Financial Management Practices of Barangays in Iligan City
Abstract
This study was designed to determine the level of financial manage-ment practices of the barangays in lligan City, and to determine whether the profile of the barangays and the profile of their officials and employees involved in financial management are associated with the level of the barangays 'financial management practices.
To achieve these objectives, relevant primmy data were gathered from the concerned officials and employees of the 44 barangays in Iligan City with the 11se of a questionnaire and follow-up interview. Data per-taining to the profile of the barangays were taken from the financial reports prepared by the barangays.
Frequency counts and percentages were used to come up w ith the profile of the barangays and of their officials and employees. The mean, standard deviation, and descriptive rating were used to determine the level of each financial management practice. The Pearson Product-Moment Correlation was 11sed to determine whether there is a relation-ship between the concerned officials '/employees 'profile and the level of financial management practices. Finally, the Simple Correlation and the Multiple Regression Analysis were used to determine whether the barangays 'profile and the profile of their concerned officials and employees is associated with the level of the barangays 'financial management practices.
The results show that most of the time the barangays undertook such aspects offinancial management as: (I) planning and control, (2) cash management, and (3) financial reporting -with about 77% of the officials/employees concerned doing the preparation, analysis, and re-view of the budget at all times as required. Howeve1; the barangays of Iligan City perform bookkeeping and accounts management sometimes only, indicating that there is plenty of room for improvement in the man-ageme1ll of the barangays 'financial affairs.
As to the profile of the concerned barangay officials and employees. in terms of educational attainment, 67% are college grnduates, I 6% high school graduates, and I 5%finished vocational courses. In terms of relevant training and seminar-workshops attended, 22% have attended 15 to I 9 times, another 22% have attended IO to I 4 times, I 0% attended 20 to 24 times, another 10% attended less than jive times, but I 5% have never attended any training or seminar at all. In terms of relevant work experience, 32% have 10 years or more experience in government service, 29% have 7 to 9 years, 24% have 4 to 6 years, and 17% have 1 to 3 years.
As to the barangays 'profile, in tenns of population in 1999, 45% of the barangays had between 5,000 and 10,000 residents, 36% had less than 5,000 residents, 14% had between 10,000 and 15,000, and only 5% had more than 15,000 residents. In terms of annual income, 59% of the barangays had between P1M and P5M in /999, 36% had below PIM, and only 5% had more than P5M. ln terms of current operating expendi-tures, the profile is exactly the same as the profile in terms of annual income, indicating that all barangay income is spent in the same year on current operating expenses. This implies that no capital expenditure is taken from the barangays ' annual income.
No significant relationship was found between the barangays 'level of financial management practices and the profile of their concerned officials and employees.. There is also no sign(frcant relationship be-tween the barangays 'profile and their level of financial management practices. Furthermore, the regression results show that neither the pro-file of the barangays nor the profile of their concerned officials and employees is associated with the level of the barangays financial manage-ment practices.
