Republic of the Philippines

NATIONAL POLICE COMMISSION

NATIONAL HEADQUARTERS PHILIPPINE NATIONAL POLICE
OFFICE OF THE CHIEF, PNP
Camp Crame, Quezon City

21 February 2017

PNP MEMORANDUM CIRCULAR

NO.: 2017 - 017

REVISED GUIDELINES AND PROCEDURES IN THE DISPOSAL OF PHILIPPINE

NATIONAL POLICE PROPERTY, PLANT AND EQUIPMENT (PPE) AND THE
DISPOSITION OF THE INCOME DERIVED THEREFROM

1. REFERENCES:

a. NHQ Disposal Committee Resolution No. 2010-01 dated July 5, 2010 entitled:
"Supplement to PNP Memorandum Circular Number 2009-009 entitled Revised
Guidelines and Procedures in the Disposal of the Philippine National Police
Property and Equipment (PE) and the Disposition of the Income Derived
Therefrom";
b. Memorandum Circular No. 2009-009 dated June 09, 2009 entitled: "Revised
Guidelines and Procedures in the Disposal of the Philippine National Police
Property and Equipment (PE) and the Disposition of the Income Derived
Therefrom";
c. COA Circular No. 89-296 entitled: "Audit Guidelines on the Divestment or
Disposal of Property and Other Assets of National Government Agencies and
Instrumentalities, Local Government Units and Government-Owned or
Controlled Corporations and their Subsidiaries" dated January 27, 1989;
d. COA-PTTAF Manual on Disposal of Government Property;
e. COA Circular No. 2009-002 dated May 18, 2009 entitled: "Reinstituting
Selective Pre-Audit on Government Transactions" effective on July 1, 2009;
f. Presidential Decree No. 1911 entitled: "Authorizing the Disposal of Unclaimed,
Recovered, and Impounded Carnapped Motor Vehicles Amending for the
Purpose R.A. No. 6539 otherwise known as the Anti-Carnapping Act of 1972"
dated March 23, 1984;
g. Title 7, Chapter 3 of Government Accounting and Auditing Manual, Volume 1,
which pertains to "Disposal/Divestment of Property";
h. General Orders No. DPL 08-15 dated October 7, 2008 "Restructuring of Unit";
i. PNPLSS General Orders No. 41 dated November 7 2008 "Creation of
Additional Functional Division";
j. Executive Order No. 309 "Reconstituting the Disposal Committee created
under E.O. No. 285" dated March 8, 1996;
k. National Budget Circular No. 425 "Manual on Disposal of Government
Property" dated January 28, 1992; and
l. Government Accounting Manual (GAM) for National Government Agencies
(NGAS).

2. PURPOSE:

This Memorandum Circular (MC) prescribes the policies and procedures in the
reporting, turn-in and disposal of PNP property, plant and equipment (PPE) whether
Republic or Non-Republic, immovable or movable for being unserviceable, obsolete,
abandoned or considered excess and the disposition of the proceeds thereof to avoid

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further deterioration of PPE, clear storage space, and generate greater benefit to the PNP
through the possible income that may be derived therefrom.

3. DEFINITION OF TERMS:

a. Abandoned Properties - movable PPE in the possession of the PNP without

known owners or claimants;

b. Beyond Economical Repair (BER) - when the repair cost is more than 30% of
its fair market value, the property is no longer economically repairable. This is
pursuant to Commission on Audit Circular No.85-55A dated September 8, 1985
and National Budget Circular No. 425 dated January 28, 1992;

c. Cannibalization - the process of removing serviceable parts or accessories

from a functioning piece of equipment making it unusable for its intended
purpose or function;

d. Disposal - covers the condemnation, transfer to other agencies, barter,

exchange of property, donation to institutions/associations, sale by public
bidding or negotiation of unserviceable PNP PPE which have been inventoried,
inspected, and appraised as disposable by the Disposal Committee;

e. Disposal Warehouse/Yard - a place within any PNP unit where the disposable
articles/properties are stored. The following are the authorized Disposal
Warehouse/Yard of the PNP: Logistics Support Service (LSS) Disposal
Warehouse/Yard, Police Regional Office (PRO) Disposal Yard, Highway Patrol
Group (HPG) Disposal Yard, Maritime Group (MG) Disposal Yard and Special
Action Force (SAF) Disposal Yard;

