November 12, 2024 | 2:11pm
MANILA, Philippines — Minority lawmakers filed a House Resolution on Monday, November 11, calling for transparent and publicly accessible deliberations on the national budget, beginning with the proposed 2025 budget.
House Resolution 2067, introduced by Makabayan bloc lawmakers, urges the House of Representatives to make all bicameral conference committee hearings and documents, including transcripts, on the national budget open to the public and the media.
Each year, the national budget is finalized by a bicameral conference committee, composed of members from the Senate and House of Representatives, after both houses have approved their respective versions of the General Appropriations Bill (GAB).
This committee is responsible for aligning the differing versions of the proposed national budget from both chambers, engaging in debates over the final allocation of funds to various programs and agencies.
Private hearings. However, the bicameral conference committee’s hearings have typically been held behind closed doors, leaving the public unaware of the final revisions to the annual budget.
It is only when the General Appropriations Act is passed that the public becomes aware of the changes made.
Citing Article VI, Section 16(3) of the 1987 Constitution, the resolution justified its call by asserting that Congress has the authority to set the rules governing its proceedings.
While it is not unconstitutional for the bicameral conference committee to hold closed-door hearings, the resolution emphasized that these hearings must adhere to the “principles of transparency and accountability” as reflected in the Constitution.
“Transparency in budget deliberations is crucial in enabling citizen participation in governance, ensuring that public funds are appropriated in accordance with the people’s needs and interests,” the resolution read.
Possible case of unprogrammed fund increases
The Makabayan lawmakers argued that the private nature of these hearings has allowed the final budget proceedings to “circumvent proper legislative scrutiny,” resulting in the insertion of new provisions or items.
The resolution referenced Special Provision No. 1 of the 2024 GAB’s Unprogrammed Appropriations, which was amended by the bicameral conference committee. It was not originally included in either the House or Senate’s version of the bill.
This provision authorizes the government to source unprogrammed funds from government-owned and controlled corporations, such as the Philippine Health Insurance Corporation (PhilHealth), under specific conditions.
“The insertion, despite being absent in both chambers’ versions, led to PhilHealth being required to remit P89.9 billion in excess subsidies to the National Treasury,” the resolution read.
After three petitions were filed against the transfer, the Supreme Court issued a temporary restraining order to halt the transfer of the remaining P29.9 billion in unused PhilHealth funds.
What are unprogrammed funds? According to the Department of Budget and Management, unprogrammed funds serve as standby funds that the government can use for priority programs or projects not yet allocated in the General Appropriations Act (GAA).
These funds may be accessed only if certain conditions are met, such as generating excess revenue from identified non-tax sources, new tax or non-tax collections, approved loans for foreign-assisted projects, or the fund balances of GOCCs.
Under the Marcos administration, the unprogrammed funds allocated in the GAA were significantly larger than those recommended in the National Expenditure Program.
In 2024, the standby funds more than doubled from P281.9 billion in the NEP to P731.4 billion in the 2024 GAA.
For 2025, the executive branch proposed P158.67 billion in unprogrammed appropriations.
RELATED: Unprogrammed funds on the rise: Questions that hound the 2024 budget
“In effect, the closed-door ‘Third House’ overrules the decision of the Lower House and the Senate, which are public as mandated by the Constitution,” the lawmakers stated.
The House Resolution was filed by Rep. France Castro (ACT Teachers Party-List), Rep. Arlene Brosas (Gabriela Women’s Party) and Rep. Raoul Manuel (Kabataan Party-list).
The Senate is currently holding plenary debates on its version of the 2025 GAB, aiming for approval by November 19.
Senate President Chiz Escudero previously said that Congress eyes final approval of the P6.352-trillion budget by the second week of December at the latest, through a bicameral conference committee.
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