STATUS OF
IMPLEMENTATION/
REFERENCE OBSERVATION RECOMMENDATION
RESULTS OF
VALIDATION
Unimplemented
41. The concerned BIR personnel, including
the approving officials, refund the
honoraria received for lack of legal basis.
2014 AAR Productivity Enhancement Incentive (PEI) 42. The local chief executive, together with Unimplemented
AO No. 3, granted to officials and employees of the the Sanggunian, require the refund of the An appeal had been
Page 17 municipality of Sibulan amounting to excess amount granted and discontinue submitted to COA
₱3,120,000.00 exceeded the P5,000.00 the granting of PEI in excess of the Regional Office No. VII.
allowable amount per personnel, resulting allowable maximum rate of ₱5,000.00 per
in a total excess of ₱2,730,000.00, personnel, as provided for in Section 1.a
violating DBM Budget Circular No. 2014- of E.O. No. 80 dated July 20, 2012, to
3 dated December 2, 2014, which avoid overpayment.
implements E. O. No. 80 dated July 20,
2012, hence depriving the municipal
government of utilizing such excess funds
for other lawful purposes.
2011 AAR The Municipality in calendar year 2010, 43. The immediate refund in full of the Unimplemented
granted Productivity Enhancement amounts received in excess of what is An appeal had been
Incentive (PEI) to its officials and authorized in DBM Budget Circular No. submitted to COA
employees at ₱25,000.00 each or a total of 2010-3 totaling ₱1,260,000.00, otherwise, Regional Office No. VII.
₱2,100,000.00 in excess of the maximum a Notice of Disallowance shall be issued
allowable amount of ₱10,000.00 per in this regard.
employee as stipulated in DBM Budget 44. Henceforth, we also enjoin the Municipal Unimplemented
Circular No. 2010-3 dated November 30, Accountant and the Municipal Budget
2010, thus, resulting in irregular and Officer to be cognizant of the pertinent
excessive disbursements of provisions of law on the grant of
₱1,260,000.00. allowances/incentives and not to certify
disbursements which run counter to the
intents and purposes of the regulations
prescribed by appropriate and concerned
government agencies such as the
Department of Budget and Management.
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