ILOILO City – The Commission on Audit (COA) has flagged the Guimaras Provincial Government for its failure to complete at least 16 projects funded through the 20 percent development fund amounting to P163.329 million.
In its annual report, COA noted that the delays stemmed from a lack of proper planning before the projects were included in the annual investment program.
This oversight resulted in non-compliance with Joint Memorandum Circular (JMC) No. 1, dated November 4, 2020, issued by the Department of Budget and Management (DBM), Department of Finance (DOF), and Department of the Interior and Local Government (DILG).
COA pointed out that this failure hindered the optimal use of the DF to address the socio-economic needs of Guimaras residents.
Under Section 3.2.3 of the JMC, LGUs must ensure that projects funded by the 20% DF are well-planned, procurement-ready, and implementation-ready.
The fund is meant to support priority development projects aligned with local, regional, and national development plans.
COA stressed that the non-completion of projects hindered the effective use of the fund to meet the socio-economic needs of Guimaras residents.
It urged the provincial government to strengthen project planning and implementation to ensure compliance with national policies and the efficient use of public funds.
According to COA’s annual report, only two projects costing P4.694 million were completed in the current year.
An additional four projects were completed using continuing appropriations, totaling P4.968 million.
Eight projects were partially completed, with completion rates ranging from 3 percent to 95 percent amounting to P64.853 million.
In addition, about eight projects, worth P98.476 million, were not implemented at all.
COA cited several reasons for the delays, including late procurement processes, work suspensions due to adverse weather conditions, road right-of-way issues, lack of an overall development plan.
One project was also terminated because it was already funded by the Department of Public Works and Highways (DPWH).
COA emphasized that the non-completion and delayed implementation of projects hindered the effective use of public funds, violating DBM-DOF-DILG Joint Memorandum Circular No. 1 (2020), which requires well-planned, procurement-ready, and implementation-ready projects.
COA noted that had the Guimaras Provincial Government conducted more effective and knowledgeable project planning, it could have achieved higher project implementation rates and optimized the use of the 20 percent development fund.
COA acknowledged the Guimaras provincial government for its commitment to governance and the collaborative efforts of various offices in implementing projects under the 20 percent development fund.
However, COA emphasized that better planning could further enhance project completion rates and allow for more initiatives benefiting the province’s social, economic, and environmental development.
To improve efficiency, state auditors recommended that the Guimaras Provincial Government prioritize the completion of unfinished or delayed projects to achieve their intended impact.
The provincial government was urged to conduct thorough planning before including projects in the Annual Investment Program (AIP).
The auditors also urged the Province to ensure comprehensive project details are properly identified to guarantee that only procurement-and-implementation-ready projects are funded to prevent delays.
COA stressed that strategic planning and project readiness are key to maximizing the 20 percent development fund and ensuring that public funds are effectively utilized for the benefit of Guimarasnon./PN
