Danao fails to utilize P73M for projects

CEBU, Philippines - The Commission on Audit told the officials of Danao City to utilize the P73 million allocation that they received from the national government and from Capitol.

COA Audit Observation Report for 2011 shows that of the amount include P20 million Local Government Support Fund form the national government; P5 million from the Priority Development Assistance Fund of Senator Aquilino Pimentel Jr.; P1.8 million from the President’s Social Fund; P3.3 million housing assistance from the National Housing Authority; P2 million from Rep. Ramon “Red” Durano VI  for pro-poor programs and P30 million financial assistance from Gov. Gwendolyn Garcia for the rehabilitation of water distribution pipes in Barangay Poblacion.

One of the reasons the City Planning and Development Office and other department heads of Danao City cited was that Mayor Ramon “Boy” Durano Jr. was not granted authority by the City Council.

Majority of the council members are ally of Vice Mayor Ramon “Nito” Durano III, Boy’s estranged brother.

Other reasons were some projects are no longer feasible, some funds are insufficient to complete the projects, plans and programs of work are still being prepared or some funds do not have definite guidelines on the implementation of projects.

COA also noted that the unused amount of P6.8 million should have been returned to the source agency because the projects were either  completed or were no longer feasible.

“The failure of management to implement the projects given by the different National Agencies and LGUs has deprived the constituents the immediate benefits of the projects,” the audit report said.

COA recommended the immediate implementation of the projects while the excess amount of the completed projects be returned to the source agency.

The City Engineering Office informed the audit team that they are now preparing the programs of work for some projects while the City Treasurer committed to ask authority from the Provincial Government to revert to the general fund the unutilized amount of the completed projects.  (FREEMAN)