Socially callous technocrats

Talk of socially tone deaf, socially callous senior technocrats who should have known better. A group of former secretaries of Finance issued a statement of support for the DOF’s order to transfer P90 billion of supposed excess funds of PhilHealth.

The statement praised this exercise of DOF’s authority to effectively utilize the excess funds of government-owned or controlled corporations (GOCCs) to finance crucial government projects in areas like health, education, social services and infrastructure. There is no argument with this motherhood statement.

Neither is there any argument for the second point that it is “in the public’s best interest for a portion of excess GOCC funds to be mobilized efficiently, rather than imposing additional taxes or increasing public debt that would burden future generations.”

The sanctimonious ex-DOF secretaries went on with their condescending sermon: “Responsible public financing requires considering opportunity costs. If unused funds are left dormant, the potential benefits are lost. Every unused peso represents development denied for Filipinos.” But of course, all that goes without saying.

As if that’s not enough breast-beating about how difficult and important their responsibilities were, they go on to say that “As past DOF Secretaries, we are acutely aware of the heavy responsibility the DOF bears in funding the nation’s dreams and aspirations for the Filipino people. We have firsthand experience with the underlying challenges and difficulties of generating sufficient revenues to fund critical initiatives that support economic growth.” Duh!

What they are not saying however, is the root cause of the problem. How Congress malevolently favored funding their pork funds and moved infrastructure allocations into the unprogrammed part of the national budget. Let me cite again how Sen. Sonny Angara confirmed this move when they were deliberating on the conference committee report.

Sen. Koko Pimentel questioned Sen. Sonny Angara, chairman of the Senate finance committee, on what seemed like acts of magic with the appropriations bill.

From Malacañang’s original proposal of P281.9 billion, Pimentel asked why the unprogrammed funds jumped to P731.4 billion after the bicameral conference committee meetings on the P5.768 trillion General Appropriation Bill for 2024. This, he said, resulted in a P450-billion increase in the unprogrammed funds.

Senator Angara: “Yes, the gentleman is correct as to the figure and the reason is to carve out fiscal space in the programmed appropriations for other items that are proposed by our colleagues, both here and in the house, your honor,” he explained.

Translating this legislative gobbledygook, they did what they did to fund pork barrel fund proposals of senators and congressmen. Why was this necessary to do? So, pork funds get priority being disbursed.

Pimentel then sought to clarify if the P450-billion increase in the unprogrammed funds was transferred from the programmed funds. Angara again confirmed this.

What Secretary Ralph Recto has been trying to do ever since was to cover up this act of thievery by his former congressional colleagues as he justifies the transfer of what really should be regarded as trust funds of PhilHealth members to fund essential budget items that should have been in the programmed part of the budget in the first place.

Recto claims what happened is now the law and he is obliged to implement it.

So, the former DOF secretaries are effectively justifying a wrong committed by the current DOF Secretary transferring PhilHealth funds to fund infrastructure among others because Congress made him do it.

I understand the need to get funds not used by GOCCs to pursue projects. That’s better than borrowing. But PhilHealth funds are meant to support its members. Those funds DOF took should have paid the premiums of indigents who availed themselves of assistance but can’t afford to pay. So now the premiums we pay must also be shared and we get less benefits. Kinda unfair.

It’s bad enough that PhilHealth failed to use the money to give us assistance because its incompetent management has failed to create the programs that would allow PhilHealth to serve more needs of its members. Or, provide respectable assistance compared to the pittance they now give.

Now the possibility that PhilHealth members can be better served is taken away because Congress gave preferential treatment for pork and moved infrastructure allocation to that part of the budget whose use is dependent on available funds. That’s rewarding a criminal act by punishing the innocent.

At this point in our national life when there is little hope we can ever get good governance from our leaders, it is time to expose what is behind all our problems and let everyone realize what must be done.

I would rather that the infrastructure projects get left undone, uncompleted so we have concrete proof of how evil our Congress is. Let the ODA donors see this as well and start withdrawing support.

We may need to get into a crisis to wake everyone up. This kind of chicanery has been going on for so long and has to stop. We may yet save our country from being a failed state. Our first line of defense is supposed to be the technocrats who have professional pride and competence to know when something not kosher is going on.

Unfortunately, our technocrats willingly surrender their sense of right and wrong in exchange for the power and perks of high public office. Unless you are Finance Usec. Cielo Magno, who proved true to her oath of office to serve our people honestly and truthfully.

Never mind Ralph Recto. He was and still is a politician. But technocrats, like most of the former DOF secretaries who have no more axes to grind, must activate their sense of justice and be the conscience they couldn’t be while they were in office.

Boo Chanco’s email address is [email protected]. Follow him on X @boochanco.