“It’s Never Too Late

to Learn”
Why are we here?
1. Orient AO II / Newly – Designated
School Property Custodians on
matters related to Phases of Supply
Management;

2. Enhance knowledge and skills

necessary in preparation of
Inventory Reports for submission to
COA and other concerned offices,
sections & unit;

4
Why are we here?

3.. To familiarize forms, commonly used

terms in Property & Supply Management;

4. Re – introduction of ECARES – AIMS

through hands on application

5
Orientation / In – Depth Discussion on
SCHOOL – BASED
ASSET MANAGEMENT
June 21 & 22 , 2022

EDWIN F.BALBUENA
Administrative Officer IV
Division of Rizal
Basic Principles
RA 6713 – Section 1 Article 11 of the 1987 Philippine Constitution states that
“Public Office is a Public Trust”. Public officials and employees must at all times be
accountable to the people, serve them with utmost honesty, responsibility, integrity,
loyalty, efficiency and act with patriotism and lead a modest lives.
Section 2 of Presidential Decree No. 1445 otherwise known as the State Auditing Code
of the Philippines states that :
“all resources of the government shall be
(1) managed
(2) expended or utilized in accordance with law, rules and regulations
(3) safeguarded against loss or wastage through illegal or improper disposition

Every officer of the government whose duties require the custody of funds and property
should adhere to the declare policy of the state.

He shall exercise Transparency, Accountability, Responsibility and Liability in undertaking

the duties and functions. Subsequently, the exercise of such duties and functions shall
mean to provide good governance in the implementation of the programs and projects

7
 Custodianship

Includes:

Liability
Responsibility Accountability

of accountable officers arising from loss, misuse, damage or

deterioration of government property due to fault or negligence in the
safekeeping
Accountability –

a person’s obligation to carry out responsibilities and

be answerable for decisions and activities

Accountable Officer -
any officer or employee of the government who by
reason of his office or duties is required or is
permitted to have custody of public funds or property
Responsibility -
The acceptance of assigned authority and the obligation prudently to exercise
assigned or imputed authority attaching to the assigned or imputed role of an
individual or group participating in organizational activities or decision

Officers covered –

officers who by reason of their office or duty, ought to be or are deemed to

be in possession or custody of government funds and property

The head of the agency is immediately and primarily responsible

for funds and property pertaining to his agency
Four ( 4 ) Basic
Responsibility of
Property
Custodians
1. Receipt / Accepts of Supplies and
Equipment
2. Safekeeping - protection
from harm,
damage, loss or theft
3. Issuance
Is the act of transferring the
custodianship of a property
from one person to another
 4. Repair and
Maintenance
Repair – process of restoring property/equipt to its original state or to its
working condition.

Maintenance – is action taken to retain the equipt or in a serviceable

condition.
Necessary for the purpose of attaining
and or extending the standard
economical and useful life of equipment

It also serve as sound basis for

scheduling its replacement
Liability -
Refers to the obligation that arises as a consequence of an illegal
or improper act or the non-performance of what one is mandated to do

Liability of the Accountable Officer

1. Shall be liable for its money value in case of improper or unauthorized

use of or misappropriation thereat by himself or by any person for
whose acts he/she may be responsible

2. Liable for all losses, damage or deterioration occasioned by

negligence in the keeping or use of the property, whether or not it
be at the time in his actual custody
Loss of Government Property

It is the power of the

COA to credit losses
of property or act on
application for relief
of accountability
 Roles of Property
Custodian :
1. Receipts & Accepts delivery / transfer / donations.

2. Signs “ Acceptance “ portion of Inspection and

Acceptance Report

3. Records delivery / transfer / donations thru Property Card

and Stock Card

4. Prepares Issuance Documents

5. Conducts Inventory Taking and Maintains PC & SC

6. Prepares Inventory Reports as required by COA

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Phases of
Property & Supply
Management

Acquisition

Inventory
Utilization

Taking
Disposition
Phases of Property and Supply
Management
Acquisition
1. Purchase

2. Delivery

3. Inspection

4. Acceptance
Phases of
Property & Supply
Management

AcquIsItIo
n
PURCHA
SE
Acquisition by Purchase :

PROPERTIES Purchased by the School thru :

