General Instructions:

White boxes cells shall not be edited or moved.

Yellow cells shall be the only cells where the user can edit or input the necessary data.
Blue cells signify the steps in the Toolkit.
 STEP 1: MAP YOUR PROCESS FLOW
Note:
- A flowchart is a picture of the separate steps involved in a given process, presented in sequential order.
- Particularly helpful in analyzing and identifying areas for improvement by showing inefficiencies in the system.
- Also, it is useful in costing analysis.
- For this template, it is not necessary to use the various diagrams and boxes normally used in process flowcharts.
- Suggested Source: Citizen's Charter or the duly authorized process flow of the concerned office (for standard procedure)
Instructions in Filling the Form
1 Discuss and decide on the boundaries of your process.
* Where or when does the process start? Where or when does it end?
2 Arrange and document the activities in proper sequence.

Table 1:
LIST OF ACTIVITIES MED CERT FEE
1 Issue OPD Number to the Client
2 Vital Signs Taking and Weighing of the Client
Interview and record Client's Personal Information and
3 reason of consultation
Ensure the completeness of documents from the Client
4 (Brgy Clearance, CXR Result, Urinalysis, CBC)
5 Endorse the Client to the Municipal Health Officer
6 Perform medical examination to the Client
7 Issue OR of Payment for Medical Certificate
8 Print Medical Certificate
9 Sign the Medical Certificate
10 Issue the Medical Certificate to the Client
11

STEP 2: IDENTIFY THE RESOURCES FOR EACH ACTIVITY

Instructions in Filling the Form
1 Identify the offices and all key people involved with each activity. Identify official position.
* For standardization, base the information on the Citizen's Charter or the duly authorized process flow for
standard procedure.
* This includes those who do the work in the process: suppliers, customers and supervisors.
2 List down the materials and resources utilized in each stage.
Table 2:

ACTIVITY OFFICE INVOLVED PERSONNEL SUPPLY/MATERIAL

board paper, printer ink,

1 Issue OPD Number to the Client MHO Job-order/ Administrative Aide I laminating film, lamination
machine

infrared thermometer, BP
2 Vital Signs Taking and Weighing of the Client MHO Midwife/ Nurse/ RSI Apparatus, Weighing Scale,
tables and chairs

Bond Paper, Printer Ink,

Ballpen, Long Folder, Fastener,
Pentel Pen, Stapler, Staple
3 Interview and record Client's Personal Information and rMHO Midwife/ Nurse
Wire, Desktop Computer,
Printer, Printer Ink, Filing
cabinets, tables and chairs

Ensure the completeness of documents from the

4 Client (Brgy Clearance, CXR Result, Urinalysis, CBC) MHO Midwife/ Nurse
5 Endorse the Client to the Municipal Health Officer MHO Midwife/ Nurse

Ballpen, Stethoscope, alcohol,

6 Perform medical examination to the Client MHO Municipal Health Officer
mask, gloves, tables and chairs

OR, Printer Ink, Ballpen, tables

7 Issue OR of Payment for Medical Certificate MTO Administrative Assistant I
and chairs
Bond Paper, Desktop
8 Print Medical Certificate MHO Administrative Aide I Computer, Printer, Printer Ink,
tables and chairs
9 Sign the Medical Certificate MHO Municipal Health Officer Ballpen
10 Issue the Medical Certificate to the Client MHO Administrative Aide I
11 -

STEP 3: CLASSIFY ACTIVITIES INTO "ROUTINE" AND "SPECIAL"

Instructions in Filling the Form
1 Classify the activities into whether they are:
* Routine(same procedure and effort for each applicant)
* Special (usually the vital part of the process and varies according to the type and/or complexity of the business
of the applicant)
Note: It is highly suggested to identify one (1) special step.
- However, it can be two (2) or more. In that case, it will have an impact on the weight of the
Special Variable Component.
- It may also yield that there is no special step in the whole process. In that case, the normal costing procedure
is applicable and the computation will not involve a Special Variable Component.
Table 3:

