EXECUTIVE SUMMARY
Introduction
Republic Act (RA) No. 9409, converting the Municipality of Guihulngan into a component
city, lapsed into law on March 29, 2007, after President Gloria Macapagal-Arroyo failed to
sign it. It was ratified on July 14, 2007. Fifteen months later, however, Guihulngan lost its
cityhood, along with 15 other cities, after the Supreme Court of the Philippines granted a
petition filed by the League of Cities of the Philippines declaring the cityhood law (RA No.
9409), which had allowed the town to acquire its city status, unconstitutional. On December
22, 2009, the Supreme Court reversed its earlier ruling, and the cityhood status of Guihulngan
was restored. The League of Cities filed a motion for reconsideration. However, the Supreme
Court decided with finality in December 2010, declaring the cityhood law as constitutional.
Thus, together with the 13 other LGUs aspiring for cityhood, Guihulngan is now officially
recognized as a newly created city. It has a total land area of 42,275 hectares and a population
of 102,656, based on the CY 2020 census. It is presently classified as a third-class city.
Pursuant to RA No. 7160, known as the Local Government Code of 1991, Guihulngan City,
like other local government units, enjoys total independence in managing, deciding, and
planning its own administration, fiscal, and development affairs in conformity with the national
government’s thrust for sustainable social and economic growth.
As of 31 December 2024, it had a personnel complement of 3,535, as shown below:
Nature of Appointment to Office Number
Elective Officials 14
Permanent Positions 389
Temporary 1
Coterminous 8
Casual Plantilla 145
Contract of Service 81
Job Orders 2,897
Total 3,535
Audit Objectives
The objectives of the audit are to (a) ascertain the fairness of presentation of the financial
statements; (b) ascertain the propriety of financial transactions and compliance with prescribed
rules and regulations; (c) recommend agency improvement opportunities; and (d) determine
the extent of implementation of prior years’ audit recommendations.
i
