Election Result for Dipolog City
July 6, 2010
MAYOR of ZAMBOANGA DEL NORTE – DIPOLOG CITY
Candidate Party Votes Percentage
UY, Evelyn T. LIBERAL PARTY 31408 60.42%
LIM, Franklin Y. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 20577 39.58%
Statistics
Total number of Voters who actually voted 53928
VICE-MAYOR of ZAMBOANGA DEL NORTE – DIPOLOG CITY
Candidate Party Votes Percentage
ANGELES, Senen O. LIBERAL PARTY 28211 56.04%
ZAMORAS, Edionar M. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 21941 43.59%
CUBIRO, Eddie S. INDEPENDENT 188 0.37%
Statistics
Total number of Voters who actually voted 53928
MEMBER, SANGGUNIANG PANLUNGSOD of ZAMBOANGA DEL NORTE – DIPOLOG CITY – LONE DIST
Candidate Party Votes Percentage
BAGARINAO, Dante G. LIBERAL PARTY 26258 6.28%
VELASCO, Horacio B. LIBERAL PARTY 26140 6.25%
NAPIGQUIT, Jonald C. LIBERAL PARTY 25932 6.20%
VERDUGUEZ, James P. LIBERAL PARTY 25724 6.15%
PINSOY, Marvelita N. LIBERAL PARTY 23981 5.74%
RUBIA, Praxides P. LIBERAL PARTY 23900 5.72%
ONG, Kenny Val U. LIBERAL PARTY 23604 5.65%
SOLIVA, Romulo P. LIBERAL PARTY 23587 5.64%
RUIZ, James Cyril O. LIBERAL PARTY 22307 5.34%
LEGORIO, Rubencio B. LIBERAL PARTY 21987 5.26%
AJERO, Genesis S. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 17657 4.22%
LIM, Bryan S. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 17078 4.08%
PATANGAN, Nathaniel B. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 16259 3.89%
CARPIO, Thelma M. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 15839 3.79%
GURDIEL, Roel L. INDEPENDENT 15415 3.69%
REFUGIO, Jose Neri G. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 15331 3.67%
NAONG, Clyde R. INDEPENDENT 15004 3.59%
ANG, Josephine A. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 14981 3.58%
APURA, Moman P. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 13515 3.23%
KILAT, Leon B. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 12675 3.03%
ARCAMO, Edmund J. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 12447 2.98%
LEDESMA, Jose Rene R. INDEPENDENT 4080 0.98%
AGUILAR, Ma. Liezl B. INDEPENDENT 1736 0.42%
RODRIGUEZ, Nicanor B. INDEPENDENT 1052 0.25%
AUZA, Josefino R. INDEPENDENT 805 0.19%
CASTRO, Rodolfo Q. INDEPENDENT 802 0.19%
Statistics
Total number of Voters who actually voted 53928
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Election Result for Zamboanga del Norte – 2nd District
July 6, 2010
MEMBER, HOUSE OF REPRESENTATIVES of ZAMBOANGA DEL NORTE – SECOND LEGDIST
Candidate Party Votes Percentage
LABADLABAD, Rosendo S. LIBERAL PARTY 26927 52.67%
YEBES, Ronald G. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 23768 46.49%
FERAS, Julito A. INDEPENDENT 341 0.67%
MENDOZA, Nurolhadi D. INDEPENDENT 84 0.16%
Statistics
Total number of Voters who actually voted 53928
PROVINCIAL GOVERNOR of ZAMBOANGA DEL NORTE
Candidate Party Votes Percentage
AMATONG, Isagani S. LIBERAL PARTY 24947 49.31%
YEBES, Rolando E. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 24752 48.93%
FERAS, Carlito A. PARTIDO DEMOKRATIKO SOSYALISTA NG PILIPINAS 451 0.89%
UBAY, Franklin R. INDEPENDENT 327 0.65%
ARBOIZ, Bernardo, Jr. T. INDEPENDENT 60 0.12%
GUMANAS, Rogelio I. INDEPENDENT 51 0.10%
Statistics
Total number of Voters who actually voted 53928
PROVINCIAL VICE-GOVERNOR of ZAMBOANGA DEL NORTE
Candidate Party Votes Percentage
PINSOY, Roberto N. LIBERAL PARTY 25508 53.37%
OLVIS, Francis H. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 22023 46.08%
MALANDAY, Elena R. INDEPENDENT 140 0.29%
SEÑORON, Maria Clara M. INDEPENDENT 127 0.27%
Statistics
Total number of Voters who actually voted 53928
MEMBER, SANGGUNIANG PANLALAWIGAN of ZAMBOANGA DEL NORTE – SECOND PROVDIST
