Senator Calls for DBM Review of Budget Vetting Process
Senator Sherwin Gatchalian urged the Department of Budget and Management (DBM) to thoroughly review its internal processes, especially regarding how it vets the National Expenditure Program (NEP). This call came after several red flags were detected in the proposed 2026 national budget. The senator emphasized the importance of the DBM’s role as the first filter in ensuring an accurate and anomaly-free budget submission to Congress.
Leading the Senate finance committee’s review of the P6.793-trillion proposed budget, Gatchalian highlighted concerns with the current NEP. He pointed out that some flood control projects, among others, were repeated from the 2025 General Appropriations Act, raising questions about the budget’s integrity.
Multiple Budget Red Flags Identified
During the hearings, the senator detailed several troubling issues within the NEP. These included budget items missing station numbers, duplicated projects, and multiple projects sharing identical descriptions but divided into varying costs, phases, and packages. Additionally, he observed that some projects were oddly priced in round numbers, which often signals a lack of detailed costing.
“This is probably not just a clerical error; it was deliberately included in the NEP… my point is that the DBM should reform its process and be more detailed in analyzing the projects being added to the NEP,” Gatchalian remarked, urging the agency to improve its scrutiny mechanisms.
DBM’s Vetting Process and Challenges
When asked about the DBM’s vetting procedures, Budget Secretary Amenah Pangandaman acknowledged that the department screens for duplicate projects. However, she clarified that the vetting does not extend to verifying the integrity, amount, or physical existence of projects, citing limited manpower as a significant constraint.
Responding to this, the senator stressed that the DBM must enhance its vigilance in examining the NEP before it reaches Congress. He underscored that the department is expected to serve as a rigorous gatekeeper, ensuring all budget proposals are legitimate and free from anomalies.
“My only suggestion is to review your internal processes, because the first filter is the DBM… when you submit these to us, we assume they’ve been properly vetted, thoroughly reviewed, and that everything is legitimate and accurate,” Gatchalian said. He added, “These red flags should already be removed before being submitted to us; if we were able to find them, I’m sure the DBM can easily find them too.”
Executive Session Proposed to Address DPWH Budget Issues
In the same hearing, Senator Panfilo Lacson recommended holding an executive session to address concerns over the Department of Public Works and Highways’ (DPWH) proposed budget within the NEP. He suggested this as a way to collaboratively amend or remove projects with questionable costs.
“I’d like to propose that we should schedule an executive session, way forward po ito, kasi po with your guidance, we are willing to amend and delete all these similarly cost projects,” Lacson stated. He added the need to understand the national government’s direction regarding the removal of these items.
Echoing Gatchalian’s findings, Lacson revealed that 373 projects had been allocated exactly P100 million each, totaling around P37.3 billion. He estimated that the total amount affected by such red flags could reach approximately P50 billion.
“Maybe we can schedule an executive session for the executive branch to guide us, since they can’t do anything about this anymore—we’re already in the authorization phase of the budget process, and the preparation phase is over,” he explained.
Budget Secretary Pangandaman concurred, noting that newly appointed DPWH chief Vince Dizon is already investigating the duplicated projects.
Calls for Inter-Agency Cooperation
Meanwhile, Senator Risa Hontiveros urged the DBM to collaborate more closely with other agencies such as the Department of Environment and Natural Resources, water project management offices, and river basin control offices. She highlighted that these agencies possess the technical expertise and mandate to certify projects, providing crucial checks and balances for DPWH initiatives.
“Because these are the ones with the technical capacity and the mandate to certify… they provide the check and balance for the DPWH to ensure that the projects in the NEP and the GAB are consistent with the approved river basin and flood master plans,” Hontiveros said.
She added, “Hopefully, the DBM can also convince the other offices to assert their mandate.”
For more news and updates on National Expenditure Program vetting, visit Filipinokami.com.
