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Use your budget, the DBM Chief advises government agencies.

Amenah Pangandaman, secretary of the Department of Budget and Management (DBM), asked all government agencies to use at least 80 to 90 percent of their 2023 budgetary allotments.

Pangandaman made the statement while speaking on camera with SMNI News on Saturday night. She also noted that underspending by the government is still an issue.

“I constantly say this. We always stress the need of using the money, even if we only have a modest budget, to our secretaries and national government colleagues because otherwise, it will just sit there. The cash is just sitting there, “explained Pangandaman.

Before requesting a sizable budget for the following year, agencies should make sure that enough of their 2023 money has been spent. It should be noted that government organizations should reach the budget utilization level of 80 to 90 percent.

According to Pangandaman, government organizations with poor budget utilization rates would either “use” or “lose” their respective monies.

She also urged all authorities to ensure that their projects were procured and implemented as soon as possible.

Pangandaman stated that the government is attempting to pass legislation institutionalizing the cash-based budgeting system (CBS), which was implemented by virtue of Executive Order 91 issued in 2019, in order to address the ongoing issue of underspending public monies.

According to Pangandaman, CBS wants to support only “implementation-ready” ideas.

Pangandaman stated on January 27 that the proposed budget for 2024 would only fund government activities that were “implementation-ready,” which is a crucial component of the CBS.

Pangandaman added that as part of the appraisal process, the DBM would examine how the government agencies had utilized and performed with their prior budgets.

By April, the DBM should have the proposed budget structure.

Modifications to the procurement law

The 20-year Republic Act 9184, also known as the Government Procurement Reform Act (GPRA), must be modified, according to Pangandaman, in order to make the procedure “more efficient.”

By the middle of 2023, the government, according to her, plans to release its proposed procurement modifications.

“I believe the GPRA has been in effect for twenty years, thus an amendment is long overdue. I’ve heard a lot of worries from the federal government and even from our MPs, who say that perhaps we should investigate it and submit a modification to make it more effective given the current situation. Therefore, it is what we will do “said Pangandaman.

“With our GPBB, there is currently a consultation in progress (Government Procurement Policy Board). Hopefully, we’ll be able to show something by the middle of this year “Added she. (PNA)

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