Check No. Particulars Amount
757331 Accountant Cellphone 19,200.00
Total ₱ 223,127.04
10.6 Our review of the supporting documents for these disbursements revealed that no
ICSs were issued to the respective end users. Furthermore, the required reports
and registries, as listed above, were neither prepared nor submitted to this Office
by the responsible departments/offices, as mandated. This lack of documentation
may affect the proper monitoring, accountability, and compliance with
established financial and inventory control procedures.
10.7 These discrepancies undermine the fairness and reliability of the financial
statements, potentially affecting stakeholder decision-making and resulting in the
misrepresentation of the financial information presented to users.
10.8 We recommended and the Municipal Accountant agreed to ensure that semi-
expendable properties are properly recorded under the appropriate Semi-
Expendable Inventory accounts, rather than under Other Supplies and
Materials Expenses. Proper accounting treatment must be observed by
preparing the required Journal Entry Vouchers (JEVs) and utilizing the
prescribed new accounts and illustrative entries found in Annexes B and C
of COA Circular No. 2024-006.
10.9 We further recommended and the Municipal Treasurer and Property/Supply
Office agreed to ensure that Inventory Custodian Slips (ICS) are issued to end
users upon the receipt of semi-expendable items to establish accountability, as
required under Section 3.4 of COA Circular No. 2024-006. The Property Unit
must also maintain the complete set of prescribed forms, registries, and
reports, such as the:
10.9.1 Registry of Semi-Expendable Property Issued (RegSPI)
10.9.2 Report of Semi-Expendable Property Issued (RSPI)
10.9.3 Semi-Expendable Property Card (SPC)
10.9.4 Semi-Expendable Property Ledger Card (SPLC)
10.9.5 And other related forms outlined in Section 4.7 of COA Circular No.
2022-004
10.10Lastly, we recommended and Management agreed to strengthen internal
controls by institutionalizing the required inventory monitoring and
reporting processes, assigning specific personnel to maintain the necessary
records, and conducting regular training and orientation on COA Circular
Nos. 2022-004 and 2024-006 to ensure uniform understanding and
implementation.
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