COA flags P23M unimplemented development projects in Sta Fe

CEBU, Philippines — The Commission on Audit (COA) flagged the non-implementation of at least 17 development projects worth over ?23.31 million funded under the municipality of Santa Fe’s 20 percent Development Fund (DF), citing poor planning and failure to ensure that projects were implementation-ready.

In its 2024 audit report, COA said the unimplemented projects undermined the optimal use of public funds that could have contributed to the town’s socio-economic development as early as 2018.

"Item 3.2.3 of DBM-DOF-DILG JMC No. 1 dated November 4, 2020 states that local government units shall ensure that the development projects to be funded out of the 20 percent development fund are well-planned and procurement- and implementation-ready," the report reads.

Under current appropriations, eight projects with a combined budget of ?11.96 million were found unimplemented, including road concreting in Barangay Langub, road opening in Barangay Okoy, fencing of government-owned lots, barangay electrification and water system projects, establishment of a watchtower, various barangay development projects, and the Phase I construction of the Municipal Health Center.

The largest allocations under the current budget included ?3 million for the Municipal Health Center, ?2.5 million for road opening, and ?2.3 million for various barangay development projects.

Meanwhile, nine projects under continuing appropriations totaling ?11.36 million also remained idle, some dating back as far as 2018, according to COA.

These included the construction of public toilets, a docking facility for island hopping, a public transport terminal in Barangay Talisay, beautification projects, barangay development initiatives, a data profiling system, and a women-friendly space or multi-purpose building.

COA noted that several of the continuing projects were funded as early as CY 2019 and CY 2018, yet had not progressed beyond the planning stage.

According to the Municipal Budget Officer, some projects had no identified locations, while others were stated only in generic terms, leaving barangays without specific projects to implement.

Auditors said this lack of itemization at the planning stage resulted in further delays, as the projects still required identification, technical planning, and the passage of enabling legislation before implementation could proceed.

The situation was compounded by the need to comply with the Supreme Court ruling in Quisumbing vs. Garcia, which requires proper legislative authorization for project implementation.

As an example, COA cited the road concreting project in Barangay Langub and the road opening project in Barangay Okoy, both funded under current appropriations.

Records showed that, while funds were already allocated, the Sangguniang Bayan only approved the specific project resolutions in November 2024, leaving little to no time for implementation within the year.

COA said the late identification and approval of projects directly affected their execution and raised doubts as to whether these were truly procurement-ready.

The audit body warned that the prolonged non-implementation of development projects deprived residents of timely access to basic infrastructure and services, including health, transportation, water, and sanitation facilities.

"Proper planning is very important to ensure that all the planned PPAs of the Municipality, which will help and contribute to the attainment of its mandated functions, will be implemented and completed within the target period," COA noted.

It added that continued delays could also create the public perception that the municipality lacks the capacity to plan and deliver development projects effectively.

The audit report described the situation as a restatement of prior years’ recommendations, noting that similar findings had already been raised in previous audits but remained unresolved.

As a recommendation, COA pointed out that the Municipal Mayor and concerned officials should expedite the implementation of all pending development projects for the benefit of constituents.

COA also urged the local government to assess the feasibility of long-delayed continuing projects, and to reprogram funds if these were found no longer viable. — (FREEMAN)