FY 2027 General Appropriations Bill Day 2 Part 1

Dangerous Drugs Board (DDB): For FY2027, sponsor Rep. Marcelino "Marcy" R. Teodoro presented a proposed total agency budget of PHP 526.54 million, compared with PHP 598.17 million in FY2026, a stated PHP 71.62 million decrease (about 12%); the new general appropriations amount was PHP 418.14 million. Within the FY2027 proposal, the Drug Abuse Prevention and Control Program received PHP 169.18 million, including PHP 111.69 million for policy, surveys and research, PHP 32.84 million for advocacy and information, and PHP 24.64 million for capacity building. No original agency submission to the Department of Budget and Management (DBM) was stated.

Philippine Drug Enforcement Agency (PDEA): For FY2027, sponsor Rep. Marcelino "Marcy" R. Teodoro presented PHP 4.41 billion in proposed new general appropriations, compared with PHP 4.37 billion in FY2026; he described a 1.1% increase amounting to PHP 47.77 million. The Dangerous Drug Supply Reduction and Suppression Program was proposed at approximately PHP 4.06 billion, including approximately PHP 3.75 billion for anti-drug operations. Capital outlay was reported to decline from PHP 783.87 million in FY2026 to PHP 640.59 million in FY2027. No original agency submission to DBM was stated.

Games and Amusements Board (GAB): Sponsor Rep. Gerardo J. Espina Jr. presented a proposed FY2027 GAB budget of PHP 25,206,000. No original agency submission to DBM was stated.

Philippine Sports Commission (PSC): Sponsor Rep. Gerardo J. Espina Jr. presented a proposed FY2027 PSC budget of PHP 1,311,444,000, described as PHP 895,364,000 (40.57%) below the prior-year amount; the presentation did not state the prior-year total or a general original agency request. In a separate stakeholder-consultation discussion, he said the PSC's program proposal was PHP 100 million, while the approximately PHP 50 million per annum he first cited came from the off-budget National Sports Development Fund (NSDF), on top of the General Appropriations Act (GAA) and outside it. That program-specific proposal is distinct from the unstated overall agency request.

Philippine Racing Commission (Philracom): Sponsor Rep. Gerardo J. Espina Jr. presented a proposed FY2027 budget of PHP 202,852,000 for the Philippine Racing Commission (Philracom). No original agency submission to DBM was stated.

Department of Human Settlements and Urban Development (DHSUD): Sponsor Rep. Julienne "Jam" L. Baronda proposed an approximately PHP 5.88 billion FY2027 DHSUD budget, including PHP 1.1 billion for housing interest subsidies and expanded 4PH administration and implementation. A DHSUD-wide original agency submission amount was not stated. In a later interpellation, Rep. Jesus "Bong" C. Suntay described a different new-appropriations scope: a little over PHP 2.9 billion for DHSUD's Office of the Secretary (OSEC) together with the Human Settlements Adjudication Commission (HSAC), of which a little over PHP 2.4 billion was for OSEC. He separately cited roughly PHP 1.1 billion for 4PH against PHP 35 million in FY2026. These differently scoped figures are reported as stated, without reconciliation. In another attached-agency comparison, Rep. Sarah Jane I. Elago cited the National Housing Authority's (NHA) original FY2027 budget proposal of PHP 44.7 billion against approximately PHP 2.27 billion in the General Appropriations Bill (GAB); this is an NHA comparison, not a DHSUD total. Rep. Dadah Kiram Ismula asked about presidential-proclamation land surveys; Baronda said DHSUD had no funding for them and was seeking funding in the FY2027 budget. Her presentation's request for support and restoration of housing funding was not an appropriation approval.

Department of Agrarian Reform (DAR): Sponsor Rep. Ian Paul L. Dy presented a proposed FY2027 DAR allocation of PHP 16.935 billion, including PHP 2.24 billion in automatic appropriations, and said it was 6.75% below the current-year DAR budget. No original agency request was stated. During interpellation, Rep. Arlene "Kaka" J. Bag-ao called for an additional PHP 1 billion for landowner compensation, PHP 3 billion for infrastructure under the Comprehensive Agrarian Reform Program (CARP) and the Agrarian Reform Beneficiaries Development Support Program, and PHP 600 million for a Restorative Response Fund. Dy said the matters raised would be scrutinized; the exchange records no adoption of these proposed additions.

Dangerous Drugs Board (DDB): Teodoro framed the Dangerous Drugs Board (DDB) as coordinating prevention, treatment, rehabilitation and reintegration alongside enforcement, rather than operating the whole treatment system or acting primarily as an arresting agency. He said families may seek treatment and recovery support, and argued that a national strategy should connect separate government programs.

Teodoro cited the 2023 National Household Survey, saying current drug-use prevalence fell from 2.05% in 2019 to 1.71% in 2023, representing approximately 1.4 million people. He cautioned that needs differ: some people may require residential treatment, others outpatient or community-based rehabilitation, and others continuing support. He said data should help government identify what help is needed, where it is needed, and how people can reach it.

Teodoro said the Department of Health was best positioned to report national treatment capacity, including beds, occupancy, waiting lists, outpatient services, personnel, equipment and facility needs, while DDB should bring information together under a national strategy. He described enforcement, health and treatment, local community programs, social support and reintegration as work distributed across agencies and local governments. He also said NEP-recognized rehabilitation funding extends beyond DDB's regular appropriation through statutory funding sources involving Philippine Charity Sweepstakes Office (PCSO) and Philippine Amusement and Gaming Corporation (PAGCOR) revenues. He described the intended result as accessible treatment, support after rehabilitation and effective community programs.

Teodoro argued that anti-drug policy should distinguish people who profit from illegal drugs from people seeking to recover from dependence, pairing enforcement with help and a path back to the community. He concluded by urging the House to approve DDB's proposed FY2027 budget.

Rep. Presley C. De Jesus: Rep. Presley C. De Jesus asked what the Dangerous Drugs Board (DDB) does and whether local governments were included. Sponsor Rep. Marcelino “Marcy” R. Teodoro described DDB as a coordinating and policy-formulation body implementing the Philippine Anti-Illegal Drugs Strategy. He said community-based rehabilitation involves local government units (LGUs), while DDB coordinates enforcement, prosecution, rehabilitation and reintegration agencies, including the Philippine National Police, Department of Justice, Department of Social Welfare and Development, Department of Education, Commission on Higher Education, Department of the Interior and Local Government, Department of Foreign Affairs and National Youth Commission. Teodoro said research and data gathering support evidence-based policy.

Asked about private-sector representation, he acknowledged the identified nongovernmental-organization (NGO) seat was vacant and said the board could recalibrate its position; he also identified the Integrated Bar of the Philippines president as an ex-officio member. De Jesus urged filling the NGO seat for checks and balances. Teodoro said the Commission on Human Rights was not on the board because its constitutional independence made membership difficult, while agreeing that drug policy should balance rights and health.

Asked about the Special Account in the General Fund (SAGF) for treatment and rehabilitation facilities, Teodoro reported ₱175 million obtained in 2026, including ₱60 million from the Philippine Amusement and Gaming Corporation (PAGCOR), ₱81 million attributed in the exchange to “PCS,” ₱3 million from Metro Manila Turf Club Corporation and ₱29 million from licenses; he gave the combined figure as ₱175,015,272.

De Jesus cited Board Resolution No. 12, Series of 2026, as approving ₱15 million for three named localities and Resolution No. 15 as approving ₱10 million for two others, then questioned a ₱50 million figure for Resolution No. 12 and the apparent ₱5 million per locality. Teodoro explained that the ₱5 million grants support facility infrastructure, while operating costs and staffing are separate and may draw on LGU and Philippine National Police resources. He said allocations reflected identified drug problems and barangay-clearing classifications.

For monitoring, he cited Commission on Audit procurement and disbursement oversight and a four-agency body involving the Department of Health, Department of the Interior and Local Government, DDB and Commission on Audit.

On recurring costs, he said services are devolved to LGUs, with the Department of Health responsible for facility accreditation and management; he acknowledged that drug rehabilitation and treatment had no dedicated budget line in the Department of Health budget he reviewed and that bed and outpatient capacity were inadequate.

De Jesus said funding for DDB advocacy and information work was described as moving from ₱27.7 million in FY2026 to ₱32.85 million in FY2027, while characterizing the change as a reduction and asking about targets, utilization and the rationale. Teodoro did not give a target or utilization rate; he explained that DDB is a coordinating agency rather than the implementing body for higher-education programs, and said its operating support focuses on research, data gathering and coordination. He described a proposed national dashboard and information portal to assemble agency data and guide policy, rather than directly implement reintegration programs. De Jesus said he supported stronger DDB funding and its advocacy.

De Jesus asked how the PHP 102.14 million FY2027 program monitoring and evaluation allocation would translate into operating platforms and participating LGUs and agencies. Teodoro described two systems: online processing of certifications and exemptions for non-controlled substances, then serving 393 establishments; and an Anti-Drug Abuse Council reporting system for screening, assessment and intervention data. He said 35 LGUs had active accounts, with training underway for 300 more, and hoped to expand participation nationwide. Version 1 launched in March and was still being updated; national treatment, rehabilitation and reintegration data remained incomplete. The exchange did not provide a count of partner agencies contributing data.

De Jesus asked why Board Regulation No. 5, Series of 2026 extended authorization for ordinary prescriptions for controlled dangerous drugs through June 30, 2027, citing the Department of Health’s failure to restore full availability of official yellow prescription forms. Teodoro said procurement was still pending and that the Department of Health had sought an eight-month period to procure and implement the forms; the extension runs for one year through June 30, 2027, with the remaining four months intended for nationwide distribution. De Jesus asked what would happen if the department missed the deadline and said he would raise the issue at its hearing. Teodoro cited the Department of Health’s role in rehabilitation and treatment, acknowledged gaps in beds and outpatient capacity and said there was no budget line for that purpose in the budget he had reviewed. The exchange records the department’s commitment and the extension, but no specific consequence for missing the deadline.

