Manila: A "source of abuse and corruption" within the proposed 2026 national budget was eliminated by the Senate prior to President Ferdinand R. Marcos Jr.'s use of veto power, Senator Sherwin Gatchalian announced on Monday. In his statement following the signing of the 2026 national budget, Gatchalian expressed respect for the President's constitutional right to veto certain provisions but emphasized that the PHP80-billion Strengthening Assistance for Government Infrastructure and Social Programs (SAGIP) under the Unprogrammed Appropriations (UA) had already been removed by the Senate.
According to Philippines News Agency, Gatchalian, who serves as the Senate Committee on Finance chairperson, stated, "I would like to highlight that the PHP80-billion SAGIP under the Unprogrammed Appropriations had already been removed by the Senate." He explained that SAGIP had been identified as a source of abuse and corruption, especially in flood control projects, with lump sum funds for these projects often being parked under the program. In 2024, flood control funds under SAGIP amounted to PHP86.93 billion.
Gatchalian noted that there was no direct veto within the Programmed Appropriations and mentioned that five of the seven items vetoed under the UA were initially part of the National Expenditure Program, which Congress later refined. He also clarified that the inclusion of the Regional Action Center for Excellence program in the UA was for bookkeeping purposes only. Similar to the Comprehensive Automotive Resurgence Strategy (CARS) Program, it is a non-cash item that provides the legal basis for the Department of Trade and Industry-Board of Investments (DTI-BOI) to issue tax payment certificates. "Walang aktwal na pondong inilalabas dito (No actual funds are being released)," Gatchalian explained.
He further stated that the Senate would closely monitor the implementation of the 2026 budget and continue collaborating with the Executive branch to ensure the proper and transparent use of public funds. On Monday morning, President Marcos signed the PHP6.793-trillion national budget for 2026 into law at Malaca±ang in Manila. He vetoed PHP92.5 billion worth of items under the UA to enhance safeguards on public spending and reinforce fiscal discipline.
