BIBLIOGRAPHY AVELINO D. CAYAT JR, April 2007. The Electronic New...

BIBLIOGRAPHY

AVELINO D. CAYAT JR, April 2007. The Electronic New Government
Accounting System in the Provincial Government of Benguet. Benguet State University,
La Trinidad, Benguet.
Adviser: Felipe S. Comila, MPA, Ed. D.
ABSTRACT

The study focused on determining the perceptions of the clients and the
implementers in the implementation of the Electronic New Government Accounting
System (e-NGAS) in the Provincial Government of Benguet. It also included the
perceptions of the clients and the implementers on the extent of support given by the
officials in the implementation of the electronic new government system. Further, the
study assessed the perceptions of the clients and implementers on problems encountered
in the implementation of the electronic new government accounting system.

Findings show that the perception of the clients and implementers on the extent
of implementation of the programs in terms of its systems and procedures is satisfactory
and with a descriptive equivalent of fully implemented showing a high level of
implementation which means it is very much effective and efficient.
Further,
as
to
the extent of support given by the Provincial Government, the
clients and implementers both perceived a full support implementation of the system. In
General, there is no serious problem incurred in the proper implementation of the
Electronic New Government Accounting System (e-NGAS) as shown with the
i

consistency of the results. Moreover, it is clear that there is no serious problem
encountered with the efficiency, reliability and effectiveness of the Electronic New
Government Accounting System (e-NGAS). Clients and implementers both agree that
problems encountered are not serious in the implementation of the Electronic New
Government Accounting System (e-NGAS).

Finally, it is suggested that continuous implementation of the Electronic New
Government Accounting System (e-NGAS) should be done and consistently followed up.
Further it must be given more emphasis along on the on line aspect of the program. In
addition, other aspects of the Electronic New Government Accounting System (e-NGAS)
should be thoroughly evaluated to serve as a springboard for the system and other future
researchers.

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1
INTRODUCTION

Background of the Study

The New Government Accounting System (NGAS) is a simplified set of
accounting concepts, guidelines and procedures designed to ensure correct,
complete and timely recording of government financial transactions and
production of accurate and relevant financial reports. It is in its earliest stage still
in its manual version but it envisions its eventual computerization to provide users
with greater ease and a more comprehensive financial management information
system. This will act as a guide for government finance officers, accountants,
bookkeepers, budget officers and all accountable officers in their daily activities
in the proper safeguarding of all government resources.

In addition, the New Government Accounting System (NGAS) was
implemented in the Provincial Government of Benguet in January 2002 and is
consistently adapting the rules and regulations as set on the manuals issued by the
Commission on Audit. Updated and changes made are being incorporated by the
Province with the end-in-view of finally reaching the point where all government
transactions and financial reports will be widely understood and comprehended
even by people who have no knowledge of the government accounting system.

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Since the importance of technology foresight has been increasingly
recognized as a tool for industrial and economic development of a country, the
Commission on Audit decided to computerize the New Government Accounting
System. Thus, the Electronic New Government Accounting System (e-NGAS)
was born. This complies with the basic policies and procedures of the New
Government Accounting System (NGAS). It encompasses the various accounting
processes from recording, to classifying, summarizing and communicating all the
financial transactions. As such, the Electronic New Government Accounting
System (e-NGAS) provides an accurate, on time and standard financial reports.

Statement of the Problem
The study dealt with evaluating the implementation of the Electronic New
Government Accounting System (e-NGAS) in the Provincial Government of
Benguet. Specifically, this tried to answer the following questions.
1. What is the extent of implementation of the Electronic New Government
Accounting System (e-NGAS) in the Provincial Government of Benguet as
perceived by client and implementers?
2. What is the extent of support of the officials of the Provincial Government of
Benguet in the implementation of the Electronic New Government Accounting
System (e-NGAS) in the Provincial Government of Benguet as perceived by
client and implementers?
3. What are the problems and their degree of seriousness encountered in the
implementation of the Electronic New Government Accounting System (e-
NGAS) in the Provincial Government of Benguet as perceived by the client and
implementers?
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Objectives of the Study

This study will be designed to assess the implementation of the Electronic
New Government Accounting System (e-NGAS) in the Provincial Government of
Benguet. Specifically, this study aimed to:
1. Assess the extent of implementation of the Electronic New Government
Accounting System (e-NGAS) in the Provincial Government of Benguet as
perceived by clients and implementers.
2. Determine the extent of support given by the officials of the Provincial
Government of Benguet in the implementation of the Electronic New Government
Accounting System (e-NGAS) in the Provincial Government of Benguet as
perceived by the clients and implementers.
3. Identify the problems and their degree of seriousness encountered in the
implementation of the Electronic New Government Accounting System (e-
NGAS) in the Provincial Government of Benguet as perceived by the clients and
implementers.

Significance of the Study
It is said that the public office is a public trust. As public officials and
employees, it is their duty to serve the clients, regardless of economic standing or
party affiliation, with utmost sincerity, efficiency and respect. It is their obligation
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to maintain an open and correct record of all government official business and
transactions.
Government transactions, specifically, on disbursing government finances
and payment of government obligations, are a sensitive issue which need utmost
dedication from employees of the government service.
The Electronic New Government Accounting System (e-NGAS) is the
government’s answer to these problems being encountered in the old accounting
system considering the changes made.
Thus, the result of this study would help both the management and the
employees directly involved in the maintenance of a good accounting system. In
this situation, the management will have a basis to improve or amend existing
practices which are no longer applicable in this time. In this way, they will have
efficient operations and effective controls, sound management decision making
and compliance with regulatory requirements. The employees will also benefit
from this study for they will be able to improve their performances in dealing with
the public with the objectives of giving satisfaction to the clientele. They will
have a speedy processing and recording of voluminous government financial
transactions and that they will have prompt and accurate outputs.
Furthermore, the clientele will be benefit in the study for they are the
direct recipients of an improved accounting system most especially in the
improvement of the accounting procedure in the payment of claims. As a result,
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the researcher will be able to gather data which may contribute in improving
program implementation of guidelines in recording, analyzing, classifying and
summarizing government disbursement /transactions. For other researchers, this
study may serve as a basis and springboard for future studies.

Scope and Delimitation of the Study
This study focused on the Electronic New Government Accounting
System (e-NGAS) of the disbursements of the Provincial Government of Benguet.
It will be limited to recording, classifying, analyzing and summarizing claim
vouchers and payrolls in the Provincial Government of Benguet.
The areas of this study will be limited to the extent of implementation of
the Electronic New Government Accounting System (e-NGAS) of the Provincial
Government of Benguet, the level of support of officials in the implementation of
the Electronic New Government Accounting System (e-NGAS) and the degree of
seriousness of the problems encountered in the implementation of the Electronic
New Government Accounting System (e-NGAS)of the Provincial Government of
Benguet.
Respondents of the study include fifty selected department heads and
employees from the Commission on Audit Provincial Office, Provincial
Accounting Office, Provincial Treasury Office and Provincial Budget Office, fifty
selected government creditors including contractors, dealers of office supplies and
equipment, medical representatives and the employees who are representatives of
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the different departments in the Provincial Government of Benguet. There is a
total of one hundred respondents.

