COMMISSION ON AUDIT CIRCULAR NO.

95-013
December 28, 1995

TO : All Heads of Departments Bureaus, Agencies and Offices of the National

Government; Managing Heads of Government-Owned and/or Controlled
Corporations, and Self-governing Boards or Commissions; Provincial Governors;
City and Municipal Mayors; COA Directors; All Heads of Auditing Units and All
Others Concerned.

SUBJECT : Amendment/modification of provisions of the Manual on Certificate of Settlement

and Balances with respect to the booking up of disallowances or charges which
shall now be effected after the disallowance or charge has become/final and
executory.

Section 33.2 of the CSB Manual as issued under COA Circular No. 94-001, dated January
20, 1994 is hereby amended to read as follows:

"33.2 Recording of the Disallowances and Charges - It shall be the responsibility of the
auditor:
33.2.1 To require the Chief Accountant to record in the books of accounts all
disallowances and charges that have become final and executory in
accordance with the following procedures:
a. In the case of disallowances or charges that have become final and
executory at the level of the auditor (there being no request for
reconsideration nor appeal filed within the prescribed period),
immediately upon receipt of the directive of the COA Director
concerned finding the disallowances or charges to be proper after
review and evaluation of the same pursuant to Section 11.7.3.2
hereof;
b. Thirty (30) days after receipt by the management of the auditee-
agency of a written order, decision or resolution of the Commission
Proper (CP), provided no motion for reconsideration has been made
with the CP, or petition for certiorari filed with the Supreme Court,
within the same period.
33.2.2 In case of failure of the Chief Accountant to record in the books of
accounts the disallowance and charges as required in the preceding
paragraphs, to send immediately a written Memorandum requiring the
Chief Accountant to comply with the booking of the same. If no action is
still taken, another Memorandum should be issued for the same purpose.
33.2.3 After the lapse of five (5) days from receipt of the second memorandum
advising the non-booking of the disallowances and charges, to notify the
Director concerned of such non-compliance. Upon receipt of said
notification, the Director concerned shall, after evaluation, file the
administrative complaint if warranted, on the basis of the
evidences/documents presented.
 All COA Circulars, Memoranda and other issuances inconsistent herewith are hereby
revoked or modified accordingly.

This Circular shall take effect immediately.

(Sgd.) CELSO D. GAÑGAN

Chairman

(Sgd.) ROGELIO B. ESPIRITU (Sgd.) SOFRONIO B. URSAL

Commissioner Commissioner