Candidate Party Votes Percentage
NAPIGQUIT, Julius C. LIBERAL PARTY 22852 12.87%
CO, Peter Y. LIBERAL PARTY 22371 12.60%
AMATONG, Adrian Michael A. LIBERAL PARTY 22110 12.45%
RANILLO, Michael Alan Z. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 21006 11.83%
YANO, Iñigo, Jr. B. LIBERAL PARTY 20183 11.37%
MEJORADA, Uldarico II M. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 20178 11.36%
ADRIATICO, Cedric L. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 19838 11.17%
BAGUIO, Edgar J. LAKAS KABALIKAT NG MALAYANG PILIPINO CHRISTIAN MUSLIM DEMOCRATS 15481 8.72%
BARINAGA, Roseller L. INDEPENDENT 12036 6.78%
BALA, Eufracio, Sr. C. INDEPENDENT 374 0.21%
BUNAO, Rudolph Roderick R. INDEPENDENT 341 0.19%
VAILOCES, Clayford C. PARTIDO DEMOKRATIKO SOSYALISTA NG PILIPINAS 245 0.14%
RATERTA, Jay S. INDEPENDENT 191 0.11%
RIVERA, Elmie C. INDEPENDENT 182 0.10%
MALANDAY, Puasito B. INDEPENDENT 173 0.10%
Statistics
Total number of Voters who actually voted 53928
Dipolog City 2008 COA Audit 7
July 1, 2010
DETAILED FINDINGS AND RECOMMENDATIONS
7. Transportation Allowance amounting to P115,800.00 covering the period from July 2007 to December 2008, was paid to the Local Chief Executive whose office was assigned with vehicles and actually using the same. Likewise, the city engineer certified that she is using government vehicle in the performance of her official business but was deducted only a minimal amount of P872.72 per month thus, resulting to wastage of scarce government resources, contrary to Sections 44 and 45 of General Appropriation Act of FYs 2007 and 2008, respectively and COA Circular No. 2000-005 dated October 4, 2000.
Sections 44 and 45 of the General Provisions, General Appropriations Act of FYs 2007 and 2008 provide in part;
“The transportation allowance herein authorized shall not be granted to officials who are assigned or presently use government motor transportation. Xxx (underlining for emphasis)
Further, paragraph 2.3 of COA Circular No. 2000-005 dated October 4, 2000, provides;
“2.3 Whenever an official or employee entitled to transportation allowance uses the government vehicle issued to his office, a corresponding proportionate reduction on his transportation allowance shall be made.”
Verification of various cash advances for Representation and Transportation Allowance (RATA) disclosed that the City Local Executive was granted transportation allowance covering the period July 2007 to December 2008, amounting to P115,800.00 (Annex “D”) which was supported with her certification, quoted below;
“This is to certify that as to records concerned, there is no official service vehicle issued in my name, in my official functions as Chief Executive of the City Government of Dipolog.”(underlining for emphasis)
Perusal of the Report on the Physical Count of Property, Plant and Equipment (PCPPE) revealed that various motor vehicles under the Office of the City Mayor, were issued to Ms. Norilyn Bicoy, supply-in-charge, under the office of the city mayor.
The city mayor is correct in her certification that she was not issued a vehicle, since this was under the accountability of Ms. Bicoy, . The word issued has long been replaced with assigned or used in order to prevent officials from circumventing the law by transferring the Acknowledgement Receipt for Equipment (ARE) to other regular personnel. In this case, she should have certified that no vehicle was assigned or used during her official functions in consonance to above-cited provisions. The above certification however, is of no effect, since it is a public knowledge that she is actually using Toyota, Hi-Lux, SHJ 164 and Isuzu DEMAX SHZ 938, as her official service vehicle.
