Good financial management entails periodic reporting o f receipts, disbursements and fund balances. Alongside with fund accounting is the identification o f goods produced, services rendered and clients served (outputs), and the impact of government programs and projects on target beneficiaries (outcomes).
The reporting system serves as a mechanism to prevent inefficient use o f government monies, if not outright abuse of power and discretion. Disclosure of financial information and physical accomplishments enables oversight agencies such as the Department of Budget and Management (DBM), Office o f the President (OP), Commission on Audit (COA), and Congress to determine whether fiscal responsibility has been properly discharged, and whether targets were achieved at least possible cost. Furthermore, the reporting process can help identify implementation bottlenecks and policy gaps or weakness in program design.
Republic Act No. 10651 - otherwise known as the General Appropriations Act (GAA) for fiscal year 2015 - requires government agencies to submit specific reports to the DBM, COA, OP, House Committee on Appropriations (HCA) and Senate Committee on Finance Committee (SCF), among others. The reportorial requirements are stated either in the general provisions (those which apply to all government agencies), and special provisions (those which apply to certain departments or agencies only). The frequency of reporting - whether monthly, quarterly or yearly – is also indicated. Briefly discussed below are the nature, purpose and potential uses o f reports
(for inventory of reportorial requirements, see Annex 1).>>read complete document
