The Commission on Audit (COA) has flagged over P1 billion in unused funds for the federal government’s service contracting program (SCP).
In its 2022 audit report on the Department of Transportation (DOTr), the COA mentioned P1,426,466,534.86 or 8.41% of the full fund allocation of P16,970,000,000 for the SCP was not utilized.
State auditors additionally noticed that P619,709,794.77, or 3.99% of the full obligations of P15,543,533,465.14, remained unpaid to SCP individuals as of December 31, 2022.
Moreover, it mentioned that overpayments to individuals amounting to P21,872,365.50 had not but been collected as of December 31, 2022.
Under the service contracting program, operators and drivers who take part within the authorities’s free ridership program will obtain a one-time payout and weekly funds primarily based on kilometers traveled per week, with or with out passengers.
Operators of PUVs will likely be contracted by way of an settlement primarily based on a plan ready by the Land Transportation Franchising and Regulatory Board (LTFRB).
The Republic Acts (RA) 11494 (Bayanihan to Recover as One Act), 11518 ( 2021 General Appropriations Act), and 11639 (2022 GAA) allotted a complete of P16,970,000,000 for the implementation of the SCP to supply financial subsidies that function a brief livelihood for these employees within the transport business who had been recovering from the consequences of the COVID-19 pandemic and for the continual implementation of this system.
The LTFRB was not capable of totally make the most of the SCP section 1 funds regardless of the extension of its utilization till June 30, 2021; thus, the full money in financial institution stability as of August 5, 2021, within the quantity of P4,007,491,117.58, was totally refunded by the LTFRB to the DOTr, COA mentioned.
The COA really helpful to the LTFRB, to which the latter agreed, that it facilitate the speedy cost of all unpaid obligations to the SCP individuals and their corresponding liquidation to the DOTr to find out the precise quantity of unutilized funds as of December 31, 2022.
State auditors additionally ordered the speedy refunding of all unutilized SCP funds below Republic Act Nos. 11494, 11518, and 11639 which might be refundable to the DOTr for his or her remittance to the Bureau of the Treasury.
“In a letter dated May 15, 2023, the LTFRB committed that they will exert their best effort to comply faithfully with the issued Memorandum Circular for the SCP. Nonetheless, they are continuously [making] efforts to fully comply with the detailed audit findings of the Audit Team,” COA mentioned. — VBL, GMA Integrated News
Source: www.gmanetwork.com
