Republic of the Philippine:
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRESS
First Regular Session

ov]

4

H. B. No.

Introduced by HONORABLE JUAN EDGARDO “SONNY” M. ANGARA

EXPLANATORY NOTE

To be able to bring out the best in students, it is my humble opinion that only the best
teachers will be able to bring them out. This legislation that is being sought to be passed does
not seek to provide for the best teachers to teach in educational institutions, it seeks to provide

for the most passionate teachers to teach, and so, insures that it will bring out the best in the
‘students accordingly.

Passion can be said to be an existing trait in these former students because, knowing
that the students they are teaching came from the very situation that they were once in, their
passion to teach will be unmatched, as it will be incumbent upon ,them to make sure that the
maximum learning and knowledge shall be inculcated upon these individuals.

If passion and learning coincide, the only benefit it will bring are good benefits that will
inure to our countrymen in general, and the students in particular.

JUAN EDGARDO “4
Representative
Lone District, Province of Aurora

INNY” M. ANGARA


FIFTEENTH CONGRESS OF THE)
REPUBLIC OF THE PHILIPPINES —_)
First Regular Session )

H.B.No._499

Introduced by Honorable JUAN EDGARDO “SONNY” M. ANGARA

AN ACT
PROVIDING FOR TEACHING SERVICE AS PAYMENT FOR EDUCATIONAL LOANS
DRAWN FROM PUBLIC FUNDS, INCLUDING TUITION SUBSIDIES FOR STUDENTS OF
STATE UNIVERSITIES AND COLLEGES

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

SECTION 1. Title. -This Act shall be known as the “Service to Pay Act”.

SEC. 2. Deciaration of Policy. - It is the policy of the State to promote and make quality
education accessible to ail Filipino citizens. Further, it is the policy of the State to inculcate in the
youth patriotism and nationalism, and encourage their involvement in public and civic affairs,
Towards this end, the State shall provide mechanism to ensure that civic-mindedness and
service orientation shall be inculcated in the youth, and at the same time, ensure that education
will retain the best and the brightest pool of talents.

SEC. 3. Service to Pay. -—

a) Covered students as defined by the succeeding subsection shall be required to render

service by teaching primary and secondary students in areas identified by the
Department of Education.

b) For the purposes of this Act, “covered students” shall mean all recipients of government
educational assistance as enumerated in Section 4 of Republic Act 6728 as amended.

SEC. 4. Length of Service. - Covered students shall render teaching service equivalent to
one-half (1/2) of the total years of their actual employment in post-secondary programs.

SEC. 5. Assignments. -

a) The Secretary of Education shall determine areas where covered students shall be
deployed. The determination shall include the actual number of teachers needed and the
subject-competencies required. The Secretary of Education may establish other
parameters for such determination.

b) The Secretary of Education shall fumish the Student Loan’ Fund Authority of the
determined areas. The Student Loan Fund Authority shall then assign covered students


to determined areas, taking into consideration the student's health, the physical location
of the area, and such other considerations.
c) Upon assignment, covered students shall be (1) under the administrative

SEC. 6. Student Loan Fund Authority. - in addition to its existing powers and-duties
under Republic Acts no. 6014 and 6728 as amended, the Student Loan Fund Authority shall
have the following powers and duties:

(a) Draw up a contract with the student-debtor as. a requisite before he or she can access
funds from the Students’ Loan Fund. The contract shall include a service clause obliging
the student-debtor to render service as a form of loan payment.

(b) Order the issuance of the student's final clearance to the College Registrar concerned
upon compliance of the student with the provisions of this Act.

SEC. 7. Compliance. Covered students shall be required to comply with the provisions
of this Act before the issuance of his or her transcript of records. The Regional Offices of the
Department of Education shall monitor compliance of covered students within their jurisdiction,

The concerned Regional Director of the Department of Education shall certify to the
Student Loan Fund Authority that covered students have complied with the provisions of this
Act.

SEC. 8. Compensation. Covered students shall receive salaries, benefits, emoluments,
and other compensation pursuant to existing laws.

SEC. 9. Appropriation. The initial sum of Five Hundred Million Pesos
(PHP500,000,000) shall be allocated to implement the provisions of this Act, to be charged
equally against current appropriations for the President's Social Fund, and the total gross
earnings of the Philippine Amusements and Gaming Corporation (PAGCOR). If the amount
shall not be enough, the remaining balance shail be charged against unappropriated earnings
from the implementation of Section 4 of Republic Act 9337, further amending the National
Internal Revenue Code of 1997 as amended.

Subsequent appropriations necessary to carry out this Act shall be charged against the
following sources:

(a) Twenty per centum (20%) of revenues eamed from the proceeds of lease,
privatization, and/ or disposal of assets and/or sequestered by the National
Government and government-owned and controlled corporations, including
shares of stocks of corporations where the Government owns interests;


(b) Twenty-five per centurn (25%) of revenues eamed from the collection under
Section 4 of Republic Act 9337, further amending the National Internal Revenue
Code of 1997 as amended; and

(©) Twenty-five per centum (25%) to be charged against the current appropriations
for the President's Social Fund,

(d) Thirty per centum (30%) of total gross. earings of the Philippine Amusements
and Gaming Corporation (PAGCOR).

SEC. 10. Separability Clause. If any provision of this Act is declared unconstitutional,
the same shall not affect the validity and effectivity of the other provisions not affected thereby.

SEC. 11. Repealing Clause. Section 10(c) of Republic Act 6728 as amended js hereby.
modified. All laws, decrees, rules and regulations, and other issuances inconsistent with the
provisions of this Act are hereby repealed or modified accordingly.

SEC. 12. Effectivity. This Act shall take effect immediately upon publication: Provided,
That service clause provisions shall be included in educational loan applications and enrolment.

forms of covered students in the academic year following the effectivity of this Act.

Approved,