Cagayan de Oro City Rep. Rufus Rodriguez is asking the House of Representatives to look into the transfer of P89.9 billion in Philhealth funds to the national treasury, saying it violated the Republic Act 11223, or the Universal Health Care Act.
Rodriguez’s call is contained in Resolution 1903, which he filed last Thursday.
Rodriguez said the law clearly provides that excess Philhealth funds shall be used to increase the healthcare benefits of millions of members and to reduce their monthly premium contribution.
He quoted Section 11 of RA 11223 which said: “Philhealth shall set aside a portion of its accumulated revenues not needed to meet the cost of the current year’s expenditures as reserve funds: Provided that the total amount of reserves shall not exceed a ceiling equivalent to the amount actuarially needed for two years’ projected program expenditures; Provided further that whenever actual reserves exceed the required ceiling at the end of the fiscal year, the excess of the Philhealth reserve fund shall be used to increase the program’s benefits and to decrease the amount of members’ contributions.”
Rodriguez said it is clear that Department of Finance Circular 003-2024 authorizing the transfer of Philhealth’s P89.9 billion to the treasury “is violative of the Universal Health Care Act.”
He said a provision of the 2024 General Appropriations Act mandating government corporations to remit their excess funds to the national treasury cannot be used as basis for the transfer.
The Mindanao lawmaker, who is a former law dean, invoked the ruling of the Supreme Court in Philconsa, et al vs. Salvador Enriquez, et al (GR No. 113105). Enriquez was a former budget secretary.
“The Supreme Court ruled that a provision in an appropriations act cannot be used to repeal or amend other laws,” he said.
He said the transfer of the Philhealth funds contravened two other laws, RA No. 11467 and RA 10963, which allocate portions of revenues from tobacco excise taxes, e-cigarettes and sweetened beverages to Philhealth for its members’ benefits.
Earlier, Rodriguez urged President Ferdinand Marcos Jr. to order the return of P89.9 billion to Philhealth.
“The President will do justice to the more than 104 million members of Philhealth if he orders the return of the funds. The money belongs to Philhealth members, not some personalities who may want to dip their fingers into the P90-billion fund,” he said.
He also criticized Health Secretary Teodoro Herbosa for failing to protect Philhealth funds as the agency’s board chairman and as chief implementer of the universal health care law.
Several health care advocates have challenged the transfer before the Supreme Court.
