Sapped by SAP

Amid ongoing measures to slow down the spread of a deadly flu-like contagion, many local government units (LGUs) have yet to deliver up to now the emergency cash subsidy intended to mitigate the economic dislocation of people due the continuing Luzon-wide lockdown period.

More than a month already of lockdown, the amounts ranging from P5,000 to P8,000 are supposed to be given out to an estimated 18 million Filipino households for two months.

Billed under the Bayanihan Heal As One Act, the national government was mandated to extend P200 billion worth of emergency cash subsidy to affected households for distribution in April and May. President Rodrigo Duterte signed into law Republic Act (RA) 11469, or the Bayanihan Heal As One Act on March 24. Among other “standby” powers granted under RA 11469, this law authorized the Chief Executive to re-align the 2020 budget to bankroll the emergency cash assistance under the so-called Social Amelioration Program (SAP).  

President Duterte informed the lawmakers that the national government has pooled P246.28-billion in savings out of discontinued programs, activities and projects and abandoned special purpose funds under the 2020 budget. 

Faced with projected revenue collection shortfall due to the economic impact of the COVID-19 crisis, Budget Secretary Wendel Avisado has ordered all Executive Departments and other agencies of the national government to impound 35 percent of their programmed appropriations under the 2020 budget that would  become “savings” from which the President could use as cash on hand.

The SAP cash subsidies were to be downloaded especially to the poorest of the poor and most vulnerable sector affected by the lockdown. As approved by the 18th Congress, the emergency cash relief would be distributed directly by the LGUs to the intended beneficiaries identified by this law.

But when complaints that certain LGUs were taking too long to implement the SAP due to politics and the usual bureaucratic red tape, President Duterte decided to designate the Department of Social Welfare and Development (DSWD) as administrator of the funds. In doing this, President Duterte cited the DSWD – as the conduit of the SAP – can use its existing mechanisms in the distribution of the Pantawid Pamilyang Pilipino Program, or 4 P’s.

In the monitoring done by the Department of Interior and Local Government (DILG), it was found out that only 25.4 percent of the SAP funds have been so far distributed by the LGUs all over Luzon. Presumably, DILG Secretary Eduardo Año, as a member of the IATF-EID, has submitted already this monitoring report to the President.

This DILG report on the SAP distribution is a very telling indication of a very serious problem. It could set in disarray the national government’s anti-COVID campaign effectively being done through the lockdown.

With the looming extension of the lockdown, the slow distribution of SAP funds to its intended beneficiaries could trigger social unrest if not corrected sooner by the national government.

A week before it lapsed last April 14, President Duterte extended for another two weeks the enhanced community quarantine (ECQ). Now, there is likelihood the ECQ would be prolonged with still increasing number of cases in our country from the 2019 coronavirus disease (COVID-19) infection.

To avert a potential economic disaster, the President’s economic advisers were recommending the reopening of certain manufacturing activities without unnecessarily compromising the safety and health of the greater majority of Filipino people. Health and medical experts earlier consulted by the President cautioned against abrupt lifting of the ECQ without the mechanisms prescribed by the World Health Organization (WHO) for COVID-affected countries.

In a virtual presser yesterday, DSWD Undersecretary Glen Paje reported the DSWD had already downloaded more than P75.7 billion to 1,456 LGUs all over the country as of last Wednesday. According to Paje, the DSWD already tallied more than 5.7 million recipients of P27.9 billion of the SAP funds so far distributed.

This is broken down into the 3.7 million 4Ps family beneficiaries with Land Bank of the Philippines cash cards who were immediately given the SAP dole-outs thru their cash cards; the more than 2 million low-income, non-4Ps beneficiaries, and the more than 40,000 public utility vehicle and transport network vehicle drivers in the National Capital Region, who were all tagged as recipients of the SAP emergency cash subsidy.

Paje cited the DSWD continues to closely coordinate with DILG to facilitate the implementation of the SAP program. He conceded the slow payout of the SAP subsidy in the first month. He warned though LGUs who will fail to complete a proper distribution of the first tranche of the SAP emergency cash subsidy they will not get the second tranche of the subsidy for the month of May.

The LGUs are mandated to submit a liquidation report on their distribution of the first tranche of the SAP dole outs for the month of April. Once they finish the distribution, non-submission of liquidation report will prevent the DSWD from releasing the funds for the second tranche of the subsidy for the month of May. He likewise reminded the LGUs have full responsibility for the correct distribution and disbursement of the funds in compliance with the existing audit and accounting rules and regulations of the Commission on Audit.

President Duterte is still struggling to find a balance between “buhay at hanapbuhay,” or saving lives and keeping the livelihood of the Filipino people, according to presidential spokesman Harry Roque. To this end, Roque disclosed President Duterte is considering all available information and data before deciding on whether to adopt a modified lockdown.

We have a Filipino saying: “Aanhin pa ang damo kung patay na ang kabayo.” If the emergency cash subsidies are too slow in coming, the ECQ might be over even before the SAP reach the people sapped by dire need of economic aid from the government. Or worse, the intended beneficiaries have already died of COVID-19.