SUBIC BAY

About Us

The creation of the IAS was first mandated under Republic Act (RA) No. 3456 (Internal Auditing Act of 1962), as amended by RA No. 4177, s. 1965. With the reorganization of the Executive Branch of government under Presidential Decree (PD) No. 1, s. 1972, the IAS was effectively abolished or dissolved with its merger with the Management Division of the Financial and Management Service of departments, said division being the surviving entity. Consequently, there was no longer an IAS under RA No. 3456, as amended, by virtue of PD No. 1. (Source: Revised Government Internal Audit Manual (RPGIAM) Chapter 1, Item No. 2, Legal Bases for Internal Audit)

Thereafter, the Administrative Code of 1987, as amended, mandated the creation of the present IAS and provided the corresponding internal audit functions.

Accordingly, the IAS based on the Administrative Code of 1987, as amended, and the functions defined therein were subsequently adopted and applied across other departments, agencies, government-owned or controlled corporations (GOCCs) and local government units (LGUs) through various executive issuances. Subsequent administrative orders mandated government entities to strengthen their internal control systems and organize systems and procedures in coordination with the Department of Budget and Management (DBM).

The SBMA-IAS is an independent unit directly placed under the Office of the Chairperson and Administrator (CHAD) of the Subic Bay Metropolitan Authority (SBMA). The IAS reports to CHAD and the Audit and Risk Committee.

The IAS assists SBMA in the effective discharge of its responsibilities, without intruding into the authority and mandate of the Commission on Audit (COA) granted under the Constitution.

The IAS is composed of two (2) divisions namely: Management Audit Divisions (MAD) and Financial Audit Division (FAD). In the proposed SBMA Rationalization Plan, the FAD will be renamed as Operations Audit Division in accordance with the DBM Circular Letter No. 2008-5, Series of 2005.

MISSION

To assist the Management in achieving Agency’s objectives in an effective, efficient, economical and ethical manner by conducting independent evaluation of management controls and operation performance and the determination of the degree of compliance with laws, rules and regulations, policies, established objectives, systems and procedures/processes and contractual obligations.

VISION

To be regarded as valued resource by the Management and recognized partner of SBMA offices and departments in accomplishing their objectives.

Principal Functions

The IAS shall be an integral part of the internal control system of SBMA.

Internal audit encompasses the evaluation of the degree of compliance of supervision or control with laws, rules and regulations governing the operations of the agency, the appraisal of the adequacy of internal controls and the evaluation of the results of operations, focusing on the effectiveness of controls of operating and support services units/systems in the attainment of agency objectives.

Pursuant to the Administrative Code of 1987, as amended, adopted by DBM in its Circular Letter No. 2008-5, and reiterated in the NGICS, the functions of the IAS are as follows:

1. Advise the Chairperson and Administrator and/or the Audit and Risk Committee (ARC) on all matters relating to management control and operations audit;
2. Conduct management and operations audit of the Agency functions, programs, projects, activities with outputs, and determine the degree of compliance with their mandate, policies, government regulations, established objectives, systems and procedures/processes and contractual obligations;
3. Review and appraise systems and procedures/processes, organizational structure, assets management practices, financial and management records, reports and performance standards of the units covered;
4. Analyze and evaluate management deficiencies and assist top management by recommending realistic courses of action; and
5. Perform such other related duties and responsibilities as may be assigned or delegated by the CHAD and/or ARC, or as may be required by law.