REPUBLIKA NG PILIPINAS MINISTRI NG PANANALAPI MAYN I LA

MINISTRY ORDER NO. 7-86 March 13, 1986 All Regional Directors for Local Government Finance, this Ministry, the Commissioner for Finance, Metropolitan Manila Commission; Provincial Governors, City Mayors, and Municipal Mayors; Provincial/City/Municipal Treasurers; and Others Concerned.

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Upon representations made by the Ministry of Local Government, and in order not to disrupt normal operations of local government units and impair the delivery of essential public services, it is hereby directed that, as a general rule, local treasurers shall consider officers designated by the Ministry of Local Government in an acting capacity or as Officers-in-Charge of the Offices of the Provincial Governors, City Mayors, and Municipal Mayors as

the authorized signatories for purposes of disbursement of local funds, provided that: 1.

In localities where the Government, thru the Minister of Local Government, has designated an official in an acting capacity or as OfficerIn-Charge to replace the incumbent Provincial Governor, City Mayor, or Municipal Mayor and such official has actually assumed office, the local treasurer shall consider him as the authorized signatory for all financial transactions, provided that, for purposes of countersigning checks and other financial documents, he shall be required to accomplish specimen signature cards and other official forms prescribed under existing COA Circulars, CB Circulars and/or existing regulations of this Ministry and duly-authorized government depository banks;

2.

In provinces, cities and municipalities where the Government, thru the Minister of Local Government, has not designated another official in an acting capacity or as Officer-in-Charge, incumbent Provincial Governors, City Mayors, or Municipal Mayors shall be regarded as hold-over officials in their respective offices, and may still be considered as the authorized signatory in financial transactions enumerated hereafter; and

3.

In places where the officer designated in an acting capacity or as Officer-in-Charge of the Office of the Provincial Governor, City Mayor,

ISANG BANSA, ISANG DIWA, ISANG WIKA

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2 or Municipal Mayor has not actually assumed office, disbursements that may be signed by the incumbent shall be limited to expenditures indicated below. Until further instructions, local treasurers of localities falling under Nos. 2 and 3 of the preceding paragraph shall limit disbursements of local funds to the following expenditures:

1.

c,

Expenses falling under Personal Services such as: a)

Salaries and wages of officials and employees holding permanent or temporary appointments payable from either the local general fund or infrastructure fund.

b)

Wages of casual and emergency employees up to but not beyond March 31, 1986, unless sooner terminated by proper authority.

c)

Money value of accumulated leave credits of elective and appointive officials and employees.

d)

Money value of terminal leaves of elective and appointive officials and employees.

2.

Ordinary expenses falling under the category of Maintenance and Current Operating Expenses, such as supplies, fuel, communications, electric current and water consumption bills, ordinary repairs of government vehicles and equipment, and similar other expenses.

3.

Remittances of statutory obligations.

4.

Loan amortizations due government banks, financial institutions, and national ministries and agencies.

5.

Contractual obligations arising from the prosecution or implementation of projects that have accrued as of February 21, 1986 or earlier, provided, however, that the corresponding expenditure vouchers are duly supported by existing appropriations and by supporting papers and documents required under existing accounting and auditing regulations.

6.

Relief and rehabilitation expenses in the event of a natural calamity.

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The provisions of previous Ministry Orders, Circulars and other issuances of this Ministry which are contrary to or inconsistent herewith are hereby modified accordingly. This Order takes effect immediately.

Strict compliance herewith is hereby enjoined.

V. ONG Minister let

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