Budget decline set for Palawan SU in 2024
By Iver Japson | posted 31/12/23
Despite the unanimity of thirty-six (36) university presidents and heads opposing budget cuts among state universities and colleges (SUCs), Palawan State University (Palawan SU) is expected to receive a budget of P889.5 million for the upcoming year as a result of President Ferdinand Marcos Jr.’s signing of the 2024 General Appropriations Act (GAA) on Wednesday, December 20.
Furthermore, the budget difference of 2024 GAA from the 2023 GAA is P6.3 million, translating to 0.71% less than the 2023 budget of 895.8 million. Meanwhile, the National Expenditure Program (NEP) for the State University in 2024 is 897.1 million, however, the amount allotted for GAA in the same year is 889.5 million, according to the data released by the Department of Budget and Management (DBM).
According to the DBM’s website, the National Expenditure Program (NEP) “contains the details of the government’s proposed programs and is submitted to assist Congress in the review and deliberation of the proposed national budget for the legislation of the annual appropriations measures for the next fiscal year.” Meanwhile, in the Ombudsman’s website, the General Appropriations Act (GAA) “covers the annual operating requirements of agencies of government, and is the most comprehensive source of appropriation cover for the budget of the government.”
The biggest cut to the budget is 9.6 million, which was taken out of life insurance and retirement benefits of personnel services. In addition, benefits for administrative staff members are anticipated to decrease to 9.9% from the 2024 budget compared to previous year.
Given the expected reduction, the appropriations for maintenance and other operating expenses (MOOE) and capital outlays (CO) are much higher than in the NEP proposal budget. On the other hand, the free higher education, worth 334 million from the MOOE and projects designated for concreting road networks with drainage provisions worth 25 million from the CO are likely to receive the greatest raise, with a 4.6% increase for the MOOE program and a 40% increase for the CO project.
The construction of concrete road networks with drainage provisions worth 15 million and the expansion of the College of Medicine’s capacity worth 20 million are expected to be the most heavily-funded projects in GAA for 2024, in contrast to the 2023 budget, including the construction of the Graduate School building and the PSU Manalo Campus, which was larger compared to the following year’s budget because of these projects.
In an interview last December 29, the Vice President for Finance and Administration Amabel S. Liao said that they did not bother about the budget due to the increase in the MOOE and the capital outlay (CO) for FY 2024, but adds that the external campuses are still not included in the said budget. “No’ng nakita namin ang budget, hindi naman kami nag-worry dahil malaki naman ang nadagdag sa MOOE at CO, at hopefully madagdagan ang insertions natin this 2024. Ang nakikita ko lang problema sa GAA 2024 ay hindi pa rin kasama ang external campuses, although meron na nga silang mga plantilla items, pero iyong FHE (Free Higher Education) nila which is supposed to be napupunta sa instructional materials, for research and extensions, hindi natin magawang [ibigay] kasi ipapansweldo pa natin sa mga teachers. Samantalang kung binigyan na sila ng sarili nilang GAA na pwede nating gamitin iyon for facilities na.”
According to VPFA Liao, one of the problems the University had with the budget formulation and implementation prior to 2021 was that the Commission on Higher Education (CHED) handled the approved budget proposed by the Department of Budget and Management (DBM) before they were released to the University. There were actual deficits due to high enrollment each school year and inefficient budget allocation for the students. Furthermore, the institution is using its savings to pay for regular operations and programs initiation despite budget deficit.
Additionally, she stated that the budget prediction for the previous year has become the basis for planning the upcoming education budget that is set unrealistic and upside down because it does not account for future factors like inflation rate and rise in the number of students enrolled each year.
“Ang sabi pa ng University President [Dr. Ramon Docto], ang prinsipyo natin muna for 2024, ‘wag na muna tayong magpagawa ng additional buildings kasi may problema pa nga tayo sa buildings natin (CAH and other buildings mess due to no occupancy permit and electricity),” as the VPFA Liao adds. In that, the administration would focus on a cost-to-operate basis, and finish what has already been started and fund for the long-term problem of electricity outage inside the Main Campus.
Even still, the lack of supplies, electricity, and other equipment that administrators from numerous state universities and colleges wanted to be addressed might get worse due to budget cuts and other factors, even in the case of promptly funded infrastructure projects.
In a text message, the University Student Government for Tiniguiban Campus President Val Cymon Molina reiterated that although it is a win for students to be able to restore the initial plan to have budget cuts through amplified calls and unified signatories through different efforts of progressive lawmakers, the fact that there is evident basis of budget cuts among other universities including Palawan SU is not a total win for all.
“Nakakapanghinayang na may budget cut pa rin na nararanasan ang mga SUCs despite the persistent call of the masses to give priority to our sector. Again, the struggle for a better educational system goes beyond amplifying calls for increased budget, it demands systemic reforms and transparent allocation,” President Molina says.
Rhey Flores and Earold Queron contributed to this report.
This is a developing story. Pioneer is expected to gather reactions from the President’s Office as well as student unions, and other available updates as they arise.
