we tell it like it is
3RD Quarterly Roundtable
Peter Wallace
Chairman
August 2, 2012
Rigodon Ballroom A & B, Peninsula Manila Hotel
QRT POL CHART
1
AUGUST 2, 2012
SONA 2012
THE “LOST DECADE”
UNDER THE PREVIOUS ADMINISTRATION
REPEATED WHAT HE SAID 2 YEARS AGO―HE WAS BEQUEATHED:
 NORTHRAIL CONTRACT ANOMALIES
 UNWARRANTED GOVERNMENT CORPORATION BONUSES DESPITE
LOSSES
 P1 BILLION COFFEE BUDGET OF PAGCOR
 NFA’S P177 B DEBT
 HUGE BACKLOG IN CLASSROOMS, CHAIRS & BOOKS
QRT POL CHART
2
AUGUST 2, 2012
“LOST DECADE” UNDER GMA
“STRAIGHT PATH” UNDER PNOY
RAMPANT USE OF “WANG-WANGS”
(SIRENS) BY GOVERNMENT OFFICIALS
SIRENS ONLY BLARE FROM POLICE CARS,
AMBULANCES AND FIRE TRUCKS
CALAMITY VICTIMS LEFT TO FEND
FOR THEMSELVES
RELIEF GOODS ARE READY EVEN BEFORE
A STORM ARRIVES; RESCUE SERVICES
ALWAYS ON STANDBY
760,357 HOUSEHOLD-BENEFICIARIES
UNDER THE CCT PROGRAM
AS OF JULY 2010
QRT POL CHART
3
3 M HOUSEHOLD-BENEFICIARIES BY END-FEB
2012 ; TARGET IS 3.8 M HOUSEHOLDS FOR 2013
AUGUST 2, 2012
“LOST DECADE” UNDER GMA
“STRAIGHT PATH” UNDER PNOY
ONLY 62% OF FILIPINOS ENROLLED
IN PHILHEALTH
85% OF POPULATION OR 80M NOW W/
COVERAGE
SOME 10,000 NURSES AND MIDWIVES
DEPLOYED UNDER THE RN HEALS
PROGRAM
DEPLOYED CLOSE TO 31,000 SO FAR
RICE IMPORTS REACHED A RECORDHIGH OF 2.4 MILLION MT IN 2010
DOWN TO AROUND 500,000 MT THIS YEAR;
SELF-SUFFICIENT BY 2013
BIDDING COMPLETED FOR AN ORDER
OF 74,600 GUNS
45% OF POLICE (63,000)
HAVE NO GUNS
THE STRAIGHT PATH
TO
INCLUSIVE GROWTH?
QRT POL CHART
4
AUGUST 2, 2012
PROCLAIMED THAT “WHAT WAS ONCE THE SICK MAN OF ASIA NOW
BRIMS WITH VITALITY.”
 CREDIT RATING UPGRADE(S) BY 1 OR 2 NOTCHES BY 4 AGENCIES
THEY FELL UNDER GMA
 THE PSE NOW EXCEEDS 5,000 FROM AROUND
3,300 IN MID 2010 = + 52%
 1Q GDP GROWTH OF 6.4%, THE 2ND HIGHEST IN ASIA AFTER CHINA
 REDUCTION IN UNEMPLOYMENT TO 6.9% IN APRIL VS. 7.2% A YEAR AGO
AND 8% IN 2010
 5,000 BPO WORKERS IN 2000, 638,000 NOW, $11B IN REVENUES IN 2011 (IF
ANYONE, GMA DESERVES CREDIT FOR THIS); EMPLOYMENT PROJECTED AT
1.3M GENERATING $25B BY 2016
 TOURISTS PROJECTED AT 4.6M IN 2012, A 1.5M GAIN IN JUST A YEAR
COMPARED TO THE 9 YEARS IT TOOK THE PREVIOUS LEADERSHIP TO
REGISTER A GAIN OF 1.3M.
QRT POL CHART
5
AUGUST 2, 2012

EMPHASIS ON HIS ADMIN’S GOAL TO BUILD A CULTURE OF
ACCOUNTABLE AND TRANSPARENT GOVERNANCE (BUT DIDN’T
MENTION FREEDOM OF INFORMATION ACT – WHY?)
