THE Department of Budget and Management (DBM), together with the Department of Health (DOH), reiterates its commitment to transparency, accountability, and good governance while ensuring that government resources are utilized to implement priority programs, including the grant of Public Health Emergency Benefits and Allowances (PHEBA), specifically the Health Emergency Allowance (HEA).
To recall, the National Government authorized the grant of benefits and compensation to healthcare workers (HCWs) and non-healthcare workers (non-HCWs) who rendered service during the State of Public Health Emergency of the COVID-19 pandemic. Accordingly, the DBM has allotted and released to the DOH a total of P121.325 billion, covering all HCW and non-HCW worker benefits for eligible claims from 2020 to 2023.
The P121.325 billion covered the grant of Special Risk Allowance, Health Emergency Allowance/One COVID-19 Allowance, COVID-19 Sickness and Death Compensation, and other benefits, such as meal, accommodation, and transportation allowances.
It can be recalled that during the Public Hearings of the Senate Committee on Health and Demography on April 2 and May 20, 2024, the DOH raised its request for additional funds amounting to P27.453 billion, having determined that this amount would be sufficient to fully cover the requirements of the PHEBA Program.
In response to the DOH’s request, on July 5, 2024, DBM Secretary Amenah “Mina” F. Pangandaman immediately approved the release of a Special Allotment Release Order (SARO) amounting to P27.453 billion to cover the full requirement for the supposed final computation of the PHEBA arrears.
Given this, we would like to emphasize that the DBM has fully released the additional funding to cover the total remaining unpaid HEA claims of healthcare workers since last year, in adherence to the directive of President Ferdinand “Bongbong” R. Marcos Jr.
Accordingly, the Advice of SARO specifically provides that the allotment release therein shall cover the full funding requirements for the PHEBA of eligible healthcare and non-healthcare workers, based on the submitted report dated April 26, 2024. This is the final and validated computation by the DOH based on submissions before a set deadline. Consistent with the discussions and agreements, any additional funding requirements for the same purpose, if any, shall be charged against the DOH’s available budget.
However, despite the final and validated computation of HEA payments timely filed before the announced deadline, the DOH and DBM have received various appeals and additional requests for HEA payments from health facilities that were not covered by previous releases. It was subsequently reported that the PHEBA requirements as of December 12, 2024, now amount to P110.30 billion instead of the earlier reported P103.5 billion. Thus, an additional funding requirement of P6.8 billion, in addition to the P121.325 billion cumulative funding provided for the benefits and compensation claims, is requested.
Request for a COA Special Audit
The government recognizes and lauds the significant contributions of our healthcare workers during the pandemic. It also has serious concerns among economic managers regarding why the funding requirements to cover the incentives remain a moving target, even more than a year after the state of public health emergency was lifted. This situation creates uncertainties regarding the government’s payment obligations for this purpose.
In light of these developments, including further appeals for additional funding requirements for PHEBA, the DBM and the DOH agreed during the Monthly Economic Managers’ Meeting held on February 17, 2025, to request the Commission on Audit (COA) to conduct a special audit of the previously released and disbursed funds for the payment of all PHEBA claims to ensure proper accounting of public funds spent for this purpose.
This special audit will also assist the DOH in validating and consolidating all requests and disbursements related to the HEA.
Lastly, the DOH has agreed to finalize the list of HEA recipients to resolve this longstanding concern once and for all.
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