ACCOUNTABLE

OFFICER
Accountable Officer

Under Art. 217 of the Revised Penal Code

 Accountable officer is a public officer
who, by reason of his office, is
accountable for public funds or
property
Accountable Officer
Sec. 101(1) of the Government Auditing Code of the
Philippines (P.D. No. 1445)
 every officer of any government agency
whose duties permit or require the
possession or custody of government funds
or property and who shall be accountable
therefore and for the safekeeping thereof in
conformity with law.
 Fundamental Principles
Governing the Financial
Transactions and Operations
of Any Government Agency
Fundamental Principles Governing the Financial Transactions and
Operations of Any Government Agency (PD NO. 1445)

1. No money shall be paid out of any

public treasury of depository except in
pursuance of an appropriation law or
other specific statutory authority.
Fundamental Principles Governing the Financial Transactions and
Operations of Any Government Agency (PD NO. 1445)

2. Government funds or property

shall be spent or used solely for
public purposes.
Fundamental Principles Governing the Financial Transactions and
Operations of Any Government Agency (PD NO. 1445)

3. Trust funds shall be

available and may be
spent only for the specific
purpose for which the
trust was created or the
funds received.
 Fundamental Principles Governing the Financial Transactions and
Operations of Any Government Agency (PD NO. 1445)

4. Fiscal responsibility shall, to the greatest extent,

be shared by all those exercising authority over the
financial affairs, transactions, and operations of
the government agency.
Fundamental Principles Governing the Financial Transactions and
Operations of Any Government Agency (PD NO. 1445)

5. Disbursements or
disposition of government
funds or property shall
invariably bear the approval
of the proper officials.
Fundamental Principles Governing the Financial Transactions and
Operations of Any Government Agency (PD NO. 1445)

6. Claims against
government funds
shall be supported
with complete
documentation.
 Fundamental Principles Governing the Financial Transactions and
Operations of Any Government Agency (PD NO. 1445)

7. All laws and

regulations applicable
to financial
transactions shall be
faithfully adhered to.
 Fundamental Principles Governing the Financial Transactions and
Operations of Any Government Agency (PD NO. 1445)

8. Generally accepted principles and practices of

accounting as well as of sound management and
fiscal administration shall be observed, provided
that they do not contravene existing laws and
regulations
CASH ADVANCE GENERAL
PRINCIPLES
(Sec. 2, COA Circular No. 97-002)
 CASH ADVANCE GENERAL PRINCIPLES
(Sec. 2, COA Circular No. 97-002)

Ideally, cash should be handled

under the general principles of the
imprest system, to wit:

1. Daily receipts on collections must

be deposited intact with the proper
bank.
2. All payments must be made by
cheque.
CASH ADVANCE GENERAL PRINCIPLES
(Sec. 2, COA Circular No. 97-002)

3. Only payments in small

amounts may be made
through the petty cash fund.
Replenishment of the petty
cash fund shall be equal to
the total amount of
expenditures made there
from.
 CASH ADVANCE GENERAL PRINCIPLES
(Sec. 2, COA Circular No. 97-002)

In practice, however, there are certain instances when

it may be very difficult, impractical or impossible to
make payments by check. In such a case, payments
may be made by the disbursing officer in the form of
cash through his cash advance.
Rationale for the Use of Cash Advance
System
 It has been
recognized as a
facilitative tool
in the financial
operations of
the government
Types of Cash Advance
(Sec. 3, COA Circular No. 97-002)
 Types of Cash Advance
(Sec. 3, COA Circular No. 97-002)

1. Regular Cash Advance

• are those granted to
cashiers, disbursing
officers, paymasters,
and/or property/supply
officer
 Types of Cash Advance
(Sec. 3, COA Circular No. 97-002)

2. Special Cash Advance

• those granted on the
explicit authority of the
Head of the Agency only
to duly designated
disbursing officers or
employees for other
legally authorized
purposes.
Purpose of Regular
Cash Advances
 Purpose of Regular Cash Advances

• Salaries and wages

• Commutable allowances
• Honoraria and other similar payments to
officials and employees
 Purpose of Regular Cash Advances

• Petty operating expenses consisting of small

payments for maintenance and operating
expenses which cannot be paid conveniently
by check or are required to be paid
immediately.
Purpose of Special
Cash Advances
Purpose of Special Cash Advances

