THE Cebu provincial government disposed of close to seven hectares of provincial lots even without the required approval from the Commission on Audit (COA), state auditors said yesterday.
Some of the lots were disposed as far back in 2002, the COA said in its Annual Audit Report (AAR) of the province’s financial transactions.
Under Section 380 of the Local Government Code, COA approval is needed in disposal of real properties of local governments.
“This requirement is also provided in Section 197 (Rule 20) of COA Circular No. 92-386 which allows local government units to dispose of real estate and their improvements through sale to other government or private entity,” the COA report said.
About 20 lots were identified by the COA in its report with a total area of 68,224.58 square meters and a total value of P213,779,607.56.
Based on records of the Provincial General Services Office (PGSO), some of the 20 lots were identified as part of the province-owned lots located within Cebu City that were occupied by settlers under Provincial Ordinance No. 93-1.
The lot dispute remained unresolved by the province and the Cebu City government.
Out of the 20 properties, it was found out that 10 are part of the 93-1 lots.
The 93-1 lots involved are located in Barangays Busay, Mabolo, Kasambagan, Capitol Site, and Kalunasan — all in Cebu City.
The disposals were covered by an agreement between the province and the concerned home owners associations as well as a resolution from the Provincial Board (PB) allowing the transfer of the lot ownership.
“Henceforth, we recommend for management to secure approval from the COA relative to the disposal of real estate and their improvements prior to the disposal of such properties,” the COA report read.
The report also stated that Provincial Administrator Mark Tolentino informed the COA that they have taken steps to review the relative documents of the disposal of the properties reviewed by the COA.
The provincial government said it wants to identify the officials concerned with the disposal of the properties. Tolentino said they would require them to explain and submit documents on the lots.
COA also quoted the provincial government as agreeing to comply with their recommendations in future disposal of the province’s real estate properties.