The 2020 COA Reports:

Bato LGU commended for 99% liquidation of cash advances

The municipal government of Bato earned good marks from the Commission on Audit (COA) for liquidating 99.95% of its cash advances for calendar year 2020 in compliance with the provision of law.

In its Annual Audit Report for the year, the audit team commended the local chief executive, the municipal accountant and the municipal treasurer for religiously monitoring all cash advances and liquidating the same regularly pursuant to Section 89 of Presidential Decree 1445 and COA Circular 97-002.

Verification disclosed that the total CAs in CY 2020 amounting to P55.58 million were substantially liquidated as of Dec. 31, 2020, including 100% of the advances for payrolls.

The excess P0.08 in the advances to officers and employees was returned the following year while the P27,047.10 remaining in advances to Special Disbursing Officers was returned before the end of a 60-day period.

The team also found that the LGU regularly paid the monthly amortization for the P14.969 million loan for the construction of the municipal building contracted in 2012 from Land Bank of the Philippines.

In the same report, it was stated that the acquisition of food supplies totaling nearly P1 million from March to December 2020 were paid through cash advances despite the temporary relaxation in the procurement process due to the pandemic.

The municipal accountant told the team that due to the time constraint in the process of procuring food supplies and the necessity of distribution of meals to COVID-19 frontliners and LDRRM Operations Center, advances were drawn by the treasurer for use in purchasing the goods.

Emergency subsidy totaling P30,000 were extended to six ineligible beneficiaries who were job order employees while one 4Ps household received the P5,000 Social Amelioration Program (SAP) fund twice.

Three other families were also granted the same amount despite already receiving the subsidy before.

Other significant findings of the 2020 audit report include: failure to record donations of P0.92 million as trust liability; delayed preparation of Special Education Fund (SEF) budget; delayed implementation and completion of programs and projects under the 20% Development Fund; and, non-remittance of withheld mandatory contributions and penalties amounting to P2.37 million, among others.

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