Mike hits COA for labeling City Hall deals as ‘illegal’

Cebu City Mayor Michael Rama called on the Commission on Audit to be careful in labeling transactions entered into by the city government as ‘illegal’ in the absence of any court ruling declaring them as such.

“If there is something that COA would want (us to do), we will be changing.  We will be correcting, but we should not be affronted,” an irate Rama told reporters in yesterday’s press conference.

He also asked City Hall beat reporters to not just focus on the audit report but to also write on the achievements of his administration which he would detail in his state of the city address next month.

Rama added that the Cebu City government can no longer function if it adheres to the many restrictions imposed by COA especially since most audit rules were passed years back.

“Will they (COA) be willing to take over City Hall? Of course, they will have to be elected first. They’re not elected and yet they dictate on how the funds should be spent,”  Rama added.

The COA mentioned 44 audit observations after their review on the city’s 2013 financial transactions.

These include the “highly questionable” release of the P20,000 calamity assistance to city officials and employees last December and overpricing in the purchase of P68.3 million worth of gasoline and another P11.6 million worth of medical supplies.

COA also questioned the use of P2.9 million from the city’s Special Education Fund (SEF) for door prizes during the 2012 Teachers Day celebration and trainings last year, saying these were “extravagant” and “unnecessary.”

COA also asked Rama to direct all of the city’s accountable officers to settle unliquidated cash advances amounting to P101 million.

Rama mentioned the adverse audit reports during a message he delivered after the flag raising ceremony held at the Plaza Sugbu yesterday morning.

He also discussed it in a meeting with department heads.

“I told my department heads that enough is enough,” Rama said, adding that he told them to respond to the audit observations.

He added that he would not allow COA to make him a “collector” of unliquidated cash advances which include those made during the time of his predecessor, former mayor Tomas Osmeña.

Rama said the P20,000 calamity assistance released to city officials and City Hall employees on December 2013 did not go to his pockets.

The assistance which the city gave to the teachers was also the city’s way of helping them, the mayor said.

“Nothing is illegal if you are bringing service to the people who are poor,” Rama said.

Asst. City Legal Officer Jose Daluz III said the COA observations can still be corrected with the city’s submission of documents./ With reports from Correspondent Edison delos Angeles