Panfilo Lacson. INQUIRER FILE PHOTO
The Department of National Defense (DND) on Friday denied having P66.4 billion in lump-sum discretionary funds in this year’s budget as alleged by former Sen. Panfilo Lacson, saying these funds were being held by the budget department and most were intended for the pensions of veterans and retired personnel.
In a press statement, the agency said that unlike the discredited “pork barrel allotments, the lump-sum appropriations were “clearly shown and carefully allocated” in the 2015 budget.
“The DND does not have P66.4 billion as lump sum as stated in the article, but rather, the said amount allocated for the DND is included in the lump-sum appropriations under the budget,” DND spokesperson Peter Paul Galvez said.
Lacson earlier claimed that the budget contained some P424 billion in lump-sum allocations or discretionary funds of some government agencies, reviving the issue of “pork barrel,” which was declared unconstitutional by the Supreme Court.
According to Galvez, the fund would be held by the DBM and its release would be subject to the issuance of a special allotment release order when certain conditions are met.
Galvez added that “most of the funds are for the pensions of veterans and retired personnel.”
He stated that “the total number of veterans and retirees was difficult to predict accurately because of personal discretion and individual preferences,” so the lump fund was designed to “cover gaps” in the allocated budget for pensions and benefits.
Around P2.018 billion was also provided for for “unfilled positions under the miscellaneous personnel benefit fund” as stated in the 2015 General Appropriations Act, the DND statement said.
Another P10 billion was for “unprogrammed projects under the military’s modernization program or new modernization projects still awaiting approval,” as likewise stated in the proposed act.
Also included in the DND’s budget was the pension gratuity fund amounting to P42.377 billion. Under this allotment, P32.48 billion would be programmed for the general headquarters, while P 9.897 billion was for the Philippine Veterans Affairs Office.
An additional P10 billion was for benefits of military and civilian personnel who will avail of optional retirement from the service, the statement also said.