Republic of the Philippines - COMMISSION ON AUDIT : Commonwealth Avenue, Quezon City RESOLUTION No. +2017. G05 Date + APh 25 201%, SUBJECT — = Cyclical Audit of Water Districts : WHEREAS, the Commission on Audit (COA) is mandated to examine, audit and settle, in accordance with law and regulations, all accounts pertaining to the revenues and receipts of, and expenditures or uses of funds and property owned or held in trust by, or pertaining to, the Government, or any of its subdivisions, agencies or instrumentalities, including government-owned and/or controlled corporations; WHEREAS, in the case Davao City Water District et al. vs. Civil Service Commission (CSC) et al., GR No, 95237-38 dated September 13, 1991, the Supreme Court confirmed that all Water Districts (WDs) organized under Presidential Decree (PD) No. 198 are government-owned or controlled corporations with original charter and fall under the jurisdiction of the COA and the CSC; WHEREAS, the 1987 Constitution vests in the COA, the exclusive authority to define the scope of its audit and examination and to establish the methods anc techniques required therefor; WHEREAS, the annual audit of all WDs could not be regularly undertaken considering their significant number nationwide compared to the limited number of auditors available to conduct the audit thereof; NOW THEREFORE, in view of the foregoing, the Commission hereby resolves to adopt the cyclical audit of WDs for a period of two years from the effectivity hereof. Water Districts under categories A and B which generally refer to Large and Big WDs, respectively, shall be audited annually while, WDs under categories C and D which generally refer to Medium and Small WDs, respectively, shall be audited biennially. in the two-year period of cyclical audit, the regions shall endeavor to attain full manning of the WDs Audit Group to enable the conduct of a regular annual audit of al! WDs at the end of two-year period RESOLVED FURTHER, that the Chairperson shall issue the implementing guidelines to carry out the policy enunciated in this Resolution, upon the recommendation of the Assistant Commissioner, Corporate Government Sector. This Resolution takes effect upon its approval. Quezon City, Philippines, Ph STU cent | i MICHAEL 6. AGOINALDO (\) Q Pthairperson ‘ ; eH : / [ra_f— Adby Jet cost XW IGABEL D. hao Commissioner ‘ommissioner