On October 20, 2026, the Supreme Court of the Philippines declared the General Appropriations Acts for 2024 and 2025 unconstitutional. The ruling stemmed from claims of unauthorized increases in appropriations made by Congress, totaling P449.5 billion for 2024 and P17.99 billion for 2025.
The court's decision, articulated by Senior Associate Justice Marvic Leonen, highlighted that these budget increases violated constitutional guidelines. Specifically, the Supreme Court found that the additional funds for the Special Road Fund in 2025 and unprogrammed appropriations in 2024 were not properly authorized.
Implications for Fiscal Responsibility
While the court applied the doctrine of operative fact, allowing some funds to remain valid for programs enacted in good faith, it emphasized that this does not shield lawmakers from potential legal consequences. Future budgetary practices could face stricter scrutiny as the ruling raises questions about fiscal discipline and accountability.
“They (unprogrammed appropriations) become constitutionally infirm when they lack sufficient standards, effectively granting the executive unchecked spending authority,” said the Supreme Court.
- 2024 budget increased unprogrammed appropriations by P449.5 billion.
- 2025 budget increased Special Road Fund by P17.99 billion.
- Court ruling places Congress's fiscal decisions under heightened scrutiny.
This landmark ruling not only affects the immediate budgets but also sets a precedent for future appropriations. The challenge brought forth by former lawmakers Edcel Lagman and Koko Pimentel underscores the growing push for legislative accountability in budget management.