13 vetoed provisions

MANILA, Philippines—Here are the 13 provisions in the 2011 budget that President Aquino vetoed:

Prior legislative authorization for borrowings in excess of the debt ceiling. Mr. Aquino objected to the imposition of a 55-percent debt cap “at this point in time.” This was restrictive as this would “prevent the government from taking advantage of favorable market conditions.”

Legislative consultation during budget execution and program/project implementation. Mr. Aquino said “this will prejudice the implementation of vital programs and projects funded out of said lump-sum appropriations.” He also vetoed a provision requiring the agriculture department to consult with local government units and resident-farmers in identifying priority locations for farm-to-market roads.

Savings from the conditional cash transfer (CCT) program. Mr. Aquino said this would require that any savings be used to augment the appropriations for basic education, maternal health and immunization. The power to augment any item in the appropriations of the executive branch “is exclusive to the President.”

Decongestion of public secondary schools. Mr. Aquino objected to a provision that tasks the Department of Education to issue guidelines to ensure that grantees of the Educational Service Contracting (ECS) system are deserving students.

A special provision in the CCT program that gave priority to families in municipalities or barangays where there is active insurgency. Mr. Aquino said the CCT was a poverty reduction and social development strategy targeting poor households through the grant of cash and is not an anti-insurgency program.

‘Inappropriate’

Mr. Aquino also cited “inappropriate provisions” that “should have been covered by separate substantive laws.” These included:

A provision that authorizes the deduction of any payable due to banks, nonbank financial institutions, financing companies from the payroll of government employees. This was an infringement on the rights of employees.

Two provisos in the Department of Social Welfare and Development budget which would allow 15 percent of the proceeds of the sale of the Welfareville property in Mandaluyong City to be turned over to the local government to be used for site development and construction of housing facilities for informal settlers. Mr. Aquino said the law mandated “exclusive use” of the proceeds for the establishment of a national children’s home institution and community services for children in various parts of the country.

Hazard duty pay for the Philippine Drug Enforcement Agency.

Budgetary support to the Development Academy of the Philippines training program.

Mr. Aquino objected to the bid of Partido Development Administration for financial assistance to the Priority Development Assistance Fund as the PDA is a corporate entity.

The inclusion of the payment of the share of Baguio City from the gross income taxes paid by locators at the Loakan Economic Zone to unprogrammed funds in the General Appropriations Act.

A provision that would see employees separated from the service as a result of the organization of National Power Corp. to be entitled to benefits.

Payment of total administrative disability pension under the unprogrammed fund. –Christine O. Avendaño, Philippine Daily Inquirer