f. Excess Properties - serviceable PPE in the possession of any unit of the PNP
which are in excess of the quantity required or authorized for retention, and
cannot be utilized as substitute properties to satisfy the operational
requirements of the unit;

g. Forfeited Properties - PPE acquired by summary process or by order of the

court pursuant to applicable laws, rules and regulations;

h. Non-Republic Properties - PPE or supplies purchased from funds other than

appropriated or reimbursable funds. These include Military Acquired Property
(MAP) and other grant and/or aid material, properties found in station (those
acquired from donation, confiscation/seizure/forfeiture or procurement),
captured enemy material, reclaimed properties (those reclaimed or recovered
from condemned or unserviceable properties) and salvaged properties

i. Obsolete Properties - PPE which have lost its efficacy either due to technical
advancement, change of procedures, reorganization of the office or completion
of project;

j. Property, Plant and Equipment (PPE) - are assets of the PNP that are acquired
in the course of operations, are considered long-term in nature, and possess
physical substance. (ie. building, motor vehicle, firearms, ammunition, office
equipment, etc.);

k. Reclamation - restoration of materials found in the waste stream to the

beneficial use which may be for purposes other than the original use;

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 l. Republic Properties - PPE or supplies purchased from appropriated funds or
reimbursable funds of the PNP;

m. Salvaged Properties - PPE that are unserviceable and declared beyond

economical repair by reason of severe or total damage, destruction and lost
components/parts due to uncontrolled cannibalization;

n. Serviceable Properties - PPE in serviceable condition which are in the

possession of a unit of the PNP. Serviceable properties include those
properties authorized in the Table of Equipment and Allowance (TEA) that are
put to use by the agency and other PPE that are still in good condition but are
no longer put to use due to excess or obsolescence; and

o. Unserviceable Properties - refer to unserviceable and/or no longer needed PPE

that cannot be used or placed in service due to fair wear and tear or
obsolescence.

4. CLASSIFICATION OF DISPOSABLE PPE:

a. Excess properties remaining after redistribution;

b. Obsolete properties;
c. Salvaged properties;
d. Forfeited properties;
e. Abandoned properties;
f. Unserviceable properties; and
g. Beyond Economical Repair.

5. POLICIES:

a. Disposal of PPE with salvage value shall be undertaken only at the level of the
National Headquarters (NHQ), Police Regional Offices (PROs), Highway Patrol
Group (HPG), Maritime Group (MG), and Special Action Force (SAF) through
their respective Disposal Committees. Any disposable property with salvage
value of lower units or offices of NHQ, PROs, HPG, MG, and SAF shall be
turned in at the appropriate disposal warehouse/yard as defined in para 3e. All
Disposal Committees shall ensure that only controlled
reclamation/cannibalization will be undertaken on the disposable PPE;

b. Upon approval of the Director of the concerned National Administrative Support

Unit (NASU) or National Operation Support Units (NOSUs), all disposable PPE
or NASU/NOSUs, which are found in PROs shall be turned in to the said PRO
for proper disposal proceedings;

c. Pursuant to existing Auditing and Accounting Procedures, the periodic

submission of Report of BER properties shall be on a quarterly basis. However,
turn-in of disposable PPE shall be quarterly or sooner;

d. All salvaged properties recovered by the PNP in any clearing or recovery

operations of sunken vessels and abandoned equipment, etc., shall be
considered abandoned properties, subject to private claims. When no person
filed a claim for the recovery of the same after the lapse of the six months from
the date of the last publication, said motor vehicles may be sold by the PNP at
public auction;

e. Items or supplies in stock which have no recorded demands for at least two
years at the Logistics Support Service (LSS) Warehouse or for at least one
year at other PNP Supply Units shall be declared and reported as excess or

