No violations on ‘ayuda’ procurement, says Itogon mayor

April 9, 2022 Provincial

LA TRINIDAD, BENGUET – Itogon town Mayor Victorio Palangdan maintained that there were no irregularities in the procurement of welfare goods in response to the COVID-19 pandemic in 2020.
Reacting to news published recently by various media outfits, Palangdan said the audit observation by the Commission of Audit (COA) was received last year and an initial response was also submitted. He added that the municipality is consolidating its documents, especially records from the ground, to submit a comprehensive follow-up answer to the COA audit observation.
Palangdan said the timing of the release of the news articles was seemingly off as it was made practically a month before the May polls, while it could have been done last year.
He said the local government was surprised when the articles singled out Itogon when other municipalities in Benguet were
also given similar audit observation.
“Nevertheless, as a true son of Benguet and a public servant, we stress that we are open to audit because we have never benefitted at the expense of our people,” the mayor said. Palangdan is on his third straight term as mayor and is running for a congressman.
NO IRREGULARITY ON MOA
In its audit observation, COA said the municipality procured goods by a Memorandum of Agreement (MOA) which accordingly deprived capable suppliers of equal opportunities to participate in the procurement process.
However, Palangdan said that the MOA is not the basis for the procurement as can be seen in the contents of the MOA and the Bids and Awards Committee (BAC) recommendations.
The MOA was executed to secure a credit line and the prioritization in the delivery of goods by the supplier, in case it is awarded the procurement of the goods, he explained.
He said the MOA was only invoked after the BAC determined that the supplier is legally, technically, and financially capable, and awarded the procurement of goods through negotiated procurement which is allowed by law.
The mayor also said that the execution of an MOA with suppliers is a disaster preparedness activity encouraged in the preparation of disaster management plans of local government units by the Department of Interior and Local Government (DILG).
The audit observation mentioned that their procurement was contrary to Republic Act No. 11469 or the Bayanihan to Heal as One-Act.
However, he said the same law states that agencies may directly procure from a supplier without need for a Request for Quotation or any equivalent document.
As to the issue on warranty requirement, Palangdan said the local government required a warranty of at least six months as indicated in the Request for Quotation.
“It is not in the MOA because we reiterate that it is not the intention of the LGU to use the MOA as substitute for proper procurement documents,” he said.
Palangdan also debunked the issue on the prices showing that the prices of goods were based on the prevailing prices before the Enhanced Community Quarantine (ECQ).
JUSTIFICATION ON DISTRIBUTION LISTS
Palangdan said the audit observation on the unsigned and non-itemized distribution lists were also answered in the justification report attached on their Agency Action Plan and Status of Implementation as of December 31, 2021.
The local government distributed food packs containing certain quantity of rice, canned goods, coffee, milk, sugar, and cooking oil, he added.
He explained that due to the strict implementation of anti-COVID-19 measures such as physical distancing, the ECQ food packs were left at designated dropping areas and picked up later by the beneficiaries.
This was done as a standard operating procedure due to lack of manpower and distant locations of the beneficiaries.
The mayor said this arrangement did not allow the village officials to secure the signatures of the beneficiaries. However, if the justification is not accepted, the local government can return the distribution lists to the villages to let the beneficiaries acknowledge the goods
“If it helps, they can verify with our beneficiaries, the local officials, and those who helped distribute the ayuda (food packs) like the PNP, BFP, and other volunteers,” said Palangdan.
Palangdan For Congressman Press Release