Town “excessively” spent P2.3M for festival – COA

CEBU, Philippines - The Commission on Audit has casted doubts on the expenses incurred for the Pamuhuan Festival 2013 of the municipality of Pinamungajan amounting to P2.3 million, which was considered as “lavish and excessive.”

In its 2013 audit report, COA said the disbursement of the said amount deprived other priority projects of the municipality and is likewise doubtful because these were not supported by the required documents, thus “the legality/validity of the claims could not be ascertained.”

Item No. 5 of COA Circular 2012-003 dated October 29, 2012 states that “excessive expenditures” signifies unreasonable expense or expenses incurred at an immoderate quantity and exorbitant price. It also includes expen-ses which exceed what is usual or proper, as well as expen-ses which are unreasonably high and beyond just measure or amount.  They also include expenses in excess of reasonable limits.

The fundamental principles provided under Section 4(6) of Presidential Decree 1445, known as the State Audit code of the Philippines, states that, “Claims against government funds shall be supported with complete documentation.   Submission of documents and other evidences are necessary to establish the validity and legality of the claim for payment.”

In 2013, the municipality appropriated P3 million for the holding of cultural activities under the Office of the Mayor. The three-day Pamuhuan Festival held in May 2 to 4 incurred a total expense of P2,306,500.

Of the total expenses incurred, the biggest amount of P1,275,500 went to the prizes followed by the payment of professional fee for historical and cultural presentation of the festival in the amount of P650,000.

Other expenses include the payment of LCD rental and wide screen, video ren-tal/editing/online editing, mobile disco services, sound and light services, photography, funshots, pictorials and pageant night, stage decoration, rental of tables and chairs, snacks, trophies, programs/tickets/invitation, and tarpaulins.

Post audit of the disbursement vouchers disclosed that the municipality also spent P650,000 for the hiring of actors and actresses to attend and perform for one day, which was considered excessive.

It was also observed that the judges for the different activities were given cash amounting to P30,500 as evidenced by a payroll.

“The expenses for this type of events could be minimized and unnecessary expenses could have been avoided and would have meant greater savings for the municipality,” COA said.

COA recommended that the management exercise due prudence to protect and conserve government funds and that unnecessary and extravagant expenditures are prevented. (FREEMAN)