House adopts resolution backing Marcos admin’s Medium-Term Fiscal Framework


The House of Representatives, on Monday, Aug. 1, adopted House Concurrent Resolution (HCR) 2 which expresses the lower chamber’s support for the Marcos Administration’s Medium-Term Fiscal Framework (MTFF).

The House of Representatives (MANILA BULLETIN FILE PHOTO)

Read: https://mb.com.ph/2022/07/08/dof-unveils-marcos-fiscal-framework/

HCR2–otherwise titled Resolution Supporting the 2022-2028 Medium-Term Fiscal Framework of the National Government–was authored by Speaker of the House Martin Romualdez, Majority Leader Mannix Dalipe, and Minority Leader Marcelino Libanan.

It was adopted by the House plenary during via voice vote. Albay 1st district Rep. Edcel Lagman manifested his abstention after the adoption of HCR2.

Marikina City 2nd district Rep. Stella Quimbo and Albay 2nd district Rep. Joey Salceda both sponsored HCR 2 on the floor.

“It is important that the Congressional initiatives are aligned with the economic recovery programs of the national government...We need to immediately address the rising prices of commodities as well as the scarring caused by the Covid-19 pandemic. In the medium-term, we need to create high quality as well as green jobs. We create such jobs by investing more in infrastructure, human capital development, and digitalization,” Quimbo said in her sponsorship of the MTFF resolution.

“The government is set to continue and strengthen the previous administration’s ‘Build, Build, Build’ program and introduce re-tooling and re-skilling interventions for Filipino workers. That is exactly the objective of the MTFF. In the short-run, keep the macro economy stable and provide adequate social services. In the medium term, generate more jobs,” the lady lawmaker continued.

Meanwhile, economist-solon Salceda gave a presentation before the plenary detailing the rationale and precedent behind the administration’s MTFF.

“A medium-term budget framework, if applied rigorously, provides a very clear statement of the revenue and expenditure effects of maintaining current government policies, and a mechanism for controlling the introduction of new policies and tracking budget implementation beyond a single year,” the House Ways and Means Committee Chairman Salceda said.

As for its the resolution’s constitutionally, Salceda cited the Ang Nars ruling from October 2019: “A joint resolution is not a bill, and its passage does not enact the joint resolution into a law even if it follows the requirements expressly prescribed in the Constitution for enacting a bill into a law.”

HCR 2, he noted, was not a law but “The resolution on the MTFF does not change the form, content, and manner of preparation of the budget, but merely supports the proposed MTFF."

During the plenary debate on the Monday afternoon, Lagman, ACT-Teachers Party-list Rep. France Castro, Gabriela Women’s Party-list Rep. Arlene Brosas, and Kabataan Party-list Rep. Raoul Manuel, and Northern Samar 1st district Rep. Paul Daza, took to the podium as interpellators to question the adoption of the resolution.

Lagman challenged the House’s adoption of HCR 2, arguing that it does not have any mention of debt service, hence his rejection of the resolution.

“That is the problem with this document, a very important component is not there and it is about debt service because our fiscal policy should also consider debt service. Debt service devours so much of infrastructure allocations as well as economic and social services; for health, education, employment et cetera,” Lagman said.

“We are not going to support a medium-term fiscal framework without a very important component like debt service,” he added.

Last July 27, Lagman similarly challenged the adoption of HCR 2 after he questioned why he and his fellow lawmakers weren't given copies of the resolution for their perusal in advance. The consideration of the resolution was suspended for that day.