Quezon City

THIRTEENTH CONGRESS
First Regular Session

H. No. 101

Introduced by Hon. Juan Edgardo “Sonny” M. Angara

EXPLANATORY NOTE

Thousands of Filipino students have acquired advanced degrees
and specialized trainings in foreign countries through various
scholarships grants either of local or foreign funding. While these local
and overseas scholarship programs have produced a sizeable number of
high-level professionals for the country, these programs have also
resulted in a significant brain drain for our country. Moreover, some of
the returning scholars have not found the opportunity the maximum
utilization of newly acquired knowledge and training. As a result, many
of them leave the country in search of greener pastures abroad.

It is imperative that the Philippines should devise a program for
overseas education and training for the brightest and most promising
Filipinos who are already employed (or self-employed) in a branch of
science or technology along identified priority areas. Such a program
shall affect the pooling together of ail foreign and local (public or private)
sponsorship intended for further education, enrichment and training of
exceptionally able and highly motivated and employed Filipinos.

The proposed legislation endeavours to provide the Philippines a
continuing supply of highly trained leaders for industry, research and
academe. Under the bill, the maximum utilization of returning talents
will be coordinated under a single governing body where all scholarships
under foreign and local sponsorship are pooled together.

Approval of the bill is, thus earnestly requested.

ee a

JUAN EDGARDO “SONNY” M. ANGARA


THIRTEENTH CONGRESS OF THE REPUBLIC }
OF THE PHILIPPINES }
First Regular Session }

HOUSE OF REPRESENTATIVES
101

H. No.

Introduced by Rep. Juan Edgardo “Sonny” M. Angara

AN ACT
CREATING AN ADVANCED STUDIES DEVELOPMENT PROGRAM FOR
EXCEPTIONAL EMPLOYEES FROM OTHE GOVERNMENT AND THE
PRIVATE SECTOR AND FOR OTHER PURPOSES

Be it enacted by the Senate and the House of Representatives in Congress
assembled:

Section 1. Short Title. - This bill shall be known as “The

Pensionado Act of 2004.”

Section. 2. Declaration of Policies - Human resources
developments is essential for economic development and progress. In the
pursuit of economic development and progress, the state shall give
priority to the creation of a critical mass of elite professionals who shall
take the lead in harnessing science, technology and related disciplines

towards accelerating the productivity of the country’s human resources.

Consonant with this trust, it is hereby declared a policy of the
state to devise a program for exceptionally able and highly motivated
employees, preferably age 30-40, from the government, the private sector
and/or the self-employed to undertake advanced studies in a branch of
science, technology or related fields of learning on which depends the

development and progress of the country. As such, it shall provide for


fellowships to enable them to pursue advanced studies or research in their

field of expertise.

The state shall develop a critical mass of first-rate specialist in
various disciplines and areas of specializations vital to national
development to form a collective national "think tank" who shall place
continuously their knowledge and skills at the service of the nation, be it in
industry, the academe or the highest policy-making levels of government,
with the government taking the lead in harnessing their knowledge and

kills for the greatest good of the country.

Section 3. Definition of Terms — For purposes of this Act, the

following terms are hereunder define ' accordingly:

a. Post-graduate ~ a formal degree course program of training /
research requiring at least a Master's Degree for entry; a student

pursuing such program;

b. Advanced studies — a post-graduate problem-oriented program of
studies and/or research, not necessarily feading to a degree,
undertaken for further specialization or advanced knowledge in a
specific field of a study, or to acquire specialized knowledge

and/or skills in a particular area of science or technology;

c. Pensionado - a Filipino citizen selected and supported by the
Philippines government under this program to undertake advanced
studies in selected institutions of higher leaming or recognized
research centers, in fields relevant to the officially-declared priority

areas for development.


