To raise funds for Covid-19 response measures and the social amelioration program (SAP), the chairman of the House Committee on Public Accounts on Thursday called for a 30-percent reduction in nonessential expenses of the government under the 2020 national budget.
Rep. Mike Defensor of Anakalusugan, in a news statement, said the government should do “deeper cuts” in this year’s P4.1-trillion national budget and use the money to fight the Covid-19 pandemic.
“I am proposing a reduction of at least 30 percent in nonessential expenses of the government to help the poor and other affected sectors,” he said.
“If the DBM can effect an across-the-board reduction of 30 percent, we can easily generate P480 billion for Covid-19 measures and SAP financial assistance to the poor,” he said.
Defensor earlier called for a 20-percent cut in such expenses but the Department of Budget and Management (DBM) opted to cut such items only by 10 percent. The DBM also slashed “programmed appropriations” by 35 percent.
According to Defensor, nonessential expenditures are part of the “maintenance and other operating expenses,” or MOOE, for which P1.6 trillion is allocated in the 2020 budget.
He said some MOOE items could not be slashed by 30 percent, but others could be cut substantially, while some could be scrapped.
He said among the nonessential MOOE items where substantial reductions could be taken are travel, and their corresponding appropriations are travel, P19.4 billion; training and scholarship, P32.9 billion; supplies and materials, P108.3 billion; and representation, or dining out and entertainment by officials and their guests, P5.2 billion.
Others that could be reduced considerably are communication, P10.7 billion; hiring of consultants, P29 billion; advertising, P3 billion; subscription, P4.1 billion; and donations, P41.8 billion; printing and publication, P1.9 billion; and membership dues and contributions to organizations, P2.4 billion, Defensor said.
He said the government could also forego the purchase of new vehicles, for which there is P4.1 billion in the budget, construction of more buildings (P99 billion), procurement of new furniture and fixtures (P603 million), and the acquisition of additional machinery and equipment, P67.9 billion.
“We can make do with what we presently have while battling Covid-19. We should instead use the money to buy badly needed PPEs [personal protective equipment] for our frontline health workers and as subsidy to the poor,” he said.