Monday, September 16, 2013

House Resolution No. 298, at long last, filed!


After weeks of discussions and debates, the much awaited House REesolution 298 was filed by the Makabayan Coalition representatives in the Lower House BAYAN MUNA Representative Neri Colmenares, GABRIELA Women’s Party Representative Luz Ilagan, ACT Teachers Party-List Representative Antonio Tinio, GABRIELA Women’s Party Representative Emmi de Jesus, ANAKPAWIS Representative Fernando Hicap, KABATAAN Representative Terry Ridon, and BAYAN MUNA Representative Carlos Isagani Zarate




Republic of the Philippines
HOUSE OF REPRESENTATIVES
Batasan Hills, Quezon City

SIXTEENTH CONGRESS
First Regular Session


House Resolution No. 298


Introduced by
BAYAN MUNA Representative Neri Colmenares,
GABRIELA Women’s Party Representative Luz Ilagan,
ACT Teachers Party-List Representative Antonio Tinio,
GABRIELA Women’s Party Representative Emmi de Jesus,
ANAKPAWIS Representative Fernando Hicap,
KABATAAN Representative Terry Ridon,
and BAYAN MUNA Representative Carlos Isagani Zarate



RESOLUTION
STRONGLY URGING THE CONGRESS AND THE PRESIDENT TO RESPOND TO THE PUBLIC CLAMOR FOR THE ABOLITION OF THE PORK BARREL SYSTEM, ITEMIZE LUMP SUM FUNDS AND ALLOCATE THESE TO BASIC SOCIAL SERVICES, SUBSTANTIAL SALARY INCREASES FOR GOVERNMENT EMPLOYEES, AND JOB CREATION AND FOR OTHER PURPOSES STATED HEREIN 

WHEREAS, the nation is outraged with the expose of the massive pork barrel scandal in which at least P10 Billion of Priority Development Assistance Fund (PDAF) of five senators and 24 congressmen were channelled to Janet Lim-Napoles’s bogus non-government organizations (NGOs) for ghost projects and the host of abuses of PDAF as revealed by the Commission on Audit (COA) in its Special Audit Report 2007-2009;

WHEREAS, PDAF, a Special Purpose Fund (SPF) subject to the discretion of the President with regard to its release to individual legislators and that of the legislators’ with regard to its proceeds, is but a small portion of pork barrel and lump sum discretionary funds in the national budget;

WHEREAS, according to University of the Philippines Professor Leonor Briones, former head of the national treasury, the President has far bigger pork barrel and lump sum discretionary funds including but not limited to the P310 Billion Special Purpose Funds; P132 Billion “Malampaya funds”; P2.6 Billion remittances by Philippine Amusement and Gaming Corporation (PAGCOR) to the President’s Social Fund; and the P12 Billion Motor Vehicle Users’ Charge fund;

WHEREAS, aside from PDAF, presidential pork barrel or lump sum funds have also been used for political patronage, bribery, and corruption such as the P20 Billion Malampaya fund scam being investigated by the COA, the questionable transactions involving hundreds of millions of PAGCOR funds under both Genuino and Naguiat administrations, and the illegal use of hundreds of millions of pesos of intelligence funds stripped from Philippine Charity Sweepstakes Office (PCSO);
WHEREAS, under the Aquino's presidency, some P280 Billion of unobligated and unreleased funds and over-all savings of various departments and agencies have been centralized and realigned subject to the President's discretion, thus, making them another form of pork barrel/lump sum in the hands of the President; DBM Circular 541 issued by Sec. Florencio Abad mandates the impoundment by the President of the unobligated funds of departments and government agencies in the middle of the year;

WHEREAS, pork barrel system is a system of allocating and disbursing public funds to perpetuate political patronage and is a massive source of corruption;

WHEREAS, the President is the biggest holder and dispenser of pork barrel acting as patron of favored government officials, politicians, influential persons, and other groups and is using the pork barrel system to control Congress and buy votes; the President’s hoard of pork and lump sum funds dwarfs that of the Vice-President, senators and congressmen, and other elected and appointed officials of various government agencies and units;

WHEREAS, President Aquino, instead of discarding the pork barrel and lump sum appropriations, has substantially increased it in the national budget; aside from the Special Purpose Funds, he increased five-fold Arroyo’s conditional cash transfer program to P62.6 Billion and introduced new forms such as the P20 B bottom-up budgeting projects, P7 B Payapa at Masaganang Pamayanan (PAMANA) program, and at least P4.8 Billion Public-Private Partnership funds;

