i^4T/€ {CIAU3 REPUBLIC OF THE PHILIPPINES
P asay C ity
Journal
SESSION NO. 39 Thursday, November 26, 2015
SIXTEENTH CONGRESS THIRD REGULAR SESSION SESSION NO. 39 Thursday, November 26,2015
CALL TO ORDER With 13 senators present, the Chair declared the presence of a quorum. At 3:57 p.m., the Senate President, Hon. Franklin M. Drilon, called the session to order. Senators Cayetano (P), Legarda, Osmefia and Recto arrived after the roll call. PRAYER Senator Defensor Santiago was sick as indicated The Body observed a minute of silent prayer. in the November 26, 2015 letter of the Senator’s chief of staff. SUSPENSION OF SESSION Senator Cayetano (A) was on official business With the permission of the Body, the Chair as indicated in the November 26, 2015 letter of the suspended the session. Senator’s director for administration and finance. Senator Lapid was on “official out-of-town It ^vas 3:58 p.m. engagement” as indicated in the November 26,2015 letter of the Senator’s chief of staff. RESUMPTION OF SESSION Senator Marcos was “out of town” as indicated At 4:02 p.m., the session was resumed. in the November 26, 2015 letter of the Senator’s chief of staff. ROLL CALL Senator Angara was on official business. Upon direction of the Chair, the Secretary of the Senate, Atty. Oscar G. Yabes, called the roll, to Senators Estrada and Revilla were unable to which the following senators responded: attend the session as they were under detention.
Aquino, P. B. IV B. Honasan, G. B. DEFERMENT OF THE APPROVAL Binay, M. L. N. S. Pimentel III, A. K. OF THE JOURNAL Drilon, F. M. Poe, G. Ejercito, J. V. G. Sotto III, V. C. Upon motion of Senator Aquino, there being Enrile, J. P Trillanes IV, A. F. no objection, the Body deferred the consideration Escudero, F. J. G. Villar, C. A. and approval of the Journal of Session No. 38 Guingona III, T. L. (November 23 to 25, 2015).
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REFERENCE OF BUSINESS COUNTRY’S FIRST EVER SILVER MEDAL AT THE 13,h ASIAN The Secretary of the Senate read the following SHOOTING CHAMPIONSHIP HELD matters and the Chair made the corresponding IN KUWAIT CITY, KUWAIT LAST referrals: NOVEMBER 9, 2015 AND SETTING A NEW NATIONAL RECORD IN BILLS ON FIRST READING TRAP SHOOTING
Senate Bill No. 3010, entitled Introduced by Senator Sonny Angara
AN ACT DIRECTING THE DEPART To the Committee on Rules MENT OF HEALTH TO PREPARE AND PUBLISH ANNUALLY A ADDITIONAL REFERENCE OF BUSINESS CONSUMER GUIDE TO PRESCRIP TION DRUG PRICES MESSAGE OF THE PRESIDENT OF THE PHILIPPINES Introduced by Senator Defensor Santiago Letter of His Excellency, President Benigno S. To the Committees on Health and Demo Aquino III, dated 12 November 2015, submitting graphy; Trade, Commerce and Entrepreneur- for the Senate’s consideration and concurrence ship; and Finance the Doha Amendment to the Kyoto Protocol, which was signed on 8 December 2012 in Doha, Senate Bill No. 3011, entitled Qatar.
AN ACT PROVIDING FOR A BILL OF To the Committee on Foreign Relations RIGHTS FOR AIR PASSENGERS, PENALIZING VIOLATIONS THEREOF, BILLS ON FIRST READING AND FOR OTHER PURPOSES Senate Bill No. 3012, entitled Introduced by Senator Recto AN ACT AMENDING REPUBLIC ACT To the Committees on Public Services; and NO. 7877, ALSO KNOWN AS THE Finance ANTI-SEXUAL HARASSMENT ACT OF 1995, SECTION 3 ON THE RESOLUTIONS DEFINITION OF WORK, EDUCA TION OR TRAINING-RELATED Proposed Senate Resolution No. 1669, entitled SEXUAL HARASSMENT
RESOLUTION EXPRESSING THE SENSE Introduced by Senator Defensor Santiago OF THE SENATE TO DECLARE NOVEMBER 25 OF EVERY YEAR To the Committees on Labor, Employment AS THE NATIONAL DAY FOR and Human Resources Development; and Civil YOUTH IN CLIMATE ACTION Service, Government Reorganization and Professional Regulation Introduced by Senator Legarda Senate Bill No. 3013, entitled To the Committee on Rules AN ACT TO FACILITATE THE DEV Proposed Senate Resolution No. 1670, entitled ELOPMENT, DEMONSTRATION, AND IMPLEMENTATION OF TECH RESOLUTION RECOGNIZING AND NOLOGY FOR USE IN REMOVING COMMENDING HAGEN ALEXANDER GREENHOUSE GASES FROM THE TOPACIO FOR WINNING THE ATMOSPHERE AND CREATING A p THURSDAY, NOVEMBER 26,2015 671
GREENHOUSE GAS EMISSION THE REGIONAL TRIAL COURT TO ATMOSPHERIC REMOVAL COM- BE STATIONED IN THE CITY OF MITTEE SAN JOSE DEL MONTE, SITUATED IN THE PROVINCE OF BULACAN, Introduced by Senator Defensor Santiago IN THE THIRD JUDICIAL REGION, FURTHER AMENDING FOR THE To the Committees on Climate Change; PURPOSE SECTION 14, PARA- Energy; and Finance GRAPH (C) OF BATAS PAMBANSA BLG. 129, OTHERWISE KNOWN AS Senate Bill No. 3014, entitled “THE JUDICIARY REORGANIZA TION ACT OF 1980,” AS AMENDED, AN ACT INCREASING THE PENALTY AND APPROPRIATING FUNDS FOR PLANTING EVIDENCE, AMEND- THEREFOR; ING FOR THE PURPOSE REPUBLIC ACT NO. 10591, OTHERWISE Republic Act No. 10696, entitled KNOWN AS THE COMPREHENSIVE FIREARMS AND AMMUNITION AN ACT CREATING TWO (2) REGULATIONS ACT ADDITIONAL BRANCHES OF THE MUNICIPAL TRIAL COURT IN Introduced by Senator Defensor Santiago CITIES AND TWO (2) ADDITIONAL BRANCHES OF THE REGIONAL To the Committees on Justice and Human TRIAL COURT TO BE STATIONED Rights; and Public Order and Dangerous Drugs IN THE CITY OF BAGUIO, IN THE FIRST JUDICIAL REGION, FURTHER COMMUNICATIONS AMENDING FOR THE PURPOSE BATAS PAMBANSA BLG. 129, Letters from the Office of the President of the OTHERWISE KNOWN AS “THE Philippines, transmitting to the Senate two (2) JUDICIARY REORGANIZATION original copies of the following: ACT OF 1980,” AS AMENDED, AND APPROPRIATING FUNDS THEREFOR; Republic Act No. 10694, entitled Republic Act No. 10697, entitled AN ACT CREATING TWO (2) ADDITIONAL MUNICIPAL TRIAL AN ACT PREVENTING THE PROLI- COURTS IN CITIES FOR ANGELES FERATION OF WEAPONS OF MASS CITY, ONE (1) MUNICIPAL TRIAL DESTRUCTION BY MANAGING COURT FOR MAGALANG, AND THE TRADE IN STRATEGIC ONE (1) MUNICIPAL TRIAL COURT GOODS, THE PROVISION OF IN CITIES FOR THE CITY OF RELATED SERVICES, AND FOR MABALACAT, ALL SITUATED IN OTHER PURPOSES; THE PROVINCE OF PAMPANGA, IN THE THIRD JUDICIAL REGION, Republic Act No. 10698, entitled THUS AMENDING FOR THE PURPOSE BATAS PAMBANSA AN ACT TO REGULATE AND BLG. 129, OTHERWISE KNOWN AS MODERNIZE THE PRACTICE OF “THE JUDICIARY REORGANIZA- NAVAL ARCHITECTURE IN THE TION ACT OF 1980,” AS AMENDED, PHILIPPINES; AND APPROPRIATING FUNDS THEREFOR; Republic Act No. 10699, entitled
