Full Disclosure Policy

Create: Fri, 07/01/2022 - 09:05
Author: admin

What is Full Disclosure Policy?

Transparency Seal
Transparency Seal

It is the government's policy that requires certain local officials of provinces, cities, and municipalities to fully disclose particular financial transactions of the LGU to keep their constituents informed of how the LGU budget is managed, disbursed and used.

Why is Full Disclosure Important?

  • Promote honest, transparent, and orderly management of public funds
  • Help minimize, if not totally prevent corruption and misuse of public funds
  • Increase the people's awareness of the available public funds and the allocated amount for development projects in their localities

What law requires Full Disclosure?

  • Section 352 of the Local Government Code: " ... posting within 30 days from the end of each fiscal year in at least three publicly accessible and conspicuous places in the local government unit, a summary of all revenues collected and funds received, including the appropriations and disbursements of such funds during the preceeding fiscal year ... "
  • Republic Act No. 9184, known as the Government Procurement Reform Act: " ... posting of the Invitation to Bid, Notice to Proceed at Approved Contract in procuring entity's premises, in newspapers of general circulation, the Philippine Government Electric Procurement System (PhilGEPS) and the website of the procuring entity."
  • Section 84 of Republic Act No. 10352 (General Appropriation Act) FY 2013: "Use and Disbursement of Internal Revenue Allotment of LGUs stating: " ... Strict compliance with Section 288 and 354 of RA No. 7160 and the Full Disclosure Policy relative to the posting of local budget and finances, bids and public offerings and status of programs and projects, including the utilization of the local disaster and risk reduction and management fund, in three (3) conspicuous places in the local government unit and in the Full Disclosure Policy Portal, is hereby mandated."

Commission on Audit Internal Memorandum dated October 8, 2010, enjoining concerned COA officials and auditors to monitor management's compliance to DILG Memorandum Circular 2010-83, and any deviation therefrom or non-compliance therewith shall be subject of an Audit Observation Memorandum and eventually forms part of the Annual Audit Report or Management letter, if necessary.