Question & AnswerQ&A (COA CIRCULAR NO. 2009-001)
The main purpose is to reiterate and restate the submission requirements of government contracts, purchase orders, and their supporting documents to the Commission on Audit to implement a systematic and effective review process and generate timely and relevant audit results.
This circular covers all contracts, purchase orders, and similar documents entered into by any government agency regardless of the amount involved.
A copy of the contracts and supporting documents must be furnished to the Auditor within five (5) working days from the execution of the contract.
For agencies audited on an engagement basis, the submission shall be made to the Auditor of the mother agency or parent company.
Key documents include Invitation to Apply for Eligibility and to Bid, Letter of Intent, Eligibility Documents, Bidding Documents, Minutes of Pre-bid Conference, Bidders Technical and Financial Proposals, Post Qualification Report, BAC Resolutions, Notice of Award, Contract Agreement, Performance Security, Program of Work, Certificate of Availability of Funds, Notice to Proceed, and other relevant documents peculiar to the contract.
The Auditor shall review the contract within five (5) to twenty (20) working days depending on the complexity of the contract.
The Auditor must immediately call the attention of management regarding the defects and suggest corrective measures. If the defect renders the contract void, the head of the agency must be notified within twenty-four (24) hours.
Within five (5) working days following the review, the Auditor forwards the contract and supporting documents to the Technical Audit Specialist or Regional Technical Services Office for technical review.
Contracts worth P5 million and below: 5 working days; Above P5 million up to P20 million: 14 working days; Above P20 million: 21 working days.
A copy of any purchase order and all supporting documents must be submitted to the Auditor within five (5) working days from issuance, and the Auditor must review and report any defects or deficiencies within the same period.
Unjustified failure to comply may lead to administrative disciplinary action under Section 127 of PD No. 1445, Section 55 of the Revised Administrative Code of 1987, and Section 11 of Republic Act No. 6713.
The Auditor issues an Audit Observation Memorandum requesting compliance, suspends audits on transactions covered by unsubmitted documents, and enforces penalties prescribed by law if compliance is not met.
It took effect 15 days after publication in two newspapers of general circulation in the Philippines.