Friday, September 26, 2008 Cebu City asks COA: Rethink limits on giving aid to NGOs
WORRIED about the implications of some audit rules on the City Government’s partnership with nongovernment organizations (NGOs), the Cebu City Council asked the Commission on Audit (COA) to reevaluate and reassess their regulations.
Almost a year after COA Circular 2007-001 was approved and implemented, the council took an official stand on the matter during their regular session last Wednesday.
In the resolution, the council said that COA should review the policy prohibiting local government units (LGUs) from giving financial aid to NGOs whose officers are related to local officials.
Councilor Edgardo Labella said the circular is only a duplication of Republic Act 3019, or the Anti Graft and Corrupt Practices Act, and Republic Act 6713, or the Code of Conduct and Ethical Standards for Public Officials and Employees.
“While we recognize the nobility of the purpose of the circular, which is to ensure a graft-free usage of government financial assistance to NGOs and POs, we are equally apprehensive about the debilitating effects of the said circular on the City’s partnership with NGOs in the sphere of good governance,” he said.
Labella delivered a privilege speech to express his stand on the circular, which the council adopted as a resolution. A copy of the resolution will be submitted to the COA 7 regional office.
Protection
The council said that the blanket prohibition against any relationship within the fourth civil degree of consanguinity or affinity between the NGO officers and government officials involved in the processing and disbursement of funds is an “unduly restrictive expansion of existing safeguards against the abuse of personal relationships with public officials to get public funds.”
RA 3019 and RA 6713 already provide sufficient protection against abuse by a public official of the powers of his office to get for himself or for his relatives financial benefits from transactions or contracts, Labella said.
“It has to be pointed out to COA that it is not the relationship per se that makes a transaction between an NGO and the LGU a corrupt or prohibited transaction, but the additional element of financial pecuniary interest or advantage, direct or indirect, that the official of the NGO possesses or derives from the transaction,” he said in his speech.
Record
Besides, Mayor Tomas Osmeña and Vice Mayor Michael Rama said earlier that the NGOs being assisted by the City have a track record of providing services to different sectors.
Among the NGOs getting financial assistance from the City are the Cebu City Task Force on Street Children, the Sinulog Foundation Inc,. Cebu Pistol and Rifle Association and Cebu Investments and Promotion Center, among others. (LCR)
