10.8. The Auditor observed that Management did not implement the following programs
in CY 2024: Training Workshop for Not Attending School Pantawid, Formulation
of GAD Database System, Family Planning, Provision for Solo Parent, and Conduct
of Advocacy on Reproductive Health-Trainings/Seminars/Orientation on Family
Planning. These programs should have been carried out using the Municipality’s
local funds.
GAD Splitting of Contracts
11. Procurement of various medicines and medical supplies totaling ₱2,235,426.25
charged against the GAD Fund were split into several requisitions and procured
through either Shopping or Small Value Procurement (SVP), contrary to Sections
10 and 54.1 of the 2016 Revised Implementing Rules and Regulations (IRR) of R.A.
No. 9184, thereby bypassing the requirement for competitive bidding and casting
doubt on whether the prices obtained were the most reasonable and advantageous to
the Municipal Government.
11.1. Section 10 of Rule IV of the Revised IRR of R.A. No. 9184 states, “All
procurement shall be done through competitive bidding except as provided in Rule
XVI of this IRR.”
11.2. Further, Section 48.1 of the same IRR provides, “Subject to the prior approval of
the HoPE, and whenever justified by the conditions provided in this Act, the
Procuring Entity may, in order to promote economy and efficiency, resort to any of
the alternative methods of procurement provided in this Rule. In all instances, the
Procuring Entity shall ensure that the most advantageous price for the Government
is obtained.”
11.3. Furthermore, Section 48.2 of the IRR provides that “In accordance with Section 10
of this IRR, as a general rule, the Procuring Entities shall adopt competitive bidding
as the general method of procurement and shall see to it that the procurement
program allows sufficient lead time for such competitive bidding. Alternative
methods of procurement shall be resorted to only in highly exceptional cases
provided for in this Rule.”
11.4. On the other hand, Section 54.1 of the IRR says that, “Splitting of Government
Contracts is not allowed. Splitting of Government Contracts means the division or
breaking up of GoP contracts into smaller quantities and amounts, or dividing
contract implementation into artificial phases or sub-contracts for the purpose of
evading or circumventing the requirements of law and this IRR, particularly the
necessity of competitive bidding and the requirements for the alternative methods of
procurement. xxx”
11.5. In CY 2024, the Municipality procured various medicines and medical supplies
totaling ₱2,235,426.25, charged against the GAD Fund (details in Appendix 4).
Upon reviewing the Purchase Requests (PRs), Purchase Orders (POs), and other
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