― GRAFT, PLUNDER & POLL SABOTAGE CASES HAVE BEEN FILED
VS GMA (BUT WEAK PREPARATION)
― CJ CORONA’S CONVICTION AND REMOVAL FROM OFFICE
― REFORMS IN PUBLIC WORKS PROCESSES(DPWH SAVINGS SO FAR:
P10.6B)

THE PRIMARY ASPECT OF THE AQUINO ADMINISTRATION’S JOB
GENERATION STRATEGY IS BUILDING SUFFICIENT INFRASTRUCTURE
BUT PPP IS PROGRESSING AT A SNAIL’S PACE; ONLY RECENTLY HAS
THE GOV’T INTENSIFIED DISBURSEMENT OF FUNDS FOR OTHER
PROJECTS , AFTER TREMENDOUS PRESSURE FROM THE PRIVATE
SECTOR
QRT POL CHART
6
AUGUST 2, 2012

ISSUANCE OF EO ON MINING: SUPPOSEDLY TO BETTER UTILIZE
NATURAL RESOURCES TO UPLIFT THE LIVING CONDITIONS OF
GENERATIONS
OF FILIPINOS
BUT
― ESSENTIALLY PUT MINING ON HOLD
― EXPECTED TO SLOW THE DEV’T OF MINES
― WILL DEPRIVE LOCAL PEOPLE OF LIVELIHOOD
― LOSS OF TAXES = FEWER SCHOOLS & HEALTH CLINICS BUILT
― REDUCTION IN EXPORTS = FEWER DOLLAR EARNINGS FOR THE
GOV’T
COUNTRY IS DEPRIVED OF THE MULTIPLIER EFFECTS
SO MINING FIRMS WILL START TO LOOK ELSEWHERE, SEARCH FOR COUNTRIES
WITH MORE ATTRACTIVE POLICIES
THE LOSS ISN’T JUST THE SHORT TERM WHILST REVENUE SHARING BILL
IS PENDING IN CONGRESS, IT’S LONG TERM
QRT POL CHART
7
AUGUST 2, 2012
OTHER KEY POINTS OF SONA 2012:
 THE SPEECH HIGHLIGHTED THE ADMINISTRATION’S PUSH
FOR ENHANCED CITIZENS’ PARTICIPATION IN GOVERNANCE
 MORE ILLNESSES COVERED BY PHILHEALTHTYPE ‘Z’
OR CATASTROPHIC ILLNESSES ARE NOW COVERED
BUT THE NETWORK OF HOSPITALS AUTHORIZED TO PROVIDE SERVICES
FOR Z ILLNESSES SHOULD BE EXPANDED (ONLY 19 GOV’T HOSPITALS SO
FAR)
 THERE’S GREAT EMPHASIS ON EDUCATION AND HEALTHSO THE
PHILIPPINES COULD CATCH UP WITH ITS MDG TARGETS
 66,800 SHORTAGE IN CLASSROOMS WILL BE ELIMINATED BY END-2013; THE
2.6 MILLION BACKLOG IN CHAIRS ADDRESSED BY END-2012; AND A 1:1
TEXTBOOK-STUDENT RATIO WILL SOON BE ACHIEVED
ALL BASED ON A 1:45 CLASSROOM-STUDENT RATIO, THE IDEAL 1:25 IS
YET TO BE CONSIDERED
QRT POL CHART
8
AUGUST 2, 2012
…KEY POINTS OF SONA 2012

HE SAID WE WILL FIND A RESOLUTION
TO THE SCARBOROUGH STANDOFF THAT IS ACCEPTABLE TO ALL.
CHINA INSISTS ON ITS NINE-DASH LINE, THE PHILIPPINES ON
INTERNATIONAL LAW, PARTICULARLY UNCLOS –THE STANDOFF WILL NOT
BE RESOLVED SOON.
THERE WAS NO MENTION OF THE SIGNIFICANT DIFFERENCE OF OPINION
ON THE PROPER FORUM WITHIN WHICH THE STANDOFF SHOULD BE
DISCUSSED.
CHINA INSISTS ON BILATERAL NEGOTIATIONS, THE
PHILIPPINES WANTS MULTILATERAL DISCUSSION,
INSISTING ON BRINGING THE MATTER BEFORE
THE INTERNATIONAL COURT.
QRT POL CHART
9
AUGUST 2, 2012
…KEY POINTS OF SONA 2012


NO ALTERNATIVES PROPOSED – HOW ABOUT JOINT
EXPLORATION/EXPLOITATION OF RESOURCES? SHARE THE WEALTH
ONE RECOURSE FOR THE PHILIPPINES ―
CONVINCE ITS WESTERN ALLIES AND ASEAN MEMBER-STATES WITH
INTEREST OVER THE SOUTH CHINA SEA THAT CHINESE CONTROL OVER
THE AREA COULD MEAN A CURTAILING OF FREEDOM OF NAVIGATION
CHINA COULD LIMIT PASSAGE THROUGH STRATEGIC SHIPPING ROUTES
IN THE AREA WHERE HALF OF THE WORLD’S TONNAGE
IN SHIPPING PASS THROUGH.
QRT POL CHART
10
AUGUST 2, 2012
CHINA’S NINE-DASH LINE
QRT POL CHART
11
AUGUST 2, 2012
SOME MISSING PIECES -

COMMITMENT TO RESOLVE EXTRA-JUDICIAL KILLINGS
THE PH’S UNIMPRESSIVE RECORD MAY RESULT IN THE SUSPENSION
OR TERMINATION OF FOREIGN AID





NO UPDATE ON THE CASES FILED BY THE BIR AND BOC
VS SUSPECTED SMUGGLERS AND TAX EVADERS
– & HOW THEY’LL GO AFTER OTHER
BIG-TIME TAX EVADERS & SMUGGLERS
ADMIN
NO. OF EJKs
ARROYO
2001-2010
305
AQUINO
2010-2012
13
MENTIONED THE MAGUINDANAO MASSACRE BUT NO INSTRUCTION FOR
THE JUSTICE DEPARTMENT AND THE JUDICIARY TO EXPEDITE THE CASE
SCHEDULE OF NEXT LEDAC MEETING (IF THERE IS ONE)
AN EXIT STRATEGY FOR CCT; OTHERWISE IT WILL BECOME A VERY
EXPENSIVE SUBSIDY PROGRAM
THERE WAS A NOTICEABLE ABSENCE OF DISCUSSION ON INDUSTRIAL
REFORMS GIVEN THAT THE COUNTRY NEEDS TO REFOCUS ON
MANUFACTURING.
