The agency paid contractors millions for housing units that were not yet finished, violating rules against advance payments.

Why It Matters

Recommended Actions

• Secure the NHA's interest in the payment of the HUs to contractors by assigning the POSDD or Independent Unit or Office to: (a.i) Conduct separate validation and monitoring of the number of developed lots and completed HUs
• And (a.ii) Prepare and submit the necessary assessment report to the Head of Agency, AD and ROs, to ensure that the paid number of lots and HUs to contractors are valid and appropriate. Refrain from making advance payment or paying more than the actual number of developed lots and completed HUs.

Original Audit Finding Excerpt

"Agency Action Plan Reason for > Partial/Delay/ Ref. Audit Observations Audit Recommendations - Target Implementation Status of Non- Action Taken/Action to be Action Plan PersoniDept. Date implementation | Implementation, Taken Responsible From To if applicable - Memorandum dated May 30, | 2022 (Request for Funding Requirements/Issuance of CBAs for Various Variation Orders/Extra Work Orders) cy 2020 Administered trust funds a. Strictly comply with the Accounting Not implemented This finding was reiterated AAR entrusted by DPWH, DOTr, OP | provisions of MOA, GAA for FY Department with modification in Observation | and NGC amounting to P3.734 | 2020 and PD No. 14465 relative . ” No. 9, page | billion, 796.325 million, | to the use of trust fund by FMD Observation No. 26, 103 P942.383 million and P50 | spending only for the specific Annex B of this Report. million, respectively were used | purpose for which the trust was Region 9 Please refer to the by NHA for other housing | created or"

Source Document