Andaya: Gov’t to operate on P1.541-trillion budget

Congress must back insertions with new revenue measures
By CHARISSA M. LUCI
February 13, 2010, 3:31pm

The government will operate this year using the P1.541-trillion national budget it proposed, except for the insertions made by Congress which should be backed by new revenue measures, said Budget Secretary Rolando Andaya Jr.

Andaya belied reports that the administration’s financial plan for 2010 would be higher than the operating P1.541 trillion budget signed by President Arroyo on February 8.

“The total 2010 budget remains at P1.541 trillion despite the increases made by Congress and which the President subjected to conditional implementation,” he said.

He maintained that the P64-billion insertion made by Congress will not be implemented “unless Congress passes new revenue measures to back up the insertions.”

He said the insertions are not part of the expenditure program crafted during the budget preparation phase.

“We simply cannot add Congress’ insertions on top of the P1.541 trillion budget since these are not supported by revenues programmed for the year. As a rule of thumb in budgeting, expenditures must be within the fiscal goals/targets set for the year,” Andaya said.

He said the President approved the insertions to pose a more challenging task to lawmakers to map out measures to fund their intended programs.

“It is easy to come up with programs and activities but to fund them is another thing,” he said.

Andaya said additional allocations for the social and economic services sectors have not been vetoed since they have yet to ascertain the exact details of the insertions in the various departments.

“Furthermore, in the event that Congress finds the will to raise additional revenue, these additional earmarks will constitute an increase in the outputs and improve the outcomes of departments such as the departments of Education, Agriculture, and Public Works and Highways,” he said.