8.4 This deficiency was highlighted in the CY 2021 AAR, but Management has yet
to fully address the concern.
8.5 The City Agriculturist has submitted the required reports using the prescribed
templates to the CGSO. The CGSO and the CAO will coordinate to reconcile the
records accordingly.
8.6 We recommended and Management agreed to require:
a. The Inventory Committee and the CGSO to prioritize the reconciliation
of the RPCPPE with the accounting records;
b. The City Agriculturist to conduct an inventory of biological assets and
render a report thereon, including the fair market value of each stock, to
the City Accountant for proper recording in the books of accounts and to
henceforth, keep a systematic record of births, deaths, and disposal of
breeding stocks. In case of death or disposal, he shall facilitate the request
for relief of accountability in accordance with Sections 151 and 152 of
COA Circular No. 92-386 dated October 20, 1992, for dropping the
account from the books; and
c. The City Accounting Office to maintain and update the WOABSLC
monthly using the reports submitted by the City Agriculturist and
require, as well, the CGSO to maintain the WOABSPC as a reference for
identifying each animal in the conduct of physical inventory as well as for
reconciliation with accounting records.
Donated lot of undetermined value were not yet recorded in the books of accounts
9. One hundred twenty-one (121) parcels of land of undetermined value, acquired
through donation, were not recorded in the books due to delays of concerned
offices in providing the City Accountant with the Deeds of Donation, valuation
reports, titles, and other supporting documents, contrary to Section 63 of PD No.
1445, thereby understating both the asset and equity accounts as at year-end.
9.1 Section 63 of PD No. 1445, otherwise known as the Government Auditing Code
of the Philippines, partly provides that government property shall be taken up in
the books of the agency concerned at acquisition cost or at appraised value.
9.2 The Audit Team reviewed the RPCPPE as of December 31, 2024, submitted by
the CGSO. It was observed that 121 parcels of land acquired through donations
were not yet recorded in the City's books of accounts (see Appendix 10).
9.3 The aforementioned properties have already been issued corresponding titles
under the name of the City. Moreover, the donated properties are designated for
road lots, road rights-of-way, and sites for government structures.
9.4 An interview with personnel from the CAO confirmed that these real properties
remain unvalued, preventing their inclusion in the City's books of accounts.
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