Nelson Morales

PhilHealth says planned spending for 30th anniversary ‘reasonable’, within guidelines

Article (news)

ABS-CBN News

<p>MANILA — The Philippine Health Insurance Corp. (PhilHealth) has pushed back at criticism of a proposal to spend more than P137.7 million for a yearlong celebration of its 30th anniversary, saying the spending plan follows government guidelines.</p><p>PhilHealth issued a statement in response to a post by health reform advocate Dr. Tony Leachon questioning the proposed expense in light of criticism against the state health insurer for having supposedly idle funds.</p><p>According to a breakdown that Leachon posted, PhilHealth has allocated P3.5 million for the production and publication of a coffee table book, P6.8 million for newspaper features, and more than P17 million for gala nights at its central office and at regional offices.</p><div><a href="https://www.abs-cbn.com/news/2024/10/29/sc-issues-tro-vs-philhealth-fund-transfer-to-treasury-1502">READ: SC issues TRO vs PhilHealth fund transfer to treasury</a></div><p>PhilHealth said the breakdown of expenses that Leachon posted was “not yet final” and that activities planned for 2025 will benefit staff, stakeholders “and more importantly our members.”</p><div class="twitter-tweet twitter-tweet-rendered" style="display:flex;max-width:550px;width:100%;margin-top:10px;margin-bottom:10px"><iframe id="twitter-widget-0" scrolling="no" frameBorder="0" allowtransparency="true" allowfullscreen="" style="position:static;visibility:visible;width:456px;height:731px;display:block;flex-grow:1" title="X Post" 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data-tweet-id="1867583873108128014"></iframe></div><script async="" src="https://platform.twitter.com/widgets.js" charSet="utf-8"></script><p>PhilHealth said the “approved activities are reasonable, budgeted following existing limits set by the government” and will be procured under Republic Act No. 9184.</p><p>The Government Procurement Act requires competitive bidding to help prevent overpricing and graft.</p><div><a href="https://www.abs-cbn.com/news/nation/2024/12/14/philhealth-to-appeal-zero-subsidy-assures-public-it-has-enough-funds-for-benefits-in-2025-1037">RELATED: PhilHealth to appeal zero subsidy, assures public it has enough funds for benefits in 2025</a></div><p>PhilHealth added that it has cancelled some activities and donated the savings in response to President Ferdinand Marcos Jr.&#x27;s directive for agencies <a href="https://www.abs-cbn.com/news/2024/11/18/malaca-ang-tells-gov-t-agencies-scale-down-christmas-parties-save-money-for-typhoon-victims-648">to avoid lavish celebrations</a> in light of the impact of recent typhoons on millions of Filipinos.</p><p>“PhilHealth assures the public that it is committed to transparency and prudence in the stewardship of the member’s funds,” it said, as it “reminded” Leachon to be “more responsible and cautious” about his social media posts.</p><div><strong>LEACHON: STILL LAVISH</strong></div><p>Leachon, in response to PhilHealth’s statement, said the planned spending for its anniversary is “still lavish given the financial debacles facing the Filipino people and the zero subsidy in addition to the P90-billion diversion to the national treasury to unprogrammed appropriations.</p><p>He added: “Regardless of how it is framed, the staggering amount earmarked for such events is tone-deaf and ostentatious at a time when millions of Filipinos are suffering.”</p><p>PhilHealth has been under fire for the transfer of close to P90 billion to the Bureau of the Treasury for reallocation to other government projects, a move whose legality has been questioned at the Supreme Court.</p><p>The SC has issued a temporary restraining order but not before P30 billion had already been transferred.</p><div><a href="https://www.abs-cbn.com/news/2024/8/14/recto-philhealth-to-end-2024-with-p546-billion-despite-fund-transfer-1300">Recto: PhilHealth to end 2024 with P546 billion despite fund transfer</a></div><p>The declaration of surplus funds has prompted questions on how PhilHealth spends its money and has been used to justify cutting government subsidy to the state insurer.</p><p>PhilHealth said Saturday morning that it has enough money to provide and expand member benefits in 2025 but that the lack of subsidy will be felt by 2026.</p><p>It said the zero subsidy would affect its administrative expenses, which it said is dependent on premium collections.</p><div><br/></div><div><strong>RELATED VIDEO</strong></div><div><strong><span class="fr-video fr-deletable fr-fvc fr-dvb fr-draggable" contenteditable="false" 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<p>PhilHealth said the breakdown of expenses that Leachon posted was “not yet final” and that activities planned for 2025 will benefit staff, stakeholders “and more importantly our members.”</p>

PhilHealth said the breakdown of expenses that Leachon posted was “not yet final” and that activities planned for 2025 will benefit staff, stakeholders “and more importantly our members.”