A LAWMAKER on Wednesday questioned the budget cuts of at least 57 state universities and colleges (SUCs) in the country.
During the deliberations on the SUCs’ 2017 proposed budget, Party-list Rep. Sarah Elago of Kabataan said the budget cuts will be implemented despite the 18-percent increase in the total budget of SUCs next year.
For 2017, the total proposed SUCs budget amounts to P56 billion (net of retirement and life-insurance premiums), which is an P8.7-billion, or 18-percent, increase from this year’s P47.4 billion budget.
“At first glance, the budget for SUCs in 2017 is significantly bigger than last year’s budget. But if we analyze each component of the budget carefully, one will see deep cuts in the maintenance and other operating expenses [MOOE] and capital-outlay [CO]components,” Elago said.
“When analyzed by expense class, a total of 57 SUCs will incur cuts in either their MOOE budget or capital outlay budget, or both,” she said.
Among SUCs set to suffer net budget decreases next year are Philippine Normal University, Central Philippines State University, Cotabato State University, Nueva Vizcaya State University, Southern Luzon State University, Camarines Norte State College, Bohol Island State University, Cebu Normal University, Eastern Visayas State University, and Jose Rizal Memorial State College.
She said the Compostela Valley State College will incur cuts in all three expense classes, including personnel services.
“The total MOOE budget for all SUCs will actually decrease by P256 million, from the current P11.5 billion to P11.3 billion in 2017,” he said.
The MOOE is an agency’s budget component for day-to-day operations and utilities, while CO is the budget for new infrastructure.
“The new round of budget cuts has been induced by CHED’s normative funding formula, which bases the budget levels on key indicators like enrollment, and the new SUCs ‘leveling’ instrument stipulated under DBM-CHED Joint Circular 1, Series of 2016,” Elago said.
Elago added that these spending cuts will have a “severe effect” on state schools.
“We call on our colleagues in the House of Representatives not to allow this new wave of spending cuts. We have a national-budget proposal that has a very wide fiscal space, and yet some of our state schools will again suffer cuts. Such budget cut will gravely affect these schools’ operations. We should immediately address this and at the very least restore the amounts to their original levels,” Elago said.
Commission on Higher Education (CHED) Chairman Patricia Licuanan said the government allocated the 2017 budget based on the performance of the SUCs.
“The normative funding formula is not perfect. Higher-educational institutions are relatively free from political pressure, where people would just lobby for increase of budget of favorite SUCs. So this system really looks at performance,” Licuanan said.