Republic Act No. 10695, entitled AN ACT EXPANDING THE COVERAGE OF INCENTIVES GRANTED TO AN ACT CREATING A BRANCH OF NATIONAL ATHLETES AND 672 THURSDAY. NOVEMBER 26, 2015
COACHES, APPROPRIATING PARAGRAPH (C) OF BATAS FUNDS THEREFOR, REPEALING PAMBANSA BLG. 129, OTHERWISE FOR THE PURPOSE REPUBLIC ACT KNOWN AS “THE JUDICIARY NO. 9064, ALSO KNOWN AS THE REORGANIZATION ACT OF 1980,” “NATIONAL ATHLETES, COACHES AS AMENDED, AND APPROPRIAT AND TRAINERS BENEFITS AND ING FUNDS THEREFOR; INCENTIVES ACT OF 2001” OR SPORTS BENEFITS AND INCEN Republic Act No. 10703, entitled TIVES ACT OF 2001; AN ACT CREATING AN ADDITIONAL Republic Act No. 10700, entitled BRANCH OF THE REGIONAL TRIAL COURT TO BE STATIONED AN ACT CREATING AN ADDITIONAL IN THE CITY OF GUIHULNGAN, BRANCH OF THE REGIONAL SITUATED IN THE PROVINCE OF TRIAL COURT TO BE STATIONED NEGROS ORIENTAL, IN THE IN SAN JOSE CITY, SITUATED IN SEVENTH JUDICIAL REGION, THE PROVINCE OF NUEVA ECIJA, AMENDING FOR THE PURPOSE IN THE THIRD JUDICIAL REGION, SECTION 14, PARAGRAPH (H) OF FURTHER AMENDING FOR THE PUR BATAS PAMBANSA BLG. 129, POSE SECTION 14, PARAGRAPH (C) OTHERWISE KNOWN AS “THE OF BATAS PAMBANSA BLG. 129, JUDICIARY REORGANIZATION OTHERWISE KNOWN AS “THE ACT OF 1980,” AS AMENDED, AND JUDICIARY REORGANIZATION APPROPRIATING FUNDS THEREFOR; ACT OF 1980,” AS AMENDED, AND APPROPRIATING FUNDS THEREFOR; Republic Act No. 10704, entitled
Republic Act No. 10701, entitled AN ACT CREATING NINETEEN (19) ADDITIONAL BRANCHES OF THE AN ACT CREATING AN ADDITIONAL REGIONAL TRIAL COURT IN THE BRANCH OF THE REGIONAL NATIONAL CAPITAL JUDICIAL TRIAL COURT TO BE STATIONED REGION TO BE STATIONED IN AT INITAO, SITUATED IN THE QUEZON CITY, METRO MANILA, PROVINCE OF MISAMIS ORIENTAL, FURTHER AMENDING FOR THE IN THE TENTH JUDICIAL REGION, PURPOSE SECTION 14, PARA FURTHER AMENDING FOR THE GRAPH (D) OF BATAS PAMBANSA PURPOSE SECTION 14, PARA BLG. 129, OTHERWISE KNOWN AS GRAPH (K) OF BATAS PAMBANSA “THE JUDICIARY REORGANIZA BLG. 129, OTHERWISE KNOWN AS TION ACT OF 1980,” AS AMENDED, “THE JUDICIARY REORGANIZA AND APPROPRIATING FUNDS TION ACT OF 1980,” AS AMENDED, THEREFOR; AND APPROPRIATING FUNDS THEREFOR”; and Republic Act No. 10705, entitled
Republic Act No. 10702, entitled AN ACT CONVERTING THE EXISTING 5th MUNICIPAL CIRCUIT TRIAL AN ACT CREATING AN ADDITIONAL COURT OF CARMONA-GENERAL BRANCH OF THE REGIONAL MARIANO ALVAREZ INTO A TRIAL COURT TO BE STATIONED MUNICIPAL TRIAL COURT WITH IN THE CITY OF MEYCAUAYAN, SEAT AT THE MUNICIPALITY OF SITUATED IN THE PROVINCE CARMONA, AND CREATING A OF BULACAN, IN THE THIRD SEPARATE MUNICIPAL TRIAL JUDICIAL REGION, AMENDING COURT FOR THE MUNICIPALITY FOR THE PURPOSE SECTION 14, OF GENERAL MARIANO ALVAREZ, THURSDAY, NOVEMBER 26,2015 673
ALL SITUATED IN THE PROVINCE Committee Report No. 296, submitted by the OF CAVITE, IN THE FOURTH Committee on Public Services, on House Bill JUDICIAL REGION, AMENDING No. 4507, introduced by Representative Violago, FOR THE PURPOSE BATAS et al., entitled PAMBANSA BLG. 129, OTHERWISE KNOWN AS “THE JUDICIARY AN ACT RENEWING THE FRANCHISE REORGANIZATION ACT OF 1980,” OF CONTEL COMMUNICATIONS, AS AMENDED, AND APPROPRIAT INCORPORATED, ASSIGNEE OF ING FUNDS THEREFOR, THE GRANTEE UNDER REPUBLIC ACT NUMBERED THIRTY-NINE which were signed by His Excellency, President HUNDRED AND THIRTY-TWO, AS Benigno S. Aquino III. AMENDED BY REPUBLIC ACT NUMBERED SEVENTY-FOUR To the Archives HUNDRED AND ONE, ENTITLED “AN ACT GRANTING THE CONCEP Letter from the Bangko Sentral ng Pilipinas, CION INDUSTRIES, INCORPO transmitting to the Senate copies of the following RATED A FRANCHISE TO CONS certified and authenticated BSP issuances in TRUCT, MAINTAIN, AND OPERATE compliance with Section 15(a) of Republic Act RADIOTELEPHONE STATIONS FOR No. 7653 (The New Central Bank Act): THE TRANSMISSION AND RECEP TION OF RADIO COMMUNICA Circular Nos. 889 and 890 dated 2 November TIONS WITHIN THE PHILIPPINES” 2015. FOR ANOTHER TWENTY-FIVE (25) YEARS FROM THE EFFECTIVITY To the Committee on Banks, Financial OF THIS ACT, Institutions and Currencies recommending its approval with amendments. COMMITTEE REPORTS Sponsor: Senator Osmena III Committee Report No. 295, submitted by the Committee on Public Services, on House Bill To the Calendar for Ordinary Business No. 6012, introduced by Representative Robes, et al., entitled Committee Report No. 297, submitted by the Committee on Public Services, on House Bill AN ACT EXTENDING FOR ANOTHER No. 5592, introduced by Representatives Cruz- TWENTY-FIVE (25) YEARS THE Gonzales and Teodoro, entitled FRANCHISE GRANTED TO BELL AN ACT RENEWING THE FRANCHISE TELECOMMUNICATION PHILIP GRANTED TO FAR EAST BROAD- - PINES, INC., AMENDING FOR THE CASTING COMPANY (PHILIP PURPOSE REPUBLIC ACT NO. 7692, PINES), INC. UNDER REPUBLIC ENTITLED AN ACT GRANTING TO ACT NO. 8115, ENTITLED AN ACT BELL TELECOMMUNICATION GRANTING THE FAR EAST BROAD PHILIPPINES, INC., A FRANCHISE CASTING COMPANY (PHILIPPINES), TO INSTALL, OPERATE AND INC., A FRANCHISE TO CONSTRUCT, MAINTAIN TELECOMMUNICA MAINTAIN AND OPERATE NON TIONS SYSTEMS THROUGHOUT COMMERCIAL RADIO BROAD THE PHILIPPINES AND FOR OTHER CASTING STATIONS IN THE PURPOSES, PHILIPPINES, recommending its approval with amendment. recommending its approval with amendment.
