The failure of Congress to approve the 2019 budget before the end of the year will result in the delayed implementation of new infrastructure projects, Budget Secretary Benjamin Diokno warned Tuesday.
The national budget for 2019 may not be signed into law before the end of the year, according to the new budget calendar transmitted by the Senate to the Budget Department on Nov. 19, 2018.
The latest update from the Senate marked Jan. 25 next year as the earliest possible date for Congress ratification, and Feb. 7, 2019 as the latest possible date.
This means that a reenacted budget may have to be implemented for the first three months of the next fiscal year, the agency said.
Diokno said in a statement that no new projects could start until the 2019 General Appropriations Act was approved. He said the anticipated delay in its implementation would likely result in a five-month implementation gap for new projects.
“We want to be able to frontload projects at the start of the year, if possible, especially infrastructure projects,” he said.
“The failure of Congress to pass the GAA before Dec.r 31 will not allow us to do that. Add to this the election ban from March to May and you have a 5-month implementation gap for our infrastructure projects,” Diokno said.
Capital spending proposed for 2019 will have to wait until the 2019 budget is passed and becomes effective, he said.
The department said the 2018 capital outlays could not be reenacted because projects funded in 2018 were assured to have been obligated or done in 2018 and no new projects could be authorized to start without authority from Congress, with few exceptions.
Large projects covered by multi-year obligational authority would not be adversely affected.
Personal services (salaries, wages, pension and retirement, and the like) and the maintenance and other operating expenses would be deemed reenacted. They will be based on the 2018 level.
Salary adjustments for civilian and military personnel programmed for 2019 will have to wait, it said.
The internal revenue allotment for local government units and debt service, however, are automatically appropriated, and, therefore, will be provided budgetary allocations based on the 2019 budget as proposed by the executive.
Diokno earlier said that President Rodrigo Duterte gave Congress “more than enough time to scrutinize the budget”.
He said while the president was mandated by the Constitution to submit thebudget to Congress within 30 days after he delivered his State of the Nation Address, the president decided to submit the Budget of Expenditures and Sources of Financing on the day of his SONA.
“The president has done his job. The ball is in Congress’ court. It is the collective responsibility of legislators to approve the general appropriations bill before they go on a holiday break,” he said.
“Duty first before leisure,” he said.
