The municipality's cash balance in the bank was reported lower than it actually was because some old checks and bank charges/credits were not properly recorded. The problem has not been fully fixed.

Why It Matters

Recommended Actions

• Require the MA and MT to conduct regular reconciliation of their cash records to immediately address the deficiencies thereof;

Original Audit Finding Excerpt

"The reported balance of the CIB-LCCA as of December 31, 2021 amounting to ₱324,474,509.39 was understated by ₱14,164,727.46 owing to the (a) non-reversion of stale/cancelled/unreleased checks to the CIB-LCCA; and (b) unrecognized bank credit and debit memos and other reconciling items contrary to Section 59 of the Manual on the New Government Accounting System (NGAS) for Local Government Units (LGUs), Volume I and COA Circular No. 96-11 dated October 2, 1996."

Source Document