OVP says P125-M confidential expenses in 2022 ‘utilized appropriately’

The Office of the Vice President (OVP) on Wednesday defended the utilization of P125 million worth of confidential expenses in 2022, saying that it was used “appropriately” for its intended purpose.

The OVP issued the statement after the Commission on Audit (COA), in its 2022 Annual Audit Report, disclosed that the OVP had P125 million confidential expenses last year despite not having an appropriation for intelligence or confidential funds under the General Appropriations Act (GAA) of 2022.

“The Confidential Fund has been utilized appropriately for its intended purpose and in accordance with the guidelines set by the national government,” the OVP said.

The OVP, under the leadership of Vice President Sara Duterte, has P500 million confidential funds in the 2023 national budget.

Based on the “Summary of Appropriations, Allotments, Obligations, Disbursements and Balances by Object of Expenditures,” a copy of which is available on the OVP website, the confidential expenses were tapped from the OVP’s contingent fund under the Special Purpose Funds.

The P125 million confidential expenses were also reportedly disbursed in the fourth quarter of 2022.

Assistance

At the same time, the OVP answered questions on lower spending of financial assistance to sectors, saying it was due to the lower budget under the 2022 GAA.

“The decrease in the amount of Financial Assistance/Subsidy from Fiscal Year 2021 to Fiscal Year 2022  was due to a lower amount of budget/appropriation under the 2022 General Appropriations Act, in view of the anticipated election ban and transition in 2022,” it explained.

COA, in its report, bared that the OVP transferred P30.5 million to various hospitals for medical aid, a figure 81% lower than the P167 million spent by OVP for the same purpose in 2021.

The OVP also posted decreased spending in medical/burial assistance in 2022 at P304.67 million, which is lower than the P327 million spent in 2021 for the same purpose.

It, however, increased spending on sustainable livelihood and subsidy on training assistance in 2022 at P20 million, up from P7.43 million in 2021.

It also spent a larger amount for educational assistance at P936,121 which is a huge increase from P35,000 in 2021.

COA earlier flagged the OVP for the P668,197 worth of purchases for its satellite offices, which it said were non-compliant with the Procurement Law or Republic Act 9184.

The OVP, for its part, said Tuesday that this amount of procurement had passed COA's audit. — RSJ, GMA Integrated News