should be aligned with the issued guidelines of COA in the prevention and
disallowance of irregular, unnecessary, excessive, extravagant, and
unconscionable expenditures.
13.14 We recommended that Management exercise prudence when charging
expenses to Advertising Expenses by limiting activities relating only to the
issuance of the agency’s guidelines, rules, and regulations, conducting
public bidding, and disseminating important public announcements in
accordance with COA Circular No. 2024-005 dated March 14, 2024.
13.15 Furthermore, we recommended that Management evaluate whether all
these expenditures outside the definition of Advertising Expenses are indeed
necessary and meet the documentary requirements mandated in the same
Circular.
13.16 The City Administrator commented that they would remind Councilors to focus
solely on the programs of the City Government when invited to participate in
radio programs partnered with Bayawan City. The City Mayor also explained
that the segment where the Councilors were given airtime was connected to their
Character First Program. However, the City Accountant and the City Mayor
agreed to remind them to focus on the city's programs and important activities.
Unliquidated cash advances – ₱276,549.96
14. Cash advances totaling ₱276,549.96, of which ₱49,052.32 has been outstanding for
over 10 years, remained unliquidated as of December 31, 2024, despite
management’s efforts to compel the concerned officials and employees to effect
settlement as required under COA Circular No. 97-002, dated February 10, 1997,
thus the related receivable and expense accounts in the financial statements are
still not fairly presented. Moreover, the unutilized government funds in the
possession of the accountable persons are exposed to the risk of loss or
unauthorized use.
14.1 Section 5.1 of COA Circular No. 97-002, dated February 10, 1997, requires the
accountable officer (AO) to liquidate his/her cash advances as follows:
14.1.1 Salary, wages, etc. – within 5 days after each 15 day/end of the month pay
period.
14.1.2 Petty operating expenses and field operating expenses – within 20 days after
the end of each year, subject to replenishment as frequently as necessary
during the year.
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