MANILA–Department of Budget and Management (DBM) Secretary Mina F. Pangandaman emphasized that unprogrammed appropriations in the P5.768 trillion budget for fiscal year (FY) 2024 are constitutional amid discussions challenging its legality.
The Budget Secretary expressed that the administration welcomes any petition that would question the constitutionality of the use of unprogrammed appropriations as it demonstrates that democracy in the country is alive and at work.
“That’s democracy at work,” Sec. Mina expressed. βWe respect and acknowledge the right of any individual, and/or groups to file petitions in our courts to address the issue since it is the Judiciary that has the ultimate authority to make determinations on questions of law, including the Constitution,β the Budget Secretary added.
At the Kapihan sa Manila Bay hosted by veteran journalist Marichu Villanueva, the Budget Secretary said that laws are written documents that may be subject to interpretation because of gray areas. “Baka from their [lawmakers’] end, there are still gray areas.
If there are petitions at the Supreme Court, we welcome it. At the end of the day, malalaman natin kung ano ba talaga. From our end, we think it is constitutional. It may be due to differences in opinion and interpretation,” Sec. Mina said.
The DBM has earlier issued a separate statement explaining that unprogrammed appropriations are standby funds, outside the approved government fiscal program and can be used should the government encounter unforeseen but important expenditures.
According to the Budget Secretary, the unprogrammed funds are not included in the P5.768 trillion FY 2024 National Budget by Appropriation Source, given that it refers to standby appropriations. Sec. Mina noted, “Unprogrammed appropriations are not automatically allocated, and can only be released if several funding conditions are met.β
The DBM Secretary underscored that these conditions include when the government, through the Bureau of the Treasury, is able to collect excess revenue in the total tax revenues or any of the identified non-tax revenue sources from its revenue target, or new revenue from new tax or non-tax sources, or should foreign or approved financial loans/grants proceeds are realized.
She added that should there be new or excess revenues that may trigger the availability of the unprogrammed funds, government agencies are required to submit the necessary documentary requirements before access to the standby funds is given. Such conditions ensure that spending stays within allowable limits.