Section 4. Establishment of a Program ~- There shall be
established under the Commission on Higher Education, hereafter referred
to as CHED, in coordination with the non-government organizations
(NGOs), the private sector and other government agencies, namely, the
National Economic and Development authority (NEDA), the Department of
Trade and Industry (DTH), the Department of Science and Technology
(DOST) and the Department of Education, Culture and Sports (DECS),
fellowship program to be called as the “Pensionado Program” for Filipinos
employed in the government and the private sectors and those who are
self-employed.

The Program shall pool together all fellowships, scholarships, training
grants sponsored or extended by foreign government, agencies and other
bodies, as well as by local agencies and organizations, whether public or
private, intended for advanced studies in international centers of advanced

learning, scholarship and research

Section 5. Establishment of a National Secretariat; Functions and
Composition — There shall be established a national Secretariat, hereafter

referred to as the Secretariat, with the following functions:

1. To identify, and assists in negotiations with, sponsors (foreign and
local, public and private) of fellowships, scholarships and grants;

2. To provide assistance to the selection Panel in accomplishing its
work;

3. To provide the Pensionados continuing assistance from the time
of selection thru the time of their return to the country, including
assistance for the productive utilization of their newly-gained

expertise;


4, To serve as the administrative arm of the government for the
prograrn;
5. In general, to promulgate and implement the policies and

guicielines governing the Program.

The national Secretariat shall be headed by an Executive Officer,
with the rank of Assistant secretary, to be appointed by the President of
the Republic of the Philippines upon the recommendation of the CHED.
Members of the Secretariat shall consist of representatives from the

National Economic and Development Authority (NEDA), Department of Trade
and Industry (DT!), Department of Science and technology (DOST) and the
Commission on Higher Education (CHED). These representatives shall be
seconded to the Secretariat for a period of one year, subject to renewal
every year. Service rendered thereat shall be considered as service in their
prospective agencies and shall be considered as part of their performance

for promotions purposes.

Section 6. Number of Pensignados and Llength of Grant. - There
shall be selected twenty-four (24) fellows annually — three (3) fellows for
each priority discipline/industry field of the eight (8) vital disciplines or
areas of specializations identified by the CHED in consultation with the
NEDA as frontiers or new areas essential for pushing the economic and
social development thrusts of the country. The scholarship shall be for one

year only.

Section 7 . Selection Process - There shall be a Selection Panel
under the Secretariat consisting of three(3) university presidents and two(2)
eminent members from the academe to be appointed by the CHED. They

shall serve on a staggered basis for the purposes of continuity and


Consistency, each for a term of three'(3) years. The Selection Panel shall
make the final selection of the Pensionados from among the nominees
from the academe, industry and research centers. The integrity and objectives
of the program are paramount considerations for the panel in making the

selection.

Section 8. Qualifications - in order to qualify for the Fellowship
Program, the applicant must be:

a.) A Filipino citizen;

b.) Gainfully employed;

©.) A college degree graduate, with honors;

4.) With demonstrated leadership and proven exceptional performance

in his/her present work;
@.) Enthusiastic in undergoing further training;
£.) Willing to sign a contract requiring him/her to return to his/her job

or in another capacity after one year of training,

Section 9. Place of Study- The Pensionados shall be sent to a
foreign country well-known for its advanced stage in particular discipline or
area of specialization. Training and education may be an academic
institution, research and development center (R&D) or a major industrial
establishment with an R & D program. It may or may not lead to an

advanced academic degree.

Section 10. Assistance to Grantees - The Pensionado is entitled to
the following benefits:
a) One year leave with‘ pay, including allowances and other

benefits;


b) One economy round -trip air fare to and from the host
country plus other travel expenses required for foreign travel;

©) Clothing allowance to be determined by the Secretariat;

4) — Monthly stipend while on, study abroad, of such amount to be
determined by the Secretariat;

e) Books/Instructional Materials/Research allowance of such
amount to be determined by the Secretariat;

f) Health, Travel and Insurance fees of such amount to be

determined by the Secretariat.

