Meta PixelAnnual Audit Report 2024 — Municipality of Santa Catalina — Page 45

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14.7 However, the Municipal Government implemented a monetary incentive scheme,
     which is inconsistent with the above provisions. Section 26, Article 9 of
     Resolution No. 2008-057 dated February 19, 2008, enacting the “Integrated and
     Ecological Solid Waste Management of Sta. Catalina”, provides an incentive
     program to sustain the implementation of the Solid Waste Management (SWM)
     Plan, which includes the following:
      14.7.1 For enforcers – under the anti-littering ordinance, 25 percent of the
             penalty paid/collected will be given to the apprehending enforcer/s
             whether regular, auxiliary, or volunteer;
      14.7.2 Awards, citations, recognition, and commendations;
      14.7.3 Cash prizes to winners of Clean and Green and related contests; and
      14.7.4 Rationalized environmental management fee

14.8 It is emphasized that the incentive program outlined in the Act applies to
     individuals or entities that have implemented exceptional and innovative projects,
     technologies, processes, or activities in reuse, recycling, and waste reduction. The
     allocation of a 25 percent monetary incentive to apprehending officers is not
     included in the incentive schemes specified in the Act. Apart from that, this is
     contrary to the ultimate goal of the incentive program provided in RA 9003, as
     amended, which is to promote and encourage initiatives and innovations to reduce
     solid waste.

14.9 Upon inquiry with the Accounting Office, it was revealed that the enforcer
     responsible for issuing tickets for violations such as littering and non-segregation
     of solid waste was employed under a Job Order (JO) arrangement.

14.10 We also refer Management to Sec. 12 of RA No. 6758, otherwise known as the
      Compensation and Position Classification Act of 1989, which expressly states
      that all allowances are deemed included in the standardized salary except for
      those specifically enumerated in the provision, including those which may be
      determined by the Department of Budget and Management. It clarified that no
      additional allowance shall be granted unless these are specifically authorized by
      law. It shall be noted that the provision of a 25 percent incentive to the enforcer
      could be deemed an additional benefit to its employees and, therefore, subject to
      Sec. 12 of RA 6758. Moreover, it is emphasized that under Section 7.5 of COA
      and DBM Joint Circular No. 2, dated October 20, 2020, the services of the JO
      workers are not creditable as government services. Therefore, they do not qualify
      for the benefits that regular employees receive.

14.11 Due to the foregoing, the allocation of incentives may result in the misuse of
      public funds, diverting resources away from programs aimed at promoting waste
      reduction, recycling, and reuse. Offering incentives to enforcers instead of
      supporting projects that align with the Act’s objectives compromises the overall
      goals of reducing waste and promoting sustainability. Finally, the misdirected
      incentive scheme may discourage LGUs, enterprises, and private entities from



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