OSG welcomes SC ruling, seeks review of budget safeguards

MANILA, Philippines–The Office of the Solicitor General (OSG) on Thursday welcomed the Supreme Court (SC) ruling confirming that unprogrammed appropriations are constitutional as a budgetary mechanism.

At the same time, it announced that it will seek clarification and partial reconsideration of the specific safeguards imposed by the high court.

“The OSG respects the decision and welcomes the Court’s principal ruling that unprogrammed appropriations, as a budgetary mechanism, are not unconstitutional,” the OSG stated.

The decision, written by Senior Associate Justice Marvic Leonen declared the 2024 and 2025 national budgets unconstitutional over congressional increases of P449.5 billion and P17.99 billion, respectively, beyond the president’s proposed appropriations.

The SC also struck down two provisions governing unprogrammed appropriations under the 2026 national budget.

The SC pointed out that unprogrammed appropriations are not unconstitutional by themselves but must have clear limits to preserve fiscal discipline, transparency and accountability.

It imposed safeguards to ensure their constitutionality, emphasizing that “in no case shall there be lump sums in Unprogrammed Appropriations”. The Court further mandated that “the provision for Unprogrammed Appropriations should be within the national fiscal program established in the Budget and consistent with its nature as a narrow contingent appropriation”.

Acknowledging the safeguards, the OSG said it will seek clarification on specific parameters and restrictions imposed by the SC, citing the need to maintain the separation of powers between the judicial, legislative, and executive branches of government.

“With utmost respect to the Court, the OSG will seek clarification and partial reconsideration of certain aspects of the decision, particularly the guardrails prescribed for the exercise of budgetary powers,” the OSG explained.

“The OSG agrees that safeguards are essential to ensure transparency, accountability, and fiscal discipline in the use of public funds,” the statement read. 

“The complex challenge, however, lies in distinguishing the safeguards that are required by the Constitution from those whose formulation falls within the constitutionally provided powers of Congress and the Executive,” it added.

The OSG noted that it will file its formal motion to “ensure that the guardrails prescribed in the decision remain consistent with this constitutional allocation of powers”.

Addressing the judicial division on the matter, the OSG observed that “the twelve separate opinions accompanying the decision reflect the complexity of the constitutional questions presented and the differing judicial perspectives on their resolution”. The office confirmed that it will carefully evaluate all separate opinions as it prepares its legal filings.

The OSG assured that it “remains committed to assisting the Court in ensuring that safeguards governing public expenditure are firmly anchored in the Constitution, while preserving the powers entrusted to the political branches in service of the Filipino people.” /dm