Republic of the Philippines Commission on Audit Commonwealth Avenue, Quezon City RESOLUTION SUBJECT: Guidelines Governing the Audit of Traveling Expenses of Personnel Hired Under Job Order (JO)/Contract of Service (COS) WHEREAS, government agencies are authorized to enter into service contraets with other government agencies, private firms, non-government agencies or individuals for services related or incidental to their respective functions and operations, whether on a part-time or full- time basis; WHEREAS, this policy gave rise to a lot of issues, such as but not limited to: (a) lack of social protection and inequality in benefits; and (b) obscure accountability of JO/COS personnel due to lack of employee-employer relationship with the hiring government agency; WHEREAS, the hiring of personnel through JO/COS was clarified and strengthened under Civil Service Commission (CSC)-Commission on Audit (COA)-Department of Budget and Management (DBM) Joint Circular (JC) No. 1, series of 2017, dated June 15, 201 COA-DBM JC No. |, series of 2018, dated November 9, 2018;? COA-DBM JC No. 1, series | of 2020, dated March 19, 2020; and COA-DBM JC No. 2, series of 2020, dated October 20, 2020; WHEREAS, despite the various issuances on the hiring of personnel through JO/COS, the matter on their official travels remained unaddressed resulting in the continued lack of unanimity in Managements’ and Auditors’ actions. Thus, conflicts between management and. auditors often arise due to their differing stands on the matter, WHEREAS, to address the problem, the Commission on Audit, with its exclusive ‘mandate of promulgating accounting and auditing rules and regulations, including those for the prevention and disallowance of irregular, unnecessary, excessive, extravagant, or unconscionable expenditures or uses of government funds and properties,’ finds it imperative to set policy guidelines for the audit of traveling expenses of personnel hired under JO/COS; " Rules and Regulations Governing Contract of Service and Job Order Workers in the Government. > Amendment to the CSC-COA-DBM IC No. 1, series of 2017. » Interim Guidelines Governing Contract of Service (COS) and Job Order (JO) Workers in Government for the Duration of the State of Calamity and Community Quarantine Due to the Corona Virus Disease (COVID-19). * Updated Rules and Regulations Governing Contract of Service (COS) and Job Order (JO) Workers “ Goverment 5 Section 2(2), Article IX-D of the 1987 Constitution of the Republic ofthe Philippines.NOW, THEREFORE, the Commission Proper RESOLVES, as it does hereby RESOLVE, to adopt and prescribe the following guidelines for the audit of traveling expenses of personnel hired under JO/COS, to wit: A) GENERAL GUIDELINES 1. Personnel hired under JO/COS may be allowed to go on official local travel for the purpose of (a) undertaking official missions/tasks which cannot be performed by/or assigned to any other regular/permanent official and/or employee of the agency, and/or (b) performing tasks/aetivities necessary to be able to fulfil the obligations as contained in his/her contract of service. 2. Except in highly meritorious circumstances (c.g, unavailability of qualified ‘employees in highly technical or specialized fields) and upon written justification submitted to the authorized approving officials, as provided under Section 3(c)(ii) of Executive Order (EO) No. 77, series of 2019,° personnel engaged by way of COS, shall not be allowed to go on foreign travels and shall not be entitled to government funding for sueh trips. B) SPECIFIC GUIDELINES 1. The Supervising Auditor (SA)/Audit Team Leader (ATLYAudit Team Member (ATM) shall ensure that all official travels of JO/COS personnel cover only those which meet the eriteria set forth under Section 3(a) of EO No. 77, series of 2019, viz.: (i it s essential to the effective performance of the JOs’/COS" functions; (ii) itis required to meet the needs of the department, agency, bureau or office, or there is substantial benefit to be derived by the State; (ii) the presence of the JO/COS is | critical to the outcome of the meeting, conference, seminar, consultation or any official activity to be attended; and (iv) the projected expenses are not excessive or | involve minimum expenditure, | 2. The SA/ATL/ATM shall ensure that all travels of JO/COS personnel are properly authorized and approved by the Head of the Agency or any authorized approving officer. The purpose of the travel shall be clearly and specifically stated in the approved Travel Request/Travel Order which shall likewise contain the corresponding entitlements, duly supported by an approved itinerary of travel to provide basis for payment of traveling expenses. 