Further, review of the transportation allowance claimed by the city engineer disclosed that only P872.72 was deducted from her monthly transportation allowance which represents only four days of actual use of the vehicle. The computation of the proportionate reduction of transportation allowance for officials who avail of the government vehicle shall be equivalent to the transportation allowance per day computed at transportation allowance per month divided by 22 days, regardless of the number of hours and times they use the vehicle for the day.
Her monthly deduction was computed at;
P4,800.00/22 days x 4 days = P872.72
Therefore, the amount to be refunded for CY 2008 is P47,127.36 arrived at by multiplying the difference of P3,927.28 by 12 months.
It is a public knowledge that the city engineer uses government vehicle daily from residence to office. Hence, the amount deducted should have been P4,800.00 per month and not the minimal amount of P872.72/month.
Quoted hereunder is the pertinent portion of the Supreme Court decision in the case “Aida Domingo vs. Commission on Audit”, G.R. No. 112371:
“As correctly pointed out by the Solicitor General, there are two instances when transportation allowance cannot be granted to a government official, as when a government official assigned a vehicle, and when a government official uses government transportation facilities. It is undeniable that several government vehicles were issued to the Regional Office of DSWD in Region V. That the vehicles thereat were issued not to petitioner herself, as Regional Director, but to the Regional Office itself, is of no moment. What is important and decisive is that such vehicles were intended primarily for the official use of subject office and its officials and employees. As maintained by the Solicitor General, whether or not herein petitioner used the vehicle assigned to her office, is not an issue, as it is undeniable that she could have used the said vehicle whenever she wanted to since it was assigned to her office.”
Management Comment:
* The concerned officials were amenable to give up their Transportation Allowances.
Recommendation to Dipolog City Government:
* Transportation Allowance should not be granted to those officials who are assigned with or using government vehicles in accordance with GAA FY 2007, 2008 and COA Circular 2000-005.
Dipolog City 2008 COA Audit 6
July 1, 2010
DETAILED FINDINGS AND RECOMMENDATIONS
6. Motor vehicles owned by the city government are not marked with “For Official Use Only” with the name and logo of Office using the same which is in contrast to COA Circular No. 77-61 which attributed to the use of government vehicles for purposes other than official business and for other purposes in violation of Administrative Order No. 239, dated September 15, 2008.
Pursuant to Commission On Audit Circular No. 77-61, as amended, all motor vehicles owned by local government should be permanently marked with “For Official Use Only” under which should be written the corresponding name of the Office using the same.
While Administrative Order No. 239 prohibits the use of government vehicles for purposes other than official business, and for other purposes, it also requires to strengthen the government effort against the use of government vehicles other than official business in line with the government’s energy saving and anti-graft and corruption campaigns.
It was noted that motor vehicles of the City Government are not marked with “For Official Use Only” with the name and logo of the agency, for which unauthorized use thereof is very imminent. Much more, funds were utilized to provide its fuel, spare parts, repair and maintenance.
Marking of government vehicles with “For Official Use Only” serves as deterrent to daring government officials and employees from unauthorized use of the same.
Management Comment:
* The General Services Office is in the process of procuring materials for the marking of all city government motor vehicles with “For Official Use Only” with the corresponding name and logo of the agency as well as the name of Office where it is assigned.
Recommendation to Dipolog City Government:
* Require the City General Services Officer to cause the marking with “For Official Use Only” and name and logo of the agency to all motor vehicles owned and operated by the city government pursuant to COA Circular 77-61 and Administrative Order No. 239.
Dipolog City 2008 COA Audit 5
July 1, 2010
DETAILED FINDINGS AND RECOMMENDATIONS
5. The City Government hired and paid two (2) Consultants for Personnel Administration, Environment and Community Affairs and for National Concerns with corresponding professional fees at P18,000.00 each per month or a total amount of P432,000.00 as of December 31, 2008, which contravened Section 163 of Article 2, GAAM -Volume I.
Section 163 of Article 2, GAAM – Volume I, provides that:
“Article 2. Prevention of Irregular, Unnecessary, Excessive or Extravagant or Unconscionable (IUEEU) Expenditures.