Sponsor: Senator Osmena III Sponsor: Senator Osmena III
To the Calendar for Ordinary Business To the Calendar for Ordinary Business
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Committee Report No, 298, submitted by the BROADBAND AND TELECOM Committee on Public Services, on House Bill MUNICATIONS CORPORATION A No. 5982, introduced by Representative De FRANCHISE TO CONSTRUCT, Venecia, et al., entitled INSTALL, ESTABLISH, OPERATE AND MAINTAIN TELECOMMUNICA AN ACT RENEWING FOR ANOTHER TIONS SYSTEMS THROUGHOUT TWENTY-FIVE (25) YEARS AND THE PHILIPPINES, EXPANDING TO RADIO/TELE- VISION BROADCASTING, NATIONAL recommending its approval without amendment. IN SCOPE, THROUGHOUT THE PHILIPPINES, THE FRANCHISE Sponsor: Senator Osmena III GRANTED TO MABUHAY BROAD CASTING SYSTEM, INC. UNDER To the Calendar for Ordinary Business REPUBLIC ACT NO. 7395, ENTITLED AN ACT GRANTING THE MABUHAY Committee Report No. 301, submitted by the BROADCASTING SYSTEM, INC., A Committee on Public Services, on House Bill FRANCHISE TO CONSTRUCT, No, 5582, introduced by Representative Reyes, INSTALL, OPERATE AND MAINTAIN et al., entitled RADIO BROADCASTING STATIONS IN THE ISLAND OF LUZON AND AN ACT RENEWING THE FRANCHISE FOR OTHER PURPOSES, GRANTED TO RADIO VERITAS- GLOBAL BROADCASTING SYSTEM, recommending its approval with amendment. INCORPORATED TO CONSTRUCT, INSTALL, OPERATE AND MAIN Sponsor: Senator Osmena III TAIN FOR RELIGIOUS, EDUCA TIONAL, CULTURAL AND COMMER To the Calendar for Ordinary Business CIAL PURPOSES RADIO AND TELEVISION BROADCASTING Committee Report No. 299, submitted by the STATIONS IN THE PHILIPPINES, Committee on Public Services, on House Bill AND FOR OTHER PURPOSES, UNDER No, 5940, introduced by Representative Tupas, REPUBLIC ACT NUMBERED et al., entitled SEVENTY-FIVE HUNDRED AND SEVENTY-NINE TO ANOTHER AN ACT RENEWING FOR ANOTHER TWENTY-FIVE (25) YEARS, TWENTY-FIVE (25) YEARS THE FRANCHISE GRANTED TO recommending its approval with amendment. PROGRESSIVE BROADCASTING CORPORATION UNDER REPUBLIC Sponsor: Senator Osmena III ACT NO. 7163, AS AMENDED BY REPUBLIC ACT NO. 8162, To the Calendar for Ordinary Business
recommending its approval with amendment. PRIVILEGE SPEECH OF SENATOR DEFENSOR SANTIAGO Sponsor: Senator Osmena III With the consent of the Body, Senator Ejercito To the Calendar for Ordinary Business was allowed to read the privilege speech of Senator Defensor Santiago on the 2016 national budget, to wit: Committee Report No. 300, submitted by the Committee on Public Services, on House Bill The 2016 Budget Proposal No. 5154, introduced by Representative Robes, Next year, the Aquino administration et al., entitled proposes a P3.0 trillion budget, P447 biilion higher than the 2015 budget, or an increase AN ACT GRANTING THE PIPOL of 17.4%. l / THURSDAY, NOVEMBER 26, 2015 675
That is quite ambitious for three reasons. (A) sheer incompetence; (B) deliberatively First, is the epic underspending record that it bloating the budget request so it can play has displayed in the last five years. What has around with the artificial “savings”; (C) poor the Aquino government done lately to convince budget planning by including in the budget us that there has been a dramatic change in its projects that are not implementation-ready; or competency? (D) all of the above. Second, there is an election ban before Budget-Reiated Citaiienges and after the presidential elections. That Last year, at around this time, I delivered a would surely slow down spending for public privilege speech warning about excesses in pork infrastructure. barrel spending, and abuses in the utilization of Third, a new administration will come to lump-sum appropriations and unprogrammed power on 1 July 2016. Historically, public expenditures. spending would tend to be lower during the first I rise again to repeat the same warning on four quarters of a new administration. the 2016 budget; only the portents are more Notorious Underspending grave and the threats to our financial stability more serious. The Aquino administration for the last five years has been known for missing its spending Aside from underspending, what are the targets. budget-related challenges which confront us in 2016? The most serious challenge of all is the In 2011, it asked Congress for a budget of problem of poverty which continues to rise in P1.711 trillion. It managed to spend only P1.557 spite of our vaunted economic growth. trillion, or an underspending of PI 54 billion. NEDA Secretary Arsenio Balisacan has In 2012, it asked Congress for a budget of reported that among ASEAN countries - PI.854 trillion. It managed to spend only PI.778 Indonesia, Thailand, Malaysia, Viemarn, and the trillion or an underspending of P76 billion. Philippines - only our country’s poverty levels In 2013, it asked Congress for a budget of continue to rise, while those of other countries P2.021 trillion. It managed to spend only P1.880 have gone down. trillion, or an underspending ofP141 billion. Unemployment and underemployment In 2014, it asked Congress for a budget of remain inordinately high. Social Weather P2.281 trillion. It managed to spend only P1.982 Stations reports that 27.6% of those without jobs billion, or an underspending of P299 billion. are women. Furthermore, 50.2% of the jobless are within the ages of 18-24 years. We are not taking That is a total underspending of P670 billion care of our young jobseekers. in just four years. This year is not any better. Planned spending from January to July 2015 was We also face the threats and consequences PI.470 trillion. But actual spending was PI.28 of accelerated climate change. There will be trillion, for a colossal underspending of PI90 more storms, typhoons, earthquakes and floods. billion in Just seven months. We cannot reverse the onslaught of natural disasters. We can only prepare for them. It is not as if the Aquino III administration is meeting its promised outputs and outcomes at Still another challenge is the 2016 election. less cost. It is simply failing in meeting its There is no doubt at all that the 2015 and 2016 promises to the Filipino people. budgets are prone to electoral politics. Decisions about fund transfers in the guise of “savings” The Philippines suffers in comparison with are not necessarily for public purposes but for its ASEAN-5 neighbors in terms of public election-related objectives. infrastructure. It has the worst roads, airports, sea ports, most expensive and unreliable power However, the most dangerous threat is the supply, and the slowest and most expensive continued presence of PDAF-like allocations and Internet connections among its neighbors. the provisions for lump-sum appropriations in the General Appropriations Bill (GAB) for 2016. It has the worst unemployment rates. This is an open defiance of the Constitution and And it is the poorest in terms of per capita the three recent decisions of the Supreme Court GDP and proportion of poor people below the on PDAF and DAP. poverty line. The entire 2016 President’s budget is littered So why does it continue to underspend? with “lump-sum” appropriations, some nation
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wide, some region-wide. Especially lethal are expenditures which are PDAF-like. Thus, we those that would be released “upon submission protect the Constitution and respect the Supreme by the agency concerned to the DBM of special Court decisions. At the same time, we respond to budget(s) detailing the actual project, activity, actual needs articulated by our own people or program (PAP) and actual amount to be which they have presented in their alternative expended, the rationale and purposes approved proposals. by the President.” 