1. MOOE ;
2. Canteen Fund;
3. Raffle / Contest ;
4. Official Contributions;
5. not by Capital Outlay
 Acquisition by School’s Procurement using MOOE
Annual Procurement Plan for Common Use Annual Procurement Plan – Non CSE
Supplies & Equipment ( APP – CSE )
(Name of Agency) Annual Procurement Plan for FY ______

Code Procurement PMO/ Mode of Procurement Schedule for Each Procurement Activity Source of Estimated Budget (PhP) Remarks
(PAP) Program/Project End-User Funds (brief description of Program/Project)
Ads/Post of IB/REI Sub/Open of Bids Notice of Award Contract Signing Total MOOE CO

                 

                 

                 

                 

                 

                 

                

                

                 

                 

                 

                         

DEFINITION Remarks
1. PROGRAM (BESF)– A homogeneous group of activities necessary for the performance of a major purpose for which a Programs and projects should be alligned
government agency is established, for the basic maintenance of the agency’s administrative operations or for the provisions of staff with budget documents, and especially
support to the agency’s administrative operations or for the provisions of staff support to the agency’s line functions. those posted at the PhilGeps.

2. PROJECT (BESF)– Special agency undertakings which are to be carried out within a definite time frame and which are intended to
result in some pre-determined measure of goods and services.

3. PMO/End User - Unit as proponent of program or project

4. Mode of Procurement - Competitive Bidding and Alternative Methods including: selective bidding, direct contracting, repeat order,
shopping, and negotiated procurement.

5. Schedule for Each Procurement Activity - Major procurement activities (advertising/posting; submission and receipt/Opening of
bids; award of contract; contract signing).

6. Source of Funds - Whether GoP, Foreign Assisted or Special Purpose Fund

7. Estimated Budget - Agency approved estimate of project/program costs Breakdown into mooe and co for tracking
purposes; alligned with budget documents

8. Remarks - brief description of program or project Any remark that will help GPPB track
programs and projects
 APP – NON CSE
(Name of Agency) Annual Procurement Plan for FY ______
Code (PAP) Procurement Program/Project PMO/ End- Mode of Procurement Schedule for Each Procurement Activity Source of Funds Estimated Budget (PhP) Remarks (brief
User description of Program/Project)
Ads/Post of IB/REI Sub/Open of Bids Notice of Award Contract Signing Total MOOE CO

                 
                 
                 
                 
                 
                 
                
                
                 
                 
                 
                         

DEFINITION Remarks
1. PROGRAM (BESF)– A homogeneous group of activities necessary for the performance of a major purpose for which a government agency is established, for the basic Programs and projects should be alligned with budget
maintenance of the agency’s administrative operations or for the provisions of staff support to the agency’s administrative operations or for the provisions of staff support to the documents, and especially those posted at the PhilGeps.
agency’s line functions.

2. PROJECT (BESF)– Special agency undertakings which are to be carried out within a definite time frame and which are intended to result in some pre-determined measure of
goods and services.

3. PMO/End User - Unit as proponent of program or project

4. Mode of Procurement - Competitive Bidding and Alternative Methods including: selective bidding, direct contracting, repeat order, shopping, and negotiated procurement.

5. Schedule for Each Procurement Activity - Major procurement activities (advertising/posting; submission and receipt/Opening of bids; award of contract; contract signing).

6. Source of Funds - Whether GoP, Foreign Assisted or Special Purpose Fund

7. Estimated Budget - Agency approved estimate of project/program costs Breakdown into mooe and co for tracking purposes; alligned
with budget documents

8. Remarks - brief description of program or project Any remark that will help GPPB track programs and projects
APP – CSE
Acquisition by School’s Procurement using MOOE
AGENCY PROCUREMENT REQUEST
PURCHASE REQUEST
Acquisition by School’s Procurement using MOOE
DISTRIBUTION LIST ALLOCATION LIST
Other modes of acquiring
Gov’t Property by the school

• The following are the other modes of

acquiring property, whether supplies,
materials, equipment or land, in
government:

1. Transfer
2. Confiscated
3. Production / Manufactured
4. Construction / Repair
5. Donation

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 Acquisition THRU TRANSFER BY the
• 1. Central Office School from :
• 2. Regional Office Responsibility
• 3. Division Office
• 4. Rizal Provincial Government Accountability

• 5. Local Government Unit

• 6. Parent – Teacher Associations Liability

• Somehow similar to Donations

• 7.Other government agencies
Properties Acquired by the School :
• 1. ?????????
• 2. ?????????
• 3. ?????????
• 4. ?????????
• 5. ?????????
• 6. ?????????
• 7. ?????????
Phases of
Property & Supply
Management

