Measures Including Recovery of Excess Subsidies
Settlement of All City Bus Subsidies to Be Pursued
Naju City in South Jeolla Province will take administrative action following notification of the results of an audit regarding city bus subsidies, which was requested by the Board of Audit and Inspection in May of last year.
According to Naju City on May 23, the matters subject to audit included a total of 13 issues: excessive payment of city bus subsidies, failure to conduct settlements, failure to implement measures following the results of a South Jeolla Province audit, improper support for loss compensation on trunk lines, and embezzlement of labor costs by transportation companies.
Of the audit requests, nine were dismissed, and an actual audit was conducted on four items. As a result, corrective action was found to be necessary in two cases.
The Board of Audit and Inspection pointed out that Naju City had insufficient management in the execution and settlement of city bus subsidies, and that the city failed to implement corrective measures ordered in response to a 2021 South Jeolla Province residents' audit request.
An official from Naju City stated, "We humbly accept the findings of the Board of Audit and Inspection," and added, "We will promptly implement corrective measures for the two issues identified in the audit, and plan to recover excessively paid subsidies in accordance with the relevant procedures."
In particular, the city plans to quickly establish and implement measures to recalculate the standard transportation costs for 2020 and 2021 and recover any overpayments, as well as to recover excess subsidies paid for the Safe Return Home Bus project.
Meanwhile, based on feedback received during the audit period, Naju City is conducting settlements for all city bus subsidies, has opened dedicated accounts for each project, and has proactively completed administrative actions such as prohibiting the mixed use of subsidies.
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