2 Disapprove some objectionable special Every time a lump-sum appropriation exists, provisions that authorize heads of agencies it potentially means that the original budget in the Executive Branch the authority to approved by Congress, the General Appropria modify and realign the programs, activities, tions Act, is illegally superseded and replaced and projects as authorized by Congress, by a mechanism created by one department or through the General Appropriations Act. agency. This “budget within the budget” is a The General Appropriations Bill contains “pseudo” appropriations made without congres some special provisions that unconstitutionally sional imprimatur. It extends to the heads of and unlawfully authorize the respective heads departments and agencies a power they do not. of agencies in the Executive Branch - not even have. By usurping the congressional power of the President as head of the Executive Branch - the purse, it violates the principle of separation to modify and realign the programs, projects or of powers. activities after the same have been authorized by Call for Congress to Do its Job Congress through its enactment of the General Appropriations Act. But realignment, reprioritiza During the last five budgets. Congress has tion, and reallocation are species of transfer or dutifully approved the President’s budget. What augmentation prohibited under the Constitution, the President wants, he gets. We have forgotten Article VI, Section 25(5). Under Section 25(5), only that the Filipino people have vested in us the the specific officers mentioned are authorized by power of the purse - the power to determine law to “augment any item in the budget for their how their taxes should be allocated. It took the respective offices from savings in other items of Supreme Court in its unanimous decision on the their respective appropriations.” Disbursement Acceleration Program (DAP) to remind us that we have a covenant with the 3. Totally reject the redefinition of savings Filipino people. which exacerbates the unconstitutional provisions of the 2015 GAA and willfully We must use the 2016 budget to deal with ignores the three decisions of the Supreme these threats and challenges. We do not have Court on PDAF and DAP. to be subservient to the Executive Department. We have our own mandate and our own We all know that in 2014, the Supreme Court responsibility. declared PDAF and DAP as unconstitutional. However, PDAF-like items are still embedded in I propose the following: the 2016 General Appropriations Bill. This is 1. Realign contestable budget items and lump made justifiable by the redefinition of “savings” sums totaling PI66.3 billion to alternative in the provisions of the bill. expenditures for social development. The definition of savings (Sections 65 and 66 of the General Provisions) skirts the Supreme A. A review of the budgets of government Court ruling v. G.R. No. 209287, agencies identified P582 billion in budget {Araullo Aquino, items which are contestable. 1 July 2014) against the DAP. The High Court ruled that savings can be declared only when B. Examination of lump-sum appropriations there are still funds available after the final yielded P108.1 billion in contestable discontinuance or abandonment of the project, allocations. activity, or program (PAP). C These contestable allocations which I therefore propose that the definition of exhibit the characteristics of PDAF can savings as reflected in the 2014 GAA and as ex be realigned to various social develop pounded by the Supreme Court be incorporated ment expenditures as proposed by civil in the 2016 GAA, in lieu of the present definition society organizations and people’s in the 2016 GAB. organizations in the amount of P I55.4 Prior to 2014, past administrations lived billion. under such definition of savings. The 2015 and By taking this bold step, we realign items of 2016 formulations of savings were meant to THURSDAY, NOVEMBER 26,2015 677
circumvent the Supreme Court decision on the SUSPENSION OF SESSION DAP. Congress should not be a party to this attempt to defy the High Court. Upon motion o f Senator Aquino, the session Balances of appropriations arising from was suspended. unused compensation and related costs cannot, and should not be considered savings, because It M'05 4:29 p.m. it might create perverse fiscal behavior. The agency head may choose not to hire personnel RESUMPTION OF SESSION (teachers, policemen, judges, etc.) when public interest requires that they should, presumably so A t 4:43 p.m., the session was resumed. they can create savings within his/her agency. It may also create incentives for the budget secretary to overestimate the personnel require SENATE CONFEREES ments so he can generate savings that later can be used to augment other items in the budget. Upon nomination by Senator Aquino, there being It should be noted that the proposed 2016 no objection, the Chair designated the following budget requests a huge P92.258 billion for the to constitute the Senate panel in the bicameral lump-sum Miscellaneous Personnel Benefits conference committee on the disagreeing provisions Fund. It would be good budget practice not of Senate Bill No. 2622 and House Bill No. 5587 to treat balances of appropriations from lump (An Act Amending Republic Act No. 9367, Otherwise sum funds — Miscellaneous Personnel Benefits known as the Biofuels Act of 2006); Senator Osmena Fund, the National Disaster and Risk Reduction as chair, and Senators Aquino, Villar and Senator and Management Fund of about P3 8.896 billion, the Pension and Gratuity Fund which is about Honasan as members. PI 13.977 billion — as savings. SUSPENSION OF SESSION We are facing difficult challenges. If we allow the trend of PDAF and DAP abuse to Upon motion of Senator Aquino, the session was continue, we will be neglecting our duty to respond to the articulated needs of our people. suspended. We will be abandoning our oath to defend the Constitution. It M’os 4:44 p.m. 4. Delete Section 68 of the GAB or House Bill RESUMPTION OF SESSION No. 6132. Augmentation from savings, appro priately defined, is allowed in the Constitution under very restrictive conditions. Realign A t 4:44 p.m., the session was resumed. ment is not contemplated in the Constitution. It violates the Supreme Court decision on CONFERENCE COMMITTEE REPORT the DAP. ON SENATE BILL NO. 2909 AND HOUSE BILL NO. 6007 Limit, rather than expand, the scope of the power to augment. If there are new projects that need to be funded, there is always the budget for Upon motion of Senator Aquino there being no the next fiscal year. If it is extremely necessary, objection, the Body considered the Conference like in the Mt. Pinatubo eruption or other serious Committee Report on the disagreeing provisions of calamities, the President has the option to submit Senate Bill No. 2909, entitled a supplemental budget. Let us all join hands in making the 2016 AN ACT PROVIDING FOR THE budget an inclusive instrument for serving our CREATION AND ORGANIZATION people and for upholding the Constitution! OF CREDIT SURETY FUND COOPERATIVES TO MANAGE AND REFERRAL OF SPEECH ADMINISTER CREDIT SURETY TO COMMITTEE FUNDS TO ENHANCE THE ACCESSIBILITY OF MICRO, SMALL Upon motion of Senator Aquino, there being no AND MEDIUM ENTREPRENEURS, objection, the Chair referred the speech of Senator COOPERATIVES AND NON Defensor Santiago to the Committee on Finance. GOVERNMENT ORGANIZATIONS
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TO THE CREDIT FACILITY OF discussed the subject matter in a conference, BANKS AND FOR OTHER hereby report to their respective Houses the PURPOSES; following that: 1. The conferees agreed to use the Senate and House Bill No. 6007, entitled version as the working draft. 2 On Section 1, the conferees agreed to adopt AN ACT PROVIDING FOR THE Section lo f the Senate version. CREATION AND ORGANIZATION OF CREDIT SURETY FUND 3. Section 2 (Declaration o f Policy). The COOPERATIVES TO MANAGE AND conferees agreed to adopt Section 2 of the Senate version. ADMINISTER CREDIT SURETY FUNDS TO ENHANCE THE ACCESS 4. Section 3 (Statement o f Objectives). The IBILITY OF MICRO, SMALL AND conferees agreed to adopt Section 3 of the MEDIUM ENTREPRENEURS, COOP Senate version. ERATIVES AND NONGOVERN 5. Section 4 (Definition of Terms). The MENT ORGANIZATIONS TO THE conferees agreed to adopt Section 4 of the CREDIT FACILITIES OF BANKS. Senate version, with the following amendments: The Chair recognized Senator Aquino to sponsor - on the definitionoV'Board of Directors", the report. deleted the second paragraph;
SUSPENSION OF SESSION inserted a new item, defining “Contributions” as investments or grants; With permission of the Body, the Chair suspended the session. on the definitionof “Credit Surety Fund (CSF)", deleted the phrases "in lieu of It was 4:45 p.m. hard coilaterais" at the end of the paragraph; RESUMPTION OF SESSION modified the definition of “Endorsers”, as member-cooperatives/NGOs which At 4:45 p.m., the session resumed. attest to the CSF Cooperative the creditworthiness of its member- JOINT EXPLANATION borrowers and bind themselves jointly and severally with the borrower in the OF THE CONFERENCE COMMITTEE event of the latter’s default; At the instance of Senator Aquino, there being on the definition of“Government no objection, the Joint Explanation of the Bicameral financial institutions (GFJs)”, deleted Conference Committee on the disagreeing provisions the word “special" before the word "contribution" at the end of the para of Senate Bill No. 2909 and House Bill No. 6007 graph; was deemed read into record as part of Senator Aquino’s sponsorship speech. on the definition of“Local Government Unit (LGU)”, deleted the word "special" Following is the full text of the Joint before the word"contribution", on the Explanation: first part of the paragraph; deleted the terms and definitions of “Investments”, “Other institutions/ JOINT EXPLANATION OF THE CONFERENCE government agencies”, and “Special COMMITTEE ON THE DISAGREEING Contribution”; PROVISIONS OF SENATE BILL NO. 2909 on the definitionof “Surety Agreement”, AND HOUSE BILL NO. 6007 inserted the phrase “otherwise known The Conference Committee on the dis as “The Insurance Code"," before the agreeing provisions of Senate Bill No. 2909 and phrase “or any applicable law" at the House Bill No. 6007, after having met and fully end of the paragraph; and V THURSDAY, NOVEMBER 26.2015 679