QRT POL CHART
12
AUGUST 2, 2012
…SOME MISSING PIECES -


MENTIONED TESDA TRAINING AND BENEFICIARIES UNDER
DIRECTOR VILLANUEVA, BUT NO CONCRETE MEASURES ON HOW
THE ADMIN WILL SOLVE LABOR MISMATCH
BROADLY STATED THAT THE ADMIN PROMOTES
A LEVEL PLAYING FIELD AND CONSISTENT RULES BUT FAILED TO ENUMERATE HOW FAR HE‘D REALLY GONE IN FULFILLING
THESE COMMITMENTS; FAIR COMPETITION/ANTI-TRUST BILL HAS YET
TO BE APPROVED

HUGE INCREASE IN THE BUDGET OF SUC’S – P26B 2012, P37B 2013; PART
OF IT COULD BE USED FOR K+12; EXTRA FUNDING FOR THE TERTIARY
SYSTEM MUST BE DONE BY THE COLLEGES
QRT POL CHART
13
AUGUST 2, 2012
PNOY’S LEGISLATIVE AGENDA
BILL
SIN TAX REFORM
ACT
HOUSE
APPROVED ON
3RD AND FINAL
READING
SENATE
PENDING AT
COMMITTEE LEVEL
(1ST READING)
REMARKS/PROGNOSIS
COULD RAISE SOME P33 B IN
ADDITIONAL REVENUES IN YEAR 1;
INCREASING YEARLY UP TO P42B IN
YEAR 5
SENATE APPROVAL LIKELY BEFORE
THE END OF THE YEAR – BUT WHAT
FORM
FLOOR DEBATES TO PROCEED THIS
3RD REGULAR SESSION
RESPONSIBLE
PARENTHOOD BILL
PENDING
PENDING
ON
ON
2ND READING
2ND READING
QRT POL CHART
14
MAY FACE ROUGH SAILING IN THE
SENATE; HOUSE TO VOTE ON AUG. 7
SOME LAWMAKERS UNCERTAIN IF
PNOY’S SUPPORT FOR
“RESPONSIBLE PARENTHOOD” IS AN
OUTRIGHT ENDORSEMENT OF RH
BILL – THE GALLERY WAS CERTAIN IT
WAS
AUGUST 2, 2012
…PNOY’S LEGISLATIVE AGENDA
BILL
HOUSE
SENATE
AFP MODERNIZATION
BILL
REMARKS/PROGNOSIS
TO ALLOT P75 B FOR THE AFP W/IN
THE NEXT 5 YEARS
PENDING ON
2ND READING
APPROVED ON 3RD
AND FINAL READING
HOUSE APPROVAL POSSIBLE THIS
3RD REGULAR SESSION
MIGHT BE SIGNED INTO LAW THIS
YEAR (TO SUPPORT PNOY’S THRUST
TO UPGRADE AFP EQUIPMENT)
MINING REVENUE
SHARING BILL
COMMITTEE
LEVEL
COMMITTEE
LEVEL
EXPANSION OF
COVERED CRIMES
APPROVED ON PENDING ON 2ND
AND ESTABLISHMENTS
3RD AND
READING
BY THE AMLA
FINAL
READING
QRT POL CHART
15
P145 B DERIVED FROM MINING IN
2010, ONLY P13.4 B WENT TO THE
NAT’L TREASURY – THEY SAY
1 OF THE 3 BILLS THE FINANCIAL
ACTION TASK FORCE WANTS PH
CONGRESS TO PASS (2 HAVE BEEN
SIGNED INTO LAW)
LIKELY TO BE PASSED BEFORE THE
END OF THE YEAR
AUGUST 2, 2012
A BETTER LIST COMPARED TO LAST YEAR’S
BUT SOME GLARING OMISSIONS:
1) FREEDOM OF INFORMATION ACT
2) ANTI-SMUGGLING
3) BSP CHARTER AMENDMENTS
4) PUBLIC UTILITIES ACT AMENDMENTS
5) CUSTOMS MODERNIZATION ACT
6) INTELLECTUAL PROPERTY RIGHTS ACT AMENDMENTS
7) RATIONALIZATION OF FISCAL INCENTIVES
AND
CHARTER CHANGE
― CONGRESS, YES
― PNOY, NO
QRT POL CHART
16
AUGUST 2, 2012
PNOY’S KEY THRUSTS:
 DISTRIBUTE ALL LAND COVERED BY THE CARP BY THE END OF HIS TERM
 UPGRADE AFP’S EQUIPMENT
 IMPLEMENT A PERFORMANCE-BASED INCENTIVES PROGRAM FOR
GOVERNMENT EMPLOYEES
 NAIA 3’S STRUCTURAL DEFECTS WILL HAVE BEEN FULLY REPAIRED BEFORE