WHEREAS, widespread protests have erupted, like in the Million People March on 26 August 2013 when hundreds of thousands of people showed up in Luneta and in other places nationwide and abroad to express their collective wrath against the massive plunder of public funds through the pork barrel system in the midst of unmitigated poverty, increased unemployment, and high costs of and extreme shortages in education, health, housing, and other basic social services;

WHEREAS, the people’s intensifying clamor is to abolish the pork barrel system, not just PDAF but all forms of pork barrel of the Congress, the President, and the various government agencies and rechannel the said funds to basic social services, substantial salary and wage hikes, and job creation;

WHEREAS, studies of progressive party-list groups identified at least P927.14 Billion of pork barrel and lump sum appropriations that must be (1) rechanneled to basic social services, government employees salary hikes, and job creation and (2) itemized for purposes of instituting transparency and accountability; to wit:







SOURCES OF PORK BARREL FUNDS
Amount in Billion Pesos
SUB TOTAL
PROPOSED ACTION
I.  PDAF


25.24
Abolish; rechannel to BSS/GE
II. President/Executive/Other Pork Barrel

921.30

1
Off-budget accounts*

147.87
Amend relevant laws

Malampaya funds
132.00

Transfer to GF subject to congressional appropriations; fund renewable energy and BSS/GE

President's Social Fund
2.40

Transfer to GF; rechannel to BSS/GE

Motor Vehicle Users’ Charge
12.00

Transfer to GF; rechannel to BSS/GE and subsidy to farmers

CHED—Higher Education Development Fund
1.47

Transfer to SUCs' budget; itemize
2
Special Purpose Funds

173.50


Budgetary Support to GOCCs
46.69

Itemize

Allocation to LGUs
19.70

Transfer to RB; rechannel to BSS/GE

Support to Infrastructure
14.00

Transfer to RB; rechannel to BSS/GE

Feasibility Studies Fund
0.40

Transfer to RB; rechannel to BSS/GE

School Building Program
1.00

Transfer to DepEd; itemize

E-Government Fund
2.50

Transfer to RB (DOST); itemize

Miscellaneous Personnel Benefits Fund
80.71

Transfer to RB; return to departments

Calamity Fund
7.50

Transfer to RB (NDRRMC); review amount

Contingent Fund
1.00

Transfer to RB; rechannel to BSS/GE
3
Regular budget (Pork/Lump sum of various agencies)

235.28


DSWD – Conditional Cash Transfer
62.60

Rechannel to BSS/GE

PAMANA (various agencies)
7.22

Rechannel to BSS

Intelligence funds (various agencies)
0.80

Rechannel to BSS

DOH—Additional PhilHealth budget
22.68

Rechannel to DOH hospitals MOOE

DPWH—Right of Way
2.51

Itemize/rechannel to BSS/GE

OVP—Implementation of priority programs and projects
0.20

Rechannel to BSS/GE

SOURCES OF PORK BARREL FUNDS
Amount in Billion Pesos
SUB TOTAL
PROPOSED ACTION
II. President/Executive/Other Pork Barrel



DPWH—PPP Strategic Support Fund
4.98

Rechannel to BSS/GE

DPWH—Feasibility Study/Project Development
3.01

Rechannel to BSS/GE

NEDA—PPP Capacity Building Project
5.00

Rechannel to BSS/GE

DOTC—PPP Strategic Support Fund
5.00

Rechannel to BSS/GE

DA—Farm to Market Roads
12.00

Rechannel to BSS/GE
DA National Irrigation Projects
a.       Jalaur(Iloilo)
b.      Balog-Balog (Tarlac)
c.       Casecnan(Nueva Ecija)

1.00
1.10
1.30
Rechannel to BSS
DA Agriculture Competitiveness Enhancement Fund (ACEF)
1.00
Rechannel to BSS
DA National Program for Rice, Corn, High Value Crops and Livestock (AgriPinoy Programs)
11.70
Rechannel to BSS
DAR Tulay ng Pangulo para sa Kaunlarang Pang-Agraryo
2.10
Rechannel to BSS
DAR Support Services and foreign-assisted projects for the PBD Component of CARP
6.30
Rechannel to BSS

DepEd—Various items for school building
44.63

Itemize

Various Infrastructure Including Local Projects
11.30

Itemize

DSWD—Sustainable Livelihood
2.50

Rechannel to BSS/GE

DOH—Health Facilities Enhancement Program
13.30

Itemize

CHED lump sum for SUCs
5.00

Return to SUCs
PAMANA
7.22
Rechannel to BSS
Intelligence Funds
.83
Rechannel to BSS
4
Unprogrammed Funds