As his time ended, De Jesus said he supported DDB and offered legislative support for its budget and anti-drug work. Teodoro thanked him.

Rep. Renee Louise M. Co: Rep. Renee Louise M. Co asked Rep. Marcelino “Marcy” R. Teodoro, the Dangerous Drugs Board (DDB) sponsor, how the DDB was implementing the Philippine Anti-Drug Strategy (PADS), when its 2018 framework would be replaced by an enhanced PADS, and whether communities and affected groups had helped shape it. Teodoro said the DDB had led implementation since the 2018 executive order; the enhanced plan was under Presidential Management Staff review, with a Palace commitment to issue it by December. In practice, he said, the DDB was already applying three pillars through a board resolution: supply reduction, demand reduction, and health, social, and developmental services, including prevention, treatment, rehabilitation, and reintegration. He described recurring returns to drug use after treatment as linked to limited education and livelihood opportunities and stigma.

On consultation, Teodoro cited earlier work with the University of the Philippines Institute of Human Rights and UP College of Law, whose report had not been returned; he said the Committee on Dangerous Drugs had requested it. He also described smaller local consultations and civil-society participation, but said he would seek a list to identify who had been consulted.

Co asked for that list, the 2018 PADS, the consultation report, and progress on the enhanced plan before its expected release, so local communities, civil society, affected people and families could provide input. Teodoro agreed to ask the concerned agencies to submit the requested information and said input should come from local communities and people.

Co asked how the DDB guided anti-drug budgeting across agencies and whether the stated policy shift was reflected in allocations. Teodoro said the DDB board meets with representatives of 12 line agencies; a technical committee presents a proposal for collective approval according to priorities. He said the DDB used National Household Survey data on drug use and addiction, including age, demographics and location, to guide policy and allocation. He also identified PHP 111.69 million for surveys, research and policy formulation; PHP 169.18 million for prevention and control; and PHP 24 million for capacity building, human-rights training and advocacy. Later, he said supply reduction represented 42% against 57% for demand reduction, describing this as a gradual budget shift corresponding to policy. He added that DDB sought to connect people with services from the Department of Health (DOH), Department of Education (DepEd), Commission on Higher Education (CHED), Department of Social Welfare and Development (DSWD), and other agencies through its coordinating role and interdepartmental board representation.

Co asked how a health-first, rights-based strategy would change spending across DDB and the Department of the Interior and Local Government (DILG), Department of Justice (DOJ), and Bureau of Jail Management and Penology (BJMP), including funding for alternatives to incarceration. She cited reports that drug-related cases accounted for 90% of people in detention, 80% of prosecutors' dockets, and about 70% of prior-year anti-drug campaign spending was for public order and law enforcement; she argued that policy change should redirect resources toward health and rights.

Teodoro agreed that the strategy should balance supply and demand reduction with health and social services. He said the DDB conducts research, coordinates with the Department of Labor and Employment (DOLE), CHED, DSWD and DOH, and had raised the shortage of treatment facilities with DOH; an online access system was intended to help people locate assistance. He said the DDB was also speaking with DOJ about plea bargaining, while stressing that the purpose was not simply to reduce jail populations and describing concerns about people being falsely accused in police operations.

Teodoro cited the Philippine Amusement and Gaming Corporation (PAGCOR) statutory contribution as reaching 14 areas at PHP 5 million per local government, and questioned whether new rehabilitation centers would have doctors and social workers. Co emphasized the effects of incarceration and drug-related accusations on victims, patients' consent, families and livelihoods, and asked that agencies use resources for rights-respecting services and more facilities. Teodoro promised the requested information and said policy shifts should affect agency results as well as allocations.

Rep. Iris Marie Demesa Montes: Rep. Iris Marie Demesa Montes asked Rep. Marcelino "Marcy" R. Teodoro to describe the current drug problem. Teodoro, the Dangerous Drugs Board (DDB) sponsor, said the Board's local information remained incomplete: he reported that 35 local government units were online, said access in Metro Manila cities remained incomplete, and cited reporting from barangays and anti-drug councils as needed local information. Citing the National Household Survey, he reported prevalence of 2.05% in 2019, associated with 1,675,000 users, and 1.71% in 2023, and described the change as a 16.6% decline. He also said survey data could have omissions or additions.

Montes questioned whether seizures, arrests and drug-free barangay declarations were enough to establish that drug use or supply had declined. Teodoro said validation was continuing and grounded the reported 16.6% decrease in the 2023 national household survey; he called the change an improvement in one measure while stressing that roughly 1.4 million people remained affected and that treatment and rehabilitation access was a major problem. He urged prioritizing the Department of Health (DOH) budget for treatment and said recurrence also needed to be measured.

In the proposed FY2027 DDB budget discussion, Montes asked how the Board could measure the effectiveness of its policies. Teodoro agreed that reliable data and measures were needed. He cited about 40% of DDB's budget for research and surveys and said ₱111.69 million was allocated for survey research and studies, explaining that funding decisions should reflect prevalence and local need rather than habit or a proposal alone.

In the FY2027 DDB budget deliberations, Teodoro said ₱60 million was allocated for building rehabilitation-center structures nationwide and described that amount as inadequate. He distinguished this construction funding from the Las Pinas facility, which he said was funded by DOH, not DDB.

Montes raised fragmented responsibilities for prevention, education, treatment and rehabilitation, along with relapse after short treatment stays and the need for aftercare. Teodoro agreed that funding was wasted if treatment did not lead to recovery and reintegration, and proposed a dashboard to follow people through treatment and their return to school or work. He cited DDB Board Regulation No. 7 (2019) as establishing a treatment-referral mechanism, but said referral rules did not ensure that an actual facility was available. He pointed to gaps in facility funding and oversight, and said Congress could help DDB and other agencies build a practical coordinating mechanism. He also referred to the education program under Republic Act 9165 and urged integrating demand reduction, supply reduction, health and social-development services.

Montes asked how drug-free barangay declarations would be sustained and whether communities could be monitored after declaration, including whether people who completed rehabilitation returned to drug use. Teodoro agreed that declarations required continuing monitoring and stronger Barangay Anti-Drug Abuse Councils. He supported open, online reporting that the public could verify, but said DDB did not accurately obtain treatment and recovery data; he said those records were under DOH and that data from private facilities were also not being captured reliably.

Montes asked what DDB gained from international and regional bodies, including grants, best practices and lessons that could be applied locally. Teodoro said DDB received no grants or aid, but described standard practices, intelligence sharing, best-practice collaboration and international cooperation as useful against a transnational drug supply. Montes closed by expressing support for DDB's goal of a drug-free country; Teodoro said the members who questioned him supported DDB funding.

Philippine Drug Enforcement Agency (PDEA): Teodoro framed the budget around public safety and said drug syndicates had moved beyond street-level distribution to cross-border operations using cargo planes, airports, international parcels, ports, coastlines and open water. He described PDEA's statutory role as conducting anti-drug operations and intelligence work, identifying high-value people and organizations, coordinating interdiction, and making it harder for illegal drugs to enter and circulate in communities. He cited airports, seaports, coastlines and mail and parcel systems as major entry points, and described a June 2025 interdiction off Subic involving approximately 1,484.65 kilograms of shabu. He said the operation illustrated the organization, money, logistics, intelligence and networks behind large shipments.

Teodoro reported that in 2025, 84 percent of PDEA-initiated arrests involved high-value targets, against a 60 percent target; the agency conducted 696 high-impact operations against a target of 500; and 73.88 percent of drug-related information and reports acted on led to actual operations. He said the next step was to reach organizations that finance, import and distribute drugs, identify trafficking routes earlier, and strengthen interdiction before shipments reached communities. He emphasized weakening syndicates and preventing drug entry, rather than merely increasing arrests, and said this would sustain disruption of organized networks.

Teodoro said PDEA's work was strongest when integrated with agencies responsible for borders and national security, with immediate operational coordination across the country's long coastline and many ports of entry. He named the Bureau of Customs, Philippine Coast Guard, Philippine Navy, military intelligence, airport authorities, local law enforcement and international partners, and said information should move quickly between agencies. He argued that continued budget support should produce disciplined intelligence work, stronger interdiction, closer coordination and measurable results against major drug organizations, with the practical goals of making drug entry and syndicate operations harder and communities safer.

Rep. Presley C. De Jesus: Rep. Presley C. De Jesus asked how the Philippine Drug Enforcement Agency (PDEA) evaluates the FY2027 confidential-expense allocation and coordinates intelligence with other agencies. He cited PHP 500 million in the FY2027 National Expenditure Program (NEP), equal to the FY2026 General Appropriations Act amount, and said it was about one-third of PDEA's proposed PHP 1.5 billion MOOE. Sponsor Rep. Marcelino "Marcy" R. Teodoro confirmed the PHP 500 million NEP amount and said confidential sources and operational details could not be disclosed in plenary, but aggregate results could be provided. He cited 1,471 of 1,991 drug-related information reports as acted upon in 2025, and reported targets and results for high-value-target arrests and high-impact operations. Teodoro offered to give De Jesus a copy of the agency's performance indicators later.

Asked how PDEA coordinates with the Philippine National Police (PNP), National Intelligence Coordinating Agency (NICA) and Armed Forces of the Philippines (AFP), Teodoro described a supply-reduction committee that reviews targets before operations to prevent duplication. He said a 2021 memorandum circular sets coordination guidelines, although misunderstandings and operational gaps can still reduce effectiveness. He identified the PNP, PDEA, military, National Bureau of Investigation (NBI), Bureau of Customs (BOC) and Department of Justice (DOJ) as participants in relevant interdiction, intelligence or prosecution work. On drug seizures at entry points, he said cocaine recovery was associated with the country's long coastline and cited shipment routes from North America, Mexico and European countries, including the Netherlands. He said ecstasy was also coming from European countries.

