QuestionsQuestions (COA CIRCULAR NO. 2009-001)
It reiterates the requirement for audited agencies to submit within the prescribed periods copies of perfected government contracts, purchase orders, and supporting documents to the Commission on Audit, to facilitate timely, systematic, and effective audit review—particularly of technical aspects—and to address observed non-compliance and documentary deficiencies.
All government agencies, including government-owned and controlled corporations and their subsidiaries, entering into contracts, purchase orders, and similar instruments, regardless of amount.
Within five (5) working days from the execution of the contract by the government or any of its subdivisions, agencies, or instrumentalities.
To the Auditor of the mother agency or parent company, as the case may be.
Examples include: (1) Invitation to Apply for Eligibility and to Bid; (2) Letter of Intent; (3) Eligibility Documents and Eligibility Data Sheet; (4) Results of Eligibility Check/Screening; (5) Bidding Documents under Sec. 17.1, IRR-A of RA 9184; (6) Minutes of Pre-bid Conference; (7) Bidders’ Technical and Financial Proposals; (8) Notice of Award; (9) Contract Agreement; (10) Notice to Proceed—among others.
A copy of any purchase order, irrespective of amount, and each supporting document must be submitted to the Auditor concerned within five (5) working days from issuance.
The Auditor must review within five (5) to twenty (20) working days depending on the complexity of the contract.
Evaluation of compliance with applicable laws, rules, and regulations; completeness of documentary requirements; and an initial evaluation that contractual covenants are not disadvantageous to the government.
Without waiting for the lapse of the review period, the Auditor shall call immediate attention of management to defects/deficiencies and suggest corrective measures.
The head of the agency must be notified within twenty-four (24) hours from the determination, indicating the reasons.
Within five (5) working days after the Auditor’s review, it must be forwarded to the Technical Audit Specialist (TAS) assigned in the auditing unit/cluster or to the Regional Technical Services Office (RTSO), accompanied by the relevant checklist.
P5 million and below: 5 working days; Above P5 million up to P20 million: 14 working days; Above P20 million: 21 working days.
It applies also to supplementary contracts, variation orders, and the like.
The Auditor shall conduct a canvass of the prices using price references from legitimate suppliers, the Procurement Service, Technical Services Office, other government agencies with similar procurement, and those posted in the internet.
Administrative disciplinary action under (a) Section 127 of PD 1445, (b) Section 55, Title I-B, Book V of the Revised Administrative Code of 1987, and (c) Section 11 of RA 6713.
An Audit Observation Memorandum shall be issued calling attention to management and requesting compliance; if not complied with, the transactions covered by unsubmitted documents may be suspended in audit and the penalties provided in Section 4.1 may be enforced.
Fifteen (15) days after publication in two (2) newspapers of general circulation in the Philippines.