Press Releases

Comptroller reveals deficiencies in the hiring of an epidemiologist in Cidra during the COVID-19 pandemic

The Comptroller of Puerto Rico issued a qualified opinion on the fiscal operations of the Municipality of Cidra. A qualified opinion is issued when the noncompliances, individually or as a whole, are significant but not pervasive.

The Report reveals that during the COVID-19 pandemic, the Municipality contracted and paid $107,600 for the services of an epidemiologist. The contract of 130 hours of service per week was amended on seven occasions to increase to 160 hours of service during the period from August 5, 2020, to December 31, 2021.

The auditors identified that the contractor, who also provided services to the Municipality of Aibonito and to the University of Puerto Rico, Cayey Campus, did not include in his invoices a detailed and specific breakdown of hours worked for Cidra. From the examination performed, 136 invoices were identified with more than 10 hours worked for two or three different entities on the same day; for example, on October 13, 2021, he billed 17 hours of service in Cidra and UPR Cayey; on October 19, 2021, he billed 19 hours of service in Cidra, Aibonito, and UPR Cayey; and on December 23, 2021, he billed 16 hours of service in Cidra and Aibonito. (See Appendix 1 of the Report)

This situation prevented verifying, in all its details, the correctness, legality, and accuracy of the services rendered and paid.

The seven-finding audit notes that the mayor appointed and the Municipal Legislature confirmed to the position of internal auditor a person without the academic preparation or the professional licenses. The appointee had a Bachelor's degree in Natural Sciences with a concentration in Biology and Chemistry, and not a Bachelor's degree in Business Administration with a specialty in Accounting as provided by the Municipal Code of 2020 and the current Uniform Position Classification and Compensation Plan. In fact, in the confirmation resolution, the Legislature incorrectly established that the person met the requirements of Law and of the Classification Plan.

This situation has the effect that the actions and decisions taken by the internal auditor could be objected to the detriment of the Municipality.

The Report reveals multiple deficiencies with the transfers of credits between budget items. From the examination performed, 97% of the resolutions were not sent to the Municipal Legislature on or before five days as provided by current law. In addition, the transfers were carried out without the finance directors preparing the certifications of surpluses.

This situation prevents the Legislature from having updated information on fiscal transactions and makes it difficult for the Office of Municipal Management to have updated information on fund balances, among others.

The auditors identified that four of the Bidding Board's minutes were not completed, three minutes were not located, and none had been bound. These deficiencies do not allow maintaining permanent and adequate records of the agreements made by the Board.

The Municipality of Cidra had not designated an official in charge of the warehouse to maintain control of the inventory of parts and spare parts in the workshop of the Department of Transportation and Public Works. In addition, the dispensing of fuel was recorded on a log sheet without the name of the official, only with their signature.

The Commission on Comptroller and Audit Affairs of the Municipal Legislature, composed of seven members, only met on three occasions in a period of 24 months, and did not evaluate the audited financial statements, audit report M-22-26 of 2022, or five reports issued by the Internal Audit Office. This Commission did not exercise its oversight function and departed from the applicable provisions.

After the 2020 general elections, one of the elected municipal legislators was sworn in, although he did not comply with taking the required course on the use of funds and public property of the Office of the Comptroller. In addition, the Municipality paid him, contrary to law, the per diem for his attendance at the inaugural session. After being sworn in, this person resigned from his seat and held a position as a special aide to the mayor.

Cidra's budget from 2021 to 2023 was $14,920,576, $14,165,017, and $14,119,984, respectively. The 2020 audited financial statement reflected a deficit of $179,308. Fiscal years 2021 and 2022 reflected accumulated surpluses of $1,428,157 and $7,988,799.

The audit recommends that the director of the Office of Management and Budget ensure that the Municipality of Cidra complies with the Corrective Action Plan established by the Office of the Comptroller.

This first report of Cidra covers the period from January 1, 2021, to December 31, 2022.

The Audit Report OC-25-01 can be obtained on our website: www.ocpr.gov.pr.