COA warns Lanao del Norte of audit suspensions for deficiencies in P123M infra projects


by Allan Yves Briones

At least 10 infrastructure projects worth P123.86 million by the local government of Lanao del Norte were marred with various deficiencies, according to a report by the Commission on Audit (COA).

State auditors pointed out that Lanao del Norte’s local government officials failed to submit over 20 necessary documents including the approved budget, contract, plans and specifications, as well as detailed costing for the infrastructure projects.

The lack of required documents, according to COA, affected their ability to review and evaluate the projects.

“The non-compliance to the pertinent provisions of the IRR of RA 9184 and other laws did not result to transparency, efficiency and economy in the procurement process, and may result to possible suspension in audit,” the report read.

Local officials’ failure to comply is a violation of Section 4.6 of Presidential Decree No. 1445 and some provisions of the procurement law which requires that all government projects “shall be supported with complete documentation.”

In July 2018, COA reportedly reached out to the local provincial engineering office and the Bids and Awards Committee (BAC) to address the issue, but has yet to submit anything to the audit team.

The state auditing agency asked Lanao del Norte Governor Imelda Quibranza-Dimaporo to instruct the concerned offices to comply with the missing requirements, as well as to order the strict adherence to procurement law in future infrastructure projects to avoid suspension.

In the report, state auditors listed down all the missing requirements:

Approved budget for the contract
Approved contract
Program of works and detailed estimates
Approved plans and specifications
Detailed quantity derivation of all items of works
Detailed cost derivation of all items of works
Bid prices and bill of quantities
Approved PERT/CPM network diagram
Detailed computation of contract time
Minutes of pre-bid conference, opening of bids
Notice of post-qualifications
Mayor’s permit
Audited financial statements
Eligibility requirements
BAC resolution declaring the winning bidder
Delivery time of completion schedule
Memorandum of Agreement between Department of Agriculture and Lanao del Norte