Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

‘SEVENTEENTH CONGRESS

Third Regular Session

9012
HOUSE BILL NO.

EXPLANATORY NOTE

Article Il Section 17 of the 1987 Constitution states, “The State shall give priority to education, science and
technology, art, culture, and sports to foster patriotism and nationalism, accelerate social progress, and promote total
human liberation and development.”

Deregulated educational system

The government persists in treading the path of deregulation in education. It basically gives schools the liberty to
increase fees without exercising strict control and oversight, resulting in annual TOSF increases in hundreds of schvols
nationwide.

While claiming credit for the free education program, the Duterte government has not reversed the state policy of
deregulating education. This is because the primary beneficiaries of expensive education are big capitalist educators
who earn massive profits from education among their other business interests: Ayala's, Sys, Lucio Tan, ‘among others.

The Need for Free Public Higher Education

Clearly, there is @ need for a paradigm shift in higher education, a shift that should reverse the reigning system
that tumed college education into an expensive private pursuit. Ths bill thus seeks to introduce a system of free Public
higher education, with particular emphasis on promulgating new state policy that translates to a repudiation of the
neoliberal education framework. This amendment has the following features:

* Abolition of the Tuition System — The proposed bill does not espouse the concept of “subsidizing”
tultion and other school fees. Rather, itrethinks the manner in which public financing of state-run higher
education institutions is done. Instead of creating a separate fund to pay for the equivalent tuition and
other school fee rates of students, this bill seeks to finance the actual “cost of attendance” of students,
the total amount a particular state-run university or college needs to provide education for a student per
year, including proportional cost per student for personnel services, maintenance and other operating
gupenses, and capital outlay. The total projected cost of attendance will become the primary
determinant of a state-run university or college's annual funding from the government and shall alse
Serve as guide for the Executive Department in preparing the annual national expenditure program,

If passed, this amendment stands to benefit not only the students currently enrolled in SUCs and all other public
universities and colleges covered by RA 10931 or the Universal Access to Quality Tertiary Education, but also millions
eeiners who will be able to enter college without fearing the heavy costs, At a more fundamental level, the passage of
this bill will also result in the reversal of decades of attacks on the right of every Filipino to education

Believing that fundamental changes in education should address the basic ills that hound the system, we need
‘o collectively strive for a type of education that is not only free, but also empowering and liberating,

1e passage of this bill is earnestly sought.



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
Third Regular Session

HOUSE BILL NO. go12

introduced by KABATAAN PARTY-LIST Representative Sarah Jane |. Elago

AN ACT
INSTITUTIONALIZING FREE PUBLIC TERTIARY EDUCATION THROUGH
INTRODUCTION OF COST OF ATTENDANCE AS PRIMARY DETERMINANT OF
STATE-RUN UNIVERSITY OR COLLEGE'S ANNUAL FUNDING FROM THE
GOVERNMENT, AMENDING FOR THE PURPOSE REPUBLIC ACT NO. 10931,
OTHERWISE KNOWN AS THE “UNIVERSAL ACCESS TO QUALITY TERTIARY
EDUCATION”

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

SECTION 1. Section 3 of Republic Act No. 10931, otherwise known as the “Universal
Access to Quality Tertiary Education’, is amended to read as follows:

“Section 3. Definition of Terms. - As used in this Act:
Xxx Xx Xxx

(A) COST OF ATTENDANCE REFERS TO THE TOTAL AMOUNT A
PARTICULAR STATE-RUN UNIVERSITY OR COLLEGE NEEDS TO PROVIDE
EDUCATION FOR A STUDENT PER YEAR, INCLUDING THE
PROPORTIONAL COST PER STUDENT FOR PERSONNEL SERVICES,
MAINTENANCE AND OTHER OPERATING EXPENSES, AND CAPITAL
OUTLAY. THE TOTAL PROJECTED COST OF ATTENDANCE SHALL BE
THE PRIMARY DETERMINANT OF A STATE-RUN UNIVERSITY OR
COLLEGE'S ANNUAL FUNDING FROM THE GOVERNMENT;

({alB) Cost of Tertiary Education refers to (1) tuition and other school fees, (2)
educational expenses and (3) the cost of living allowance;

([bIC) Graduate courses refers to higher education programs leading to a
certificate, diploma, master's or doctorate degrees, as may be authorized and
recognized by the Commission on Higher Education (CHED)...”

Xxx Ox Xxx


SECTION 2. Section 4 of the same act is amended to read as follows:

“Section 4. Free Higher Education in SUCs and LUCs. - All Filipino students
who are either currently enrolled at the time of the effectivity of this Act, or shall
enroll at any time thereafter, in courses in pursuance of a bachelor's degree,
certificate degree, o any comparable undergraduate degree in other school fees
for units enrolled in: Provided, That they pass the entrance examination and
other admission and rentention requirements of the SUCs and LUCs: Provided.
Further, That all SUCs and LUCs shall create a mechanism to enable students
with the financial capacity to pay for their education in the SUC and LUC to
voluntarily opt out of the tuition and other school fees subsidy or make a
contribution to the school. SUCs and LUCs must report the tuition payments and
contributions collected from these students to the CHED: Provided, finally, That
the amount required to implement the free tuition and other school fees in SUCs
and LUCs shall be determined by the respective governing boards of SUCs and
LUCs based on the EXPECTED TOTAL COST OF ATTENDANCE, IN
RELATION TO THE projected number of enrollees for each academic year,
which shall be the primary factor in computing the annual proposed budget of
SUCs and, in the case of LUCs, the CHED for such purpose. This shall in turn
serve as the baseline during the preparation of the annual National Expenditure
Program (NEP) by the Department of Budget and Management (DBM).

IN THE CASE OF LUCS, A SIMILAR SYSTEM OF SYSTEM OF BUDGETING
SHALL BE ADOPTED TO ENSURE THAT STUDENTS IN SAID
UNIVERSITIES AND COLLEGES SHALL ALSO BE COVERED BY THIS ACT.
IN THE CASE WHEN A LOCAL GOVERNMENT UNIT CANNOT FULLY
SUSTAIN THE FUNDING REQUIREMENTS FOR LUCS UNDER THEIR
SUPERVISION, A SPECIAL ALLOTMENT SHALL BE PROVIDED UNDER
THE LOCAL GOVERNMENT SUPPORT FUND IN THE GENERAL
APPROPRIATIONS ACT.”

SECTION 3. Section 10 of the same act is amended to read as follows:

“Section 10. Quality Standard for SUC and LUC Budgets, TES and Student.
Loan Programs. - The CHED and the TESDA shall ensure COVERAGE OF THE
TOTAL COST OF ATTENDANCE PER STUDENT AND quality standards in the
review and consequent endorsement of the budget of the SUCs, LUCs and state-
run TVIs, respectively. The detailed design of the TES and student loan
programs shall also be subject to similar quality indicators defined by the
UniFAST Board.”

SECTION 4. Separability Clause. — If any provision or part thereof is held invalid or
unconstitutional, the remainder of the law or the provision not otherwise affected shall
remain valid or subsisting

SECTION 5. Repealing Clause. — Republic Act No. 10931 is hereby amended
accordingly. All laws, decrees, executive orders and rules and regulations contrary to or
inconsistent with the provisions of this Act are hereby repealed or modified accordingly.


4 SECTION 6. Effectivity Clause. — This Act shall take effect fifteen (15) days after its
2. publication in the Official Gazette or in two (2) newspapers of general circulation.

Adopted,