Civil servants told: Settle cash advances promptly

THE Civil Service Commission (CSC) issued a statement reminding government officials and employees to promptly settle and liquidate cash advances to avoid liability.

The CSC issued the reminder after issuing its Resolution 1900929, which is a revised guidelines on the settlement or liquidation of cash advances and sets varying penalties based on the nature of offense and existing circumstances.

According to a statement from the CSC, an Accountable Officer may be absolved of any administrative liability only if he or she fully liquidates, settles or pays the cash advance within the period stated in the formal demand letter by the Resident Commission on Audit (COA) Auditor, with a valid justification and no aggravating circumstances present.

“If no valid justification is presented, the Accountable Officer shall be liable for “Simple Neglect of Duty” with the penalty of suspension from the government service for one month and one day,” the CSC said. “If, aside from having no valid justification, there are aggravating circumstances present and no mitigating circumstances that can offset the former, the penalty of three months shall be imposed.”

The CSC said that, on the other hand, an Accountable Officer who, after receiving the formal demand from COA, partially liquidates the cash advance and presents a valid justification, shall be held liable for Simple Neglect of Duty punishable by suspension for one month and one day. In such instance, the CSC said the there are three conditions the Accountable Officer must comply to.

One condition is that the partial liquidation of not less than 50 percent of the total unliquidated cash advance was made within the prescribed period. The second condition is that the Accountable Officer has the intention to fully liquidate the cash advance through means, such as salary deduction or execution of promissory note to pay the unliquidated portion of the cash advance. The third condition is that no aggravating circumstances are present.

If there would be aggravating circumstances, suspension shall be stretched to three months, the CSC said.

The most serious offense of Gross Neglect of Duty with corresponding penalty of dismissal from the service on the first instance shall be imposed when the Accountable Officer, despite receiving a formal demand from COA, fails to make partial or full liquidation of the cash advance within the prescribed period stated in the demand letter, the CSC explained.

“Alternatively, the offense of Gross Neglect of Duty applies when the Accountable Officer partially liquidates the cash advance but fails to present any valid justification and shows no intention to fully liquidate.”

The CSC said the “same offense may be imposed when the Accountable Officer makes partial liquidation and shows intention to fully liquidate, then defaults in the payment of the unliquidated cash advance.”

CSC Resolution 1900929 dated August 13, 2019, circularized via CSC Memorandum Circular 23, Series of 2019, amended an earlier policy, CSC Resolution 1200103 dated January 12, 2012. The latter states that the failure of an Accountable Officer to render an account in full within the periods prescribed shall be meted the administrative offense of “Gross Neglect of Duty” punishable by dismissal from the service on the first offense.

The CSC resolution cites COA Circular 2012-001 as basis for the period within which to liquidate CA. Salaries, wages, honoraria and other similar payments must be liquidated within five calendar days; field operating expenses, within 20 calendar days after the end of the year or replenished as frequently as necessary; petty cash fund, replenished as soon as the disbursements reach 75 percent or as needed; traveling expenses, within 30 calendar days after the official/employee returns to his/her official work station for local travel and within 60 calendar days in the case of foreign travel; and special purpose, as soon as the purpose of the cash advance has been served.

CSC Resolution 1900929 took effect on September

22, 2019.