Article 115p. 115

ADMINISTRATIVE CODE AND LAW OF PUBLIC OFFICERS TEXT AND RULES

policies and standards applicable to agencies in the

Executive Branch.

The President may transmit to the Congress from time

to

time,

such

proposed

supplemental

or deficiency

appropriations as are, in his judgment, (1) necessary on

account of laws enacted after the transmission of the

Budget, or (2) otherwise needed in the public interest.

SECTION 12. Form and Content of the Budget . — The

budget proposal of the President shall include current

operating

expenditures

and

capital

outlays.

It

shall

comprise

such

funds

as

may

be necessary for the

operation of the programs, projects and activities of the

various departments and agencies. The proposed General

Appropriations

Act

and

other

Appropriations

Acts

necessary

to

cover

the

budget

proposals

shall

be

submitted to the Congress to accompany the President's

budget submission.

The budget shall be presented to the Congress in such

form and content as may be approved by the President

and may include the following:

(1)

A

budget

message

setting

forth

in brief the

government's budgetary thrusts for the budget year,

including their impact on development goals, monetary

and fiscal objectives, and generally on the implications of

the revenue, expenditure and debt proposals; and

(2) Summary financial statements setting forth:

(a)

Estimated

expenditures

and

proposed

appropriations

necessary

for

the

support

of

the

Government for the ensuing fiscal year, including those

financed from operating revenues and from domestic

and foreign borrowings;

(b) Estimated receipts during the ensuing fiscal year

under laws existing at the time the budget is transmitted

and under the revenue proposals, if any, forming part of

the year's financing program;

(c) Actual appropriations, expenditures, and receipts

during the last completed fiscal year;

(d) Estimated expenditures and receipts and actual or

proposed

appropriations

during

the

fiscal

year

in

progress;

(e)

Statements

of

the

condition

of

the

National

Treasury at the end of the last completed fiscal year, the

estimated condition of the Treasury at the end of the

fiscal year in progress and the estimated condition of the

Treasury at the end of the ensuing fiscal year, taking into

account the adoption of financial proposals contained in

the

budget

and

showing,

at

the

same

time,

the

unencumbered and unobligated cash resources;

(f) Essential facts regarding the bonded and other

long-term

obligations

and

indebtedness

of

the

Government,

both

domestic

and

foreign,

including

identification of recipients of loan proceeds; and

(g) Such other financial statements and data as are

deemed necessary or desirable in order to make known

in

reasonable

detail

the

financial

condition

of

the

government.

SECTION 13. Budget Levels . — The ordinary income of

government

shall

be

used

primarily

to

provide

appropriations for current operations, except in case of a

national

emergency

or

serious

financial

stress,

the

existence of which has been duly proclaimed by the

President.

The level of aggregate revenue expenditure and debt

shall be jointly recommended to the President by the

Department

of

Budget

and

Management,

the

Department of Finance, the National Economic and

Development Authority and the Central Bank of the

Philippines,

acting

within

the

Development

Budget

Coordination Committee of the National Economic and

Development Authority.

No appropriations for current operations and capital

outlays of the Government shall be proposed unless the

amount involved is covered by the ordinary income, or

unless it is supported by a proposal creating additional

sources of funds or revenue, including those generated

from domestic and foreign borrowings, sufficient to cover

the same. Likewise, no appropriation for any expenditure,

the amount of which is not covered by the estimated

income from the existing sources of revenue or available

current surplus, may be proposed, unless it is supported

by a proposal creating an additional source of funds

sufficient to cover the same.

Proposals creating additional sources of funds shall be

prepared in the form of revenue bills.

The provisions of this section shall not be construed as

impairing in any way the power of the Congress to enact

revenue and appropriation bills, nor the authority of the

President to propose special revenue and appropriation

bills after the submission of the budget.

SECTION 14. Budget Estimates . — Each head of

department,

office

or

agency

of

the

National

Government,

including

the

Legislative

and

Judicial

Branches,

and

including

government

owned

or

controlled

corporations,

shall

submit his request for

appropriations

to

the

Department

of

Budget

in

accordance with the budget calendar, format, and such

rules

and

regulations

as

may

be

issued

in

implementation of this Decree.

The

budget

estimates

of

agencies

include

the

following information:

(1)

Objectives,

functions,

activities,

programs

and

projects

showing

the general character and relative

importance of the work to be accomplished or the

services to be rendered, and the principal elements of

cost involved;

(2) Linkage of the work and financial proposals to

approved development plans;

(3)

Estimated current operating expenditures and

capital outlays, with comparative data for the preceding

and current budget years;

(4) Identification by region, pursuant to policies on the

regionalization of government operations;

(5) Financial sources, reflecting all revenues, proceeds

of foreign and domestic borrowings, and other sources,

particularly those which accrue to the General Fund;

(6)

Contingent

liabilities,

including

national

government

guarantees

of

obligations

of

government-owned or controlled corporations and their

subsidiaries;

(7) Brief description of the major thrusts and priority

programs

and

projects

for

the budget year, results

expected for each budgetary program and project, the

nature of work to be performed, estimated costs per unit

of work measurement, including the various objects of

expenditure for each project;

(8)

Organization

charts

and

staffing

patterns

indicating the list of existing and proposed positions with

corresponding

salaries,

and

proposals

for

position

classification and salary changes, duly supported by

adequate justification.

SECTION 15. Regional Budget . — The Budgets of

national government agencies shall be prepared taking

into full and careful consideration the opportunities and

requirements

specific

to

the various regions of the

country. Where they are organized, regional offices shall

originate agency budget proposals, in accordance with

approved priorities and guidelines.

Agencies which are not regionalized shall nonetheless

estimate the amounts planned to be spent for each

region of the country.

The Secretary shall identify by region the expenditure

programs of the national government agencies in the

national

government

budget,

and

release

funds

to

national government agencies in accordance with the

© Compiled by RGL

115 of 162