DPWH Scraps ‘Cabral’s Formula’ for District Allocations

Department of Public Works and Highways (DPWH) Secretary Vince Dizon said the agency will abolish the so-called “parametric” or “allocable” formula used to determine district-level budgets, following allegations it was manipulated to facilitate corruption.

“The allocables will be gone. That allocable system — whatever it is, which to this day I still have a hard time understanding — is gone. We will do away with all of that. There will be no more favoritism and no more slipping projects in,” Dizon said during a press conference on Monday, January 12.

Dizon said the overhaul will be part of DPWH’s priorities for 2026, ending long-standing practices where projects were funded through political influence rather than proper planning.

“So the new formula will be based primarily on the needs of the areas of the district, of the province, of the municipality, and of the region... All projects must have a plan. All projects must be endorsed by the development councils,” he said.

Under the new system, project endorsements from lawmakers or local officials will no longer guarantee inclusion in the budget.

“Just because someone endorsed a project doesn’t mean it automatically gets included in the budget. That’s gone. And projects without a plan, those are gone too,” Dizon said.

The new formula will be rolled out in the coming weeks by DPWH Undersecretary for Planning and Public-Private Partnership Services Nicasio Conti. Dizon said a separate briefing will be held once the system is finalized, stressing the agency’s commitment to transparency and needs-based budgeting.