A REPRESENTATIVES
a RECEIVED
QB Ju 2016

Republic of the Philippines
HOUSE OF REPRESENTATIVE:
Quezon City, Metro Manila - |

REGISTRATION UNIT
SEVENTEENTH CONGRESS | BILLS AND INDEX SERVICE

First Regular Session

HOUSE BILL No, L056

Introduced by: REP. MAGNOLIA ROSA C. ANTONINO

EXPLANATORY NOTE

The Constitution exclusively vests in Congress the so-called power of the purse
which covers on matters relating but not limited to appropriations, revenue or tariff bills,
disbursement of public funds, form, content, and manner of preparation of the budget
However, this “Power of the Purse” has been effectively diminished when then President
Ferdinand Marcos issued Presidential Decree No. 1177 on July 30, 1977, which granted
him unbridled discretion over certain matters concerning appropriations.

This bill therefore seeks to effectively restore the so-called “Power of the Purse”
to Congress by revoking, curtailing or restricting the exercise of such power by the
President by introducing amendments and repealing certain portions of PD 1177
specifically on the power to suspend expenditure of appropriations, authority to approve
fund transfer, administration of lump sum funds and authority to use savings

The paramount objective of this important piece of legislation is to prevent the
Executive Branch from further usurping the power exclusively vested in the Legislature
as this Decree issued during the dictatorial regime has been “the legacy of secrecy and
manipulation of the National Budget” that needs to be amended or repealed.

‘The foregoing reasons warrant the immediate approval of this bill

Sn.

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MAGNOLI& ROSA C. ANTONINO
Representative
Fourth District, Nueva Ecija



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

SEVENTEENTH CONGRESS
First Regular Session

HOUSE BILL No. 1056

Introduced by: REPRESENTATIVE MAGNOLIA ROSA C. ANTONINO

AN ACT
REVOKING CERTAIN POWERS GRANTED TO THE EXECUTIVE
DEPARTMENT, FURTHER AMENDING FOR THE PURPOSE CERTAIN
SECTIONS OF PRESIDENTIAL DECREE No. 1177 ENTITLED, "REVISING
THE BUDGET PROCESS IN ORDER TO_ INSTITUTIONAL THE
BUDGETARY INNOVATIONS OF THE NEW SOCIETY”

Be it enacted by the Senate and the House of Representatives
of the Philippines in Congress assembled:

SECTION 1. Section 53 of Presidential Decree No. 1177 is hereby further
amended to read as follows’

“Section 53. Administration of Lump-Sum Funds. ~ The [Budget Commission]
DEPARTMENT OF BUDGET AND MANAGEMENT shall administer the
EXECUTION UNDER THE Lump-Sum Funds appropriated in the General
Appropriations Act.[, except as otherwise specified therein, including the issuance of
Treasury Warrants covering payments to implementing agencies or creditors, as may be
authorized by the President]. THE DEPARTMENT HAS NO AUTHORITY TO
RELEASE SUCH FUNDS UNLESS THE UTILIZATION OF SAID FUNDS SHALL
HAVE BEEN FULLY ITEMIZED AND SUBMITTED FOR CONCURRENCE BY A
MAJORITY OF THE MEMBERS OF THE HOUSE OF REPRESENTATIVES AND
THE SENATE VOTING SEPARATELY.

Sec. 2. Section 55 of the same Decree is hereby further amended to read as
follows:

“Section 55, Authority to Use Savings for Certain Purposes. ~ Savings in the
appropriations provided in the General Appropriations Act may be used for the settlement
of the following obligations OF THE NATIONAL GOVERNMENT incurred during a
recent fiscal year or previous fiscal years [as may be approved by the Commissioner in
accordance with the rules and procedures as may be approved by the President]
SUBJECT TO THE CONCURRENCE OF THE MAJORITY OF THE MEMBERS OF



THE HOUSE OF
SEPARATELY”

REPRESENTATIVES AND

(a) xxx XXX XXX
XXX XXX XXX
(m) xxx Xxx XXX

THE SENATE, VOTING

SEC. 3. Repealing Clause. - Sections 43, 44 and 88 of the same Decree are
hereby repealed. All other laws and executive orders which are inconsistent with this Act

are hereby amended, repealed or modified accordingly.

SEC. 4. Effectivity. — This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation

Approved,