83.87


Budgetary Support to GOCCs
0.36

Rechannel to BSS/GE

Support to Foreign-Assisted Projects
16.12

Rechannel to BSS/GE

General Fund Adjustment
1.00

Rechannel to BSS/GE

Debt Management Program
25.00

Rechannel to BSS/GE

Risk Management Program
30.00

Rechannel to BSS/GE

People's Survival Fund
0.50

Rechannel to BSS/GE

AFP Modernization Fund
10.89

Rechannel to BSS/GE
5
Unused Appropriations
280.78
Unreleased  Appropriations
38.12
Return to GF; subject to Congressional appropriation
SOURCES OF PORK BARREL FUNDS
Amount in Billion Pesos
SUB
TOTAL
PROPOSED ACTION
II. President/Executive/Other Pork Barrel


Unobligated  Allotment
178.06
Return to GF; subject to Congressional appropriation
Overall Savings
64.60
Return to GF; subject to Congressional appropriation

 GRAND TOTAL

946.54

PDAF
25.24
Rechannel to BSS/GE total amount (PDAF & Presidential/Executive/Other Pork Barrel) 
277.51
Return to GF; subject to Congress appropriation
427.18
Itemize total amount 
123.4
Return to Department (MPBF) 
80.71
Review amount; allocate to NDRRMC and BSS 
7.50
Return to SUCs 
5.00
GRAND TOTAL 
946.54
*Legend: BSS - basic social services; GE - salary hikes for government employees; RB - Regular Budget; GF – General Funds

WHEREAS, upon broad consultations with the concerned sectors of society, progressive party- list representatives have come up with the following proposals to rechannel pork barrel funds and itemization of lump sum funds to enable the House of Representatives to truly exercise its power of the purse;

I. PROPOSED RECHANNELING OF PORK BARREL
A. Rechanneling of Congressional PDAF

Subtotal



1. Health

11.44
a.    Additional MOOE for free medicines, supplies, and laboratory and other medical procedures
6.60

b.   Additional 21,013 nurses (half of the estimated shortage)
2.72

c.    Additional 3,268 doctors
2.12




2. Basic Education

10.50
a.    Additional MOOE of schools (22% of total MOOE per GAB)
6.16

b.   Half of the estimated shortage of textbooks & instructional materials
3.50

c.    865,000 chairs and instructional facilities
0.84




3. SUCs

3.30
Restore budgets of 79 SUCs which will incur cuts in 2014
3.30




TOTAL  PDAF

25.24









Subtotal 
B. Rechanneling of President and other pork barrel/lump sums


1. Basic Education
52.82
a.    Produce the other half of the estimated shortage of textbooks & instructional materials
3.50

b.   Build 20,000 classrooms (to address the incremental requirements for SYs 2013-2014 and 2014-2015)
16.00
c.    Build 153,705 units of water and sanitation facilities
10.30

d.   Additional MOOE (with B.1. above, to double the proposed allotment)
7.99

e.    Additional 10,000 Teacher II, Teacher III, and Master Teacher items (on top of 33,194 Teacher I items per GAB, minimum amount)
3.76

f.     Regularize 5,000 contractual teachers (rough estimate of locally and nationally paid contractuals)
 1.11
g.    Additional 4,665 non-teaching items (on top of the 1,200 per GAB)
0.70

h.   Funding for benefits under the Magna Carta for Public School Teachers and other benefits (for teachers in current inventory, those to be hired in 2014, those to be hired per this proposal, and others)
8.00
i.     Double the appropriations for “Implementation of the grant of cash allowance, hardship pay, ERFs, conversion to MT, reclassification of positions and payment of step increments”
2.35
j.     Teacher aides for education for persons with disabilities (including sign language interpreters)
0.22




2. Health
84.97
a.    MOOE for free medicines, laboratory, and services (from the increase in funds for PhilHealth)
22.68

b.   Regularize 4,379 midwives
0.85

c.    Additional 80,000 midwives
15.60

d.   Additional 21, 013 nurses (half of the estimated shortage)
5.45

e.    Regularization of 22,500 RN Heals nurses
6.20

f.     Build 25,026 barangay health stations
25.02

g.    Funding for benefits under the Magna Carta for Public Health Workers
8.00

h.   Rehabilitation of Existing One-Stop Women and Children Crisis Center in Regional Hospitals
0.06

i.     Construction of One-Stop Women and Children Crisis Center in DOH Hospitals
0.19

j.     Services Personnel for WCPUs (1 Physician, 2 Social Workers, 1 Psychologist, 1 Nurse) – in 32 hospitals
0.09

k.   Operating Expenses and Diagnostice Service Fees
0.83




3. SUCs
30.07
a.       Unapproved portion of SUCs’ budget request
25.30

b.      Additional 6,770 teaching items (half of estimated shortage of faculty, AY 2013-2014)
1.62

c.       Additional13,540 non-teaching items (based on 1:2 faculty-non-teaching personnel ratio of UP)
2.03









