Senators: Reenacted budget better than questionable allocations
President Ferdinand Marcos Jr. does not want a reenacted budget for 2026, as Malacañang warned that several government projects could face delays if the proposed General Appropriations Act is not approved on time.
At least three senators, however, said a reenacted budget would be a better choice than to pass the 2026 budget with questionable provisions.
Senate President Pro Tempore Panfilo Lacson cited three contentious provisions that must first be resolved in the bicam: the possible restoration of budget slashed from the Department of Public Works and Highways, the allocation for the Medical Assistance to Indigent and Financially Incapacitated Patients (MAIFIP) program as well as funding for farm to market roads.
“We may operate on a reenacted budget if we cannot ratify the budget on time…We may not have sufficient time,” Lacson said.
Still, Presidential Communications Office Undersecretary Claire Castro said the executive branch remains optimistic that lawmakers will exhaust all the remaining time and options to ensure passage of the 2026 GAA.
“Everyone knows, all of us, including Congress, the President does not want a reenacted budget,” Castro said.
“In the remaining time, we know that all capabilities must be exercised so that the budget does not end up as a reenacted budget,” she added.
For his part, Senate Majority Leader Juan Miguel Zubiri said there is nothing wrong with a reenacted budget.
“In the United States, they did not have a budget for 120 days until they were able to fix all the kinks. I’m not saying we will take 120 days, but what I’m saying is let us fix this budget,” Zubiri said.
While Senate Finance Committee chairman Sherwin Gatchalian agreed that a reenacted budget is more acceptable than one that is riddled with questionable appropriations, he said there was still time to pass the national spending plan.
“We just need to hurry up,” he said.
Lacson also expressed optimism the bicam can break the impasse on the DPWH budget, in particular.
“The issue with the DPWH is nearing resolution. We are just discussing whether the restoration of the budget is justifiable,” he said.
Castro warned a reenacted budget will be detrimental to government operations and economic growth, noting that the Department of Finance has also flagged risks should Congress fail to pass a new spending plan.
“The President does not want that, and even the Department of Finance is worried about a reenacted budget because many projects would be delayed if that happens,” she said.
The Senate earlier postponed the bicameral conference on the proposed 2026 budget amid issues over the allocation for the DPWH.
The DPWH on Tuesday apologized to the Senate Committee on Finance for submitting insufficient information during the bicameral deliberations on its proposed budget, acknowledging shortcomings in the data it initially provided on revised construction cost estimates.
In a statement, the department said it failed to submit adequate details on the application of the updated Construction Materials Price Data (CMPD), the reference used in estimating the cost of materials for public works projects.
The apology followed the suspension of Monday’s bicam meeting after lawmakers reached a deadlock over a proposed P45-billion cut to the DPWH’s budget, with senators pushing for the reductions and House members warning that the cuts could render thousands of projects unimplementable.
The department said it initially provided only the Regional Adjustment Factors, which it admitted were inadequate for senators to determine project-level cost adjustments affecting nearly 10,000 projects nationwide.
“We acknowledge and sincerely apologize for the insufficient initial data,” Public Works Secretary Vince Dizon said, adding that the limited information constrained the Senate panel’s ability to accurately assess the impact of the revised CMPD on individual projects.