NEXT YEAR’S SONA
 FURTHER IMPROVEMENT OF GOVERNANCE IN ARMM AND BETTER
DELIVERY OF SOCIAL SERVICES
 INCREASE MONTHLY PENSION FOR ELDERLY POOR
 ATTRACT 10 M INT’L TOURISTS BY 2016
QRT POL CHART
17
AUGUST 2, 2012
OTHER ACCOMPLISHMENTS MENTIONED:
 ELECTRIFICATION OF 1,520 SUB-VILLAGES
(INITIAL TARGET WAS 1,300)
 COCONUT WATER EXPORTS UP BY 830% IN 2011 TO 16.7 M LITERS FROM
1.8 M LITERS IN 2010
 REFORMS IN TESDA (TRAINED MORE THAN 400,000 INDIVIDUALS DESPITE
THE P2.4 B DEBT LEFT BY THE PREVIOUS ADMINISTRATION)
 DECREASE IN CRIME VOLUME (250,000 SO FAR VS. OVER 500,000 IN 2009)
 DEVELOPMENT OF ANTI-DENGUE MOSQUITO TRAPS BY THE DOH AND
DOST (BUT PROJECT STILL IN ITS INITIAL STAGE)
 CONSTRUCTION OF 22,000 HOUSES FOR AFP-PNP PERSONNEL
 IMPROVEMENT OF PAGASA’S WEATHER MONITORING EQUIPMENT
(MISSED IT THIS WEEK)
QRT POL CHART
18
AUGUST 2, 2012
HE CITED GAINS IN HIS FIGHT VS CORRUPTION, BUT THE SCOURGE
ISN’T GOING AWAY OVERNIGHT, OR EVEN WITHIN THE
REMAINDER OF HIS TERM
THE BEST HE CAN AIM FOR IS TO PUT IN PLACE MEASURES THAT WILL
HELP MAKE REFORMS IRREVERSIBLE, REGARDLESS OF WHO
SUCCEEDS HIM IN 2016
QRT POL CHART
19
AUGUST 2, 2012
DESPITE THE MISSING PIECES IN HIS 3RD SONA, PRESIDENT AQUINO
CAME OUT LOOKING EFFECTIVE AS HE KEPT HIS RAPPORT WITH
HIS "BOSSES" BY FOCUSING ON THE "INCLUSIVE" IMPLICATIONS
OF INFRASTRUCTURE, HEALTH, AND EDUCATION.
HE WAS SHORT, THOUGH, ON WHAT HE PLANNED
A FOR THE FUTURE.
IT WAS A STATE OF THE NATION.
QRT POL CHART
20
AUGUST 2, 2012
ASSESSMENT OF SONA 2010 AND 2011 PROMISES
WITH NO PROGRESS
1) SOLVE EXTRA-JUDICIAL KILLINGS
― THE FAILURE TO BRING TO ACCOUNT THE PERPETRATORS
OF EXTRA JUDICIAL KILLINGS IS HIGHLIGHTED BY THE SLOW PROGRESS
OF THE AMPATUAN MASSACRE CASE
― THE NEW YORK-BASED HUMAN RIGHTS WATCH (HRW) CONSIDERS AS
“LACKLUSTER” THE CURRENT ADMINISTRATION’S EFFORTS IN SOLVING
EXTRA JUDICIAL KILLINGS – NO ONE HAS GONE TO JAIL YET
― PH’S UNIMPRESSIVE RECORD MAY RESULT IN THE SUSPENSION OR
TERMINATION OF FOREIGN AID
QRT POL CHART
WBF’S 0 – 10 RATING
⓪
21
AUGUST 2, 2012
WITH LITTLE PROGRESS
2) ATTRACT INFRA INVESTMENTS UNDER THE PUBLIC-PRIVATE
PARTNERSHIP (PPP) SCHEME
― 22 PROJECTS HAVE BEEN IDENTIFIED FOR PPP FINANCING SO FAR;
― ONLY 1 PROJECT (DAANG HARI-SLEX) BID OUT 22 MONTHS AFTER
LAUNCH OF THE PPP PROGRAM;
― OF THE 21 REMAINING, ONLY LRT-1 SOUTH EXTENSION, NAIA
EXPRESSWAY PHASE 2 AND PPP FOR SCHOOLS ARE CURRENTLY ON THE
AUCTION BLOCK
― ECONOMIC AND SOCIAL BENEFITS OF THE PROJECTS WON’T START TILL
NEXT YEAR
②
QRT POL CHART
22
AUGUST 2, 2012
…WITH LITTLE PROGRESS
3) DIALOGUE WITH THE MILF
― THE PEACE PROCESS IS MOVING FORWARD, SLOWLY, NO SIGNIFICANT
PROGRESS.
