Antidote to DAP-inspired abuses: FOI

By Ellen T. Tordesillas

Budget Secretary Florencio "Butch" Abad submits 2015 budget to Congress.

Budget Secretary Florencio “Butch” Abad submits 2015 budget to Congress.

The P2.6 trillion 2015 budget submitted by Malacanang to Congress will institutionalize the practices in the Disbursement Acceleration Program (DAP) which the Supreme Court had declared unconstitutional.

In the 2015 budget proposal, “savings” is now defined as portions of allocations that “have not been released or obligated” due to “discontinuance or abandonment of a program, activity or project for justifiable causes, at any time during the validity of the appropriations.”

With this definition, President Aquino and Budget Secretary Florencio Abad can hijack funds allocated to projects under the 2015 General Appropriations Act as what they did with DAP the past three years.

The new definition of “savings” differed from what was in the 2011, 2012 and 2013 GAA which referred to funds that are “still available after the completion, or final discontinuance, or abandonment of the work, activity or purpose for which the appropriation is authorized.”

Both chambers of Congress are dominated by Aquino’s allies so it’s expected that the new definition of savings would be adopted. Aquino and Abad can then juggle the funds just like they did with DAP and not fear of being charged with violation of the law.

Malacañang’s new definition of savings undermines the power of Congress over the purse as stated in the Constitution and perverts the system of checks and balance which is the essence of democracy.

The Center for National Budget, a private organization dedicated to empowering Filipinos with knowledge of the budget said “The DAP perpetuates a dysfunctional, illegal and unconstitutional budget practices and mechanisms, allows the concentration of extraordinary powers to a few individuals way beyond that the Constitution contemplates and stipulates.”

“Disallowing the DAP is a step forward for transparency and accountability,” the CNB further said.
Malacañang’s claim of transparency and accountability has been rendered hollow by this attempt to legalize and passing on as beneficial what has been exposed as a sinister practice.

Lawyer Joel Butuyan of Roque and Butuyan Law Office sees danger in the institutionalization of DAP practice.
In his Facebook post, Butuyan said, ““My beef with the Aquino administration’s attempt to institutionalize the DAP is that it represents a shortsighted view of what’s good for the country. The DAP gives the President enormous discretion in spending the people’s money. By wanting the Supreme Court to engrave in stone this Presidential discretionary power, the Aquino administration any president — good, bad, evil, witch, gremlin, e.t., mangkukulam, kapre, maligno — now and forevermore wants any to enjoy this power. To plagiarize Conrad De Quiroz, there lies the rub.

“The Aquino administration is only myopically looking at what glorious good it can do during its two remaining years in office, if allowed unfettered use of DAP powers. It is not thinking what horrendous damage it can do to the country under subsequent Presidents with black achy breaky hearts.”

Rep. Neri Colmenares of the Bayan Muna partylist group said if Malacañang’s new definition of savings is adopted in the General Appropriations Act for 2014, then savings “may be redefined reviewed or adjusted on a yearly basis.”

This will open the floodgates to tampering of the approved budget. That would be supremely ironic for a president who made the fight against corruption his administration’s battle cry.

Butuyan said, “The Aquino administration fails to realize that a lot of the reforms it is doing are character-dependent reforms. Anti-corruption campaign, infrastructure projects, stringent tax and customs collection etc. are all character-dependent reforms. The success and impact of these reforms depend entirely on the character of the sitting President. A kupal and kapalmuks President gets elected to power and he/she can completely reverse course and bring back the cabaret dancing old days of “what are we in power for?”

With constitutional check and- balance compromised, the burden now has to be shouldered by a vigilant public. This is where the Freedom of Information law is crucial.

Butuyan said, ““If the President wants his character-dependent reforms to continue beyond the years and decades of his term, he must arm the people with the power to scrutinize every nook and cranny of governmental action. Allow the glare of public scrutiny to illuminate even the deep recesses of government.”