adjusted the terms in alphabetical order. “SEC. 13. Establishment of a CSF - A CSF Cooperative shall set up one CSF, 6. Section 5 (Credit Surety Fund Cooperative which shall be created to provide alternative or CSF Cooperative). The conferees agreed means of collateral cover for the loans or to adopt Section 5 of the Senate version. credit accommodations obtained by 7. Section 6 (Articles o f Cooperation). The qualified borrowers from lending banks. The conferees agreed to adopt Section 6 of the initial contributions to the CSF shall come Senate version. from participating member-cooperatives/NGOs, GFIs and other institutions/govemment 8. Section 7 (Bylaws). The conferees agreed to agencies in a province and/or city. adopt Section 7 of the Senate version. Pursuant to the Cooperative Code of 9. The conferees Section 8 (Registration). 2008, which provides that the government agreed to adopt Section 8 of the Senate and all its branches, subdivisions, instru version. mentalities and agencies shall ensure the 10. Section 9 (Taxation o f CSF Cooperatives). provision of technical guidance, financial The conferees agreed to adopt Section 9 of assistance and other services to enable the Senate version, with amendments to read cooperatives to develop . into viable and as follows; responsive economic enterprises, an LGU may contribute to the CSF in the form of an “SEC. 9 Tax Treatment o f CSF Coop investment or grant, in an amount at least eratives - A CSF Cooperative regist-ered equal to the total contributions of the with the CD A shall enjoy the tax privileges member-cooperatives/NGOs. of cooperatives under Republic Act No. 9520, otherwise known as the “Philippine Coop GFIs and other institutions/govemment erative Code of 2008”;Provided, That the agencies may also contribute to the CSF in members of the CSF Cooperative which are the form of investment or grant which may not cooperatives shall be subject to regular or may not be equal to the total taxes under the National Internal Revenue contributions of the member cooperatives/ Code, as amended, and other tax laws.” NGOs.” 11. Section 10 (Board of Directors). The 15. Section 14 (Composition o f the CSF). The conferees agreed to adopt Section 10 of the conferees agreed to adopt Section 14 of the Senate version, with amendments to read as Senate version. follows: 16. SectlonlS (Usage of the Fund). The “SEC. 10. Board of Directors. The- conferees agreed to adopt Section 15 of the members of the Board of Directors shall Senate version. consist of the representatives of the 18. Section 17 (Administration of the Fund). member-cooperatives/NGOs, GFIs and other The conferees agreed to adopt Section 17 of government agencies in accordance with the the Senate version. by-laws of the CSF Cooperative, Republic Act No. 9520, this Act and its implementing 19. Section 18 (Withdrawal of Contributions). rules and regulations. The conferees agreed to adopt Section 18 of the Senate version, with amendments to read The LGU representative shall sit as an as follows: ex-officio member without voting rights.” “SEC. 18. Withdrawal of Contribu 12. Section 11 (Powers and Responsibilities of tions. - Subject to the procedure and require the Board of Directors). The conferees ments stated in the implementing rules and agreed to adopt Section 11 of the Senate regulations, a member-cooperative/NGO and version. other private institutions may withdraw all or part of its contributions:Provided, That 13. Section 12 (Authorized, Subscribed and it has no outstanding obligation on account Paid-Up Capital of CSF Cooperatives). The of the surety agreements issued and subject conferees agreed to adopt Section 12 of the to such reasonable terms and conditions Senate version. such as, among others, the liquidity of the 14. Section 13 (Establishment of a CSF). The Fund. LGUs, GFIs and other government conferees agreed to adopt Section 13 of the agencies may only withdraw their Senate version, with amendments to read as contribution upon dissolution of the CSF follows: Cooperative.” f f 680 THURSDAY, NOVEMBER 26. 2015
20. Section 19 (Cooperative Development In case of a conflict between the statements/ Authority). The conferees agreed to adopt amendments stated in the Joint Explanatory Section 19 of the Senate version. Statement and that of the provisions of the con solidated bill in the accompanying Conference 21. Section 20 (Role of the BSP). The conferees Committee Report, the provisions of the latter agreed to adopt Section 20 of the Senate shall prevail. version. 22. Section 21 (Books of Accounts, Records, SUSPENSION OF SESSION Reportorial Requirements and Administrative Fees). The conferees agreed Upon motion of Senator Aquino, the session was to adopt Section 21 of the Senate version. suspended. 23. Section 22 (Implementing Rules and Regulations). The conferees agreed to adopt It was 4:46 p.m. Section 22 of the Senate version, with amendments to read as follows: RESUMPTION OF SESSION
“SEC. 22. Implementing Rules and At 4:48 p.m., the session was resumed. Regulations. - Within sixty (60) days from the effectivity of this Act, the CDA, DOF, and BSP shall promulgate the rules and MOTION OF SENATOR AQUINO regulations for the effective implementation of this Act.” Upon resumption. Senator Aquino moved that the Body approve the Conference Committee Report 24. Section 23. (Governing Law). The conferees on the disagreeing provisions of Senate Bill No. 2909 agreed to adopt Section 23 of the Senate version. and House Bill No. 6007.
25. Section 24. (Interpretation and SUSPENSION OF SESSION Construction). The conferees agreed to adopt Section 24 of the Senate version. With the permission of the Body, the Chair 26. Section 25 (Transitory Provisions). The suspended the session. conferees agreed to adopt Section 25 of the Senate version. It was 4:48 p.m. 27. Section 26 (Amendatory Clause). The conferees agreed to adopt Section 26 of the RESUMPTION OF SESSION Senate version. At 4:49 p.m., the session was resumed. 28. Section 27 (Separability Clause). The conferees agreed to adopt Section 27 of the APPROVAL OF THE CONFERENCE Senate version. COMMITTEE REPORT 29. Section 28 (Effectivity Clause). The conferees agreed to adopt Section 28 of the Submitted to a vote, there being no objection, the Senate version. Conference Committee Report on the disagreeing 30. The title of the Senate Version was adopted, provisions of Senate Bill No. 2909 and House Bill as follows: No. 6007 was approved by the Body.
“AN ACT PROVIDING FOR THE CREATION SUSPENSION OF SESSION AND ORGANIZATION OF CREDIT SURETY FUND COOPERATIVES TO Upon motion of Senator Aquino, the session was MANAGE AND ADMINISTER CREDIT SURETY FUNDS TO ENHANCE THE suspended. ACCESSIBLITY OF MICRO, SMALL AND MEDIUM ENTERPRISES, COOP It was 4:49 p.m. ERATIVES AND NONGOVERNMENT ORGANIZATIONS TO THE CREDIT RESUMPTION OF SESSION FACILITY OF BANKS AND FOR OTHER PURPOSES” At 5:46 p.m., the session was resumed. . t / THURSDAY, NOVEMBER 26.2015 681
COMMITTEE REPORT NO. 294 Department of Agrarian Reform ON HOUSE BILL NO. 6132 A net decrease of P500,000,000 from the {Continuation) 2016 GAB allocation ofP10,132,358,000, ora total ofP9,632,358,000. Upon motion of Senator Aquino, there being no objection, the Body resumed consideration, on Second Department of Agriculture Reading, of House Bill No. 6132 (Committee Report A net increase of P694,800,000 from the 2016 No. 294), entitled GAB allocation of P47,882,676,000, or a total of P48,577,476,000. AN ACT APPROPRIATING FUNDS FOR THE OPERATION OF THE GOVERN Department of Education MENT OF THE REPUBLIC OF THE A net increase of P413,468,000 from the 2016 PHILIPPINES FROM JANUARY ONE GAB allocation of P411,482,789,000, or a total of TO DECEMBER THIRTY-ONE, TWO P411,896,257,000. THOUSAND AND SIXTEEN, AND University of the Philippines FOR OTHER PURPOSES. A net increase of P664.461,000 from the 2016 Senator Aquino stated that the parliamentary GAB allocation of PI 1,305,422,000, or a total of status was the period of committee amendments. PI 1,969,883,000. State Universities and Colleges Thereupon, the Chair recognized Senator Legarda, sponsor of the measure. A net increase of P4,270,594,000 from the 2016 GAB allocation ofP33,365,215,000, or a total ofP37,635,809,000. SUSPENSION OF SESSION Department of Environment Upon motion of Senator Aquino, the session and Natural Resources was suspended. A net decrease of P2,756,557,000 from the 2016 GAB allocation of P22,843,120,000, or a total It was 5:47 p.m. ofP20,086,563,000.
