P15-B relief and rehab fund proposed under 2014 nat'l budget

MANILA, Philippines - Senate President Franklin Drilon proposed on Thursday the creation of a Calamity Assistance and Rehabilitation Effort (CARE) Fund under the proposed P2.268-trillion 2014 national budget.

Drilon said the proposals to include the funding of a comprehensive rehabilitation and repair in the areas affected by super typhoon Yolanda will be prioritized by the Senate during plenary debates next week.

"The 2014 national budget must provide for funds badly needed by our countrymen, who suffered the misfortunes brought about by the series of massive natural and man-made disasters," Drilon said.

The proposed CARE Fund aims to ensure that the 2014 national budget will provide for funds to assist in the reconstruction of areas devastated by recent massive calamities, the Senate President said.

“I proposed the creation of a Calamity Assistance and Rehabilitation Effort or ‘CARE’ Fund to be used exclusively for the construction of housing units, repair and rehabilitation of irrigation systems, school buildings, power infrastructures, hospitals, and public infrastructure such as roads, bridges, and government buildings,” Drilon said.

Drilon proposed to source the fund for the CARE from the Miscellaneous Personnel Benefits Fund or MPBF, which has P81.06 billion allocation for 2014. He recommended the insertion of Special Provision No. 3 under the proposed budget to accommodate the CARE Fund.

The Senate President asked to reduce the funding requirement for the filling up of unfilled positions by P8 billion from P35,65 billion to P27.64 billion and the funds for the creation of new positions by P7 billion from P16.07 billion to P9.07 billion.

Drilon also proposed the amendment of the subtotal and total new appropriations for MPBF from P81.061 billion to P66.061 billion to accommodate the CARE Fund.

The Senate President has submitted to Senate finance committee chairman Sen. Francis Escudero a letter to reflect his proposed amendments to the 2014 budget.

Drilon, who hails from Iloilo which was also damaged by Yolanda, noted that the magnitude of the damage caused by the recent calamities most specifically super typhoon ‘Yolanda’ is extensive.

Before the super typhoon, Bohol and Cebu provinces were struck by a major earthquake that left more than 200 people dead.

"The rehabilitation aspect would require much more funds," he said.

Under the CARE system, the release of the funds will be directly made to the implementing agencies and/or concerned government local government units upon the recommendation of the National Disaster Risk Reduction Management Council and the approval of the President.

Drilon noted that the damages in the latest disasters that hit the Philippines were not taken into account under the proposed expenditures for next year.

Under the proposal, P15 billion from the 2014 national budget shall be accorded under the CARE Fund to be used for the rehabilitation, repair, and construction works and activities in areas devastated by typhoons Santi, Labuyo and Yolanda, the 7.2 magnitude earthquake in the Visayas region, and the siege in Zamboanga City.

Drilon recommended that the P15 billion CARE Fund be distributed to the Department of Public Works and Highway (P6 billion) for the repair and rehabilitation of roads, bridges, government buildings, as well as the restoration of declared historical sites and structures; Department of Education (P2.75 billion) and State Universities and Colleges (P1.25 billion) for the repair of school buildings; and National Housing Authority (P1.5 billion) for the establishment of relocation sites and construction of housing units.

Likewise, Drilon proposed to allocate P1 billion to the Department of Health for the repair of hospitals, as well as P750 million each to the Department of Energy for the restoration of power utilities and the National Irrigation Administration for the repair of irrigation systems.

Another P1 billion is being proposed to be given to local government units for the repair of rural health units and hospitals and to fund other rehabilitation programs.

The proposed amendment said that the “release of funds under this purpose shall be made directly to the appropriate implementing agencies and/or concerned local government units in accordance with the recommendation of the National Disaster Risk Reduction Management Council and approval of the President of the Philippines.”

Drilon recalled that the same provision was applied in the 2007 General Appropriations Act when the country was beset by catastrophic typhoons namely Milenyo, Paeng, Reming, and Seniang.

An amount of P8 billion, lodged under the Calamity Fund, was allocated for rehabilitation, repair, and reconstruction works and activities in areas damaged by those typhoons. Drilon was the Finance committee chair at that time.