The Office of Public Accountability (OPA) has issued OPA Report No. 20-06, Mayors’ Council of Guam (MCOG) Non-Appropriated Funds’ (NAF) Compliance with Reporting Requirements.
OPA determined that most mayors were unaware of the different mandated reporting requirements.
Noncompliance with reporting requirements seems to be common among the mayor’s offices due to the lack of awareness, monitoring, and enforcement by Mayors and oversight officials.
OPA’s review of MCOG’s NAF financial reports for 19 municipalities and the MCOG Revolving Fund specifically found that:
· Two villages did not submit financial reports;
· MCOG Revolving Fund quarterly reports were untimely submitted;
· Annual reporting requirements for village NAFs not known and unenforced;
· Two NPOs did not submit required NPO financial reports; and
· Village festival reports were not consistently submitted.
MCOG’s management responses included the MCOG Administrative Office and eight Mayors wherein they all agreed with the findings and recommendations related to the compliance with MCOG NAF reporting requirements.
In their official responses, the MCOG executive director noted he will take a more proactive approach to ensure all municipalities comply with the different reporting requirements. He also stated that MCOG actively encourages all Mayors and Administrative Assistants to enroll in any available procurement and/or accounting training programs made available.
OPA made six recommendations to the MCOG Officers, Executive Director, Mayors, and Vice Mayors, that include encouraging the use of their NAF Standard Operating Procedures to assist each mayor’s office staff with reporting requirements.
OPA also suggested the village Mayors and/or Vice Mayors post their financial reports on the MCOG website to help promote transparency, accountability, and public confidence in the mayor’s offices for the equitable and prompt services provided to Guam’s residents.
“We hope that this audit will serve as a reminder to all elected officials of their responsibility to know their reporting requirements, and that compliance promotes transparency and confidence in all elected officials,” remarked Public Auditor Benjamin J.F. Cruz.