RESUMPTION OF SESSION Department of Finance A net increase of P543,088,000 from the 2016 At 5:56 p.m., the session was resumed. GAB allocation of PI 8,722,524,000, or a total of P19,265,612,000. PROPOSED COMMITTEE AMENDMENTS Department of Foreign Affairs Senator Legarda presented and submitted to the A net increase of P93,214,000 from the 2016 Body the following committee amendments which GAB allocation of P20,610,618,000, or a total of also included individual amendments: P20,703,832,000.
Congress of the Philippines Department of Health A net increase of P266,400,000 from the 2016 A net increase of P496,548,000 from the 2016 GAB allocation of P13,276,266,000 or a total of GAB allocation of P124,271,437,000, or a total of P13.542,666,000. P124,767,985,000.
Office of the President Department of the Interior and Local Government A net decrease of P66,103,000 from the 2016 A net increase of P628,024,000 from the 2016 GAB allocation of P2,825,998,000 or a total of GAB allocation of P123,638,266,000, or a total of P2,759,895,000. P124,266,290)000.
Office of the Vice President Department of Justice A net increase of P269,488,000 from the 2016 A net increase of P96,315,000 from the 2016 GAB allocation of P23 0,512,000, or a total of GAB allocation of P12,876,275,000, or a total of P500,000,000. P12,972,590,000. r 682 THURSDAY, NOVEMBER 26, 2015
Department of Labor and Employment The Judiciary A net decrease of P133,391,000 from the A net increase of PI 33,123,000 from the 2016 2016 GAB allocation ofPI8,147,211,000, oratotal GAB allocation of P25,891,561,000 or a total of ofP18,013,820,000. P26,024,684,000.
Department of National Defense Office of the Ombudsman A net increase of PI 0,786,800,000 from the A net increase of P380,353,000 from the 2016 2016 GAB allocation of PI 15,854,316,000, or a GAB allocation of 1,726,527,000 or a total of total of P126,641,116,000. P2,106,880,000.
Department of National Defense Commission on Human Rights A net increase of PI0,786,800,000 from the A net increase of P81,500,000 from the 2016 2016 GAB allocation of PI 15,854,316,000 or a GAB allocation of P408,171,000 or a total of total of P126,641,l 16,000. P489,671,000.
Department of Public Works and Highways Budgetary Support to Government Corporations A net increase of P4,074,282,000 from the 2016 GAB allocation of P378,345,417,000 or a A net decrease of P17,736,851,000 from the total of P382,419,699,000. 2016 GAB allocation of P113,351,471,000 or a total of P95,614,620,000. Department of Science and Technology Other Executive Offices A net increase of PI,202,335,000 from the 2016 GAB allocation of PI 7,949,275,000 or a total A net decrease of P7,500,000 from the 2016 of PI 9,151,610,000. GAB allocation of P76,172,951,000 or a total of P76,165,451,000. Department of Social Welfare and Development Allocations to Local Government Units A net decrease of Pl,780,890,000 from the 2016 GAB allocation of PI 09,006,021,000 or a A net increase of P191,100,000 from the 2016 total ofP107,225,131,000. GAB allocation of P57,100,786,000 or a total of 57,291,886,000. Department of Tourism A net increase of P22,500,000,000 from the Contingent Fund 2016 GAB allocation of P3,607,244,000 or a total A net decrease of PI,000,000,000 from the ofP3,629,744,000. 2016 GAB allocation of P4,000,000,000 for a total ofP3,000,000,000. Department of Trade and Industry A net increase of P733,596,000 from the 2016 Miscellaneous Personnel Benefits Funds GAB allocation of P3,959,316,000 or a total of A net increase of P4,004,034,000 from the P4,692,912,000. 2016 GAB allocation o f92,257,963,000 or a total of P96,261,997,000. Department of Transportation and Communications Pension and Gratuity Fund A net decrease of P733,000,000 from the A net decrease of P4,004,034,000 from the 2016 GAB allocation of P43,453,486,000 or a total 2016 GAB allocation of PI 13,977,055,000 for a ofP42,680,486,000. total of P109,973,021,000.
National Economic and Development Authority Unprogrammed Fund A net decrease of P63 8,434,000 from the A net decrease of P20,000,000,000 from the 2016 GAB allocation of P6,837,609,000 or a total 2016 GAB allocation of P67,500,000,000 or a total ofP6,199,175,000. ofP47,500,000,000.
Other Executive Offices DOE-Attached Agencies A net decrease of P656,763,000 from the A net change of PI 0,000,000 from the 2016 2016 GAB allocation of P14,925,212,000 or a total GAB allocation of P27,441,028,000 or a total of of P 14,268,449,000. P27,451,028,000. ir . THURSDAY. NOVEMBER 26,2015 683
Guingona Amendment Drilon Amendment • Transfer of P200 million from MSU Tawi- On Volume II-A, page 1262 Tawi to Philippine Normal University capital • On line 57, between the words “Treasury” outlay in the amount of P197.5 million and and “as,” replace the words “and recorded” to MSU capital outlay in the amount of with OF WHICH TEN PERCENT (10%) P2.5 million. SHALL BE RECORDED AS INCOME OF Escudero Amendment THE GENERAL FUND IN ACCORDANCE WITH SECTION 44, CHAPTER 5, BOOK VI On Volume II-B, page 799, line 22, between • OF E.O. NO. 292 AND THE BALANCE OF the words “fiimish” and “the,” insert the NINETY PERCENT (90%); phrase COMMISSION ON AUDIT and a comma (,)! • Between line 57 and 58, insert the following provision to read as follows: Legarda Amendment THE TRUST FUND SHALL BE USED • On Volume II-B, page 803, lines 43 and 44, AS FOLLOWS: between the word “than” and the period (,), replace the words and figure FIVE (a) THIRTY-THREE (33%) OF THE TOTAL THOUSAND PESOS (P5,000) with THREE AMOUNT COLLECTED FOR THE PAY THOUSAND PESOS (P3,000). MENT OF SALARIES OF CASUAL/ CONTRACTUAL PERSONNEL, CONFI Honasan Amendment DENTIAL AGENTS, AND JOB ORDER • On Volume II-A, page 260, between lines' EMPLOYEES; 13 and 14 (b) FIFTY-FIVE PERCENT (55%) OF THE SCHOOL-BASED FEEDING PROGRAM. TOTAL AMOUNT COLLECTED FOR IN THE IMPLEMENTATION OF THE THE AUGMENTATION OF SALARIES SCHOOL-BASED FEEDING PROGRAM OF BI PERSONNEL WHO RENDER (SBFP), ALL PUBLIC SCHOOLS SHALL SERVICES BEYOND OFFICE HOURS; PROCURE THE INGREDIENTS FOR THE AND SBFP FROM THE FOLLOWING SOURCES. (c) TWO PERCENT (2%) OF THE TOTAL a. THE SCHOOL’S VEGETABLE GARDEN AMOUNT COLLECTED FOR THE ESTABLISHED UNDER THE GUM Z4V PAYMENT OF HEALTH INSURANCE SA PAARALAN PROGRAM; PREMIUM OF THE BI PERSONNEL. b. HOME AND COMMUNAL GARDENS PROVIDED. THAT THE COMMISSIONER ESTABLISHED BY THE FAMILIES OF OF IMMIGRATION SHALL ENSURE SBFP BENEFICIARIES; AND THAT THE AUGMENTATION OF THE SALARIES OF BI PERSONNEL RENDER c. LOCAL FARMERS IDENTIFIED BY THE ING SERVICES BEYOND OFFICE HOURS DSWD UNDER THE NATIONAL ARE FAIR AND EQUITABLE SUCH HOUSING TARGETING SYSTEM FOR THAT EMPLOYEES WITH THE SAME POVERTY REDUCTION (NHTS-PR) TO SALARY GRADE, FUNCTIONS, DUTIES BE LIVING IN POVERTY. AND RESPONSI-BILITIES ARE GIVEN EQUAL PAY. • On Volume II-B, page 743, between lines 49 and 50 • After line 61, insert a new paragraph, to read as follows: COST ALLOCATION FOR ROAD SHARING ACTIVITIES. THE AMOUNT FAILURE TO COMPLY WITH THE APPROPRIATED HEREIN FOR THE ABOVE REQUIREMENT SHALL RENDER TRANSPORT AND TRAFFIC MANAGE ANY DISBURSEMENT FROM SAID MENT SERVICES SHALL ALSO BE USED TRUST RECEIPTS VOID AND SHALL FOR ROAD SHARING ACTIVITIES SUCH SUBJECT THE ERRING OFFICIALS AND AS THE PROMOTION OF NON-MOTOR- EMPLOYEES TO DISCIPLINARY ACTIONS IZED TRANSPORT, CONSTRUCTION OF PURSUANT TO SECTION 43, CHAPTER 5, PEDESTRIAN-FRIENDLY FACILiriES AND AND SECTION 80, CHAPTER 6, BOOK VI CONDUCT OF PROGRAMS AND PRO OF E.O. NO. 292, AND TO APPROPRIATE JECTS THAT ARE GEARED TOWARDS CRIMINAL ACTION UNDER EXISTING IMPROVING PEOPLE MOBILITY. PENAL LAWS. rf 684 THURSDAY, NOVEMBER 26, 2015
MANIFESTATION Senate President Drilon replied that there was already OF SENATOR LEGARDA a motion to approve but Senator Pimentel has the privilege to interpellate. Senator Legarda informed the Body of the amendment of Senator Enrile to increase the budget Senator Pimentel said that he found it strange of the Philippine National Police (PNP), subject to a that the Insurance Commission was given a budget special provision to be used for financial assistance of P7,000. to the survivors and families of the 44 slain Special Action Force commandos. Likewise, she said that SUSPENSION OF SESSION Senator Escudero’s amendments, which have been approved by the committee, would be inserted into Upon motion of Senator Legarda, the session the record. was suspended.