ACTIVITY OFFICE INVOLVED PERSONNEL SUPPLY/MATERIAL TYPE OF ACTIVITY

board paper, printer ink,

laminating film, lamination
1 Issue OPD Number to the Client MHO Job-order/ Administrative Aide I machine Routine
infrared thermometer, BP
Apparatus, Weighing Scale,
2 Vital Signs Taking and Weighing of the Client MHO Midwife/ Nurse/ RSI tables and chairs Routine
Bond Paper, Printer Ink,
Ballpen, Long Folder, Fastener,
Pentel Pen, Stapler, Staple
Wire, Desktop Computer,
Printer, Printer Ink, Filing
3 Interview and record Client's Personal Information and r MHO Midwife/ Nurse cabinets, tables and chairs Routine
Ensure the completeness of documents from the
4 Client (Brgy Clearance, CXR Result, Urinalysis, CBC) MHO Midwife/ Nurse - Routine
5 Endorse the Client to the Municipal Health Officer MHO Midwife/ Nurse - Routine
Ballpen, Stethoscope, alcohol,
6 Perform medical examination to the Client MHO Municipal Health Officer mask, gloves, tables and chairs Special
7 Issue OR of Payment for Medical Certificate MTO Administrative Assistant I OR, Printer Ink, Ballpen, tables Routine
8 Print Medical Certificate MHO Administrative Aide I Bond Paper, Desktop Computer,Routine
P
9 Sign the Medical Certificate MHO Municipal Health Officer Ballpen Routine
10 Issue the Medical Certificate to the Client MHO Administrative Aide I - Routine
11 - - - - Routine
 STEP 4. QUANTIFY THE VARIABLE COST FOR ROUTINE ACTIVITIES This is based on the
position being occupied by
the person rendering the
service
STEP 4.A PERSONNEL COSTS Use the amount indicated in
the Citizen's Charter or the
latest adjustment as
Instructions in Filling Up the Form implemented by the LGU.

Other benefits include

Column 1- Base it on the staff identified as directly involved in the Routine Activities of the subject service. The actual number may be obtained from the Citizen's Charter
PERA, Yr end benefits, and
or authorized office process flow, including the list of contractual positions for the particular service/s being rendered. other remunerations
received by the employee.
In case data is unavailable,
Column 2 - Match the salary grade for each staff. The salary grade data will be available at the Citizen's Charter, HR, Accounting, or Budget Office of the City. we can use the proxy 20%
to cover for all other
benefits.
Column 3 - Fill out the salary rate per month for each staff. The salary rates per month may be obtained from HR, Accounting, or Budget offices of the LGU.
Based on the rule that staff
Column 4 - Compute for the annual salary of the staff by multiplying column 3 by 12 months assigned on full time
receives 80% rating. The
Column 5. Identify all other remunerations regularly received by the staff. Data will be available at the City Budget or Accounting Department. In case data will not 20%
be represents lag time
readily available, other benefits can be represented by computing 20% of the annual salary. normally devoted to
attendance in seminars,
trainings, leaves and other
Column 6. Sum up columns 4 and 5, and multiply it by 80%. The 20% covers lag time usually allotted to attendance in seminars/trainings, leaves, and other admin administrative activities not
activities not related to the service. LGUs may also devise other method to determine the annual % of time assigned in the delivery of subject service, exclusive of lag
related to delivering the
time. service.
This may be determined by
Column 7. Approximate the annual percentage of time each staff performs the task directly related to the activity. Data shall be provided by the head of units performing
the head of unit delivering
the service, e.g., if exclusively doing such task, then put 100%. the service.
Column 8.Get the total personnel cost attributable to Routine Activities by adding the cost for each staff involved in delivering the service.
Table 4: Personnel Cost
Compensation % Time assigned in the
Name and Position Monthly Other Annual delivery of the Subject Annual Cost of the Service
SG-Step Annual Salary Service
Salary Benefits Compensation

