Manila: Senator Panfilo Lacson announced that the 2025 national budget would mark the final appearance of the controversial 'leadership fund,' also known as 'allocables.' This mechanism previously allowed lawmakers to identify projects during the executive branch's preparation of the proposed spending plan.
According to Philippines News Agency, Lacson revealed in an interview that the 'leadership fund' is notably absent from the 2026 budget. He expressed his belief that the practice should be permanently abandoned, characterizing it as a more problematic version of the outlawed pork barrel system. The system permitted legislators to influence project allocations prior to the National Expenditure Program (NEP) reaching Congress.
Lacson further emphasized that lawmakers should engage in budget-making during the authorization phase when Congress deliberates and amends the NEP. This process is preferable to intervening during the executive-led preparation phase. He noted that district representatives already have opportunities to address local priorities through development councils, which identify projects before they are elevated to regional and national planning bodies.
Bypassing this process through pre-arranged allocations could undermine the value of local and regional development plans, Lacson warned. He stated that congressmen and senators should not interfere in budget preparation, as it falls within the purview of the executive branch and local government units.
The 'leadership fund' drew renewed attention following testimony from former Department of Public Works and Highways (DPWH) secretary Manuel Bonoan. He testified that senators had allocations of at least PHP500 million each for priority projects under the mechanism in 2024.
Lacson recalled Bonoan's earlier disclosure during a Senate Blue Ribbon inquiry. Bonoan had stated that projects requested by lawmakers were consolidated by the DPWH for possible inclusion in the NEP after a review by its planning service. Lacson defended congressional amendments as legitimate when used to address funding deficiencies in government programs, distinguishing them from allocations that could serve individual or private interests.
He cautioned that while budget insertions do not automatically constitute misuse of public funds, they could create opportunities for abuse and corruption when lawmakers receive large individual allocations. With deliberations on the next national spending plan approaching, Lacson has instructed his staff to closely review the proposed budgets of the DPWH, Department of Agriculture, and Department of Transportation, as he believes these allocations warrant particular scrutiny.
