The Department of Budget and Management (DBM) released this month P2.39 trillion or over four-fifths of government departments’ and agencies’ 2022 allocation under the record P5.02-trillion national budget.
In a statement on Friday, the DBM said this year’s budget set aside a total P2.89 trillion for agencies’ programs and projects. Through the general appropriations act as an allotment order (GAAAO) issued by the DBM at the start of the year, line departments already received 82.8 percent of their total 2022 budget.
The GAAAO releases money as soon as the national budget takes effect. This year, the order was issued on Jan. 3, the fiscal year’s first working day.
“The immediate release of allotments through the GAAAO is paramount in the timely execution of government programs, activities and projects, especially for those related to health care, transport and education, as this will allow agencies to immediately engage with bidders, enter into contracts and agreements, complete procurement and begin implementation,” the DBM said.
“All agency-specific appropriations shall be available for release, obligation and disbursement up to Dec. 31, 2023, except for personnel services which shall be available only until Dec. 31, 2022,” the DBM added.
Another P498.2-billion budget of government agencies will be “for later release.” This entailed submission of documentary requirements and the President’s approval before a special allotment release order (Saro) is issued. The DBM evaluates the documents submitted by agencies before elevating the fund release request to the Office of the President.
The rest of this year’s national budget consisted of the P1.67 trillion in automatic appropriations, plus P457.3 billion in special purpose funds.
Automatic appropriations, programmed over a period prescribed by law through outstanding legislation requiring periodic action by Congress, included budget items covering local government units’ (LGUs) national tax allotment (NTA), retirement and life insurance premium, pensions of former presidents and their widows, interest payments, net lending as well as releases under the tax expenditures fund for customs duties and taxes to be paid for government importation.
The DBM’s Saro documents showed P239.8 billion of the over P959-billion NTA for 2022 were already released last Jan. 11 to cover LGUs’ first-quarter shares.