Committee on Property Inspection

April 25, 1969 REVENUE MEMORANDUM ORDER NO. 17-A-69 SUBJECT : Committee on Property Inspection To safeguard and protect the interests of the Bureau relative to the acquisition of supplies, materials, equipment, etc., and to provide necessary procedures therefor, a Committee on Property Inspection is hereby created with the following members: aisadc Chairman Chief, Fiscal Audit Division Member Chief, Property Division Member A representative of the Revenue Operations Head (Administrative Services) The chiefs of the Fiscal Audit Division and Property Division shall each designate a responsible personnel from their respective divisions to compose an Inspection Team with the representative of the Revenue Operations Head (Administrative Services) as member every time there is inspection work to be undertaken. The representative of the Chief, Fiscal Audit Division shall be head of the team. Membership in the Team need not be permanent but shall depend upon the availability of responsible officials in the offices concerned. Responsibilities The Committee, thru the Inspection Team, shall subject every acquisition the value of which exceeds P50 for drugs and chemicals and P100 for equipment and other supplies and materials, to inspection. They shall determine whether the purchase conform to government specifications and standards and whether it was undertaken in accordance with laws and regulations. A strict count of the quantity of purchase, whenever possible shall be made; otherwise a systematic count will do. In either case, a reference thereof shall be made in the inspection report. The Team shall invariably make notations of the inspection on the originals of the purchase order and the invoices, the Team members affixing their signatures thereto as evidence of inspection. The report shall be signed by the Committee members. Carbon copies shall be furnished to each of the following: Revenue Operations Head (Administrative Services), and Revenue Operations Head (Internal Audit). The inspection by the Team shall not be a substitute for the inspection of the GAO Auditor or his representative. However, whenever practicable, inspection by GAO Auditors and the Inspection Team shall be conducted simultaneously; the Chairman of the Committee shall inform the BIR Auditor of an inspection to be undertaken and invite the latter to send his representative. Procedures Whenever supplies, materials, equipments and other items are purchased or delivered, the head of the office where delivery is made shall immediately notify the Chief, Fiscal Audit Division requesting for inspection of the articles by the Inspection Team. The Team shall request from the responsible officials the original of the purchase order, the invoice and such other papers as they may deem necessary to effectively undertake and exercise their responsibility. After inspection and making notations on the original of the invoice and the purchase order, the Inspection Team shall prepare an inspection report. The original of the inspection report shall be attached to the other papers of the purchase and/or delivery. (Emergency purchases by units of the Bureau amounting to less than P50 for drugs or chemicals and P100 for other supplies and materials need not be inspected by the team but it shall be the responsibility of the unit making the purchase to require the Bureau Auditor or his representative to inspect the purchase). Any deviation from the specifications and standards or from the procedures and controls laid down by the law and regulations governing purchases or from the quantity appearing in the order shall be taken note of by the Team and immediately reported in the Revenue Operations Head (Administrative Services) and the Revenue Operations Head (Internal Audit). These officials shall take the necessary actions warranted under the circumstances. Effectivity This Order takes effect immediately. MISAEL P. VERA Commissioner of Internal Revenue