FY 2009 Budget Update:
BICAM REPORT TO BE SUBMITTED ON THE FIRST WEEK
OF SENATE SESSION - ANGARA

Sen. Edgardo J. Angara today said that he is optimistic that the bicameral conference committee report on the FY 2009 budget will be submitted for Senate ratification, as the Upper House resumes its session today.

"We are almost close to an agreement. That's why I can tell you that when we resume session this week, we will be able to submit for ratification the report of the bicameral conference committee. There is, in general, a consensus on the amount that we should put behind stimulus package and behind the overall figure of the budget. But we are still refining those figures," said Angara who chairs the Senate Finance Committee.

He then added some details behind the FY 2009 budget, "Apart from the traditional personnel budget, and MOOE, and the retirement and pension fund and some other program, what we are trying to do now is try to reallocate and realign some of those capital budgets, specially the infrastructure."

Angara said that there are some capital spending that can be postponed without harm to our economy, but if realigned can help create works and jobs.

The Bicam Committee is now trying to refine the different stimulus projects that the FY 2009 budget will encourage and fund.

Part of the Stimulus Package, he said, amounting to at the minimum P15 B up to P30 B at the most will be sourced from debt service cuts and some will come from realignment.

He then cited a hypothetical example of re-alignment:

For example, there is a lump sum provision for reforestation but there are no details to that. Perhaps the Bicam Committee will say no, and will break it down. Maybe, genuine replanting of trees doesn't require P2 B, maybe it only requires one billion.

The committee will realign one billion to maybe building ports, training forest rangers or conserving mangroves and coral reefs. "That type of realignment, because that enhances the livelihood prospects of people in the coastal communities and people in the uplands," he added.

Some descriptions of the stimulus projects include, but not limited to:

• Financial assistance;

• Loan guarantee funds for training entrepreneurs;

• Education and skills training programs for the youth in welding, computer technology, farm machinery, home care, hotel-restaurant management, paramedic training, language training;

• Financial assistance through loans and grants to small and medium scale;

• Provision for drugs and medicine, medical and dental supply, vaccination;

• Food and environment like Mariculture for tilapia and bangus, seaweeds including acquisition and operation of motorized boats;

• Bantay-kalikasan and Bantay-dagat program;

• Manufacture of briquettes from agricultural and forest ways and.

• Establishment of two research institutions for the Industrial Development Research programs and the Renewable Energy program;

A Congressional Oversight Commission on Budget Expenditure will also be created. That is the only way, number one, to speed up the spending because, you may have money, but if you don't spend it, it is useless. It will not create any jobs. And secondly, it will ensure that the expenditure is going to create jobs in this very bad year of 2009, shared Angara.