68.8 billion; from tobacco P136.08 billion; from sugar sweetened beverages, P38 billion, or a total of P242.8 billion.

With this, the combined DOH-PhilHealth 50% should be P110.9 billion, net of other deductions, he said.

Recto said following the 80-20 sharing, P88.72 billion should go to PhilHealth, and P22.18 billion to DOH-HFEP and medical assistance.

But under the proposed 2020 national budget, PhilHealth is getting P67.3 billion, or P21.42 billion below what its share should be, he said.

He added that as for the DOH, its HFEP is earmarked P5.9 billion, and its Medical Assistance Program P9.4 billion, or P6.9 billion short of what the law guarantees.

“Batay sa 2020 budget, ang kabuuang utang ng DBM sa kanila mula sa sin tax collections ay P28.3 billion,” he said.

“Ang batas ay pinirmahan ni Pangulong Duterte. Alam niya kaya na hindi wasto ang pagpapatupad nito?” he added.

He said the government should not renege on its promise to fund healthcare services and the Congress is duty bound to rectify the mistake in funding.

“Remember, RA 11346 was sold on the seductive promise that taxes collected from sin products will be spent for health. That higher taxes on vice will be used to fund the virtues of health care,” Recto said. —KBK, GMA News