STATUS OF
REFERENCE OBSERVATION RECOMMENDATION IMPLEMENTATION /
RESULTS OF VALIDATION
2022 AAR The validity, accuracy, and 18. Management provide the needed manpower Unimplemented
AO No. 1, existence of the movable Property, requirement for the inventory committee to
This was restated in the
page 24 Plant, and Equipment (PPE) with a complete the physical count of PPE in
audit of CY 2024 accounts
net book value of ₱108,864,165.11 accordance with Section 124 of the NGAS
as AO No. 1.
as of December 31, 2022, could not Manual for LGUs, Volume I, and direct the
be ascertained due to incomplete Accounting and Property Units to reconcile
physical inventory count caused by the results of the physical count with the
a lack of manpower, contrary to related property and accounting records
Section 124 of the New pursuant to the pertinent provisions of COA
Government Accounting System Circular No. 2020-006 dated January 31,
(NGAS) Manual for Local 2020, to ensure the accuracy of the reported
Government Units (LGUs), PPE balances in the financial statements.
Volume I. As a result, the balances
19. The Municipality avail the one-time
of the movable PPE accounts are
cleansing of non-existing or missing PPE
unreliable, affecting the fair
items in accordance with Section 8.0 of the
presentation of these accounts in the
same Circular to ensure that reported PPE
financial statements.
balances are verifiable as to existence,
condition, and accountability.
2022 AAR The account balance of Cash Local 20. The Municipal Treasurer and the Municipal Unimplemented
AO No. 2, Treasury showed unreconciled Accountant trace the differences in the Cash
Management commented
page 26 difference of ₱(63,664.33) between Local Treasury account.
that reconciliation was still
the generals ledger and cash books
21. Henceforth, conduct properly the quarterly ongoing.
contrary to Section 143 (A.7) of the
reconciliation between the treasury records
Local Treasury Operations Manual
as against accounting records in compliance
(LTOM), thereby casting doubts as
with Section 143 (A.7) of the LTOM.
to the reliability of its balance as of
December 31, 2022.
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