Appendix “A”

COMPLIANCE TO AUDIT FINDINGS (CAF) REPORT

IA REPORT NO. 37-2022
Status as of __________________

Name of PMO: PPA Head Office Date of Receipt of IAD Report: _________

Finding ACTIONS TAKEN BY AUDITEE AND

AUDIT FINDINGS AUDITEE’S COMMITMENTS
No. OTHER REMARKS

1 Deficiency in monitoring of PMO’s compliance The Acting PCMD Manager committed to:
with PPA MC No. 01-2014, re: Guidelines in the
Classification, Documentation & Funding of 1. Review the current Systems and
Expenditures for Infrastructure Projects. Procedures of PCMD particularly on the
evaluation of PMO’s POWs.
A. PMO Infrastructure projects with above 2. Conduct a joint review of PPA MC
20% repair cost of the netbook value and No. 01-2014 together with the Finance
below 80% operational efficiency were personnel and other Engineering
classified/funded under R&M instead of Departments for further improvement and
CAPEX. proper guidance of its implementation.
B. PMO’s infrastructure projects were
classified as “CAPEX” in the submitted
Annex A but were budgeted under “R&M”.
C. Some of the scope of works and/or
description indicated on the approved
POWs conflicts with the classification of
infra projects on Annex A.

2 Weak monitoring in the provisions of PPA The Acting PCMD Manager committed to:
Memorandum Order No. 01-2000.
1. Revisit and strengthen the internal control in
A. Non-submission of Prioritized List of place.
Proposed Engineering Projects (PLOPEP)
on the 2nd week of March of the current
year.
B. Delayed submission of “updated
Page 1|4
 PLOPEP”.
C. Non-submission of Midyear
Accomplishments Report.

3 Weak internal control in the preparation of the
Initial Project Procurement Management Plan
(PPMP).
The DSD Manager committed to:
1. Conduct review on the process of
preparation of initial PPMP in coordination
with BAC and OAGME.

4 Weakness in the implementation of Programs, The AGME committed to:

Activities and Projects (PAP) Code for HO and
PMOs. 1. Establish internal control/s and create
standardized PPA PAP Code system.
A. Port Planning and Design Department
(PPDD) and DSD use the Unified
Accounts Code Structure (UACS) in the
assignment of PAP Code.
B. PMO uses different numbering systems in
the assignment of PAP Code.

5 Weakness in the preparation of Indicative Annual The AGME committed to:

Procurement Plan (APP) for CAPEX Projects.
1. conduct a meeting with the BAC Secretariat
to review the process of preparation of
indicative APP.

6 Weakness in the preparation, posting, and
submission of the Approved Annual Procurement
Plan (APP).
A. Head Office’s APP is not in the prescribed
format.
B. Non-inclusion of some projects in the
The AGME and BAC Chairperson committed
to:
1. Use the prescribed APP form. (AGME)
2. Ensure that all projects will be included in
the APP. (BAC Chairperson)
3. Deliberate with the Management the
Page 2|4
 Approved APP. matters on RDA and RA 9184
C. Weak compliance with the required requirements. (AGME and BAC
signatories of APP per RA 9184. Chairperson)
D. Non-compliance in the preparation of 4. Prepare and submit the required Posting
Posting Certification of the Approved Certification for the APP. (BAC
Annual Procurement Plan (APP). Chairperson)

7 Weakness in the preparation and submission of The BAC Chairperson committed to:
the Procurement Monitoring Report (PMR).
1. Use the latest prescribed format of the PMR
A. Outdated format of PMR. and to prepare the required Posting
B. Non-preparation of PMR Posting Certification.
Certification.

8 Deficiency in procurement planning of The BAC Chairperson and ASD Representative

infrastructure projects for PPA Head Office (HO) committed to:
Facilities wherein infrastructure projects were
procured under Goods and Services. 1. Ensure preparation of all necessary reports
and/or documents that will be required from
A. Non-implementation of internal control re: them.
classification of proposed infra projects for
HO Facilities.
B. Non-preparation of PLOPEP.
C. Infrastructure projects for HO facilities
were listed under the APP for Goods and
Services.

9 There is an observed gap in internal control in the The Acting PCMD Manager committed to:
determination of allocation of funds for
Maintenance of Physical Facilities (MPF). 1. Establish internal control to determine
allocation of funds for the MPF.

Page 3|4
10 Weakness in the application of authorized The AGME committed to:
signatories per Approved Revised Delegation of
Authority (RDA) on Engineering Matters. 1. Revisit and to strengthen the RDA for
Engineering Matters.
A. LFP PMO
Unauthorized signatories in the POWs of
two (2) Locally-Funded Projects (LFP)
which was implemented by the Port
Management Office (PMO).
B. Dredging Projects
Signatories on the Programs of Work
(POW) and Drawings (Project Design) of
Dredging Projects LFP HO are contrary to
the Approved RDA on Engineering
Matters.

11 Six (6) personnel, from the Head Office Bids and
Awards Committee (BAC), its Secretariat and
Technical Working Group (TWG), have no,
insufficient and/or outdated GPPB recognized
Procurement Training/Seminar.
The BAC Chairperson committed to:
1. Ensure that the BAC, its Secretariat and
TWG have the required procurement
training and are updated with the latest
requirements of RA 9184 and GPPB.

Prepared by: Date Prepared: Submitted by:

__________________________ _________________ ___________________________
Name and Position RC Head

Page 4|4