(col 1) (col 2) (col 3) (col 4) (col 5) (col 6) (col 7) (col 8)

MARK AMACAN Job-Order 5,500 66,000 52,800.00 15% 7,920.00
JUNREY BOCALA SG- 2 10,640 127,680 59,890 150,056.00 15% 22,508.40
ROSELYN BATA, RHM SG-11 20,250 243,000 81,513 259,610.00 15% 38,941.50
ANNABEL B. SERUELO, RHM SG-11 20,250 243,000 81,513 259,610.00 15% 38,941.50
ELISA CEZAR, RHM SG-11 20,250 243,000 81,513 259,610.00 15% 38,941.50
JOY B. ALTAVAS SG-2 10,640 127,680 56,280 147,168.00 15% 22,075.20
JOY C. MADRILEÑO SG-7 14,319 171,828 63,638 188,372.80 10% 18,837.28
TOTAL 188,165.38
 STEP 4.B COST OF TRANSPORTATION
Instructions in Filling the Form
Column 1. Identify the vehicles used for inspection
Column 2. Identify the number of vehicles used for inspection. The 10% applied is based on the economic life of
the vehicle of ten (10) years
Column 3. Verify unit cost of vehicle 0.5 x 44/52 weeks. Since normal
Column 4. Determine the total cost by multiplying columns 2 and 3 In the absence of actual data from inspection activities are done half
the Accounting Department, we can day every week day from
Column 5. Apply the depreciation rate (Note: Economic life of a vehicle is 10 years) use approximately 20% of annual February to November.
depreciation cost.
Column 6. Compute for the annual depreciation cost by multiplying columns 4 and 5.
Column 7. Verify from the City Accounting Office the actual amount spent for maintenance of the vehicle used for inspection. In the absence of actual data, the amount can be computed by multiplying column 5 by
20%.
Column 8. Determine the frequency of use of the vehicle. In the specific case sample, half day use from February to November is 44/52 weeks x .5 days. Note that the LGUs may devise other method to determine the
actual frequency of use of vehicle.
Column 9. Compute the cost of vehicle for inspection by adding columns 6 and 7 thenmultiply the frequency of use in column 8.
Table 5:
Variable Cost - Vehicle
Number of Depreciation Annual Percentage of use for
List of Vehicle/s Unit Cost Total Cost Maintenance cost Annual cost of vehicle for inspection
Vehicles Rate/Year Depreciation Cost inspection per week
(col 1) (col 2) (col 3) (col 4) (col 5) (col 6) (col 7) (col 8) (col 9)
- - -
TOTAL -
Instructions in Filling the Form
Column 1. Identify the vehicles used for inspection
Column 2. Identify the number of vehicles used for inspection
Column 3. Verify the average cost of fuel per liter
Column 4. Check the average weekly consumption in liters
Column 5. There are 52 weeks in one year. Identify the number of weeks the vehicles(s) has been used in a year.
Column 6. Compute for annual cost of fuel for 1 year by multiplying columns 2, 3, 4 and 5.
Column 7. Determine the percentage for the frequency of use of the vehicle for inspection. In the specific case sample, half day use from February to November is 44/52 weeks
X .5 days. Note that the LGUs may devise other method to determine the actual percentage for the frequency of use of the vehicle.
Column 8. Compute the cost of fuel for inspection activities by multiplying columns 6 and 7.
Table 6:
Variable Cost - Fuel
Percentage of use
Number of Average Cost Ave. weekly Number of weeks Annual Cost of fuel Annual cost for Fuel for
List of vehicle/s for inspection per
Vehicles per liter consumption in liters in one year for the vehicle inspection
week
(col 1) (col 2) (col 3) (col 4) (col 5) (col 6) (col 7) (col 8)
- -

