DPWH cuts budget by P255B, drops locally funded flood control projects
The Department of Public Works and Highways (DPWH) has cut down its proposed 2026 budget by P255 billion mainly by slashing the entire allocation for locally funded flood control projects.
On Wednesday, Public Works Secretary Vince Dizon presented the agency’s new P625.78-billion budget for 2026, its lowest since 2020, which they achieved by removing all flood control undertakings without foreign funding assistance, duplicate or completed projects, as well as rock-netting and cat’s eye jobs.
“The main highlight of this revision is the President’s directive to remove all locally funded flood control projects amounting to P252 billion,” Dizon said.
Amid the alleged anomalies on flood control projects, President Marcos earlier announced that there will be no allocation for flood control projects next year as part of the executive branch’s move to eradicate problematic line items in the proposed 2026 national budget.
Dizon also said that the agency “exerted its best efforts” to ensure that issues raised in the initial budget proposal such as the funding for completed and duplicate projects were addressed.
Marikina Rep. Marcelino Teodoro earlier raised that completed flood control projects and repairs on well-maintained roads in his district were once again allocated funding under the proposed DPWH budget for next year.
Ongoing probe
Dizon also vowed to investigate exactly who proposed projects for funding that later turned out to be duplicates or already completed.
This was in reply to Akbayan Rep. Perci Cendaña’s query as to what he planned to do with the proponents of redundant or completed line items in the agency’s proposed 2026 National Expenditure Program (NEP).
Such line items were among the irregular provisions in the DPWH NEP that Mr. Marcos wanted stricken out.
“We will find out who included these items and we will include them in our ongoing investigation,” Dizon told the House committee on appropriations. “If you have any information, I will be more than happy to accept whatever information you can provide regarding this.”
Dizon also assured Cendaña that this would be “one of the more urgent and immediate” actions for the agency in compliance with Mr. Marcos’ cleansing drive.
“We will strive to file the necessary charges immediately, both administrative and criminal, and if we have evidence, we will immediately initiate dismissal proceedings against those found guilty,” he added.
Dizon admitted to lawmakers about being “shocked” by many things during the review, including discovering that some projects were being funded even if they did not have engineering plans.
“I was really shocked that this was going on inside the agency and this needs to be addressed immediately. It should not be that difficult if we simply require all projects, before they are included in the [NEP], to have clear plans first,” he said.
Fund realignment
Dizon also conveyed to lawmakers the President’s recommendation to Congress that the fiscal space made available by the reduction of P255 billion, be instead allocated to programs and projects in agriculture, education, health care, housing, labor, social welfare and information technology.
Budget Secretary Amenah Pangandaman said the executive branch has given the House a list of sectors where funds can be redirected, but noted that the final decision rests with Congress, since the NEP is already under its review.
“They can put it in the areas of education, health, electrification, among others. They can also put it in SUCs (state universities and colleges) and housing,” the budget chief said.
“This was not an easy task, this is in fact unprecedented,” Dizon told the House committee on appropriations on their review of the DPWH budget. “I don’t think this has ever happened before… it’s by no means perfect but we have tried our best to address a lot of issues not only by the President but also by members of the House of Representatives.”
The appropriations panel earlier gave Dizon 10 days since the first hearing for the DPWH budget—crafted under the tenure of his predecessor Manuel Bonoan—last Sept. 5 to submit all revisions, errata and amendments to the budget.
Not zero funding
However, not everyone welcomed the DPWH decision.
Caloocan Rep. Edgar Erice sounded the alarm on its possible impact on proper and well-managed flood control projects.
Speaking at the House hearing on Wednesday on the proposed DPWH budget, Erice said the removal of P255 billion earmarked for locally funded flood control projects could have an extensive impact on Filipinos.
“My fear is that if we scrap our flood control budget, all proper and well-managed flood control will also be affected. That is unfair,” he said in Filipino.
Erice insisted that he understands the President’s sentiment, but argued that “there must also be a sense of reason” when it comes to funding flood control projects that truly benefit the people.
But Dizon countered that removing the DPWH’s budget for locally funded projects does not mean there will be no flood control at all.
The Metropolitan Manila Development Authority likewise still retains funding for the flood control projects under its jurisdiction. There is also a P16-billion budget under the DPWH’s operating expense which can be used to clean waterways and drainages in the absence of new flood control projects, he added.
Dizon explained that the new DPWH budget still earmarks P15.77 billion for foreign-assisted flood control projects, including those in the Marikina and Pasig-Marikina areas.
Mr. Marcos earlier said that “there is still P350 billion for 2025 that has not really been spent.” —WITH REPORTS FROM IAN NICOLAS P. CIGARAL AND CHARIE ABARCA
