understanding the pork barrel (and why it should be abolished) by prof monsod
TRANSCRIPT
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7/27/2019 Understanding the Pork Barrel (and why it should be abolished) by Prof Monsod
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Understanding the Pork Barrel*
(and why it should be abolished)
*(with apologies to Prospero Nogralesand Edcel Lagman)
Solita Collas-MonsodProfessor Emerita
School of Economics
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
OUTLINE: Seven Questions
V. What is the basis for the connection
between the pork barrel and corruption?VI. Can the pork barrel be reformed?
VII. Assuming that it indeed can be made
corruption-free, can the pork barrel nowbe justified?
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
I. What is Pork Barrel?
1.FromOxfordDic/onary:Noun,NorthAmericaninformal
used in reference to the utilization of government fundsfor projects designed to please voters or legislators andwin votes:
the lesson that power is basedon thepork barrelandpurchasedwithpatronage
2. Pork barrel is the appropriation of government spendingfor localized projects secured solely or primarily to bringmoney to a representative's district.
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
More definitions
3. A government appropriation, bill, or policythat supplies funds for local improvementsdesigned to ingratiate legislators with their
constituents.
4. The act of using government funds on localprojects that are primarily used to bring moremoney to a specific representatives district.Basically, the politician tries to benefit his/herconstituents in order to maintain their supportand vote.
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7/27/2019 Understanding the Pork Barrel (and why it should be abolished) by Prof Monsod
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
Mutations of Pork Barrel in thePhilippines
1989:Mindanao Development Fund (P480 m) and VisayasDevelopment Fund (240 m)
1990: Countrywide Development Fund (P2.3 b)
2000: Priority Development Assistance Fund
2000 to 2010:to PDAF was added at some point the VILP (VariousInfrastructure including Local Projects) and theCongressional Insertions (CI).
2009: PDAF (P10 b); VILP (P23b); CI (P50 b)
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
Philippine Pork Barrel
Mutations
Nota bene:
1989 Pork Barrel: P720 million
2009 Pork Barrel: P83 billion Between 1989 and 2009, consumer price index went up
about FOUR times. Pork barrelincreasedONEHUNDREDANDFIFTEENtimes.
2010present:Congressional Insertions abolished(which for 2010 amounted to P64B); VILP folded in withPDAF; more and tighter rules ;
Pork barrel back to roughly P25 billion.
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
III. How is the Pork Barrel beingJustified?
1. individualmembersofCongress,farmorethan the President and their congressionalcolleagues, are likely to be knowledgeableabouttheneedsoftheirrespecAveconsAtuentsandtheprioritytobegiveneachproject.
Comment: But the local development councils, inwhichtheCongresspersonisamember,alreadyhasa
development plan and investment program, whichcontainsamasterlistofprojectsandpriori/esofthecommunity. Why subs/tute individual wisdom forcollec/ve wisdom (par/cipatory and inclusive toboot)?
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
Pork Barrel Justification
BTW, Nograles and Lagman are quoting fromthe SC decision re the CDF. But the SC
decision also says: in short, the proposals
andiden:fica:onsmadebythemembersof
Congressaremerelyrecommendatory.
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
Justification of Pork Barrel (contd)
2. therelaAvelysmallprojectsimplementedunderthePDF complement and link the naAonal developmentgoals to the countryside and grassroots as well as to
depressed areas which are overlooked by centralagencieswhicharepreoccupiedwithmega-projects
Comment: Itmaybe true that the centralagenciesoverlook small projects, but the provincial andmunicipalandbarangayagenciescertainlydont.The
porkbarrel ignoresthe laMer all toooen. For themost part, they are not men/oned at all by themember of Congress as having influenced hisherchoiceofprojects.
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
IV. What is the real reason for
the pork barrels continued
existence?
1. It is a means by which the executive can controlthe legislature and bend it to his will (by releasing
or withholding the funds)2. It is the means by which the legislator can assure
his victory (and/or that of his family) in elections.
Comment:No/cethatthesearebenefitswhichaccruetothe so-called servantsof thepeople,not to the people themselves. In short, this isCORRUPTION (the use of entrusted power forprivategain).
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
V. What is the basis for theconnection between the Pork
Barrel and Corruption?
1. In 1996 there was an expose of the corruptionsurrounding the CDF, based on the testimony of
an unidentified whistleblower. He has just recentlybeen identified (upon his death) as then MarikinaCongressman Romeo Candazo of Marikina.Candazo outlined the sharing scheme, between
congressmen and other government officials (from19% to 52%) It was this expose that a) led to theinstitution of reforms and b) the abolition of theCDF (but the PDAF took its place).
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SolitaColas-MonsodProfessorEmeritaSchoolofEconomics
The Pork Barrel and Corruption
2. Outrage over corruption in government in
2007 brought back the memories of the porkbarrel and corruption. This led to a stirring
defense of the pork barrel in early 2008 by
the newly elected House Speaker (Prospero
Nograles) and House AppropriationsCommittee Chair (Edsel Lagman).