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REVIEW OF LITERATURE

Accounting is traced to early government’s requirement of establishing
responsibility and accountability. It evolved from a simple measurement and
recording technique to a discipline which provides financial and other information
relevant to the achievement of efficient operations. Proper accounting of the
agency’s resources is a must in every entity to ensure lawful, effective and
efficient use and disbursement or private entity expected to have a balanced
budget for every fiscal year of its operation.
The Philippine Constitution requires the keeping of general accounts of
the government. As the fundamental law of the Philippines, it also requires
promulgation of accounting rules and the submission of reports covering the
financial condition and operation of the government.
Moreover, the Senate and the House of Representatives of the Philippines
enacted a law known as the “Government Accounting Act of 1991”. Under this
act, all government resources shall be managed, expended or utilized in
accordance with laws and regulations and be safeguarded against loss or wastage
due to illegal and or improper disposition. This aimed to ensure efficiency,
economy and effectiveness in government operations. This responsibility to
uphold that such policy is faithfully adhered rests directly with the chief or head
of the government agency concerned.
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For almost fifty years, the Philippine Government has been consistently
using the rigid and complicated government accounting procedures designed by
foreign consultants. Today, to conform to the changing times and needs of the
government, the Commission on Audit, based on the authority granted under Sec.
2(2), Art. IX-D of the 1987 constitution, made a sweeping revamp of the existing
government accounting system. On October 30, 2001, it issued Commission On
Audit Circular No. 2001-05 prescribing the use by Local Government Units
(LGUs) of the New Government Accounting System (NGAS) effective January,
2002. The new system reform measures the “Government Accounting
Simplification and Computerization”.
Accounting is a service activity. Its function is to provide quantitative
information, primarily financial in nature, about economic entities that is intended
to be useful in making economic decisions and in making reasoned choices
among alternative courses of action.
It is a service activity for it provides services to various segments of the
economic community involved directly or indirectly with business entities. The
primary users of such services include creditors, investors, government agencies
and the general public. These groups are interested in the financial activities of an
entity but are directly involved in its operations.

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Accounting Functions of an Agency.
In every government agency an accounting group is created headed by an
accountant administratively under the head of office agency or under the
Government Accounting Office who shall perform the following functions: (1)
Maintain the agency’s books of accounts; (2) Analyze, read, classify and
summarize all transactions involving the receipt and disposition of government
funds and property; (3) Prepare financial statements and interpret the results of
financial operations for agency management decision making purposes; (4)
Prepare and submit financial reports for budgetary control purposes for guidance
of agency management and for reporting to the DBM; (5) Prepare and submit
accounting reports required by the Commission on Audit (COA); and (6) Certify
availability of funds.
The accounts of an agency shall be kept in such detail as in necessary to
meet the needs of the agency and at the same time be adequate to provide the
information needed by control agencies of the government. The highest standards
of honesty, objectivity and consistency shall be observed in the keeping of
accounts to safeguard against erroneous, inaccurate and misleading information.
The following are the specific objectives of the Government Accounting
Office: (1) To initiate government accounting reforms needed in achieving
effective control of funds in-flow and out-flow without necessarily constricting
agency management thus allowing them to assume greater responsibility as
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provided by law; (2) To improve accounting efficiency and capability at the
agency operating level; and (3) To facilitate preparation and submission of
accounting and other financial reports for budget accountability, management
decisions and external audit purposes.
Government Accounting today is viewed as a major decision of a broad
accounting structure that includes private sector accounting and macro
accounting. The latter incorporates the data output of the former and implies
measurements of the social consequences of individual entity operations.
Accounting is a basic tool to management that enables it to achieve
efficiency, economy and effectiveness in its operations as well as detect and
prevent fraud, waste and errors in the use of funds and property. In the
government, the installation, implementation and monitoring of a sound system of
internal control is the means by which an agency head carries out not only his
fiscal responsibility but also his programs and policies in accordance with rules
and regulations.
In the common desire of the accountants to attain uniformity of accounting
techniques and procedures, they have met and enunciated the so-called “Generally
Accepted Accounting Principles” (GAAP). In every human activity, accounting is
not exempted, uniformity is easier desired than found, this notwithstanding the
motive for which they are promulgated. Thus, GAAP has never gone beyond “a
step” towards uniformity. Generally Accepted Accounting Principle deals with
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fundamental conceptions and general approaches to the presentation of
accounting facts.
It is a policy in government accounting that financial transactions and
operations shall be recorded in accordance with pertinent rules and regulations,
and in conformity with the GAAP. Government accounting adopts a double entry
bookkeeping system, records the transactions in the journals, the so called books
of original entry, summarizes them in the general ledger accounts, and when
necessary, keeps subsidiary ledgers. Accounts used are those prescribed in the
Chart of Accounts and in such detail as necessary to meet the needs of the agency
concerned.
Generally Accepted Accounting Principles
Each government agency shall record its financial transactions and
operations conformably with generally accepted accounting principles with
generally accepted accounting principles and in accordance with laws and
regulations. (a.) The accounts of an agency shall be kept in such detail as is
necessary to meet the needs of the agency and the same time be adequate to
furnish the information needed by fiscal or control agencies of the government;(b)
The highest standards of honesty, objectivity and consistency shall be in the
keeping of accounts to safeguard against inaccurate or misleading information; (c)
The government accounting system shall be on a double entry basis with a general
ledger in which all financial transactions are recorded. Subsidiary records shall be
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kept where necessary; (d) The Chart of Accounts for government agencies shall
be prescribed by the Commission on Audit and shall be designed to: (1) Permit
agency heads to review their activities according to selected areas of
responsibility; (2) Allow for a clearer definition of obligation accounting leading
to a more precise budgetary control; (3) Provide for a wider range of analytical
information designed for use in management audit or legislative review; (4)
Furnish information regarding the production of income and the investment in
capital items which is of value in fiscal and economic planning; (5) Enable tighter
accounting control to be exercised over agencies financial relationship with the
treasury; (6) Permit a simplified preparation of trial balances and a simpler and
more orderly process of national consolidations; and (7) Facilitate the application
of mechanized accounting procedures for more effective protection against error
and irregularity and yielding economics in operation.
While government can be equated with accounting in other areas, there are
distinctive features that must be recognized. In the same form, the range of
purposes to be served by an adequate system of government accounts may be
described in the following terms: (a) Accounting systems have to be designed to
comply with the constitutional, statutory and other legal requirements of the
country; (b) Accounting system must be related to the budget classifications. The
budgetary and accounting functions are complimentary elements of financial
management and must be closely integrated; (c) The accounts must be maintained
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in a manner that will clearly identify the objects and purposes for which funds
have been received and expended and the executive authorities who are
responsible for custody and use of funds in program execution; (d) Accounting
system must be maintained in a way that will facilitate audit by external review
authorities, readily furnish the information needed for effective audit; (e)
Accounting system must be developed in the manner that will permit effective
administrative control of funds and operations, program management and internal
audit and appraisal; (f) The accounts shall be developed so that they effectively
disclose the economic and financial results of program operations, including the
measurement or revenues, identification of costs and determination of the
operation results of the government and its programs and organizations; (g)
Accounting system should be capable of serving the basic financial information
needs of development planning and programming, and the review and appraisal of
performance in physical and financial terms; and (h) The accounts should be
maintained in a manner that will provide the financial data useful for economic
analysis and reclassification of government transaction, and assist in development
of national accounts.

There is no questioning the fact that the principal outputs of the
accounting process, the Balance Sheet and the Income Statement, are the two
outmost widely circulated financial reports on the business enterprise. Reliance on
these reports primarily by users outside the entity reported on has become even
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more widespread with the broadening of the ownership base of business
enterprise and the growth of the public that today’s business must deal with the
New Government Accounting System (NGAS).

On October 30, 2001, the Commission on Audit issued COA Circular No.
2001-005 prescribing the use by local government units of the new government
accounting system effective January 1,2002. The changes in the accounting
system are within the mandate of the COA as provided under Art> IX-D, Sect. 2
of the 1986 Constitution that:

“The COA shall have exclusive authority, subject to the limitations in this
article, to define the scope of its audit and examination, established the techniques
and methods required therefore, and promulgate accounting and auditing rules
and regulations, including those for the prevention and disallowance of irregular,
unnecessary, excessive, extravagant expenditures or use of government funds and
properties.”

The shift to the new accounting procedures was prompted by the need to
simplify the government accounting system in order to facilitate the process of
recording transactions and the preparation of financial reports, and ultimately
expand the number/range of users who can use and understand the accounting
system and the output it produces. The change in the system aimed to replace the
existing one which has become obsolete and is no longer responsive to the current
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demand of government financial mangers for accurate, reliable and timely
financial reports which serve as tools in their decision-making.

Aside from making the new accounting simple, the major changes in
government accounting system are brought about by the following needs: (a) To
make the system more in conformity with international accounting standards; (b)
To pursue eventual computerization which will include responsibility accounting
to make it capable of generating various reports useful to management, lawmakers
and the general public; (c) To generate relevant and periodic financial statements
operation reports needed by governmental planners; and (d) To help government
managers and executives in monitoring the performance of their agency more
effectively.

