GOVERNMENT auditors have questioned the deficient documentary support for P266.77 million worth of emergency procurement made by the provincial government of Cavite in 2020.
In the audit report released last June 15, the Commission on Audit said non-compliance with the requirements set under Government Procurement Policy Board (GPPB) Circular No. 01-2020 rendered the regularity and propriety of the transactions doubtful.
While emergency procurement was authorized under RA 11469 or the Bayanihan to Heal as One Act, the procuring entity (PE) was reminded to require suppliers to submit business permits, income tax returns or business tax papers, and Omnibus Sworn Statements (OSS).
For infrastructure projects, a copy of the Philippine Contractors Accreditation Board (PCAB) Licensing and proof of Net Financial Contracting Capacity (NFCC) were additionally required.
The provincial accountant informed the COA that the provincial governor had issued directives to speed up the submission of lacking documents even as the province appealed for some time to complete its compliance, citing the rise of cases of COVID-19 among provincial government employees necessitating more of its personnel opting to work from home.
The audit team noted that Cavite made purchases totaling P266,768,692.54 from April to December 2020 as shown by copies of disbursement vouchers.
However, it noted that “claims were still paid despite non-compliance” with the required documentation.
Among the deficiencies noted were failure to attach the OSS, mayor’s/business permits, inspection/acceptance reports, and price quotations and emergency procurement certifications; attendance sheets and listing of meals for front liners were not signed; undated notices of award and notices to proceed; incomplete or absence of signatures on Bids and Awards Committee resolutions.
“The deficiencies and/or the inability of the Provincial Government to attach the necessary documents cast doubt on the validity and propriety of the disbursements,” the COA said.
Among the biggest transactions included were nine rice delivery contracts awarded to Joey and Gina’s Grain Center totaling P102.955 million wherein auditors said there were no attached mayor’s permit, income tax/business tax returns, notarized OSS, and emergency procurement certification.
