The Commission on Audit (COA) has questioned the National Food Authority (NFA) for alleged failure to meet the optimum level of national rice buffer stocking requirement of 300,000 metric tons in 2022 despite full receipt of a P7-billion government subsidy.
In another move, COA) told the Department of Public Works and Highways (DPWH) to address project delays totaling P96.218 billion.
In a 2022 audit report, state auditors said there was a shortfall of 177,349 metric tons or 46 percent of the target palay procurement of 480,000 metric tons.
“The inability to maintain the required optimum level of national rice buffer stocking at any given time poses risk that NFA might not be able to effectively and immediately respond and provide the needs of the beneficiaries all over the country in times of emergency situations, and non-sustenance of the disaster relief programs of the government during natural or man-made calamities,” it cited.
Despite receipt of a P7-billion subsidy, only P5.75 billion was disbursed for the 302,651 metric tons of procured palay.
COA said there were limited palay buying stations and mobile procurement teams in areas with surplus stock during harvest season.
“This program addresses the difficulty of farmers in transporting their harvest to the NFA efficiently at no cost as the mobile procurement teams shall pick up the farmer’s harvest in the agreed place and schedule, free of charge,” the report stated.
“Management fully conformed to all the audit recommendations and committed to continuously exert all efforts possible to be able to sufficiently maintain the required 300,000 metric ton government rice buffer stock to ensure the country’s food security concerns,” COA said.
In its 2022 report on the DPWH, COA noted that 2,395 locally-funded projects were delayed or non-implemented due to inadequate planning, detailed engineering, supervision and monitoring. DPWH Secretary Manuel Bonoan received a copy of the audit report on June 30, 2023.
COA said projects worth P60.077-billion were not completed within the specific contract time. Another P27.473 billion in projects were suspended, while P5.114 billion were either terminated or due for termination.
The reasons for the delay, according to COA, included incomplete preliminary engineering studies, obstructions by electric and telecommunication poles, absence of construction workers and equipment, projects abandoned by the contractor, and natural calamities.
“Except for the COVID-19 pandemic and adverse weather conditions, the other identified causes of the delay in the implementation of infrastructure projects reflect the inadequacy of planning, supervision and monitoring of Management relative to the project implementation,” the auditors said.
The COA said DPWH management agreed to the recommendations of the audit team to ensure full coordination with other government agencies such as local government units as well as private utility companies for more synchronized planning and implementation of the projects.
The audit team also said 653 infrastructure projects worth P20.718 billion were not executed in accordance with the provisions of the contract agreements, resulting in technical defects estimated at P369.172 million.
Among the defects noted by the audit team were major scaling and multiple cracks on concrete pavements in the Cordilleras.
Other defects noted were those resulting from the use of inferior-quality materials.
Several cracks and potholes were also noted on the asphalt overlay on roads and retrofitting of bridges implemented by DPWH-Region V and the Sorsogon 1st District Engineering Office along Daang Maharlika from 2019 to 2021.
“The foregoing technical defects and deficiencies may compromise the safety of public, cause further destruction on the infrastructures, and ultimately result in the wastage of government funds and resources if not immediately rectified/corrected,” the audit team said.
The audit report however noted that the Sorsogon engineering office has agreed to conduct rectification and rehabilitation measures.
The audit report noted that the DPWH management agreed to the recommendations of the audit team to ensure full coordination withbother government agencies such as local government units as well as private utility companies for more synchronized planning and implementation of the projects.