The New Government Accounting System NGAS is defined as a
simplified set of accounting concepts, guidelines and procedures designed to
ensure correctness, completeness, and timeliness in the recording of government
financial transaction and production of financial reports.

Conceptual Framework
The law declares that all government resources shall be managed,
expended and utilized in accordance with laws and regulations, and safeguard
against loss or wastage through illegal or improper disposition to ensure
efficiency, economy and effectiveness in the operations of the government.
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In the operations of a government accounting system, accountability
requirements are satisfied in part by internal control’s dealing with handling of
financial transactions. These include separate assignments of responsibility of
maintaining custody of funds, recording the data and taking final action on
transactions so that no person or group of organization has exclusive control over
a transaction or group of transactions.
Internal control is the plan of organization and all coordinate methods and
measures adopted with in an agency to safeguard its assets, check the accuracy
and reliability of its accounting data, promote administrative and operational
efficiency and encourage adherence to prescribed managerial policies. For the
purpose of this study, internal control concentrates on the new methods and
procedures of disbursements of government funds being used by the Provincial
government of Benguet.
The installation and implementation of a sound system of internal control
shall be the direct responsibility of the agency head. For this purpose, such agency
head ensure that all actions of the officials concerned are properly monitored and
coordinated. Subject to the provisions of existing laws and regulations, the agency
shall set up an internal control system for the following areas, cash receipts and
disbursement; property, supplies and other inventory items; accounting and
bookkeeping; personnel recruitment; promotion and separation; and procurement,
purchase, storage, requisitions, issuance and disposal.
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As a sound internal control system of an agency, pre-audit of government
expenditure requires knowledge of what each object of expenditure embraces and
a working knowledge of the applicable laws, rules and regulations for each type
of disbursement. The first requisite helps in determining whether or not
expenditure is charged to proper object of expenditure while the second helps in
compliance audit.
Disbursements refer to the settlement of government payables/obligations
by cash or check. Government transactions for which disbursements are made
include Personal Services, MOOE, Capital Outlay and Financial Expenses.
Disbursements shall be covered by Disbursement Vouchers or payrolls and paid
either by check or in cash. The ALOBS shall be an integral part of the
Disbursement Voucher (DV)/payroll.
Under the NGAS, disbursement from the general fund requires the
following certifications on the Disbursement Voucher: (1) Certifications and
approval of vouchers and payrolls as to validity, propriety and legality of the
claim are done by the department head or the office that has administrative
control of the fund concerned. In case of temporary absence or incapacity of the
department head or chief of office and the officer next-in rank shall automatically
perform his function and shall be fully responsible therefore. (2) Necessary
documents supporting the disbursement vouchers/payrolls as certified to and
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reviewed by the accountant. (3) Certification that funds are available for the
purpose by the local treasurer.
Disbursements procedures under the Special Education Fund are the same
as those of the General Fund. However, the local chief executive concerned as co-
chairman of the Local School Board shall approve the disbursements. The
division/city superintendent of schools or the district supervisor concerned, as the
case maybe shall certify vouchers or payrolls as to validity, propriety and legality
of the claim involved.
Under Sec. 100 of the NGAS, disbursements from Trust funds shall be in
accordance with the specific purpose stated in the trust agreement/approved
budget between the trust and trustee as certified by the chief accountant. The
certification on the disbursement voucher as to existence of funds held in trust
shall serve this purpose. Disbursements from the trust fund require the following
certifications: (1) Certification and approval of vouchers and payrolls as to
validity, propriety, and legality of the claim involved by the department/office
head concerned. (2) Certification as to existence of funds held in trust,
completeness, and propriety of supporting documents by the accountant; (3)
Certification as to cash availability by the treasure; and (4) Approval by the
administrator of the fund.
Based on the foregoing characterization of the new accounting system,
this study will be undertaken on the concept that with the provision and
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implementation of the New Government Accounting system (NGAS), this will
result to a better employee-clientele relationship as well as may lessen
suspensions and disallowances of claims of clientele. The officials and employees
are expected to know and apply correctly, consistently and uniformly the COA
manuals, circulars, updates, laws and decisions that are available.
Further, the study will be based on the premise that the NGAS is a
simplified form of the rigid and complicated government accounting procedures,
which is used by government agencies for almost five decades. Hence, the study
is conceptualized to analyze the new accounting and how it is being implemented,
problems encountered and how to minimize such problems and its implications to
both the implementers and the clientele.

Paradigm of the Study
The paradigm describes the coverage and direction of the study.
The independent variables are: a) accounting systems and procedures of
the e-NGAS, b) respondents -clients and implementers, c) specified problems –
lack of proper training’s in the electronic new government accounting system of
personnel concerned, poor coordination of personnel concerned, lack of or
incomplete source/reference documents, lack of hardware/systems for the setting
up, poor knowledge of the facilitators on the electronic new government
accounting system and unreliability of financial transactions and reports.
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The dependent variables are: a) extent of implementation of the Electronic
New Government accounting System (e-NGAS) as perceived by the
implementers and the clientele and a comparison of their perception on these, b)
extent of support given by officials of the Provincial Government of Benguet in
the implementation of the Electronic New Government Accounting System (e-
NGAS) as perceived by the implementers and the clientele and a comparison on
these, c) problems encountered in the Electronic New Government Accounting
System (e-NGAS) as perceived by the implementers and the clientele and
comparison of their perceptions on these.

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Independent

Variables

Dependent
Variables

1. Accounting systems and procedures
• Extent of implementation of the
of the e-NGAS.

Electronic New Government
2. Respondents

Accounting System (e-NGAS) and a
• Clients

comparison of the perceptions of
• Implementers

implementers of and the clientele on
3. Specified Problems

the extent of implementation of the
•

Lack of proper trainings in the
Electronic New Government
Electronic New Governm
ent
Accounting System (e-NGAS).
Accounting System

(e-NGAS)
• Extent of support given by officials in
of personnel concerned.
the implementation of the Electronic
•

Poor coordination of personnel
New Government Accounting
concerned.

System (e-NGAS) and a comparison

• Lack of or incomplete
between the perceptions of the

source/reference documents.
implementers and the clientele on the

• Lack of hardware/systems for
level of support given by the officials

the setting up.
in the implementation of the

• Poor knowledge of the
Electronic New Government

facilitators on the Electronic
Accounting System (e-NGAS).

New Government Accounting
• Degree of seriousness of the

System (e-NGAS).
problems encountered in the

• Unreliability of financial
Electronic New Government

transactions and reports.
Accounting System (e-NGAS) and a

comparison of perceptions between

the implementers and the clientele on

the degree of seriousness of the

problems being encountered.

Figure 1 Paradigm of the Study
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Definition of Terms

The following terms are defined according to operational meaning.

e-NGAS. This refers to the Electronic New Government Accounting System as
stated on the e-NGAS Participant’s Manual Guide May 2004.
Extent of Implementation. This refers to the degree of implementation of the
systems and procedures of the Electronic New Government Accounting Systems
(e-NGAS) which may be Fully Implemented (81% to 100%), Moderately
Implemented (51% to 80%), and Not Implemented (50% and below).
Extent of Support. This refers to the degree of support given by the officials in the
implementation of the Electronic New Government Accounting System (e-
NGAS) which may be Very Supportive (81% to 100%), Moderately Supportive
(51% to 80%), and Not Supportive (50% and below).
Degree of Seriousness. It is the result of the problems encountered in the
implementation of the Electronic New Government Accounting System (e-
NGAS) which may be Very Serious (81% to 100%), Serious (51% to 80%), and
Not Serious (50% and below).
Implementers. These refers to the personnel concerned in the implementation of
the Electronic New Government Accounting System (e-NGAS).
Clientele. This refers to the government creditors such as business
establishments, contractors, suppliers, dealers and employees that do business
with the Provincial Government of Benguet.
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Accounting System. It is a set of tasks that process transactions, records them in
journals and ledgers (either computerized or manual) and produces financial
statements.

