Transcript of Senator Nancy Binay's questions during the Senate hearing on the proposed 2021 Budget of GAB and PSC

Senator Nancy Binay (SNBA): Simulan po natin sa GAB, magkano po yung lost revenue for 2020?

GAB Chair Mitra: We will look into the records. GAB's revenue comes from TV shares and of course yung nanonood sa Araneta coliseum at MOA pero now po alam naman natin na since the start of the pandemic wala pong sporting events and kung magreresume man e wala din pong audience.

SNBA: Meron din po ba kayong pagaaral assuming na tuloy-tuloy ang problema natin sa COVID, magkano yung projection niyo next year? Siguro by next year baka wala din kayo masyadong kitain pa?

GAB: Ma'am actually hindi naman talaga kami on the revenue generation, we want to follow the lead of the IATF to make sure that the resumption of sports will be safe but as for the revenue, I think the professional leagues are also thinking of revenue enhancement methods in terms of tv and livestreaming so baka sakali po yung 3% na share ng gobyerno collected by GAB but remitted directly to the treasury is manggaling sa TV rights nila. Actually maliit lang yung amount mam but in terms of percentage na nawala almost 10 percent lang ng nakolekta last year ang nakikilekta sa ngayon kasi January February lang po ang operational time at yung PBA po one game pa lang sila.

SNBA: Alam niyo po ba kung ilan yung displaced from the different sports?

GAB: Halos lahat po displaced kasi wala pa pong nagreresume. PBA will resume October 11, boxing will resume in Cebu October 7 so lahat po sila displaced. No play no pay.

SNBA: So mga ilan po ang apektado? Kasi feeling ko next to tourism malaki din po ang epekto sa inyo ng COVID 19. Not just the players per syempre kasama yung support staff sa displaced workers.

GAB: Yung boksingero po there is about 1300 licensed boxers and then there are trainers, coaches, support staff. yung sa basketball hindi naman po aabot ng 1000. Yung sa ibang licensees po natin like yung mga gaffers 16000 po ang hindi nakakapagtrabaho sa ngayon. Yung 1300 po kasama na po yung mga mixed martial artist licensees natin. Mga fighters po iyon so more or less 2500 kasama yung mga coaches, trainers and seconds.

SNBA: Meron po ba kayong tie up with DOLE or DSWD para makakuha sila ng ayuda wether in terms of SAP or sa programa ng DOLE?

GAB: We thought about writing DOLE pero aitulak po kami sa DSWD meron po silang konting pondo from the central office ata na nabiyayaan at ang balita po namin na ang ating chairman at senator Bong Go ay nagbigay din po ng AICS funds niya kaya nakapagbigay po sa Davao, Cotabato, GenSan at sa CDO. Medyo kalahati pa lang po ang nabibigyan at baka mabigyan din kami ng biyaya ni Sen. Nancy para mabigyan din po ang kalahati ng ating mga boksingero.

SNBA: Naku parang wala ata akong ganung pondo puwede ho ba makakahingi na lang ako kay Sen. Bong Go ng ganoong pondo.

Sen. Imee Marcos: Parang si Sen. Bong Go lang ang may ganoong pondo a. Narinig ko yan. (laughs)

SNBA: Oo nga. (laughs)

Sen. Bong Go: Wala a. Pare-pareho lang tayo pero basta makakatulong sa ating mga atleta magtulungan po tayo. Isa lang tayo dito.

SNBA: Sen. Bong Go baka pwede tayong makahirit sa Luzon at Visayas kasi yung mga nabanggit lang ay puros Mindanao (laughs)

Sen. Bong Go: Opo makikiusap po tayo sa executive of course through the request of Sen. Binay and Sen. Imee Marcos. Hanapan po natin ng paraan.

SNBA: Para po siguro makatanong na si Sen. Imee, for the PSC, how much was the total amount given for the PHISGOC for the SEA Games?

PSC Executive Director Guillermo Iroy: The budget for PHISGOC under the GAA in 2019 is 5 billion and there is an additional fund of 1 illion from the office of the president. So 6 billion. And the PSC likewise extended an amount that is more than 800 million so i think ma'am more or less the budget for PHISGOC is almost 7 billion.

SNBA: Yung first 5 billion po para saan po sya?

PSC: Yung 5 billion po sa GAA kasama na po sya sa overall. Actually the original budget that time was 7.5 billion because the expenses estimated by the organizing committee because of the 54 or 56 sports lineup so it will reach 7.5 billion but what was approved was only 5 billion that is why we requested a 1 billion additional budget from the office of the president but because of the impact of the SEA Games wherein the participants and guests surpassed the number expected, that is the reason why the PSC likewise extended an amount over and above the general funds intended for the SEA Games.

