DOF orders LGU treasurers to monitor use of COVID-19 grants

The Department of Finance (DOF) has ordered local treasurers to monitor the use of grants that their local government units (LGUs) had received for COVID-19 response.

The DOF’s Bureau of Local Government Finance (BLGF) on April 27 issued a memo requiring all provincial, city and municipal treasurers to encode and report so-called Bayanihan grants in the LGU integrated financial tool system.

The Department of Budget and Management (DBM) had released P6.2 billion to 82 provinces, equivalent to one-half month of their internal revenue allotment (IRA).

It had also released a bigger P30.8 billion to 146 cities and 1,488 municipalities, equivalent to one-month IRA.

“All local treasurers shall ensure the proper recording and reporting of said grants,” said Raymond Alvina, BLGF executive director, in the memo.

The memo said the grants should be recorded as “other subsidy”.

The grants were for the purchase of personal protective equipment, testing kits, medicines and vitamins, hospital equipment and supplies, food for aid and relief goods.

In 2020, total IRA shares reached P648.9 billion for 43,618 provinces, cities, municipalities and villages nationwide.

Edited by TSB