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 obsolete properties. All declared excess or obsolete properties shall be turned
in to their respective disposal warehouse/yard and redistributed to other units
that may need the items before disposal action may be undertaken. Physical
inspection and redistribution of excess or obsolete properties shall be effected
at the authorized disposal warehouse/yard;

f. Copies of the LSS/PNP Supply Units excess property list shall be furnished to
all concerned units of the PNP with the following forms: 1) Property
Acknowledgement Receipt (PAR) 2) Inventory Custodian Slip (ICS) 3)
Requisition and Issue Slip (RIS) to be accomplished depending on the value
and classification of the goods to be transferred. Within a period of one year
from date of distribution of the excess PPE, disposal proceedings shall be
initiated on the undistributed excess items;

g. All forfeited and abandoned properties in the possession of any PNP unit or
office shall be turned in to the respective disposal warehouse/yard.
Reclamation/cannibalization of said properties is not allowed unless with prior
recommendation from the SAO concerned and approval of the Regional
Director (PRO) and The Director for Logistics (NHQ);

h. All disposal proceedings shall be in a manner deemed advantageous to the

PNP and in accordance with the provisions of Chapter 3, Sec 501 - m 510,
Volume 1 of the Government Accounting and Auditing Manual (GAAM),
Government Accounting Manual (GAM) for National Government Agencies
(NGAS) and PD 1911;

i. Award of disposal shall be made only for amounts not less than the final
appraised values indicated by the Disposal Committee for the disposable
properties. All recommendation for disposal shall be subject to the final
approval of the Disposal Committee;

j. The proceeds derived from the disposal of PPE through sale shall be directly
remitted to the Collecting Officer of the Finance Service (FS), who shall issue
the corresponding Official Receipt for the property;

k. Disposal of Military Acquired Property (MAP), the ownership of which has not
yet been fully vested to the PNP, shall be conducted in a manner prescribed in
the Memorandum of Agreement (MOA) between the Armed Forces of the
Philippines (AFP) and Philippine National Police (PNP);

l. Disposal of PNP buildings shall be determined by the Directorate for Logistics

(DL) upon recommendation/assessment of the Engineering Service (ES) and
in conformity with existing regulations/manual. This is usually undertaken
through dismantling/destruction to make way for planned new facilities; and

m. The NHQ/PRO Disposal Committees may create a Sub-Disposal

Committee/Secretariat/TWG in their respective jurisdictions that will conduct
the initial evaluation and address all preparatory concerns for the disposal of
particular property, i.e. one each for vehicles, firearms, office equipment, land
and/or buildings, and other disposable properties. The creation of Sub-
Committee/Secretariat/TWG will ensure that the NHQ/PRO Disposal
Committees shall not be overburdened, thereby promoting efficiency and
development of specialization.

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6. COMPOSITION OF THE PNP DISPOSAL COMMITTEE AND SECRETARIAT

a. NATIONAL HEADQUARTERS (NHQ) DISPOSAL COMMITTEE

1. Director for Logistics - Chairman

2. Director for Comptrollership - Vice Chairman
3. Director, Logistics Support Service- Member
4. Director, Legal Service - Member
5. Chief Accountant, PNP - Member
6. Chief, Management Division, DC - Member
7. Chief, SAMD, LSS - Member
8. COA Representative - Witness

b. POLICE REGIONAL OFFICE (PRO) DISPOSAL COMMITTEE

1. Deputy Regional Director for Administration - Chairman

2. Chief, Regional Logistics Division - Vice Chairman
3. Chief, Regional Comptrollership Division - Member
4. Chief, Regional Legal Service - Member
5. Chief, Regional Engineering Office - Member
6. Chief, Regional Accounting Office - Member
7. Regional Supply Accountable Officer - Member
8. Regional COA Representative - Witness

c. HIGHWAY PATROL GROUP, MARITIME GROUP AND SPECIAL ACTION

FORCE DISPOSAL

1. Deputy Director - Chairman

2. Logistics Officer - Vice Chairman
3. Budget and Finance Officer - Member
4. Legal Officer - Member
5. Supply Accountable Officer - Member

d. NHQ DISPOSAL COMMITTEE SECRETARIAT

1. Chief, SMD, DL - Resource Person

2. Chief, PDMD, LSS - Head Secretariat
3. Asst Chief, PDMD, LSS - Asst Head Secretariat
4. Chief, RUS, ES - Member
5. Asst Chief, SSDD, LSS - Member
6. Chief, Logistics Officer, CES - Member
7. Servicing Legal Officer to LSS - Member
8. Asst Chief, SAMD, LSS - Member
9. Chief, FAS, SMD, DL - Member
10. Chief, MAMS, SMD, DL - Member
11. Chief, GSS, SMD, DL - Member
12. Chief, IMS, LPPD, DL - Member
13. Chief, Storage Branch, FEO - Member
14. Chief, Carnapped Vehicles
Impounding Area, HPG - Member
15. Chief, ICIS, DC - Member

Representatives of offices exercising regulatory functions over the PPE for

disposal shall be made members of the Disposal Committee Secretariat on a need
basis.

