2.10. Due to the foregoing, the existence and condition of these biological assets cannot be
ascertained. Furthermore, the said accounts were not reported at fair value less cost
to sell as of December 31, 2024, in consonance with the aforementioned IPSAS,
thereby not presenting fairly the balances of the Breeding Stocks and Plants and Trees
accounts.
2.11. We recommended and the Municipal Agriculturist and OIC-MENRO agreed
to:
2.11.1. Conduct an inventory of breeding stocks and plants and trees as of the
end of each year and thereafter render a report including the fair market
value of these items to the Municipal Accountant, for proper recording
in the books of the LGU; and
2.11.2. Keep a systematic record of the Municipality’s breeding stocks and trees,
reporting births, deaths, and disposal, and in case of death and disposal,
facilitate request for relief of accountability in accordance with COA
Circular No. 92-386 dated October 20, 1992, to appropriately drop the
amount from the books.
2.12. We further recommended and the Municipal Accountant agreed to further
disclose the composition of the Biological Assets account in the Notes to the
Financial Statements in accordance with IPSAS 27 to provide relevant
information that may affect the fairness of the presentation of the FS.
B. OTHER FINANCIAL-RELATED ISSUES
Collections Not Deposited Intact
3. Collections amounting to ₱296,697.38 as of December 31, 2024, were not deposited
with the authorized government depository bank (AGDB) daily or not later than the
next banking day due to late remittance of Collecting Officers to the Municipal
Treasurer, contrary to Items 1 and 4 of Section 69 of PD No. 1445 and Section 32 of
the NGAS Manual for LGUs, Volume I, thereby posing a substantial risk to the
municipality’s financial integrity and exposing government funds to potential
misappropriation or possible loss.
3.1. Section 69 of Presidential Decree (PD) No. 1445 provides that:
“(1) Public officers authorized to receive and collect moneys arising from
taxes, revenues, or receipts of any kind shall remit or deposit intact
the full amounts so received and collected by them to the treasury
of the agency concerned and credited to the particular accounts to
which the said moneys belong. Xxx.
Xxx
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