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Wednesday, January 02, 2008

 

INSIDE CONGRESS
By Efren L. Danao
Congress’ power of the purse eroded

 
Not one but two laws of martial law vintage are gnawing away at the supposedly inherent power of Congress to appropriate. Besides Presidential Decree 1177 that ostensibly seeks to reform the budget process, another Marcos-era issuance, PD 1597, contributes to the continuing erosion of Congress’s power of the purse.

PD 1177 grants Malacañang the power to cut and realign items in the executive budget and provides for the automatic appropriation of debt services. With this power, the annual budget ceases to look like the one passed by Congress after so much hard work. Malacañang can refuse to release funds for projects it did not like, even if these are favored by congressmen or senators. With its automatic appropriation, the payment of debts often went higher than the amount pegged in the budget.

PD 1597, on the other hand, gives the President the authority to grant government employees allowances, honoraria and other fringe benefits. Malacanang has interpreted PD 1597 to mean that it can increase the salaries of those in government even without legislation.

In March 2007, President Arroyo issued Administrative Order 144 granting government employees a 10-percent hike in pay and a P1,000 increase in the monthly allowances for soldiers and policemen. It is noteworthy that before she issued the EO, the 2007 national budget pending before a bicameral committee had also recommended the same increase in pay and allowances. The EO appropriated P10.3 billion for the pay and allowances hike for 2007.

Budget Secretary Rolando Andaya Jr. defended the legality of AO 144, saying it is authorized under PD 1597.

President Arroyo is not the first president after Marcos to invoke PD 1597. President Fidel V. Ramos invoked it to increase the monthly allowance of those in government by P500, and by President Joseph Estrada in 1999 to increase the subsistence allowance for uniformed personnel.

Unfunded laws

Another graphic picture on the continuing erosion of Congress’s power of the purse is the big number of laws that could not be implemented for lack of funds. Sen. Loren Legarda recalled that when R.A. 8550, the Fisheries Code, was enacted in 1998, it required a funding of P1.6 billion.

“But since its enactment, not a portion of the required funding has been released,” she moaned.

Loren wondered why there is lack of urgency in implementing important pieces of legislation like the Fisheries Code, the People’s Investment Fund, the establishment of congressional, city and municipal libraries and barangay reading centers.

Sen. Chiz Escudero also cited Republic Act 9227 as one of the unfunded laws. The law grants additional compensation for justices, judges and all other positions in the judiciary with the equivalent rank of justices of the Court of Appeals and judges of the Regional Trial Court.

Sen. Juan Ponce Enrile, chairman of the Senate Committee on Finance, estimates that the total amount of legislative authorization in various laws passed by Congress for expenditure amount to P500 billion. He blamed lawmakers for passing laws without determining how to fund them.

“The government cannot allocate funds to programs provided for in laws that do not identify their funding source,” JPE stressed.

He said that Congress has to get the Bureau of Treasury to identify the source of funds to support statutory grants but if there are no funds available, the laws shall remain unfunded until the executive department provides them.

JPE pointed out that while authors of the statutes consider them as important projects for the government, the administration might decide things according to its perception of what society needs “given the limited resources of government and the need to prioritize and allocate funds for projects.”

Noynoy to clarify rules

Sen. Benigno “Noynoy” Aquino 3rd called to say that he intends to clarify when session resumes on whether the Senate can pass a House bill without a counterpart bill authored by a senator. I had twitted him on this issue when he rejected the consideration of a House bill resetting the barangay elections. He insisted, however, that Senate rules buttress his stand. He said he wants the Senate Committee on Rules to make a definitive stand on the issue to avert any future controversy.

Noynoy also justified his motion that JPE defer the consideration of the Civil Aeronautics Administration bill. He said that he had not studied the amendments introduced to the Malacañang-certified bill, and he could not vote intelligently on third and final reading without reviewing the amendments.

“I cannot vote on a bill sight unseen,” he told this corner.

While JPE rejected Noynoy’s motion, he agreed to reopen the period of amendments on the CAA bill. It was later approved on third and final reading. Incidentally, Noynoy is a member of the Senate panel to the bicam on the CAA.

efrendanao2003@yahoo.com

   
 

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