Manila: The Senate Committee on Finance (Subcommittee A), led by Senator Sherwin Gatchalian, has approved the Commission on Audit's (COA) budget of PHP15.07 billion for 2026 as part of the National Expenditure Program (NEP). This decision was made in the absence of Commissioner Mario Lipana, who has been on medical leave since August 1.
According to Philippines News Agency, COA Chairperson Gamaliel Cordoba informed the senators that Lipana's leave has been extended until October 30 due to ongoing treatment abroad for a medical condition. Lipana's absence coincides with reports of a potential conflict of interest involving him, linked to audit findings on government infrastructure projects allegedly associated with a construction firm owned by his wife. Although this issue was not addressed during the hearing, COA officials have stated that it is under internal review to ensure adherence to ethics rules and the agency's independence.
Despite the ongoing internal review, the subcommittee approved COA's budget of PHP15.07 billion, which is less than the PHP16.99 billion originally requested by the agency. The additional funds were intended to support reforms, the modernization of information and communications technology, and facility upgrades. Specifically, COA sought an additional PHP1.9 billion to establish the Negros Island Region, implement ICT systems under its Information Systems Strategic Plan, and construct new regional and field offices.
The approved budget under the NEP allocation includes PHP13.04 billion for personnel services, PHP724.93 million for maintenance and other operating expenses, and PHP112.37 million for capital outlay. Additionally, PHP1.195 billion is earmarked for Retirement and Life Insurance Premiums.
Senator Gatchalian emphasized COA's critical role as the government's "last line of defense" against corruption and inefficiency. He urged the agency to continue reforms to restore public confidence in government spending and prevent past issues from recurring. The approved budget will now proceed to the Senate plenary for further deliberation.