MANILA, Philippines — The Supreme Court (SC) ruled that Congress cannot increase the president's proposed budget as indicated in the P449.5 billion increase allotted to unprogrammed appropriations in the 2024 national budget and P17.99 billion in the 2025 Special Road Fund.
In a decision written by Senior Associate Justice Marvic M.V.F. Leonen, the high tribunal also voided two provisions in the 2026 General Appropriations Act (GAA) that relaxed the conditions for releasing unprogrammed funds, warning that these could undermine fiscal discipline and give the executive excessive discretion over public spending.
The high court stressed that unprogrammed appropriations were not unconstitutional in themselves, but must be subject to clear limits and safeguards to prevent abuse, ensure transparency and protect the government’s fiscal program.
The ruling stemmed from petitions challenging the increases approved by Congress in the 2024 budget, the 2025 Special Road Fund and provisions governing unprogrammed appropriations in the 2026 national budget.
The HIgh Court declared Republic Act 11975, or the 2024 GAA, unconstitutional because Congress effectively increased the president’s recommended total appropriations by P449.5 billion. It also declared Republic Act 12116, or the 2025 GAA, unconstitutional because lawmakers added P17.99 billion to the Department of Public Works and Highways’ Special Road Fund, pushing total appropriations beyond the president’s recommendation.
The court likewise found that a P12.75-billion increase in certain agencies’ Special Accounts in the General Fund violated the Administrative Code provision prohibiting increases in amounts under special provisions beyond those proposed by the President.