― BOTH THE GPH AND MILF ARE STILL REFINING THEIR POSITIONS ON KEY
ISSUES THAT INCLUDE WEALTH-SHARING, POWER-SHARING,
GOVERNANCE, TRANSITION ROADMAP, AND NORMALIZATION.
― NO ARMED CONFLICT RECORDED SINCE JANUARY THIS YEAR
― IT IS UNLIKELY THAT A PEACE DEAL WILL BE REACHED
IN PNOY’S TERM
②
QRT POL CHART
23
AUGUST 2, 2012
…WITH LITTLE PROGRESS
4) CREATE MORE JOBS
― A LITTLE OVER 1M JOBS GENERATED BETWEEN
APRIL 2011 AND APRIL 2012
― THE NUMBER OF UNEMPLOYED DOWN SLIGHTLY
FROM 2.87 MIN APRIL 2011 TO 2.80 M IN APRIL 2012
― BUT THE NUMBER OF UNDEREMPLOYED GREW FROM 7.127 M
TO 7.312 M.
― PRESIDENT AQUINO REJECTED THE PROPOSED P125 WAGE HIKE
― TO GENERATE MORE JOBS, THE PH NEEDS TO ATTRACT MORE FOREIGN
INVESTMENTS; BUT THE PH IS AMONG THE LEAST ATTRACTIVE FDI
DESTINATIONS IN THE WORLD (ACCORDING
TO UNCTAD’S WORLD INVESTMENT REPORT)
④
QRT POL CHART
24
AUGUST 2, 2012
…WITH LITTLE PROGRESS
5) WEEKLY CASES VS. SUSPECTED SMUGGLERS AND TAX EVADERS
―TOTAL NUMBER OF CASES FILED (JULY 2010-JULY 5, 2012): 201
―TOTAL TAXES & DUTIES P66.1B
―CTA ORDERED THE ARREST OF THE COUNTRY’S 1ST
CONVICTED TAX EVADER(GLORIA KINTANAR)
– STILL AT LARGE
―MANY OTHER BIG-TIME TAX EVADERS/SMUGGLERS HAVE YET
TO BE CONVICTED
⑤
6) STREAMLINING OF BUSINESS REGISTRATION
½
―PROCESSING OF BUSINESS PERMITS DOWN FROM 38 DAYS TO 35 DAYS
(LATEST IFC-WB DOING BUSINESS SURVEY)
―NUMBER OF STEPS NEEDED TO PROCESS PERMITS REMAINS AT 15
―PH REMAINS IN THE BOTTOM QUARTILE (158TH OUT OF 183
COUNTRIES) IN TERMS OF STARTING A BUSINESS
―STREAMLINED PROCESSES HAVE IMPROVED LGU REVENUES
QRT POL CHART
25
③
AUGUST 2, 2012
…WITH LITTLE PROGRESS
7) CONVENING OF LEDAC
―ONLY 2 MEETINGS SO FAR UNDER PNOY
―SOME PRIORITY BILLS HAVE BEEN SIGNED INTO LAW (AMLA
AMENDMENTS & ANTI-TERRORIST FINANCING) OR AT ADVANCED
STAGE (SIN TAX REFORM & DATA PRIVACY)
―ONLY 2 BUSINESS BILLS HAVE BEEN PASSED:
①LIFTING OF NIGHTWORK PROHIBITION
FOR WOMEN EMPLOYEES.
②AMLA AMENDMENTS
―OTHER BILLS PASSED SIMPLY CONVERT MUNICIPALITIES INTO
COMPONENT CITIES
―MORE ECO AND BUSINESS BILLS NEED TO BE CERTIFIED AS URGENT
③
QRT POL CHART
26
AUGUST 2, 2012
WITH SUBSTANTIAL PROGRESS
8)
EXPAND BASIC EDUCATION CYCLE TO 12 YEARS
―DEPED HAS TRAINED MORE THAN 3,000 K+12 “TRAINERS” AND AROUND
140,000 GRADE 1 AND GRADE 7 TEACHERS
―A BILL THAT WILL INSTITUTIONALIZE K+12 HAS YET TO BE APPROVED
―MANDATORY KINDERGARTEN ACT HAS BEEN SIGNED INTO LAW
―SUSTAINABILITY IN PERIL DUE TO HUGE FUNDING REQUIREMENTS (CAPITAL
COST OF ADD’L 2 YEARS OF HIGH SCHOOL = P43.7B)
―DEPED PROPOSING A P56 B INCREASE IN ITS BUDGET FOR NEXT YEAR – STILL
INSUFFICIENT TO BRIDGE ALL EDUCATION RESOURCE GAPS
―PRIVATE EDUCATION SECTOR TO SUFFER HUGE LOSSES (NO FRESHMAN OR
