COA chides Pavia gov’t for irregular use of SEF

By Francis Allan L. Angelo

THE Commission on Audit (COA) regarded as unnecessary and irregular the purchase of notebook cover stickers by the municipal government of Pavia, Iloilo last year.

COA’s observation focused on the acquisition of 72,500 notebook stickers amounting to P362,000 that were bought in two tranches in July and September 2009.

The stickers were placed over the cover of notebooks distributed to students of Pavia. The sticker bore the photos of Pavia Mayor Arcadio Gorriceta and infrastructures in the town. Emblazoned below the sticker are the words “Pay your taxes promptly.”

The funds for the purchase of the stickers were taken from the Special Education Fund (SEF) of the municipality.

But the audit commission in its audit report on Pavia said the transaction contravenes Section 163 of the Government Accounting and Auditing Manual and the Local Government Code, particularly the use of the SEF.

COA said the purchase of the stickers is not essential and can be dispensed with without hurting the operations and mission of the municipal government.

The audit body said the municipality should adhere to the provisions of the Local Government Code on the disbursement of the SEF.

Section 100 (Paragraph C) of the code limits the use of the SEF, which is decided upon by the Local School Board, to:

(1) Construction, repair, and maintenance of school buildings and other facilities of public elementary and secondary schools;

(2) Establishment and maintenance of extension classes where necessary; and

(3) Sports activities at the division, district, municipal, and barangay levels.

The municipal government welcomed COA’s observation but justified the use of the SEF for the stickers.

The local government unit said they incurred savings as 90% of the schools built during the term of Gorriceta were funded by private entities. The savings from the SEF were then used for other purposes to improve the town’s education system such as distribution of notebooks.

Since the notebooks bore the pictures of actors and actresses, the municipal government deemed it wise to cover it with stickers that feature the town’s landmarks and activities.

The stickers will also remind parents of the students to promptly pay their taxes for the betterment of the town.

But the COA said it is unnecessary to disburse the SEF fund for tax campaign activities.