Department of Environment and Natural Resources

Provincial Environment and Natural Resources Office

February 04, 2021

MS. JENNIFER S. GILOT

State Auditor IV
Audit Team Leader
DENR R-XI, Lanang, Davao City

Dear Ma’am Gilot,

This pertains to our comment regarding AOM No. 21-007 concerning the unreliability
of the Supplies and Materials Expenses due to the non-conduct of semi-annual
inventory count, non-preparation and submission of Report on Physical Count of
Inventories.

According to the property custodian, the inventory count and the updating of the
Stock Cards were not performed due to the alternative work arrangements and
lockdowns that were implemented last year. However, the PENR Office shall
endeavor this CY 2021 that those activities that were not performed due to
uncontrollable events beyond our control will be performed this year.

Further, the Accountant also explained that the Subsidiary Ledger Cards were not
prepared due to manpower constraints. The Bookkeeper was designated as Head of
the BAC Secretariat, given the jury duty nature of the BAC functions in which the
members shall give utmost priority to BAC assignments over all other duties, there
were instances wherein accounting matters were overlooked. Nevertheless, this office
shall likewise endeavor to provide remedy to this manpower deficiency.

This Office would like to extend our gratitude to the Commission for being our
partner in the discharge of our duties and responsibilities as well as compliance to the
accounting and auditing rules and regulations.

Very truly yours,

PABLITO M. OFRECIA
OIC, PENR Officer

Mabini Superhighway, Digos City, Davao del Sur

Telefax No. (082) 287-3164 / 272-1894 ; Email ad: penrodavaodelsur@denr.gov.ph