Republic of the Philippines DEPARTMENT OF THE INTERIOR AND LOCAL GOVERNMENT A.

Francisco Gold Condominium II, EDSA, Diliman, Quezon City

MEMORANDUM CIRCULAR NO. TO : ALL PROVINCIAL GOVERNORS, CITY MAYORS, MUNICIPAL MAYORS, SANGGUNIAN PRESIDING OFFICERS AND MEMBERS AT ALL LEVELS, DILG REGIONAL DIRECTORS, ARMM REGIONAL GOVERNOR, DILG-ARMM REGIONAL SECRETARY AND OTHERS CONCERNED : FULL DISCLOSURE PROTOCOLS

SUBJECT

LEGAL AND ADMINISTRATIVE MANDATE Section 90 of Republic Act No. 10147, General Appropriations Act FY 2011 on Use and Disbursement of Internal Revenue Allotment of LGUs stipulates that the amount appropriated for the LGUs share in the IRA shall be used in accordance with Sections 17(g) and 287 of the LG Code of 1991. The annual budgets of LGUs shall be prepared in accordance with the forms, procedures and schedules prescribed by the DBM and those jointly issued with the COA. Strict compliance with Sections 288 and 354 of the LG Code of 1991 and DILG Memorandum Circular No. 2010-83, entitled Full Disclosure of Local Budget and Finances, and Bids and Public Offerings is hereby manadated: PROVIDED, That in addition to the publication or posting requirement under Section 352 of LG Code of 1991 in three (3) publicly accessible and conspicuous places in the local government unit, the LGUs shall also post the detailed information on the use and disbursement, and status of programs and projects in the LGU websites. Failure to comply with these requirements shall subject the responsible officials to disciplinary actions in accordance with existing laws. (underscoring ours) Administrative Order No. 267, s. 1992 delegates certain general supervisory powers of the President over local governments to the Secretary of the Interior and Local Government. Commission on Audit Internal Memorandum dated October 8, 2010 enjoins concerned COA officials and auditors to monitor managements compliance to DILG Memorandum Circular No. 2010-083, and any deviation therefrom or non-compliance therewith shall be a subject of an Audit Observation Memorandum, and eventually forms part of the Annual Audit Report or Management Letter, if necessary. DILG Memorandum Circular No. 2011-08 enjoins all local chief executives and sanggunian members at all levels to strictly comply with the full disclosure policy under pain of disciplinary sanctions for non-compliance, in accordance with pertinent laws, rules and regulations.

PURPOSE OF THIS CIRCULAR To provide protocols for the guidance of local authorities in the full disclosure of local budget and finances, and bids and public offerings. COVERAGE All provinces, cities and municipalities nationwide. COMPLIANCE PROTOCOLS All Local Chief Executives shall: 1. Cause the preparation of the documents mentioned in DILG Memorandum Circular Nos. 2010-083, s., 2010 and 2011-08, s., 2011 which are to be posted in accordance with the provision of Section 90 of Republic Act No. 10147, General Appropriations Act FY 2011 and seek the assistance of the DILG Provincial Director, City Director, City or Municipal Local Government Operations Officer, as the case maybe, if desired. 2. Post all the documents in at least three (3) conspicuous places within public buildings in the locality, or in print media of community or general circulation. 3. In addition, post the same documents in the LGU website. In the event that the local government does not have a website, coordinate with the DILG Provincial Director, City Director, City or Municipal Local Government Operations Officer for the posting requirements in the DILG Regional or Central website. 4. Observe the timeline or period of posting of the documents as provided in DILG Memorandum Circular No. 2011-08, s., 2011. 5. Submit periodic compliance report to the DILG Provincial Director, in the case of a Province; to the City Director or City Local Government Operations Officer, in the case of a City; and to the Municipal Local Government Operations Officer, in the case of a Municipality. 6. Secure a Certification of Compliance to Full Disclosure from the DILG Regional Office. DISCIPLINARY PROTOCOLS FOR NON-COMPLIANCE 1. Any party who has personal knowledge on the non-compliance with the provision of Section 90 of Republic Act No. 10147 may file an administrative complaint in accordance with the following venues: (a) Before the Office of the President, pursuant to Section 61, par. (a) of the Local Government Code of 1991, or with the Office of the Ombudsman, pursuant to Section 15 of Republic Act No. 6670, otherwise known as the Ombudsman Act, where the elective public official being complained of is a provincial official or a city official of a highly urbanized city, an independent component city or a component city;

(b) Before the Sangguniang Panlalawigan concerned, pursuant to Section 61, par. (b) of the Local Government Code of 1991, or with the Office of the Ombudsman pursuant to Section 15 of R.A. No. 6670, where the elective public official being complained of is a municipal official; and (c) Before the Sangguniang Bayan or Sangguniang Panlungsod concerned, as the case maybe pursuant to Section 61, par. (c) of the Local Government Code of 1991, or with the Office of the Ombudsman pursuant to Section 15 of R.A. No. 6670, where the elective public official being complained of is a barangay official. 2. Within seven (7) days after the administrative complaint is filed, the Sanggunian concerned shall require the respondent to submit his or her verified answer within fifteen (15) days from receipt thereof, and shall commence the investigation of the case within ten (10) days after receipt of such answer of the respondent, as provided for under Section 62, par. (a) of the LG Code of 1991. 3. When the respondent is an elective official of a province or highly urbanized city, such hearing and investigation shall be conducted in the place where he or she renders or holds office. For all other local elective officials, the venue shall be the place where the Sanguniang concerned is located. (Section 62, par. (b), RA No. 7160) 4. No investigation shall be held liable within ninety (90) days immediately prior to any local election, and no preventive suspension be imposed within the said period. If preventive suspension has been imposed prior to the 90-day period immediately preceding local election, it shall be deemed automatically lifted upon the start of the aforesaid period. (Section 62, par. (c), R.A. No. 7160. 3. The investigation of an administrative complaint against a local official shall be terminated within ninety (90) days from the start thereof. (Section 66, par. (a), R.A. No. 7160) 4. Within thirty (30) days after the end of the investigation, the Sanggunian concerned shall render a decision in writing stating clearly and distinctly the facts and reasons for such decision. Copies of the said decision shall immediately be furnished the respondent and all interested parties. (Section 66, par. (a), R.A. No. 7160) 5. The Sanggunian concerned shall render action on the complaint filed before it within the periods provided in the LG Code of 1991. It may be held accountable should it fail to comply with the aforesaid provisions of the Code. RESPONSIBILITIES OF THE DILG REGIONAL DIRECTOR, OR ARMM REGIONAL GOVERNOR The DILG Regional Director, the ARMM Regional Governor, or the DILG-ARMM Regional Secretary shall: 1. Cause the immediate and widest dissemination of this Memorandum Circular; 2. See to it that this Circular is effectively communicated and understood by local authorities;

3. Monitor local government compliance; 4. Ensure the posting by local authorities of the above-listed financial documents and transactions in the website, in conspicuous places within local government-owned public buildings, and in print media of community or general circulation; 5. In the event that a local government does not have a website, effect the posting of such financial documents and transactions through the DILG Regional Office website or the DILG Central Office website; 6. Issue a Certification of Compliance to Full Disclosure to any local government that observed the posting of ALL the documents; and 7. Submit Compliance Report to the Office of the Secretary, through the Bureau of Local Government Supervision in accordance with DILG Memorandum Circular No. 2011-08, s., 2011. For strict compliance.

JESSE M. ROBREDO Secretary