COA Reinstitutes Pre-Audit

The commision on Audit or COA recently reinstituted the implementation of the PRE-AUDIT System on government transactions.

COA Circular No. 2009-002 states that the rising incidents of anomalies such as graft and corruption, irregular and illegal expenditures and wasteful and annomalous disbursements reported are among the reasons for the adoption of such measure which is necessary and appropriate to correct the deficiency.

Pre-Audit is further defined as the examination of documents supporting certain transactions before they are paid for and recorded. It shall determine that the proposed expenditure is for a purpose in compliance with the appropriation law, other specific statutory authority and regulations; assure that sufficient funds are available to enable payment of the claim; initially determine that theproposed expenditure is not illegal, irregular, extravagant, excessive, unconscionable or unnecessary; and determine that the transaction is approved by proper authority and duly supported by authentic underlying evidences.

With the issuance of COA Circular No. 2009-002 disallowances and any other forms of anomalous transactions will be minimized.
by: Mae Seballos, City Accounting Office

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