Government Auditing Code of the Philippines (No.
1445) Total MDS check shall not exceed NCA
No money shall be paid out of any public treasury or
depository except in pursuance of an appropriation law
or other specific statutory authority.
Government funds or property shall e spent or used
solely for public purpose
Trust funds/fiduciary funds shall be available and may
be spent only for the specific purpose for which the
trust was created or funds received.
Disbursement or disposition of government funds shall
invariably bear the approval of the proper officials
DISBURSEMENT OF FUNDS
Availability of allotment/budget for obligation or
utilization certified by the budget officer or head of
budget unit
Obligations properly charged against available
allotment by the Chief Accountant
Availability of funds certified by the chief accountant
Availability of cash certified by the chief accountant
All payments of government obligations and payables
shall be covered by disbursement vouchers together w/
original copy of supporting document
Approval of disbursements by the head of agency or by
his duly authorized representation
No funds shall be disbursed, and no expenditure or
obligation chargeable against any authorized allotment
shall be incurred without first securing the certification
of the Chief Accountant
Any certification for a nonexistent or fictitious
obligation or creditor shall be considered void.
Certifying official shall be dismissed and liable solidarily
No expenditure shall be incurred in excess of allotments
released by the DBM secretary
NCA – shall be the authority, issued by DBM to central,
regional, and operating units of an agency, to pay
operating expenses and etc . through the issue of MDS
Checks, Authority to Debit Account, or others.
NCA specifies the maximum amount of withdrawal that
an entity can make from a government bank for the
period indicated.
The collecting officer shall not issue an official receipt
for the receipt of NCA
NTA – Notice of transfer allocation shall be the
authority of the regional and operating units to pay
operating expenses and etc. thru MDS checks, ADA, or
others.
No MDS check shall be issued by the ROs/OUs w/out
the covering NTA
Total MDS check shall not exceed NTA
NTA is issued by the central office to regional offices
NCAA – Non cash availment authority is an authority
issued by the DBM to agencies to cover the liquidation
of their actual obligations incurred against available
allotments for availment of proceeds from loans/grants
thru supplier’s credit or constructive cash
CDC – cash disbursement ceiling is an authority issued
by the DBM to the DFA and DOLE only to utilize their
income collected by their Foreign Service Posts to cover
their operating requirements but not to exceed the
released allotment to the said post
MDS Checks – issued by government agencies
chargeable against the treasurer of the country
Commercial Checks – issued by NGA chargeable against
Agency checking account with Gov. Servicing Banks
No cash advanced shall be given unless for a legally
authorized specific purpose
No additional cash advance shall be allowed to any
official unless previous cash advance is first settled
Except for advances for travel, no employee shall be
granted cash advance unless properly bonded
Advances for payroll shall not be used for encashment
of checks or liquidation of previous types of advances. It
shall be equal to the net amount of processed payroll
for the period.
Liquidation of advances for payroll shall be made within
5 days after the end of the pay period.
Any unclaimed salary shall be refunded and issued OR
Cash Disbursements Records shall be maintained
Field/ Extension/ Satellite offices are some of the gov. PCf shall be closed only upon termination, separation,
units under the central/regional/district offices without retirement or dismissal or the pcf custodian who in turn
complete set of books of accounts. shall refund any balance to close his accountability

These offices may be granted cash advances covering 2 Cash disbursement ceiling shall not exceeed allotment
months requirement for MOOE to the DFA or DOLE
Cash Disbursement Register shall be maintained

Submit within 5 days after month end to cen/reg/dis

offices

Travels shall only cover those that are urgent and

extremely necessary, will involve the minimum
expenditure and are beneficial to the agency or country

No gov fund shall be utilized to defray foreign travel

expenses of any official, except in cases of training or
seminar or conference abroad

No official of DILG and DND shall be sent to foreign

activities when they are due to retire within one year
after the end of foreign travel

Grant of clothing allowances is suspended indefinitely

Local travels shall be liquidated within 30 days upon

return to workstation

Foreign travels shall be liquidated within 60 days upon

return to the country

Petty cash fund shall be sufficient for the recurring

petty oper exp of agency for 1 month

All replenishments shall be directly charged to expense

accounts at all times

PCf shall always equal the unreplenished voucher plus

cash on hand

The fund shall be kept separately from the regular cash

advances and shall not be used for payment of regular
expenses

Petty cash voucher shall be used

Amount only of not exceeding 15000 for each

transaction

Splitting of transactions shall not be allowed

Unused PCF shall not be closed or refunded at the end

of the year