Section 11. Program Funding. - The cost of each fellowship grant
shall be shared by the Pensionado's employer and the national
Government. The employer pays the salary, allowances and other benefits
due the Fellow as employed during one year period of advanced studies
overseas while the national Government, thru. the program, shall be
responsible for items No. b,c, d,e, and f as enumerated in Section 10
hereof. With the transfer of all pertinent foreign and jocal grants for
coordination under the Program, the government, thru the Program, may
negotiate bilateral arrangements with hosts governments, host universities,
host research institutions and host corporations to share at least 50% of

the total cost of items No. b,c,de and f under Section 10 hereof

The National Government may also negotiate bilateral agreements
with host governments, host universities, research institutions and
corporations to enable our scholars to stay abroad and continue their
studies or training at a minimal cost to the national Government. A sharing
program can be established where the host government, host-universities,
research institutions and corporations can pick up part of the expenses of

the scholars while he is abroad.


Section 12. Service Obligation - Immediately upon completion of the
studies or training, 2 fellow shall be required to return to his job or in
another capacity approved by the Secretariat and serve on a full-time
basis for a miniraum period equivalent to twice the period covered by the
fellowship grant. in addition, the scholar shall be required to hold seminars
or training sessions for employees from the government and the private
sectors on topics related to the course or training he has completed. Any
recipient of the program who has not completed his course shall
reimburse the Fellowship the grant received or render service to the
sponsoring agency or company for a period equivalent to the period
covered by the fellowship grant. Any Pensionado who violates the service
obligation imposed under this section shall reimburse the sponsoring
agency or company and the national Government of the Fund assistance

received under this act in full or in part as the case may be.

Section 13. Mechanism for Utilization of Returned Fellows - There
shall be established and developed a National Network of Specialized
Institutes for Advanced studies in universities selected by CHED in
consultation with the DOST and other appropriate agencies to be
determined by the Secretariat to provide returned scholars an. office,
laboratory, library and conference facilities for their continuing activities. The
Institute shal! also serve as a place for an Exchange Program and
Collaborative research among local and international scientist and scholars

in priority areas of research and development

The National Government may, thru CHED and/or the National
Secretariat, negotiate bilateral agreements with foreign government ,

universities, research instilutions and corporations, public and private, to


effect exchange of scholars and scientists for collaborative advanced
studies, as well as to equip the Institute for purposes of benefit to the

cause of scholarly or scientific advancement and national devetopmént.

A sharing program may be established whereby the host
government / university / institution / corporation can pick up part of the

expenses of the Fellow in pursuit of his/her Fellowship.

Section 14. Appropriations - The amount necessary to carry out
the initial implementation of this Act shall be drawn from the savings of
the national government. Thereafter,'the funds necessary for the continuous
implementation of the program shall be included in the General
Appropriations Act. The Program shall receive 2% from the share of the
DOST and 1% from the share of the Philippine Youth Commission in the

Bases Conversion Development Authority (BCDA) proceeds.

Section 15. Transfer of other fellowship, scholarship and training
grants - All foreign and locally sponsored fellowship, scholarship and
training grants will be transferred to the program for coordination. With
transferred to the program for coordination. With respect to government
employees who may be affected by the transfer, the pertinent rules and
regulations of the Civil Service commission (CSC) shall apply.

Section 16. Rules and Regulations - Within ninety (90) days from
the approval of this Act, the Secretariat shall promulgate the necessary
rules and regulations for the effective implementation of the provisions

thereof.


Section 17. Repealing Clause - All laws, decrees, orders, rules and
regulations, or portions thereof inconsistent with this Act are hereby

repealed or modified accordingly

Section 18. Separability Clause - In the event any of the provisions
of this Act is declared unconstitutional, the validity of the other provisions

shail not be affected by such declaration.
Section 19. Effectivity - This Act shall take effect fifteen (15) days
after its publication in the Official Gazette or in at least two(2) national

newspapers of general circulation

Approved,