FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES —)
FIRST REGULAR SESSION )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

House Bill No.. 3630

EXPLANATORY NOTE

During Martial Law when the incumbent President continued to issue
presidential decrees with the force and effect of law by virtue of Amendment No. 6,
Presidential Decree 1177 entitled Revising the Budget Process in Order to

Institutionalize the Budgetary Innovations of the New Society was issued

This decree provided for automatic appropriation under Sec 31 which
provides: for “All expenditures for (a) personnel retirement premiums, government
service insurance, and other similar fixed expenditures, (b) principal and interest on
public dept, (c) national government guarantees of obligations which are drawn
upon, are automatically appropriated: provided that no obligations shall incurred or
payment made from funds thus automatically appropriated except in the form of
regular budgetary allotments,

This decree also provide under Sec. 43 that the all powerful President and
martial law administrator can suspend, impound and stop any expenditures or
appropriation authorized by the General Appropriation Act.

This decree further authorized under Sec. 44 the President to prevail over the
Batasang Pambansa by authorizing him to transfer any fund as approved by the

Batasan from any department, bureau or office to another department, bureau of
office.


These sections are vestiges of a martial law regime and has no place in a
democracy where the rule of law and the principle of three co-equal branches of
government prevail. These sections have rendered the so-called power of the purse
lodged with Congress inutile and illusory.

It is therefore long overdue that we give to Congress what rightfully belong to
it by our Constitution. The Executive after all has that veto power to object to any
particular item of the budget, subject of course to the power of Congress with two
thirds vote override such veto

Early approval of this bill is hereby urged to restore constitutional balance
between the Executive and the legislative.

MAXIMO B. RODRIGUEZ, JR.


FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
FIRST REGULAR SESSION

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

no. 3630

House

AN ACT
DELETING SECTIONS 31, 43 AND 44 OF PRESIDENTIAL DECREE NO. 1177
ENTITLED “REVISING THE BUDGET PROCESS IN ORDER TO
INSTITUTIONALIZE THE BUDGETARY INNOVATIONS OF THE NEW SOCIETY”

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

Sec. 1. Declaration of Policy. ~ It is hereby declared the policy of the Sate that the
Congress of the Philippines shall the power to approve all appropriations for the
operation of the Government subject to limitations provided for by the Constitution
and the once approved by Congress, subject of the veto power of the President for
by the Constitution, all other items not objected to by the President or where the
Presidents veto is over ruled by Congress, shall not be suspended, impounded or
stopped by the President nor can any fund appropriated be transferred to any
program, project or activity of any other department, bureau or office

Sec. 2. Section 31 (Automatic Appropriations), Section 43 (Suspension of
Expenditures of Appropriations) and Section 44 (Authority to Approve Fund
Transfers) of Presidential Decree No. 1177 are hereby deleted and repealed

Sec. 3. All other laws, decrees, proclamations, executive orders, memorandum-
circulars and rules regulations or parts thereof which are in consistent with the
provisions of this Act are hereby repealed and/or modified accordingly.

Sec. 4. This Act shall take effective fifteen days from its publication in two
newspapers of general circulation

Approved,