COMMISSION ON AUDIT CIRCULAR NO.

79-26 (D) April 27, 1979

TO : All Provincial Governors; City and Municipal Mayors; COA Regional Directors;
Provincial and City Auditors; Provincial, City and Municipal Treasurers; and All
Others Concerned.

SUBJECT : Supplementary Rules and Regulations to COA Circular No. 79-26(c) dated
November 29, 1978

The following rules and regulations are hereby prescribed to supplement COA Circular
No. 79-26(c) dated November 29, 1978 on the Partial Withdrawal of Pre-Audit in Provinces and
Cities, and Countersignature of Checks.

1. Countersignature of checks in payment of claims not subject to pre-audit

a. Checks in payment of claims charged against the Local Funds (General and
Infrastructure Funds) and the Trust Funds of provinces and cities, which are not subject to pre-
audit, shall be countersigned by the Provincial Governor or the City Mayor as the case may be.
The Governor or Mayor may, however, delegate in writing such duty to the Provincial or City
Administrator or other ranking official who shall thereby countersign checks "By authority of the
Governor/Mayor" at such amounts as may be fixed in the authority.

b. Checks in payment of claims charged against the Special Education Fund of

provinces and cities, which are not subject to pre-audit, shall be countersigned by the
Division/City Superintendent of Schools. The Superintendent of Schools may authorize in
writing the official next-in-rank in his office to countersign checks in his absence at such
amounts as he may fix, the checks to be countersigned "By authority of the Division/City
Superintendent of Schools."

c. In no case however shall the countersigning of checks be delegated to Provincial

and City Treasurers, or any other official in their respective offices.

2. Pre-audit of Special Journal Vouchers

Provincial and City Auditors shall pre-audit all special journal vouchers covering entries
taking up the annual and supplemental budgets, correcting entries, and adjusting and closing
entries, before these are taken up in the books of accounts of provincial, sub-provincial, city and
municipal treasurers.

3. Action by Provincial and City Auditors on claims not subject to pre-audit

When a Provincial or City Treasurer entertains some doubts on the legality and/or
propriety of a claim, he may refer the voucher to the Provincial or City Auditor, as the case may
be, accompanied by a letter stating in detail the grounds and reasons for the referral.
 The auditor concerned shall return the same with his opinion on the matter. In no case
shall the auditor pre-audit a transaction not subject to pre-audit notwithstanding the doubts
expressed by the treasurer, or even if requested to do so for accommodation.

4. Effectivity

This Circular shall take effect immediately. Existing rules and regulations inconsistent
herewith are amended or revoked accordingly.

(SGD.) FRANCISCO S. TANTUICO, JR., Acting Chairman