THE government has restored funding for flood-control projects in the proposed 2027 national budget, allocating P107.4 billion to continue, repair and improve existing infrastructure amid persistent flooding during the rainy season.
The restoration of the funding, the massive misuse of which sparked thorough reforms and stalled infrastructure spending that in turn reduced growth, comes at about a year after the 2025 State of the Nation Address where President Ferdinand Marcos Jr. first assailed massive corruption in flood-control projects.
Its restoration is hoped to help revive economic activity and a lackluster growth, reported at only 2.3 percent in the second quarter.
Acting Budget Secretary Kim Robert De Leon said the condition of unfinished projects and the continuing operational needs of flood-control facilities were among the major considerations in restoring the funding under the 2027 National Expenditure Program (NEP).
‘Especially now that it is raining, we see the importance of having proper flood-control projects to prevent excessive water from damaging our roads,’ De Leon said in a press conference after the turnover of the 2027 NEP to Congress.
‘That is why, when we were preparing the 2027 National Expenditure Program, one of the important considerations was whether to restore funding for flood-control projects,’ he added.
De Leon said the government could not abandon projects that had already begun because unfinished structures would fail to deliver their intended benefits.
‘First and foremost, we cannot simply abandon the flood-control projects that have already been started. They will not be effective if they are left unfinished,’ he said.
He also explained that flood-control spending is not limited to one-time construction expenses. Pumping stations and other facilities require funding for their continued operation and maintenance.
‘Second, not all flood-control projects are one-off expenditures. They also have operating requirements, including pumping stations and facilities that must be sustained year after year,’ De Leon said.
According to De Leon, these considerations led the government to approve several proposals from the Department of Public Works and Highways (DPWH) involving existing projects that must be continued, completed or repaired.
‘This is why we agreed to several proposals from the Department of Public Works and Highways involving existing flood-control projects that must be continued, completed and repaired so that their intended benefits can be realized by our people,’ he said.
Of the P107.4-billion allocation, P19.6 billion in capital outlay will finance ongoing foreign-assisted flood-control projects. The total also covers the maintenance, repair, rehabilitation, and improvement of existing infrastructure.
The Metropolitan Manila Development Authority (MMDA) will separately receive P3.41 billion under its flood-control program. The amount will support the operation and maintenance of existing flood-control structures, including pumping stations, facilities, and equipment.
De Leon said flood-control proposals underwent stricter evaluation with the cooperation of DPWH Secretary Vince Dizon.
‘We ensured that the locations of the projects were properly identified and properly tagged and that they were already supported by actual programs of work to ensure that they would not become ghost flood-control projects once approved by Congress,’ De Leon said.
He added that the government would disclose information on the projects-from appropriations to the release of funds-through the DBM’s COMPASS platform.
Implementation will also be monitored through the DPWH Transparency Portal and the DBM’s Project DIME, or Digital Imaging for Monitoring and Evaluation.
‘We will not rely solely on documentary reports stating the level of accomplishment. We will also use technology and satellite data to verify whether the reported structures actually exist,’ De Leon said.
He said the government was expanding the number of projects covered by Project DIME, not only within the DPWH but also across other government agencies.
Meanwhile, De Leon said the proposed budget contains P10.773 billion for confidential and intelligence expenses-P4.368 billion for confidential funds and P6.405 billion for intelligence funds.
‘We wish to note that the P10.773 billion in combined confidential and intelligence funds is lower than the P11.818-billion level under the 2026 General Appropriations Act, or lower by 8.8 percent,’ he said.
The same agencies and departments that received the funds in 2026 will remain the recipients in 2027, although the Philippine National Police will receive a slight increase compared with its proposed NEP level.
De Leon emphasized that only agencies legally authorized to perform confidential and intelligence functions would receive such funding-point deemed significant at this point, given the mind-boggling revelations at the Senate impeachment trial of how over P600 million CIFs were quickly disbursed by the offices of Vice President Sara Duterte under the OVP and the Department of Education.
‘We wish to reiterate that the use of confidential and intelligence funds remains subject to existing budgeting, utilization, liquidation and auditing rules to ensure accountability and that the funds are used solely for their intended purposes,’ De Leon said.
Tough scrutiny
House Speaker Faustino ‘Bojie’ G. Dy III on Tuesday vowed that the House of Representatives would subject the proposed 2027 national budget to rigorous scrutiny to ensure that every peso delivers concrete benefits to the Filipino people.
As the House formally received the 2027 NEP, Dy said lawmakers would keep Filipinos at the center of the budget process, guided by the government’s theme, ‘People-Centered Growth for an Inclusive and Resilient Future.’
‘It is not enough to state how much is being spent. We must show what every peso can accomplish. Every peso must bring tangible relief to every Filipino,’ Dy said during the NEP turnover ceremony.
‘In the New Congress, we will carefully scrutinize every part of the proposal. We will ask agencies not only how much they are requesting but also how the funds will be used and what concrete benefits they will deliver to the Filipino people,’ he added.
The speaker said the proposed budget would be evaluated based on three fundamental questions: ‘Where will the funds go, what concrete changes will they bring, and how will ordinary Filipinos feel their impact?’
Dy stressed that the national budget is more than a collection of figures and allocations, noting that behind every peso are Filipinos counting on the government for better services, greater opportunities and an improved quality of life.
‘This budget is for families hoping that food will become more affordable; parents who need adequate healthcare services; children who dream of completing their education; farmers who need support; and workers seeking decent jobs and fairer opportunities,’ he said.
‘They must be the basis of our priorities,’ he added.
Dy noted that President Ferdinand R. Marcos Jr., in his State of the Nation Address, laid down the government’s direction of strengthening the country’s security and self-reliance while ensuring that government services reach those who need them most.
From food and energy to education, healthcare, employment, infrastructure and disaster preparedness, Dy said the proposed 2027 national budget would be one of the government’s most important instruments for turning these priorities into concrete action.
With the NEP now in Congress, Dy said the House has the responsibility to ensure that these objectives are preserved throughout the deliberations and reflected in the final version of the General Appropriations Bill.
He also committed to keeping the congressional budget process open and transparent, building on reforms introduced last year.
‘Last year, we began implementing reforms such as the Budget Amendments and Review Subcommittee, or BARSC, and introduced the live-streaming of our bicameral meetings,’ he said.
‘The budget belongs to the people. They have the right to know where their money will go. We will strive to make the process of crafting our national budget even more open,’ he added.
The Speaker also echoed the President’s call to prevent waste, improper spending and corruption, noting that every peso saved could instead be directed toward classrooms, hospitals, food, employment, agriculture and other services that Filipinos directly need.
In the coming weeks, the Speaker said lawmakers would closely examine the NEP, question government agencies, listen to stakeholders, and keep the public informed throughout the process.
‘In the coming weeks, our work will be thorough. We will ask questions. We will listen. And we will ensure that every step of the process is clear to the public,’ he said.
Dy said the House would carry with it the challenge issued by President Marcos at the conclusion of his SONA: to finish what the government has started and fulfill its promises to the Filipino people.
‘For the New Congress, that is the purpose of the 2027 budget-to translate promises into programs, programs into concrete results and every peso spent into meaningful improvements in the lives of our fellow Filipinos,’ Dy said.