Confidential and intelligence funds (CIF) have become a subject of criticism in the ongoing deliberations in Congress regarding the proposed 2024 national budget of the Marcos administration. Not only is there concern about the substantial amount involved, but also about the numerous agencies requesting such funds. More than 17 departments and offices of the executive branch, including the Office of the President, are seeking a total of P10.14 billion in CIF for next year.
The issue lies in the fact that agencies are asking for CIF, even if their mandates don’t necessarily require it. Congress seems to have legitimized this trend in the national budget proposal without any resistance. This raises questions about the validity of Joint Memorandum Circular No. 2015-01, which was issued by the Commission on Audit (COA), the budget and management, interior and local government, defense departments, and the Governance Commission for Government-Owned or -Controlled Corporations. This circular establishes guidelines for the “entitlement, release, use, reporting, and audit” of CIF, as allowed by the General Appropriations Act. According to the circular, only agencies specifically allocated CIF in the national budget are entitled to such funds.
Vice President Sara Duterte has repeatedly cited the circular as the legal basis for the entitlement of the Office of the Vice President and the Department of Education (DepEd) to CIF. However, Senate President Juan Miguel Zubiri points out that the circular provides a “too broad” menu of justifications for otherwise illegal expenditures. The guidelines allow CIF to be used for various purposes such as information purchases for national security and peace and order programs, rental of transport vehicles for confidential activities, supplies and equipment for confidential operations, rewards to informers, and uncovering or preventing illegal activities.
Zubiri has promised to change the rules regarding CIF in the executive branch and remove allocations for agencies that don’t deserve such funding. COA also agrees that existing rules and regulations on CIF should be revisited to determine their applicability in light of the increase in funds. Senate Minority Leader Aquilino Pimentel criticizes the decision to allocate a considerable amount of CIF in the 2024 national budget, as many Filipinos are currently struggling due to calamities. Pimentel argues that this shows a lack of understanding and empathy from the Marcos administration towards the real needs and challenges of the country. He suggests that the funds should be used to address the impending effects of the El Niño dry spell on the economy instead.
It appears that Congress is likely to grant the requested CIF in the proposed 2024 budget. Therefore, it is important to encourage lawmakers to promote transparency and prudence in the use of CIF by revising the existing rules. Reporting on positive outcomes and results should be required, not just an account of how the money is spent. Agencies should be mandated to show more positive outcomes in their use of CIF. Otherwise, they are essentially wasting taxpayer money under the guise of intelligence and confidential operations.
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