1. Current operating
expenditures of the agency
field office or of the activity
of the agency undertaken in
the field when it is
impractical to pay the same
by check, such as:
 Purpose of Special Cash Advances

- salaries, wages, and allowances

- maintenance and other operating expenses
 Purpose of Special Cash Advances

2. Travel expenditures
including transportation
fare, travel allowance,
hotel room/lodging
expenses and other
expenses incurred by
officials and employees in
connection with official
travel.
 GENERAL GUIDELINES IN
GRANTING CASH ADVANCES
(Sec. 4, COA Circular No. 97-002 reiterated in COA Circular
2009-002 and Sec. 89 of PD 1445)
GENERAL GUIDELINES IN GRANTING CASH ADVANCES

• No Cash advance shall

be given unless for a
legally authorized specific
purpose.
 GENERAL GUIDELINES IN GRANTING CASH ADVANCES

• No additional cash advances shall be

allowed to any official or employee unless the
previous cash advance given to him is first
settled or a proper accounting thereof is made.
 GENERAL GUIDELINES IN GRANTING CASH ADVANCES

• No cash advance shall be granted for

payments on accounts on infrastructure projects
or other undertaking on a project basis.
 GENERAL GUIDELINES IN GRANTING CASH ADVANCES

• A cash advance shall be reported on as

soon as the purpose for which it was
given has been served.
GENERAL GUIDELINES IN GRANTING CASH ADVANCES

• Only permanently
appointed officials shall
be designated as
disbursing officers.
Elected officials may be
granted a cash advance
only for their official
traveling expenses
 GENERAL GUIDELINES IN GRANTING CASH ADVANCES

Only duly appointed or

designated disbursing officers
may perform disbursing
functions.
Officers and employees who
are given cash advances for
official travel need not be
designated as Disbursing
Officers.
 GENERAL GUIDELINES IN GRANTING CASH ADVANCES

Transfer of cash
advance from one
Accountable
Officer (AO) to
another shall not
be allowed.
GENERAL GUIDELINES IN GRANTING CASH ADVANCES

• The cash advance shall

be used solely for the
specific legal purpose for
which it was granted. Under
no circumstance shall it be
used for encashment of
checks or for liquidation of a
previous cash advance.
 GENERAL GUIDELINES IN GRANTING CASH ADVANCES

• The Accountant shall

obligate all cash advances
granted. He/She shall see
that cash advances for a
particular year are not used
to pay expenses of other
years
General Requirements
for All Types of
Disbursement
 General Requirements for All Types of
Disbursement
1. Certificate of Availability of Funds
issued by the Chief Accountant
2. Existence of lawful and sufficient
allotment duly obligated as certified
by authorized officials
3. Legality of transaction and conformity
with laws, rules or regulations
4. Approval of expenditure by Head of
Office or his authorized representative
5. Sufficient and relevant documents to
establish validity of claim
 Documentary
Requirements for
Common Government
Transactions
 Documentary Requirements for Common Government
Transactions (COA Circular NO. 2012-001)

•Designation as Disbursing Officer issued by

the Head of the Agency indicating the
maximum accountability and purpose of
cash advance
•Approved application for bond and/or
Fidelity Bond for the year for cash
accountability of P5,000 or more (COA
Circular No 2013-001)
 Documentary Requirements for Common Government
Transactions (COA Circular NO. 2012-001)

•Certification from the Accountant

that previous cash advances have
been liquidated and accounted for in
the books
MARKET PURCHASE
MARKET PURCHASE DOCUMENTARY REQUIREMENTS
FOR LIQUIDATION/ REPLENISHMENT

a Disbursement Voucher
a Obligation Request
a Daily list of Patients subsisted
a Daily list of Menu
a Statement of Daily Market
Purchase
a Official Receipt & Sales Invoice
a Certification of Expenses not
Requiring Receipts
a Certification that resorted to
Purchase of Items
a Official receipt (for refund)
a Negative Obligation Request
PRISONERS’ SUBSISTENCE
ALLOWANCE
DOCUMENTARY REQUIREMENTS FOR LIQUIDATION/
REPLENISHMENT
a Disbursement Voucher
a Obligation Request
a Roster of Inmates duly certified by the Jail
Warden/Superintendent
a Certification from the concerned officials on
actual number of inmates (jail population)

