5.2 Procedures

5.2.1 Payment by Check

a. The BT shall:

(1) upon receipt of the DV/Payroll duly certified as to availability of appropriation/existing balance of STF by the CCA, shall certify as to availability of funds and verify/review the completeness and propriety of the supporting documents;

(2) forward the DV/Payroll to the PB for approval;

(3) prepare, sign check and forward the DV and supporting documents to the PB for countersignature.

(4) submit copies of PBC to the City/Municipal Accountant and the Office of the Auditor.

b. The PB shall:

(1) approve the DV after he has duly examined and been satisfied that (a) the DVs are duly certified by the proper barangay officials; (b) the expenditure or disbursement is legal, proper and valid; and (c) the SDs are complete.

(2) countersign the check

(3) prepare and issue the PBC under oath to the depository bank for checks issued by the barangay. The PBC shall be in four copies, to be distributed as follows:

i. Original copy - to the depository bank to be released directly by the BT

ii. Duplicate copy - to be attached to the Transmittal Letter (TL) (Annex 16) to be submitted to the City/Municipal Accountant together with the original copies of the approved DVs and SDs

iii. Triplicate copy - to the BT for his file together with duplicate copies of the DVs and SDs

iv. Quadruplicate copy - to be attached to the copy of the TL to be submitted to the Office of the Supervising Auditor/Audit Team Leader (SA/ATL) that has direct audit jurisdiction over the barangay.

c. The BT shall record the disbursement transaction in the cashbook, the check/DV no. under the “Reference” column and the amount of disbursement in the “Cash in Bank-Check Issued” column.

d. The BT shall release the check to the supplier/company after issuance of official receipt and signing in the receipt portion of the DV and to other payees upon signing in the receipt portion of the DV.

e. The BT shall record chronologically in the Cashbook all checks issued/charged to deposits with the AGDB. Within ten days after the end of the month, the BT shall prepare a TL and submit to the C/M Accountant the certified copy of the Cashbook together with the original copies of the DVs duly signed by the payee, together with the supporting documents and duplicate copies of the checks and PBC issued, for recording in the books of accounts. Copy of such TL, certified copy of the Cashbook and copies of the PBC shall be submitted simultaneously to the SA/ATL who has direct audit jurisdiction over the barangay.

f. With the submission of the PB Certification (PBC) to the authorized government depository bank, the PB shall be primarily accountable for all losses arising from its issuance.



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