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Laging may pondo! Financial Times researcher refutes Cayetano: Delayed budget passage ain’t to blame for SEA Games infra rush

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A Financial Times researcher has refuted the claim of House Speaker Alan Peter Cayetano that the delayed passage of the P3.6-trillion national budget for 2019 led to the last-minute rush to complete infrastructure projects for the 30th Southeast Asian (SEA) Games.

In a tweet posted Wednesday (November 27), Prinz Magtulis pointed out that competition venues like the Rizal Memorial Stadium in Manila has a multi-year obligational authority (MYOA) since it has been under rehabilitation before 2019.

Magtulis posted a screenshot of his text messages to Budget Undersecretary Laura Pascua on what MYOA meant.

Pascua said the MYOA is an authorization given by the Department of Budget and Management to government agencies to enter into multi-year contracts.

“It is a promise that the budget required for d project will be included in d annual budget. So agencies include these annual cash paymnts in their budget proposal,” she explained.

Asked by Magtulis what would happen to the project covered by MYOA if the national budget was reenacted, Pascua said the government agency can still implement the portion of the contract they can finish, though signing the deal will be delayed.

“Payments are made acc[ording] to progress billings,” Pascua said.

Magtulis said there’s no reason for construction of the Rizal Memorial Stadium to be delayed since it is under MYOA.

“Essentially, it means that big-ticket projects like sports infrastructure are ensured continuity in payments from the government to contractors even under a reenacted budget,” he said.

@DBMgovph

last Dec. 2018, also issued guidelines on payments of govt services under an old outlay.

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