11.1 CSC Resolution No. 021480, dated November 12, 2002, was circularized
through Memorandum Circular No. 24, S. 2002, to provide clarificatory policy
guidelines on contracts of service, ensuring the proper implementation of CSC
Memorandum Circular No. 2017, S. 2002.
11.2 As defined under Section 1.a. of the CSC Resolution 021480, a Contract of
Service (COS) refers to the engagement of a person, private firm, non-
governmental agency, or international organization to perform specific work or
tasks requiring special or technical skills not available within the agency.
11.3 In CY 2024, the Provincial Government entered into various contracts of service
with private individuals to work as Force Multipliers for data acquisition under
Task Force SAGAR and Task Force Octopus. Each contract generally covers a
six-month period, with a monthly compensation of ₱5,000.00.
11.4 A review of the subsidiary ledgers revealed that, as of September 30, 2024, the
Provincial Government incurred a total expenditure of P16,595,000.00 for the
payment of services rendered by 709 Force Multipliers. These payments were
charged against the appropriations for Support to Task Force Octopus classified
as Other Maintenance and Operating Expenses.
11.5 Post-audit of the report of disbursements (RDs) related to these payments
disclosed the following observations:
The contract lacks specific duties, functions, and definite expected outputs.
11.6 Section 517 of the GAAM, Volume 1, states that agencies may enter into
contracts with individuals or organizations, both public and private, subject to
the applicable laws and guidelines approved by the President. These contracts
must be for specific services that cannot be provided by the agency’s regular
staff, must be for a defined period, and must have clearly stated expected output.
11.7 A review of the contracts revealed that the hired individuals, referred to as focal
persons, agreed to work for the Province as Force Multipliers in data acquisition
for Task Force SAGAR and Task Force Octopus.
11.8 Task Force SAGAR and Task Force Octopus is an inter-agency task force aimed
at addressing criminality, peace, and security matters. They are composed of
eight units- intelligence, anti-illegal drugs, criminality, anti-insurgency, anti-
illegal gambling, terrorism, disaster response and anti-cybercrime.
11.9 However, the contract did not specify their duties and functions, as well as the
expected output to be delivered within the period covered by the contract.
Without clear performance indicators and standards, Management had no basis
to measure the actual services rendered and to assess whether their contributions
aligned with the achievement of the desired outcomes.
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