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 Ref.                                                                                                                                 Status of
                   Audit Observations                                     Audit Recommendations
                                                                                                                                   Implementation

           under Section 16 of RA No. 10068 and        of the government set under RA No. 9184, its Revised IRR, and other opening of bids on
           with the bid requirements.                  applicable laws and regulations.                                        December 26, 2024, for the
                                                                                                                               project with Bid No. B-
                                                                                                                               411-2024, amounting to
                                                                                                                               ₱5,292,000.00.
 2023      Procurement of fertilizers totaling     37. Management requires the personnel assigned to properly and Unimplemented:                      An
 AAR,      ₱59,755,287.08 did not comply with          completely fill out the PO to ensure that the supplier will deliver the examination     of     the
AO No.     the requirements of COA Circular No.        goods in accordance with the terms and conditions of the contract and Purchase Orders (POs) for
20, page   96-010 and involved acceptance of           to allow comparison with the prevailing market prices, and that the December 2024 revealed
   93      items that did not conform with             HoPE ensure that the required information is indicated in the POs that most of the required
           specifications, which is inconsistent       before approving the same.                                              information had been
           with Section 118, Volume I of the                                                                                   provided. However, the
           NGAS Manual.                                                                                                        brand name and country of
                                                                                                                               manufacture or origin of
                                                                                                                               the items were not
                                                                                                                               indicated.   Additionally,
                                                                                                                               some POs had incomplete
                                                                                                                               addresses, with only the
                                                                                                                               city    or   municipality
                                                                                                                               specified.

                                                   38. Management directs the members of the Inspectorate Team to inspect Implemented
                                                       and verify delivered items in conformity with the specifications based
                                                       on the delivery receipt and approved PO before signing in the
                                                       “Inspection” column of the IAR. If specifications are not in order,
                                                       indicate in the IAR that the deliveries do not conform with the
                                                       specifications agreed under the PO.




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