THE Commission on Audit (COA) said the Office of the Vice President (OVP) failed to follow processes and procedures for the purchase of property and equipment for its satellite offices amounting to more than P600,000.
In its 2022 annual audit report released on June 29, the COA said the OVP “failed to fully observe the processes and procedures” required under the Procurement Law in the purchase of its Property Plant and Equipment (PPE) and Semi-Expendable Equipment in satellite offices totaling to P668,197.20.
"The immediate establishment of satellite offices without enough equipment to operate led to management’s decision to resort to immediate purchase of PPE and semi-expendable property using the cash of its officers, which the OVP subsequently paid through reimbursement,” the COA report read.
“Although a quotation was attached ensuring that the lowest price was obtained in the market, OVP’s failure to undergo these purchases in processes and procedures required under RA 9184 and its IRR defeats the purpose of the Procurement Law, which is to standardize and to improve transparency in the procurement process,” it added.
The OVP, in response, said the immediate establishment of the satellite offices was made due to the agency’s intention to immediately expand its services to various provinces.
The COA said the OVP agreed to stop procurement transactions on the basis of reimbursement, strictly adhere to the provisions of the Procurement Law, plan and schedule procurement of PPE and Semi-Expandable Property, and standardize and streamline processes on procurement, handling and reporting of acquired properties and equipment.
The OVP has set up satellite offices in the cities of Dagupan, Bacolod, Cauayan in Isabela, Cebu, Cotabato, Tacloban, Zamboanga, Davao and Tandag in Surigao del Sur province in a bid to make its services more accessible to the public.
The COA also noted the lack of internal guidelines and processes in handling, monitoring and reporting in-kind donations that resulted in the delay in the submission and posting of required reports, and lack of supervision in the receipt and utilization of in-kind donations in the OVP satellite offices.
The COA report also revealed that the OVP had spent its controversial P125 million confidential funds for 2022. (SunStar Philippines)