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 e. PRO DISPOSAL COMMITTEE SECRETARIAT

1. Assistant Chief, Regional Logistics Division - Head

2. Assistant Chief, Regional Comptrollership Div - Asst Head
3. Chief, Regional Direct Support Unit - Member
4. Regional Legal Service Representative - Member
5. Regional Supply Accountable Officer Rep - Member

f. HPG, MG AND SAF DISPOSAL COMMITTEE SECRETARIAT

1. Chief, Direct Support Section - Head

2. Assistant Chief, Procurement Division - Asst Head
3. Assistant Chief, Supply Accountable Officer - Member

7. PROCEDURES:

a. PNP Unit/end-user shall submit the following documentary requirements to the

Disposal Committee Secretariat:

1) Endorsement Memorandum;
2) Property Turn-in Slip (PTIS);
3) Inventory and Inspection Report of Unserviceable Property (IIRUP);
4) Waste Material Report (WMR);
5) Pictures; and
6) Technical Inspection Report (TIR) for vehicles for approval of D, LSS for
NHQ, PD/RD for PRO's.

b. The PNP NHQ, PRO, HPG, MG, and SAF Disposal Committee shall create a
Disposal Committee Secretariat that will manage, monitor, and compile all the
data/details of PNP properties for disposal;

c. The PNP NHQ, PRO, HPG, MG, and SAF Disposal Committee shall identify
disposable items in their respective jurisdiction; conduct technical inspection,
classification, and appraisal of every item or property earmarked for disposal
and, thereafter, dispose the disposable properties according to the methods
prescribed in this MC;

d. Pursuant to Commission on Audit Circular No. 89-296 dated January 27, 1989
and Circular No. 2009-002 dated May 18, 2009, the NHQ, PRO, HPG, MG and
SAF Disposal Committee must first submit the required documents for disposal
to the COA and C, PNP for approval prior to the conduct of bidding for disposal;

e. The Supply/Property Officer of NASUs/NOSUs/PROs/HPG, MG, and SAF shall

accomplish the pertinent portion of the Inventory and Inspection Report of
Unserviceable Property (IlRUP), Waste Material Report (WMR) Property
Transfer Receipt (PTR), and Property Turn-in Slip (PTIS), whichever is
applicable;

f. Submit to the Accounting Division the original copy of the IIRUP, copy 2 to the
Supply and/or Property Custodian and copy 3 to the COA, TSO for inspection
of PPE that requires evaluation to serve as basis for the dropping of the
disposed items from the books of accounts for timely recording of the
disposable property; and

g. The NHQ/PRO/HPG, MG, and SAF Disposal Committee shall submit a report
to the C, PNP within five days from the completion of the disposal proceeding

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 with all the relevant documents for the dropping of said properties from the
Accounting Books of Accounts.

8. METHODS OF DISPOSAL:

The following are the authorized methods/modes of disposal:

a. Sale through public bidding shall be the primary method of disposal of PNP
properties. Should this mode be unsuccessful, the Disposal Committee may
dispose the properties in a manner most advantageous to the PNP.

b. Sale through negotiation — This mode of disposal may be resorted to only

when there is failure of two public auctions due to the following instances. 1)
The amount of bid received is below the approved floor price; and 2) The bidder
has been disqualified for an award of contract.

c. The NHQ and PRO, HPG, MG, and SAF Disposal Committees may
barter/trade-in disposable PNP properties with properties of other government
agencies, provided it is for the best interest of the PNP.

d. Transfer without cost of excess/surplus PNP properties to other government

agencies may be made upon the request of the office needing the properties
and with prior approval by the C, PNP. Since the transfer will involve inter-
government agency transfer, the accomplishment of Property Transfer Report
(PTR) shall be mandatory.

e. Donation of excess/surplus PNP properties to other government agencies shall

only be done upon approval of the C, PNP. The following requirements shall
be incorporated in the request of the needing agency:

