Guidelines on Acquisition of Equipment, etc. by Regional Offices of National Government Agencies

December 17, 1979

LETTER OF INSTRUCTIONS NO. 967

WHEREAS, present practices and procedures for the settlement of claims at Regional/Field Offices has resulted in delays in payment to contractors and suppliers;

WHEREAS, LOI No. 448 specifically directs the payment of claims at Regional Offices; cdt

WHEREAS, the expeditious payment of authorized obligations is a necessary component of sound public administration and will lead to economy in government operations;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, in order to effect prompt and expeditious processing of claims in Regional/Field Offices, do hereby Order and Instruct:

1. The provisions of LOI No. 448 relative to the delegation of authority to Regional Offices are hereby reiterated. Each Head of Ministry, Bureau, Office, or Agency of the National Government shall issue a written statement of delegation of authority to its Regional Offices and shall furnish copies thereof to the Presidential Commission on Reorganization and to the Ministry of the Budget. The Chairman, Presidential Commission on Reorganization, shall monitor compliance.

2. Heads of ministries/agencies shall release all Advices of Sub-allotment and Notices of Cash Disbursement to their Regional Offices within seven (7) working days from receipt from the Ministry of the Budget ministry/agency's Advice of Allotment and Cash Disbursement Ceiling.

3. Directors of Regional Office shall enter into transactions for procurement of goods and/or services only when properly authorized through delegated authority and when backed by available funds evidenced by sub-allotment advices.

4. The regional accountants, budget officers, cashiers and disbursing officers shall effect payment for claims within seven (7) days from presentation by the creditor or his representative of the valid claims with all the prescribed supporting documents. In cases where documentation is incomplete or when some defect prevents prompts payment, claims shall be returned immediately, with an indication of why they could not be processed and paid.

5. The Chairman of the Commission on Audit shall prepare and issue the necessary Circular containing a list of all supporting documents required to accompany the various types of claims for payment of goods and/or services supplied to government agencies, which shall be made known to all contractors and suppliers doing or wanting to do business with the Government. No one shall require supporting documents other than those specified in the list.

DONE in the City of Manila, this 17th day of December, Nineteen Hundred and Seventy-Nine. cdt