12% of P1.6 billion cash advances 'unliquidated'

Friday, May 13, 2011

OF THE Department of Education's (DepEd) total unliquidated cash advances, only a little more than a tenth remain unaccounted for, said the agency Friday.

Only a remaining 12 percent of the P1.6 billion in unliquidated advances has yet to be accounted for, Education Secretary Armin Luistro said Friday, citing improvements in finances after it was identified as being the department with the highest unliquidated cash advances.

The department has already liquidated some P1.4 billion or 88 percent liquidation efficiency as of March this year, Luistro added.

"When the Ombudsman first called DepEd's attention in July 2010 on unliquidated cash advances, we acted with dispatch to comply with the directive because good financial housekeeping is part of good governance," Luistro said, adding that before 2010 ends, their liquidation compliance was already at 81 percent or P1.3 billion.

At the same time, the DepEd chief defended the delay in the liquidation of cash advances by his department, saying having the largest bureaucracy and the lack of accountants, there are bound to be delays in making the liquidation report.

"With the size and coverage of the department, spending for our programmed projects and activities will consequently be higher and takes a little longer to liquidate than those of other agencies," Luistro explained.

Cash advances made by disbursing officers are used by DepEd for special payroll services specifically for teachers and personnel in areas not served by electronic banking. Advances are also drawn for expenses during trainings, seminars or workshops.

These expenses include purchase of supplies or transportation expenses.

But Luistro assured the public that DepEd under his watch remained committed to a graft-free bureaucracy.

A recent survey by Pulse Asia revealed that DepEd is perceived as one of the least corrupt government agencies, maintaining its image for two years in a row, as reforms for good governance continue to be implemented.

"DepEd is trying its mighty best to walk the talk in transparency and financial management efficiency because it wants to lead by example to the public and to over 20 million elementary and high school students under its care," Luistro said.

In the Ombudsman report last year, the DepEd topped the list of government agencies with the highest unliquidated cash advances amounting to P1,614,449,595.32, followed by the Commission on Elections with P406,029, 645.99; Philippine National Police with P313,272,983.64; Bureau of Jail Management and Penology with P18,205,473.04; Bureau of Immigration with P9,883,764.02; Department of National Defense, P6,329,521.34; Bureau of Customs, P392,655.87; and the Philippine Ports Authority, P368,487.67.

The unliquidated cash advances of the said government agencies amounted to P2,369,162, 015.94.

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