1) Brief statement of the agency activities;

2) General information of the intended use of the property; and
3) Statement that the property shall not be resold or used other than the
intended purpose indicated.

f. Upon recommendation of the NHQ/PRO/HPG, MG and SAF Disposal

Committee, after inspection of the COA and approval of the C, PNP, destruction
of the Disposable PPE may be allowed provided that the manner of disposal
shall not be detrimental or dangerous to public health or safety or shall not
cause infringement on the rights of other persons or upon government
agreements. Provided further that the following conditions are satisfied:

1) The property has no commercial value (valueless);

2) The estimated cost for the handling and destruction including the cost to
sell the scrap materials would exceed the estimated proceeds from its sale;
and
3) Other methods of disposal are not economically feasible.

g. Destruction shall also be resorted to if it is unsalable and it may pose hazard to

the public if not destroyed.

h. For the disposal of PNP firearms, disposal shall be determined by the

Directorate for Logistics (DL) upon recommendation/assessment of the
Firearms Disposal Technical Committee and in conformity with existing laws
and regulations.

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 i. The disposal of items with cultural value, technology properties and those
covered with intellectual property rights shall be subject to other requirements
as may be required by applicable laws.

9. UTILIZATION OF PROCEEDS OF DISPOSAL:

a. The disposition of proceeds for the disposal of PNP disposable properties shall
be managed at the PNP NHQ/PROs/HPG, MG and SAF. All proceeds shall be
directly remitted to the respective Finance Service (FS) Office of the contracting
PNP office to be deposited to the PNP Trust Receipt account.

b. All proceeds from properties sold shall be deposited with the Authorized
Government Depository Bank (AGDB) for the account of the agency.

c. In cases where payment for the sale of disposable property is made in the form
of supplies or in kind, same shall be witnessed by the Disposal Committee for
the proper recording in the property books of the PNP.

d. The basis for determining the quantity of supplies to be delivered as payment

or barter for properties sold through bidding or negotiation shall be the bid or
negotiated price equated to the fair market value of the supplies bartered.

10. ACCOUNTING AND AUDITING OF FUNDS AND PROPERTIES:

a. Accounting — The accounting of properties and funds relative to the disposal

of disposable properties shall be done in accordance with this MC while that
for the disposal of Military Acquired Property (MAP) shall be done in
accordance with the Memorandum of Agreement (MOA) between the AFP and
the PNP.

b. Auditing - The auditing of accounts and transactions relative to the disposal of

disposable properties shall be in accordance with applicable laws and
regulations. The Internal Auditor, PNP or representatives shall conduct audit of
accounts and transactions relative to the disposal of all properties.

c. Dropping of property accountabilities shall be in accordance with the provisions

of the Government Accounting Manual (GAM) for National Government
Agencies (NGAS).

d. Nothing in this MC shall preclude the intervention of independent auditors of

the Commission on Audit in the disposal of properties, in the dropping of
property accountability, and the auditing of disbursement or the proceeds
acquired thereof.

11. RESPONSIBILITIES:

a. The Director for Logistics (TDL)

1) Designated as Chairman of the NHQ Disposal Committee; and

2) Primarily responsible in the implementation of this MC.

b. The Director for Comptrollership (TDC)

1) Designated as Vice Chairman of the NHQ Disposal Committee,

2) Cause the dropping from the PNP Book of Accounts all properties disposed
by the Disposal Committees; and
3) Provide funds for the implementation of this MC.

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c. NHQ Disposal Committee

1) Cause the conduct of inventory and inspection of PNP supplies and

properties for disposal stored in authorized PNP disposal warehouse/yards
and, real estates/buildings in PNP premises;
2) Subject to COA appraisal and review, set the final appraised value for all
disposable properties taking into consideration obsolescence, market
demand, physical condition, and result of previous biddings for similar
properties;
3) Ensure that the disposal/award of disposable properties are made
consistent with existing laws, rules and regulations. Disposal shall be on "as
is, where is" basis; and
4) Submit list of all disposed properties to the C, PNP (Attn: Accounting, DC)
and ensure that said properties are properly dropped from the accountability
of concerned Supply Accountable Officer.

