ASDP Basket Fund - Ministry Of Agriculture, Food and Cooperatives

7 Accounting for expenditures7.1 IntroductionThis section describes:• Payments procedures for goods and services at central and local levels• Procedures for direct payments• Procedures in issuing and accounting for imprests.7.2 Disbursements from the ASLMs’ development exchequer accountsThe Procurement Regulations require that prior to commencing the procurementprocess, each ASLM’s Chief Accountant commits funds totalling the estimated valueof goods and services on the IFMS Vote Control Register. These processes areillustrated in Figure 7.1 overleaf and explained below. Once funds have beencommitted on the system, the Accountant must generate a Local Purchase Order(LPO) (see Annex B, B15).After a contract has been awarded, the IFMS system only allows payments to bemade when an invoice sent by a supplier is supported by documents such as an LPOand Goods Received Note. Equipment and goods received must be verified andlabelled by the relevant ASLMs Stores Officer. In accordance with Section 194 Subsection2 of the Public Finance Regulations 2002, the Stores Officer mustimmediately notify the supplier of any irregularities (e.g. defects).The Procurement Officer at each ASLM, after receiving confirmation from thegoods/services receiving department/section, signs the invoice and all supportingdocuments signifying payment authorisation before sending it to the ChiefAccountant. Thereafter:• The Accountant confirms that the details per the invoice match thosecontained in the contract, raises a journal voucher, posts details of thetransactions on the IFMS and generates a “TFN 4 - Payment Voucher(PV)” (See Annex A, A16). The IFMS only generates a PV if funds havepreviously been committed and an LPO raised• The ASLM’s Internal Auditor verifies the PV and supporting documentationand if satisfied that the information contained is accurate, approves the PVon the IFMS and signs the hardcopy at hand. The Chief Accountant mustalso sign-off the PV once he/she has confirmed that it has been posted onthe IFMS. Thereafter, he/she generates an approved but unposted list ofPVs for submission to the CPOGovernment of the United Republic of Tanzania53