Section 163. Unnecessary expenditures. – The term “unnecessary expenditures”, pertains to expenditures which could not pass the test of prudence or the obligation of a good father of a family, thereby no-responsiveness to the exigencies of the service. Unnecessary expenditures are those not supportive of the implementation of the objectives and mission of the agency relative to the nature of its operation. This could also include incurrence of expenditure not dictated by the demands of good government, and those the utility of which cannot ascertained at a specific time. An expenditure that is not essential or that which can be dispensed with without loss or damage to property is considered unnecessary. The mission ad thrusts of the agency incurring the expenditure must be considered in determining whether or not the expenditure is necessary.”
The services of these consultants could be dispensed with without loss or damage to property of the City Government of Dipolog. In addition, the Local Chief Executive has duly appointed Human Resource Management Officer, City Environment and Natural Resources Officer and City Legal Officer who could perform personnel administration, environment and community affairs as well as national concerns, respectively, thus the total amount of P432,000.00 paid for the services of these consultants was considered unnecessary. (See Annex “C”)
It was further observed in the verification of records that there were no specific accomplishments reported as their outputs for us to consider the necessity in the exigency of the government service.
Recommendations:
* We recommend that the contracts of consultancy of these two consultants shall no longer be renewed.
* Utilize the services of the City Legal Officer, Human Resource Management Officer and the City Environment and Natural Resources Officer in the performance of duties and functions done by the consultants to avoid unnecessary expenditures and instead, promote effectiveness, efficiency and economy in the pursuit of good governance.
Dipolog City 2008 COA Audit 4
July 1, 2010
DETAILED FINDINGS AND RECOMMENDATIONS
4. Delayed submission of Inspection and Acceptance Report for deliveries of medicines totalling P1,364,551.25 deprived COA to conduct inspection and get samples for the necessary testing by the Bureau of Food and Drugs, in contrast to Section 116, and Section 117 of COA Circular 92-386, known as the “Rules and Regulations on Supply and Property Management in the Local Governments.”
Section 116 of COA Circular 92-386 provides that:
“Surprise and Selective Inspections by the Local Auditors. – The provincial, city or municipal auditor or their representatives shall conduct a surprise and selective inspections of deliveries soon after their acceptance by the local government units.”
Section 117 of COA Cir. No. 92-386 also provides that:
“Drugs, Chemicals and Medicine. – Utmost care and caution shall be exercised at all times in the inspection of the following items:
a.) medicines and pharmaceuticals preparations – the analyses must conform to their formulas;
b.) drugs, chemicals including disinfectants – their analyses must conform to the USP, NF, BHF or BFD requirements; and
c.) insecticides, fungicides, etc. – the quality of these items shall be determined through laboratory analysis.
Quantity of samples required:
tablets . . . . . . . . . . . 30 tablets
ointments . . . . . . . . 100 grams
liquids . . . . . . . . . . . 100 cc.
solids . . . . . . . . . . . . 50 grams
capsules . . . . . . . . . . 5 capsules
The samples to be sent to BFAD for the necessary test shall be taken at random and shall be placed in a free- contamination container. The same shall be properly sealed with a strip of onion skin paper bearing the signature or initial of the dealer, requisitioner and inspector. The order, invoice and requisition numbers and the descriptions of the items shall be indicated on the container.”
It has been observed that submission of Inspection and Acceptance Report for large volume of deliveries of drugs and medicines amounting to P2,405,471.24 were delayed, thus, enabling COA no room for inspection while they are still in the bodega. The IAR were only verified long after the deliveries have been paid and the medicines were already issued to end users thus, samples were no longer available for necessary testing by BFAD.
Further evaluation of disbursement vouchers, disclosed that the agency failed to enforce the posting of performance bond by the suppliers to guarantee in case of non-compliance of the conditions and specifications provided in the contract of delivery or any other inconsistencies such as, quality failure in the samples inspected by BFAD.
Moreover, delayed delivery for twenty-five (25) days under DV No. 100-2008-04-2206, amounting to P430,942.06 was not imposed with liquidated damages of P11,383.37, against the supplier which should have been deducted from the contract price.
