COA flags Sandiganbayan for underspending in past three years

The Sandiganbayan has only utilized an average of P42 million or 6.75% of its annual budget for maintenance and operating expenses and capital outlay for years 2019, 2020, and 2021, the Commission on Audit (COA) said.

In its annual audit report, state auditors noted that Sandiganbayan left a significant balance of unused funds, resulting in low utilization and partial attainment of its major programs, activities, and projects, contrary to Section 72 of the General Provisions of General Appropriations Act (GAA) of Financial Year 2021.

COA said the Sandiganbayan received total appropriations of P1.49 billion, P1.36 billion, and P1.28 billion worth of maintenance and operating expenses and capital outlay budget for years 2019, 2020 and 2021, respectively, but was only able to utilize P51.4 million, P36 million, and P39 million in the said years.

In 2019 which was before COVID-19 pandemic hit the country in March 2020, the Sandiganbayan did not use its P568 million capital outlay funding.

More specifically, the Sandiganbayan spent zero of its P520 million  budget  for Buildings and Other Structures Outlay in 2019.

In the same year, the anti-graft court also did not spend its P30 million budget for Machinery and Equipment Outlay - Information and Communication Technology Equipment.

Come 2020, it also did not spend a single cent of its P197 million budget for Buildings and Other Structures Outlay.

By 2021, the Sandiganbayan again spent zero of its P79 million budget for Machinery and Equipment Outlay - Information and Communication Technology Equipment.

In the same year, the Sandiganbayan only spent P150 of its P14.7 million budget for Semi Expendable - Furniture and Fixtures

"As can be deduced, the average percentage of utilization for MOOE is only 14.25 percent, while CO is [at] 0.13 percent, not even reaching one percent.  The utilization was below par and not in keeping with Section 72 of General Provisions of the GAA for FY 2021.  Gauging from the low budget utilization, it can be concluded that Sandiganbayan was not able to maximize the use of its allotments," COA said.

"The planned and targeted programs and projects for the years 2019 to 2021 such as repairs and maintenance and construction of buildings and other structures and procurement of machinery and equipment were not timely achieved and the purposes of the fund releases were likewise not attained," it added.

While the pandemic restrictions in 2020 and 2021 brought limitations in the attainment of agency’s plans and targets, state auditors noted that comparison between periods without COVID 19 and with COVID 19 outbreak revealed the same situation of low spending activity.

"The agency consistently incurred below par utilization of its funds, as well as in achieving the goals and objectives from which those funds are requested for," COA said.

"The bulk of uncompleted utilization of its funds focused on the procurement of ICT Equipment, that should have brought enhancement to productivity and outputs of employees, better services to clients and attainment of its mandate," COA added.

In response, the Sandiganbayan said that its Bids and Awards Committee and and its Secretariat recognize the low levels of its budget utilization and "will endeavor to maximize the utilization of requested appropriations without sacrificing prudence in government spending by revisiting its practices or procedures in the procurement processes for efficient and immediate delivery of Programs, Projects and Activities."

COA also recommended that the Sandiganbayan review its budget utilization and implement the programs and projects as budgeted and evaluate practices or procedures in the implementation of Programs/Activities/Projects to address the accumulation of significant unutilized funds.

The Sandiganbayan, COA said, agreed to such recommendations.—AOL, GMA News