15.24 We further recommended that Management strictly follow the selection
procedure of NGOs in accordance with Sections 4.5.2 and 4.5.3 of COA
Circular No. 2007-001 dated October 25, 2007, and RA No. 9184.
15.25 Additionally, we recommended that the Provincial Government ensure that
the MOA with the NGOs/POs includes all applicable terms of reference as
specified in Section 4.5.3 and 4.5.8 of COA Circular No. 2007-001, and
require the Provincial Accountant to strictly evaluate fund transfers to
NGOs/POs, ensuring that no disbursements are certified unless supported
by complete documentary requirements as outlined in Section 2.1 of COA
Circular No. 2012-001, dated June 14, 2012.
15.26 Finally, we recommended that Management strictly adhere to the
limitations on the granting of funds to NGOs provided under Section 6.0 of
COA Circular No. 2007-001 dated October 25, 2007.
15.27 Management, in their written reply dated February 5, 2025, indicated that the
attachments were based on COA Circular No. 2023-004 dated June 14, 2023,
which was in effect at the time the funds were transferred to the NGOs/POs.
They further explained that the Circular had not yet been amended or suspended
by COA Circular No. 2024-004 dated March 14, 2024, at the time funds were
released.
15.28 Additionally, Management clarified that the accreditation of the NGO/PO was
conducted by the Sangguniang Panlalawigan, citing Section 4.5.2, which allows
another committee to perform the accreditation. They also stated that the Terms
of Reference (TOR) were included in the NGOs/POs project proposal and duly
attached to the MOA.
15.29 The Audit Team agrees that COA Circular No. 2023-004 was indeed in effect
when the funds were disbursed. However, the disbursement vouchers must still
be supported by the documentary requirements outlined in COA Circular No.
2012-001, as these are required under COA Circular No. 2007-001 dated
October 25, 2007.
15.30 While Item 2.0 of COA Circular No. 2023-004 does not specify these
documentary requirements, this does not override or eliminate the need to
comply with the requirements set forth in other relevant regulations or
issuances.
15.31 Furthermore, the accreditation process by the SP, as required under Section 108
of RA No. 7160, is more generally focused on recognizing the eligibility of the
NGO/PO to participate in LGU programs. Thus, it is likely distinct from the
process required by Section 4.5.2 and Section 4.5.3 of COA Circular No. 2007-
01, which involves a more detailed evaluation. Specifically, the Circular
requires the Committee to assess the NGO/POs technical and financial
capabilities to meet the minimum qualifications and specifications for the
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