QuestionsQuestions (DBM JOINT CIRCULAR NO. 99-6)
To prescribe guidelines and procedures for reverting certain National Government Agencies’ accounts payable (A/Ps) to the Cumulative Result of Operations Unappropriated (CROU), and to provide rules for the release of funds for legitimate obligations that may arise after the reversion.
All National Government Agencies and Government-Owned or Controlled Corporations maintaining a General Fund and Special Account in the General Fund.
A/Ps of Fiduciary Funds (to remain as long as the purpose exists), and Foreign Assisted Projects (FAPs) for the duration of the project.
When they have remained outstanding for two (2) years, subject to the exception for on-going capital outlays construction projects described in Section 4.1.
On or before the end of 1999.
All undocumented A/Ps, regardless of year incurred, shall be immediately reverted to the CROU.
They must be reviewed and appropriate adjustments made in the books of accounts in accordance with accounting and auditing rules and regulations.
FAP-A/Ps that have remained outstanding for two (2) years after the completion date of the project per loan/grant documents must be reverted to the CROU.
Agencies must review them to request the issuance of a Non-Cash Availment Authority from the DBM under DBM-COA-DOF Joint Circular No. 2-97 (March 21, 1997).
They shall be charged against the appropriate lump-sum provided for the purpose.
A Special Allotment Release Order (SARO) is issued for reverted and legitimate claims whose transactions (delivery of goods/services) have already been completed. It is effective only during the year it is issued, cannot be re-issued for the same purpose if not obligated that year, and cannot be realigned to another purpose.
Use of subsidiary ledger accounts identifiable in the Trial Balance as short extension of the respective general ledger accounts, with sub-accounts: (1) 0-90-400 Appropriations Allotted, Reverted Claims; (2) 0-82-400 Obligations Incurred, Reverted Claims; and (3) 0-83-400 Obligations Liquidated, Reverted Claims.
Agencies shall review and analyze all recorded payable accounts (from account 8-81-100 to account 8-81-900) and identify which A/Ps are revertible, including applying the exception rules for certain on-going capital outlay projects.
Documented A/Ps under capital outlays that remain outstanding for two (2) years or more may not be reverted immediately if (1) the project has at least 15% overall accomplishment as of September 30, 1999, and (2) the project will be completed by December 31, 2000.
They prepare a Journal Voucher (JV) to revert those A/Ps outstanding for two years or more to the CROU, then submit a certified correct copy of the JV plus supporting list of A/Ps reverted and the ROA No. and amounts due each payee to DBM and COA.
The claimants must take the initiative to file their request with the agency concerned.
Pertinent documents such as approved contracts; proof that services were rendered; proof assets/other properties were delivered; proof projects were completed and accepted by the agency; and other documentation showing validity and legitimacy of the claim.
A request supported by (1) a certified copy of the specific JV showing the A/P had been reverted to CROU, and (2) justification for non-payment of the claims during the past years.
Agencies shall pay only those A/Ps outstanding for less than two (2) years, except those pertaining to exemptions mentioned in the Circular.
Penalties under Section 43, Chapter 5, Book VI of E.O. No. 292 (Revised Administrative Code of the Philippines).