CEBU, Philippines - Talisay City Hall failed to pay its medicine and hospital bills covered by the Health Card Program to the Talisay District Hospital last year, which resulted to understating its accounts payable and related expenses accounts.
In its 2011 annual audit report, the Commission on Audit said the city government has unrecorded bills from the Talisay District Hospital totaling of P4,559,882.75 as of December 31.
State auditors pointed out Section 119 of the Presidential Decree No. 1445, which provides that “all lawful expenditures and obligations incurred during the year shall be taken in the accounts of that year.”
The city’s health card program is one of the financial assistance given to its indigent constituents.
But records of the Talisay District Hospital showed that the city government has an accumulated unpaid obligations of P4,559, 882.75.
State auditors said that accumulated unpaid bills resulted due to the non-availment of benefits from Philhealth.
It was also noted that the city government paid P2 million in 2011 for the Philhealth premiums of its indigent constituents.
When asked why Philhealth benefits were not availed of first before using city’s health cards, the city government and the district hospital administration said that it was easier for the beneficiaries to avail of the latter because the paper requirement is easier to submit than those of Philhealth.
But the state auditors pointed out that the practice is a waste of government funds.
“The city should have required the availment of Philhealth benefits before the use of its health cards in order to maximize use of the funds provided by the city for its health services,” the report read.
The COA reminded city budget officer Edgard Mabunay to include in its yearly appropriation the correct amount of medicine and hospital bills under its Health Card program.
Also, the state auditors told city social welfare Felipa Solana to see to it that all the indigent beneficiaries should first avail of Philhealth benefits before they are given health cards to reduce the expenditures of the program. (FREEMAN)