Sen. Panfilo ‘Ping’ Lacson believes that the House of Representatives are against the cash-based budgeting system being proposed by the Department of Budget and Management because it involves lower budget appropriations for their districts, or what is commonly known as their Priority Developoment Assistance Fund (PDAF).
Lacson explained that the cash-based budgeting system will reduce the budget given to districts since funds would only be appropriated to projects that can be finished and implemented within the fiscal year.
“As a consequence of a cash-based budgeting may epekto yan sa individual pet projects nila. Sabi nila nabawasan eh. So I can only make a guess na kasi pag cash-based di ba putol-putol ang projects, ang popondohan lang na-accomplish o matatapos ang implementation within the fiscal year,” Lacson told reporters.
“So hindi sila makakakuha ng malaking appropriations for their districts. Pag sinabi appropriation for district, ang interpretation ko palagi roon PDAF.” Lacson added.
Previously, the House of Representatives postponed their deliberations on the 2019 proposed national budget since they are against the cash-based budgeting system being pushed by the DBM.
The DBM is urging for a cash-budgeting system in order to lessen under-spending in government and to ensure that government projects will be implemented.
Recently, House majority leader Rolando Andaya said that they will resume their deliberations on the proposed Php 3.75 billion budget after reaching an agreement with Malacanang on how to implement a hybrid of the cash-based budgeting system and the obligation-based budgeting system, which is favored by the lawmakers.