Madridejos did not implement 4 funded priority projects

CEBU - Four out of 11 priority projects funded under the 20 percent development fund in the town of Madridejos remained unimplemented, according to the latest audit report of the Commission on Audit 7.

A review of the Annual Investment Plan that is funded out of the 20 percent development fund for calendar year 2007 showed that four projects, with a total project cost of P1,476,082.40 were not implemented at the end of December 31, 2007.

COA said these projects are the Computerization Program amounting to P126, 082.40; Lump Sum appropriation for livelihood projects amounting to P600,000; Completion of birthing home and purchase of equipment worth P700,000 and the Gender and Development program amounting to P50,000.

“It was learned in an interview with concerned officials that they failed to implement the projects during the year for the reason that previous officials were busy during elections in May 2007,” the audit report said.

State auditors reminded the municipal officials to see to it that projects will be implemented in order for the benefit of their constituents.

COA said the non-implementation of the livelihood project was due to the failure of the prospective beneficiaries to comply with documentary requirements.

State auditors also asked the municipal budget officer to appropriate to the Sangguniang Bayan the amount enough to pay the amortization of P1 million and the accrued interest of P300,000 for a soft loan received from Presidential Social Fund.

The COA got hold a copy of the demand letter dated Jan. 14, 2008 from the Office of the President regarding the P1 million loan assistance released to the town under the “Isang Bayan, Isang Produkto, Isang Milyong Pisong Programa” from President Gloria Macapagal-Arroyo.

With this information, verification of accounting records was made and it was learned that there were no loans payable, interest payable and interest expense accounts recognized in the book of accounts.

It was also observed that the amount of P1 million was received under official receipt No. 1823112 on January 20, 2003.

But upon inquiry by the state auditors, the municipal accountant explained that it was not recorded as loan because the official was reportedly informed that it was not a loan. There was not even a memorandum of agreement between the Office of the President and the municipality. — Garry B. Lao/WAB (THE FREEMAN)