NINETEENTH CONGRESS   
) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
 
) 
HOUSE OF REPRESENTATIVES 
Introduced by Representative Rufus B. Rodriguez 
House Bill No.  _____ 
EXPLANATORY NOTE 
The perennial problem of mismatch between the competencies gained through college 
education and the skills requirement of the industries is seen as the major cause of 
underemployment in the country with underemployment hovering around 21%. While 
underemployment in Mindanao is almost the same as the national average at 22%, Mindanao 
has a high poverty incidence at 27.7% compared to the national average of 18.1%.  
Traditional modes for delivering higher education and training had been shown to be 
ineffective in addressing this crucial issue in the past, hence, a more aggressive strategy 
needs to be adopted to close the gap between academic training and industrial skills 
requirements. Graduates of public higher education institutions must possess the skills and 
competencies required by their industrial prospective employers and/or by the business 
techno-preneurial environment. Full employment and/or engagement in entrepreneurial 
activities is an effective means to reduce poverty incidence in the country and to break the 
vicious cycle of poverty in the Philippine countryside.  
The Science and Technology (S&T) Parks is a strategic response to this call. The S&T 
Parks is lodged with the University of Science and Technology of Southern Philippines 
(USTSP) under Republic Act 10919. Access to quality public higher education for the poor 
remains concentrated in the National Capital Region whilst statistics show that the highest 
poverty incidence is in Mindanao. This is ironic since those living under the poverty threshold 
are precisely the ones who are economically unable to further their education and training is 
Manila and the National Capital Region. Relevance of public higher education and training is 
an issue that directly impacts unemployment and underemployment. The industrial employers 
perennially complain of the mismatch in the skills and competencies learned from universities 
and the skill requirements in the actual workplace.  
The establishment of USTSP S&T Parks responds to this fundamental problem of job-
generation and economic productivity for the underprivileged sector of the Philippines society 
particularly in Mindanao. To realize this goal, the S&T Parks located in Alubijid, Misamis 
Oriental and Claveria, Misamis Oriental need to be developed to attract researchers, start-
ups, investors, industry locators and other innovation agents to these parks. Likewise, it is 
deemed important that the development phase of the S&T Parks require resources that can 
be provided by the State as an investment. Thereafter, the S&T Parks can sustain their 
operations independent of state subsidy.  
In view of the foregoing, immediate approval of this measure is earnestly requested. 
RUFUS B. RODRIGUEZ 
December 11, 2023
8:00 am
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NINETEENTH CONGRESS 
) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
) 
HOUSE OF REPRESENTATIVES 
Introduced by Representative Rufus B. Rodriguez 
House Bill No.  _____ 
AN ACT 
ESTABLISHING THE SCIENCE AND TECHNOLOGY (S&T) PARKS DEVELOPMENT 
FUND (STPDF) FOR THE UNIVERSITY OF SCIENCE AND TECHNOLOGY OF SOUTHERN 
PHILIPPINES (USTSP), AND APPROPRIATING FUNDS THEREFOR  
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
Section 1. Short Title. – This Act shall be known as the “University of Science and Technology 
of Southern Philippines Science and Technology Parks Development Fund (STPDF) Act”. 
Section 2. Declaration of Policy. – It is the declared policy of the State to establish, maintain, 
and support a complete, adequate and integrated system of higher education relevant to the 
needs of the people and society, with primary focus on research and development for science 
and technology, to foster innovation as a vital component of national development and 
sustainable economic growth.  
Section 3. General Mandate. – The STPDF is hereby established to ensure the sustainable 
partnerships with the private sector, start-ups, other academic, research and development 
institutions, government agencies, industry locators and other innovation agents to foster 
innovation towards strengthening the country’s knowledge-based economic development that 
benefits all.  
Section 4. Creation of the Science and Technology Parks Development Fund. The Science 
and Technology Parks Development Fund is hereby established with an initial funding of Four 
Billion Pesos (PhP4,000,000,000.00) and subsequent allocators of One Billion Pesos 
(PhP1,000,000,00.00) per year for the next five years.  
The required funding shall be sourced out of: 
−
1% of the proceeds of PAGCOR;
−
1% of the travel tax collection;
−
1% of the value-added taxes collected from the sale of petroleum and petroleum-based
products
Seventy-five percent (75%) of the initial funding shall be used for the site preparations of the 
Science and Technology Parks of USTSP to make them attractive to industry locators.  
Thereafter, only 15% shall be used to cover the costs of operations of the Science and 
Technology Parks while the remaining 85% shall be invested through a duly recognized 
Government Financial Institutions (GFIs). Interests and proceeds from the operations of the 
Science and Technology Parks shall form of the Fund.  
Section 5. Administration of the Fund. – There shall be created a STPDF Secretariat to be 
headed by a Fund Director with the rank of Director III who shall report directly to the University 
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President. The STPDF Secretariat shall be budgetarily and administratively separate from the 
University. Secretariat Staff under the Fund Director shall have expertise in the field of financial 
investment, accounting, and financial analyses. The University Board of Regents shall appoint 
members of the Secretariat through the recommendation of the University President.  
 
Section 6. Duties and Responsibilities of the Fund Secretariat. The Secretariat shall have the 
following duties and responsibilities:  
a. Prepare and recommend a Long-Term Investment Plan for the Fund;  
b. Prepare and recommend an Annual Investment Plan for the Fund;  
c. Prepare and recommend a Long-Term Lease Agreement between any industry locator and 
the University;  
d. Coordinate with appropriate agencies of the Government for the collection of funds due to 
the Science and Technology Parks of USTSP;  
e. Provide Secretariat and logistical support to the Industry-Academe Council as provided for 
under RA 10919; 
f. Ensure the availability of fund support for the operations of the Science and Technology 
Parks for higher education and training including, but not limited to, research and scientific 
track system for the faculty of the University.  
 
Section 7. Repealing Clause. – All laws, decrees, executive orders, rules and regulations and 
other issuances, or parts thereof, inconsistent with the provisions of this Act, are hereby 
repeated or modified accordingly. 
 
Section 8. Separability Clouse. – If any part or provision of this Act is declared 
unconstitutional, or other parts or provisions hereof which are not affected thereby shall 
continue to be in full force and effect.  
 
Section 9. Effectivity. – This Act shall take effect fifteen (15) days after its publication in at 
least one (1) national newspaper of general circulation.  
 
Approved.