Fiscal autonomy
Senator Franklin Drilon, chairman of the Senate finance committee, said the fiscal autonomy guaranteed by law was not compromised by the MPBF provision.
He said funds for filled vacancies were “automatically released,” contrary to Arroyo’s fears.
Drilon said the budget department’s permission was not required before funding for salaries was released. “The offices concerned only need to appoint and the appropriation for salaries would be released,” he said.
He said the MPBF provision was introduced to prevent the conversion of savings into bonuses that unscrupulous government officials award themselves.
“Some agencies abuse their savings. For example, if P100 million is allotted for the salaries of 100 workers, some would hire only 90 people, declare the 10 vacancies as unfilled and convert the savings from the savings obtained into bonuses,” he said.
Drilon said the release of public funds for salaries would not need the President’s approval. “Once the (Judicial and Bar Council) appoints a judge, the salary is automatically released,” he said.
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