This story was taken from Bulatlat, the Philippines's alternative weekly newsmagazine (www.bulatlat.com, www.bulatlat.net, www.bulatlat.org).
Vol. V, No. 36, October 16-22, 2005

State Colleges to Get Less Than Half of Budget for Military Schools in 2006

A look at the proposed 2006 General Appropriations Act would show that state colleges and universities – numbering hundreds all over the country – are to get less than half of the budgetary allotments for two major military educational institutions, the Philippine Military Academy (PMA) and the National Defense College of the Philippines (NDCP).

BY ALEXANDER MARTIN REMOLLINO
Bulatlat

The PMA is to receive a total of P572.24 million while the NDCP will get P40.45 million – or P612.68 million all in all. Conversely, the total allocation for state colleges and universities is only P16.67 million.

This discrepancy in the budgetary appropriations for the PMA and the NDCP, on one hand; and state colleges and universities on the other hand, is however just a reflection of the over-all contrast between the allocations for defense and education.

Under the proposed 2006 budget, which amounts to P1.03 trillion, education is to receive a total of P146.4 billion while defense is to get P52.61 billion.

At first glance, it is easy to be led into thinking that education, with its P146.4-billion allocation, is the runaway winner over defense. However, it has to be considered that the budget for education will still have to be divided among thousands of public educational institutions all over the country – which are certainly more numerous than the military detachments.

Increases in allocations

This seemingly sorry state of affairs is little helped by the fact that certain items classified in the national government expenditure programs as economic and social services are to receive significant increases in budgetary allocations for next year – considering which of the items falling under these categories are to receive the more significant increases.

Included in the categories of economic and social services are health, education, housing, and land distribution. Apart from these, there are items classified as “Other Social Services” and “Other Economic Services.” Under “Other Economic Services” are items like the President’s contingent fund, priority development assistance fund (PDAF) and allocations to the local government units or LGUs.

The allocations for social and economic services for the current year amount to P656.990 billion out of a total national budget of P907 billion. Under the proposed 2006 national expenditure program, which amounts to P1.05 trillion, economic and social services are to take up some P724.37 billion.

There is thus an increase of P67.38 billion in the budget for economic and social services from 2005 to the proposed 2006 expenditure program.

A study by the office of Bayan Muna (People First) Rep. Teddy Casiño shows that “Other Economic Services” and “Other Social Services” are to receive increases of 181.51 percent and 82.85 percent, respectively.

The study further reveals that what contributed significantly to the increase in the appropriations for “Other Economic Services” and “Other Social Services” are the budget outlays for the Kalayaan Barangay Program, with P1.8 billion under economic services and another P1.2 billion for social services; and the Kilos Asenso Program, which got P3.35 billion under economic services and P1.65 billion under social services. All in all, these add up to P8 billion in new allocations for the LGUs, apart from the internal revenue allocations or IRAs and other LGU special allocations.

The Department of Budget and Management (DBM), in a statement recently released to media, describes the Kalayaan Barangay Program as “involving the construction of suitable access ‘Kalayaan Roads,’ establishment of two-classroom school buildings, and provision of water and electricity in some 500 conflict-affected barangays.” It would run for six years and will form part of the Arroyo government’s efforts at forging peace and unity with its detractors, according to Budget Undersecretary Mario Relampagos.

Meanwhile, the Kilos Asenso Program is described in government statements as a national counterpart fund to support LGU projects like farm-to-market roads, day care centers, small bridges, and livelihood projects.

“Eight billion pesos for all the LGUs is clearly not sufficient,” states the paper prepared by Casiño’s office however. “This will definitely go to select LGUs – there are however no details (as) to where they will be going. This raises (questions of whether) the new programs are a payment of sorts for the LGUs that supported her overwhelmingly during the most turbulent times of her administration.”

President Gloria Macapagal-Arroyo has long been facing calls for her resignation or removal from office over her government’s imposition of what cause-oriented groups describe as “anti-national and anti-people” policies. Opposition to her administration has recently intensified following renewed allegations that she cheated her way to victory in the 2004 election.

In July, Arroyo saw three impeachment complaints filed against her. All three complaints would eventually be dismissed at the House of Representatives.

The increases in the allocations for economic and social services are to affect those items that are actually not part of the main concerns under these categories.

Services vs debt servicing

Moreover, the oft-raised issue of measly allocations for economic and social services as against the massive outlays for debt servicing remains.

Under the proposed 2006 budget, the allocations for economic and social services amount to a total of P724.37 billion. The appropriations for social services – totalling P310.43 billion – are to be divided among health, education, housing, and land distribution among others.

Meanwhile, a whopping P344.2 billion is allotted for debt interest payments alone. This is equivalent to roughly 33.3 percent of the proposed 2006 budget.

The said amount is apart from the P381.7 billion marked for principal amortization, which is an off-budget item that therefore does not have to go through congressional deliberations.

This means that in all, the Arroyo government intends to spend P721.7 billion for payment of debts, including onerous loans incurred under previous administrations.

In contrast, budget outlays for education and health total only P162.6 billion for education and health combined. Of this, P146.4 billion will go to education as previously mentioned, and only P16.2 billion will go to health.

Dividing the education and health budgets by the country’s current 84-million population, we get the figure of P19.36 – which is the mathematical equivalent of what the Arroyo government will be spending for the education and health of every Filipino under the proposed 2006 budget. Of this, P17.46 is to be spent for every Filipino’s education, while a measly P1.90 is to be spent for their health. Bulatlat

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