COA to capitol: 16 consultants are redundant

CEBU, Philippines - Cebu provincial government’s expenditure of P3.4 million for the wages of 16 consultants is “unnecessary,” the Commission on Audit said.

“Disbursements totaling P3,472,276.07 as payment for consultancy services of the 16 consultants hired by the Province of Cebu may be considered unnecessary expenditures as provided in COA Circular No.2012-003 dated October 29, 2012 because the consultants are givenduties or functions which are redundant to the respective functions of the regularly appointed officials of the Province of Cebu,” said COA in its latest report of Capitol’s 2014 financial operations.

COA defines unnecessary expenditures as those that are “not supportive of the implementation of the objectives and mission of the agency relative to the nature of its operation.”

It said added unnecessary expenditures as “incurrence ofexpenditures” which are “not dictated by the demands of good government,” and those which are “not essential.”

Based on the audit agency’s findings, the Capitol hired 58 consultants with salaries from P1 per year to P42,652 per month. Of this figure, 29 are assigned at the governor’s office or a total of P6.6 million in salaries as of COA’s 2014 audit, 14 at the vice governor’s office (P2.7million in wages), and 15 (or P2.4 million in wages) at the Provincial Board.

Apart from the consultancy fees, COA said, the Capitol also pays a compensation premium equivalent to no more than 10 percent of the compensation rate of the consultancy services rendered during the year, based on the consultant’s performance.

Of the 58 consultants, COA said, 16 are performing “redundant” functions like the consultant on internal control and compliance, a job that can be performed by the provincial accountant or administrator. This consultant has so far earned P267,410 in government funds.

The consultant on employment services can also be done by the public employment service officer while the consultant on social services has similar functions with the social welfare and development officer, said COA. Each of them got an income of more than P200,000 as of last year, it added.

The Capitol also hired a consultant on climate and disaster risk management when the job is already similar to its Disaster RiskReduction and Management Officer, said COA.

These 16 consultants with similar jobs to department heads at the Capitol were able to get an accumulated amount of P3.4 million last year, according to the audit body.

Also, upon review of their accomplishments, the audit team noted that the consultants’ services showed “no direct effect or impact” on the agenda ofthe administration.

“Most of their outputs were mostly to attend meetings but no report or proposal documents that could be used in attaining the Five Star Agenda or the improvement of the services of the agency,” the agency further said.

COA also found out that the 14 consultants under  the Vice Governor’s Office have “somewhat similar accomplishments” which “could be consolidated to just one or two consultants to maximize the consultancy cost.”

The same also goes to those consultants of the PB, whose duties are similar with those in the Vice Governor’s Office, that their reports are “somewhat the same every month,” according to  COA.

“Thus, the propriety of giving them such large amount of consultancy fee may not be advantageous to the government,” it said.

“We recommend that the province minimize the hiring of consultants and should refrain from hiring consultants whose functions can be performed by existing offices to avoid the unnecessary duplication of works/functions,” COA stated. — (FREEMAN)