TOTAL -

If the LGU does not provide vehicles for inspection, but only allows the reimbursement of actual transportation expenses, the annual cost should be computed
by determining the monthly reimbursements multiplied by 12
Table 7:
Variable Cost - Allowance/Reimbursement for Fuel 0.5 x 44/52 weeks. Since normal
inspection activities are done half
day every week day from February
% Time assigned in to November.
Transportation Cost based on
the delivery of the Annual Cost of the
Name and Position Allowance/Reimbursements
"Subject Service" Service

Average Monthly Annual Allowance

(col 4)
(col 1) (col 2) (col 3) (col 5)
- -

TOTAL OF VEHICLE
- - AND FUEL: -
- -
- -
- -
- -
- -
- -
- -
- -
- -
- -
- -
- -
TOTAL -
 STEP 4.C OTHER VARIABLE COSTS
Instructions in Filling the Form
Column 1. List down the supplies, materials and other resources which are issued to each applicant or varies directly with the number of
applicants.
Column 2. Count all filled application forms, schedule slips, results forms, etc., and those issued with official receipts. Consider if applicants
were successfully processed and approved, and provided with new business plate, stickers and/or certificates.
Column 3. Secure the unit cost for each and every item identified as other variable cost from the City Accounting Office.
Column 4. Compute for the annual other variable cost by multiplying column 2 and column 3
Table 8:
Variable Cost - Other variable cost

Particulars Annual Number of Cost/Measuring unit Annual cost (Php)

Applications (Php)
(col 1) (col 2) (col 3) (col 4)
806
1) Board Paper 202 8.50 1,717.00
2) Printer Ink 8 550.00 4,400.00
3) Infrared Thermometer 1 3,447.32 3,447.32
4) BP Apparatus Aneroid 1 7,208.04 7,208.04
5) Pulse Oximeter 1 625.79 625.79
5) Weighing Scale 1 1,880.36 1,880.36
6) Bond Paper 1,612 1.00 1,612.00
7) Ballpen 10 25.00 250.00
8) Long Folder 1,612 15.00 24,180.00
9) Fastener 1,612 1.00 1,612.00
10) Stapler 4 395.00 1,580.00
11) Staple Wire 4 55.00 220.00
12) Stethoscope 1 -
13) Alcohol 20 165.00 3,300.00
14) Mask 6,448 5.00 32,240.00
15) Clean gloves 6,448 5.00 32,240.00
16) OR Sheets 806 3.00 2,418.00
17) Laminating Film 202 6.50 1,313.00
TOTAL 120,243.51
 Instructions for Filling Up the Form
Column 1 - List all identified variable costs.
Column 2 - Fill up the variable costs for the "Subject Service" and reflect the sum of all entries of each
cell to total
Column 3 - Divide the amount in column 2 with the number of applications (annual) to get the
Estimated Routine Variable Cost Per Application.
Table 9:
Summary Table- Variable Costs
Estimated Routine Variable
Total
Cost Per Application
Annual Number of Applications 806
Variable Costs
Routine Personnel 188,165.38 233.46
Transportation Costs - -
Other Supplies/Forms/Materials 120,243.51 149.19
TOTAL 308,408.89 382.64
 As provided by the DBM or the If actual data is not available, Cash gift, aca/pera, 13th Determined by the head of
HR of the LGU use 20% as the proxy for other month pay, 14th month pay unit delivering the service.
benefits and uniform allowance

STEP 5. ALLOCATE THE VARIABLE COST FOR SPECIAL ACTIVITIES Basis (2) Simple and Complex