With only two years left of the Aquino presidency, Malacañang finally included in its list of priority measures PNoy’s campaign promise of a Freedom of Information law.

Butuyan said: “If Aquino wants to have a lasting legacy, the passage of the FOI will be the history-defining landmark of his Presidency. The FOI law will have the impact of an EDSA revolution. With the passage of the FOI law, the people will no longer have to necessarily embark on a revolution to make government accountable. The people will only have to avail of the FOI mechanism in order to demand information, demand documents, and make the government accountable for its actions.”

Past experiences tell us that the applause should be held until the President Aquino signs the FOI law. His media bashings betrayed a lack of appreciation of the role of press freedom in good governance and in a vibrant democracy.

Butuyan further said, “ If the President does not work mighty hard for the passage of the FOI law, it is clear that he only wants bragging rights, an ego trip — ‘This is how clean and good I was during my term, and this is how bad we are now” —- and not legacy.

“Move heaven and earth to pass the FOI law, Mr. President. You have to move it, move it . . . . you have to move it, move it . “

Pass FOI, hold corrupt officials accountable, business groups urge PNoy

By Julius D. Mariveles

Local and foreign businessmen called on President Benigno S. Aquino III to ensure the passage of a Freedom of Information Law before his term ends and to ensure the prosecution of past and present public officials who are proven to have committed corruption “without fear or favor.”

These were among the six recommendations of the Philippine Business Groups (PBG) and the Joint Foreign Chambers (JFC) in a letter sent to President Aquino a week before the President delivered his State of the Nation Address. While they pointed out that the PBG-JFC recognizes the administration’s drive to stamp out corruption that has “indeed borne fruit” and contributed to the country’s “better-than-expected economic performance and competitiveness rankings,” there is still a need to “push the campaign for good governance.”

The business groups were reiterating the results of a series of dialogues they conducted last year in helping craft a list of key issues and proposed measures that they said will help achieve the “shared vision of inclusive growth” through generating jobs, reducing poverty, and global competitiveness. The result of these consultations was sent to the President last year.

The key issues that the consultations sought to address were the following: institutionalizing integrity and good governance, achieving inclusive growth, ensuring energy security and price competitiveness, increasing foreign investments, and addressing smuggling.

A sugarworker carries chopped firewood after cutting and loading canes in one of the sugar plantations in Negros Occidental. The business groups have noted that the agriculture industry is still underperforming in the Philippines | Photo by Julius D. Mariveles

A sugarworker carries chopped firewood after cutting and loading canes in one of the sugar plantations in Negros Occidental. The business groups have noted that the agriculture industry is still underperforming in the Philippines | Photo by Julius D. Mariveles

Integrity and good governance was the first item in the recommendations of these groups as they pointed out that despite the Aquino administration’s best efforts to safeguard the use of public funds “recent developments demonstrate that corruption still rears its ugly heads in the hidden nooks and crannies of the bureaucracy and government transactions.”

This, they said, “highlights the need and value of an engaged citizenry serving as government’s partner in guarding against corruption,” as they took note of the President’s commitment during one of the Daylight Dialogues to pass the FOI before his term ends.

They also welcomed Aquino’s pronouncement that he will be issuing an Executive Order to institutionalize a mechanism for public-private cooperation. They also urged other government agencies to follow the lead of the Department of Public Works and Highways in insisting that companies who wish to bid for government contracts should sign an Integrity Pledge and submit themselves to “doing clean and ethical business.”

They also called on Aquino to closely coordinate with the judiciary and legislative branches to address what they called as issues of “competence, efficiency, and integrity in the justice system.”

On the issue of inclusive growth, the groups said that while the economy has rapidly expanded under Aquino, the impact of reducing unemployment and underemployment “has yet to felt by our people” as they urged the chief executive to focus on sustainable agriculture and responsible mining that will “substantially assist in our shared aim of inclusive growth.”

Mining is being opposed by various sectors in the country, including Church-based groups in some provinces, who are questioning the impact of the industry on the environment and the displacement of upland folk who will be affected by the entry of multi-national mining firms.