d. NHQ Disposal Committee Secretariat

1) Responsible for compilation, documentation, and recording of all

transactions involving supplies, material, and equipment belonging to the
PNP as regards to disposal;
2) Maintain an updated stock record card, equipment ledger cards, and an
official registry book of all supplies, materiel, and equipment for disposal;
3) Coordinate with other supply activity units pertaining to disposal of materiel
and equipment;
4) Prepare pertinent papers for the disposal of unserviceable equipment and
material and assist the Disposal Committee in the conduct of disposal
activity;
5) Conduct periodic inventory and inspection of PNP supplies and properties
for disposal stored in units and authorized PNP disposal warehouse/yard
and, real estate/buildings in PNP premises for further action of the Disposal
Committee;
6) Prepare the logistical reports to be submitted by the Disposal Committee to
the C, PNP pertaining to the supplies and equipment for disposal;
7) Implement the directive regarding the disposal of supplies and equipment
upon orders of the Disposal Committee; and
8) Perform other duties and functions as maybe directed by the Chairman,
Disposal Committee and higher authorities.

e. Regional Director, Police Regional Office

1) Organize and operationalize the PRO Disposal Committee,

2) Issue implementing guidelines for the proper implementation of this MC at
the PRO,
3) Ensure completeness of disposal requirements for endorsement to C, PNP
for approval as the Head of the Disposing Entity (HODE) prior to the conduct
of public bidding; and
4) Submit After Activity Report to the C, PNP relative to the public bidding of
all disposed properties.

f. Police Regional Office Disposal Committee

1) Responsible for the conduct of inventory and inspection of PNP supplies

and properties for disposal stored in authorized PNP disposal
warehouse/yards and, real estate/buildings in PNP premises;

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 2) Set the final appraised value for all disposable properties taking into
consideration obsolescence, market demand, physical condition, and result
of previous biddings for similar properties subject to COA appraisal and
review;
3) Ensure that the disposal/award of disposable properties are made
consistent with existing PNP rules and regulations. Disposal shall be on "as
is, where is" basis;
4) Secure list of excess supplies and other disposable properties of the PRO
and submit the same to RD;
5) Submit quarterly report of excess and disposable items to the DL;
6) Guarantee maximum protection of items at the disposal yard from further
deterioration and pilferage;
7) Ensure that proceeds from disposal proceeding are remitted to the Regional
Finance Service Office (RFSO); and
8) Ensure that properties disposed are properly dropped from the
accountability of the Supply Accountable Officer (SAO) and PNP Book of
Accounts.

g. PRO Disposal Committee Secretariat

1) Manage, monitor and compile all the data/details of PNP properties in the
Region which are subject for disposal;
2) Prepare documentation and assist the Disposal Committee in the disposal
activities;
3) Responsible in the maintenance and management of records with regard to
disposal;
4) Submit report to the PRO Disposal Committee as regards the conduct of
disposal; and
5) Perform other duties and functions as maybe directed by the Chairman,
PRO disposal Committee.

h. Highway Patrol Group/Maritime Group/Special Action Force Disposal

Committee

1) Responsible for the conduct of inventory and inspection of PNP supplies

and properties for disposal stored in authorized HPG/MG/SAF disposal
warehouse/yards and, real estate/buildings in HPG/MG/SAF premises;
2) Set the final appraised value for all disposable properties taking into
consideration obsolescence, market demand, physical condition, and result
of previous biddings for similar properties subject to COA appraisal and
review;
3) Ensure that the disposal/award of disposable properties are made
consistent with existing PNP rules and regulations. Disposal shall be on "as
is, where is" basis;
4) Secure list of excess supplies and other disposable properties of their
respective offices and submit the same to their Directors;
5) Submit quarterly report of excess and disposable items to the DL;
6) Guarantee maximum protection of items at the disposal yard from further
deterioration and pilferage;
7) Ensure that proceeds from disposal proceeding are remitted to the Finance
Service Office (FSO); and
8) Ensure that properties disposed are properly dropped from the
accountability of the Supply Accountable Officer (SAO) and PNP Book of
Accounts.

