Relief group calls out government for ‘underutilized’ disaster funds
The Philippines has “underutilized” its disaster funds and has spent more money responding to disasters rather than for measures to prevent such situations, according to multinational relief organization Oxfam.
“Oxfam found that the government uses 30 percent of disaster funds for quick responses, but leaves 70 percent of funds meant for mitigating disasters almost untouched, which is a missed opportunity,” said Rhoda Avila, acting Oxfam Pilipinas executive director.
“These funds could support much needed community preparedness,” she said, noting that government budget rules allocate only 30 percent to disaster response.
According to Oxfam, from 2016 to 2020, about P118 billion in public funds for disaster response was practically left untouched.
Special trust fund
In the case of the Philippines, Oxfam noted that unspent disaster funds accrue to a special trust fund meant solely for disaster preparedness, based on a memorandum circular issued by several government agencies.
But this accumulation of special trust funds represents the “magnitude of missed opportunities in enhancing [disaster] resilience,” Oxfam said.
The group also analyzed government audit reports from 2017 to 2021 showing that local government units (LGUs) were also responsible for fund underutilization because of government auditing rules.
The use of quick response funds “necessitates the occurrence of actual disasters and a declaration of a state of calamity,” thus implying that LGUs have a “reactive type of spending,” which is caused by a “fear of disallowance” from the Commission on Audit.
“This is the reason for the year-on-year accumulation of special trust funds from the LDRRMF (Local Disaster Risk Reduction and Management Fund)—an ironic situation for a country visited by an average of 20 typhoons a year,” Oxfam said.
But Avila tried to lessen the blame on national and local governments and praised LGUs that made anticipatory actions even before the disaster brought by Typhoon “Odette” in 2021.
She cited the LGUs of Salcedo, Dolores, Lawaan, Quinapondan and Balangiga towns in Eastern Samar and Mindanao that provided groceries, medicines and water for families days before Odette hit.