Statement of the Hypotheses
1. There is significant difference between the perceptions of the implementers and
the clients on the extent of implementation of the systems and procedures of the
Electronic New Government Accounting System (e-NGAS) in the Provincial
Government of Benguet.
2. There is significant difference between the perceptions of the implementers and
the clients on the extent of support given by officials of the Provincial
Government of Benguet in the implementation of the Electronic New Government
Accounting System (e-NGAS) in the Provincial Government of Benguet.
3. There is significant difference between the perceptions of the implementers and
the clients on the degree of seriousness of the problems encountered in the
implementation of the systems and procedures of the Electronic New Government
Accounting System (e-NGAS) in the Provincial Government of Benguet.

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METHODOLOGY

This chapter contains the methods and procedures used by the researcher
in coming out with an honest assessment of the Electronic New Government
Accounting System (e-NGAS) in the Provincial Government of Benguet. It
includes the locale and population of the study and the research instrument used.

Locale and Time of the Study

The study was conducted in the Province of Benguet. The Province of
Benguet came to existence by Virtue of Republic Act No. 4695 dated June 18,
1966 that authorized the division of the old Mountain Province into four
provinces.

Benguet is bounded on the North by Mountain Province, on the South by
Pangasinan, on the West by La Union and Ilocos Sur, and on the East by Nueva
Vizcaya and Ifugao. Benguet has a total land area of 261,948 hectares and is
composed of 13 municipalities with La Trinidad as its capital town.

Generally, the province is mountainous, 73.20% of its area has slope of 50
degrees and above. The relative flat areas with slope below 50 degrees are located
at the foot of the hills. The flat areas, which comprise 11.80%, are the valleys and
plateaus. Elevation varies from 200 meters to 2,792 meters, the highest at Mt.
Pulag, Kabayan. The highest point of the Philippine Highway System, 2,256.10
meters above sea level, is in Mt. Paoay, Atok.
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The major vegetable producing Municipalities of Benguet are Atok,
Buguias and parts of Mankayan, Kibungan and Kabayan. Cutflower production is
a major industry at La Trinidad and Tuba. It is also naturally endowed with
variety of metallic minerals such as gold, copperand silver. The mining industry
contributes much to the socio-economic development of the Province through
provision of employment.
The study was conducted during the year 2005-2006.

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Figure 2 Location of the Study
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Research Method

Interview was used in the collection of data. The respondents were given
questionnaires, which were gathered by the researcher. Then, the data gathered
include the respondents’ profile, extent of implementation of the Electronic New
Government Accounting System (e-NGAS), level of support given by the
officials of the Provincial Government of Benguet and the degree of seriousness
of the problems encountered in the implementation of the system and procedures
of the Electronic New Government Accounting System (e-NGAS).

Respondents of the Study

Respondents of the study were composed of personnel and staff of the
Provincial Government of Benguet and the various government creditors of the
province within the area covered.

Involved in this study are one hundred (100) respondents divided into two
groups, as follows:

Group A is composed of 50 selected officials, supervisors and employees
from the Provincial Accounting Office, Commission on Audit Provincial Office,
Provincial Treasury Office and Provincial Budget Office.

Group B is composed of 50 selected government creditors that include
suppliers, dealers, contractors and employees of the Provincial Government of
Benguet.
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Simple random sampling was used in selecting the respondents which is
defined by Cristobal M. Pagoro,(1972) as the method of selecting a sample size
(n) from a universe (N) such that each member of the population has an equal
chance of being included in the sample and all possible combinations of size (n)
have an equal chance of being selected as sample. In other words, selection of
respondents is made in such a way that every possible respondent has an equal
chance of being the respondents ultimately selected for the purpose. The sloven
formula is defined as a statistical formula used to get the difference between
means of dependent data. This formula is used to break down the population to be
able to get the actual respondents for the study.

Research Instrument

The questionnaire was the primary and main data gathering tool used in
the completion of this paper. It is defined as a set of questions being administered
to respondents to generate information about an object, a person or a specific
situation. The questionnaire was prepared in such a way that the respondents
could inform the researcher the extent of effectiveness, level of support of
officials arising in the implementation of the Electronic New Government
Accounting System (e-NGAS) in the Provincial Government of Benguet.

Further, the items in the questionnaires were based on books, manuals,
circulars and other materials read by the researcher. In addition, the researcher
consulted his friends and peers in the field of finance group of the various local
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government offices and discussed with them the objectives of the study including
the items in the questionnaire.

Statistical Analysis

The data gathered using the questionnaires were put into tables and
appropriate statistical treatment was used. To determine the extent of
implementation of the Electronic New Government Accounting System (e-
NGAS) in terms of systems and procedures, the extent of support of the officials
of the Provincial Government of Benguet for the implementation of the
Electronic New Government Accounting System (e-NGAS) , and the degree of
seriousness of the problems encountered by the implementation of the Electronic
New Government Accounting System (e-NGAS), descriptive statistics such as
frequency counts and mean were utilized.

The formula used to compute for the mean is:
X = ∑xi

n
Where:

x = the mean
∑xi = summation of the ith observation

n = Total number of observation
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To determine whether significant difference exist among indicators in
every area evaluated, the Friedman Two- way ANOVA was used. The formula is:

χ2r = 12
2
nk(k+1)
∑ Rj
- 3n (k+1)

Where:
n = number of rows

k = number of columns
Rj = sum of ranks in the jth column

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RESULTS AND DISCUSSIONS

Implementation of the Electronic New Government Accounting System
(e-NGAS) in Terms of Systems and Procedures

Table 1 presents the perception of the respondents on the extent of
implementation of the Electronic New Government Accounting System (e-
NGAS) in terms of its systems and procedures. It discusses the degree of
implementation on the different aspects of performance of the program as
evaluated by the respondents.

Based on the table, it can be observed that for indicator 1 “Speedy
processing and recording of voluminous government financial transactions have prompt
and accurate outputs” show a mean of 2.54, which has a descriptive interpretation
of “Fully Implemented”. This implies that the respondents are very much satisfied
about the quickness of output and the reliability of the results produced by the
Electronic New Government Accounting System (e-NGAS) program based on
their experience in the transaction and operation of the system.

The In terms of efficiency of operations, effectiveness of control and
timely delivery of services through the Electronic New Government Accounting
System (e-NGAS) , full implementation is observed by the respondents as evident
from the mean response for indicator 2. The mean response of 2.47 for the
indicator is translated as “Fully Implemented”. This signifies that the respondents
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observe that the Electronic New Government Accounting System (e-NGAS) is
very much efficient on these following functions.

In terms of the ability of the program to monitor balances efficiently based
on real time measure, full implementation is very much observed. The mean
response of 2.43 observed among respondents corresponds to a descriptive
equivalent of “Fully Implemented”, suggests that a high level of efficiency of the
Electronic New Government Accounting System (e-NGAS) to respond in terms
of real time measures.

The respondents strongly agree that the Electronic New Government
Accounting System (e-NGAS) is up-to-date in terms of its operation and
regulatory function. This is clearly seen from the mean response of 2.40 observed
for the indicator. The mean corresponds to a descriptive interpretation of “Fully
Implemented”.

In terms of transparency of operations and well-defined accountability of
the Electronic New Government Accounting System (e-NGAS), the mean
response is computed to be 2.50, interpreted as “Fully Implemented”. This means
that by using the Electronic New Government Accounting System (e-NGAS), the
operations and outputs given out are clear and reliable and it prevents red tape and
corruption since the transparency of operations are very much observed.

Full implementation of indicator 6, “Electronic processing, approval and
on line recording of transaction in the General journal and posting to respective
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General and Subsidiary ledger” is very much observed. Based on the mean for the
indicator (2.50), the Electronic New Government Accounting System (e-NGAS)
efficiently and effectively assures the recording of every processing, approval,
and on line transactions made. Effective filing of these transactions is very much
observed by the respondents as it is evident from the descriptive equivalent of the
mean, translated as “fully implemented”.

Respondents are very much satisfied with the new charts of accounts
produced by the Electronic New Government Accounting System (e-NGAS) and
agrees strongly that the new chart showed output by the systems are more
descriptive than its predecessors. This is clearly seen from the mean for the
indicator which is computed to be 2.57, interpreted as “Fully Implemented”.
Accordingly, the Electronic New Government Accounting System (e-NGAS) is
by far better in terms of the charts it produces comparing to other program used
for the same purpose based on the experience of the respondents.

