In 2024, the provincial government of Catanduanes transferred P17.577 million worth of equipment to the Philippine National Police provincial command without prior authorization from the Sangguniang Panlalawigan.
This was discovered during a review of PLGU transactions during the year, said the Commission on Audit (COA) which noted that this is not in consonance with Section 22 (c) of Republic Act 7160, posing concerns on the legitimacy of the transaction and accountability over the transferred properties.
The transfer was made pursuant to programs and activities incorporated in its Peace and Order and Safety (POPS) Plan, one of which was strengthening the capabilities of the LGU and its partners, the local police, in maintaining or improving the peace and order situation of the province as a whole.
Based on records, the provincial government purchased military weapons and ammunitions and installed a CCTV system at the Capitol Building and the Provincial Engineer’s Office Building and recorded the same in the Military, Police and Security Equipment account.
The acquisitions include one set of drone equipment and a pick-up truck modified into a K9 kennel
In another finding, the report said registration fees of P26,000 were paid to a private organization, The Fraternal Order of Eagles, were charged against government funds although the event was a personal or private activity.
“The participation of PLGU employees in the aforementioned activity, while directed by the LCE, did not meet the criteria of a legitimate public purpose (or) undertaking,“ it stated. “Furthermore, it is not aligned with the interests or needs of the general public, nor does it contribute to the fulfillment of the LGU’s functions and responsibilities. As such, disbursement of government funds for this activity is deemed inappropriate and disallowable in audit.”
It recommended that the chief executive cause the refund of the full amount of registration fees disbursed and, prospectively, allow disbursement of funds only for public purposes.
On the other hand, registration fees for meetings and conferences collected from officers/personnel
of other LGUs totaling ₱116,600.00 were disbursed without proper and sufficient
documentation.
The audit showed that the fees collected ranged from ₱600.00 to ₱2,000.00 per official and were intended to defray expenses for various activities, including monthly and quarterly meetings and conferences of provincial assessors and municipal treasurers, and a joint exit conference.
Another P7.528 million pertaining to catering services, venue and accommodation were tagged as “unnecessary expenditures” that depleted government funds which could have been used for other priority programs of the province.
Among the expenditures were for guests and visitors with no definite details as to event name and purpose, and whose outcomes were not documented; activities without definite purpose and whose outcomes were not documented such as consultative meetings, mid-year and year-end assessment of PLGU personnel, year-end assessment of Punong Barangays, Governor’s Night, PLGU Christmas Party, Catandungan Night, and Courtesy Calls; activities of other government agencies such as Department of Interior and Local
Government, Philippine National Police, Philippine Drug Enforcement Agency, Philippine Army, and Philippine Coast Guard attended by their officials and employees, with the expenditures supposed to have been appropriately charged to the funds of the said agencies; and the 2nd Bicol-Wide Eagles Assembly and Sports Festival organized by a private organization which cannot be considered as a public/government program/activity.
The provincial government also procured catering services and sports supplies/equipment amounting to ₱8.771 million intended for the CY 2024 Palarong Bicol were procured through direct purchase using “cash advance” system, instead of adopting public bidding and some were requested to be delivered before the completion of procurement process, thus, defeating transparency and competition, and casting doubts on the propriety of the transactions
Audit of SEF transactions for CY 2024 disclosed that the Provincial Agricultural and Services Office requested and managed the utilization of the SEF amounting to ₱2,717,984.89 in connection with the Gulayan sa Paraalan Program.
The audit team said that the PASO may not have the legal mandate to handle funds designated specifically for education, especially if the funds are being diverted for non-educational purposes such as procurement of equipment and office supplies such as camera, computer, printer, two-way radio, steel cabinet, mono-block chairs, chiller, office supplies and other equipment.
Likewise, funds for the procurement of seeds and other agricultural supplies should have been requested by the LSB, as the authorized body to manage the fund, it added.
On the other hand, the inability of the Local School Board to provide specific allocations for the operation and maintenance of public schools within the province resulted to the PLGU’s procurement of Janitorial Supplies totaling ₱840,000 for distribution during the Brigada Eskwela charged against the Special Education Fund.
Among the other findings were: non-liquidation of Cash Advances totaling ₱1.625 million excluding confidential and intelligence funds of P20 million; collections of ₱1,002,480.00 from the rental of heavy equipment and machinery for CY 2024 were recorded as trust liabilities instead of income, with the funds used directly for maintenance and operations without prior approval from the local Sanggunian; non-withholding of creditable Expanded Withholding Tax from wages of other service providers hired under Job Order or Service Contract agreements and deriving annual gross income above ₱250,000.00, resulting in overpayment of wages equivalent to taxes not withheld totaling ₱360,914.22; completion of 16 projects were delayed and 15 development projects under the 20% Development Fund for CY 2024 and previous years were not implemented; 20 out of 29 projects funded from the 70 percent mitigation fund of the
Local Disaster Risk Reduction and Management Fund were completed as of December 31, 2024, for an accomplishment rate of only 69 percent.