Stop Philippine public hospital budget cuts for 2017

The Issue

For 2017, the proposed budget for the Department of Health (DOH) is P92.5 billion. The health budget ranks only 6th and is only 2.8% in the proposed P3.35 trillion national budget for 2017. A closer analysis of the budget allotted directly to our national government hospitals further reveals a harrowing story.

Nominally, the total budget for DOH retained hospitals may have increased: from P21.1 billion in 2016 to P24.3 billion in 2017, or a P3.2 billion increase. However, the 2017 National Expenditure Program reveals that 12 DOH specialty hospitals and 54 Centers for Health Development (CHDs) or DOH-retained regional hospitals will all suffer hefty cuts in their operating budget. The overall allotment for the maintenance and other operating expenses (MOOE) of these public hospitals was cut by P1.5 billion, or nearly one-third, from P5.2 billion in 2016 to P3.7 billion for 2017.

The 12 specialty hospitals affected have a combined budget decrease amounting to P446.8 million, representing a 25% cut, from the 2016 MOOE budget of P1.81 billion to the 2017 proposed budget of only P1.36 billion. Hospitals with the largest percentage decrease in their MOOE include the Philippine Orthopedic Center (44% decrease), Jose Fabella Memorial Hospital (43% decrease), and the Amang Rodriguez Medical Center (37% decrease).

Meanwhile, all DOH-retained regional hospitals except the Cotabato Sanitarium will also suffer heavy losses. Overall, there is a looming P1 billion or 32% cut in the MOOE budget of our regional public hospitals. From P3.39 billion MOOE budget this year, the MOOE will be reduced to P2.3 billion in 2017. Regional hospitals with the largest percentage decrease in their MOOE include two hospitals in the Davao Region, Southern Philippines Medical Center (63% decrease) and Davao Regional Hospital (53% decrease).

Similarly, three out of four of the country’s government-owned/controlled corporation (GOCC) hospitals will also suffer drastic cuts, with their combined MOOE dropping to just P1.6 billion in 2017 from the current P2.4 billion or a difference of P782.6 million. These hospitals include the National Kidney and Transplant Institute (20% cut), the Philippine Children’s Medical Center (41% cut), and the Philippine Heart Center (48% cut).

All these public hospitals cater to the poorest of the poor in various regions, and such hefty cuts in their operating budget will have grave repercussions in the upcoming year. Without enough funds for operations, hospitals will not be able to procure essential medicines, reagents, and other utilities needed for vital day-to-day hospital services such as laboratory and diagnostic procedures. Our indigent patients will suffer the most as many of these hospitals undoubtedly resort to new and higher fees to compensate for their decreasing operating budget.

To this end, we call for immediate legislative action to stop the impending cuts in the MOOE budget of these public hospitals. Operating budgets of national government hospitals must be increased.  We need a free, comprehensive, and progressive public health system that will benefit all Filipinos.

Together, let us fight for adequate funding for Philippine public hospitals!

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Coalition for People's Right to HealthPetition Starter
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The Issue

For 2017, the proposed budget for the Department of Health (DOH) is P92.5 billion. The health budget ranks only 6th and is only 2.8% in the proposed P3.35 trillion national budget for 2017. A closer analysis of the budget allotted directly to our national government hospitals further reveals a harrowing story.

Nominally, the total budget for DOH retained hospitals may have increased: from P21.1 billion in 2016 to P24.3 billion in 2017, or a P3.2 billion increase. However, the 2017 National Expenditure Program reveals that 12 DOH specialty hospitals and 54 Centers for Health Development (CHDs) or DOH-retained regional hospitals will all suffer hefty cuts in their operating budget. The overall allotment for the maintenance and other operating expenses (MOOE) of these public hospitals was cut by P1.5 billion, or nearly one-third, from P5.2 billion in 2016 to P3.7 billion for 2017.

The 12 specialty hospitals affected have a combined budget decrease amounting to P446.8 million, representing a 25% cut, from the 2016 MOOE budget of P1.81 billion to the 2017 proposed budget of only P1.36 billion. Hospitals with the largest percentage decrease in their MOOE include the Philippine Orthopedic Center (44% decrease), Jose Fabella Memorial Hospital (43% decrease), and the Amang Rodriguez Medical Center (37% decrease).

Meanwhile, all DOH-retained regional hospitals except the Cotabato Sanitarium will also suffer heavy losses. Overall, there is a looming P1 billion or 32% cut in the MOOE budget of our regional public hospitals. From P3.39 billion MOOE budget this year, the MOOE will be reduced to P2.3 billion in 2017. Regional hospitals with the largest percentage decrease in their MOOE include two hospitals in the Davao Region, Southern Philippines Medical Center (63% decrease) and Davao Regional Hospital (53% decrease).

Similarly, three out of four of the country’s government-owned/controlled corporation (GOCC) hospitals will also suffer drastic cuts, with their combined MOOE dropping to just P1.6 billion in 2017 from the current P2.4 billion or a difference of P782.6 million. These hospitals include the National Kidney and Transplant Institute (20% cut), the Philippine Children’s Medical Center (41% cut), and the Philippine Heart Center (48% cut).

All these public hospitals cater to the poorest of the poor in various regions, and such hefty cuts in their operating budget will have grave repercussions in the upcoming year. Without enough funds for operations, hospitals will not be able to procure essential medicines, reagents, and other utilities needed for vital day-to-day hospital services such as laboratory and diagnostic procedures. Our indigent patients will suffer the most as many of these hospitals undoubtedly resort to new and higher fees to compensate for their decreasing operating budget.

To this end, we call for immediate legislative action to stop the impending cuts in the MOOE budget of these public hospitals. Operating budgets of national government hospitals must be increased.  We need a free, comprehensive, and progressive public health system that will benefit all Filipinos.

Together, let us fight for adequate funding for Philippine public hospitals!

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Coalition for People's Right to HealthPetition Starter
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Petition created on September 16, 2016