The respondents agree that the Electronic New Government Accounting
System (e-NGAS) have high precision in terms of measuring actual result
compared with the targets. The mean for the indicator (2.49) suggests that the
program fully implements what is called as Responsibility Accounting.

For Indicator 9, “Provides re-order level and information on number of
days to consume per inventory item” the respondents observe moderate level of
implementation of the program on this function. This means that the respondents
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are relatively unsure whether the Electronic New Government Accounting System
(e-NGAS) is effective on this function or not. This is implied from the mean
(2.39) which has a descriptive equivalent of “Moderately Implemented”.

In the same manner, the mean of 2.34 observed for indicator 10, “On line
tracking of Property Plant Equipment, its acquisition cost accumulated
depreciation, reports and maintenance including its location” suggest a moderate
level of implementation by the Electronic New Government Accounting System
(e-NGAS) on this function. This implies that the system is average in terms of its
performance on this particular function.

On the contrary, the Electronic New Government Accounting System (e-
NGAS) program is observed to be strong in terms of its function of automatic
computation of cost using moving average method. This is strongly suggested by
the mean (2.48) which is interpreted as “Fully Implemented”.

The Electronic New Government Accounting System (e-NGAS) is useful
when it comes to computation of depreciation based on the straight line method.
This is supported by the mean response for the indicator which is computed to
be2.50, interpreted as “Fully Implemented”.

The respondents are not very much convinced that the Electronic New
Government Accounting System (e-NGAS) is effective in terms of on-line
monitoring of project cost components which promotes transparency over
government projects. Based on the mean response which is 2.39, the Electronic
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New Government Accounting System (e-NGAS) is just “Moderately
Implemented” for this function.

Moderate level of implementation is also observed in terms of the
Electronic New Government Accounting System (e-NGAS) function on
monitoring the completed public infrastructures using the program registry of
public infrastructure. The mean of 2.34, suggests an average implementation of
the system on this particular function as evaluated by the respondents.

On the contrary, the respondents observe high level of implementation by
the Electronic New Government Accounting System (e-NGAS) on indicator 15
“On line query on documents and special reports, such as journal entry voucher,
expense per responsibility center, income per responsibility center, repair of
history of property plant and equipment, stocks availability for inventories, stocks
due for reorder/reorder point, schedule/aging of receivable accounts,
schedule/aging of payable accounts, inventory schedule, property plant and
equipment schedule per responsibility center and schedule of account balances”.
This is clearly seen from the mean of 2.46 observed for the indicator which is
translated as “Fully Implemented”.

Over-all extent of the Electronic New Government Accounting System (e-
NGAS) implementation in terms of its systems and procedures produces very
satisfactory result. The grand mean of 2.45 has a descriptive equivalent of “Fully
Implemented” showing a high level of implementation of the systems and
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procedures of the Electronic New Government Accounting System (e-NGAS).
This means that the program in general, is very much effective and efficient.

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Table 1
Extent of Implementation of the Electronic New Government
Accounting System (e-NGAS) In Terms of Systems and
Procedures

System/Procedures NI
MI
FI
Mean
DE
1. Speedy processing and recording of voluminous
1 44 55 2.54 FI
government financial transactions have prompt and
accurate outputs.
2. Efficient operations, effective controls and timely
0 53 47 2.47 FI
delivery of services
3. Monitors balances of each allotment class in real
1 53 46 2.43 FI
time.
4. Up-to-date monitoring of the province operational
2 56 42 2.40 FI
and responsive exercise of regulatory functions
5. Transparent operations and well-defined
2 46 52 2.50 FI
accountability
6. Electronic processing, approval and on line
2 44 54 2.50 FI
recording of transaction in the General journal and
posting to respective General and Subsidiary ledger
7. The e-NGAS carries the enhanced New Chart of
2 39 59 2.57 FI
Accounts which is more descriptive and relevant to
LGU operations.
8. Full implementation of Responsibility Accounting
5 41 54 2.49 FI
to measure actual result against targets
9. Provides re-order level and information on number
5 51 44 2.39 MI
of days to consume per inventory item
10. On line tracking of Property Plant Equipment, its
7 52 41 2.34 MI
acquisition costs accumulated depreciation, reports
and maintenance including its location.
11. Automatic computation of cost of inventory
5 42 53 2.48 FI
based on weighted (moving) average method of
inventory valuation
12. Automatic computation of depreciation based on
4 41 55 2.51 FI
straight line method
13. On line monitoring of project cost components
8 45 47 2.39 MI
there by promoting transparency and accountability
over government infrastructure/projects
14. Monitoring of completed public infrastructure
6 54 40 2.34 MI
projects via the registry of public infrastructure.
15. On line query on documents and special reports
5 42 53 2.46 FI
Grand Mean
2.45
FI

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Legend:

NI
- not implemented

MI
- moderately implemented

FI
- fully implemented

DE
- descriptive equivalent

Table 2
Friedman Statistics for the implementation of the e-NGAS in
Terms of Systems and Procedures

System/Procedures Mean
Ranks
1. Speedy processing and recording of voluminous government
8.61
financial transactions have prompt and accurate outputs.
2. Efficient operations, effective controls and timely delivery of
8.09
services
3. Monitors balances of each allotment class in real time.
7.84
4. Up-to-date monitoring of the province’s operational and responsive
7.65
exercise of regulatory functions.
5. Transparent operations and well-defined accountability
8.31
6. Electronic processing, approval and on line recording of
8.32
transaction in the General journal and posting to respective General
and Subsidiary ledger
7. The e-NGAS carries the enhanced New Chart of Accounts which is
8.83
more descriptive and relevant to LGU operations
8. Full implementation of Responsibility Accounting to measure
8.27
actual result against targets
9. Provides re-order level and information on number of days to
7.53
consume per inventory item
10. On line tracking of Property Plant Equipment, its acquisition cost
7.19
accumulated depreciation, reports and maintenance including its
location
11. Automatic computation of cost of inventory based on weighted
8.17
(moving) average method of inventory valuation.
12. Automatic computation of depreciation based on straight line
8.40
method
13. On line monitoring of project cost components there by
7.61
promoting transparency and accountability over government
infrastructure/projects.
14. Monitoring of completed public infrastructure projects via the
7.13
registry of public infrastructure.
15. On line query on documents and special reports
8.08
χ2r =61.634
Decision: Rejects Null Hypothesis
P- value = 0.0000

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Table 2 displays the result of the Friedman test which measures whether
significant differences exist among the perceptions of the respondents among the
different indicators for the extent of implementation of the Electronic New
Government Accounting System (e-NGAS) in terms of systems and procedures.

Based from the table, it can be seen that the Friedman Statistics is
observed to be 61.634 which has a P-value equivalent to 0.000 which is very
much less than the critical value of 0.05, indicating a very high significant
difference. This implies that the level of implementations of the systems and
procedures are significantly different among indicators. Though, as noted
previously, the extent of implementation among the different indicators are very
high, there are still significant differences observed among the different
indicators. This means that the respondents regard on certain indicators extent of
implementation are higher than on other indicators though on every indicator high
level of implementation is observed. The mean rank of the different indicators
suggests 3 groupings. The highest group containing the highest mean ranks
consists of indicators 1 (8.61), 7 (8.83), and 12 (8.40). The second group consists
of indicators 2 (8.04), 5 (8.31), 6 (8.32), 8 (8.27), 11 (8.17), and 15 (8.08) and the
third group containing the lowest mean rank consists of indicators 3 (7.84), 4
(7.65), 9 (7.53), 10 (7.19), 13 (7.61), and 14 (7.13). This result indicates that
overall, among respondents indicators under the first grouping have the highest
level of implementation as compared with the second and third groupings. In spite
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of these observations, it must be emphasize however, that on all indicators high
level of implementation is observed as shown by the means of the indicators.

