Service Vehicle Rental Included in Infrastructure Project POWs
National Housing Authority · 2024
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What Happened?
Category: ProcurementIssue: Non-complianceNHA put vehicle rental costs into construction project budgets, which let them get vehicles without getting the required permission or going through proper bidding, totaling over 61 million pesos.
Why It Matters
Recommended Actions
- Provide the required DBM approval on the rental of MVs included in the pay items of NHA projects
Original Audit Finding Excerpt
"The inclusion of service vehicle rental as pay item in the Programs of Work (POW) of infrastructure projects enables NHA to acquire vehicles without the necessary authority under DBM BC No. 2022-1, and without undergoing procurement as required under RA No. 9184, consequently undermining the prudent and judicious acquisition, utilization, and rental of government motor vehicles (MVs)."