THE University of Science and Technology of Southern Philippines (USTP) have spent nearly P1.5 million during quarterly meetings of the Board of Regents (BOR) from 2016 to second quarter of 2017 which was found to be "extravagant expenditures," the Commission on Audit (COA)-Northern Mindanao annual audit report said.
In the 2017 annual audit report, the COA observed that the expenses for meals, snacks, room accommodations as well as transportation fares totaling to P1.4 million incurred during the quarterly finance committee and BoR meeting held in Manila are deemed "extravagant expenditures."
The report was received by the school last June 25.
Members of the BOR met in Manila for six times from March 2016 to July 2017.
"Except for the airfare, all other expenses of the university were paid thru cash advance by the BOR secretary Mr. Clint Pacana. Of which P607, 007 or 79 percent of the transportation expenses pertains to the airfare thru Majenta Travel Services and Globalhype Travel Services, for the university personnel and BOR members who are stationed here in Cagayan de Oro," the COA report said.
The COA observed that majority of the attendees for the meeting are from the university while there were only four BOR members who are from Manila.
Also, there are about seven to nine university officials or employees who attended the quarterly board meeting to assist or as presenter of any of the agenda of the meeting.
"So it is uneconomic to pay for air transportation of at least 17 individuals going to Manila when we can have requested the four individuals from Manila to come to Cagayan de Oro. Needless to say those expenses (food, accommodation and others) in Manila are relatively more expensive than in CDO," the report added.
The COA observation cited the board meeting last February 17, 2017 held in the city where the university only spent P79,542 far more economical than the average expenditure of P285, 594 when the board meetings are held in Manila.
"From the standpoint of economy and efficiency, the foregoing transactions were declared extravagant expenditure, pursuant to the criteria set in COA circular no. 2012-003 dated October 29, 2012. It likewise rebounds to sacrificing funds for other priority needs of the agency and exposing public funds to wastage," the COA said.
"Had the pre-board, board and finance committee meetings been held in a much accessible venue and nearby places, it could have been conveniently attended by the participants without incurring greater costs and unnecessary travel time," the COA added.
The COA-Northern Mindanao has recommended that the management "exercise prudence and observe economy measures or restraint in spending government funds to ensure that government resources are used equitably and wisely."
However, the university explained that the choice for the venue of these meetings is neither within the control of the university management. The control on the venue and the schedule is within the prerogative of the chairperson of the Commission on Higher Education (CHED) having the legal authority to do so being the BOR's presiding chairperson.
"In most occasions, the university has strongly made representation to have the meetings held in Cagayan de Oro but the chairperson's schedule did not allow," the university said.
"With the appointment of the new CHED chairperson, and consequently the BOR chair, we recommend that the management make re-representation to ask for any remedy on the costly quarterly pre-board, finance committee and board meetings that are usually conducted in Manila," the COA said.