Former President Rodrigo Duterte authorized the transfer of P47.6 billion from the Department of Health (DOH) to the Procurement Service of the Department of Budget and Management (PS-DBM) for the purchase of COVID-19 supplies during the pandemic’s emergency phase. This was confirmed by former Health Secretary Francisco Duque III during a House Committee on Appropriations hearing on Monday.
“Ito ay in-authorize ni former Pres. Duterte, tama?” asked ACT Teachers Party List Representative France Castro. Duque replied, “Oho (Yes), in his public pronouncements. The transfer was done because of the public health emergency, which he declared sometime in March.”
The former Health Secretary defended the controversial fund transfer, emphasizing that it adhered to existing laws and regulations. Duque and former PS-DBM officials face graft charges over alleged irregularities in the transfer.
“Given the severity of the public health emergency, we at the IATF and the NTF, deemed it best to rely on the expertise of the PS-DBM and its network of suppliers for sourcing the much-needed PPEs, along with essential goods and services for emergency response,” Duque explained. “In doing so, we were guided by the authority of the PS-DBM, granted by various laws and regulations.”
Representative Castro questioned the lack of a Memorandum of Agreement (MOA) and specific terms and conditions for the transfer. Duque responded, “May listahan na ang procurement supply chain management ng DOH.”
Duque further defended the decision, stating, “It was within my authority to effect the transfer because of the public health emergency, where there were not enough PPEs and other COVID-pandemic supplies. We wanted to ensure that the lives of our people were protected and the risks were mitigated.”
Former Health Secretary Janette Garin raised concerns about the classification of pandemic supplies as common-use supplies, typically reserved for items like pens and paper. Duque responded that the DOH requested authority from the Government Procurement Policy Board (GPPB), which granted their request.
The House Committee on Appropriations is currently reviewing the budget performance of the DOH and the Philippine Health Insurance Corporation, with these revelations adding to the scrutiny.