De Jesus asked about narcotic-detection dogs at ports and whether funding matched their value. Teodoro said 142 of PDEA's 240 canines were deployed, with others being retrained or rehabilitated; he identified National Capital Region airports and seaports as the largest deployment area and described a canine training facility being built in Tanay, Rizal. He said agents reported nearly 100% effectiveness among opened packages flagged by a dog, while acknowledging that the agency could not account for undetected packages and that syndicates try to evade detection. Teodoro said the FY2027 NEP provides only PHP 2.9 million for maintenance of the canine program, facilities, breeding, feeding and training for all 240 dogs, including training-facility maintenance and housing. He agreed the amount was low and said the agency wanted to correct it to reflect actual costs; he also pointed to training systems, training-aid containers and vaults as needs for the Committee on Appropriations to consider. De Jesus said he would raise the issue during budget deliberations. No increase was moved or adopted in this exchange.

De Jesus asked for end-2026 and 2027 targets and funding to clear the remaining drug-affected barangays. Teodoro described the figures as a moving target: as of August 2026, he cited about 5,247 affected barangays, 30,263 cleared and 6,229 drug-free, while noting that status can change. He said no specific appropriation was set aside by law for barangay and municipal anti-drug abuse councils, and identified PHP 419 million nationwide for barangay-clearing implementation. He qualified that this amount covered maintenance and operating expenses only; intelligence, information, equipment and the needed reporting-system upgrade and module were not included. De Jesus also asked how many previously cleared barangays had become affected again. Teodoro said PDEA did not have that data, acknowledged a need to improve data collection and promised to provide it once obtained. No end-year clearing targets were supplied.

Asked how arrests translate into convictions, Teodoro said he would check the year-specific data and cautioned that intelligence-driven operations are not all successful. He said prosecution and disruption of syndicates are better measures than arrests alone. For cumulative 2002-2026 statistics, he cited 166,227 cases, a 71.6% conviction rate, 10% dismissals and 18% acquittals, with chain-of-custody handling and evidence marking among the reasons for dismissals. He then cited 71,199 convictions for the current year, an 84% conviction rate, 6% dismissals and 8% acquittals, describing this as a small improvement over the cumulative figures. The current-year data were presented as the more relevant measure, but the source does not define the exact reporting period or denominator for those percentages.

De Jesus contrasted an estimated PHP 47.83 billion in dangerous drugs seized in 2025 with assets identified and preserved through coordination with the Anti-Money Laundering Council (AMLC): PHP 3 million across four bank accounts, one GCash account, one parcel of land and three motor vehicles. Teodoro attributed the gap to the legal complexity of asset-seizure cases, foreign financiers and transnational shipments. He said PDEA had more than 4,000 cases pending with AMLC and was waiting for resolutions so prosecution could proceed; he emphasized pursuing financiers and their accounts, which can be difficult to access. The exchange did not give a timetable for resolving those cases.

Rep. Presley C. De Jesus: Rep. Presley C. De Jesus asked sponsor Rep. Gerardo J. Espina Jr. about the Games and Amusements Board (GAB)'s reduced capital outlay under the proposed FY2027 National Expenditure Program (NEP): it fell 81.8%, from ₱3.38 million in FY2026 to ₱616,000 in FY2027, with capital outlay for the Professional Games and Amusements Regulatory Program reduced to zero. Asked what the Board needed for its regulatory and field operations and how it would fund those needs, Espina identified four wishlist items: a document-management system, a sports-integrity monitoring program, information and communications technology equipment, and motor vehicles. He did not attach costs to the wishlist.

De Jesus cited Maintenance and Other Operating Expenses (MOOE) allocations for supervision: the horse-racing figure is rendered in the transcript as “₱1.8 million—₱1.1[unclear] million,” while ₱6.56 million is stated for professional games and amusements. He asked whether the amounts were sufficient for nationwide inspection and regulation and what funding gap remained. Espina said the allocations were sufficient and that, if a deficiency arose, GAB could use funds from general management and support. The horse-racing amount remains unresolved as transcribed; no additional amount or specific gap was stated.

De Jesus cited a ₱4 million confidential-expenses allocation while referring to the FY2027 NEP and FY2026 General Appropriations Act (GAA), and said the Board had approved a ₱1 million cash advance from that fund for GAB's Anti-Illegal Gambling Unit, with the GAB Chairman named Special Disbursement Officer. He asked what activity justified the allocation and what internal controls governed it. Espina said GAB worked with law-enforcement partners against illegal bookie joints and reported 94 arrests in 2025 and 14 so far in the current year. The transcript does not make clear whether the ₱4 million applies separately to each fiscal-year budget or is one figure spanning the comparison.

De Jesus followed up on safeguards when the Chairman served as Special Disbursement Officer. Espina said the designation was allowed under a joint circular but did not give the Chairman sole or unchecked control: GAB accountants had to certify and separately record each cash advance, another advance could not be granted until the prior one was liquidated, and supporting documents and liquidation reports had to be submitted to the Commission on Audit for post-audit. He said disallowed amounts remained the Chairman's personal accountability.

De Jesus said GAB discontinued its off-track betting (OTB) sticker program after issuing 166 stickers in 2025 and determining the program was neither cost-effective nor operationally necessary. Espina put the program's cost at ₱15,000, or about ₱95 per sticker; he did not state a separate projected savings figure. Asked how inspectors and local authorities would distinguish licensed OTB stations from unauthorized betting, he said licensed stations had local-government business permits and Bureau of Internal Revenue (BIR) registration and could be identified by GAB inspectors.

De Jesus said Special Provision 1 of the FY2027 NEP authorized GAB to use ₱9 million from its special account in the general fund to augment operations, describing the source as a 3% share from gross rate receipts and broadcasting rights under Presidential Decree 871. He said GAB's 2025 financial report described three separate bank accounts for the 3% share, regular license fees and trust funds. Espina explained that audit observations had identified commingling and inadequate accounting separation; GAB responded with dedicated accounts, a cash-management seminar and separate reporting categories. The question described the 3% source as gross rate receipts; Espina later called it gross gate receipts. Asked whether professional-league shares due were fully remitted, recorded and supported by audit documents, Espina answered yes.

De Jesus asked how GAB ensured that indigent professional fighters could obtain medical and neurological clearances regardless of whether their local government had a GAB partnership. Espina pointed to a national-level institutional partnership with the Department of Health (DOH), but did not describe how fighters without a local partnership could secure the clearances. De Jesus then asked how many of 3,034 licenses and 1,392 permits issued in 2025 involved combat-sport athletes denied or deferred because of medical, neurological or drug-testing results, and what post-fight assistance was available. Espina did not give a count; he described the GAB Boxers Relief Fund as an authorized internal mechanism for emergency financial assistance to professional fighters injured in sanctioned bouts or left indigent by their physical effects.

Rep. Presley C. De Jesus: Rep. Presley C. De Jesus asked Espina, how it would sustain grassroots participation amid FY 2027 NEP reductions. He compared financial assistance for athletes, community sports development, sports festivals and activities at PHP 545 million in FY 2026 with PHP 45 million in FY 2027, describing this as a 91.7 percent or PHP 499 million reduction. He said the PHP 150 million National Grassroots Sports Development Program and PHP 300 million Sports Tourism Program from FY 2026 were not carried into the FY 2027 NEP.

Espina said the PSC could supplement regular appropriations through the off-budget National Sports Development Fund (NSDF), under Sections 6 and 26 of Republic Act 6847, for national games, grassroots talent identification and community-level sports initiatives. He said cooperation with local government units and local physical fitness and sports development councils supported community sports-for-all initiatives.

De Jesus asked what predictable FY 2027 support women-in-sports, para-sports and Indigenous Peoples' Games would receive. Espina gave regular-appropriation figures for the National Sports for All Grassroots Centerpiece Program of PHP 63.48 million in FY 2027, down from PHP 80.07 million in FY 2026. He said the PSC supplements those regular lines with the off-budget NSDF; automatic remittances from PAGCOR gross-income shares and PCS or sweepstakes proceeds are legally earmarked for multilevel competitions and inclusive community projects, including women-in-sports, Indigenous Peoples' Games and Pilipinas Para Games.

De Jesus said tennis was difficult for Philippine athletes to access because equipment was expensive and a player needed sponsorship or family resources; he referred to Alex Ayala training in Spain and asked what the PSC could do as interest in tennis grew. Espina said the PSC would continue building regional training centers focused on tennis, provide facilities for athletes and build more tennis training centers.

De Jesus asked whether the Philippines could develop golf and tennis academies like those in Thailand and Vietnam, alongside boxing, and whether funding was directed to emerging sports talent or other sports. Espina said the PSC was focusing on medal-rich Olympic sports where Filipinos could excel. Asked about golf prospects, he cited young golfer Ryan Maliksi and said the PSC would focus on developing him, but gave no sport-specific allocation figure. De Jesus urged attention to sports where Filipino athletes could contend, including tennis and golf.

After De Jesus ended his interpellation, Deputy Speaker Alfredo "Albee" B. Benitez asked whether the PSC was pursuing partnerships with established academies to bring training, technology and skills transfer to the Philippines. Espina said the PSC was interested and pursuing this. Benitez observed that prominent Filipino athletes had trained abroad and gained skills that helped their careers.

