President Marcos Wants to Scrap New Flood-Control Project Funding Next Year. Will it Work?

As talk continues to heat up about rampant corruption within state agencies, specifically in the Department of Public Works and Highways (DPWH), President Ferdinand “Bongbong” Marcos, Jr. says there isn't a need for new funding allocations for flood-control projects next year citing unused funds from this year.

Lawmakers are in the middle of scrutinizing next year’s budget proposal, alongside a congressional probe into allegations that some congressmen are earning commissions from private contractors handling state flood-control projects.

In a video podcast posted by the Presidential Communications Office, the President said the government can do away with this funding since there is still about P350 billion unused from this year’s budget.

“This does not mean we will stop the flood control projects,” Marcos said. “What it means is that we will now make sure that the spending is correct, the implementation is correct, the design is proper, among other things.

“Unilaterally, from our end in the Executive, I already instructed the DPWH to review and to rewrite its budget,” the President added.

Several congressmen are embroiled in anomalous projects linked to controversial contractors, including Sarah and Curlee Discaya. The Discayas maintain that no senator was involved in these questionable ventures.

However, on Tuesday (September 9), Senators Joel Villanueva and Jinggoy Estrada were accused of supposedly receiving kickbacks of up to 30 percent from anomalous flood control projects. Former DPWH Bulacan assistant district engineer Brice Ericson Hernandez dropped the bombshell during a House of Representatives probe on these projects.

Estrada in a statement “vehemently” denied the claims and challenged the engineer to take a lie detector test.

“Talk is cheap," Senator Estrada said. "Handa akong patunayan na pawang mga kasinungalingan ang sinasabi niya tungkol sa akin (I am ready to prove that these are all lies said against me). I have participated diligently and consistently in the Senate investigation because like everyone, I want the truth to come out and weed out corruption in government.”

Villanueva also denied his involvement in these projects during his speech at Tuesday's plenary session.

Hernandez claimed that Estrada siphoned flood control projects worth P355 million to Hagonoy and Malolos, Bulacan this year for the 30 percent kickback. Villanueva was said to have released P600 million in Balagtas, Bulacan with the same kickback, according to the engineer at the hearing.

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The House of Representatives earlier instructed the DPWH and the Department of Budget and Management until September 16 to finalize the agency’s spending plan, amendments, and other revisions.

Every year, the Executive branch is in charge of preparing the National Expenditure Program, which is a guide for the government’s spending priorities next year. It is then given to legislators, who would sign it into the General Appropriations bill and eventually a law by the President.

Marcos noted that he plans on having a chat with contractors to do something about poorly executed and constructed flood control projects.

The President at his fourth State of the Nation Address vowed to crack down on those behind flood control projects with dubious funding and execution as the country is often submerged in torrential rain and flooding.

Based on his administration’s audit on these projects, only 15 out of 2,409 potential contractors for both and national flood control projects bagged contracts worth P100 billion. This translates to about 20 percent of all of these projects which have amounted to about P545 billion in public funds since 2022.

Heavy flooding has been a perennial issue for the Philippines since the 1970s, and recent cases seem to prove that the problem is only getting worse. In a rare show of emotion, Marcos expressed anger at the situation and said that he plans on filing cases of economic sabotage against contractors and government officials involved in fraudulent flood-control projects.