Local Treasury Operations Manual (LTOM), 2nd Edition

December 3, 2019 DOF DEPARTMENT ORDER NO. 085-2019 LOCAL TREASURY OPERATIONS MANUAL (LTOM), 2ND EDITION 1. LEGAL BASES. This Department Order is issued to promulgate the Local Treasury Operations Manual (LTOM), 2nd Edition, pursuant to Article 456 of the Implementing Rules and Regulations (IRR) of Republic Act (RA) No. 7160, otherwise known as the Local Government Code (LGC) of 1991, and in line with the mandates of the Department of Finance (DOF) to supervise the revenue operations of all local government units, under Executive Order (EO) No. 292, s. 1987, and of the Bureau of Local Government Finance (BLGF) to exercise administrative and technical supervision, and coordination over treasury and assessment operations of local governments, under EO No. 127, s. 1987. 2. COVERAGE. The LTOM, 2nd Edition, consists of four (4) books, which form integral parts hereof, as follows: Book I Fiscal Organization of Local Governments and the Local Treasury Office; Book II Receipt and Collection of Income, Revenues and Other Fund Sources; Book III Fund Management Practices, Expenditures and Disbursement; and Book IV Detailed Procedures on the Administration and Collection of Real Property Tax, Business Tax, Fees and Charges and Other Fund Sources. 3. LIMITATIONS. The provisions contained in the LTOM, 2nd Edition, are adoption of pertinent provisions of relevant laws, jurisprudence, regulations, policies, issuances, opinions and rulings affecting local finance and treasury operations. The applicable portions of related provisions from various laws and issuances have been adopted into sections and/or discussions of specific topics in the LTOM, and structured accordingly to cover the different aspects of local treasury operations. Users of the LTOM, 2nd Edition, are encouraged to further refer to the LGC and its IRR, the Government Accounting and Auditing Manual, and the Manual on the New Government Accounting System for LGUs, both of the Commission on Audit, the Budget Operations Manual for LGUs of the Department of Budget and Management, cited jurisprudence, and other pertinent issuances of DOF and BLGF on local finance and treasury operations. 4. SEPARABILITY CLAUSE. Any portion or provision of the LTOM, 2nd Edition, that may be declared unconstitutional or invalid shall not have the effect of nullifying other portions and provisions thereof as long, as such remaining portion or provision can still subsist and be given effect in its entirety. 5. REPEALING CLAUSE. This Order supersedes Department Order No. 10-08 dated 26 March 2008, and all Department issuances relative to the LTOM that are inconsistent herewith. However, the LTOM, 2nd Edition, does not seek to supersede the issuances and rulings of other oversight agencies, but only reiterates and amplifies their respective applications in local treasury operations. 6. EFFECTIVITY. This Order shall take effect fifteen (15) days after its publication in the Official Gazette and the University of the Philippines-Office of the National Administrative Register (ONAR) or in a newspaper of general circulation in the Philippines. All BLGF Central and Regional Offices, and all local treasurers and assistant local treasurers are hereby directed to properly, efficiently and strictly implement the LTOM, 2nd Edition. (SGD.) CARLOS G. DOMINGUEZ Secretary