THE Commission on Audit is threatening to disallow the use of P2.9 million from Cebu City’s Special Education Fund (SEF) for various activities of public school teachers.
Of the amount P1.2 million was spent on door prizes during the December 15, 2012 Teachers’ Day Celebration, while another P1.7 million was spent on various activities in 2013.
“The above excessive and unnecessary disbursements could have been used to defray other operating expenses or finance priority programs / projects of the Local School Board (LSB),” COA said in its 2013 audit report.
The city government also failed to transfer P153 million from the general fund to the SEF “resulting in the non-utilization of funds for its intended purposes.”
City Hall collected a total of P236.1 million in SEF last year but only managed to transfer P83 million or 35 percent of the actual collection into the city’s SEF account.
This has been the second time that the COA called the city’s attention on the misuse of the SEF.
In 2012, COA declared as “illegal” and recommended the refund of the P56.3-million cash assistance that Mayor Michael Rama released to teachers of public schools in the city at P10,000 each.
No refund from City Hall has been paid to date and the COA is still waiting for the explanation of Mayor Rama, in his capacity as LSB chairman, on the legality of the expenditure.
The 2013 report reiterated its call for an explanation from Rama for the questioned 2012 expense. “In the event that no satisfactory explanation can be given, hold these officials personally liable for these illegal disbursements,” said the audit report.
Extravagant
Meanwhile, auditors said in their 2013 audit report that the purchase of P1.2 million worth of appliances from Asian home Appliance Center Co. Inc. which were distributed as door prizes during the 2012 Teachers’ Day Celebration was “extravagant” and “excessive”.
“There was no document to support the legality of the disbursement,” said the audit report.
The SEF represents one percent of the assessed value of real properties in the city and is set aside for the LSB. Among the mandated uses of the SEF are the operation and maintenance of public schools, construction and repair of school buildings, purchase of facilities and equipment, educational research and purchase of books and periodicals among others.
“We recommend that the City and Local School Board who approved the said transaction be held liable and be required to refund the cost of the items purchased,” it added.
Auditors are asking city officials to always subscribe to audit and other government rules on the use of its SEF.
Although the transaction was made in 2012, the COA’s disapproval of the expense was incorporated in its 2013 audit report because actual payment for the purchase was made only on January 14, 2013.