Rep. Jernie Jett V. Nisay: Rep. Jernie Jett V. Nisay asked how the Philippine Sports Commission (PSC) follows young athletes after Batang Pinoy, which he said draws around 15,000 athletes aged 17 and below across 27 sports, and how many enter national training. Sponsor Rep. Gerardo J. Espina Jr. described Palarong Pambansa as a next monitoring stage, said national sports associations (NSAs) check athletes' best performances and cited a PSC youth pool. Asked whether PSC had a centralized system and data tracking athletes who reach national teams, Espina said tracking exists but is handled by NSAs, whose athlete lists are submitted to PSC.

Nisay cited more than PHP 44 million in the FY2027 NEP for regional training centers and asked how many centers and athletes it would support. Espina described Olympic-focused sports and three regional training centers per sport across Luzon, Visayas and Mindanao. He said PSC had established at least 21 locations nationwide, including completed and ongoing centers, since Chairman John Patrick Gregorio took office in July 2025, in response to a directive from the Office of the President. Asked about underserved areas, Espina said Gregorio personally travels nationwide to inspect provincial conditions. Nisay urged larger funding across the 18 regions, saying the cited allocation was inadequate and should be doubled, tripled or increased further. Espina agreed and said the Department of Budget and Management (DBM) had reduced PSC's proposed budget by 40.57%, or PHP 895,364,000. He praised the regional-center work but gave no specific augmentation amount or funding decision; Nisay's request was not recorded as approved.

Nisay asked whether PSC had a strategy to grow sports as an industry and coordinate with the Department of Trade and Industry and Department of Tourism on major sporting events and sports tourism. Espina cited the President's Administrative Order No. 38 establishing a Sports Tourism Council, with PSC as chair and Tourism as vice chair of the relevant committee. Asked for estimates of jobs and economic activity from major events and facilities, Espina cited a Nielsen report and said each $1 spent on sports tourism returns 15 times the amount; he gave no job count. In a follow-up from presiding Deputy Speaker Alfredo "Albee" B. Benitez about holding sporting events during local festivals, Espina said PSC already does so and had hosted a Southeast Asian Basketball Juniors event in Bacolod City two months earlier.

Referring to two student-athlete deaths, Nisay asked PSC's role in athlete safety and how responsibility is divided when school-based or sanctioned activities cause serious injury or death. Espina said PSC had formed a Stakeholders Committee with the Department of Education, Commission on Higher Education (CHED), University Athletic Association of the Philippines (UAAP), Samahang Basketbol ng Pilipinas (SBP) and National Youth Commission. He said PSC had extended PHP 250,000 to each family. Espina said CHED and the sponsoring league lead in such cases, while PSC is developing a National Athlete and Coaches Code incorporating safe-sport principles and backing the proposed Sports Coaching Act, House Bill 2631, for coach accreditation, continuing education and stronger safety and competency standards.

Nisay raised pay-to-play concerns for provincial grassroots and youth sports, where children may pay entry fees and buy uniforms to join leagues. Espina initially said he was not familiar with the issue; after Nisay clarified that he meant sports organizations visiting provinces, Espina said PSC supports a new league in Baguio. Nisay urged registering such organizations so PSC could help more communities across 18 regions, and said families were bearing participation costs. He manifested full support for PSC and called for greater investment in young athletes and a larger PSC budget to involve more youth in sports. These were expressions of support and requests, not a formal motion or an approved increase.

Rep. Sarah Jane I. Elago: Elago asked Espina how much PSC proposed for inclusive participation and consultation with sports stakeholders, including athletes and coaches. Espina distinguished the program-level proposal from the smaller annual NSDF amount described in the budget summary, clarifying that NSDF funding was outside and on top of the GAA. Elago questioned the shortfall and stressed broad stakeholder voices. The exchange did not state an overall agency request.

Elago said the International Labor Organization (ILO) had adopted what she described as its first global guidelines on March 6, 2026, recognizing professional and high-level athletes as workers with fundamental labor rights. She listed freedom of association, safe working environments, nondiscrimination, elimination of forced labor, and health and safety. She asked Espina to commit the PSC to consult stakeholders on what she called the ILO Convention and to support Congress prioritizing ratification. Espina committed. Elago said ratification should reflect Philippine athletes' and sports stakeholders' circumstances while adhering to the global framework, and said she would bring the matter to the Department of Labor and Employment (DOLE) to support PSC-DOLE cooperation toward ratification.

Rep. Sergio C. Dagooc: Rep. Sergio C. Dagooc told sponsor Rep. Gerardo J. Espina Jr. that he was frustrated by the Philippine Sports Commission (PSC)'s small proposed budget. He asked Espina to lobby for an increase, expressed support for an additional PSC allocation, and appealed to the Appropriations Committee to raise the budget. He said the current proposed allocation was too small to sustain the Commission's mandate, but gave no amount for the additional allocation. This was a request and expression of support, not an appropriation motion or approval.

Dagooc framed sports funding as investment in athlete development, grassroots and community activity, health, physical well-being and youth development. He called for support from regional discovery and training through programs such as Batang Pinoy, the Philippine National Games, sports clinics, coach and regional training, women's sports, Indigenous People's Games and para sports, followed by high-performance training and international exposure for national athletes. He said support was also needed for safe and accessible facilities, sports science and research, athlete welfare, competition training and the Philippine Sports Training Center. He argued that a sustained route from grassroots participation to elite competition could open opportunities regardless of region, gender, disability or socioeconomic circumstances.

Rep. Presley C. De Jesus: Rep. Presley C. De Jesus told sponsor Rep. Gerardo J. Espina Jr. that the Philippine Racing Commission (Philracom) returned funds to government each year but received only 20% of its remittances back, and argued that the Commission needed support. For the proposed FY2027 budget, he said capital outlay had fallen to zero from PHP 605,000 in FY2026, while maintenance and other operating expenses (MOOE) for general administration and support fell from PHP 12 million to PHP 10.5 million. Espina said off-budget trust receipts from racetrack breakage were legally earmarked for necessary capital outlays and horse-breeding expenses, and that racing clubs had historically provided or paid for anti-doping and testing facilities. He said Philracom had formally requested additional budget support to carry out safe oversight, but De Jesus's questions about activities to defer drew Espina's answer that no program would be deferred and the Commission would maximize its budget. No amount for the additional request was stated.

De Jesus said Philracom lacked a full-scale agency-owned drug-testing facility and relied partly on race-club facilities and agency resources. He asked how the FY2027 horse-racing regulatory program could ensure independent, mandatory and random testing with only PHP 7 million in MOOE and zero capital outlay. Espina said Philracom relied on facilities and equipment provided under the operating clubs' franchises, naming Metro Manila Turf Club and Philippine Racing Club. He cited PHP 7.115 million for day-to-day regulatory operations, said funds were limited and confirmed a formal request for additional allocations to support independent full-scale anti-doping testing. De Jesus cited FY2027 targets of 200 license holders with recorded violations and 150 inspection investigations; Espina described the Board of Stewards' track inspections, race-fixing and foul-riding investigations, and administrative suspensions. He said stronger statutory authority for third-party testing, stricter franchise-level requirements for racing clubs and increased regulatory funding were needed to protect racing integrity.

De Jesus asked how much Philracom received annually from racetrack breakages and how much went to prizes and horse breeding. Espina explained that under Special Provision No. 1 in the FY2026 General Appropriations and FY2027 NEP, trust receipts from breakages, described as the fraction of 10 centavos removed from winning dividends, were deposited with the National Treasury. He said the funds were restricted to additional Philracom-sponsored race prizes, necessary capital outlays and horse-breeding activities. He did not provide annual collection or spending totals. De Jesus then said host local government units (LGUs) received 1% of gross sales and 25% of breakage collections, asking for annual totals and monitoring; Espina instead cited a 5% remittance of franchise tax and said Philracom had no statutory duty or mechanism to audit how LGUs spent the local health and municipal revenues. The stated bases and shares differ, and the annual amount was not supplied.

De Jesus said a 36% tax was deducted from total bets and asked how proceeds were divided between prizes and the National Treasury. Espina answered 0.85% to the question about the share dedicated to prizes. De Jesus argued that prize levels left local racing unable to compete internationally.

De Jesus described horse racing as part of the country's culture and tradition and warned that the industry was dying. He said it supported many employees and that horse owners had privately funded improvements at the venue. He referred to House Bill No. 9386, which he said he had filed with a colleague to strengthen Philracom and provide direction for a proposed change from PIRACOM to PIRACOR. He appealed to the Appropriations Committee to increase funding, and said he would question Bureau of Internal Revenue (BIR) officials about taxes taken from the horse-racing industry. These were advocacy and policy requests; the round records no amount or approval of an increase.

Department of Human Settlements and Urban Development (DHSUD): To support the expanded program, Baronda presented a proposed FY2027 DHSUD budget of approximately PHP 5.88 billion, including PHP 1.1 billion for housing interest subsidies and program administration and implementation of expanded 4PH. She thanked the Appropriations and Housing and Urban Development committees for supporting and considering the proposal and sought support to restore and strengthen funding for housing interventions. She said the proposed funding would support affordable housing, subsidized financing, vulnerable families, project implementation and faster housing delivery. Her closing request asked the chamber to consider proposed budgets for DHSUD, the National Housing Authority (NHA), Social Housing Finance Corporation (SHFC) and National Home Mortgage Financing Corporation (NHMFC). This unit gives no separate totals for those attached agencies or a distinct original agency-submission amount; it records a proposal and request for support, not final appropriation approval.

