Economist favors proposed measure on “pork barrel”

CEBU, Philippines - Amid ongoing debates on which government branch should implement projects appropriated under the Priority Development Assistance Fund (PDAF), Cebuano economist Dr. Efren Valiente sits well with entrusting the funds immediately under the President’s watch.

Valiente, also a business leader, said the proposed measure will hardly hit Cebu’s economy, if it will at all.

“There’s not much to be affected, economically speaking. What is intended for Cebu will still go to Cebu—the amount, [if any], will still be there, only that the funds will be entrusted to somebody else, not our congressmen and senators,” said Valiente.

Personally, Valiente is strongly amenable to the changing of hands because unlike the current process, politicians will now never get a chance to take hold of funds or be invited to use it for purposes other than what it was intended for.

Besides, Valiente added, Cebu is still bound to receive its share in the Internal Revenue Allotment.

While entrusting the funds to the executive branch has received various criticisms including defeating the purpose of PDAF, which is to expedite access to progress and help for the congressmen’s immediate districts, Valiente said “the pork barrel was part of the process.”

“The slowing down [of help to constituents] is least likely to happen because, again, only an aspect of the whole process will be changed,” he stressed.

Valiente reiterated that if Cebu is allotted a portion of the funds for the purpose of widening local roads, for example, or upgrading the public hospitals here, Cebu will still eventually receive such allocations.

The Cebuano economic expert also said that more than just identifying those whom the funds are entrusted to, the government should devote time to make pre-audits, not post-audits, on the projects being implemented.

Although he admitted that pre-audits tend to take up longer time to accomplish, the same will help prevent fraud from taking place in different project implementations by the government if effectively conducted.

“That’s why Napoles was able to perfect the [alleged] crime. It took us 10 years to discover the whole scam because we only do post-audits,” he said.

Shutdown

Meanwhile, Valiente is positive that concerned stakeholders in the United States will come up with a compromise agreement very soon to finally put a halt to the federal government shutdown.

“There are twofold ways to see it—short term and long term. Speaking of its immediate drawbacks, I personally say the shutdown will never have any impact on the economy here. We are a free country already, we run our business on our own skin,” he said.

However, he warned that if the shutdown drags to a point which results to a deterioration of the U.S. economy, then not only will it have adverse effects on the Philippine business climate, but more so on the whole world’s economy, citing the U.S. as a leading economic powerhouse.

“I think they will come to their senses very soon. It had happened in the 90’s under the leadership of President Bill Clinton, and they were able to come about a compromise back then…so hopefully, they can fix this new one within two to three weeks,” said Valiente. (FREEMAN)