Money counted but not verified, projects recorded in the wrong books, and buildings that may not even exist.
The 2024 financial records of Cebu Province paint a picture of a government struggling to keep its accounts straight, according to the Commission on Audit (COA).
COA issued a “qualified opinion” on the province’s 2024 financial statements, noting that while the reports largely reflect Cebu’s financial position, performance, and cash flows, certain discrepancies prevented a fully unqualified opinion.
The audit, conducted under International Standards of Supreme Audit Institutions (ISSAls), reviewed the province’s financial position, performance, changes in equity, cash flows, and a comparison of budgeted versus actual spending, including notes to the financial statements.
In a letter to then-Governor Gwendolyn Garcia, auditors highlighted the discrepancies and recommended corrective measures to ensure accurate reporting and proper management of public assets.
Auditors flagged the year-end balance of Cash in Bank-Local Currency, totaling P4,499,487,384.81, as unreliable due to missing bank reconciliation statements.
Without these reconciliations, the reported cash balance cannot be fully verified.
The report also identified 26 completed projects worth P184,526,930.81 that were misclassified in property, plant, and equipment accounts.
This misclassification overstated Construction-in-Progress (CIP) Infrastructure Assets by P163,971,787.72 and CIP-Buildings and Structures by P20,555,143.09, while understating Road Networks by P163,345,799.04, Water Supply Systems by P625,988.68, and Buildings by P20,555,143.09.
Depreciation expense and accumulated depreciation were understated by P14,334,959.60.
COA further found that structures no longer qualifying as provincial assets, valued at P47,175,218.96, were still recorded as Buildings and Other Structures.
Welfare Goods for Distribution, reported at P4,515,472.00, were considered unreliable because they were recorded in subsidiary ledgers but omitted from the official inventory.
Some accounts payable also showed negative balances totaling P2,577,791.45.
The audit emphasized the need for stronger internal controls and accurate financial reporting.
Officials responsible for governance, including then-Governor Garcia, are tasked with ensuring proper accounting practices and safeguarding public funds.
Additionally, in the delayed 2023 audit, released in September 2025, also drew a qualified opinion.
It flagged an idle P111.54 million hospital building in Carcar City, expired relief goods for Typhoon Odette victims, and nearly P59 million in unliquidated cash advances.
COA noted these issues reflect ongoing challenges in financial management and project oversight.
