TO:	All Heads of Ministries/Bureaus/Agencies/Offices of the National Government with Regional/Field Offices, and Regional Directors/Heads Thereof
	The Chairman, Commission on Audit
	The Chairman, Presidential Commission on Reorganisation

WHEREAS, present practices and procedures for the settlement o  claims at Regional/Field Offices has resulted in delays in payment to contractors and suppliers;

WHEREAS, LOI No. 448  specifically directs the payment of claims at Regional Offices;

WHEREAS, the expeditions payment of authorized obligations is a necessary component of sound public administration and will lead to economy  in government operations;

NOW, THEREFORE, I, FERDINAND E. MARCOS,  President of the Philippines, in order to effect prompt and expeditious processing of claims in Regional/Field Offices, do hereby Order end Instruct:

1. The  provisions  of LOI No. 448 relative to the delegation  of  authority to Regional Offices are hereby reiterated.   Each Head of Ministry,  Bureau,  Office, or Agency of the National Government shall issue a written statement of delegation of authority to  its Regional Offices and shall furnish copies  thereof to the Presidential Commission on Reorganization and to the Ministry of the Budget.  The Chairman, Presidential Commission on Reorganization, shall monitor compliance.
   
   
2. Heads of ministries/agencies shall release all of Sub-allotment and Notices  of Cash Disbursement to Regional  Offices within seven (7) working days from receipt from the Ministry of the Budget ministry/agency s Advice of Allotment and Cash Disbursement Ceiling.
   
   
3. Directors  of Regional Office shall enter into transactions for procurment of roods and/or services  only when properly  authorized through delegated authority and when backed by available funds evidenced by sub-allotment advices.
   
   
4. The regional accountants, budget officers, cashiers and disbursing officers shall effect payment for claims within seven (7) days  from presentation by the creditor or his representative of the valid claims with all the prescribed supporting documents.   In cases where documentation is incomplete  or when  some defect prevents prompts payment, claims  shall be returned immediately,  with an indication of why they  could not be processed and paid.
   
   
5. The Chairman of the Commission on Audit shall prepare and issue the necessary Circular containing a list of all supporting documents required to accompany the various types of claims  for payment of goods and/or services supplied to Government  agencies,  which shall be made known to all contractors and suppliers doing or wanting to do business with the Government.  No one shall require  supporting documents other than those specified in the list.

Done  in the  City of Manila, this 17th day of December, nineteen hundred and seventy-nine.