a Statement of Daily Market Purchase

DOCUMENTARY REQUIREMENTS FOR LIQUIDATION/
REPLENISHMENT
a Official Receipt & Sales Invoice
a Certification of Expenses not Requiring
Receipts (Purchases P300 & below)
a Reimbursement Expense Receipt (Purchases
P300 & above)
a Summary of Committed and Released Inmates
on a daily basis duly signed by the Jail
Warden/Superintendent
DOCUMENTARY REQUIREMENTS FOR LIQUIDATION/
REPLENISHMENT
a Certificate of discharge on a daily basis, if
there is any, duly signed by the Jail
Warden/Duty Gater/Superintendent and other
responsible officials
a Report of disbursement duly supported with
necessary documents depending on the
nature of expenses
SPECIAL CASH ADVANCES
SCHOLARSHIP GRANT DOCUMENTARY REQUIREMENTS

Additional Documentary Requirements for initial

cash advance

a Approved Payroll duly acknowledged/ signed

by payees
a Summary of Cash Advance
SCHOLARSHIP GRANT DOCUMENTARY REQUIREMENTS
Liquidation
• Report of Disbursement certified correct by
the accountable officer
• Photocopy of Disbursement Voucher
• Photocopy of Cheque of Cash Advance
• Summary of cash advance
• Approved Payroll duly acknowledged/
signed by payees
• Summary of Cash Return (if any)
• Official Receipt (for cash return)
 AICS DOCUMENTARY REQUIREMENTS

Additional Documentary Requirements for initial

cash advance

• Approved Payroll duly acknowledged/

signed by payees
• Summary of Cash Advance
 AICS DOCUMENTARY REQUIREMENTS

Kabalaka kang Gobernadora sa Lola kag Lola

sa Probinsya Program

For Indigent
1. Certificate of eligibility signed by the
claimant
2. Certification Stating that the client is 85
years and above, indigent and still alive
3. OSCA Identification Card
 AICS DOCUMENTARY REQUIREMENTS
Kabalaka kang Gobernadora sa Lola kag Lola sa
Probinsya Program

For Indigent
1. Certificate of eligibility signed by the claimant
2. Certificate of person in crisis situation is still
alive
3. Medical Certificate
4. OSCA Identification Card
 AICS DOCUMENTARY REQUIREMENTS

Medical Assistance
1. Social Case Study
2. Certificate of Eligibility
3. Medical Certificate
4. Certificate of Indigency
5. Any Valid ID
 AICS DOCUMENTARY REQUIREMENTS

Burial Assistance
1. Social Case Study
2. Certificate of Eligibility
3. Registered Death Certificate
4. Billing Statement
5. Certificate of Indigency
6. Any Valid ID
 AICS DOCUMENTARY REQUIREMENTS

Special Cases
1. Social Case Study
2. Medical Certificate
3. Certificate of Eligibility
4. Certificate of Indigency
5. Any Valid ID
 AICS DOCUMENTARY REQUIREMENTS
Victims of Calamities/ Disaster
(Totally and Partially Damaged Houses/ Loss of Livelihood)
1. Social Case Study Report
2. Pictures of destroyed house livelihood
3. Blotter Report
4. Certificate of Eligibility
5. Certificate of Indigency
6. Any Valid ID
 AICS DOCUMENTARY REQUIREMENTS

Liquidation
• Report of Disbursement certified correct
by the accountable officer
• Photocopy of Disbursement Voucher
• Photocopy of Cheque of Cash
Advance
•
 AICS DOCUMENTARY REQUIREMENTS

• Summary of cash advance

• Payroll duly acknowledged
• Summary of Cash Return (if any)
• Official Receipt (in case of refund of
unclaimed assistance)
MEDICARE SHARE DOCUMENTARY REQUIREMENTS

Documentary Requirements:
1. Approved Payroll duly acknowledged/
signed by payees
2. Summary of cash advance
 WAGES OF JOB ORDERS DOCUMENTARY
REQUIREMENTS

Additional Documentary Requirements for initial

cash advance
• Approved Payroll duly acknowledged/
signed by payees
• Summary of Cash Advance
 PHIC REFUND DOCUMENTARY REQUIREMENTS