Monthly Other Total Annual % Time allocated CATEGORIES

Name and position SG/Step Salary Annual Salary compensation Compensation for the service
Annual cost of service for inspection No. of Personnel Weight Allocation
Simple #DIV/0! #DIV/0!
(col 1) (col 2) (col 3) (col 4) (col 5) (col 6) (col 7) (col 8) Complex #DIV/0! #DIV/0!
OLIVER A. ANDRADA, MD SG-24 73,238.00 878,856.00 193,476.00 857,865.60 15.00% 128,679.84 #DIV/0! #DIV/0!
- - - *Here, they chose to analyze the weight allocation based on the combination of the previous two options.
- - - ** In here, Manufacturers and Contractors were viewed to have both simple and complex business structures
- - - *** Hence, the further classification as to simple and complex within the classification of Manufacturers and Contractors.
- - -
TOTAL 128,679.84 Basis (1) Per Business Classification
CLASSIFICATION Weight Allocation
Instructions in Filling the Form Manufacturer #DIV/0!
Column 1- List the staff assigned to the "Special" Activity/ies. Wholesalers #DIV/0!
Column 2 - Match the salary grade for each staff Exporters #DIV/0!
Column 3 - Fill out the salary rate/month for each staff. Retailers #DIV/0!
Column 4 - Compute for the annual salary of the staff by multiplying column 3 by 12 months Contractors #DIV/0!
Column 5. Identify all other remunerations regularly received by the staff. Other benefits include RATA, PERA, year end benefits and other remunerations Banks and other institutions #DIV/0!
received
Column 6.bySum
the up
staff during 4the
columns year.
and 5 Data will be available at the City Budget or Accounting Office. In case actual data are not available, use 20% to represent
other benefits received by the unit delivering the service. Peddlers #DIV/0!
Column 7.Estimate the annual % of time each staff performs directly to the issuance of the subject service. The rate shall be provided by the concerned unit Others #DIV/0!
head.
Column 8.Get the total cost for the Special Activity by adding the cost for each staff involved in delivering the service. 0 #DIV/0!
Proceed to the weight allocation. (The weight allocation may vary depending on the appropriate basis to the scenario within an LGU)

Weight Allocation According to Complexity and Business Classification

Simple Complex
BUSINESS CLASSIFICATION Weight Weight Total Simple Complex
With Complex Manufacturer #DIV/0! #DIV/0! #DIV/0!
Wholesalers #DIV/0! #DIV/0!

Exporters #DIV/0! #DIV/0!

Retailers #DIV/0! #DIV/0!

With Complex Contractors #DIV/0! #DIV/0! #DIV/0!

Banks and other insti #DIV/0! #DIV/0!

Peddlers #DIV/0! #DIV/0!

Others #DIV/0! #DIV/0!
#DIV/0! #DIV/0!

Note: Other basis may be used (e. g. the DTI classification as to Cottage, Small, etc)
 STEP 6. ESTIMATE AND DISTRIBUTE THE FIXED COSTS
STEP 6.A COST OF OFFICE SPACE
Instruction in Filling Up the Form
Column 1 - Describes the cost formula for determining share of office cost for delivering "Subject Service". Determine the cost of
construction per square meter (approximately P20,000/sq.m.) and the floor area of the entire City Hall. The building construction
cost is the product of the two values. Knowing the floor area occupied by the different offices delivering the "Subject Service", its
proportionate share in the total floor area of the city hall multiplied by cost of constructing the building will be the cost of office space
occupied. The annual depreciation rate is 4% since the normal economic life of reinforced concrete structures is 25 years. We can
compute for the annual depreciation expense by multiplying the cost of office space occupied by depreciation rate and approximately
the annual maintenance cost by apportioning 20% of the annual depreciation expenses. The 20% is used whenever actual data from
the Accounting Office is unavailable. The share of cost for delivering "Subject Service" can be computed by adding annual depreciation
expense and annual maintenance cost multiplied by the percent of work by the Office utilized for delivering the "Subject Service".

