P26-M gov't funds wasted on MMDA's urinals - COA

MANILA, Philippines - The Commission on Audit (COA) has called the Metropolitan Manila Development Authority's (MMDA) acquisition of urinals as "wastage of government funds" as more urinals were acquired when some of those earlier purchased remained uninstalled.

In a report signed by COA Director IV Rizalina Mutia, the COA said the MMDA started acquiring 1,040 units of male urinals worth P26.25 million between 2003 and 2009. Although 477 units were subsequently installed, these units were not properly maintained.

Meanwhile, the balance of 563 units costing P12.18 million "remained uninstalled and improperly stored, some of which are already dilapidated being exposed to the elements; thereby defeating the objective of the program and resulting in wastage of government funds."

The report was dated June 21, 2012.

COA also said that out of the 14 cities in Metro Manila listed as requiring installation of male urinals, 10 cities such as Quezon, Valenzuela, Malabon, Mandaluyong, Makati, Marikina, Pasig, Taguig and Las Piñas were short of the required urinals .

"It appears that there was no immediate or urgent need for procuring such a number of urinals as evidenced by a big number of uninstalled units. We noted that there was already a list or identified locations where said urinals are to be placed. It seems that the list or the plan was not followed/implemented; hence, resulting in the non-installation or excess of 563 units with an aggregate amount of P12.18 [million]," COA said.

The auditing agency also said the procurement of the male urinals failed its purpose of promoting sanitation as these urinals emitted foul smell.

"The agency failed to employ proper maintenance to keep the urinals clean and free from foul odor," COA said.

The COA told the MMDA to be more prudent in procuring items, determine the need for the remaining urinals and undertake proper maintenance and cleanliness of these units.

The COA also told the MMDA to immediately collect the P10.522 million a contractor owes it for failure to complete the North Transport Terminal Component of GMA-MTS in the past eight years.

It called the MMDA's attention to the difference in the amount it said that local government units owe it and the amount that the LGUs confirmed owing the MMDA.

Although the MMDA listed its collectibles from LGUs amounting to P1.097 billion, the COA found a difference of P3.141 billion between what MMDA said it would still be collecting, adjustments the MMDA made and what the LGUs confirmed they still owe the MMDA.

The MMDA is authorized to collect mandatory statutory contribution of five percent of the gross revenue of the preceding year, net of Internal Revenue Allotment of each LGU to be paid monthly to the MMDA.

The COA also found that the MMDA failed to comply with the government's rule on procurement.

"The MMDA despite prior year's observation still resorted to procurement of various supplies, materials and equipment in the total amount of P10.12 [million] [through] reimbursement contrary to RA 9184 otherwise known as the Government Procurement Act Law," COA said.

In 2011, COA said, the MMDA acquired equipment without public bidding. These equipment include four units of search and rescue cameras, two units of speed radar guns and eight units of used motorcycles.