MANILA – The Department of Budget and Management (DBM) on Tuesday dismissed allegations that it has been holding up the release of funds for public works projects, saying the agency strictly follows the rules set under the 2026 General Appropriations Act (GAA).
In a statement, DBM stressed that it cannot arbitrarily delay funding and that all releases are processed in accordance with the national spending law enacted by Congress and approved by the President.
The agency issued the statement after several lawmakers claimed that funding for certain locally funded infrastructure projects under the Department of Public Works and Highways (DPWH) had been delayed.
DBM explained that some of the projects cited by lawmakers were modified during the legislative process through Congress Introduced Changes and Adjustments (CICA). These changes altered certain project details, including descriptions, station limits, and geographic coordinates from the original proposals in the National Expenditure Program (NEP).
Due to these revisions, the projects must undergo further verification before the funds can be released.
The department said the President’s veto message for the FY 2026 national budget requires projects affected by such changes to secure validation and clearance from the Office of the President before the release of funding.
Projects that fall under this category are tagged as “For Issuance of Special Allotment Release Order” (FISARO), meaning implementing agencies must first provide the necessary documentation and identify project priorities before DBM can issue a Special Allotment Release Order (SARO).
DBM also clarified that the agency does not require projects to be awarded through bidding before funds are released.
Instead, implementing agencies are encouraged to begin early procurement activities—short of awarding contracts—for projects included in the NEP so they can move faster once funding is available.
The department emphasized that budget releases depend on official requests from implementing agencies.
“Funds are released only after implementing agencies formally request them. DBM does not act on its own to initiate budget releases,” the agency said.
DBM reiterated that its responsibility is to ensure that government spending follows legal and budgetary procedures.
“Our role is to safeguard the proper and lawful release of public funds in accordance with the budget approved by Congress and signed by the President,” it said.
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