Sponsor Rep. Julienne "Jam" L. Baronda presented the Department of Human Settlements and Urban Development (DHSUD)'s revised estimate of housing need, saying the prior 6.9 million-unit estimate had been reduced to 3.77 million using the Philippine Statistics Authority's improved methodology. She said the methodology accounts for households able to repair, rehabilitate or build homes themselves and avoids treating every identified need as a government-built new house; she later gave the refined estimate as 3.76 million units. Baronda described the expanded Pambansang Pabahay para sa Pilipino (4PH) as combining direct housing production with indirect interventions, including the Enhanced Community Mortgage Program (ECMP), land awards under presidential proclamations and accessible financing. She said Home Development Mutual Fund (Pag-IBIG Fund) financing covers socialized and economic housing, with loans up to PHP 10 million, supporting demand and encouraging developers to build.

Baronda said the housing sector had reported more than 500,000 units delivered by July 2026. She described the expanded 4PH as a multimodal program that adds horizontal development, the ECMP, residential proclamation sites, rental housing, modular shelters, high-density housing, Pag-IBIG Fund financing and financing assistance for properties acquired by the government. As of August 2026, she said the program had generated 135,758 units across its modalities, compared with 1,024 units during the original program's first 35 months. She separately reported 15,543 completed vertical units and 15,775 completed horizontal units, with families moving into completed communities. As of September 7, 2026, more than 11,700 beneficiary families had availed of housing under the program, over 70% from the lowest income deciles. The administration's target was to facilitate production, financing and provision of 1.13 million housing units by June 2028, with expanded 4PH contributing one in every four. These program-generated units, completed physical units and financing beneficiaries are different reported measures.

Rep. Iris Marie Demesa Montes: Rep. Iris Marie Demesa Montes asked Baronda, to establish the scale of housing need and delivery. Baronda gave a current need of 3.77 million homes and a backlog of 2.2 million. She said 136,000 units had been constructed and confirmed they were ready for occupancy. Asked how many had been turned over or occupied, she reported 11,700 beneficiary families (the number spans consecutive turns), then explained that beneficiaries under the Community Mortgage Program (CMP) were included in the 136,000 total. The exchange did not establish a clear separate occupancy or turnover total. Montes calculated that 136,000 was roughly 6% of the 2.2 million backlog and asked whether about 11% of construction had been delivered. Baronda responded that the comparison involved different delivery modalities and a pipeline, then turned to proposed direct and indirect deliverables; she did not clearly reconcile the completion measures.

On utilization, Baronda agreed that the 4PH program and interest subsidy had been underused. Montes asked whether the 4PH amount had fallen from PHP 700 million to PHP 35 million; Baronda did not directly confirm those amounts, instead attributing low output to a single delivery modality that had produced about 1,100 units and saying the program had expanded to multiple modalities. She said the earlier comparison also needed to account for units still in the pipeline. Baronda gave a target of 1.1 million direct and indirect housing units by 2028, later specifying 1,130,676, and cited 588,700 direct and indirect housing provisions to date. She clarified that the 3.7 million figure she had cited was for 2028. Montes said she would check DHSUD's progress the following year; Baronda agreed and cited growth from about 1,100 units to 136,000 in less than a year. These are the figures and targets stated in the exchange, not an independent delivery audit.

Montes asked how the FY 2027 budget would implement the President's directive for households to generate their own electricity and whether solar-ready socialized housing was part of DHSUD's plans. Baronda initially said it was not yet included, then said Pag-IBIG had allowed solar panels to be included in construction and loans at a low rate. Montes replied that cost remained prohibitive and urged DHSUD to make socialized housing solar-ready so poorer households would not bear retrofit costs. Baronda later said a Cavite project and programs of the CMP and National Housing Authority (NHA) had provisions for solar panels, that a green program had been adopted, and that DHSUD would implement it.

Asked what FY 2027 amount was earmarked for climate-resilient housing, Baronda said resilience was built into each project's total per-unit cost rather than giving a separate amount. She cited housing in non-flooded areas, solar panels at the Cavite site, and NHA/DHSUD proposals in Region VI incorporating measures for areas identified as flood-prone, low-lying or critical; she said the department was seeking support from the environment agency.

Asked whether public-private partnerships (PPPs) were the answer to housing delivery, Baronda said she preferred government-to-government (G2G) projects because PPPs could take longer and project cost also had to be considered, but said DHSUD was pursuing both. She described an ongoing PPP venture with Pag-IBIG and gave a figure of about 8,000, later clarifying that this referred to housing units. When Montes asked how many housing projects were underway, Baronda said around 200 with private and government-sector participation in 4PH; when pressed for the PPP project count, she again gave 8,000 units. The exchange therefore provides an approximate total project count and an approximate PPP unit count, but does not settle the number of PPP projects.

On integrating informal settlements into urban planning, Baronda said DHSUD prioritized strengthening homeowners' associations (HOAs) through the CMP, which had several modalities. For 4PH, she said the department encouraged both G2G and private-sector participation and had changed the low-interest-rate terms to attract partners. Montes cautioned that housing demand did not ensure affordability and said government had a duty to make homes affordable. Baronda said rental housing was available for people unable to buy; she gave a lowest rent of PHP 500, without specifying a period, and said 2,300 units were underway in Quezon City, particularly for fire-affected households. Montes confirmed her understanding that people unable to afford a purchase could rent first.

Montes asked how the FY 2027 budget would prevent corruption and inefficiency after reports she had heard of substandard housing and ghost beneficiaries. She then said that, to her knowledge, there was no corruption or ghost-beneficiary issue. Baronda said that, to her knowledge, NHA beneficiaries came from local government units; Montes accepted the answer. These were the speakers' statements, not an independent audit finding or a specified new budget control. In closing, Montes said the housing crisis required urgency and rigor, and called for affordable, energy-efficient, climate-resilient homes; Baronda thanked her.

Rep. Presley C. De Jesus: Rep. Presley C. De Jesus asked DHSUD sponsor Rep. Julienne "Jam" L. Baronda to account for subsidies supporting the Pambansang Pabahay para sa Pilipino (4PH) program. Baronda said no interest subsidy was consumed in 2023 and gave PHP 79,563,000 for 2024; De Jesus later restated the 2024 figure as PHP 71 million, which Baronda affirmed. The 2025 account was repeatedly corrected: Baronda initially referred to PHP 190 million as consumed in the 2026 budget, then explained that a continuing FY2025 budget was disbursed in 2026. She said there was no new FY2026 funding and later gave the amount as "190,569" without a complete unit. The incomplete and conflicting figures did not establish a reliable annual disbursement table.

Baronda identified 11,700 subsidized units, while follow-up distinguished units from families.

Asked about repayment, she said almost 3% were not paying and referred first to 330 families, then to almost 300 out of 11,000. She said beneficiaries receive a two-month grace period, described as Pag-IBIG Fund practice; after that, a defaulting borrower is replaced because the money belongs to members. She said no one had yet been evicted and offered to connect families who could not pay with other agencies, including rental housing. De Jesus asked why the period was two months; Baronda cited the fund's tradition and practice.

Asked about Pag-IBIG Fund's collection efficiency for 4PH housing loans, Baronda repeatedly answered 97%. She said the loans run for 30 years and that the new housing units are expected to remain serviceable for 50 years under the building code.

De Jesus asked what estate-management support covers and how it is delivered after residents move in. Baronda said the budget includes maintenance and that the covered costs include fire insurance, mortgage insurance and estate management. Asked how much had been appropriated and disbursed since the program began, she answered PHP 74 million for "non-interest" and confirmed De Jesus's understanding that it was since inception; the exchange does not clarify whether that is the amount appropriated, obligated or actually disbursed. She said estate management is project-specific and compared it to condominium management. On who receives subsidy, Baronda said the interest subsidy is given to the individual and embedded in the loan computation. She described DHSUD social preparation and a State Management Council as helping communities maintain developments after subsidy support ends. Security arrangements vary by community. When asked how many projects or families were covered, Baronda referred unclearly to 70% of 11,700 and a "DASL 123" basis, without giving a clear count.

De Jesus asked how the 4PH rental option serves households unable to take on a long-term loan. Baronda said the local government unit (LGU) identifies priority households, including people in danger zones, informal settlers displaced by eviction or government projects, and families affected by disasters or fires. She said government funding covers construction, while the low rent paid by residents goes toward estate management; she did not give a rent-sharing formula or assistance duration. Rental developments are turned over to LGUs to administer and maintain. Baronda confirmed the arrangement was rental housing, but did not directly clarify the ownership question. Asked about completed and occupied units, she said nearly 5,000 were still being built and turnover was expected to start in the first quarter of the following year.

Asked how communities are prioritized for the Community Mortgage Program (CMP), Baronda said an organized homeowners association (HOA) with available land can apply through the Social Housing Finance Corporation (SHFC); projects that complete requirements first are processed first. SHFC appraisal and technical teams assess sites, and she said affordable land costs help determine priority. Baronda reported 47 CMP projects with around 8,000 families under the 4PH banner and another 40 in the pipeline, but did not separate newly initiated projects from those already being processed before 4PH. She said the enhanced mortgage program can include utilities, land development and streetlights. In response to De Jesus's request for a project-by-project breakdown showing when each project was identified, entered the SHFC pipeline and included under 4PH, plus beneficiaries and financing sources, Baronda agreed to comply and submit it.

De Jesus raised questions about Secretary Jose Ramon Aliling's interests in private property and companies, asking whether divestment was complete and documented. Baronda said she could assure the chamber that the Secretary had fully divested the properties and corporate interests; she later attributed the assurance directly to the Secretary, saying he was 100% divested. The exchange did not provide a completion date or documentation details. Asked about the department's technical leadership, Baronda cited architecture, urban planning and finance backgrounds and experience with developers. She answered that DHSUD had sufficient in-house expertise to assess 4PH project feasibility, affordability, construction and estate management, subject to due diligence and the President's mandate.