SUSPENSION OF SESSION It was 6:21 p.m.
Upon motion of Senator Legarda, the session RESUMPTION OF SESSION was suspended. At 6:22 p.m., the session was resumed. It was 6:19 p.m. Upon resumption. Senator Legarda read the RESUMPTION OF SESSION special provision in the Insurance Fund, to wit:
At 6:19 p.m., the session was resumed. “In addition to the amounts appropriated herein, P75.559 million shall be used to cover the MOOE, capital outlay, requirements of the WITHDRAWAL Insurance Commission, source from the proceeds OF PROPOSED AMENDMENTS of premium taxes constituted into the insurance fund in accordance to Section 286 of Republic Upon resumption. Senator Legarda read a letter Act No. 8424.” from the Office of Senator Pimentel, to wit: Senator Legarda explained that the Insurance Dear Senator Legarda, Commission’s budget was sustained because it was able to use its own income. Greetings!
Per specific instructions of Sen. Aquilino Asked whether the amount of P7,000 was not “Koko” Pimentel III, we are respectfully with a mistake. Senate President Drilon answered in the drawing all his individual amendments to House affirmative. Bill No. 6132 otherwise known as the General Appropriations Bill submitted to your office. Asked whether it was then proper to vote on Sincerely yours, the motion. Senate President Drilon answered in the (Sgd.) Atty. Lutgardo Barbo affirmative. Chief of Staff INQUIRIES Senator Legarda stated that Senator Pimentel OF SENATOR RECTO had confirmed that Indeed he had withdrawn his proposed amendments resulting in changes only in At the outset. Senator Recto congratulated computation. Senator Legarda for her efforts in consolidating all the individual amendments in order to come up with PARLIAMENTARY INQUIRY the committee report. He said that he was amenable OF SENATOR PIMENTEL to 99% of what the Committee on Finance did; however, he noticed that the DSWD budget was Asked by Senator Pimentel whether there was reduced by P7.6 billion which he was told came from already a motion to approve the proposed amend the Pantawid Pamilyang Pilipino Program (4Ps). ments and whether it was still proper to interpellate. He asked if the amount was accurate. Senate IT THURSDAY. NOVEMBER 26,2015 685
President Drilon assured that based on his copy, Senator Recto explained that even if there is still the GAB for DSWD is P I09,006,021,000 while in the underspending in the current Programmed Fund committee report - P I07,225,131,000, which is a net because the expenditure targets are not met, the change or reduction of Pl,780,890,000. government still is not also spending the budget in the programmed side. He pointed out that the entire Senator Recto clarified that he was looking at budget, whether programmed or unprogrammed, the two documents — the GAB which contained the is actually an authority to spend. He also noted the figures PI09,006,021,000 and the Senate committee presence of separate trigger mechanisms — when report which proposed PI 14 billion. However, he taxes or revenues surpass the target or there is noted that the Second Reading version indicated borrowing. the amount of P107,225,331,000. He then sought clarification if such amount came from the 4Ps, and In the programmed side, he noted that earlier if so, he said that he has an amendment that could there was an amendment that before lumpsums in satisfy the Committee on Finance if it desires to the Programmed Fund could be spent, a list must be achieve the same thing. In . reply. Senator Legarda given to Congress and to COA. He reiterated that clarified that the amendment came from Senator the entire budget is actually an authority granted Enrile. to the President to spend P3 trillion, which amount was reduced by P20 billion. He emphasized that he As regards the utilization of certain funds from was not against the reduction but was only pointing LBP and DBP as well as the possibility of using the out that the President would still be authorized to funds for capital outlays of SUCs and tuition fee of spend P3 trillion. one million students. Senator Recto said that the choice could either be to give PIO billion to the two Senate President Drilon noted that the Senate banks, or to give the money to one million students. contingent to the bicameral conference committee He said that as far as he was concerned, he would would consider accordingly the proposal at the choose to give the fund to scholarships, whether appropriate time. through CHED or through the SUCs, so that there would be no underspending. PARLIAMENTARY INQUIRY OF SENATOR PIMENTEL Senator Legarda agreed to the proposal, saying that the amount was sustained for the scholarship of SUCs. She also admitted that it was very difficult to Senator Pimentel inquired if he could object to balance the budget since some funds must be left for certain items in the budget. Senate President Drilon other agencies, and that as recommended by Senate replied that doing so would require the Body to vote President Drilon, support must be given to the free on each amedment that the Sponsor would not tertiary education. accept.
On another matter. Senator Recto noted the In particular. Senator Pimentel said that he found availability of P20 billion under the Unprogrammed no justification in the increase of the budget in Fund, in particular on page 9 of the bill, which the Office of the Vice-President from P230,512,000 indicated a reduction of the Unprogrammed Fund to half a billion. from P67 billion to P47.5 billion. He noted that in the Senate committee report, the Risk Management Fund Asked by Senator Pimentel on the possibility of was reduced to P30 billion which he felt was not objecting to one particular item so that his proposal needed. He said that even if the PIO billion would could be managed properly. Senate President Drilon be restored to the Risk Management Fund, there said that he has no problem with the proposal as he would still be P20 billion available and which could expressed hope that such process would not be still be spent under the Unprogrammed Fund. followed for every item.
Senate President Drilon explained that the Senator Legarda stated that the particular item Unprogrammed Fund cannot really be spent because was not a committee amendment but an individual until the funds are available, that appropriation is amendment proposed by Senator Enrile which she merely theoretical. accepted. To be fair, she said that the amendment
r 686 THURSDAY, NOVEMBER 26. 2015 could benefit the next vice president who may come TERMINATION OF THE PERIOD from the Senate. OF COMMITTEE AMENDMENTS
Senator Sotto said that to simplify the process, Upon motion of Senator Aquino, there being no the alternative would be to vote on the bill and if objection, the Body closed the period of committee Senator Pimentel is not comfortable with some items amendments and proceeded to the period of individual in the bill, he could state his vote for or against the amendments. bill with reservations on a particular provision. SUSPENSION OF SESSION Thereupon, Senate President Drilon stated that Senator Pimentel could object to a particular item Upon motion of Senator Cayetano (P), the session and ask the Sponsor of the bill to accept it; otherwise, was suspended. there would be a division of the House. It was 6:46 p.m. SUSPENSION OF SESSION RESUMPTION OF SESSION Upon motion of Senator Legarda, the session was suspended. At 6:54 p.m., the session was resumed.
