Notable in the 2026 General Appropriations Act is a provision common among several national agencies with considerable budgets (read: billions of pesos) for various nationally funded projects, particularly infrastructure projects.
Among these agencies are the Department of Public Works and Highways (DPWH), Department of Agriculture (DA), National Irrigation Authority (NIA), Department of Health (DOH), Department of Social Welfare and Development (DSWD), Department of Education (DepEd), Department of Environment and Natural Resources (DENR), Department of the Interior and Local Government (DILG), and Department of Transportation.
The projects to be undertaken include roads, bridges and buildings (DPWH); farm-to-market roads (DA); irrigation facilities like dams and canals (NIA); hospitals and other health facilities (DOH); school buildings and other facilities (DepEd), and ports and airports (DOTR).
For example, in the Special Provisions for the Department of Education’s budget, it says that DepEd may enter into a Memorandum of Agreement (MOA) with other government agencies, such as the Department of Public Works and Highways (DPWH), qualified local government units, and the AFP Corps of Engineers.
The education department may likewise enter into a MOA with Civil Society Organizations (CSOs) or Non-Governmental Organizations (NGOs) for the construction of school buildings or engage a contractor to implement the same but without any profit margin or mark-up on the part of the CSO or NGO.
While school building projects were implemented by the DPWH and, to a lesser extent, by the AFP Corps of Engineers under the same set-up in the past, rarely has LGUs been tapped for the job.
In Catanduanes, only once has the DPWH District Engineering Office partnered with a municipal LGU in the construction of a DPWH project and that instance has not been attempted since.
Why this is so can be explained by the relationship between Congress and DPWH .
Each Congress representative represents a legislative district, e.g. the Lone District of Catanduanes, and the DPWH has exactly one district engineering office for each congressional district.
By actual practice, the district representative is the de facto overseer of the DPWH DEO and directs the DE particularly on how the projects are divided among a stable of loyal contractors.
In recent years, the solon’s power has expanded from just divvying up project funds to choosing key sections heads in the DPWH district.
This is the reason why so many contractors, including here in Catanduanes, have decided to enter politics and run for Congress: they can decide to award projects to construction companies controlled by family members.
Unfortunately, most of the cong-tractors now in the Batasang Pambansa proved too greedy with regards to flood control projects and paid the price.
President Ferdinand Marcos Jr. initiated the probe of flood control projects and probably pushed for LGUs to be allowed to implement nationally funded infra projects of national agencies, the DPWH included.
Of course, the current crop of congressmen cannot be denied their chance at the DPWH feeding trough.
While they may have lost their “naming” rights as far as the other agencies are concerned, the DPWH remains theirs to manipulate.
Section 103 of Republic Act 12314 or the 2026 GAA provides that “(T)he LGU-recipient of nationally funded public works and infrastructure projects and other programs, services and facilities shall commit to fund the cost of maintenance and repairs thereof.”
While the LGUs are likely to implement projects that will to be turned over to them anyway, those concerning national roads and bridges, seawalls, ports, airports and similar infrastructure would possibly remain to be implemented by the national agencies.
Despite recent increases in the LGU shares of the National Tax Allotment (NTA), many LGUs, especially those outside urban areas, do not have enough funds to address infrastructure needs, much more their maintenance and repairs.
For the Happy Island of Catanduanes, the DPWH DEO’s more than three billion in funding allocations are safely within the sitting congressman’s power to distribute to favored contractors.
On the other hand, the governor and the 11 municipal mayors get the chance to enlarge their respective infra funding from the usual 20% Development Fund.
Of course, the possibility of enjoying the perks that congressmen are used to would depend on the LGU’s capability to implement the projects.
And let not everyone forget: the local chief executives cannot sign the MOA without the express authority of their respective sanggunians.
What Malacanang has done as an offshoot of the flood control controversy is to level the playing field as far as corruption in infrastructure projects is concerned.
Where before, only congressmen and senators jostled for their shares of the slop, now governors and mayors (and their sanggunians) have been given their own “bahogan” to enjoy.
Let the feeding frenzy begin!