Rep. Sergio C. Dagooc: Rep. Sergio C. Dagooc asked why the Department of Human Settlements and Urban Development (DHSUD) was seeking a larger 2027 budget while utilization had fallen. Sponsor Rep. Julienne "Jam" L. Baronda gave the FY2026 figure as PHP 6.078 billion and the FY2027 National Expenditure Program (NEP) allocation as PHP 5.9 billion, while stating a PHP 579 million variance that does not reconcile with those totals. Dagooc cited utilization of 88.4% in 2023, 62.7% in 2024 and 51.5% in 2025; Baronda confirmed the figures. She first said the projected end-2026 obligation rate was 86%, then corrected it to 84%. She attributed implementation difficulties to the single-modality approach and requirements, and said the financial plan was fully achieved excluding the 4PH program; no specific additional budget request or increase disposition was established in this exchange.

Dagooc pressed for unit targets and results behind the declining utilization figures. Baronda said the 2024 budget computation was based on a 300,000-unit target that was not delivered, and that 2024 and 2025 each had a 300,000 target that was not met; she reported 1,124 units through 2024, then clarified the period as 2025. She explained that in 2023 the agency had not been given funding for the 4PH program and that the initial single-modality approach encountered national and local requirements. Baronda later credited a broader set of modalities, including horizontal, vertical and rental housing, community mortgage and other programs, with 135,000 units across all modalities since the new secretary assumed office, over 15 months. She expressly qualified that not all of the 135,000 were production. Dagooc accepted the shift toward multiple modalities, commended the reported result and urged continued delivery; the figure was not a claim of 135,000 completed production units.

Dagooc asked whether the agencies responsible for public housing had a concrete program to house their own employees, noting that housing staff also faced housing insecurity. Baronda acknowledged a Government Employees Program begun in 2021, said some years had no funding, and later said there was no current employee-housing fund because employees could use Pag-IBIG. She then reported 5,500 houses built under the NHA program, with employees still to apply through Pag-IBIG. Dagooc asked for the program, its start year, funding and implementation data, and offered to help resolve the issue in the next budget cycle. Separately, he asked why an electricity line had not been completed for electric-cooperative member-consumer owners years after Yolanda. Baronda said the next contract would ensure an electricity line, identified the local government unit as the issue and said it had not applied; Dagooc asked for a solution, but no further remedy was stated.

Rep. Elijah Rumbaoa San Fernando: Rep. Elijah Rumbaoa San Fernando asked Baronda, whether the National Housing Authority (NHA) followed the resettlement standards he cited from Section 21 of Republic Act 7279, the Urban Development and Housing Act. He listed clean, continuous water; electricity and adequate distribution; sewerage; solid-waste disposal; roads; and transport access. Baronda said projects had local government unit (LGU) certification.

San Fernando then reported that a resettlement area in Cavite had gone four years without electricity or water. Baronda asked for the specific area and project; San Fernando said he would send a list and argued the basic-services duty remained. Baronda said NHA projects were aligned with LGUs and should start only after certifications for electricity and water. San Fernando agreed that LGUs had responsibilities but argued NHA should lead coordination to ensure services. Baronda requested the site list and said one problem involved a Meralco upgrade; San Fernando said he would coordinate with her while maintaining that the problem extended beyond one site.

San Fernando cited Section 22 of Republic Act 7279 for locating resettlement near accessible employment, and argued that remote sites without livelihood opportunities or basic services drive residents back to Metro Manila. He named relocations in Montalban, Bulacan and remote parts of Cavite, as far from established communities, and recounted residents saying they had only a house and no access to livelihoods. Baronda said recent Bulacan projects were not poor projects, asked when the cited case occurred, and said NHA could not enter Rizal because the LGU did not permit it. San Fernando said the resettlement problem persisted whether a project was old or new. Baronda promised him a list of NHA sites with Technical Education and Skills Development Authority (TESDA) programs. San Fernando said livelihood support had to be comprehensive and communities sustainable, not limited to TESDA.

He then asked whether resettlement sites for families displaced from danger zones were themselves outside danger zones. Baronda said site certifications were intended to rule out danger zones. San Fernando cited flood-prone relocation areas in Kalumpit, Bulacan, where he alleged floodwater could reach roofs, and said the problem was widespread. Baronda said, to her knowledge, the Kalumpit sites were LGU projects rather than NHA projects and asked for the specific location; San Fernando said the project attribution would need confirmation. The exchange did not establish that the reported flood-prone site was an NHA project.

San Fernando asked who could use the NHA condonation program and how to apply. Baronda said it had ended the previous year, citing a condonation amount transcribed as "795 [unclear] million pesos" and collections as "54 [unclear] 25 million pesos." The monetary wording is garbled and cannot be reliably reconciled. When San Fernando asked whether new applicants could still apply, Baronda said the agency would reopen the program in the near future because of an information-campaign problem, with an NHA commitment by 2027. She attributed payment difficulties to typhoons, the pandemic and current fuel and economic pressures, and said NHA would provide socialized housing the following year with restructured payment terms intended to be affordable for beneficiaries.

San Fernando said residents in the United Bulacan Resettlement Areas Association could not pay electricity bills because they lacked jobs and income. He alleged that NHA required residents to obtain occupancy certification before Meralco would reconnect power, but withheld certification until the full arrears or at least half were paid. Baronda asked for the specific area and names, saying NHA might not certify people who were not the original occupants, while original owners could receive certification. San Fernando disputed that description of conditions on the ground. Baronda said NHA's general manager would find a way to help households with arrears through better installments; she confirmed that commitment and specifically said NHA would restructure arrears so residents could reconnect electricity. She asked for the specific cases, and San Fernando agreed to coordinate and provide details. No case is shown as resolved in this exchange.

San Fernando closed by arguing that relocation cannot stop at constructing a house: resettlement must provide basic services and livelihood, or residents may leave or transfer homes to people better able to pay, leaving homelessness unresolved. He said DHSUD and NHA would be held to the commitments made on the issues he raised. Baronda thanked him and said that this week the department and NHA would help legitimate occupants.

Rep. Sarah Jane I. Elago: Rep. Sarah Jane I. Elago asked how the Department of Human Settlements and Urban Development (DHSUD) would address the housing backlog beyond the expanded 4PH program and pressed for actual occupancy and the status of utilities, services and livelihoods at relocation sites. Sponsor Rep. Julienne "Jam" L. Baronda cited 301,040 units under expanded 4PH and 733,000 through indirect provision, but their basis was unclear. Elago cited a report showing 126,041 units completed as of June 2026 and asked how many were awarded and occupied. Baronda's answer was transcribed with figures of 135,000, 11,700 qualified beneficiaries, 11,000 takeouts and 56,000 overall; the counts were not reconciled and did not establish 135,000 completed homes. Baronda said unawarded or unoccupied units remained vacant while applications were processed, with processing expected by year-end.

For monitoring and service gaps, Baronda said cases varied by modality, asked Elago to provide a list, and said she would seek an update from the National Housing Authority (NHA); she also said NHA handled resettlement. Elago sought occupancy data, while Baronda gave an example of vacancies in Rizal declining from 5,000 to 2,000.

Elago cited 2025 4PH funding of PHP750 million, with PHP29.7 million obligated (3.9%) and PHP26.8 million disbursed (3.5%), alongside a 100,000-unit target and 34,339 units reportedly built; she also cited a 2024 target of 75,000 and a transcribed completion count of 24. Baronda replied that the 4PH appropriation was principally for interest subsidies, while some newer modalities, including the Community Mortgage Program (CMP), did not require that subsidy; she therefore disputed that low obligation alone showed weak program performance and said the program had expanded to multiple modalities. She said 135,000 units had been reached over 15 months, a separate program figure that does not establish 135,000 completed homes.

On private developers, Baronda said takeout payments followed completion and turnover and that DHSUD could suspend licenses to sell or issue cease-and-desist orders. Asked how many, she estimated 141 cease-and-desist orders and agreed to submit the list.

Elago cited PHP12.9 billion in escrow funds available as of February 2026 and asked about projects and allocation. Baronda said projects had used escrow since 2025, disbursement was progressive with construction progress, promised a detailed project report, and said 80% was already allocated; she described the remaining 20% as dependent on area and government priorities, including danger-zone sites awaiting land.

Elago argued that cuts to public housing risked greater reliance on private developers. She asked which NHA projects and units would be affected by the request-to-allocation gap described above. Baronda said there were no new NHA projects at that point, only completion of existing projects, and promised details of the original proposal and affected housing units.

Elago then raised Marawi displacement, citing reports that families remained in temporary shelters and faced eviction as leases expired. Baronda said the Marawi project had transferred to the Office of the President and was no longer within NHA's scope; she said NHA's nearly 3,000 units were completed and its list/report would be submitted, with other responsibilities transferred. At Elago's request, Baronda agreed to coordinate with landowners, DHSUD/NHA and the Marawi Compensation Board and hold dialogue with affected families. She asked for data, said temporary-shelter repair was outside DHSUD's coverage, and noted that a technical working group awaited implementing rules.

On relocation villages, Baronda described Darussalam and Hadiyah as 100% complete, but this did not answer Elago's questions about occupancy and complete land titles. Baronda identified an access-road problem involving Lanao del Sur land and said the Japanese government was coordinating temporary access.

She reported Jerusalem Village construction/turnover figures, including 229 beneficiaries and Phase 3 covering 438 members, where she described 86% completion and an access problem after a reinforced-concrete culvert collapse; Elago sought data on families still unable to return, and Baronda said the Department of Public Works and Highways (DPWH) had committed to address the access issue.

