Pandemic fund releases hit P389.1 billion as of August — DBM

MANILA, Philippines — Over P380 billion has so far been released to state agencies to fund programs responding to the coronavirus disease-2019 (COVID-19) pandemic, budget department data showed.

As of August 28, a total of P389.1 billion was deemed allotted to agencies for their COVID-19 efforts since March when the outbreak erupted into a pandemic. 

Of that amount, P359.1 billion was already issued cash allocations allowing the remittance of funds from the Bureau of the Treasury to the respective bank accounts of agencies.

The funds represented outlays carved out of the P4.1-trillion national outlay for the year, which was crafted and approved before the pandemic struck. As a result, the budget agency was forced to divert some budgets from agencies to COVID-19 response programs, asking legislators to enact the Bayanihan to Heal As One Act last March to do so without legal hurdles.

But the law already expired last June 22, and the government is so far awaiting the passage of its successor, Bayanihan to Recover As One, which is now just awaiting President Rodrigo Duterte’s signature.

Without an enabling law, any budget transfers by the Executive department from one agency to another, and one program to another, would be unconstitutional. In an earlier interview, Budget Undersecretary Laura Pascua said that sans a legal cover, the budget agency carefully realigned funds which has general definitions enough to fit pandemic response projects.

In a briefing with Palace reporters Tuesday afternoon, Budget Secretary Wendel Avisado said his department is prepared to implement the so-called Bayanihan II as soon as it is passed. Under the measure, P140 billion in new funding is topped up on the existing outlay.

“We have budget that can be used in times of need,” Avisado said in Filipino.

So far however, budget data showed the social welfare department, in-charge of distributing cash aid to poor families hit by the pandemic, cornered much of COVID-19 allotments at P211.6 billion. 

The agency was followed by the finance department, which implemented its own subsidy program to displaced small firm workers, with P88.1 billion, and the health department with P49 billion.

From March to August, the bulk of coronavirus allotments amounting to P102 billion were charged against special purpose funds, or lump sum allocations in budget that do not get funneled into specific programs and therefore can fund different projects. 

Of that amount, P96.7 billion were from unprogrammed appropriations, P4 billion came from the calamity fund, P749 million from standby funds for personnel hires and benefits, and P553.1 billion from contingent funds.

Meanwhile, P266.5 billion of total COVID-19 allotments was sourced from discontinued projects by agencies, data showed.