Institutionalizing Kindergarten Education

Covers procedures and documentary requirements for quarterly accreditation and renewal of surety companies with the BOC.

Only surety companies in good standing with the BOC qualify for accreditation.
To be in good standing, surety companies must:
- Have authority from the Office of the President to engage in surety business.
- Hold a valid Certificate of Authority from the Insurance Commission.
- Have no due and demandable liabilities with the BOC at the time of application/renewal.
- Have settled at least 70% of outstanding obligations as of the first day of the immediately preceding quarter.
Accreditation is valid for one quarter and renewable quarterly.
The calendar year is divided into four quarters for accreditation purposes.
Applications are filed and processed at the Bonds Division of the port where accreditation is sought, reviewed by the Collection Service, and approved by the District Collector.
Bonds issued by non-accredited surety companies or outside their accredited jurisdiction/period are not honored.

Submit written application for renewal at least 15 days prior to the quarter applied for.
Required documentary submissions (original or authenticated copies):
- Administrative Order from the Office of the President authorizing surety business.
- Valid Certificate of Authority from the Insurance Commission.
- Latest audited annual financial statement (not older than one year).
- Certification by Corporate Secretary attesting authorized signatory’s authority and specimen signatures/thumbprints.
- Statement under oath that the company has no outstanding obligation with the BOC exceeding the 30% threshold as of the first day of the preceding quarter.
The 30% threshold includes amount unpaid on bonds subject to compromise, litigation, sequestration, or issues related to valuation/classification.
Bonds Division prepares an Outstanding Account Worksheet detailing bonds and unsettled obligations.
The worksheet is certified by the Chief, Bonds Division and copies furnished to relevant offices.
Bonds Division processes application within seven (7) days and forwards findings with the worksheet to the Collection Service.

Conducts authenticity and compliance review within seven (7) days of receiving application.
Verifies outstanding accounts with various divisions/offices.
May recommend liquidation arrangements for outstanding accounts.
Forwards application to District Collector for approval if compliant; otherwise, advises surety company and relevant offices.

Acts on applications within seven (7) days of receipt.
Approves accreditation with specified quarter and conditions if in order.
Sends disapproval or other actions notices to surety company and relevant offices if not approved.

District Collector and Chief, Collection Service are responsible for proper and effective implementation of the order in their jurisdiction.
Customs officers and personnel are instructed to fulfill responsibilities as specified.
All signatories on required certificates and reports are liable for any defects found.

All inconsistent customs orders, rules, and regulations are repealed or modified accordingly.
The Order becomes effective immediately upon signing on 10 October 2003 by the Commissioner of Customs.