Monday, March 10, 2008 COA okays release of CenteCom funds By Rimaliza Opiña
THE Baguio Centennial Commission (CenteComm) and the local finance committee (LFC) could heave a sigh of relief following the Commission on Audit's (COA) clarification on the disbursement of funds for the group.
The LFC earlier hesitated to authorize the disbursement of funds to the CenteComm for fear that auditing procedures might disallow the release of funds to a non-government organization (NGO).
COA Regional Director Josephine Tilan said the City Government could disburse funds for CenteComm as it was created purposely to assist the City Government in its centennial celebrations next year.
Tilan issued the clarification after the Councilor Fred Bagbagen, representative of the City Council to the CenteComm, said if the LFC's basis for not releasing funds is the COA memorandum circular mandating NGOs to, among other requirements, submit financial statements for the last three years, then the CenteComm might not qualify, and the repercussions will be an impairment of the ongoing plans for next year's celebration.
But the COA official clarified that the memorandum circular used as basis by the LFC does not apply in this case.
"Notwithstanding the fact that the appointed officials are private persons, the BCC was created by the government and not voluntarily organized through people's initiative. As the programs and activities by the CenteComm for the event for which it was created is only commemorated on a century basis, the provisions of COA Circular 93-006 do not apply," said Tilan.
Formed by former Baguio mayor Braulio Yaranon, the CenteComm was created to conceptualize the theme and direction of the centennial celebrations next year.
Yaranon then assured P1.5 million for the purpose. The LFC initially allowed the release of the P500,000 for CenteComm but later on withheld the disbursement citing Circular 93-006.
Tilan added that in her February 20 letter to Bagbagen, "the centennial celebration being a government activity or a special project for a specific purpose, the disbursement of funds for activities in relation to the celebration will be made through the City Treasurer's Office subject to the usual auditing and accounting rules and regulations. All the activities which will involve the disbursement of public funds will still be under the supervision of the City Government."
She also reminded no cash advances can be done by any member of the CenteComm, as this is disallowed by the same COA circular.
The CenteComm, meanwhile, was advised to liquidate P500,000 initially given to it.
