‘Government not using sin taxes to finance health care program’

MANILA, Philippines - The government has failed to allocate a big part of the collections from Republic Act 10351 or the Sin Tax Law to finance its universal health care program, Cagayan de Oro Rep. Rufus Rodriguez said.

Rodriguez filed House Resolution 1591, seeking an updated report from concerned agencies on the implementation of the law, particularly the allocation of proceeds from sin taxes.

He said the law mandates the departments of Budget and Management (DBM), Health, Finance (DOF), Agriculture and the Philippine Health Insurance Corp. to submit to the oversight committee of Congress a detailed report on expenditures of the amount earmarked for universal health care.

“The law was enacted to cover millions of Filipinos in the government universal health care program and the promise that the government will construct public clinics and hospitals throughout the country,” Rodriguez said.

“After its enactment two years ago, many Filipinos are still not covered by the universal health care program of the government and many cities and provinces are still without public clinics and hospitals,” he said.

Rodriguez said it is incumbent upon the DBM and DOF to report to the House of Representatives and provide information on whether the goals of the law were met and where the money was utilized.

He said the revenues to be collected from the Sin Tax Law should also have been allocated and divided among the provinces producing burley and native tobacco.

“It should also be utilized for programs to promote economically viable alternatives for tobacco farmers,” he said.

Rodriguez said the Sin Tax Law, enacted on Dec. 18, 2012, was expected to produce additional revenue amounting to P34 billion.