Support of the Provincial Government of Benguet on the Implementation of
Electronic New Government Accounting System (e-NGAS)

Table 3 discusses the extent of support given by the Provincial
Government of Benguet to the implementation of the Electronic New Government
Accounting System (e-NGAS). It presents the depth of support in the different
areas to ensure the success of the implementation of the electronic new
government accounting system.
The Provincial Government of Benguet shows an enormous amount of
support in terms of sending its concerned personnel on trainings pertinent to the
Electronic New Government Accounting System (e-NGAS). As reflected from
the mean response (2.64) for the indicator, the provincial government is fully
supportive on this area. The government ensures that personnel training regarding
Electronic New Government Accounting System (e-NGAS) is attended by
concerned individuals so that the system will be fully implemented in the
province of Benguet.
Other than trainings, the provincial government also commits itself in the
information dissemination of the Electronic New Government Accounting System
(e-NGAS) on the different departments of the provincial government to make
certain the full implementation of the system and to ensure that everyone
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connected to the efficient implementation of the program will be fully ready for
the program. This is obvious from the mean which is computed to be 2.43,
interpreted as “Fully supportive”
In terms of Appropriation of funds to implement the program effectively,
the mean for the indicator (2.52) displays a high level of support coming from the
provincial government of Benguet. Aside from trainings and information
dissemination, the provincial government strongly shows its commitment in
seeing the program works by ensuring enough funds are devoted to the efficient
functioning of the Electronic New Government Accounting System (e-NGAS)
program.
Aside from all this, high level of support is observed from the provincial
government in terms of its adherence to the systems and procedures of the
Electronic New Government Accounting System (e-NGAS). This is clear from
the mean (2.56) indicating full support coming from the government for this
indicator. Undoubtedly, based on the result, it shows that the government is very
much committed in seeing to it that the Electronic New Government Accounting
System (e-NGAS) is fully implemented.
Based on the grand mean (2.54) of the extent of support given by the
provincial government of Benguet on the implementation of the Electronic New
Government Accounting System (e-NGAS), it is undeniable that it is serious
about the proper implementation of the system for the purpose of its accounting. It
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is very consistent from the result that the Provincial Government of Benguet is
very supportive in every aspect of the program to ensure its proper
implementation.
Table 3
Extent of Implementation of the e-NGAS in terms of Support
given by the Provincial Government of Benguet

Support NI
MI
FI
Mean
DE
1. Sending of personnel’s on the training of
3 30 67 2.64 FI
the programs of the electronic new
government accounting system.
2. Information dissemination to all
6 45 49 2.43 FI
departments of the electronic new
government accounting system.
3. Appropriation of funds for conduct of
3 42 55 2.52 FI
training on the electronic new government
accounting system and of funds for the
system set up.
4. Adherent to the systems and procedures
1 42 57 2.56 FI
of the electronic new government system.
Grand Mean
2.54
FI

Legend:

NI
- not implemented

MI
- moderately implemented
FI
-fully
implemented

DE
- descriptive equivalent

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Table 4
Friedman Test on the Implementation of the e-NGAS in terms of
Support given by the Provincial Government of Benguet

Support Mean
Ranks
1. Sending of personnel’s on the training of the
programs of the electronic new government
accounting system
2.71
2. Information dissemination to all departments of the
electronic new government accounting system
2.29
3. Appropriation of funds for conduct of training on
the electronic new government accounting system and
of funds for the system set up.
2.47
4. Adherent to the systems and procedures of the
electronic new government system
2.54
Χ2r = 22.614
Decision: Rejects Null Hypothesis
P- value = 0.0000

Table 4 presents the Friedman Test measuring whether significant
differences exist among the different indicators for the implementation of the
Electronic New Government Accounting System (e-NGAS) in terms of Support.
The table also displays the mean ranks of the different indicators purposed to
differentiate which indicators the respondents consider to be of more important
over others on the case of significant difference of Friedman Statistics.
Since the Friedman statistics is 22.614 with a P-value of 0.0000, It is very
much less than the critical value of 0.05, therefore significant differences exist
among the indicators. This indicates that the respondents evaluate the support area
of implementation of the Electronic New Government Accounting System (e-
NGAS) as highly implemented across indicators, the differences observed among
means of the different indicators are still significantly different. The respondents
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regard the extent of implementation significantly higher on the first indicator
(2.71) on the second indicator (2.29) while the third (2.47) and fourth (2.54)
indicators are in the middle of the first two indicators. Accordingly, the highest
level of implementation is observed on indicator 1 while the lowest is observed on
indicator 2. However, it should be reiterated that based on the means all indicators
recorded a high level of implementation.

Problems Encountered in the Implementation of Electronic New Government
Accounting System (e-NGAS)

The data presented on Table 5 shows the degree of seriousness of different
problems expected to affect the proper implementation of the Electronic New
Government Accounting System (e-NGAS) of the Provincial Government of
Benguet. It displays different challenges that could cause difficulties for the
smooth implementation of Electronic New Government Accounting System (e-
NGAS).
Proper training on the operation of the Electronic New Government
Accounting System (e-NGAS) possesses no serious problem for the
implementation of the Electronic New Government Accounting System (e-
NGAS) in the Provincial Government of Benguet. The mean computed for the
indicator is 1.08, interpreted as “Not Serious”. This can be connected to the fact
that, as earlier discussed, the Provincial Government of Benguet is very much
supportive in terms of sending concerned personnel to training programs that are
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related to the proper operation of the Electronic New Government Accounting
System (e-NGAS).
Coordination among personnel is also another area that does not pose a
serious treat in the implementation of the Electronic New Government
Accounting System (e-NGAS). Based on the mean (1.16), the problem on
coordination of concerned personnel is “Not Serious”. This implies that the
personnel to personnel, office to office and department to department
coordination is very strong to ensure that the program is very well implemented.
Communication among the concerned individuals is very good as suggested by
the result.
The mean of 1.05 for indicator 3 “Lack of or incomplete source/reference
documents” has a descriptive equivalent of “Not Serious”, indicating that no
serious problem is encountered in terms of source material in the operation of the
e-NGAS program. The resources available concerning the proper implementation
of the system is relatively adequate.
Moreover, the necessary hardware for setting- up of the Electronic New
Government accounting System (e-NGAS) is sufficient in the provincial
government of Benguet as suggested from the result on Table 5. The mean for the
indicator (1.07) can be interpreted as “Not Serious”. This means that there is no
lacking in terms of needed hardware in the implementation of the system; all
needed equipment is available to ensure proper functioning of the program.
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Further, the facilitators of the Electronic New Government Accounting
system (e-NGAS) are very much capable and competent in operating the system.
This is very obvious from the result of the mean which is 1.03, interpreted as “Not
Serious”. According to the result, the respondents see no serious problem when it
comes to the knowledge of the facilitators on the operation of the Electronic New
Government Accounting System (e-NGAS).
The mean of 1.05 for indicator 6 “Unreliability of financial transactions
and reports” has a descriptive interpretation of “Not Serious” showing that
outputs coming from the Electronic New Government Accounting System (e-
NGAS) are very much reliable and accurate.
As a total, there is no serious problem in the proper implementation of the
Electronic New Government Accounting System (e-NGAS) as shown in the
consistent result of the data. As seen from the grand mean of 1.07, it is clear that
there are no serious problems encountered in the efficient, reliable, and effective
implementation of the Electronic New Government Accounting System (e-
NGAS).

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Table 5
Problems Encountered in the Implementation of the Electronic
New Government Accounting System (e-NGAS)

Problems NS
S
VS
Mean
DE
1. Lack of proper trainings in the electronic
93 6 1 1.08
new government accounting system of
personnel concerned
NS
2. Poor coordination of personnel
85 14 1 1.16 NS
concerned
3. Lack of or incomplete source/reference
95 5 0 1.05 NS
documents
4. Lack of hardware/systems for the setting
93 7 0 1.07 NS
up
5. Poor knowledge of the facilitators on the
97 3 0 1.03 NS
electronic new government accounting
system
6. Unreliability of financial transactions
95 5 0 1.05 NS
and reports
Grand Mean
1.07
NS
Legend:

NS
- not serious
S
-
serious

VS
- very serious

DE
- descriptive equivalent

Table 6
Friedman Test on the Problem Encountered on the Implementation
of the Electronic New Government Accounting System (e-NGAS)

Problems Mean
Ranks
1. Lack of proper trainings in the electronic new
government accounting system of personnel
concerned. 3.52
2. Poor coordination of personnel concerned
3.76
3. Lack of or incomplete source/reference
documents 3.43
4. Lack of hardware/systems for setting up.
3.49
5. Poor knowledge of the facilitators on the
electronic new government accounting system
3.37
6. Unreliability of financial transactions and reports
3.44
Χ2r = 21.440
Decision: Rejects Null Hypothesis
P- value = 0.001

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Table 6 discusses the result of the Friedman Test regarding the different
problems that are faced by the implementation of the Electronic New Government
Accounting System (e-NGAS). It measures which problems do respondents
consider to be relatively more serious compared to others. The mean ranks for the
different problem were also taken to make comparisons regarding which problems
are more serious over the others on the case of significant difference of the
Friedman statistics.

