NYC flagged over hefty event expenses, P1.2 million worth of unused hotel reservations

MANILA, Philippines — The Commission on Audit has flagged the National Youth Commission for its exorbitant spending on training and travel activities, noting that the commission had paid for unused hotel rooms amounting to around P1.2 million during various conferences and summits.

In its annual audit report on the NYC for 2022, state auditors found that “lack of proper planning” in various activities resulted in more meals, room or venue reservations made than the actual participants of events. This resulted in excessive payments for hotel room reservations totaling P1.2 million

The single most excessive payment made for hotel accommodations was during the October 2022 Sangguniang Kabataan (SK) summit, wherein the commission shelled out more than P500,000 for 175 unused hotel rooms in Whiterock Beach Hotel & Waterpark in Subic, Zambales, the audit report read. 

Other hotel bookings were made for NYC summits and events for SK leaders in various areas, including Boracay, Baguio City, Bohol, Batangas and Ilocos Norte. 

COA also said that in total, NYC had training expenses amounting to P31.4 million, while travel expenses reached P5.4 million.

In response to the audit, the NYC justified the payments for the unoccupied hotel rooms, claiming no-show participants due to a positive test result for COVID-19 and bookings made elsewhere, among others.

However, lack of evidence, such as medical records and participant letters, prevented validating and accounting for these claims, the COA noted. 

“It is worth noting that this (sic) conditions were already observed in CY 2019 and 2021 AARs. It appeared that the Agency’s controls over these transactions are not working,” state auditors said, referring to the audit reports released on the NYC for 2019 and 2021.

NYC could also have avoided the "excessive and unnecessary costs" of unutilized accommodations and meals by proper planning and strictly enforcing guidelines for venue procurement, including confirmation slips from attendees, state auditors said.

COA also flagged the P1 million worth of “excessive” tokens purchased for NYC’s events since the number of tokens procured was beyond the distributed quantity for the participants.

There were also disbursements worth P675,842 which were processed and paid without complete documentation, state auditors noted.

In 2022, state auditors flagged the NYC’s “illegal” use of funds meant for the mandatory and continuing training of SK officers for the government’s controversial anti-communist campaign. 

The NYC justified its expenses for anti-communist activities by saying that orientations are included in SK training. – with reports by Xave Gregorio