QuestionsQuestions (DBM CIRCULAR LETTER NO. 2002-17, SEPTEMBER 27, 2002)
It reiterates the submission of complete supporting documents for requests for issuance of Notice of Cash Allocation (NCA) for Accounts Payable (A/P), modifies modes of settlement/payment to external creditors/retirees, and clarifies the authority delegated to agency heads to approve changes in the name of creditors and retirees under CL No. 2001-14.
Requests for payment of A/P shall be submitted to the DBM through the Systems and Procedures Bureau.
Yes. For State Universities and Colleges (SUCs), and the Regional Offices of DPWH, DOH, DECS, and TESDA (with respect to Fund 101 requests except for the OSEC-CO), requests are submitted to the DBM Regional Offices concerned.
The letter request should include: Department, Agency, Fund Code, Amount of Request, Internal Creditors, and External Creditors.
The exception is the Trial Balance, which under the New Government Accounting System does not provide a distinction in prior years and current year obligations.
It must list only due and demandable A/Ps arranged by payment priority, certified correct by the head of the accounting unit and approved by the agency head, and include only those ready for payment after compliance with accounting and auditing rules.
It is a master list of A/Ps as of end of the fiscal year, arranged by year of obligation and classified into: Due and Demandable A/Ps; A/Ps covered with Advances; A/Ps covered with Direct Payments; and A/Ps covered with Prepayments and Deposits.
A diskette containing the Master List must be submitted together with the hard copy.
It is a monthly statement of charges to A/Ps of the immediately preceding month when the request was submitted, indicating only the A/Ps for which payments/reversions/adjustments have been made.
External creditors are contractors/suppliers/individuals who are not employees of the department or agency concerned, for which payment of A/P shall be made through Direct Remittance to their accounts (Direct Remittance Scheme).
Payment is made through Direct Remittance to their accounts under the Direct Remittance Scheme.
It may be exempted for one-time or small transactions (e.g., below the Government Servicing Bank’s minimum maintaining balance of P1,000). In such case, payment is made through MDS check.
Issue the NCA to the MDS-GSB of the agency; the agency’s MDS-GSB forwards payment to the creditor’s preferred bank chargeable against the NCA; bank charges from the transfer are deducted from the amount credited to the creditor.
Retirees may choose either payment through MDS check or through the Direct Payment Scheme.
The agency must properly disclose in the List of Due and Demandable A/Ps the external creditors to be paid through MDS checks.
To facilitate payment of claims and avoid recurring circuitous actions, the authority to approve change in the name of creditors and retirees (including pensioners) is delegated to agency heads per CL No. 2001-14.
Corrections where the name change refers to one and the same person/company, such as change in family name due to status change, omission of 'Jr.' or omission of 'Company/Incorporated' from a business name, and other cases where proof shows the creditor name in the List of Due and Demandable A/P is the same party/company being claimed.
It shall be made through a letter to the MDS-GSB, signed by the agency’s authorized signatories in the MDS Check/Advice to Debit Account.
They take effect immediately.