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Manila Bulletin devider Philippines devider National devider Palace lifts prohibitions on new contracts, disbursements for select gov't offices

Palace lifts prohibitions on new contracts, disbursements for select gov't offices

Published Oct 26, 2022 12:11 pm

Malacañang has revoked the prohibition on certain government offices from entering into new contracts and disbursing extraordinary funds to ensure the continuity of operations and the delivery of services.

Memorandum Circular No. 9

Based on Memorandum Circular (MC) No. 9, signed by Executive Secretary Lucas Bersamin on October 25, the said prohibition, stated under MC 3, is now revoked "to ensure continuity in government operations and deliver of services to the public."

The new MC considers the Marcos administration's 8-Point Socioeconomic Agenda and the assumption of newly appointed heads of government departments, agencies, and instrumentalities.

It also covers government-owned or -controlled corporations (GOCCs), government financial institutions, government instrumentalities with corporate powers, government corporate entities, and free port and special economic zone authorities.

Under MC 9, when entering and executing contracts and disbursing funds, the concerned authorities must strictly comply with the Government Procurement Reform Act and applicable budgeting, accounting, and auditing laws and issuances.

They must also ensure judicious use of government resources and strictly observe ethical norms of honesty, integrity, and efficiency.

Meanwhile, other provisions of MC 3 remain in effect.

MC 3, signed by former Executive Secretary Vic Rodriguez, extended the term of all contractual and casual employees coterminous with the previous administration to December 31, 2022.

"All officials and employees covered by this Memorandum Circular are mandated to lawfully perform their duties and functions, and submit bi-monthly performance reports to their respective heads... otherwise, they will be held accountable," MC 3 read.

In signing the MC, Rodriguez said there was a need to amend and supplement the original memorandum circular to ensure the continuous and effective delivery of government services.

"There is a need to supplement MC No. 1 in order to ensure that no new contract, project, or disbursement of extraordinary funds is made by a department, agency, bureau, and office until the appointment is made by the President," MC 3 read.

Based on the MC, affected OICs of departments, offices, agencies, instrumentalities, and bureaus are not allowed to enter into new contracts or projects or disburse extraordinary funds.

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Lucas Bersamin
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