Hinoba-an municipality gets CoA warning

Due to ongoing audit concerns, the Commission on Audit (CoA) has flagged the municipality of Hinoba-an in Negros Occidental for its financial management and transparency issues.

In its 2024 report, CoA noted that the local government had failed to fully implement 22 recommendations made after the previous year’s audit, with corrective actions still incomplete as of December 2023.

The 2022 audit had identified several violations, including improper hiring practices, questionable procurement, lack of documentation for goods distribution, unauthorized travel, irregular land titling, and cash advance issues.

The 2023 audit raised additional concerns, highlighting unresolved financial issues. It found a discrepancy of P46.988 million in the town’s financial statement, with failure to reconcile data between its Report on Physical Count of Property and the Property Ledger Cards. The LGU also faced a cash deficit of P21.129 million, with liabilities exceeding its general fund balance by nearly P21 million.

CoA recommended that the LGU streamline administrative processes, reduce non-essential expenses, and implement measures to improve cost efficiency. The agency also flagged a P16.086 million deficit, citing a drop in revenue and rising operating costs, which could affect essential services.

Additionally, the audit found P13.714 million in uncollected receivables, attributing this to poor management of overdue accounts. CoA urged the LGU to enforce stricter collection measures, including legal action, to improve liquidity and revenue operations.

These findings underscore concerns about wasteful spending and a lack of financial transparency in Hinoba-an’s local government.