No over issuance of fuel to city-leased vehicles
July 29, 2006 | 12:00am
Contrary to a Commission on Audit report, there was no over issuance of gasoline to city government-leased vehicles from RDAK Transport Equipment, according to Cebu City Transport Service executive director Arcadio Oberes.
The COA, in its annual report, stated that there was an over issuance of 21,013.20 liters to the leased vehicles amounting to P636,069.56. It noted that the finding was based on the computation that a multicab consumes at least a liter of gasoline for every 10 kilometers.
"When a comparison of the gasoline issued to the rented vehicles was made against the distance traveled, it showed that the fuel issued was in excess of actual needs," according to the COA report.
But Oberes, in his letter to city administrator Francisco Fernandez, said that COA should have considered the mountain barangay assignment, city traffic congestion and the condition of the vehicle, which consumed more gasoline.
The city government had contracted RDAK for the lease of 50 multicabs, including six units of backup vehicles, for its transportation needs.
Oberes said that RDAK has started to refund the excess in the gasoline supply based on the city government's computation.
From September to November 2005, RDAK's gasoline excess reached 607 liters, which amounted to P21,724.12, while from January to May 2006, it reached 922.3 liters or P34,420.33.
The COA report also said that the count of the eight-hour usage of some vehicles started and ended at the RDAK garage instead of using City Hall as reference point. The contract stipulates that the basic rent of each unit is P410 per eight-hour use.
Oberes, however, said that the city is only paying the vehicle at proportionate hours in the event of extra services beyond eight hours. - Garry B. Lao
The COA, in its annual report, stated that there was an over issuance of 21,013.20 liters to the leased vehicles amounting to P636,069.56. It noted that the finding was based on the computation that a multicab consumes at least a liter of gasoline for every 10 kilometers.
"When a comparison of the gasoline issued to the rented vehicles was made against the distance traveled, it showed that the fuel issued was in excess of actual needs," according to the COA report.
But Oberes, in his letter to city administrator Francisco Fernandez, said that COA should have considered the mountain barangay assignment, city traffic congestion and the condition of the vehicle, which consumed more gasoline.
The city government had contracted RDAK for the lease of 50 multicabs, including six units of backup vehicles, for its transportation needs.
Oberes said that RDAK has started to refund the excess in the gasoline supply based on the city government's computation.
From September to November 2005, RDAK's gasoline excess reached 607 liters, which amounted to P21,724.12, while from January to May 2006, it reached 922.3 liters or P34,420.33.
The COA report also said that the count of the eight-hour usage of some vehicles started and ended at the RDAK garage instead of using City Hall as reference point. The contract stipulates that the basic rent of each unit is P410 per eight-hour use.
Oberes, however, said that the city is only paying the vehicle at proportionate hours in the event of extra services beyond eight hours. - Garry B. Lao
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