COLLEGE INTAKE FOR 2 YEARS)
―PH NO LONGER AMONG COUNTRIES THAT STILL IMPLEMENT
A 10-YEAR BASIC EDUCATION CYCLE
QRT POL CHART
27
⑥
AUGUST 2, 2012
…WITH SUBSTANTIAL PROGRESS
9)
IMPROVE PHILHEALTH COVERAGE
―PART OF THE PROPOSED P57 B HEALTH BUDGET
FOR NEXT YEAR WILL BE USED TO ENROLL 5.2 M
POOR HOUSEHOLDS
―PHILHEALTH HAS ENTERED INTO TIE-UPS WITH PRIVATE FIRMS TO
PROVIDE MORE BENEFITS/DISCOUNTS TO MEMBERS
―IMPLEMENTED NO BALANCE BILLING POLICY & COVERED CATASTROPHIC
DISEASES SUCH AS LEUKEMIA & BREAST CANCER
―THE NETWORK OF HOSPITALS AUTHORIZED TO PROVIDE SERVICES FOR Z
ILLNESSES SHOULD BE EXPANDED
―LACK OF HEALTH FACILITIES WILL RENDER PHILHEALTH COVERAGE
INADEQUATE
―FILIPINOS STILL SHOULDER HEAVY OUT OF POCKET HEALTH EXPENSES
⑥
QRT POL CHART
28
AUGUST 2, 2012
…WITH SUBSTANTIAL PROGRESS
10) REFORM GOCC GOVERNANCE
―GOCC GOVERNANCE ACT HAS BEEN SIGNED INTO LAW (RA 10149)
―PRIOR TO THE BILL’S PASSAGE, PRESIDENT AQUINO ISSUED DIRECTIVES
THAT EFFECTIVELY RATIONALIZED THE BONUSES OF GOCC OFFICIALS
―SOME COA FINDINGS: MWSS OFFICIALS STILL RECEIVE UNJUSTIFIABLE
BONUSES AND UNAUTHORIZED DISBURSEMENT
OF PAYROLL FUNDS AT QUEDANCOR.
⑧
QRT POL CHART
29
AUGUST 2, 2012
…WITH SUBSTANTIAL PROGRESS
11) REAL CASES TO BE FILED BY THE NEW OMBUDSMAN
―GRAFT, PLUNDER & ELECTORAL SABOTAGE CASES HAVE BEEN FILED VS EXPRESIDENT ARROYO
―FAILED TO BUILD UP NBN CASE VS GMA
(FROM PLUNDER DOWNGRADED TO GRAFT)
―ADMINISTRATIVE, CRIMINAL & GRAFT CHARGES HAVE BEEN FILED
AGAINST LGU OFFICIALS
?
―DROPPED WERE ADMINISTRATIVE AND CRIMINAL CHARGES AGAINST
CALOOCAN MAYOR ECHIVERRI AND FORMER DEPED SEC. JESLI LAPUS
―SECURED CONVICTION OF A COUPLE OF HIGH-RANKING LGU OFFICIALS
(EX-MAYOR, EX- CONGRESSMAN)
⑥
QRT POL CHART
30
AUGUST 2, 2012
…WITH SUBSTANTIAL PROGRESS
12)
REFORM THE AUTONOMOUS REGION IN MUSLIM
MINDANAO (ARMM)
―POSTPONED ARMM ELECTIONS ORIGINALLY
SCHEDULED ON AUGUST 8, 2011
―ACT SYNCHRONIZING ELECTIONS WITH 2013
POLLS HAS BEEN SIGNED INTO LAW;
―CLEANSED ARMM’S LIST OF REGISTERED VOTERS
―STRICT AUDIT MEASURES IMPLEMENTED BY COA ENABLED
THE REGIONAL DEPED AND DPWH OFFICES TO SAVE CLOSE
TO P200 MILLION
―ALLOTTED P440 M FOR VARIOUS ENVIRONMENTAL/AGRI/FISHERY
PROJECTS IN THE REGION
⑧
QRT POL CHART
31
AUGUST 2, 2012
…WITH SUBSTANTIAL PROGRESS
13) END OVER-IMPORTATION OF RICE AND ACHIEVE RICE SELF-SUFFICIENCY
―PALAY (UNMILLED RICE) PRODUCTION FROM JANUARY TO JUNE 2012 UP 4%
TO 7.9 MILLION MT FROM 7.6 MILLION MT IN THE SAME PERIOD LAST YEAR
―RICE IMPORTS THIS YEAR 500,000 MT FROM A HIGH OF 2.4 MILLION MT
IN 2010
―PRODUCTION TARGET OF 18.5 MILLION MT FOR THE YEAR STILL ATTAINABLE
―PH COULD ACHIEVE RICE SUFFICIENCY GOAL NEXT YEAR.