SNBA: Sa inyo po yung 800 million?

PSC: Almost 800 million ma'am.

SNBA: Saan po ginamit yung 800 million?

PSC: Sports equipment ma'am number one and for the international broadcast. If you recall the opening of SEA Games and the live coverage was well pleased by the public. That was one of the big ticket expenses of the PSC. The international broadcast.

SNBA: Hindi po ba kayo nagka-income sa ticketsales?

PSC: The PHISGOC is the one in charge of the ticket sales but that will be submitted in their audited financial statement soon but in so far as the income is concerned, what PSC received but also part of the payment of expenses which in fact up to now we 387 million expenses outstanding we received from the accommodation subsidy this is coming from the delegation remitted to the PSC that is around 163 or 164 million plus the income of the broadcast is 32 million so a total of 194 or 195 million more or less but this was also used as payment of expenses during SEA Games.

SNBA: So wala na po kayong account receivables from PHISGOC?

PSC: Wala na po. In fact we requested from the DBM an additional 387 million for the remaining payables from the different suppliers from the SEA Games.

SNBA: So may utang pa kayong 387 million?

PSC: Yes Ma'am.

SNBA: So yung 387 million ho, you will remit this to PHISGOC para mabayaran...

PSC: Yes ma'am. In fact there are too many demand letters that we received. In fact some senators already received demand letters from the suppliers so we expect that this 387 will soon be released by the DBM.

SNBA: Parang mahirap po yata. Parang naubos na yung pera ng DBM for COVID.

PSC: We hope.

SNBA: Nabanggit nyo po kanina na PHISGOC will submit their audited financial report, kelan po ito?

PSC: Right now in coordination with PHISGOC it is now under a third party auditing firm which is the Price Waterhouse & Cooper one of the best auditing firms in the country. It would be finished by the end of the month or November. They promised to submit that also and they will also submit that to the POC and is one of the contentious issues right now.

SNBA: Pero hindi po ba subjected yan to COA audit? dahil technically government ito?

PSC: Yes. All the expenses related to SEA Games the COA will also do an audit. Right now the PHISGOC submitted the liquidation almost 70 percent or 79 percent with this the COA is also doing a post audit. It is mandatory for us to submit it to COA also.

SNBA: Siguro chair Ramirez can we get a copy, can you submit to the committee a copy of the audited report. Hindi po ba may deadline supposedly ng October 10 yan?

PSC: That was the POC deadline but we received information that it will be extended because we also requested that also PHISGOC that the commission on audit also requested a copy of the audited financial statement.

SNBA: Yun lang po chair antayin na lang po natin yung kopya. Thank you.

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SNBA: With permission of the chair, kasi nabanggit mo yung utang, sino po ba may utang, PSC or PHISGOC?

PSC: PHISGOC but because it is a guarantee of the government during the hosting, that is part of te request of PHISGOC to PSC which we endorsed to DBM for possible funding of the remaining payables.

SNBA: What happens if DBM will not release funds? Sino ngayon magkakakaso, PHISGOC o PSC?

PSC: This contract was entered into by PHISGOC but definitely the PSC will be included in the case and also the POC being part of the organizing committee but we are optimistic that the amount remaining to be released by DBM for these payables.

SNBA: Siguro can you submit na din to the committee kung ano yung breakdown?

PSC: Yes we have ready documents and we will send it right away po.

SNBA: And pati na rin yung JV na inenter nyo with PHISGOC and PSC.

PSC: The tripartite agreement ma'am?

SNBA: Di ba usually pag may mga guarantee from the government dapat dumadaan yan sa NEDA or another agency for approval?

PSC: I think this one was directly handled by, in fact the congress approved the budget for hosting of the SEA Games because at that time the requirement of the SEA Games federation council before the country can host the event is that there must be an approval from the office of the president. That is why in 2017 after the closing of the SEA Games in malaysia. At that time, Cong. Peping was the president of the POC it was turned over to our then DFA secretary Speaker Allan Peter Cayetano so that was the start of the engagement of the government of the republic of the Philippines ma'am and in fact...

SNBA: Kasi ang problema parang pamahalaan yung nagkautang bigla when in fact PHISGOC they were the one who entered into a contract pero ang nagbabayad ng utang nila is tax payer money pa rin. Pasubmit na lang po sa committee para matignan at mapagaralan ang JV agreement. Yun lang po. Thank you.