Palace says it may stop DAP releases

Natashya Gutierrez

This is AI generated summarization, which may have errors. For context, always refer to the full article.

The Disbursement Acceleration Program may be stopped eventually, because it has supposedly achieved its purpose and not because of the recent controversy questioning its constitutionality

MANILA, Philippines – The Disbursement Acceleration Program (DAP) may be stopped eventually, but the Palace insists it has nothing to do with the recent controversy questioning its constitutionality.

On Friday, October 4, Deputy Presidential Spokesperson Abigail Valte continued to defend DAP but said “the idea” is for it to stop completely.

Valte said because public spending and the economy has picked up – which was what DAP intended to achieve – the releases under the program have decreased over the years.

The Palace announcement was made as groups gathered in Makati City to call for the abolition of all kinds of pork barrel, including the discretionary funds of the President.

“It has lessened considerably. The amount that is involved has lessened considerably than what it was in 2011 primarily because, yes, spending has picked up…. Remember that when this was launched, our GDP was in the threes in 2011. At the start of 2012, there was also a big improvement when it came to the GDP,” she said.

“The idea really is to be able to one, help pick up public spending; and second, to help the agencies improve their absorptive capacities,” she said.

“So, if you see the trend that’s been happening, the funds that are involved, the amounts that are involved, keep going down because the agencies are learning how to spend and move around their funds properly, so their projects are all on time.”

According to the Department of Budget and Management (DBM), DAP – mainly sourced from savings or unreleased General Appropriation Act (GAA) items, as well as realignment and unprogrammed funds – was designed to ramp up spending and help accelerate economic expansion.

Valte said “the DBM [will] determine” whether DAP will still exist in 2014.

“[The DBM] will still have to look at the savings, at least the funding sources for the mechanism,” she said.

DBM said a total of P137.3 billion has been released under DAP, including P82.5 billion in 2011 and P54.8 billion in 2012.

DAP releases to projects recommended by lawmakers has been temporarily suspended.

Valte emphasized the decreasing amount needed for projects would be the reason DAP would be halted eventually, and not because of the debate on its legal basis. She maintained the Palace “will be ready to defend that particular position now that it’s been challenged before the court.”

Palace cites Constitution to defend DAP

She also advised critics to study the facts before forming an opinion on DAP, reiterating that lawmakers never received money and it instead went straight to implementing agencies responsible for projects.

The DBM said only 9% of total DAP releases from October 2011 to Oct 1, 2013, was released to projects identified by legislators.

READ: Palace spending program ‘illegal’

The Aquino administration has been forced to explain details of DAP after questions were raised over millions of pesos released after the impeachment of former Chief Justice Renato Corona. Critics tagged the release a bribe or incentive, while another former lawmaker, Sen Joker Arroyo, questioned where the funds given to senators came from.

READ: Jinggoy: P50M for each convict-Corona vote

When the Palace announced additional cash releases for projects of lawmakers came from DAP, senators started to raise concerns about its constitutionality and the illegal nature of releasing funds without the approval of Congress. – Rappler.com

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Natashya Gutierrez

Natashya is President of Rappler. Among the pioneers of Rappler, she is an award-winning multimedia journalist and was also former editor-in-chief of Vice News Asia-Pacific. Gutierrez was named one of the World Economic Forum’s Young Global Leaders for 2023.