Rep. Jesus "Bong" C. Suntay: Suntay questioned the differently scoped DHSUD/HSAC appropriations and the 4PH increase listed in the budget summary. He cited 46.3% and a 31.9-fold or 3,092% increase, with varying appropriation bases in his account. Suntay questioned the increase alongside reported utilization of 5% in 2024 and zero in 2025. Sponsor Rep. Julienne "Jam" L. Baronda attributed the earlier performance to one modality and difficult requirements, said requirements and modalities had changed, and said prior-year funds had been carried over, including PHP 300 million. No appropriation increase or approval was decided in this interpellation.

Suntay challenged the shift from an initial six-million-unit target, including an earlier one-million-per-year goal, to a recalibrated target of about 1.1 million interventions by August 17, 2026, arguing that the revised target did not answer why earlier targets were missed or show how the new assumptions would be achieved. Baronda cited changed assumptions, affordability, land availability, interest rates and the addition of horizontal, rental, Community Mortgage Program and other modalities. Asked what the proposed 4PH amount would buy, Baronda said 300,000 units under the subsidy modality through 2028 and cited an average PHP 1.5 million unit price and monthly per-unit interest subsidies of PHP 1,550, then PHP 1,400. She then described 301,040 indirect/private-sector units to be financed and 733,147 direct units across modalities. The exchange did not give a clear allocation of the proposed amount between interest subsidy and actual construction or reconcile the output categories; the figures do not establish an annual number of beneficiaries for the appropriation.

Suntay questioned whether NHA homes were reaching beneficiaries, citing a 72.5% target against 53.5% actual performance and separately saying 84% of ready units remained unawarded. He recalled vacant and deteriorating homes in Rizal; Baronda said the earlier problem involved local acceptance and that the homes were later offered to Rizal residents. Baronda described the current unoccupied stock as reduced from 5,000 units to 2,000. Suntay also challenged collection performance, contrasting a 50% collection target with 27% as the reported actual rate. Baronda pointed to online and digital payment, private third-party collectors and other collection measures, and said the agency would intensify collection. Suntay argued that revolving collections were needed to serve more beneficiaries and that online payment alone did not resolve nonpayment.

Suntay also cited 949 completed units against an NHA construction target of 2,338 (about 40.6%) and asked how delivery would improve. Baronda asked for the project area and said NHA needed funding to finish.

Suntay raised a balanced-housing collection issue, saying prior reassessment had reduced required developer contributions to 25% of the statutory amount and permitted 15%, and asked how much DHSUD should have collected and how much remained unpaid. Baronda gave about PHP 60 billion as the outstanding balance; after Suntay asked how much had been collected, she said PHP 15 billion had been collected and PHP 45 billion remained. Baronda said there was a moratorium through February and that collection would resume afterward if it was not extended.

Deputy Speaker Janette L. Garin directed Baronda to provide written answers to Suntay's questions, including actual collection-efficiency data. Suntay also requested an inventory of NHA land that could be used for socialized housing; Baronda agreed to provide it, and Garin confirmed the commitment.

Rep. Dadah Kiram Ismula: Rep. Dadah Kiram Ismula asked Baronda, whether the department had funding for land surveys on lands covered by presidential proclamations set aside for housing. Baronda answered that DHSUD had no such funding and said it was requesting funding in the FY2027 budget. The exchange gave no amount or appropriation outcome.

Ismula urged Congress to provide a budget responsive to people's needs, especially for presidential-proclamation housing, which she said was not receiving funding. She called for DHSUD to prioritize and adequately fund housing needs of people affected by disasters and fires. These were her funding priorities; the exchange recorded no specific amount or approved appropriation.

Rep. Edgar R. Erice: Rep. Edgar R. Erice framed the Department of Human Settlements and Urban Development (DHSUD)'s role as broader than building housing, asking about a realistic, integrated national housing and urban-renewal strategy. Sponsor Rep. Julienne "Jam" L. Baronda described urban-design and development guidelines for new towns, planned-unit development and resilient design, with access to education, health, water, electricity and city services. Erice questioned whether funding matched the scale of DHSUD's urban-development responsibilities. Baronda said comprehensive land-use planning (CLUP) was a policy function for local government units (LGUs) to implement, and that DHSUD had no funds for its local implementation. She said more than 36 LGUs had begun CLUP work and that the guidelines were being integrated into local plans; compliance and implementation reporting remained part of Erice's request.

Erice questioned the original 4PH goal of one million housing units a year against a stated housing backlog of 6.5 million units, and cited more than 575,000 units facilitated against a recalibrated target of about 1.13 million, or 51%. He asked whether the revised target reflected a realistic assessment of housing need and asked for delivery status rather than counting all facilitated units alike. Baronda said the program had only one modality at first and that weak LGU participation and delayed permitting were significant problems.

When Erice asked how many units were completed, occupied, under construction or only approved, and which beneficiaries they reached, Baronda promised a detailed report. Her preliminary figures shifted between 50,000 and 11,000, then 50,000 and 11,700, with an approximate total of 69,000, and she distinguished financing/home loans from construction without clarifying all categories. She also agreed to provide Metro Manila occupancy and beneficiary data, including household income categories, and said she would provide data on defaults and units transferred to higher-income families.

Erice asked whether affordability continued to impede the recalibrated target. Baronda said the interest rate had been reduced from 6% to 3%. She cited PHP 1,550 for vertical housing, then gave a monthly range of PHP 2,716 to PHP 6,432 depending on modality. Erice asked what household income was needed to qualify and sustain payments; Baronda said modalities varied with what a household could afford and that rental housing was available for those who could not pay. Erice asked for information on defaults, returned or rented units, and beneficiaries who could not sustain payments; Baronda said the default rate was 3% and agreed to provide beneficiary-income information. These answers did not supply a household income threshold or a complete account of housing outcomes.

Erice asked for a long-term Metro Manila urban-renewal vision and pointed to fragmented local policies, informal settlers along waterways and the difficulty of coordinating across jurisdictions. Baronda said DHSUD issued guidelines while LGUs implemented local plans, and that the Metropolitan Manila Development Authority (MMDA) handled the regional framework. Erice argued that MMDA had responsibility without authority over independent LGUs and called it weak in practice as informal settlements continued to grow. Baronda said DHSUD would coordinate with MMDA and that it was an observer in the relevant council.

Deputy Speaker Janette L. Garin directed DHSUD to coordinate with Erice's office on implementation rules and regulations. Erice asked for a clearer policy and compliance account; Baronda said the department's guidelines were ongoing and agreed to provide a report.

Erice asked who was responsible for deteriorating NHA estates and mid-rise housing, and whether NHA needed GAA funding or could use its collections to maintain them. Baronda said projects already turned over were no longer under NHA and that the deed of turnover placed responsibility absolutely with the LGU; NHA would address condemned developments. Asked what policy ensured maintenance after turnover, Baronda said NHA would study the issue and described a shift toward rental housing because some beneficiaries resold units. Erice challenged the prospect of national investment deteriorating after transfer to local governments. The exchange distinguished the LGU's responsibility for turned-over estates from NHA's role in condemned projects, without setting a maintenance appropriation.

Erice asked how many Metro Manila LGUs had current, approved comprehensive land-use plans. Baronda first answered 16 and then clarified that 15 of 17 had approved plans, with Manila and Taguig still updating theirs; she said the previous approved plans remained available for zoning clearances. Asked what should be prioritized in DHSUD's lower NEP proposal, Baronda identified the Community Mortgage Program (CMP), planning and the Social Housing Finance Corporation (SHFC) and said she would resubmit the list. Erice asked for a copy and suggested that Congress could reduce the Local Government Support Fund (LGSF) and add funding to DHSUD, but gave no amount. This was a proposal/request, not a formal increase motion or appropriation approval. Erice then moved to terminate interpellation; the House terminated the discussion on DHSUD's proposed budget, including attached agencies and corporations.

Department of Agrarian Reform (DAR): Dy cited 99.49% obligation in 2025, disbursement of 74.65% in 2025 and 70.05% as of June 2026. Under the Agrarian Emancipation Act, he reported PHP54.702 billion in unpaid principal, interest and surcharges condoned as of August 12, 2026. He described annual distributions as PHP10.859 billion in 2024, PHP35.694 billion in 2025 and PHP8.149 billion in the first eight months of 2026. These are debt-condonation amounts, not appropriations.

Dy said DAR distributed 410,179 land titles from July 2022 through August 12, 2026, covering 556,088 hectares and benefiting 376,738 agrarian reform beneficiaries. He gave annual title-distribution figures for FY2023, FY2024 and FY2025 and a January 1–August 12, 2026 update. Dy framed 2027 as a bridge to the President's goal of completing land distribution by 2028, and described DAR's shift from land distribution toward stronger, more comprehensive and sustainable services for agrarian reform beneficiaries, including legal resolution and agricultural production.

Rep. Arlene "Kaka" J. Bag-ao: Rep. Arlene "Kaka" J. Bag-ao asked the Department of Agrarian Reform (DAR) to clarify its position on Department of Justice (DOJ) Opinion No. 16, Series of 2026, and how it would address farmers' questions about the opinion's effect on agrarian reform and the five-hectare retention limit. Sponsor Rep. Ian Paul L. Dy initially said DAR was following the DOJ opinion; Bag-ao emphasized that an opinion was not itself a law and pressed him to address whether agrarian reform continued. Dy said land reform remained and read the opinion as finding the retention limit inapplicable to new transactions after June 30, 2014, while proceedings begun before the cutoff could continue. He described removing a DAR land-transfer-clearance requirement to streamline transactions. Bag-ao said the opinion had caused confusion among farmers and DAR staff, asked for further consultation with farmers, civil society organizations and the department, and requested a clear work plan.