Management Comment:
* During the exit conference, it was agreed that samples will be taken at random and be sent to BFAD for testing at the expense of the agency and/or be charged to the supplier.
* The distribution of drugs and medicines to end users shall be made without prejudice to the result of the laboratory testing.
Recommendations:
* Require the City General Services Officer to submit the Inspection Report to the Agency Auditor after inspection and acceptance of the deliveries by the agency for verification purposes and to facilitate getting of samples for testing by the Bureau of Food & Drugs (BFAD) to ensure whether or not the medicine would conform and meet the specifications indicated.
* Require Bids and Award Committee to enforce posting of performance bond by the supplier of drugs and medicines as required under RA 9184 as a measure of guarantee of faithful performance and compliance with his obligations specified in the contract, otherwise, it shall be forfeited in favor of the agency.
* Liquidated damages should be imposed on delayed delivery amounting to P11,383.37.
Dipolog City 2008 COA Audit 3
July 1, 2010
DETAILED FINDINGS AND RECOMMENDATIONS
3. The value of property, plant and equipment recorded in the books at
P 153,268,543.96 as of December 31, 2008 was overstated by approximately P15.327 million due to the failure of the City Accountant to take up depreciation on a number of depreciable assets, contrary to Section 04 (O) of the Manual on the New Government Accounting System (NGAS) Volume I for Local Government Units.
Sec. 04 (O) of Volume I of the Manual on NGAS for LGUs provides:
“Basic features and Policies. – The new government accounting system has the following basic features and policies, to wit:
O. Depreciation. The straight-line method of depreciation shall be used. A residual value equivalent to ten (10%) of the cost shall be set-up and depreciation shall start on the second month after purchase/completion of the property, plant and equipment. Public infrastructures shall not be charged any depreciation.”
Verification of the financial statements showed no depreciation provided on the value of property, plant and equipment in the total amount of P 153,268,543.96 resulting in the overstatement of the affected PPE accounts. (See Annex “B“)
The Report of Inventory of PPE submitted by the City General Services Office as of December 31, 2008, does not provide date and cost of acquisition to a number of property plant and equipment which contributed to the inability of the City Accountant to provide the corresponding depreciation.
Management Comment:
* The City General Services Officer reasoned out in the difficulty of providing date and cost of acquisition on PPE acquired long time ago but still existing to date.
Recommendations:
* Require the City General Services Officer to provide date and cost of acquisition on all property, plant and equipment in the inventory report to facilitate recognition of depreciation of affected PPE accounts.
* Existing obsolete PPEs considered to have no more value should be dropped from PPE account and be accounted under Other Assets.
* Require the City Accountant to provide depreciation on all property plant, and equipment accounts in accordance with Section 4 (O) of the NGAS Volume I to establish their true valuation in the financial statements.
Dipolog City 2008 COA Audit 2
July 1, 2010
DETAILED FINDINGS AND RECOMMENDATIONS
2. The City Government failed to effectively and efficiently collect Real Property Taxes (RPT) and did not enforce the remedies available for the collection of Real Property Taxes as mandated under Article 347 of the Rules and Regulations Implementing the Local Government Code of 1991, thus resulted to an outstanding RPT receivables balance of P 18,460,568.14 as of December 31, 2008.
Based on our verification of the financial statements as of December 31, 2008, it showed that the agency has a material balance of RPT Receivables of P18,460,568.14 under the general fund. This has increased by P2,514,717.60 or 15.77% compared to the balance reported as of December 31, 2007 of P15,945,850.54. Out of the P18,460,568.14 RPT Receivables for the calendar year 2008, only P11,264,154.85 was collected as of December 31, 2008 or 61.02% collection efficiency of Real Property Taxes. This performance showed the leniency of the City Government in collecting RPT Receivables. Had the LGU enforced the remedies available for the collection of Real Property Taxes, it could have generated more revenues to implement more projects for the benefit of its constituents.
