Further to the Financial Management Regulations (FMR) that were promulgated and adopted in February 2019, DOFA wish to adopt amendments. Please find attached the amended FMR that incorporates the changes below since the adopted FMR dated February 2019.
The changes reflect the following:
- Remove a significant number of procedural type regulations that could be better dealt with in our Treasury procedures;
- Reflect the recent adoption of law, increasing the thresholds for open bidding for construction contracts greater than $50,000 and personal property contracts greater than $100,000.00;
- Correct some minor inconsistencies and ambiguities that have arisen when practically applying the FMR;
- Incorporation of comments received from the consultations from DTCI, DOJ, DOFA and Foreign Missions:
o Public tender procedures, change orders and confidentiality of tenders;
o Foreign Missions regulations to capture current operations, expansion of available payment methods authorized by the secretary i.e. internet banking and debit cards;
o Use of debit cards for FSM National government business;
o Travel regulations during a State of Emergency; and
o Inclusion of appropriate tax clause in contracts and provision of guidance for defining which tax type business and individuals will fall under.
The Department of Finance & Administration would like to thank all those who participated during the consultation period. Please download your copy for your Office to follow and contact us if you require clarification over any matters therein. We hope to undertake a training in the coming months on the FMR.
