Manila fails DILG’s good financial housekeeping standards

Loreben Tuquero

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Manila fails DILG’s good financial housekeeping standards

ROBREYES

(UPDATED) Only 10.8% of assessed local government units nationwide fail to meet the Good Financial Housekeeping criteria as of January 31, 2020

MANILA, Philippines (UPDATED) – Manila failed to make it on the list of 2019 Good Financial Housekeeping (GFH) passers that the Department of the Interior and Local Government (DILG) released on February 14.

Among Metro Manila’s 17 cities and municipalities, Manila was the only one that did not pass the GFH standards of the DILG.

Nationwide, only 184 out of 1,706 or 10.8% of assessed LGUs failed to meet the GFH criteria

The DILG uses the following criteria to determine if LGUs pass the GFH:

  • Most recent available Commission on Audit Audit Opinion is Unqualified or Qualified for 2017 or 2018
  • Compliance with the Full Disclosure Policy (FDP), which involves the posting of financial documents in 3 conspicuous places and in the FDP portal for all quarters of 2018 and the first quarter of 2019 posting period documents

The list includes GFH passers as of January 31, 2020. LGUs that were excluded from the list may request for reconsideration or may opt to avail of after-assessment compliance of the GFH.

Rappler reached out to the DILG for a statement, but the agency declined to comment on the matter.  

On Thursday, February 20, Manila Mayor Isko Moreno said that his city;s exclusion from the list was “already expected.” Moreno said the DILG attributed it to the past administration’s non-compliance with the criteria on full disclosure of financial documents.

“This is an opportunity for us to do better, that we will not tolerate this kind of dismal performance. It’s not happening under my watch,” Moreno said. 

In response, he convened the local finance committee to “work and fix the past administration’s mess.”

Under its previous leadership, Manila also failed to meet the DILG’s standards of a well-functioning anti-drug abuse council (ADAC), and faced a show-cause order as a consequence. It was the only LGU in the National Capital Region and one of 4 cities nationwide that gained a low score for ADAC functionality.

Cesar Chavez, Manila Mayor Isko Moreno’s chief of staff, had argued then that Moreno should not be blamed for Manila’s shortcomings in the anti-drug campaign that happened before he was elected.

The GFH is one of the minimum requirements for the Seal of Good Local Governance (SGLG), particularly for the assessment criteria of financial administration. 

The SGLG awards LGUs that have shown excellence in internal housekeeping and rewards them through monetary assistance and priority access to the DILG’s programs and capacity development assistance. SGLG awardees can avail of the Performance Challenge Fund that may finance local development initiatives.  – Rappler.com

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Loreben Tuquero

Loreben Tuquero is a researcher-writer for Rappler. Before transferring to Rappler's Research team, she covered transportation, Quezon City, and the Department of the Interior and Local Government as a reporter. She graduated with a communication degree from the Ateneo de Manila University.