Eighteenth Congress
First Regular Session

HOUSE BILL NO. 5400

Introduced by
REPRESENTATIVES LOREN LEGARDA AND ISIDRO UNGAB

AN ACT
AMENDING SECTION 65 OF REPUBLIC ACT NO. 11260, OTHERWISE KNOWN
AS THE GENERAL APPROPRIATIONS ACT OF FISCAL YEAR 2019

EXPLANATORY NOTE

This proposed measure reiterates the need to amend the General Provisions of
Republic Act No. 11260 to extend the validity of the Maintenance and Other Operating
Expenses (MOOE) and Capital Outlay (CO) appropriations for another fiscal year.

Under House Joint Resolution No. 9 filed under this Congress, it was explained that
the General Appropriations Act for fiscal years 2014 to 2017 consistently provided that
the appropriations for Maintenance and Other Operating Expenses (MOOE) and
Capital Outlays (CO) were available for release and obligations for a period extending
to one (1) fiscal year after the fiscal year in which said items were appropriated.

The late passage of the 2019 General Appropriations Act and the election ban on the
implementation of infrastructure projects and social services in view of the May 13,
2019 National and Local Elections resulted in the delay of the implementation of
infrastructure projects and basic social services.

There are appropriations that have not been released and allotment issued that have
not been obligated which shall automatically lapse depriving the people and the
country of the much-needed MOOE and CO to fund priority projects, financial
assistance program, aid, and relief activities as well as for the maintenance,
construction/repair, and rehabilitation of schools, hospitals, roads, bridges and other
essential facilities of the national government.

The President, under Section 5 of Executive Order No. 91, mandated the
implementation of an operational cash budget for Fiscal Year 2019 which requires that
all appropriations should be obligated by December 31, 2019 but allows the
implementation of and payment for MOOE, as well as other CO, and infrastructure
projects to extend until June 30, 2020, and December 31, 2020, respectively.


It is therefore necessary to amend Section 65 of RA 11260. Hence, this bill. The
immediate passage of this bill is earnestly sought.

pee ae ISIDRO UNG!


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Eighteenth Congress
First Regular Session

5400
HOUSE BILL NO.

Introduced by
REPRESENTATIVES LOREN LEGARDA AND ISIDRO UNGAB

AN ACT
AMENDING SECTION 65 OF REPUBLIC ACT NO. 11260, OTHERWISKNOWN AS:
THE GENERAL APPROPRIATIONS ACT OF FISCAL YEAR 2019

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

Section 1. Section 65 of the General Provisions of Republic Act No. 11260 is hereby
amended to read as follows:

“SEC. 65. Availability of Appropriations. All appropriations
authorized in this Act shall be available for release and obligation
for the purpose specified, and under the same special provisions
applicable thereto, until [Deceraber-34,-2019] DECEMBER 31,
2020.

A report on these releases and obligations shall be submitted to
the Speaker of the House of Representatives, the President of the
‘Senate of the Philippines, the House Committee on Appropriations
and the Senate Committee on Finance, either in printed form or by
way of electronic document.”

Section 2. Repealing Clause. Republic Act No. 11260, and all laws, decrees,
executive orders, letters of instructions and regulations or any part thereof which are
inconsistent with any provision of this Act are hereby repealed, amended, or modified
accordingly.

Section 3. Effectivity. This Act shall take effect after fifteen (15) days following its
Publication in at least two (2) newspapers of general circulation of in the Official
Gazette.

Approved,