Reason for
Agency Action Plan (for Partially Implemented and Not Implemented Stats nten Partial/Delay/No Action Taken/Action
Recommendations) i a ~ to be Taken
ee | ee een ne et ne ee | HO | Implementation, | od
if applicable
Audit Observations Audit Recommendations | Action Plan/ Target .
Remarks Implementation
This column shall be filled out by the Dee nent Date
agency, detailing the appropriate
course of action on the audit Responsible P|
observation identified. [irom [io |
2024 | The depreciation | 3. Ensure the immediate | The Provincial Accountant’s Office PAccO June Dec Full - Establish the LRNLCs
AAR, | expense for the Road establishment and} has already — established = and 2025 2025 | implementati for updating
AO Network, with an proper maintenance of | maintained LRNLCs for the existing on
No. 2, | accumulated LRNLC for ali road | provincial roads identified by the
page depreciation balance of networks and their | PEO, However, the PEO has yet to
41 P471,365,166.38, was components prescribed | submit the repairs and maintenance
calculated using a in Annex D of COA | cost attributable per provincial road
uniform estimated Circular No. 2015-008 | for CY 2022 and 2023 to update
useful life of ten years and based on a| records.
and a 10% salvage thorough physical P
value for the total cost inventory of all road
rather than for each networks and- their
road component, components,
contrary to COA
Circular No. 2015-008 | 4. Following the physical | Accordingly, this office will adjust PAccO For For recomputation | For JEV preparation
and patagtraph 73 inventory and | the computation of depreciation for implementati | and adjustment of
IPSAS 17, thus raising reconciliation of | LRN in accordance with COA on accounts
concerns about the records, depreciation | Circular No. 2015-008 and paragraph
reliability of the expenses be | 73 IPSAS 17.
balance and resulting recomputed separately
in an undetermined for each, road
amount of discrepancy, component and any
necessary adjustments
be reflected in the
books of accounts to
ensure compliance
with IPSAS 17 and
COA Circular No.
2015-008.