3. The total allowable amount of traveling expenses shall be based on the rates and terms agreed upon by the JO/COS personnel and government agency as spelled out in the contract of service, or in the absence thereof, the internal guidelines of the concemed government agency, if any, but in no case shall the amount be over and above the rates and amounts allowed under EO No. 77. Any contractual provision allowing traveling expenses that are higher than the prevailing reasonable rates, shall be considered void in so far as the excessive rate is concemed. The amount shall be limited to the ceiling granted under the existing travel law at the time of payment of the claim. “ Prescribing Rules and Regulations and Rates of Expenses and Allowances for Oficial Local and Foreign Travels of Government Personnel, issued on March 15, 20194. In case the matter on travel is not properly spelled out in the contract of service of the JO/COS personnel, or in the absence of internal guidelines, they may still be allowed to go on official travel provided that the purpose of their travel complies with the criteria stated under paragraph B(1) hereof and that the same is authorized and approved by the proper approving official. Provided further, that the purpose of the travel shall be clearly and specifically stated in the approved Travel Request/Travel Order which shall likewise also contain the corresponding entitlements, duly supported by an approved itinerary of travel to provide basis for payment of traveling expenses. Provided finally, that the total traveling expenses shall in no case be over and above the rates and amounts allowed under EO No. 77, series of 2019, 5. Inaddition to the documentary requirements prescribed in COA Circular No, 2012- 001 dated June 14, 2012,’ claims for traveling expenses of JO/COS personnel shall be supported by a certification from the Head of the Agency or any authorized approving official that: (a) the official missions/tasks cannot be performed by/or assigned to any other regular/permanent official and/or employee; and (b) the tasks/activities are necessary to fulfill the obligations as contained in his/her contract of service. The same certification shall also be required in official foreign travel as allowed in highly meritorious cases as specified in the general guidelines. 6. Funds for official travels of JO/COS personnel shall be charged against the appropriation for traveling expenses in the annual agency budgets. 7. In no instance shall JO/COS personnel hired under institutional contracts* be entitled to traveling expenses as provided above, BE IT RESOLVED FURTHER that all other issuances inconsistent with this Resolution are deemed amended, superseded or modified accordingly. ‘This Resolution shall take effect immediately. Approved this 28 faday of Detember 2021 in Quezon City, Philippines. ina ROLAND C. PONDOC Commissioner 7 Prescribing the Revised Guidelines and Documentary Requirements for Common Government Transactions. ® Section 5.3, Commission on Audit - Department of Budget and Management Joint Circular No. 2, series of 2020, dated October 20, 2020, defines institutional contract as referring to the agreement between the ‘government ageney and contractor or service provider duly-registered and recognized by authorized government ies to provide services such as janitorial, security, consultancy, and other support services.Republic of the Philippines COMMISSION ON AUDIT Commonwealth Avenue, Quezon City ADMINISTRATION SECTOR RECORDS MANAGEMENT SERVICES Lorena azz0r 2080500 lReference Number ADM-RMS-2022-07-003855 Reference Date July 12,2022 00:08 AM ROUTING SLIP [Sender RHODORA D. JEGIRA subjoct Proposed COA Resolution forthe Aust of Traveling Expenses of fo ACOA Offices personnel hires JO/Contact Service Romarks / Instructions / Actions Sir/Madam, Please see the attached COA Resolution No. 2021-044 dated December 28, 2022 . For your information please. Thank you. Date: ‘oly 12, 2022 08:06 AM [Subject lDoc Number: ADM-RMS-2022-07-003855 Proposed COA Resolution for the Audit of Travelling Expenses ISender: RHODORA D. JEGIRA lf personnel hired JO/Contract Service i ACOA Offices