The Friedman statistics is found to be 21.440 with a p-value of 0.001 is
less than the critical value of 0.05, indicating significant difference. This implies
that significant differences can be observed among the degree of seriousness of
the problems observed on the implementation of the Electronic New Government
Accounting System (e-NGAS). This in spite of the previously noted observation
made from the means of the different indicators, found that no serious problem is
observed on general on every indicator. The result simply means that in every
indicator, the degree of seriousness has a descriptive equivalent of “Not Serious”.
The differences among the means are still significant. This implies that there is no
serious problem observed among the indicators. In contrast, some indicators are
relatively more serious than others. Gleaning from the table, it can be observed
that indicator 2 (3.76) has the highest degree of seriousness in comparison with
others while the least serious among all indicators is found to be indicator 5 with a
mean rank of 3.37.
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SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
Summary

The study evaluated the Electronic New Government Accounting System
(e-NGAS) being utilized in the Provincial Government of Benguet. It determined,
the extent of implementation of the program in terms of its system and
procedures, the level of support of the provincial government towards the
program, and the problems encountered in the implementation of the electronic
new government accounting system. It also sought to identify whether significant
difference exist among the indicators of the different areas of evaluation.

The salient findings are the following:
1. The extent of implementation of the Electronic New Government
Accounting System (e-NGAS) in the provincial government in terms of
the systems and procedures of the program is very extensive. The findings
suggest that full implementation of the program is observed in many of the
systems and procedures of the program while only four indicators were
found to have moderate level of implementation. In terms of the systems
ability to provide re-order level and information on number of days to
consume per inventory item it was found that improvement is required as
the mean suggests moderate level of implementation. The same is true
when the on line features of the program which also displays a mean with
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50
interpretation of moderate implementation. Other than these areas, no
parts of the systems and procedures have been found not implemented.

2. With regard to the level of support given by the Provincial Government of
Benguet on the implementation of the Electronic New Government
Accounting System (e-NGAS) program, full support is very evident from
the results of the research endeavor. The over-all mean in this area
strongly implies very high level of support for the proper implementation
of the Electronic New Government Accounting System (e-NGAS). Based
on the different indicators used in the study to measure governmental
support for the program, every indicator recorded a full level of support
coming from the government. Most notable among the indicators are the
higher level of government support by sending key personnel to
technology training programs to ensure smooth implementation of the
system which registers the highest level of mean.
3. Based on the findings, the implementation of the Electronic New
Government Accounting System (e-NGAS) is very smooth. As shown
from the findings, there is no serious problem in the implementation of the
Electronic New Government Accounting System (e-NGAS). The result
showed consistently “Not Serious” in terms of the threats that may have
The Electronic New Government Accounting System
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51
impact in the effective and efficient implementation of Electronic New
Government (e-NGAS).

Conclusions

Based on the findings, the following conclusions are drawn:

1. There is no difference between the perceptions of the implementers and
the clients on the extent of implementation of the systems and procedure of
the Electronic New Government Accounting System (e-NGAS) in the
Provincial government of Benguet. Both agree that implementation is very
effective and efficient.

2. There is no difference between the perception of the implementers and
the clients on the extent of support given by the officials of the Provincial
Government of Benguet in the implementation of the Electronic New
Government Accounting System (e-NGAS). Both agree that the Provincial
Government of Benguet is serious about the proper implementation and full
support given.

3. There is no difference between the perception of the implementers and
the clients on the degree of seriousness of the problems encountered in the
implementation of the systems and procedures of the Electronic New
Government Accounting System (e-NGAS) in the Provincial Government of
Benguet. They both agree that there is no serious problem incurred in the
The Electronic New Government Accounting System
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proper implementation of the Electronic New Government Accounting
System (e-NGAS).

Recommendations

Based on the findings and conclusions, the following are recommended.
1. Based on the result of the study it is recommended that continuous
implementation of the Electronic New Government Accounting System (e-
NGAS) should be done. The high level of implementation in terms of systems and
procedures of the program must be continuously and consistently followed up as
to heighten the level of implementation.
2. Special attention on the on line aspect of the program is suggested by the
result on this area where only moderate level of implementation is observed.
There is a need to encourage the higher level of support by the local government
unit of Benguet on this program.
3. The researcher suggests that other aspects of the Electronic New
Government Accounting System (e-NGAS) be evaluated and that a feedback
mechanism will be conducted.
4. It is recommended that Annual Budget be allocated on the upgrading of the
system and training for personnel involve in the operation of the Electronic New
Government Accounting System (e-NGAS).

The Electronic New Government Accounting System
in the Provincial Government of Benguet / Avelino D. Cayat Jr. 2007

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LITERATURE CITED

CASTRO, J. 1993. Government Accounts and Audit. The Philippine
Government Website.www.gov.ph.

CREENCIA, F. and LEVERIZA J.1993. Handbook for Internal Control for
Government Agencies Metro Manila, Commission on Audit (COA). Pp.
36-27.

COMMISSION ON AUDIT (COA) 2004. e-NGAS Participant’s Guide Local
Government Units (LGU). Pp 1-20.

DOWNIE, N.M. and HEATH, R.W. 1983. Basic Statistical Methods. New York:
Harper and Row Publishers. Pp. 58

GUERRERO, P.P. and PERALTA, J.F. Advanced Accounting A Procedural
Approach. Manila: GIC Enterprises and Co., Inc. Pp. 16, 25-28.

NOLLEDO, J. 1992. The local Government Code of 1991. Caloocan City:
Philippine Graphic Arts.Inc. Pp. 356-358.

PRESIDENTIAL DECREE 1445. 1991.Government Auditing Code of the
Philippines. Pp. 1252, 1351.

REPUBLIC OF THE PHILIPPINES. Constitution. 1987. Pp. 1567-1568.

REPUBLIC OF THE PHILIPPINES. REPUCLIC ACT 7160. 1991. The Local
Government Code of 1991. Pp. Pp. 781-782.

SEVILLA, M. 1972. The Accounting Function in Business, University of the East
Manila, Metro Manila. Pp. 75-78.

SMITH, J.K. Intermediate Accounting Part I, Second Philippine Edition, Metro
Manila: Mutual Books Inc. Pp. 64-68, 84-86.

TANTULCO, F. Jr. 1994. Performance and Accountability. Mandaluyong City:
Fiscal Administartion Foundation Inc. Pp. 126.

VALENCIA, E. and ROXAS, G. 2000. Income Taxation. Sampaloc Manila: Inter
Campus Trading. Pp. 56-57, 126.
The Electronic New Government Accounting System
in the Provincial Government of Benguet / Avelino D. Cayat Jr. 2007

54

VALIX, C. and PERALTA, J. 2004 Financial Accounting based on ASC, SFAS
Manila: GIC Enterprises Inc. Pp.115-117, 159.

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Appendix A
(Letter of Request)

Republic of the Philippines
Province of Benguet
La Trinidad

HON. BORROMEO P. MELCHOR
Provincial Governor
Province of Benguet

Sir:

Greetings!

I am presently conducting a study entitled “THE ELECTRONIC NEW
GOVERNMENT ACCOUNTING SYSTEM IN THE PROVINCIAL
GOVERNMENT OF BENGUET” in partial fulfillment of the requirements
leading to Masters in Public Administration at Benguet State University, La
Trinidad, Benguet.

