City Council seeks audit of LEEO books

By: Emme Rose Santiagudo

THE Sangguniang Panlungsod (SP) plans to audit the records of the Local Economic Enterprise Office (LEEO), including the financial analysis of public markets and the slaughterhouse from 2016 to present.

During its regular session on Tuesday, Councilor R Leone Gerochi proposed a resolution requesting the Internal Audit Service Office (IASO) to audit the books of LEEO to determine its financial status.

“This is not just limited to the audit. It should be an analysis and audit of the LEEO so that we can determine the financial standing of these businesses,” Gerochi said.

Recently, the council conducted two committee hearings on the sorry-state of the facilities of the slaughterhouse as well as the public markets.

Last Aug 17, 2018, Gerochi reiterated in the committee hearing that the LEEO is supposed to be run like a private business.

“We should run it as a business. If we are going to fix the market and if it is not going to be a profit, it will be a loss. We can do more. The way we treat market it should be a private business that’s why kung private business dapat may profit,” Gerochi added.

Based on Gerochi’s resolution, there is a need for proper audit and analysis “for the City Council to be appraised with the true financial status of the markets as well as the slaughterhouse considering that the LEEO should be run like a private business.”

The councilor said the audit will also help the SP as well as the mayor in formulating solutions and future directions of the LEEO.

After the audit report and financial analysis, the IASO shall submit a written and oral report to the City Council.

Meanwhile, during the recently concluded committee hearings, LEEO head Jose Ariel Castañeda reported the surplus earnings of the slaughterhouse.

“Despite the delay in the rehabilitation of the slaughterhouse we will be able to repair scalding vat and de-hairing machine in due time, courtesy of the surplus that we have acquired in 2017 worth P6.7 million,” Castañeda said.

He also presented increases in fines on violators of cleanliness and sanitation ordinance.

“For 2018, running P1 million na kita compared sa 2016-2017, na P400,000 nga fines. As far as the particular fine is concerned, gina-tinguhaan gid namon ang consistency sa paglab-ot sang cleanliness and sanitation sa markets. Amat-amat improve ang pag impose fines in sanitation and cleanliness sa markets because of different task forces,” Castañeda said.

He added that they have reduced electricity expenses of their office from P3 million to 2 million and assured that their office has been monitoring the collection and sales through internal control system.

“We have instituted system with the help of City Treasurer to ensure that all collections including the holidays and weekends are deposited in the vault. No collector brings any collection at home. We also do re shuffling of collectors from time to time without due notice to make sure that the operations are efficient,” Castañeda explained.

The Iloilo City SP created the IASO office on Nov 15, 2016.

Regulation Ordinance No. 2016-297 Section 3 stipulates that IASO is vested with obligation and authority to conduct management and operations audit of LGU functions, programs, and projects and determine the degree of compliance with their mandate, policies, government regulations, established objectives, system and procedures/processes and contractual obligations.

It also has the authority to review and appraise system and procedures, organizational structures, asset management practices, financial management records, and performance standards of the LGUs.

The IASO also analyzes and evaluates management deficiencies and assists top management by recommending realistic courses of actions.

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