DBM to comply with Supreme Court decision on 2026 unprogrammed funds

MANILA – The Department of Budget and Management (DBM) will comply with the Supreme Court (SC) ruling on unprogrammed appropriations in the 2026 national budget, while maintaining that provisions not covered by the decision can still be implemented.

In a statement Sunday, the DBM said it would follow the high court’s directives while the executive considers seeking reconsideration.

It stressed that unaffected budget items remain implementable under existing laws and funding conditions. “The DBM will observe the applicable Supreme Court directives concerning these provisions, without prejudice to the government’s right to seek reconsideration through appropriate judicial processes,” the department said.

Budget Secretary Kim Robert De Leon told a Senate finance committee hearing on Oct. 22 that releases charged against the 2026 unprogrammed appropriations as of that date were limited to foreign-assisted projects, which are subject to a separate funding condition not invalidated by the High Court.

The DBM said it is coordinating with the Office of the Solicitor General and other government agencies to assess the ruling’s legal, fiscal and operational implications.

The ruling, penned by Senior Associate Justice Marvic Leonen, declared unconstitutional Congress’ addition of P449.5 billion in unprogrammed appropriations to the 2024 national budget and the P17.9-billion increase in the Department of Public Works and Highways’ Special Road Fund under the 2025 budget.

The SC also voided a P12.7-billion increase in the Special Accounts in the General Fund of certain agencies under the 2026 General Appropriations Act.

Unprogrammed appropriations are standby funds that may be released only when specified funding conditions are met.

Solicitor General Darlene Marie Berberabe earlier said the government would seek clarification and partial reconsideration of the ruling.

She advised the executive branch, through the DBM, to hold off on using the affected 2026 budget provisions while awaiting further action from the Supreme Court.

The DBM said it remains committed to implementing the 2026 national budget in accordance with the constitution, applicable laws and SC directives.

Darryl John Esguerra/PNA