Comptroller notes failures in collections and regulations at the Municipality of Ponce
San Juan, Puerto Rico (July 13, 2026) — The Comptroller of Puerto Rico, CPA and Attorney Carmen Vega Fournier, released today the results of a compliance audit of the Autonomous Municipality of Ponce, in which deficiencies were identified in collection controls, the administration of the Luis A. "Wito" Morales Recreational Park and the preparation of audited financial statements.
The audit covered operations carried out between January 1, 2022 and August 31, 2025 and issued a qualified opinion. According to the report, two principal findings were noted. The first finding reveals that three municipal employees performed collection duties without having been officially appointed or authorized for those tasks. These employees received money, used official receipts and handled public funds in various municipal offices without written authorization. During the audited period, the Municipality collected $356.6 million for various items.
The Office of the Comptroller warned that the lack of formal authorizations affects internal controls and increases the risks related to the custody, deposit and accountability of public funds. The municipal administration indicated that the employees were assigned to the Department of Finance and Budget and that they supported various offices when it was necessary to collect revenue. It also reported that, following the Comptroller's intervention, it implemented a formal procedure to document those authorizations. Nevertheless, the finding prevailed because no evidence was presented that such authorizations existed at the time of the events examined.
The second finding relates to the Luis A. "Wito" Morales Recreational Park. The audit determined that the Municipality was using a regulation approved in 2006, without updating it in accordance with the 2020 Municipal Code or Ordinance No. 17
of 2024. In addition, free use of gazebos was allowed to eight private individuals without evidence of authorization under a current public policy.
As a special comment, the report notes that, in the Municipality's audited financial statements for fiscal years 2023-24 and 2024-25, no opinion was issued regarding the operations of the Port of Ponce. This was because there was not sufficient and appropriate evidence to allow an opinion to be issued in accordance with generally accepted auditing standards.
The Comptroller recommended formalizing the authorizations of collectors, updating the park regulation and strengthening internal controls to ensure that all financial and budgetary information of all components of the Municipality
is handled in accordance with established laws, regulations and procedures.
"The report contains findings on collection processes and the use of municipal facilities, which requires clear controls, effective supervision and updated regulations to protect public resources, guarantee transparency and strengthen public trust in municipal administration," said Vega Fournier.
Audit Report OC-27-05 is available at www.ocpr.gov.pr.
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