PROJECTED RICE IMPORTS FOR 2013: ZERO TO 100,000 MT. TARGET PRODUCTION
FOR 2013: 20 MILLION MT
―THE GOVERNMENT EXPECTS TO LAY THE
GROUNDWORK FOR RICE EXPORTATION
NEXT YEAR
⑨
QRT POL CHART
32
AUGUST 2, 2012
…WITH SUBSTANTIAL PROGRESS
14)
INCREASE BUDGET FOR CONDITIONAL CASH TRANSFERS
―DSWD PROPOSES TO RAISE CCT BUDGET TO P44.3 B NEXT YEAR TO COVER
3.8 M TARGET HOUSEHOLD BENEFICIARIES
―BENEFITTED 3 M HOUSEHOLDS SO FAR (BUT AS OF END-JUNE, CLOSE TO
30,000 BENEFICIARIES WERE REMOVED FROM THE LIST OF BENEFICIARIES);
―TARGET FOR THIS YEAR: 3.1 M FAMILIES;
BY END-2016: 4.2 M TO 4.6 M FAMILIES
―IN 2011 AROUND 60,000 HOUSEHOLD BENEFICIARIES WERE GIVEN
LIVELIHOOD (A MERE 3% OF TOTAL BENEFICIARIES IN 2011)
―SHOULD HAVE A CLEAR EXIT STRATEGY OTHERWISE IT
WILL BECOME A VERY EXPENSIVE SUBSIDY PROGRAM.
―DSWD URGED TO TRIM DOWN ADMIN COST TO 7%
OF TOTAL CCT BUDGET FROM 10% AT PRESENT
QRT POL CHART
33
⑦
AUGUST 2, 2012
…WITH SUBSTANTIAL PROGRESS
15) SUBMIT A BUDGET THAT ACCURATELY IDENTIFIES THE PROBLEM AND
GIVES MUCH ATTENTION TO THE RIGHT SOLUTION
―EMPLOYED ZERO-BASED BUDGETING SCHEME IN DRAFTING 2011 AND
2012 BUDGETS (TERMINATED INEFFICIENT PROGRAMS AND INCREASED
FUNDING FOR KEY INITIATIVES)
―PROPOSED BUDGET FOR ECONOMIC SERVICES UP FROM P439 B
THIS YEAR TO P511 B IN 2013 TO SUPPORT THE FOLLOWING:
 CONSTRUCTION & UPGRADING OF ROADS & BRIDGES
 PRODUCTION OF MORE PALAY (UNMILLED RICE)
 ATTAINMENT OF MORE TOURISTS BY IMPROVING ACCESS ROADS TO
TOURIST SPOTS & UPGRADING AIRPORTS & SEAPORTS
⑧
QRT POL CHART
34
AUGUST 2, 2012
OUT OF 15 PROMISES
1- W/ NO PROGRESS
7 – W/ LITTLE PROGRESS
7 – W/ SUBSTANTIAL PROGRESS
WE RATE IT JUST OVER 5
WHAT’S A PASSING MARK?
QRT POL CHART
35
AUGUST 2, 2012
12 INFRASTRUCTURE PROJECTS
WERE MENTIONED IN THE SONA
 THIS INCLUDED PROJECTS FINANCED BY PPP, ODA,
AND THE NATIONAL GOVERNMENT.
 AMONG THE 12 PROJECTS MENTIONED IN THE SONA
 2 ARE CURRENTLY BEING IMPLEMENTED
(CATICLAN AND LAGUINDINGAN AIRPORTS)
 2 ARE ON THE AUCTION BLOCK (LRT-1 SOUTH EXTENSION AND PUERTO
PRINCESA AIRPORT-CONSTRUCTION CONTRACT)
 5 HAVE YET TO HURDLE NEDA APPROVAL (3 AIRPORTS, 2 NLEX-SLEX LINKS)
 1 IS STILL UNDER FEASIBILITY STUDY (INTEGRATED TERMINAL)
 1 IS NOT LIKELY TO BE IMPLEMENTED PENDING RESOLUTION OF LEGAL
ISSUES (FULL OPERATIONALIZATION OF NAIA 3)
 ONLY 1 IS LIKELY TO BE IMPLEMENTED THIS YEAR. THIS IS A SMALL-TICKET
PROJECT THAT INVOLVES THE UPGRADING OF 7 PROVINCIAL AIRPORTS
EACH WITH A COST RANGING FROM P40-P60 MILLION. THIS IS ALSO THE
ONLY SMALL-TICKET INFRASTRUCTURE PROJECT MENTIONED BY PNOY.
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AUGUST 2, 2012

PNOY ALSO COMMITTED TO COMPLETE 4 OTHER PROJECTS TO EASE METRO
MANILA TRAFFIC. 1 RAILWAY PROJECT, 2 ROAD PROJECTS, AND A BUS
TERMINAL.
THE LRT-1 SOUTH EXTENSION FROM BACLARAN TO CAVITE. ON THE
① AUCTION BLOCK AND SCHEDULED TO COMMENCE IN 2013.
2 ROAD PROJECTS WILL BOTH LINK THE NLEX WITH SLEX. UNSOLICITED
② PROPOSAL OF MPTDC AND THE SKYWAY STAGE 3 BY CITRA. PNOY HAS
AGREED, BUT NEDA HAS YET TO APPROVE.
③ THE METRO MANILA INTEGRATED TRANSPORT SYSTEM, PRESENTLY
UNDERGOING FEASIBILITY STUDIES AND SLATED TO START IN 2013.