Details of Real Property Tax Receivables are shown as follows:
Calendar Year Amount
2002 (P 795,392.56)
2003 5,094,675.82
2004 2,709,422.39
2005 1,565,887.95
2006 1,110,204.90
2007 3,056,163.63
2008 5,719,586.01
Total P 18,460,568.14
Furthermore, the City Government did not enforce the remedies available for the collection of Real Property Taxes, as required in Article 347 of the Rules and Regulations Implementing the Local Government Code of 1991, which states as follows:
“Remedies for the Collection of Real Property Tax –
For the collection of the basic real property tax and any other tax levied under this Rule, LGU may avail of remedies by administrative or judicial action. The administrative remedies which are summary in nature are:
a) Levy on real property, and
b) Sale of Real Property at public auction.
The judicial remedy is availed of in the court of appropriate jurisdiction. These remedies are cumulative, simultaneous and unconditional, that is, any or use or all of these remedies or combination thereof may be resorted to and the use or non-use of one remedy shall not be a bar against the institution of the others. Formal demand for the payment of the delinquent taxes and penalties due is not a pre-requisite to such remedies. The notice of delinquency required in Article 346 of this Rule shall be sufficient for the purpose.
Had the City, through the Office of the City Treasurer, availed of the remedies provided for under Article 347 of the Implementing Rules and Regulations of the Local Government Code of 1991 in enforcing tax collection, it could have enforced taxpayers to settle their tax obligations due to the LGU and could have generated material increase in tax collections during the calendar year, thus, it will substantially reduce the balance of RPT receivables as of December 31, 2008. Moreover, an increase in RPT collections could have provided funds for the implementation of additional projects for the people of Dipolog City.
Management Comments:
* The balance of real property tax receivable has already been reduced due to the payment of real property tax by Zamboanga del Norte Electric Cooperative (ZANECO) in the amount of P5,553,848.79 during the year of audit.
* Judicial and administrative remedies will be enforced only after exhausting all possible measures without prejudice of the taxpayers’ right to settle amicably.
Auditor’s Rejoinder:
* Basically, payment of real property taxes by ZANECO has indeed increased RPT revenues to the agency, but neither had it significantly reduced RPT Receivables because a balance of P7,196,413.29 or 38.98% is still quite material.
* Interview with the City Assessor revealed that there were still lot of RPT delinquents after the tax amnesty expired last year. So, it is high time for the City Government to avail of the judicial and administrative remedies and sanctions in order to attain the estimated revenues.
Recommendation to Dipolog City Government:
* The City Government through the Office of the City Treasurer should intensify its effort to efficiently and effectively collect Real Property Taxes and avail of the remedies provided for in article 347 of the Rules and Regulations Implementing the Local Government Code of 1991. Improved collection efficiency of RPT will benefit the City Government and its constituents.
Dipolog City 2008 COA Audit 1
July 1, 2010
DETAILED FINDINGS AND RECOMMENDATIONS
1. Huge amount of cash advances and receivables totalling P21,337,668.15 remained unliquidated and/or unsettled at the end of December 2008, not only adversely affected both the cash and income accounts of the agency, but also a gross violation of Section 37 of P.D. No. 1445, otherwise known as the “Auditing Code of the Philippines”.
Section 37 of P.D. No. 1445, provides that:
“Retention of money for satisfaction of indebtedness to government. – When any person is indebted to any government agency, the Commission may direct the proper officer to withhold the payment of any money due such person or his estate to be applied in satisfaction of the indebtedness.”
It has been observed that most of the cash advances and receivables have been outstanding for five years and beyond, without giving even partial payment. This greatly placed the city government at a disadvantage position or wisely put, those involved, have enjoyed the benefits at the expense of the agency. (See Annex “A”)
If there had been sincerity in complying with the recommendations embodied in the previous COA Annual Audit Reports, these advances and receivables could have been settled speedily, if not full.
Further, we observed that refunds of these cash advances are usually made only upon retirement from government service of the concerned officer or employee.
Management Comment:
* Management promised to improve its collection efforts to reduce these unliquidated cash advances and receivables.
Recommendation to Dipolog City Government:
* Immediate settlement of these cash advances and receivables should be intensified through the joint action of the City Accountant and City Treasurer to withhold payment of any money due to all concerned officers and employees pursuant to Section 37 of P.D. No. 1445.
