The Commission on Audit (CoA) flagged the Department of Health (DOH) for the failure to properly distribute P226.16 million in drugs and medical supplies in 2025, leading to the expiry of the same and the ineffective allocation of public funds.
State auditors said that the issue arose from operation and administrative challenges that were faced by the DOH in its planning, distribution, and warehouse monitoring systems, adversely affecting its ability to utilize its medical inventory.
CoA explained that such practices went against established policies under the DOH, particularly under its Warehouse Operations Manual (WOM), and the World Health Organization which explicitly states that donated drugs “should have a remaining shelf-life of at least one year.”
“Such guidelines emphasized that it is important that the recipient official responsible for acceptance of the donation is fully aware of the quantities of drugs being donated, as overstocking may lead to wastage,” the report read.
The annual audit of the agency further disclosed that its findings were a recurring issue in the department, recalling its report from the previous year which showed a similar pattern.
CoA said that the repeating concern highlighted “the necessity of definitive administrative interventions to address long-standing vulnerabilities” when it came to the guidelines of the agency.
“These long-term observations suggest critical opportunities to further align procurement and supply chain management frameworks with best practices,” the audit said.
State auditors likewise stated that another issue when it came to the expired medicine and medical supplies was the unnecessary expenditure that was needed for warehouse space and manpower maintenance of the commodities.
“Addressing these administrative bottlenecks collectively will eliminate the costs of managing obsolete inventory, reinforce internal control compliance, and optimize critical public resources to fully support healthcare delivery programs for intended beneficiaries,” CoA explained.
CoA maintained that the prevalence of such issues in the DOH when it came to the delay of distribution of its drugs not only caused unnecessary strains in administrative resources but also delayed vital healthcare for the public.
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