AcquIsItIon-
DELIVERY
Phases of
Property & Supply
Management

FORMS / TEMPLATES
USED during A c q u I s
I t I o n - DELIVERY
Acquisition by School’s Procurement using MOOE
DELIVERY RECEIPT SALES INVOICE / SERVICE
Phases of
Property & Supply
Management

AcquIsIt Ion–
Inspection &
Acceptance
 Phases of Property &
Supply Management

FORMS / TEMPLATES USED

during

Inspection & Acceptance

INSPECTION
&
ACCEPTANC
E REPORT
( IAR )
 DO Order No. 82 s. 2011
At the School
The DONOR shall provide the DONEE a DEED
Level
OF DONATION
It must be properly signed between the Donor
and Head of School or Representative

Donated assets shall be

recorded at cost, fair market
value or appraised value when
Elementary Secondary / IUs
cost is not available
and Non - IUs

The School Property Custodian The HS Supply Officer accepts

accepts the delivery and records the the delivery and record the same
delivery to the Property/Stock Card to the Property Card/Stock Card
and School Inventory Report and School Inventory Report

The School Property Custodian forwards

the original Deed of Donation and (school The HS Supply Officer forwards
inventory report) to the DO Supply Officer copy of the Deed of Donation to
for recording DO Accountant for Booking-UP

DO Supply Officer forwards copy of the

Deed of Donation to DO Accountant for
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Booking-UP
Phases of Property &
Supply Management

FORMS / TEMPLATES USED

IN

DONATIONS
Sample Deed of Donation

40
Sample MOA

41
What is an Asset ?
• Assets are sometimes defined as resources or
things of value that are owned by a government.
Some examples of assets which are obvious and
will be reported on balance sheet include: cash,
accounts receivable, inventory, investments,
land, buildings, and equipment.

43
 How ASSETS are categorized?
•Based on COA Circular No. 2005-002 dated April 14, 2005 government assets are categorized as :

P ro p e r t y, P l a nt a n d Eq u i p m e nt
The New Government Accounting System (NGAS) adopts the definition of Property, Plant and
Equipment under the International Accounting Standards No. 16 which states that:
"Property, Plant and Equipment are tangible assets that:
(a) are held by an enterprise for use in the production or supply of goods or services, for
rental to others, or for administrative purposes; and
(b) are expected to be used during more than one period”

I nve nto r i e s
However, there are tangible assets with serviceable life of more than one year but small
enough to be considered as PPE.
To address this issue, the Commission categorized it as “Inventories”

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 ASSETS Category
PROPERTY, PLANT &
EQUIPMENT ( 15 K &
above)
Land
Buildings & Other Structure
ICT Equipment
Office Machinery &
Equipment
Service Vehicles
Furniture, Fixtures &
Books
SEMI – EXPENDABLE INVENTORIES
ITEMS ( P14,999.99)
Office Equipment Textbooks
Office Furniture Common Use Office Supplies
IT Accessories Common Office Supplies and
Materials
Appliances & Fixtures Learning Materials
Classroom Furnitures Construction Supplies &
Materials
Learning Materials Medicines , Covid19 Response
items , Dental Supplies etc.
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Utilization Phase
1. Recording thru Stock and Property Card

Expendable and semi-expendable

Stock Card
(Consumable and Non-Consumable)

“Inventory Items”

Property Card Non-expendable

(Equipment, Furniture, Vehicles,Building

“Property, Plant and Equipment”

How PPE ‘s are recorded?
Used to record the
acquisition issuances,
disposition and other
information about
each class/ kind of
equipment/ furniture
etc that cost Php
15,000 & above .
How CSE / SEI are recorded?
Used to record
the acquisition
issuances,
disposition and
other information
about each class/
kind of
equipment/
furniture that
costs Php
14,999.99
Issuance
is the act of transferring
the custodianship of
property from one person
to another
 Custodianship

Includes:

Liability
Responsibility Accountability

of accountable officers arising from loss, misuse, damage or

deterioration of government property due to fault or negligence in the
safekeeping
 Acquisition THRU TRANSFER BY the
School from :
• 1. Central Office
• 2. Regional Office Responsibility

