Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

RPO STM AON UNIT

SEVENTEENTH CONGRESS
BULLS AN.) Not SERVICE

First Regular Session

HOUSE BILL NO. 158 3

_ Introduced by Representative Alfredo D. Vargas IIL

EXPLANATORY NOTE

Educated people are the face of a progressive nation. A government that provides
sustainable and quality education to its citizens leads the nation to a bright future. As the
Philippine Constitution provides the responsibility of the government to provide quality
education as its strong foundation (Art. 14), we as citizens have the right to ask and
receive it free so that poverty can be eliminated.

‘The system of free public education in the Philippines has long been in existence as
established by the Malolos Constitution and the Republic Act No, 6655 for basic and
secondary. However, tertiary education in State Universities and Colleges (SUCs) has never
been fully subsidized? despite the yearly increase from the national budget for education.
The government budget allocated for it remained the lowest among the three and so
become a hindrance for some insufficient family income to enter and finish college.

Education has a high impact on income and employment. A college graduate can be
compensated twice or even thrice compared to a high school graduate and this difference is
a good reason to invest in tertiary education.?

‘This bill directs the State to increase the budget for tertiary education and provide
full tuition subsidy for students enrolled in SUCs. This will pave the way to the realization
of the Philippine Development Plan for providing higher and competitive education. Thus,
the immediate passage of this bill is urged.

ALFREDO D. VARGAS III

* 4987 Phitppine Constitution
“Data from CHED
* National Center on Education and the Economy



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

HOUSE BILLNA5S83

Introduced by Representative Alfredo D. Varga:

AN ACT
PROVIDING FOR A FULL TUITION SUBSIDY FOR STUDENTS ENROLLED IN STATE
UNIVERSITIES AND COLLEGES (SUCs), AND APPROPRIATING FUNDS THEREFOR

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

Section 1. Short Title. - This Act shall be known as the “Tuition-Free Higher
Education Act of 2016.”

Section 2. Declaration of Policy. - It is hereby declared that accessible and quality
education is an inalienable right of the Filipino. Therefore, the State shall renew its
constitutionally mandated duty to make education its top budgetary priority by providing
tuition-free higher education courses in state universities and colleges.

Section 3. Eligibility to the Full Tuition Subsidy. - All Filipino citizens who are
either currently enrolled at the time of effectivity of this Act, or shall enroll at any time
thereafter, in course in pursuance of a bachelor’s degree, certificate degree, or any
comparable undergraduate degree in any state university or college shall be exempt from
paying tuition fees: Provided, that they meet the admission requirements of the SUCs
where they intend to enroll in.

Section 4. Special Tuition Subsidy Fund. - The Special Tuition Subsidy Fund,
hereinafter referred to as the Fund, is hereby established. The Fund shall be used solely for
the purpose of implementing the full tuition subsidy under the provisions of this Act.
Tuition fees for units enrolled by persons eligible for the tuition benefit under the
provisions of this Act, payable to state universities and colleges, shall be paid from this
Fund.

Section 5. Administration of the Fund. - The Fund shall be administered by the
Commission on Higher Education (CHED) and shall have the following powers and
functions:

(a) Manage and administer the Fund;


(b) Devise a reporting mechanism to be implemented by the state universities
and colleges which will detail the exact amount of tuition fee subsidy availed
of by persons eligible for the full tuition fee subsidy availed of by persons
eligible for the full tuition subsidy under this Act;

(© Formulate and implement an efficient and transparent mechanism to ensure
the payment of tuition fees, using money from the Fund to the respective
state universities and colleges, pursuant to the provisions of this Act;

(d) Resolve and mediate disputes concerning the ineligibility or disqualification
of persons from the full tuition subsidy under the provisions of this Act or
any other provision of law; and

(e) Any other powers or functions necessary for the implementation of the
provisions of this Act.

Section 6. Tuition Report. - The President of each state university or college shall
submit to the Commission on Higher Education (CHED), within five (5) days after the last
day of late registration for each semester, a report detailing the names of persons eligible
for the full tuition subsidy in their institution, as well as the amount of tuition fee due based
on the number of units enrolled.

Section 7. Payment from the Fund. - The CHED shall ensure the full payment of
tuition fees due to the state university or college, as reported under the next preceding
section of this Act, no later than thirty (30) days after the submission of the report to the
CHED: Provided, That the CHED shall reserve the right to withhold or disallow the payment
of any reported fees which are perceived to be anomalous or irregular until further
investigation has been conducted.

Section 8. Accountability Report. - At the end of each academic semester, the
President of each state university or college shall submit to the CHED a report reconciling
the funds received from the Fund, Any unused or improperly disbursed amount shall be
returned immediately to the Fund.

Section 9. Midterm Report. ~ Starting the first school year upon the effectivity of
this Act, the CHED shall conduct a mandatory review and submit a midterm report to
Congress as to the status of implementation of this Act.

In this midterm report, the following key metrics of access to and quality of public
tertiary education:

(a) Enrollment rate;

(b) Student demographics;

(c) Graduation rate;

(d) Gross tuition receipts;

(e) Disqualification and ineligibility;

(8 Teachers’ welfare and training profiles;
(g) Adequacy of funding requirements; and



(h) Other educational quality indicators, including but not limited to physical
learning infrastructure, teacher-to-student ratio, and student housing.

Section 10. Appropriations. - The amount necessary to carry out the
implementation of this Act shall be initially charged against the fifty percent (50%) share of
the National Government from the annual gross income of the Philippine Amusement and
Gaming Corporation (PAGCOR). Thereafter, such amounts necessary to effectively carry out
the provisions of this Act shall be included in the annual General Appropriations Act.

Section 11. Implementing Rules and Regulations. - Within (60) days from the
effectivity of this Act, CHED shall promulgate the implementing rules and regulations
necessary to ensure the efficient and effective implementation of this Act.

Section 12. Separability Clause. - Should any part of this Act be declared
unconstitutional, the rest of the provisions of this Act shall continue to be in effect and
subsisting.

Section 13, Repealing Clause. - The provisions of other laws, decrees, executive
orders, rules and regulations inconsistent with this Act are hereby repealed, amended, or
modified accordingly.

Section 14. Effectivity. - This Act shall take effect fifteen (15) days after its
publication in the Official Gazette and/or in at least two (2) national newspapers in general
circulation.

Approved,