Duterte to ask for additional budget to fight COVID-19

MANILA, Philippines — President Duterte is asking Congress for a supplemental budget after the finance department admitted that funds might be stretched thin in the fight against the coronavirus disease 2019 (COVID-19) pandemic.

“We are confident that Congress will provide the necessary authority to the President,” Palace spokesman Harry Roque Jr. said yesterday.

Duterte said the government has enough funds, but not for long.

“Actually, what Sonny (Dominguez) is telling us is that there’s money for now, but the budget was crafted last year when there is no COVID-19 yet,” the President said, noting that respective agencies already have their allocations under the general appropriations act.

Finance Secretary Carlos Dominguez III, during a meeting last Thursday, said the government has tapped P352.7 billion under the P4.1-trillion 2020 budget to fight the pandemic in the country.

Duterte said the government might be cash-strapped since there are no taxes and cash inflow so far.

To augment the government’s budgetary needs, Dominguez said there are savings that have been tapped while the government reached out to the Asian Development Bank and the World Bank for loans.?Dominguez said he is not keen on using the funds intended for the Build, Build, Build program, which is aimed at creating jobs and business opportunities.

Senate President Vicente Sotto III said both chambers of Congress are mandated to resume session on May 4 as written in the legislative calendar, adding that the Senate is ready to tackle any proposal from Malacañang to pass a supplemental budget.

“At this point, everything is in the hands of the executive department. We have not received any request for a supplementary budget. We will be ready to do our part on the 4th of May,” Sotto said.

Sen. Sonny Angara said a supplemental budget is meant to meet the challenges posed by the virus, which were unknown when Congress passed the 2020 budget “and we acknowledge that the President may need some flexibility to react to future contingencies.”

“Given the low distribution rate of 20 percent for cash assistance, perhaps government can also focus on how to speed this up going forward,” he said.

The Senate may use teleconferencing again when it resumes session next month.

The other day, the Department of Budget and Management (DBM) impounded 35 percent of the programmed appropriations under the 2020 General Appropriations Act of all government agencies and other agencies of the national government.

Budget Secretary Wendel Avisado also said that at least 10 percent of the total released allotments to concerned entities for Maintenance and Other Operating Expenses (MOOE) and capital outlays shall no longer be available for obligation.

“No allotment shall be released for new programs, projects, activities including Congress-introduced increases which are not likely to be implemented within the current calendar year, FY 2020,” his order read in part.

The circular also covers state universities and colleges (SUCs) and other offices of the national government, government-owned or controlled corporations (GOCCs) receiving budgetary support.

To implement the 10 percent discontinuance, Avisado ordered the agencies to forego plans to purchase any type of vehicles, except ambulance and those required by the military and uniformed personnel for the direct exercise of their public safety functions.

During the President’s report to Congress last week, Duterte said the government has pooled P246.28 billion in savings out of discontinued programs, activities and projects and abandoned special purpose funds.

To save more, Avisado also deferred the start-up construction of government buildings and repairs and renovation works as well as barred all foreign travel except for ministerial meetings and scholarship/training that are grant-funded or undertaken at no cost to the government. – With Paolo Romero

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