Additional Documentary Requirements for initial

cash advance
• Approved Payroll duly acknowledged/
signed by payees
• Summary of Cash Advance
PETTY CASH
General Guidelines
Liquidation of
Cash Advances
The accountable officer shall liquidate cash advances within
the following period:

• Salaries, Wages, Allowances, Honoraria

and Other Similar Payments

- within 5 calendar days after the end of

the pay period
The accountable officer shall liquidate cash advances within
the following period:

• Petty Cash Fund (PCF)

- as soon as the disbursements reaches 50% or as
needed
- replenishment shall be equal to the total amount of
expenditures made therefrom.
The accountable officer shall liquidate cash advances within
the following period:

• Special purpose
 as soon as the purpose of the cash
advance has been served.
PROPER MAINTENANCE
OF CASH BOOK
 Handling, Custody and
Disposition of the Cashbook
(COA CIRCULAR NO. 90-331)
 NEW CASH BOOK

AO

A newly appointed or designated AO shall start with a new cashbook. Before discharging his
duties, the new AO shall be briefed by the Accountant and the Auditor on the proper
recording of the transactions and other matters related to his work.
 RECORD
DAILY

SEPARATE
BOOKS

2. The AO shall maintain separate cashbooks for salaries, wages, allowances,

petty operating expenses. The AO shall record the transactions in the prescribed
cashbook daily. He may record each invoice/receipt/voucher individually or
the total disbursements for the day depending on the volume of the transactions.
 RECONCILE DAILY
QUARTERLY
3. The AO shall reconcile the book balance with the cash on hand daily. He
shall foot and close the books at the end of each month. The AO and the
Accountant shall reconcile their books of accounts at least quarterly.
 PLACE INSIDE
CABINET OR SAFE
ISSUE RECEIPT
4. The cashbooks shall be kept at the Office of the AO and placed inside the
safe or cabinet when not in use. It may be taken from his custody only by the
Auditor or an official duly authorized by the Agency Head, who shall issue the
necessary receipt.
AO CEASES CASH BOOK WILL BE SUBMITTED TO THE ACCOUNTANT

5.When the AO ceases to be one, the cashbook shall have submitted to the
Accountant and shall form part of the accounting records. No clearance shall be
issued to an AO if he fails to submit the cashbook as required
Legal Presumption Against
Non-Liquidation
 CRIMINAL CHARGES
Chapter 4. Revised Penal Code.
MALVERSATION OF PUBLIC FUNDS OR PROPERTY
Any public officer who, by reason of the duties of his
office, is accountable for public funds or property, shall
appropriate the same or shall take or misappropriate or
shall consent, through abandonment or negligence, shall
permit any other person to take such public funds, or
property, wholly or partially, or shall otherwise be guilty of
the misappropriation or malversation of such funds or
property, shall suffer:
 CRIMINAL CHARGES
MALVERSATION OF PUBLIC FUNDS OR PROPERTY

1. The penalty of prison correctional in its medium and

maximum periods, if the amount involved in the
misappropriation or malversation does not exceed
two hundred pesos.

2. The penalty of prison mayor in its minimum and , if

the amount involved is more than two hundred pesos
but does not exceed six thousand pesos.
 CRIMINAL CHARGES
MALVERSATION OF PUBLIC FUNDS OR PROPERTY

3. The penalty of prison mayor in its maximum period to

reclusion temporal in its minimum period, if the amount
involved is more than six thousand pesos but is less than
twelve thousand pesos.

4. The penalty of reclusion temporal, in its medium and

maximum periods, if the amount involved is more than twelve
thousand pesos but is less than twenty-two thousand pesos. If
the amount exceeds the latter, the penalty shall be reclusion
temporal in its maximum period to reclusion perpetua.
If the amount exceeds the latter, the penalty
shall be reclusion temporal in its maximum period
to reclusion perpetua.

In all cases, persons guilty of malversation shall

also suffer the penalty of perpetual special
disqualification and a fine equal to the amount
of the funds malversed or equal to the total
value of the property embezzled.
The failure of a public officer to have duly
forthcoming any public funds or property with
which he is chargeable, upon demand by any
duly authorized officer, shall be prima facie
evidence that he has put such missing funds or
property to personal use. (As amended by RA
1060).