Budget office extends validity of cash allocation notice

-A A +A

Tuesday, October 4, 2011


THE Department of Budget and Management (DBM) issued last week two circulars extending the validity of Notice of Cash Allocation (NCA) and outlining measures to enhance utilization of cash allocations for projects for the rest of 2011.

DBM Regional Director Imelda Laceras said that effective October 1, 2011, NCAs will be valid for one quarter from the usual month-end validity.

“This is to optimize the use of available resources. We have been receiving complaints that agency cannot pay on time due to lapse of NCA validity resulting to delay of payment to service providers,” Laceras said.

Advertisement

She said that for the fourth quarter of 2011, all NCA under regular Modified Disbursement System Accounts released before October 1 but to be credited within the fourth quarter of 2011, as well as NCA releases starting this month will be valid until December 31, 2011.

The same scheme will continue next year, according to Circular Letter 2011-7 issued by Budget Secretary Florencio Abad last September 28.

In Circular Letter 2011-8 released by the DBM the same day, National Government agencies were urged to optimize the use of available resources this year.

“Notwithstanding of the comprehensive releasing of NCAs for regular requirements, as well as the full provision for due and demandable accounts payable, actual spending arising from fiscal year 2011 NCA releases is lower than expected,” Laceras added.

Under the said circular, interim measures will be implemented within the year, such as all agencies will submit their monthly cash programs corresponding to additional cash requirements for regular operations as well as accounts payable for this year’s last quarter.

“The submission of list of due and demandable accounts payable is hereby temporarily suspended, for accounts payable of departments covered by the Direct Payment Scheme (DPS),” the circular said.

Among these agencies are the Department of Public Works and Highways, Department of Education, Department of Health, State Universities and Colleges, Technical Education and Skills Development Authority, and Commission on Higher Education.

These departments were instructed to include their estimated requirement for payment of claims of creditors for October to December 2011 in the monthly cash programs. (Leyte Samar Daily Express)

Local news

DISCLAIMER: Sun.Star website welcomes friendly debate, but comments posted on this site do not necessary reflect the views of the Sun.Star management and its affiliates. Sun.Star reserves the right to delete, reproduce or modify comments posted here without notice. Posts that are inappropriate will automatically be deleted.

Forum rules: Do not use obscenity. Some words have been banned. Stick to the topic. Do not veer away from the discussion. Be coherent and respectful. Do not shout or use CAPITAL LETTERS!
Sun.Star Jobs
  • Philippine Polls
  • SunStar Celebrity
  • Pnoy
  • Sinulog
  • Festivals
  • Technology
  • Sun.Star Zup!
  • Calamity Report
  • Sunstar Multimedia
  • tell it to sunstar
  • Filipino Abroad
  • ePaper
  • goodearth
  • Obituary
  • Habemus Papam
  • Pacman blog