Philippines Ombudsman to form budget watch panel after court ruling on 2024-2026 spending

Philippines Ombudsman to form budget watch panel after court ruling on 2024-2026 spending
Ombudsman forms budget panel

Questions over the constitutionality of parts of the Philippines' 2024-2026 national budgets are prompting a closer review of how appropriations are handled and who may bear responsibility. The Office of the Ombudsman says it is setting up a panel to examine the Supreme Court ruling as Congress weighs whether clarifications could lead to adjustments in the proposed 2027 budget.

Highlights

  • Ombudsman Jesus Crispin C. Remulla will form a budget watch panel to scrutinize the Supreme Court's ruling invalidating parts of the 2024-2026 budgets and review potential official accountability.
  • The panel will investigate questionable allocations, including unprogrammed appropriations potentially used to influence the budget process, and evaluate culpability among government officials.
  • Bataan Representative Albert S. Garcia said possible adjustments to the 2027 national budget, primarily related to unprogrammed appropriations, remain under Congress' control, warning that delays could impact GDP growth and job creation.

Review of ruling and accountability process

As reported by BusinessWorld Online, Ombudsman Jesus Crispin C. Remulla says his office will create a group to study the Supreme Court decision declaring portions of the 2024-2026 budgets unconstitutional and assess whether government officials could be held accountable.

Remulla says the anti-graft office is starting a "budget watch" and will examine both the ruling and the budget items covered by it in detail. He says the Ombudsman regularly evaluates Supreme Court decisions when culpability is identified and will determine where fault lies, how those involved should explain their actions, and whether they should be made responsible.

He adds that the panel will also look into questionable allocations, including projects placed under unprogrammed appropriations, which he says may have been used to influence the budget process. On whether President Ferdinand R. Marcos, Jr. could face liability, Remulla says the President submits the proposed budget to Congress, where lawmakers make amendments before the enrolled bill is returned for signature.

Implications for the 2027 budget process

Bataan Representative Albert S. Garcia, vice-chair of the House Appropriations Committee, says the House could still correct the proposed 2027 national budget through the bicameral conference committee, depending on the clarification being sought by the Office of the Solicitor General on the Supreme Court ruling.

Garcia says minor adjustments could be made at the bicameral stage if only limited changes are needed, although he adds that the decision ultimately rests with House leadership. He also says the Senate could return the budget bill, citing precedents in which the chamber sent back other legislation.

According to Garcia, the court ruling mainly concerns unprogrammed appropriations, while changes to the proposed 2027 budget remain within Congress' authority. He defends lawmakers' power to amend appropriations, saying representatives are mandated to advance projects for their districts after consultations with local officials, agencies and the private sector, even though some priorities do not appear in the National Expenditure Program.

He warns that any delay in passing the budget could weigh on gross domestic product growth and job creation. The Ombudsman's monitoring initiative also comes as the agency strengthens coordination with other justice sector institutions.

Malaysia’s Budget 2027 spending plans and post-election budget patterns were examined in our earlier coverage, noting that federal allocations have historically tended to rise in the year after a general election. The report highlighted the 9.7% increase in total allocations for 2027 and linked the expansion to spending pressures such as election-related preparations, the new minimum wage policy, tourism initiatives, and major sporting events—factors that can complicate fiscal consolidation goals.

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