Any discussion regarding the regulation of the PRC is bound to elicit confusion. After all, the PRC occupies a unique space in the Philippine bureaucracy.
The president has also called upon the PRC to open its books to the Commission on Audit . It is against this backdrop that we will examine PRC along with its unique structure, obligations under the law, and role during the pandemic.
The Supreme Court has confirmed this unique nature of the organization in the landmark case of Liban vs Gordon. The petition in the case sought to remove Gordon from his Senate seat on the basis of the constitutional provision barring senators of the republic from assuming other government positions. At the time, Gordon was also serving as chair of the PRC.
The administration has argued that the COA may audit even nongovernmental entities, such as the PRC. It points to the constitutional provision that gives the COA the jurisdiction to conduct a post-audit on “nongovernmental entities that are receiving subsidy or equity, directly or indirectly, from or through the government.”To begin with, the terms “subsidy” and “equity” have acquired technical meanings in Philippine law.
It also bears noting that both the Administrative Code of 1987 and the Auditing Code of the Philippines give the COA the power to audit nongovernmental entities that are receiving funds from the government, under a visitorial authority. Nevertheless, these laws also limit such audits to funds or subsidies coming from or through the government.
The organization’s history is seemingly intertwined with the country’s own, having served not only as a witness but as a responder to major catastrophes in the Philippines, including the Mt. Pinatubo eruption in 1992, Typhoon Ondoy in 2009, and the Bohol earthquake in 2013.
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