The abandoned Cansibit Mining Pit of the Maricalum Mining Corporation in Sipalay City, Negros Occidental is now filled with water after the MMC, once one of the largest copper mines in Asia, stopped its operations in the 1990s. On the background is the copper processing factory of the MMC. This image was taken in 2011 | Photo by Julius D. Mariveles

The abandoned Cansibit Mining Pit of the Maricalum Mining Corporation in Sipalay City, Negros Occidental is now filled with water after the MMC, once one of the largest copper mines in Asia, stopped its operations in the 1990s. On the background is the copper processing factory of the MMC. This image was taken in 2011 | Photo by Julius D. Mariveles

The business groups, however, reiterated their position that “responsible mining holds the potential not only to bring in more foreign investments but also to increase incomes in rural communities as well” as they called on the President to retain the existing Philippine Mining Act.

Meanwhile, they also noted that agriculture, which employs close to a third of the Philippine population especially in the provinces, continues to “underperform” as they urged Aquino to ensure adequate investments that would increase agricultural productivity.

This month, former senator Francis Pangilinan, presidential assistant on food and agricultural modernization, said that farmers in the Philippines remain among the poorest of the poor while more than 20 million Filipinos cannot yet feel the growth of the economy or do not have enough food.

The group also outlined their specific recommendations in other areas.

On accelerating infrastructure development:

• Raise government infrastructure spending to narrow and infrastructure gap;
• Institute a multi-airport system particularly NAIA, Clark, and a future third airport;
• Speed up the construction of a NLEX-SLEX Connector and the construction of a feeder road that will connect it to the Port of Manila; and
• Shift cargo traffic from the Port of Manila to the Ports of Subic and Batangas.

On ensuring energy security and price competitiveness:

• Ensure full and proper implementation of the Electric Power Industry Reform Act and not to amend the act because this will cause the deferment or cancellation of pending and much-needed investments in the power sector;
• Support growth targets with energy investments and the drawing up of a roadmap towards energy security and electricity price competitiveness; and
• Augment the Department of Energy and Energy Regulatory Commission with “capable, proactive, and visionary staff.”

On ensuring the increase in foreign investments:

• Open certain areas of the economy to “greater foreign participation;” and
• The revision of the Foreign Investment Negative List pending any amendments to the Constitution.

On addressing smuggling:

• The immediate passage and implementation of the Customs Modernization and Tariff Act and various measure son Anti-Smuggling in both chamber sof Congress.

The letter was signed by the following representing their organizations: Benjamin Philip G. Romualdez, president, Chamber of Mines of the Philippines; Sergio Ortiz-Luis, Jr. president, Philippine Exporters Confederation; Ramon Del Rosario, Jr., chairman, Makati Business Club; Dan C. Lachica, president, Semiconductor and Electronics Industries in the Philippines, Inc.; Edgardo G. Lacson, president, Employers Confederation of the Philippines;

Rhicke Jennings, president, president, American Chamber of Commerce; Ian Porter, president, Australian-New Zealand Chamber of Commerce; Julian Payne, president, Canadian Chamber of Commerce; Michael Raeuber, president, European Chamber of Commerce; Tetsuo Tomino, president, Japanese Chamber, Eun Gap Chang, president, Korean Chamber of Commerce;

Shameem Qurashi, president, Philippine Association of Multinational Companies Regional Headquarters, Inc.; Edmundo S. Soriano, president, Financial Executives Institute of the Philippines; Ernesto M. Ordoñez, president, Alyansa Agrikultura; Gregorio S. Navarro, president, Management Association of the Philippines;

Alfonso G. Siy, president, Federation of Filipino-Chinese Chambers of Commerce and Industry, Inc.; Jose Mari P. Mercado, president and CEO, IT and Business Process Association of the Philippines; and Alfredo M. Yao, president, Philippine Chamber of Commerce and Industry.