COA Guidelines on GOCCs' Miscellaneous Expenses

The Circular recognizes that governing boards of GOCCs/GFIs are empowered to appropriate funds through board resolutions for extraordinary and miscellaneous expenses.
The Circular states that earlier COA circulars issued for similar matters pertain to national government agencies.
The Circular mandates rules to regulate the incurrence of extraordinary and miscellaneous expenditures in government corporations.
The Circular’s purpose is to prevent or disallow irregular, unnecessary, excessive, extravagant, or unconscionable use of government funds.

The Circular applies to all GOCCs, GFIs and their subsidiaries.
The Circular covers extraordinary and miscellaneous expenses and other similar expenses.
The Circular covers expenses characterized as discretionary, business development expenses, representation expenses and the like when their nature or purpose fits the categories enumerated in the Circular.
The Circular allows inclusion of other similar expenses within the same contemplation as extraordinary and miscellaneous expenses.

The Circular covers disbursements for meetings, seminars and conferences.
The Circular covers disbursements for official entertainment.
The Circular covers disbursements for public relations.
The Circular covers disbursements for educational, athletic and cultural activities.
The Circular covers disbursements for contribution to civic and charitable institutions.
The Circular covers disbursements for membership in government associations.
The Circular covers disbursements for membership in national professional organizations duly accredited by the Professional Regulation Commission.
The Circular covers disbursements for membership in the Integrated Bar of the Philippines.
The Circular covers disbursements for subscription to professional technical journals and informative magazines, library books and materials.
The Circular covers disbursements for other similar expenses not supported by regular budget allocation.
The Circular provides that the enumeration is not exclusive, and it does not prevent inclusion of other similar disbursements categorized as extraordinary and miscellaneous expenses under its contemplation.

The Circular requires the amount authorized in the corporate charters of GOCCs/GFIs to be the ceiling for disbursement of extraordinary and miscellaneous expenses.
Where corporate charter authority is lacking and authority is derived from the General Appropriations Act (GAA), the amounts fixed under the GAA are the ceiling for disbursements.
The Circular requires payment of these expenditures on a strictly non-commutable or reimbursable basis.
The Circular requires claims for reimbursement to be supported by receipts and/or other documents evidencing disbursements.
The Circular prohibits using any portion of the appropriated amounts for salaries, wages, allowances, intelligence and confidential expenses, which are covered by separate appropriations.

The Circular amends or repeals any and all issuances inconsistent with it accordingly.