Bag-ao cited 147,493.87 hectares described in an earlier DAR dialogue as a remaining workable target, while saying the current budget could cover 16,835 hectares and citing a 17,000-hectare target. Later she referred to 147,893 hectares, leaving the exact remaining-hectare figure inconsistent in the exchange. Dy said the period of coverage had ended in 2013, then described the goal as distributing all land titles and referred to more than 500,000; he did not reconcile those statements with the cited hectare totals. Bag-ao asked DAR to clarify the remaining targets, including parcelary mapping and surveys, and requested the supporting documents that week for the rest of the year and the following year. Dy agreed to provide the documents and targets.

Bag-ao cited PHP200,898,437 in government commitment fees for the World Bank-assisted SPLIT Project, and PHP8.99 billion in unused appropriation for 2023–2025. She asked why DAR sought more funding while unused appropriations and fees remained, also citing a 32.92% e-title target accomplishment. Dy attributed accumulated penalties to slow work under the previous administration and said collections had declined: PHP46,869,921.19 in 2022, PHP38 million in 2023, PHP33 million in 2024 and PHP28 million in 2025. He then gave a transcribed figure of PHP10,295,710.59 without clearly stating its period. Bag-ao requested a written explanation of the causes, how the amounts were declining, why the obligation arose and who was responsible; Dy agreed to provide the information. The amounts are fees/penalties and unused appropriations cited in the exchange, not DAR's proposed FY2027 allocation.

Bag-ao sought the landowner-compensation, infrastructure and Restorative Response Fund additions listed in the budget summary. She expressed support for Secretary Conrado M. Estrella III and urged consideration of the additions; these were requests and expressions of support, not adopted appropriations. She also proposed an initial dialogue among DAR, civil society and other stakeholders on a possible transition toward a Department of Rural Development. Dy said the idea could lead to more support services for agrarian reform beneficiaries, said the proposals would be scrutinized, and promised further information and efforts to support farmers.

Rep. Sarah Jane I. Elago: Rep. Sarah Jane I. Elago asked Dy, about conversion of agricultural land, impacts on farmers and food production, and protections as renewable-energy projects expand. Elago cited DAR submissions from 2022 through September 2026: 16,554 hectares in conversion applications acted on by the central office, of which 15,935 hectares (96%) were approved and 619.7 hectares denied; Dy confirmed her characterization that over 96% of applications were greenlit. Elago said more than 4,600 hectares of the approved area came from agrarian reform beneficiaries and Dy confirmed these were agricultural lands.

For industrial power projects, she cited 11,824 hectares applied for and 11,399 approved. Dy said most of the approved area was for solar farms and other renewable-energy projects. He promised locations and a list of affected beneficiaries and farmland; he said roughly 30% of the approved 11,000 hectares were used for such purposes for agrarian reform beneficiaries, according to DAR.

Elago asked how DAR assesses effects on farmers' livelihoods and food production. Dy referred to agricultural viability, economic benefits to beneficiaries and urbanization, although the detailed criteria in his answer were partly unclear. Elago reiterated concern about agricultural land and farm livelihoods; Dy agreed with her call for protection, said DAR was working to sustain farmers and food security, and assured her irrigated lands would not be converted and would remain farmland.

Elago referred to DAR Secretary Estrella's Directive No. 2, dated May 28, 2026, for validation and classification of 3,050 hectares at Central Mindanao University (CMU) to identify agricultural land for distribution under Executive Order (EO) No. 75, series of 2019. Dy said 600 hectares were already in ongoing distribution and described another 2,000 or 1,800 hectares as needing effort to be converted into alienable and disposable land; he later referred to efforts for 2,000 more hectares, leaving the figure unresolved. Dy confirmed CMU had received the directive. He said the DAR regional office had started and that the Bukidnon provincial office was beginning validation and classification while work to provide titles was ongoing. Elago said farmers had waited a long time and reported makeshift roadside waiting sheds, a reported confrontation with school personnel after CMU fenced disputed land on June 24, and farmers' questions about police presence on August 18. She said she would raise the issue with CMU and sought prompt validation and land distribution.

Elago asked DAR's position on Department of Justice (DOJ) Opinion No. 16, series of 2026, which she described as treating the Comprehensive Agrarian Reform Program (CARP) as having ended on June 30, 2014, and as saying the retention limit under Republic Act No. 6657 and land-transfer-clearance requirements no longer applied. Dy characterized the 2014 date as a benchmark and said removal of the five-hectare retention limit could let agrarian reform beneficiaries acquire more land. Elago raised the risk that removing the limit and clearance requirement could also enable large landowners to consolidate agricultural land. Dy agreed that this was a shared concern and proposed extending the beneficiaries' ownership period from 10 years to over 20-25 years to help protect land tenure; this was a proposal, not an adopted measure. Elago emphasized continuing free land distribution to farmers, sustaining agricultural livelihoods and ensuring farmers without land receive it.

Elago asked how much land had been distributed under EO 75 to agricultural graduates, rebel returnees, retired Armed Forces of the Philippines (AFP) personnel and regular agrarian reform beneficiaries (ARBs). Dy reported 188 agricultural graduates, 329 rebel returnees, 24 retired AFP personnel and 7,982 regular ARBs, totaling 8,523 beneficiaries from 2021 through 2026; he also reported 14,899.54 hectares accomplished. Asked how DAR ensured recipients who were not farmers would cultivate the land, Dy said internal guidelines required the land to be tilled and promised DAR support so beneficiaries could learn and make use of it. Elago stressed that land distribution should be accompanied by support and subsidies to sustain production and strengthen food self-sufficiency.

Rep. Renee Louise M. Co: Rep. Renee Louise M. Co asked whether the Department of Agrarian Reform (DAR) had processed a deed of transfer for 10,724 hectares within Clark's Zones E, F and G under Presidential Proclamation No. 163. She cited a total Clark area of 36,000 hectares and specified the zone areas as 7,006 hectares in Zone E, 1,749 in Zone F and 1,969 in Zone G. Co said the proclamation excluded these base lands from the Clark Special Economic Zone and assigned them for DAR processing. Sponsor Rep. Ian Paul L. Dy first said there was no deed of transfer and that DAR had no jurisdiction because the property belonged to the Bases Conversion and Development Authority (BCDA).

Co pointed back to the proclamation's assignment of the zones to DAR. Dy then said certificates of land ownership award (CLOAs) had been distributed before BCDA was created in the 1990s and that DAR would help with landholders' concerns. Co asked for a report showing completed and pending work, CLOA issuance and whether processes covered the full 10,724 hectares; Dy agreed to provide the requested information as soon as possible. The jurisdiction dispute and extent of completed transfers remained unresolved.

Co said farmers had told her they were being asked to leave land they were cultivating in the Clark area as Pax Silica development in Capas, Tarlac was contemplated. She asked that any farmers holding CLOAs not have their rights overridden by the initiative, and requested the Clark report after the interpellation, if possible within the week. Dy agreed to provide it as soon as possible. He said DAR's and his priority was to strengthen farmers and asked legislators to help create more funds so the department could continue supporting them. Co emphasized protecting farmers' land rights and ensuring issued rights were not defeated by other interests. Dy's funding appeal had no specified amount.

Rep. Antonio L. Tinio: Rep. Antonio L. Tinio asked about landowner compensation under the Department of Agrarian Reform (DAR): PHP500 million was appropriated in the FY2026 General Appropriations Act (GAA), and the FY2027 proposed allocation was PHP100 million. Sponsor Rep. Ian Paul L. Dy explained that a memorandum of valuation (MOV) reflects Land Bank's individual parcel valuation, while an unbooked approved claim has been approved but remains unfunded. He said disputed valuations may go to the DAR Adjudication Board (DARAB) or regular courts for just compensation. He described the estimated cash portion as close to 30% of total valuation, with the remainder paid in government bonds. Dy cited total land valuation of PHP7,284,104,808.73 across 46,245.9355 hectares, and an estimated cash portion of PHP2,290,533,437.75, which he initially described as already paid. When Tinio asked whether the PHP7.284 billion was outstanding across the program, Dy agreed. The exchange therefore leaves the cash amount's status in conflict: it was called already paid and then discussed as part of the outstanding compensation picture.

Tinio asked whether the FY2026 compensation appropriation had been released. Dy said the Special Allotment Release Order (SARO) was still pending, although DAR had submitted its compliance and was awaiting the Department of Budget and Management (DBM); he said DAR had followed up in May and again on September 3. He did not say the amount had been paid from the FY2026 appropriation. Tinio noted that the year was nearly over and asked why the SARO remained pending.

Tinio said the 2026 spreadsheet contained 1,244 claims, and first counted 183 entries where the estimated cash portion exceeded total land valuation; he put those claims at PHP190.2 million, nearly half the PHP500 million appropriation. Later, he referred to 189 such entries. He highlighted a row with total valuation described as PHP536.44 thousand (whose per-hectare basis he queried) but PHP3.3 million in estimated cash, and another example showing PHP54.9 million for 806 hectares but a transcribed total valuation of only PHP86,000. Dy agreed the figures appeared wrong, called the discrepancy a clerical error, and suggested that removing recipient names for data privacy had affected the spreadsheet. He promised a corrected list by the end of the day and thanked Tinio for identifying the discrepancies. The privacy explanation was the sponsor's proposed cause, not an independently established finding.

For the FY2027 PHP100 million landowner-compensation proposal, Tinio said the schedule appeared to apply the same PHP157,058 per hectare across regions; in a later exchange he described the applied figure as PHP157,508 per hectare. Dy said Land Bank had prepared the displayed values and acknowledged that regional valuations should be specific rather than cookie-cutter. Tinio pointed to the mismatch between these figures and the spreadsheet's claim-by-claim memorandum-of-valuation basis. Dy promised to personally review the estimates with Land Bank and submit a corrected report. Tinio also requested a briefing with the sponsor, Land Bank and DAR, and historical landowner-compensation payment lists from 2022 onward; Dy agreed to provide the lists and conduct the assessment as soon as possible.