PhilHealth contributions untouched, Recto assures senators

MANILA: The government's move to divert unutilized funds from government-owned-and-controlled corporations (GOCCs) will not include contributions to the Philippine Health Insurance Corporation (PhilHealth), Finance Secretary Ralph Recto assured senators on Tuesday. During a public inquiry by the Senate Committee on Health and Demography, Recto also clarified that the move is legal and adheres to Congress' order under the General Appropriations Act (GAA) of 2024. He said there are other ways to fund unprogrammed appropriations aside from new taxes and debts, as determined by Congress. 'At ito ay sa pamamagitan ng pagkolekta sa mga natutulog at hindi nagagamit na pera ng GOCCs na binabayaran pa natin ng interest. Ito po ay mismong nakagalay sa 2024 GAA na aming sinusunod lamang (And it is by collecting the idle and unutilized funds of the GOCCs that we still pay interest on. This is provided for under the 2024 GAA that we are only following),' Recto explained. He also assured that the Department of Finance (DOF) consulted legal experts and received favorable opinions before sweeping PhilHealth's PHP89.9 billion unutilized government subsidies which are not part of its reserve funds, nor income that is being restricted by the Universal Health Care Act to be used by the national government as a general fund. "Ito ang payong legal na aming sinusunod. At hindi lamang ito legal. Ito'y makakatulong sa paglago ng ekonomiya at pagbibigay ng trabaho (This is the legal advice we followed. And not only is it legal, it will help in economic growth and job creation),' Recto said. Recto said the funds are exclusively for the list of projects identified under the Unprogrammed Appropriations as mandated by the 2024 GAA, including the Davao City by-pass; Samal Island Davao City connector; Panay-Guimaras-Negros Island bridges; Bataan-Cavite interlink bridge; Metro Manila Subway; and the Salary Standardization VI for government employees, among others. The DOF chief also dismissed speculations that the excess funds will be tra nsferred to the Maharlika Investment Fund. Recto said PhilHealth has sufficient funds to cover its members' claims and is expected to increase benefit packages next year. "PhilHealth na mismo ang nagsabi na ni isang kusing, walang kaltas sa mga benepisyong matatanggap, batay sa kasalukuyang patakaran (PhilHealth itself has said that not a single centavo will be deducted from the benefits to be received, based on the current policy)," he said. PhilHealth confirmed that it still has a PHP500-billion benefit chest fund and will continue to receive subsidies from the national government in the following years. Meanwhile, Senator Christopher Lawrence Go, who chairs the panel, asked Philhealth president and chief executive officer Emmanuel Ledesma Jr. to utilize the said chest fund as soon as possible to reduce contributions and increase the benefit packages. Senator JV Ejercito filed the resolution calling for an investigation after reports of the transfer of PhilHealth's unused funds to the national treasury . Ejercito expressed concern about the significant amount of unspent funds which could have benefited indigent patients. Source: Philippines News Agency