Disposal of Government Property Quiz

In the preparation of the Revised Manual on the Disposal of Government Property per Joint Circular No. 2024-1 dated January 30, 2024 the DBM took into consideration the then existing laws and policies governing disposal, the guidelines issued by the defunct SCO, and the pertinent rules and regulations issued by the COA. Relatedly, said Manual also considered the results of the observations of the then Systems and Procedures Bureau of the DBM and the exposure of the DBM Regional Offices to disposal activities.

• True

• False

The Revised Manual on the Disposal of Government Property shall apply to all departments and agencies under the Executive Branch, including their regional and field offices, SUCs, GCs and their subsidiaries, LWDs, Office of the Ombudsman and LGUs.

• True

• False

The core members of the Disposal committee are the Chairperson and three members.

• True

• False

The proper disposal of government properties is an equally important part of the asset lifecycle. The Philippine Government Asset Management Policy, in accordance with EO No. 292 dated 25 July 1987, stipulates that all resources of the government shall be managed, expended, or utilized in accordance with laws, rules and regulations, and shall be safeguarded against loss or wastage through illegal or improper disposition to ensure efficiency, economy, and effectiveness in the operations of the government.

• True

• False

Salvage Value is equivalent to ten percent (10%) of the acquisition cost of the properties.

• True

• False

Residual Value is equivalent to at least ten (10%) of the cost of an asset that the entity would currently obtain from the disposal of the asset, after deducting the estimated cost of disposal, if the asset was already of age and in the condition expected at the end of its useful life, unless a more appropriate percentage is determined by the government entity concerned based on its operations.

• True

• False

The provisions of NBC No. 425 and existing guidelines, rules, and regulations issued by the COA and the DBM that are inconsistent with the Joint Circular No. 2024-1 dated January 30, 2024 JC and the revised Manual on the Disposal Government Properties were amended, modified, and/or repealed accordingly.

• True

• False

Disposal proceedings shall be immediately initiated to avoid further deterioration of the properties and consequent depreciation of their value. A systematic and timely disposal will yield benefits in terms of, among others, possibility of alternative use, higher appraised value, and enabling storage areas available for other purposes.

• True

• False

The disposal of the following properties is likewise covered by this revised Manual, which shall be done in coordination with the appropriate government agencies, except:

• Models submitted in connection with applications for patents, in coordination with the Intellectual Property Office.

• Museum materials acquired and preserved solely for exhibition and antique properties and works of art, which shall be referred to the National Museum for the determination of their appraisal and disposal values.

• Public records in coordination with the National Archives of the Philippines.

• Documents submitted for copyright, in coordination with the National Library of the Philippines.

Is the process of computing the value of properties to be disposed of to be able to set the government’s minimum selling price.

• Disposal

• Current Market Value

• Direct Negotiation

• Appraisal