It was 6:38 p.m. CAYETANO (P) AMENDMENTS
RESUMPTION OF SESSION As proposed by Senator Cayetano (P) and accepted by the Sponsor, there being no objection, At 6:44 p.m., the session was resumed. the Body approved the following amendments, one after the other: MOTION OF SENATOR ESCUDERO 1. Reduce the individual budgets of the 113 Upon resumption. Senator Escudero said that SUCs by PIO million each or a total reduction after conferring with Senators Pimentel and Legarda, of PI.13 billion; the parliamentary status was that an omnibus motion 2 As a consequence, reallocate the total to approve all the committee amendments read by reduction of PI. 13 billion, as follows: Senator Legarda was presented; on the other hand. Senator Pimentel manifested his intention to object to one particular item. He said that Senator Pimentel’s sue ALLOCATION objection is therefore deemed as an objection to the NCR omnibus motion. In accordance with the Rules, he Philippine College of Aeronautics P20,000,000 said that the Body would vote on the motion objected Amang Rodriguez Institute to by Senator Pimentel. of Science and Technology 9.000. 000 15.000. 000 30.000. 000Polytechnic University of the Philippines 30.000. 000Polytechnic Senator Escudero moved to dispose of the motion Technological University of Senator Legarda and that the amendments as of the Philippines 15,000,000 proposed be approved. Tota! P89,000,000
APPROVAL Region I OF COMMITTEE AMENDMENTS Mariano Marcos State University PIO.000,000 5.000. 000 Acting on the omnibus motion, the Chair called Don Mariano Marcos Memorial State University 7.000. 000 for a division of the House. 20,000,000 Ilocos Sur Polytechnic State College 7.020.000 With the majority of the Members voting in University of Northern Philippines 9.939.000 favor, the omnibus motion of Senator Legarda was North Luzon Philippine State College 4312000 approved. Total P70,271,000 r?" THURSDAY, NOVEMBER 26, 2015 687
Region II Region IX Nueva Vizcaya State University P8,432,000 Western Mindanao State University PI5,000,000 Batanes State College 5,000,000 Zamboanga State College Cagayan State University 22,126,000 Marine Science and Technology 4,763,000 Quirino State College 5,566,000 Total PI 9,763,000 Total P41,124,000 Region X Region III Camiguin Polytechnic State College 3,000,000 Bataan Peninsula State University P10,006,042 6,480,000 Tarlac College of Agriculture P10,000,000 Central Mindanao University 11,500,000 Bulacan Agricultural State College 20,000,000 Mindanao University of Science Bulacan State University 10,000,000 and technology 7,801,000 Philippine Merchant Marine Academy 10,000,000 Total P28,781,000 Ramon Magsaysay Technical University 10,000,000 Total P70,006,042 Region IX Davao Oriental State College of Science and technology P15,000,000 Region IV-A 10,000,000 Batangas State University P10,000,000 5.000. 000 10,000,000 Compostela Valley State College P30,000,000 Laguna State Polytechnic University 2,800,000 Total 9.000. 000 Cavite State University 23.000. 000 Region XII Total P54,800,000 Cotabato Foundation College of Science and Technology P10,000,000 Sultan Kudarat State University 7,234,000 Region IV-B University of Southern Mindanao 10.000. 000 Mindoro State College of Agriculture Total P27,234,000 and Technology P20,000,000 Palawan State University 11,500,000 Region XIII Total P31,500,000 Caraga State University PI,850,000 Surigao State College of Technology8,624,000 Region V Surigao del Sur State University 15,000,000 Bicol University P30,000,000 Total P25,474,000 Sorsogon State College 10,000,000 9,500,000 Cordillera Administrative Region Camarines Sur Polytechnic College 10,000,000 Abra State Institute of Science Catanduanes State University 10,000,000 and technology P4,710,000 10,000,000 10,000,000 Camarines Norte State College 12,500,000 Apayao State College 8,000,000 Partido State University 10,000,000 7,000,000 Total PI 02,000,000 Ifiigao State University 4,000,000 Total P33,710,000 Region VI Aklan State University P10,000,000 Autonomous Region in Muslim Mindanao-tawi-Tawi PI 5,000,000 Region VII Cebu Normal University P15,000,000 Total for SUCs P731,796,042 Cebu Technological University 15.000. 000 5,400,000 University of the Philippines P398,203,958 5.000. 000 Siquijor State University 10,000,000 Total P50,400,000 TERMINATION OF THE PERIOD OF INDIVIDUAL AMENDMENTS Region VIII Eastern Visayas State University P15,000,000 Upon motion of Senator Aquino, there being no Naval Institute of Technology 7,733,000 objection, the Body closed the period of individual Total P22,733,000 amendments. 17 688 THURSDAY, NOVEMBER 26. 2015
APPROVAL OF HOUSE BH>L NO. 6132 Pursuant to Section 67, Rule XXIIl of the Rules ON SECOND READING of the Senate, upon motion of Senator Aquino, there being no objection. Secretary Yabes read only the Submitted to a vote, there being no objection, the title of the bill, to wit: Chair declared House Bill No. 6132 approved on Second Reading. AN ACT APPROPRIATING FUNDS FOR THE OPERATION OF THE GOVERN PRESIDENTIAL CERTIFICATION MENT OF THE REPUBLIC OF THE PHILIPPINES FROM JANUARY ONE TO DECEMBER THIRTY-ONE, TWO Upon direction of the Chair, the Secretary of THOUSAND AND SIXTEEN, AND the Senate, read the President’s certification as to FOR OTHER PURPOSES. the necessity of the immediate enactment of House Bill No. 6132, to wit: Secretary Yabes called the roll for nominal voting. October 1,2015
HON. FRANKLIN M. DRILON RESULT OF THE VOTING President Philippine Senate The result of the voting was as follows: Pasay City Dear Senate President Drilon: In favor
Pursuant to the provisions of Article VI, Aquino Guingona Section 26(2) of the 1987 Constitution, Binay Legarda I hereby certify to the necessity of the immediate Cayetano (P) Osmena enactment of House Bill no. 6132, entitled Drilon Poe Ejercito Recto “AN ACT APPROPRIATING FUNDS Entile Sotto FOR THE OPERATION OF THE GOVERNMENT OF THE REPUBLIC Escudero Ttillanes OF THE PHILIPPINES FROM JANUARY ONE TO DECEMBER Against THIRTY-ONE, TWO THOUSAND AND SIXTEEN, AND FOR OTHER Pimentel PURPOSES,” Abstention to ensure the budgetary preparedness that will enable the government to effectively perform its None constitutional mandate of funding various programs and activities for FY 2016, and in order With 14 senators voting in favor, one against, to address the need to maintain continuous and no abstention, the Chair declared House Bill government operation following the end of the No. 6132 approved on Third Reading. current fiscal year. SENATE CONFEREES Best regards.
Very truly yours, Upon nomination by Senator Aquino, there being no objection, the Chair designated the following to (Sgd) BENIGNO S. AQUINO III constitute the Senate panel in the disagreeing votes of House Bill No. 6132: Senators Angara, Aquino, APPROVAL OF HOUSE BILL NO. 6132 Guingona, Osmena, Villar, Legarda, Recto, Sotto and ON THIRD READING Enrile.
In view of the presidential certification, upon SUSPENSION OF SESSION motion of Senator Aquino, there being no objection, the Body considered, on Third Reading, House Bill Upon motion of Senator Aquino, there being no No. 6132. objection, the session was suspended to allow the l / THURSDAY. NOVEMBER 26.2015 689 members to greet Senate President Drilon on the I hereby certify to the correctness of the occasion of his birthday on Saturday. foregoing.
It was 7:04 p.m.
ADJOURNMENT OF SESSION
Upon motion of Senator Aquino, there being no objection, the Chair declared the session adjourned OSCAR It was 7:06 p.m. Approved on December 1, 2015