Column 2 - Apply the formula described above for the office involved in the delivery of the "Subject Service".
Table 10:
Fixed Cost - Office Space (Owned by the LGU)
Particulars Offices Involved in the delivery of "Subject Service" Fee
(col 1) (col 2)
Construction Cost (per sq m) 130.95
Floor area of City Hall (sq m) 1,572.00
Building Construction Cost (Php) 205,853.70
Office Area Occupied (sq. m) 363.44
Cost of Office Area Occupied (Php) 47,592.54
Depreciation Rate (%) 0.05
Annual Depreciation Expense (Php) 2,379.63
Annual Maintenance Cost (Php) 475.93
Percent of Work for "Subject Service" (%) 0.15

Share of Cost attributable to delivering the service (Php) 428.33

Instructions for Filling Up the Form

Column 1 - Determine the monthly rental rate and multiply by the number of months the office space was rented to know the annual
cost for rental. Add actual cost for maintaining the Office space. If the actual data is not available add 20% of the annual cost of rental
to determine the annual cost for rented office space. The annual fixed cost for rented office space attributable to rendering the
service is the annual cost of rented office space multiplied by the proportion of time used for "Subject Service" services in relation to
the total responsibility of the Office delivering the service

Column 2 - Apply the formula described above for the office involved in the delivery of the "Subject Service".
Table 11:
Fixed Cost - Office Space (Rented by the LGU)
Particulars Offices Involved in the delivery of "Subject Service" Fee
(col 1) (col 2)
Rental rate per month
Number of months use
Annual cost of rental -

Maintenance Cost -
Annual cost of rented office space -
Percentage of time used for the delivery of the service in
relation to the responsibility of the Office
Annual fixed cost (rented office space) attributable to
delivering the service -
 STEP 6.B UTILITIES
Instructions for Filling Up the Form Instructions for Filling Up the Form Instructions for Filling Up the Form
Column 1. Describes the formula for computing the proportion of Column 1. Describes the formula for computing the proportion of Column 1. The cost of telephone can be computed by knowing the number of
electricity cost of the offices delivering the service (e.g. "Subject water cost of the offices delivering the service (e.g. "Subject telephone lines available in the Office and the monthly subscription rate per
Service"). Initially, know the cost of electricity rate per kilowatt hour Service"). Initially, know the number of people directly related to month. The annual cost of telephone services is the number of telephone lines
and the kilowatt consumption/hour of the Office delivering the the processing and issuance of "Subject Service". The estimated multiplied by the monthly subscription rate over a period of twelve months. The
service. The regular operations of a City Office is 7:30am-5:30pm or water bill per person per month is P100. The net cost of water net cost of telephone services attributed to processing and issuance of mayors
10 hrs and there are approximately 260 days per year. The annual attributed to the delivery of "Subject Service" can be computed by permit is the annual cost of telephone services multiplied by the percent of work
cost of electricity for the ofices delivering the service is the product of the estimated water bill of the office per year multiplied by the performed by the Office in processing and issuance of "Subject Service" in as a
the electricity rate per kwh, the kilowatt consumption per hour of the percent of "Subject Service" work performed by the office in percentage of the total responsibilities of the Office.
office, the number of operating hours per days, and the number of relation to the total responsibilities assigned to the Office.
operating days per year. The percent of work to be considered is an
Column 2 - Apply the formula described above for the office involved Column 2 - Apply the formula described above for the office Column 2 - Apply the formula described above for the office involved in the
in the delivery of the "Subject Service". involved in the delivery of the "Subject Service". delivery of the "Subject Service".

Table 12: Table 13: Table 14:

Cost of Electricity Cost of Water Cost for Communication
Offices Involved in the delivery of Offices Involved in the delivery of Offices Involved in the delivery of "Subject
Particulars "Subject Service" Fee Particulars "Subject Service" Fee Particulars Service" Fee
(col 1) (col 2) (col 1) (col 2) (col 1) (col 2)

Number of
telephone/cellphone lines in
Electricity rate per kilowatt the Office delivering the
hour (Php) Number of People service
Kilowatt consumption/hour
for the unit delivering the Water bill per person per Rate of subscription per
service month month
Number of operating hours Estimated water bill of the Annual cost of
per day office per year telephone/mobile services
Percent of work for the Percent of work for the
Number of days per year service rendered 15% service rendered 15%

