Unprogrammed Appropriations Clarified as Safety Net by Budget Department

Toledo: The Department of Budget and Management (DBM) clarified on Saturday that the Unprogrammed Appropriations (UA) are designed to act as a 'safety net' rather than a 'politician fund,' emphasizing the lawful and transparent handling of the budget. In a radio interview, DBM Acting Secretary Rolly Toledo stated there is no irregularity with incorporating the UA in the 2026 General Appropriations Act (GAA).

According to Philippines News Agency, Toledo explained that the executive branch, with Congress's consent, can finance select programs or projects not covered under the Programmed Appropriations in the 2026 GAA. He stressed that unprogrammed appropriations are intended to be used responsibly and should not be perceived as a political tool.

Toledo highlighted that the UA is not an automatic fund to be spent, as it requires additional revenues or finalized loans and contracts for activation. The DBM is responsible for evaluating requests for UA fund releases, ensuring they are supported by necessary documentation from the requesting agency.

He reiterated that the UA undergoes a stringent review process by the DBM, involving legal policy scrutiny and document verification, ensuring accountability among officials.

President Ferdinand R. Marcos Jr. has reduced the UA in the 2026 GAA to its lowest level since 2019, following his veto of nearly PHP92.5 billion in proposed items. Marcos emphasized the veto as a strategic move to restore public trust in the budgetary process. He also placed certain Special Provisions under conditional implementation, ensuring funds are released only when legal, procedural, and fiscal conditions are met.