Subtotal
d.      Regularization of 4,169 part-time faculty (half of contractual faculty, AY 2012-2013)
1.00

e.       Scholarship Program for Agriculture Students
0.12
4. Government employees
70.00
Salary hike for all GE
70.00




5. Agricultural Sector – Exclusive for Legitimate Farmers & Fisherfolk organizations in the area
44.38
a.       Communal and small scale irrigation Projects
10.00

b.      Grants to farmers affected by liberalization (Cordillera, Nueva Ecija, Mindoro Occidental, Cavite, Batangas) and fisherfolks nationwide
5.00

c.       Credit support facilities without interest and collateral to farmers and fisherfolks
10.00

d.      Free non-GMO seeds, seedlings and planting materials to farmers
7.40

e.       Organic fertilizer and pesticides subsidy to farmers
4.58

f.        Subsidy for petroleum products used in production by farmers and fisherfolks
4.42

g.       Farm and fishing tools and implements
2.90




6. Free housing for urban poor families
10.00



7. Financial and legal assistance and repatriation fund for OFWs
10.00



8.  Social Pension Fund for Senior Citizens

22.00



SUB-TOTAL for Rechanneling of President and other pork barrel/lump sums

324.24



TOTAL FUNDS TO BE RECHANNELED

349.48

II. INTIAL LIST OF PROPOSED FUNDS FOR ITEMIZATION
REMARKS
A.     SPF - Budgetary Support to GOCCs
46.69
Itemize
B.     School Building Program
1.00
Transfer to DepEd; itemize
C.     E-Government Fund
2.50
Transfer to RB (DOST); itemize
D.    DA—Farm to Market Roads
12.00
Itemize
E.     DepEd—Various items for school building
44.63
Itemize
F.      Various Infrastructure Including Local Projects
11.30
Itemize
G.    DOH—Health Facilities Enhancement Program
13.30
Itemize
H.    DA—Irrigation Fund
5.10
Itemize



TOTAL FUNDS FOR ITEMIZATION
136.52


III. FUNDS TO BE RETURNED TO SPECIFIC AGENCIES
REMARKS
A.     SPF - Miscellaneous Personnel Benefits Fund
80.71
Return to department
B.     SPF - Calamity Fund
7.50
Allocate to NDRRMC and BSS
C.     CHED lump sum for SUCs
5.00
Return to SUCs



TOTAL FUNDS FOR RETURN
93.21


IV. FUNDS TO BE RECHANNELED TO GF AND SUBJECT TO CONGRESSIONAL APPROPRIATION
REMARKS
A.     Unreleased  Appropriations
38.12
Return to GF
B.     Unobligated  Allotment
178.06
Return to GF
C.     Overall Savings
64.60
Return to GF



TOTAL FUNDS FOR RETURN
280.78

                                              
NOW, THEREFORE, BE IT RESOLVED that the Congress abolish the entire pork barrel system by scrapping PDAF and all forms of congressional and presidential pork barrel and by removing presidential discretion over Malampaya funds, the remittances from PAGCOR and PCSO, MVUC funds, and all Special Purpose Funds and other lump sum appropriations and subjecting the same to Congress scrutiny and line item budgeting;

BE IT ALSO RESOLVED that the Congress enact a national budget that will truly serve the needs of the people, by rechanneling PDAF, Malampaya, PAGCOR, MVUC, CCT, PAMANA and PPP funds and other presidential pork to basic social services, substantial hikes in government salaries, subsidies to farmers and job creation as proposed above;

BE IT FURTHER RESOLVED, that Congress nullify DBM Memorandum Circular 541 on the impoundment of unobligated funds and remove from the President's discretion unreleased and over-all savings and subject the same to congressional appropriation and approval;

BE IT FURTHER RESOLVED, that recommendations, nominations and any other forms of entitlement for individual legislators and the executive department shall be prohibited and criminally proscribed;

BE IT ALSO RESOLVED that the Congress move to amend relevant laws governing off-budget accounts as enumerated above by abolishing presidential discretion over their disbursement and transferring them to the general fund for public and congressional scrutiny and approval; and

BE IT FINALLY RESOLVED that these funds be rechanneled to basic social services, increase of government salaries, job creation, and renewable energy.



Adopted,

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