• 3. Division Office
• 4. Rizal Provincial Government Accountability

• 5. Local Government Unit

Liability
• 6. Parent – Teacher Associations
• Somehow similar to Donations
• 7.Other government agencies
Phases of Property &
Supply Management

FORMS / TEMPLATES USED

during

UTILIZATION –
REQUISITI
ON &
ISSUE Slip
 INVENTORY
CUSTODIAN SLIP
ACKNOWLEDGEM
ENT RECEIPT FOR
EQUIPMENT
 PROPERTY
ACKNOWLEDGEM
ENT RECEIPT
PROPERTY
TRANSFER
REPORT
ACKNOWLEDGE
MENT RECEIPT
Activities in
Property Utilization
2. Issuance and acknowledgement of items

ARE ICS
Acknowledgement Receipt of Eq
uipment Inventory Custodian Slip

IT Equipment, Office quipment , Non-Consumable Supplies

ETC

COA Circular 2005-002 dtd April

15, 2005 “Items that are small enough
to be considered as PPE and has a life
expectancy of less than 5 yrs”
DISPOSAL –

is the end of the life

cycle of a government
property
Determination of Disposable Property

• Can no longer be repaired or reconditioned

• Maintenance/repair costs more than or outweighs the benefits
and services
• Has become obsolete or outmoded
• Has been rendered unnecessary due to change in the Agency’s
functions/mandate
• In excess of requirements
• Has become dangerous or hazardous to use
 MODES OF DISPOSAL

Condemnation / Destruction

Transfer of Property

Donation of Property

Sale of Unserviceable Property

 Destruction or Sale of
Unserviceable Property
 has become unserviceable for any cause
 is no longer needed

Sec. 79 of PD 1445
GAAM 502
Disposal Objectives
• to avoid continuing carrying/inventory costs

• to prevent further deterioration thereby obtaining the fair

return in case of sale

• to relieve accountable officers of unnecessary accountability

• to make available space for the agency

•Documentation
Inventory and Inspection Report of Unserviceable Property
(IIRUP)
• This form is used for :
• disposal of vehicles,
• office equipment,
• furniture, and
• other properties, plant and equipment
which can no longer be repaired or
reconditioned and whose maintenance
cost of repair more than outweighs the
benefits and services that will be
derived from its continued use.
Inventory and Inspection Report of
Unserviceable Property (IIRUP)
Waste Materials Report
• This form shall be used:

• to report all waste materials previously taken up in the

books as assets so that they may be properly disposed
of and dropped from the accounts

• in the disposal of waste materials which result from the

consumption or utilization of expandable materials,
and covers damaged equipment parts, empty
containers, and remnants salvaged from destroyed or
damaged property, plant and equipment.
STEPS / PROCEDURE IN
CONDUCTING
INVENTORY TAKING
Inventory Taking -
• Indispensable procedure for checking the integrity of property
custodianship

Supplies and Materials

Must be done at least every 6 months or every
June 30 and December 31 of each year

Property, Plant and Equipment

Must be done at least once a year

Reconciliation of Property &
Accounting Records
 Procedure / Requirements for Relief of
Accountability

Immediately notify the auditor of the occurrence of the loss

and within thirty (30) days submit an application for relief

** Affidavit executed by the accountable officer stating the following facts:

1. Property lost and its valuation
2. Actual date in which the absence was first noted
3. Manner of disappearance
4. Efforts put forth to recover the same
5. Provision made to safeguard the property
6. Date when the loss was reported to the Auditor and Police
 Commonly Used Terms / Forms
• APP CSE • APP non CSE
• Purchase • Procure
• Allocation List • Distribution List
• Receipt • Accept
• Purchase Request • Agency Procurement Request
• Purchase Order • Contract
• Inspection Report • Acceptance Report
• Semi – Expendable Items • Property , Plant & Equipment
 Commonly Used Terms / Forms
• Consumable • Expendable
• Delivery Receipt • Sales Invoice / Service Invoice
• Certificate of Final Acceptance • Certificate of Completion
• Property Transfer Report • Property Acknowledgement Receipt
• Request & Issue Slip • Inventory Custodian Slip
• RPCPPE • RPCPI
• DISPOSAL • DISPOSITION
• DOD • MOA
• WMR • IIRUP
- Otal Commitment
- eliable Reports/ Data

- nderstanding the roles

- ocial Responsibilities

- eam Oriented