The Department of Health (DOH) thanked the Supreme Court (SC) for its ‘wisdom’ in its order on Friday to return P60 billion in excess funds from the National Treasury to the Philippine Health Insurance Corporation (PhilHealth).
‘The Department of Health and its attached agencies, including PhilHealth, is focused on implementing the Universal Health Care Act through orderly and sustainable health financing,’ Health Secretary Ted Herbosa said in Filipino in a statement
‘We thank the wisdom of the Supreme Court with regard to the questions on health financing. We’re now waiting on the advice of the Solicitor General for the next course of action.’
The SC ruling declared void Special Provision 1(d) in the 2024 General Appropriations Act (GAA), which authorized the return of the ‘fund balance’ or excess reserve funds of government-owned or controlled corporations like PhilHealth to the National Treasury.
The high court found Special Provision 1(d) ambiguous for the concept of ‘fund balance,’ which is not defined in the 2024 GAA. It also declared the provision void since it impliedly repealed Section 11 of the UHCA and Sin Tax Laws.
Section 11 of the UHCA requires PhilHealth to maintain reserve funds up to a two-year ceiling of projected program expenses