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 i. HPG/MG/SAF Disposal Committee Secretariat

1) Manage, monitor, and compile all the data/details of HPG/MG/SAF

properties in their respective offices which are subject for disposal;
2) Prepare documentation and assist the Disposal Committee in the disposal
activities;
3) Responsible in the maintenance and management of records with regard to
disposal;
4) Submit report to the DL, Accounting and C, PNP as regards to the conduct
of disposal; and
5) Perform other duties and functions as maybe directed by the Chairman,
Disposal Committee.

j. Supply Accountable Officer

1) Conduct quarterly periodic inventory and inspection of

unserviceable/disposable properties and to submit thereon the Inventory
and Inspection Report (IIR) to the PNP Disposal Committee (Attn: Disposal
Secretariat);
2) Submit an updated Inventory List of all Properties Found-in-Station to
include their sources, whereabouts and condition/remarks quarterly as
changes occur (thru a report of changes);
3) Conduct technical inspection and classification of disposable properties at
respective unit;
4) Submit to the Regional Director, (Attn: C, RLRDD), quarterly report on
excess and disposable properties in the prescribed format; and
5) Recommends to the Regional Director, through C, RLRDD properties which
are needed to be disposed.

k. COA Representative

Per COA Circular No. 95-006 dated May 8, 1995, COA Representative shall
serve as witness/observer to the disposal of unserviceable properties and review
in-house appraisal in aid of post-audit of the transactions, including disbursements
of the proceeds.

12. REQUIRED REPORT/FORMS:

a. Quarterly Report on Excess and Disposable Properties — This report shall be

rendered by the Regional Directors having responsibility over authorized PNP
Disposal warehouse/Yards. The report shall be categorized by technical
service classification, consolidated, and finally submitted to the C, PNP (Attn:
DL) not later than the 15th day of the month immediately after the quarter.

b. Inventory and Inspection Report of Unserviceable Properties (IIRUP) - A report

on the semi-expendable materials and equipment and non-expendable
supplies which shall be accompanied by the following:

1) Individual Survey Report duly certified by the supply officer and head of
unit/agency;
2) Individual photographs of properties taken from two different views;
3) List of missing spare parts duly certified by the supply office/head of
unit/agency;
4) Stencils of chassis and engine numbers of motor vehicles; and
5) Stencils of serial numbers, make, type and caliber as regard to firearms
(FAs).

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 c. Waste Material Report (WMR) - A report for expendable materials, supplies
and consumables including spare parts, empty containers and remnants from
destroyed or damaged fixed assets. This must be accompanied by current
onsite photograph taken from two different views.

d. Property Transfer Report (PTR) — this form shall be used when there are
properties to be transferred from one accountable officer/agency/fund cluster
to another accountable officer/agency/fund cluster.

e. Property Turn-ln Slip (PTIS) — this form shall be used for the turn-in of property
from end user/accountable officer to receiving unit/accountable officer.

f. Inventory Custodian Slip (ICS) — a form that shall be signed and dated by the
designated Property Officer on the "Received from" portion and the recipient or
user of the inventory shall acknowledge receipt by signing on the "Received by'
portion.

g. Requisition and Issue Slip (RIS) — a form used to request supplies and
materials that are carried on stock.

13. FLOW CHARTS FOR PROPERTY, PLANT AND EQUIPMENT (PPE) FOR
DISPOSAL (see Annexes)

1. Procedures for the disposal of Mobility - ANNEX “A"

2. Procedures for the disposal of Firearm - ANNEX "B"
3. Procedures for the disposal of Office Equipment - ANNEX "C"
4. Procedures for the Condemnation/Destruction of
Building - ANNEX "D"
5. Procedures for the disposal of Other
Disposable Properties - ANNEX "E"

14. PENALTY CLAUSE:

Any violation of this MC shall be investigated and, if warranted by evidence,

appropriate criminal, civil, and administrative charges shall be filed against those who
may be responsible thereof.

15. REPEALING CLAUSE:

Provisions of existing PNP issuances which are inconsistent with this MC, in whole
or in part, are deemed repealed, set aside, amended or modified accordingly.

16. EFFECTIVITY:

This MC takes effect after 15 days from the filing of a copy hereof at the University
of the Philippines Law Center in consonance with Section 3 and 4, Chapter 2, Book Vll,
EO No. 292, otherwise known as the "Revised Administrative Code of 1987," as
amended.

Original Signed
RONALD M DELA ROSA
Police Director General
Chief, PNP

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