UNLIQUIDATED fund transfers made by the Bureau of Fisheries and Aquatic Resources (BFAR) to other government agencies have accumulated to P1.353 billion as of Dec. 31, 2022, the Commission on Audit (COA) revealed.
Based on the breakdown provided in the 2022 audit report on the BFAR, P1.002 billion was released to various local government units (LGUs), P208.42 million to government-owned or -controlled corporations (GOCCs), and P142.077 million to national government agencies (NGAs).
The BFAR management acknowledged the audit observations and made commitments to direct the chief accountants of the central and regional offices to closely monitor liquidations by implementing agencies.
It added that it will regularly send confirmation or demand letters to these agencies with particular attention on those that have long outstanding balances.
Moving forward, it assured the COA that it will impose stricter observance of the provisions of the memorandum of agreement on submission of disbursement reports and deadlines of liquidations.
The biggest sum totaling P412.13 million was disbursed by the BFAR Central Office, followed by BFAR Region 8 with P283.01 million, and BFAR Region 10 with P124.28 million.
Other regional offices with substantial fund transfers were BFAR Region 4A (P101.51 million), Region 9 (P52.76 million), Region 4B (P47.67 million), Region 6 (P36.25 million), Region 12 (P33.59 million), and Region 7 (P33.17 million).
COA said fund transfers to implementing agencies recorded under “due from NGAs, GOCCs and LGUs” totaling P1.352.872 million remained unliquidated as of yearend because of “inadequate monitoring and enforcement of the submission of liquidation reports, and delayed projects implementation.”
The report did not provide details on the nature of the projects funded by fund releases from the BFAR.
Auditors reminded BFAR that under COA Circular No. 94-013, the implementing agencies are required to submit a report on fund utilization within 10 days of each month or at the end of a prescribed timeline.
In the case of the BFAR Central Office, the audit team noted that “Due from LGUs” totaling P292.393 million and “Due from GOCCs” amounting to P74.792 million were released in prior years but had zero liquidation in 2022.
On the other hand, out of the total P84.943 million “Due from NGAs,” P76.685 million are fund transfers dating back to 2021 or earlier but there were only minimal liquidations.
