Professional Documents
Culture Documents
SCOPE OF AUDIT
An audit was conducted on the accounts and operations of the Municipality of
Consolacion for the calendar year ended December 31, 2008. The audit was made to
ascertain the regularity of disbursement, the reliability of financial reports and the adequacy
of accounting reports and to determine whether plans, programs and activities for the year
were attained in an efficient, economical and effective manner.
6. Honoraria granted to the Bids and Awards Committee (BAC) and the Technical Working
Group (TWG) amounting to P167,500.00 was charged against the General Fund, contrary
to Section 3.1 of Budget Circular No. 2007-3 dated November 29, 2007 which provides
the guidelines on the grant of honoraria and overtime pay to government personnel
involved in government procurement.
The BAC members, TWG and BAC Secretariat should refund the amount received by
each of them since the payment was not from the authorized funding source. Granting of
honoraria should be in accordance with Section 3.1 of Budget Circular 2007-3 dated
November 29, 2007.
7. Purchases of fuel and oil were paid out of cash advance granted to the Municipal Mayor
instead of making payments directly to the supplier, in violation of Sec. 9 of COA Circular
No. 92-382 dated July 3, 1992 which requires that all disbursements shall be made by
check, and COA Circular No. 97-002 dated February 10, 1997 which provides the
guidelines in the granting, utilization and liquidation of cash advance.
Management should strictly adhere to the provisions of COA Circular No. 92-382 dated
July 3, 1992 which requires that all disbursements shall be made by check; COA Circular
No. 97-002 dated February 10, 1997 which provides the guidelines in the granting,
utilization and liquidation of cash advance; and COA Circular 77-51 dated September 27,
1977 prescribing specific rules and regulations in the use of government vehicles.
8. Expenses on hotel accommodation, boat fares, perdiems and miscellaneous expenses in
the total amount of P647,864.00 were incurred in holding the committee hearing of the
municipalitys 2009 annual budget outside of the locality which are unnecessary in nature
as stated under COA Circular No. 85-55A dated September 8, 1985, and the Government
Accounting and Auditing Manual Volume I.
Municipal officials should exercise prudence or the diligence of a good father of a family in
handling the municipalitys funds which are sourced from the taxpayers.
9. Unnecessary expenditures amounting to P117,000.00 were incurred in holding a team
building seminar in a luxurious hotel, and P10,150.00 incurred in an Executive-Legislative
Caucus held relative to the filing of comment to the Office of the Ombudsman of a
complaint on the said team building seminar.
Municipal officials should exercise prudence or the diligence of a good father of a family in
handling the municipalitys funds which are taxpayers money. Each participant should
refund the amount spent for unnecessary expenses.