THE Commission on Audit (COA) has thrown out a petition for payment of unpaid work totaling P8.39 million filed by a private supplier of construction materials and manpower against the provincial government of Ifugao.
In an en banc decision, COA held that it cannot give due course to the claim filed by Webber Chuccar since the obligation is on the part of a project contractor and not of the province.
“This Commission dismisses the claim for lack of jurisdiction. The jurisdiction of this Commission over money claims is limited to those due from or owing to the government or any of its subdivisions, agencies and instrumentalities,” it said.
Records showed that Ifugao awarded the P186.93 million farm-to-market road project to LSD Construction and Supplies on October 20, 2017. The project was supposed to be completed within 639 days.
However, the contractor posted negative slippages of delays on sections of the road project, prompting the provincial government to terminate the contract on September 23, 2019.
At the time of termination, the contract was only 28.49 percent accomplished, which entitled LSD to payment amounting to P44.6 million.
The COA noted that the project term had already expired, LSD failed to comply with conditions set to continue the contract, the project had posted slippage well beyond the maximum allowable limit of 15 percent, and no variation order was approved.
The audit team for the Cordillera Administrative Region (CAR) said Chuccar has no personality to file a claim against the province since there was no contract between him and the LGU.
It added that the supposed work rendered by Chuccar’s firm is chargeable against LSD Construction.
It likewise rejected charging the claim against the retention money posted by LSD since it was already rightfully forfeited in favor of the province after conditions for its release were not complied with.
“The jurisdiction of this Commission cannot extend to claims against private individuals such as that of Mr. Chuccar against LSD in this case, it appearing that the juridical tie is between Mr. Chuccar and LSD and not between the former and the province,” the COA said. The ruling was signed by COA chairperson Gamaliel Cordoba and Commissioners Roland Café Pondoc and Mario Lipana.