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AUGUST 2, 2012
NLEX-SLEX LINK ROADS
*Map from SMC-Citra group
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AUGUST 2, 2012
EX-PRESIDENT ARROYO OUT ON BAIL…
THE POLL SABOTAGE CASE AGAINST THE
EX-PRESIDENT WAS WEAK, ACCDG TO
THE COURT (THE RESULT OF A RUSHED CASE?)
BUT MRS. ARROYO COULD BE ARRESTED ANEW SOON
THE OFFICE OF THE OMBUDSMAN HAS ASKED THE ANTI-GRAFT COURT
TO ORDER GMA’S ARREST FOR THE PLUNDER CASE RE THE MISUSE
OF P366 M PCSO INTEL FUNDS
THE PCSO INTEL FUND SCAM IS A STRONGER CASE:
 GMA ALLEGEDLY CONNIVED WITH THEN PCSO GEN. MANAGER URIARTE TO
DIVERT FUNDS FROM THE PCSO’S CHARITY OPERATIONS TO ITS INTELLIGENCE
FUNDS, W/C IS EXEMPTED FROM AUDITING
 MRS. ARROYO NEVER DENIED HER PARTICIPATION IN THE APPROVAL
OF THE RELEASE OF THE HUGE SUM OF MONEY
 MARGINAL NOTES OF APPROVAL ARE ON RECORD, AFFIRMED
AND TESTIFIED TO BY URIARTE (THERE’S A PAPER TRAIL)
… BUT NOT FOR LONG?
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AUGUST 2, 2012
THE GRANTING OF BAIL IS A SETBACK
FOR AQUINO
PARTICULARLY IN MAKING THE PREVIOUS ADMIN
ACCOUNTABLE FOR ITS ALLEGED TRANSGRESSIONS IN OFFICE
(A CRITICAL PART OF PNOY’S ANTI-CORRUPTION AGENDA)
THE GOV’T NEEDS TO MAKE SURE ALLEGATIONS VS GMA ARE BACKED
BY SUFFICIENT EVIDENCE, AS THESE CASES WILL BE FOUGHT IN A COURT
OF LAW , NOT IN A COURT OF PUBLIC OPINION
ALSO,
THE OFFICE OF THE OMBUDSMAN MUST IMPROVE ITS PREPARATION
OF CASES
THE NBN-ZTE CASE WAS ORIGINALLY FILED AS PLUNDER, BUT IT WAS
LATER DOWNGRADED TO GRAFT
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AUGUST 2, 2012
OTHER CASES THAT COULD PROGRESS THIS YEAR
(I.E. FILING OF FORMAL CHARGES BEFORE THE COURTS)
1) OWWA FUNDS MISUSE
 ALLEGED DIVERSION AND MISUSE OF OWWA FUNDS
TO BANKROLL QUESTIONABLE ACQUISITIONS AND TO BOOST GMA’S
2004 PRESIDENTIAL BID; INCLUDES TRANSFER OF OFW MEDICARE
FUNDS TO PHILHEALTH IN ORDER TO ENHANCE ELECTORAL
CAMPAIGN (DISTRIBUTION OF PHILHEALTH CARDS)
2) MIDNIGHT PORK BARREL (PAGCOR “PABAON” OR SEND-OFF
TO GMA)

TRANSFER OF AN “INORDINATELY LARGE” SUM TO THE PRESIDENTIAL
SOCIAL FUND (AKA PRESIDENT’S PORK)
BY PAGCOR IN JUST ONE DAY, A MONTH BEFORE GMA
STEPPED DOWN
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AUGUST 2, 2012
3) FARM-TO-POCKET ROADS
 QUESTIONABLE RELEASE OF FUNDS BY THE DEPARTMENT
OF AGRICULTURE FOR FARM-TO-MARKET ROADS WITHOUT WORK
PROGRAMS JUST BEFORE GMA STEPPED DOWN
FROM OFFICE (JAN-JUNE 2010)
4) ARMM KICKBACKS

ACCUSATION BY ZALDY AMPATUAN THAT GMA RECEIVED PAYOFF
FOR ARMM FARM-TO-MARKET ROAD PROJECTS
IN 2008 AND 2009
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AUGUST 2, 2012
WILL THE CASES AGAINST ARROYO EVER LEAD
TO CONVICTION?
THE CASES AGAINST THE MARCOSES ARE NOW 25 YEARS OLD.
MORE THAN 900 CRIMINAL & CIVIL CHARGES HAD BEEN FILED ONLY 7%
OF TOTAL CASES REMAIN
MANY WERE DISMISSED AS PROSECUTORS FAILED TO BUILD UP
THE LAWSUITS
THEY FAILED TO PRESENT AVAILABLE IMPORTANT EVIDENCE
WILL THIS HAPPEN TOO WITH GMA?
ARROYO & HER ALLIES MUST BE HELD ACCOUNTABLE
IF TRUE REFORM IS TO HAPPEN
AQUINO HAS WON SO FAR – BUT THIS IS AN ULTIMATE TEST
IF HE WINS THIS IT’S REVOLUTIONARY
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AUGUST 2, 2012