MANILA, Philippines — A total of P40.2 billion, out of the P49.1 billion total allocation in Overseas Development Assistance (ODA) funds for flood control projects in 2024 and 2025, have been lost to budget “diversions,” an independent lawmaker revealed over the weekend.
Davao City Rep. Isidro Ungab said these ODA funds have been “slashed and removed” from the National Expenditure Program of the Marcos government for two fiscal years: 2024 and 2025.
He said allocations for the two succeeding years included “11 large-scale, high-impact ODA projects with a combined allocation of P21.6 billion in 2024 and P27.5 billion in 2025,” or a total of P49.1 billion for two consecutive years.
Ungab said the P21.6 billion allocation for 2024 was carried into the General Appropriations Bill, but was cut by P5.49 billion during the House of Representatives’ deliberations on third reading, and “later completely deleted” during the Senate and bicameral conference stages.
The former deputy speaker during Rodrigo Duterte’s presidency disclosed that the P27.5 billion allocation for 2025 was “slashed by P18.6 billion in the House-approved version, with only P8.9 billion retained.”
Ungab said the final General Appropriations Act (GAA) for 2025 set aside P9.2 billion, representing a 67 percent reduction from the original proposal.
He said these projects were “secured signed loan agreements endorsed by the Development Budget Coordination Committee and backed by sovereign guarantees, and designed to strengthen flood risk management, enhance climate resilience, and protect economic centers and vulnerable communities.”
Ungab said this is mostly the reason why he wanted Ako Bicol party-list Rep. Zaldy Co – who is reportedly seeking medical treatment in the US – to explain what really happened, and why these “significant budget cuts and eventual removal of major ODA-funded flood control projects” took place.
“As a former chairman of the committee on appropriations, I know the importance of carefully planned and vetted OD projects. The rationale for deleting or reducing these flagship projects must be explained,” Ungab said.
The Mindanao congressman also clarified that the reductions in the General Appropriations Bill were drawn up by the House small committee during third reading, while the final deletions and changes in the approved GAA came from the bicameral conference committee deliberations.
Ungab underscored that the “diversion” of funds had direct consequences on national flood management efforts and warned against undermining foreign-assisted programs that have gone through extensive planning and international agreements.
Flood-prone provinces ‘ignored’
House Minority Leader Marcelino Libanan complained that while the national government earmarked billions of pesos for provinces not prone to flooding, it turned out that budget allocations for “most flooded provinces” have been “ignored.”
“These provinces are identified by the government’s own geohazard mapping and assessment. How can we spend nearly one-third of DPWH’s (Department of Public Works and Highways) P880-billion budget on flood control, yet leave out many of the areas that are most often underwater?” Libanan asked.
He warned that the P250.8-billion allocation for flood control projects in the 2026 national spending program has “missed” the hardest-hit provinces, citing as basis misplaced projects in Eastern Samar.
During the House committee on appropriations hearing last week, Libanan noted that 12 of the country’s 20 most flood-prone provinces are not adequately covered under DPWH’s flood control allocations in the proposed 2026 budget.
Based on mapping, the top 20 flood-prone provinces are Maguindanao, Cagayan, Pangasinan, Isabela, Nueva Ecija, Palawan, Pampanga, Agusan del Sur, Zamboanga del Sur, Iloilo, North Cotabato, Leyte, Bulacan, Northern Samar, Tarlac, Capiz, Zambales, Davao del Norte, Camarines Sur and Western Samar.
Libanan also questioned the placement of certain DPWH projects in his home province of Eastern Samar, pointing to a P3-billion rock netting project in San Rafael, Taft, despite the area having “no history of landslides because of its hard rock formations.”
Public Works Secretary Vince Dizon acknowledged Libanan’s concerns and committed to a science-based review of flood control allocations.
‘Cut DPWH budget’
Senate President Francis Escudero yesterday said the DPWH’s P250.8-billion request for flood control projects eats up nearly one-third of the agency’s P881.3-billion total budget, dwarfing appropriations for classrooms, new roads and bridges.
“Only P13 billion are for new classrooms, then the rest of the funds are for flood control. It’s even bigger than the funds for a new road, and five times that of building a new bridge,” Escudero said.
The Senate President noted that a comprehensive flood management program funded by the Asian Development Bank (ADB) is set for rollout next year, making the massive appropriation for 2026 unnecessary at this point.
“It would be more practical and beneficial to first cut the funds allocated for flood control, and redirect it to the education, health and food production sectors while we wait for the ADB-funded flood control master plan,” he said.
“Reducing the fund of the DPWH is to reduce the possibility of corruption,” he added.
Under the budget proposal endorsed by the Department of Budget and Management, the DPWH is seeking P108 billion for asset preservation, P182.5 billion for network development, P52 billion for bridges, P15.4 billion for local programs, and P167.8 billion for convergence and special support.
Anti-corruption bills
Sen. Erwin Tulfo is set to file 10 legislative measures today, designed to strengthen safeguards against corruption in government amid public outrage over the alleged misuse of public funds.
Tulfo said his eighth batch of bills comes as the Senate continues its probe into anomalous flood control projects, and as Congress scrutinizes the proposed P6.793-trillion national budget for 2026.
Among the measures Tulfo intends to push are amendments to the Anti-Graft and Corrupt Practices Act (RA 3019) and the Contractors’ Licensing Law (RA 4566).
As vice chair of the Senate Blue Ribbon committee, Tulfo questioned the law requiring that only contractors can sit on the Philippine Contractors Accreditation Board (PCAB), saying it creates a conflict of interest in the regulation of the construction industry.
“RA 4566, or the ‘Contractors’ License Law,’ which created the PCAB, requires that only contractors can sit on its board,” Tulfo said. “How can they monitor, oversee, and regulate construction projects in the country, whether these are done properly, are not substandard, or are not ghost projects – if they themselves are also contractors? Clearly, there is a conflict of interest here!”
He will also introduce the Government Employees and Officials’ Foreign Travel Regulations Act, aimed at stopping erring officials from using travel authority to escape accountability.
Tulfo said he would also refile the Freedom of Information Bill, expanding its scope to cover all government offices, including back-end operations across agencies.
Also on his list is the Budget Modernization Act.
To address what he described as the political roots of corruption, Tulfo will propose amendments to the Party-list System Act. He also plans to file a resolution to revisit the Anti-Red Tape Authority Law, which he said leaves loopholes for abuse.
Tulfo said he intends to co-author Senate Minority Leader Vicente Sotto III’s bill creating an independent people’s commission to probe anomalies in infrastructure projects.
Tulfo said he will push for the creation of the Masterplan for Infrastructure and National Development Council. — Neil Jayson Servallos, Miriam Desacada