Marcos institutionalizes DBM’s Compass for transparent gov’t spending

MANILA, Philippines — The Department of Budget and Management (DBM) may use blockchain and other emerging technologies to strengthen the government’s online system for monitoring public spending, even as a proposed measure seeking to expand citizen access to government expenditure data remains pending in Congress.

President Ferdinand Marcos Jr. institutionalized the Centralized Open Monitoring Platform for Appropriations and Spending Statistics (Compass) through Executive Order (EO) No. 126, which was signed on Sept. 28, but was published on the Official Gazette website the next day.

READ: DBM launches public spending tracker ahead of 2027 budget submission

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The EO makes Compass the government’s unified, publicly accessible platform for budget, expenditure, procurement and program performance information.

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It allows Compass to utilize “distributed ledger technology, including but not limited to blockchain or other emerging technologies, for the disclosure, consolidation, and publication of budget, expenditure, procurement, and other transparency-related information.”

The move comes as Congress considers the proposed Citizen Access and Disclosure of Expenditures for National Accountability (Cadena) Act, which seeks to strengthen public access to information on government spending.

The Senate approved its version of the Cadena bill in December last year and sent it to the House of Representatives for its concurrence.

Counterpart bills filed by House lawmakers remain pending at the committee level despite the measure being one of the priority legislations by the Marcos administration for 20th Congress.

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The DBM launched Compass on June 26 as a searchable platform where the public can track government expenditures by agency, funding source, purpose and fiscal year.

Under EO 126, Compass will be expanded beyond tracking how much the government allocates and spends. 

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It will also provide information on the actual implementation of programs and projects, including their financial performance, implementation and completion status, procurement information, and other transparency-related data generated throughout the national budget cycle.

“Transparency and accountability should not be complicated. The Filipino people have the right to know how their money is being used, and whether that spending is delivering results,” Executive Secretary Ralph Recto said in a statement on Wednesday.

“Every peso comes from the people. They should be able to see where it goes, what it pays for, and what the government delivers in return,” he added.

LGUs urged to use platform

The platform may also be linked to existing government financial, procurement, monitoring and digital systems, including the Integrated Financial Management Information System, Budget and Treasury Management System, Philippine Government Electronic Procurement System, Digital Information for Monitoring and Evaluation, and the E-Gov PH App.

The order directs national government agencies and instrumentalities, including government-owned and -controlled corporations and government financial institutions, to submit and regularly update information required by the DBM.

Local government units are also encouraged to use the platform.

Compass may also include information on programs and projects financed through public-private partnerships and foreign-assisted programs, as long as these involve public funds coursed through national government agencies or other relevant government mechanisms.

The EO, however, excludes information prohibited from public disclosure under existing laws, including data that could compromise national defense and security or violate the Data Privacy Act.

READ: Budget watchdog wary of closed-door negotiations

The DBM will lead the implementation and management of Compass, with support from the Department of Information and Communications Technology (DICT), Department of the Interior and Local Government (DILG), and Department of Finance (DOF).

Compass Council

EO 126 also creates a Compass Council that will oversee the platform’s implementation and continued development.

Among the council’s responsibilities are setting data standards and disclosure timelines, coordinating participating agencies, monitoring compliance and recommending emerging technologies to keep the system secure and responsive to public needs.

The council shall also develop policies to ensure that information made available through Compass is timely, reliable and accessible to the public.

According to the EO, failure by public officers or employees to comply may constitute grounds for administrative and disciplinary sanctions.

The EO Council, together with concerned government agencies and representatives from civil society, academe, media and relevant industries, must issue implementing guidelines within 60 days from the order’s effectivity.

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EO 126 will take effect 15 days after its publication in the Official Gazette or a newspaper of general circulation, or on Oct. 14. /jpv