Electricity cost per year Net cost of telephone/mobile

Net cost of water attributed services attributed to
to delivery of "Subject processing and issuance of
297,696.96 Service". - "Subject Service" -
Percent of work for the
service rendered 15%

Net electricity cost attributed

to "Subject Service" service
44,654.54
 STEP 6.C COST OF EQUIPMENT AND FURNITURE
Instructions in Filling the Form
Column 1. Identify all the equipment, and other facilities used for the delivery of the subject service.
Column 2. Count the number of each type of equipment or facility.
Column 3. Verify acquisition cost from the Accounting Unit.
Column 4. Compute for the total cost of acquisition by multiplying columns 2 and 3.
Column 5. Compute for the annual depreciation rate by dividing 100% with the estimated economic life in years.
Column 6. Compute the annual depreciation cost by multiplying columns 4 and 5.
Column 7. Secure from the City Accounting Office the actual amount spent for maintenance of equipment/furniture used delivery of the subject service. In the absence of actual data, the amount can be
computed by multiplying column 6 by 20%.
Column 8. Add Columns 6 and 7 to determine the annual cost of equipment/facility.
Column 9. Determine the % of time used for delivering the specific service in relation to responsibilities of the office involved in delivering the subject service.
Column 10. Compute for the annual cost share for equipment and funiture by multiplying columns 8 & 9.
Table 15:
Fixed Cost - Equipment and Furniture
% Used for
Particulars Number of Units Acquisition Cost Total Cost Depreciation Rate Annual Maintenance Cost Total Annual Cost Annual Cost Share for
delivering
Depreciation Cost Equipment and Furniture
the Service
(col 1) (col 2) (col 3) (col 4) (col 5) (col 6) (col 7) (col 8) (col 9 ) (col 10)
A. Equipment
Air Condition 3 158,000 474,000.00 20% 94,800 18,960 113,760 15% 17,064
Computers 1 80,600 80,600.00 20% 16,120 3,224 19,344 15% 2,902
3-in-1 Printer,
Photocopier,
Scanner 1 29,230 29,230.00 20% 5,846 1,169 7,015 15% 1,052
Laminating
Machine 1 2,099 2,099.00 20% 420 84 504 15% 76
21,093
B. Furniture
Filing Cabinets 4 15,000 60,000.00 20% 12,000 2,400 14,400 15% 2,160
Tables 4 3,000 12,000.00 20% 2,400 480 2,880 15% 432
Chairs 10 1,000 10,000.00 20% 2,000 400 2,400 15% 360
Sub-Total 2,952
TOTAL 24,045.44
 STEP 6.D OTHER FIXED COST
Instructions in Filling the Form
Column 1. Identify Offices delivering the "Subject Service" fee and the type of other fixed costs significant
for their operation. In the particular example, these are cost for internet subscription and regular office
supplies for the offices involved in delivering the "Subject Service".

Column 2. Verify actual office expenses from the LGU Accounting Office. If data are hard to get, reflect the
budget allocation of each office (c/o LGU Budget Office).
Column 3. Determine the percentage of time used by the Office in delivering the specific service in relation
to its total responsibilities.
Column 4. Compute for the other variable cost by multiplying column 2 and column 3.
NOTE: Note: The LGU may have other major fixed costs not mentioned in this illustration. When costs are
significant, those fixed cost must be identified and added in the template. Conversely, costs that are
negligible may be dropped from the calculations.

Table 16:
Other Fixed Cost
Particulars Annual Rate Percent of Use for Annual Cost
"Subject Service" Fees
(col 1) (col 2) (col 3) (col 4)
Internet Services -

Regular Office Supplies -

Information Tech Team -

Security Team -

Janitorial Team -

Reception Services -

Total -
 Instructions for Filling Up the Form
Column 1 - List all identified fixed costs.
Column 2 - Fill up the fixed costs for the "Subject Service" and reflect the sum of all entries of each
cell under "Total".
Column 3 - Divide the amount in column 2 with the number of applications (annual) to get the
Estimated Routine Fixed Cost Per Application.
Table 17:
Summary Table - Fixed Costs
Estimated Routine Fixed Cost Per
Fixed Cost Total
Application
(col 1) (col 2) (col 3)

