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  • Tap P6.6-B impounded funds–Chiz
     
    By Butch Fernandez
    Reporter

    SEN. Francis Escudero is asking President Arroyo to free over P6 billion in “impounded funds” in the 2008 national budget which he said can be used for relief and rehabilitation of areas ravaged by tropical storm Frank, which caused damage thus far estimated at more than half a billon pesos in crops, school buildings,  homes and vital infrastructure.

    According to Escudero, at least P6.6 billion worth of so-called impounded funds could be used to augment the P2-billion Calamity Fund allocated for the year in providing aid to typhoon victims and repair damaged public infrastructure.

    “There is no reason why aid should come in trickles to flood-hit areas when there are certain segments in the national budget, other than the Calamity Fund, which can be tapped for disaster work,” Escudero added.

    The senator said the impounded allocations include P2 billion from the Kilos Asenso Fund, P3.6 billion from Financial Subsidy to Local Government Units, and P1 billion from the Kalayaan Barangay Fund.

    “The release of these funds is contingent on the President’s approval. She should dig into these funds so there will be more resources available for relief work,” Escudero explained.

    “This is bigger than the $100,000 aid the President got from the US State Department, one which was met with profuse thanks from her, as if she had won the lotto, when, in fact, she has at her easy disposal all the above-mentioned funds to use in times like these,” he said.

    Escudero added that the funds are classified as “lump-sum” funds and have not been earmarked for any particular area, “so there is flexibility and wider latitude on where to apply these.”

    He, however, clarified that he is not suggesting the “full diversion” of these funds to calamity areas, “only that the latter be prioritized in the allocation.”

    “Or if there is a formula being followed in the apportioning of these funds, then maybe Iloilo’s share be given in advance,” Escudero said, adding that local government leaders he had consulted confirmed that “they have yet to receive any allotment from Kilos Asenso or Kalayaan Barangay—which means that these funds technically are still on embargo.”

    For instance, he said both Rep. Ferjenel Biron of Iloilo’ s Fourth District and Vice Gov. Rolex Suplico have been complaining about the “slow government response” to the devastation in their province. 

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