With this regard, may I secure permission from your good office to allow
me to administer the survey questionnaire to the employees of the Provinvial
Accounting Office, Commission on Audit, Provincial Treasury Office and
Provincial Budget Office.

Thank you very much for your kind consideration.

Very truly yours,

(Sgd.) AVELINO D. CAYAT JR.
Researcher
Noted By:
(Sgd.) FELIPE S. COMILA, Ed. D.
Adviser
Recommending Approval:

(Sgd.) TESSIE M. MERESTELA, D. Agr.
Dean
The Electronic New Government Accounting System
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56
Appendix B

(Letter to the Respondents)

Republic of the Philippines
Province of Benguet
La Trinidad

Sir/Madam:
Greetings!

I am currently conducting a research entitled “THE ELECTRONIC NEW
GOVERNMENT ACCOUNTING SYSTEM IN THE PROVINCIAL
GOVERNMENT OF BENGUET” in partial fulfillment of the requirements
leading to Master in Public Administration at Benguet State University.

With this regard, I am asking for your support and cooperation by
answering accurately and honestly the attached questionnaire. Your identity as
respondent will be treated with strict confidentiality, and the data gathered will be
used plainly for academic purposes.

Thank you very much.

Respectfully yours,

(Sgd.) AVELINO D. CAYAT JR.
Researcher

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Appendix C

QUESTIONNAIRE

I. PROFILE OF THE RESPONDENTS
Name (Optional): ____________________________ Age:____________
Civil Status: _________________________________ Sex:____________
No. of years in Government Service: ________Office/Department:______

II. EXTENT OF IMPLEMENTATION OF THE e-NGAS

1.) Please rate the extent of the e-NGAS implementation in the Provincial
Government of Benguet using the following scales below:

3- Fully Implemented (FI) if at least 81% to 100% of the systems and
procedures of the Electronic New Government Accounting System (e-
NGAS) is implemented.

2- Moderately Implemented (MI) if at least 51% to 80% of the systems
and procedures of the Electronic New Government System (e-NGAS) is
implemented.

1- Not Implemented (NI) if at least 50% and below the systems and
procedures of the Electronic New Government Accounting System (e-
NGAS) is not implemented.

Systems/Procedures
FI (3)
MI (2)
NI (1)
a. The concerned office gathers supporting documents and

certified ALOBS, prepares DV/payroll and forward to head
of department.
b. The head of department/supervisor certifies in the

Disburse Voucher/ payroll that expenses are necessary,
lawful and incurred under his/her direct supervision and
forward it to the accounting department.
c. The accounting department checks and certifies the

completeness and propriety of supporting documents.
d. The treasurer verifies claim, certifies that funds are

available for the purpose and forward to the approving
officer.
e. The Local Chief Executive approves payment of claims

with the DV/payroll to cashier/treasurer.
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f. The cashier/treasurer prepares signs check and forward

check with the DV to countersigning officer.
g. The LCE/administrator countersigns the check and goes

back to the treasurer/cashier for release of payment to
claimants.
h. The cashier/treasurer prepares the Report of Check Issued

(RCI)/Report of Cash Disbursement (RCD) and forward
reports with DV/Payrolls and the supporting documents to
the accounting department.
i. The accounting department receives the RCI/RCD

together with the paid DVs /payrolls from the
cashier/treasurer.
j. The accounting department prepares the JEV based on the

individual check/voucher/payroll, record liquidation of cash
advances, and record JEV to the e-NGAS system.
k. The accountant forward RCI/RCD, DV/payrolls,

supporting and JEV to the Office of the Auditor.
l. The accountant prepares financial reports, submits to COA

and furnishes Reports to SP and other concerned agencies.

2.). Please check the level of support given by officials of the Provincial
Government of Benguet in the implementation of the electronic new government
accounting system in the Provincial Government of Benguet, where:

3 -Very Supportive (VS) if the officials of the Provincial Government of
Benguet supports with at least 81% to 100% of the implementation of the
Electronic New Government Accounting System (e-NGAS).

2 – Supportive (S) if the officials of the Provincial Government of
Benguet supports with at least 51% to 80% of the implementation of the
Electronic New Government Accounting System (e-NGAS).

1 - Not Supportive (NS) if at least 50% and below of the officials of the
Provincial Government of Benguet do not support the implementation of the
Electronic New Government Accounting System (e-NGAS).

Support
VS (3)
S (2)
NS (1)
a. Conduct of training programs on the electronic new

government accounting system
b. Information dissemination to all departments of the

electronic new government accounting system
c. Appropriation for funds for supplies and

materials/equipment
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59
d. Liquidation of cash advances

e. Submission of supporting documents

f. Adherent to the systems and procedures of the electronic

new government system

3.) Please check the degree of seriousness of the problems encountered in the
implementation of the systems and procedures of the electronic new government
accounting system in the Provincial Government of Benguet, where:

3 – Very Serious (VS) if the problems encountered ranges from 81% to
100% in the implementation of the Electronic New Government
Accounting System (e-NGAS).

2 – Serious (S) if the problems encountered ranges from 51% to 80% in
the implementation of the Electronic New Government Accounting
System (e-NGAS).

1 – Not Serious (NS) if at least 50% and below of the problems
encountered do not affect the implementation of the Electronic New
Government Accounting System.

Problems
VS (3)
S (2)
NS (1)
a. Lack of proper trainings in the electronic new government

accounting system of personnel concerned
b. Lack of or incomplete supporting documents of

DV/payrolls
c. Lack of materials/supplies/equipment

d. Missing vouchers/payrolls

e. Poor coordination of personnel concerned

f. Delay of submission of reports cash division

e. Suspension /disallowance of the transactions

g. Unreliability of financial transactions and reports

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BIOGRAPHICAL SKETCH

The researcher, Avelino Damitan Cayat Jr. is a native of Gambang,
Bakun, Benguet. He is the son of Mr. Avelino Paing Cayat Sr. of Gambang,
Bakun Benguet and Anita Soping Damitan of Natubleng Buguias, Benguet and
the second child among five siblings. Presently, he is residing at IB 84 Betag, La
Trinidad, Benguet.

He finished his elementary education at Benguet State University, La
Trinidad, Benguet in 1993 with honors and his high school at San Jose High
School, Poblacion, La Trinidad, Benguet in 1997 and graduated with special
awards. For his college, he obtained the degree Bachelor of Science in
Accountancy at Saint Louis University, Baguio City in 2001.

For his work, he was employed as an Outlet Customer Service
Representative (OCSR) and Cashier at the Aboitiz One. Inc. Baguio Branch from
Feb. 1,2003 to September 21,2003. On November 13,2003, he was employed at
the Benguet General Hospital of the Province of Benguet as a Casual Accounting
Clerk I. Later, on June 16,2005, he was hired permanently at the Provincial
Accounting Office of the Province of Benguet.

To pursue his higher education, he took his Master’s Degree in Public
Administration at Benguet State University, La Trinidad, Benguet and finished in
2007.

The Electronic New Government Accounting System
in the Provincial Government of Benguet / Avelino D. Cayat Jr. 2007

Document Outline

The Electronic New Government Accounting System in the Provincial Government of Benguet
- BIBLIOGRAPHY
- ABSTRACT
- TABLE OF CONTENTS
- INTRODUCTION
  - Background of the Study
  - Statement of the Problem
  - Objectives of the Study
  - Significance of the Study
  - Scope and Delimitation of the Study
- REVIEW OF LITERATURE
  - Conceptual Framework
  - Paradigm of the Study
  - Definition of Terms
  - Statement of the Hypotheses
- METHODOLOGY
  - Locale and Time of the Study
  - Research Method
  - Respondents of the Study
  - Research Instrument
  - Statistical Analysis
- RESULTS AND DISCUSSIONS
  - Implementation of the Electronic New Government Accounting System(e-NGAS) in Terms of Systems and Procedures
  - Support of the Provincial Government of Benguet on the Implementation ofElectronic New Government Accounting System (e-NGAS)
  - Problems Encountered in the Implementation of Electronic New GovernmentAccounting System (e-NGAS)
- SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
  - Summary
  - Conclusions
  - Recommendations
- LITERATURE CITED
- APPENDICES
- BIOGRAPHICAL SKETCH