Annual Number of Applications 806

Office Space 428.33 0.53
Utilities 44,654.54 55.40
Electricity 44,654.54 55.40
Water - -
Communication - -
Equipment and Furniture 24,045.44 29.83
Other Fixed Cost - -
TOTAL 69,128.32 85.77
 STEP 7. COMPARE FEE WITH COST OF DELIVERING SERVICES
Name of Fee/Charge:

Fee Rate Estimation Using Costs of Issuing % Variance Remaks:Reasonable/Not

Permits Plus Cost of Surveillance Comparison with Current Fee Rates Difference (-/+) Reasonable

Total Collection on Fees

Total Cost (48,548.25) (0.38)
129,148.25 and/or Charges 80,600.00

Number of Applications Number of Applications

Processed Processed
806 806
Average Fee Rate Average Fee Rates (60.23) (0.38)
160.23 100.00
Instructions for Filling
Up the Form
(1) For every fee or charge, compare Total Revenue with Total Cost of delivering the subject service based on the results of the foregoing procedures.
(2) Compute the difference and determine the corresponding variance. If it yields a variance (-/+) of more than 10%, the LGU is either subsidizing (-)
or generating revenues (+) in relation to the subject Service.

(3) Input the results in a summary form using Table 23 for ease in reference and appreciation during the review and deliberation of the results of the Toolkit.
(4) If so, then the LGU must submit, along with the report of the results, a proposed Rationalization of Fees and Charges using the options.

EXAMPLE:
Compare Fee with Cost of Delivering Services
Fee Rate Estimation using Costs of Issuing
permits plus cost of surveillance Comparison with Current Fee Rates

Total Cost 10,164,481.24 Total Revenue 13,242,500.00 3,078,018.76 30%

Number of Applications
Total Number of Applicants Processed
10,594 10,594
Average Fee Rate 959.46 Average Fee Rates 1,250.00 290.54 30%

10,594.00 Total
Scenario 1 % of Applicants Number of Applicants Cost (with weight) SPCL-PERSONNEL STD-VAR STD-FXD Cost per Application
Simple 80% 8,475 #DIV/0! #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Complex 20% 2,119 #DIV/0! #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
100% 10,594 #DIV/0! #DIV/0! #DIV/0!

Scenario 2 SPCL-PERSONNEL STD-VAR STD-FXD

Classification Allocation % of Applicants Number 9,186,516.71 Cost per Application -
Manufacturer #DIV/0! 10% 1,059 #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Wholesalers #DIV/0! 10% 1,059 #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Exporters #DIV/0! 3% 318 #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Retailers #DIV/0! 47% 4,979 #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Contractors #DIV/0! 10% 1,059 #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Banks and other institutions #DIV/0! 15% 1,589 #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Peddlers #DIV/0! 0% - 420.00 520.00 - -
Others #DIV/0! 5% 530 #DIV/0! 420.00 520.00 #DIV/0! #DIV/0! #DIV/0! #DIV/0!
- -
#DIV/0! 10,594.00 #DIV/0! #DIV/0! #DIV/0!
Total 100%
0%
Ok ok

235801.42 847.52 211.88 69.56 350.00 525.00 944.56 200,132.59 1,133.47 240,159.11
235801.42 847.52 211.88 69.56 350.00 525.00 944.56 200,132.59 1,133.47 240,159.11
#REF! 2,118.80
834.68 350.00 525.00 1,709.68 1,448,984.26 2,051.61 1,738,781.11
834.68 350.00 525.00 1,709.68 1,448,984.26 2,051.61 1,738,781.11
3,957,880.44
Summary of Rationalized Local Fees and Charges
Local Fee/Charge Current Rate Rationalized Rate % Variance Remarks
Medical Certificate 100.00 160.23 -38%