Wednesday, August 4, 2010

Ground Zero.. tale of the Red Tape

The Philippine Nation is at Cloud 9 a month after a new Administration has been established. The promise of the Aquino administration catapulted Noynoy's rise to power. Is he really going to make it? Will he turn the fate of this troubled land around?

I will give him the benefit of the doubt. A single strand of HOPE is better than none at all. His promise of cutting down corruption is a bold statement to make, even if it is coming from the highest Statesman in the land.

But President Noynoy, the real battle is not in the national limelight nor in the GOCCs, but are in the Local Government Units. 

Those who do not know how this works should look closely at the way the system of disbursing funds in all levels happen. People call it "tongpats", others term it as "overpricing",but closer to home is called "SOP".

Government or corporations usually stage a mock "Bidding" to comply with the Procurement Law but somehow the deal ends with a favored Contrractor. That is the start of the Red Tape. Contractor will do all the paperwork but somehow will incorporate costs to overprice the project to allow a 10%-15% commission or tongpats or SOP to the contracting party.

I believe to truly effect the promise is to review the procurement law and review the mandate of the Commission on Audit and the BIR. Scrutinizing these laws and enabling a transparent alternative will surely help out.

Mr. President, the Truth Commission is a good idea, but a Transparent Budget Allocation Commission will be a brilliant one.

#25

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