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7/27/2019 Understanding the Pork Barrel (and why it should be abolished) by Prof Monsod
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SolitaColas-Monsod
ProfessorEmeritaSchoolofEconomics
Pork Barrel and Corruption
3. 3. And now the recently released COA
Special Audit on the PDAF and the VILP for
2007-2009. Main finding:
75 % of soft pork and a little over 1% of
the hard pork were found to be
questionable improper or highlyirregular
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7/27/2019 Understanding the Pork Barrel (and why it should be abolished) by Prof Monsod
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SolitaColas-Monsod
ProfessorEmeritaSchoolofEconomics
Pork Barrel and Corruption
MassivecorrupAon
Pork Barrel Funds Appropriated, 2007-2009:
PDAF P29b; VILP P51b; Total P80b
Pork Barrel Funds Released , 2007-2009:
PDAF and other P14b;VILP P102b; Total- P116 b Pork Barrel Funds Audited by COA (2007-2009):
PDAF and other P8b; VILP -P33 b; Total P41b
Pork Barrel Funds use found to be improper or highlyirregular:
PDAF 6 b; VILP P.31b
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SolitaColas-Monsod
ProfessorEmeritaSchoolofEconomics
Pork Barrel and Corruption
Irregularities, improprieties found:
a)releases for projects identified by 74 legislatorsexceeded their respective allocations
b) implementing agencies (IAs) used the funds
without due regard to existing rules and
regulations
c)infrastructure projects found deficientd)infrastructure projects built on private lots
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7/27/2019 Understanding the Pork Barrel (and why it should be abolished) by Prof Monsod
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SolitaColas-Monsod
ProfessorEmeritaSchoolofEconomics
Pork Barrel and Corruption
e) 70% of funds released improperly/illegally/irregularly went to only 19 NGO, all seemingly ofdubious origin. The other 30% went to 63 otherNGOs.
f) NGOs were chosen without public bidding only on the basis of the purported endorsement
of sponsoring legislatorsg) six NGOs were incorporated by legislators or
their relatives
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7/27/2019 Understanding the Pork Barrel (and why it should be abolished) by Prof Monsod
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SolitaColas-Monsod
ProfessorEmeritaSchoolofEconomics
Pork Barrel and Corruption
h) Beneficiaries names corresponded to list of
passers in professional board exams.
i) Other supposed beneficiaries denied having
received any help
j) Suppliers without business permits, orunknown.
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SolitaColas-MonsodProfessorEmerita
SchoolofEconomics
Famous Last Words
since the advent of the CDF in 1990 andthe institution of the PDAF in 2000 up to the
present, there has been no post-audit report bythe Commission on Audit (COA) directly
associating any Member of Congress to a
serious abuse, misuse and/or infraction in the
utilization and implementation of the much-maligned congressional funds. Nograles,
Lagman, in Understanding the Pork Barrel
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Solita
Colas-Monso
d
ProfessorEmeritaSchoolofEconomics
VI. Can the Pork Barrel be
Reformed?
The proof of the pudding is in the eating: inspite of the tightening and streamlining of the
pork barrel, the 2012 COA audit reports
show that tuloy ang ligaya.
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Solita
Colas-Monso
d
ProfessorEmeritaSchoolofEconomics
VII: Assuming that it indeed can
be made corruption-free, canthe pork barrel now be justified?
NO. IT STILL SHOULD
BE ABOLISHED.
WHY?
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Solita
Colas-Monso
d
ProfessorEmeritaSchoolofEconomics
A CORRUPTION-FREE, REFORMED
PORK BARREL SHOULD STILL BE
ABOLISHED. WHY?
BECAUSE it is institutionalized dissipation of
public resources
It embodies the divide by N syndrome,defined as the mechanical and feckless
dissipation of development funds acrosslocalities rather than their rational allocationto where these have the most impact
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Solita
Colas-Monso
d
ProfessorEmeritaSchoolofEconomics
The Effects of Divide by N:(see Philippine Human
Development Report 2012-2013)
87 airports, most of which are within a 2-hourride from one another
140 seaports, 40 of which have little traffic(another 72 were ordered in 2009, but contractwas rescinded by PNoy)
534 main and satellite campuses of stateuniversities and colleges alongside 93 LGUcolleges and universities and 1604 privateinstitutes, with faculties that are underqualifiedwith respect to graduate degrees
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Solita
Colas-Monso
d
ProfessorEmeritaSchoolofEconomics
Divide by N
Fragmentation of projects across space andtime
Bridges that lead to nowhere
Dirt roads interrupted occasionally byconcrete paving
Projects with little or no developmentsignificance (waiting sheds, entrance andexit arches, multipurpose pavements)
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Solita
Colas-Monso
d
ProfessorEmeritaSchoolofEconomics
In SUM:
Evenweretheporkbarrelprojectscompletely
untainted by corrup/on, even if it was not
ins/tu/onalized pilferage, there will s/ll bethe problem of inefficiency and waste (e.g.,
dispersion vs. integra/on, projects with very
liMledevelopmentalimpact,projectsthatareduplica/ve or decisions that are beMer done
byexis/ngagencies)
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Solita
Colas-Monso
d
ProfessorEmerita
ABOLISH THEPORK BARREL!