NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
Third Regular Session
)
SENATE 
S. B. No. 2852
Introduced by SENATOR JOEL VILLANUEVA
AN ACT
FURTHER STRENGTHENING THE INCENTIVES FOR PRIVATE 
SECTOR PARTICIPATION IN PUBLIC EDUCATIONAL INSTITUTIONS, 
AMENDING FOR THE PURPOSE REPUBLIC ACT NO. 8525, 
OTHERWISE KNOWN AS THE “ADOPT-A-SCHOOL ACT OF 1998”
EXPLANATORY NOTE
The Philippine education sector has faced and continuously faces numerous 
challenges, ranging from a lack of sufficient resources and infrastructure, post­
pandemic recovery, access to basic amenities, and the digital divide.1 With the wide 
array of hurdles affecting the education sector, and given that these have both direct 
and indirect impacts on learners, it is essential to promote a whole-of-nation approach 
to improving access and quality of education.
Republic Act No. 8525, or the “Adopt-a-School Act of 1998,” aims to encourage 
private initiative to support “the upgrading and modernization of public schools in the 
country.”2 Citing data provided by the Adopt-a-School Program Secretariat, the 
Second Congressional Commission on Education (EDCOM2) noted that there were 
476 tax endorsements processed since 2018, with at least Php413.4 million tax claims 
processed in 2023, covering projects such as “provision of equipment and supplies, 
construction of classrooms and other facilities, and repair and renovation works.”3 
However, consultations conducted by the EDCOM2 reveal that “private entities 
voluntarily provide assistance to public schools, even in the absence of tax 
incentives.”4
1 Philippine Institute for Development Studies, Educational Challenges in the Philippines, August 5, 2023. 
Available at httDs://Dids.aov.Dh/details/news/in-the-news/educational-challenges-in-the-philippines.
2 Section 2 of Republic Act No. 8525.
3 EDCOM 2, Roundtable Discussion Slide Deck, August 22, 2024.
4 EDCOM 2, Highlights of the Discussion on Leveraging Private Sector Support for Education through the Adopt- 
a-School Act, August 22, 2024.


The private sector has always been an indispensable partner of the government 
in nation-building, and even more so in tackling the challenges faced by the education 
sector. Thus, to incentivize public-private collaboration in education, the proposed 
measure seeks to improve on the existing Adopt-a-School Act, through the following:
First, the options by which the private sector can extend its assistance to public 
educational institutions have been expanded to include, among others, training, 
development, and further education of teaching personnel, daycare and child 
development workers, technical-vocational trainers, and others; scholarships: 
assessments for relevant work-related certifications; construction, upgrade and repair 
of school facilities, and provision of books, school supplies, and other instructional 
materials.
Second, the measure adds an additional deduction from taxable income for the 
hiring of Senior High School (SHS) graduates from their partner public school, and 
exempts donated goods from customs duties, value-added tax, excise tax, and 
donor’s tax.
Third, the existing Adopt-a-School Coordinating Council shall be expanded to 
include the Department of Trade and Industry (DTI), the Department of Labor and 
Employment (DOLE), the Bureau of Internal Revenue (BIR), and a representative from 
a reputable business group to enhance the coordination between government and 
relevant industry stakeholders.
Lastly, to ensure more strategic interventions and collaboration on private 
investments in education, the Department of Education (DepEd), the Commission on 
Higher Education (CHED), and the Technical Education and Skills Development 
Authority (TESDA) shall periodically identify the needs and priorities of public 
education institutions within their locations.
Considering the need to continuously introduce innovative reforms to improve 
access to and quality of education, the passage of this bill is earnestly sought.
JOE^VILLANUEV;^


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
Third Regular Session
)
SENATE 
S. B. NO. 2352
Introduced by SENATOR JOEL VILLANUEVA
AN ACT
FURTHER STRENGTHENING THE INCENTIVES FOR PRIVATE 
SECTOR PARTICIPATION IN PUBLIC EDUCATIONAL INSTITUTIONS, 
AMENDING FOR THE PURPOSE REPUBLIC ACT NO. 8525, 
OTHERWISE KNOWN AS THE “ADOPT-A-SCHOOL ACT OF 1998”
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22 
23
SECTION 1. SECTION 1. Section 1 of Republic Act No. 8525 is hereby amended 
as follows:
“Section 1. Title. - This Act shall be known and cited as the 
[“Adopt-a-School Act of 1998”.] “ADOPT-A-SCHOOL ACT OF 
2024”.
follows:
SEC. 2. Section 2 of Republic Act No. 8525 is hereby amended as
“Section 2. Declaration of policy. - It is the policy of the 
State to provide quality and relevant education to the Filipino youth 
and to encourage private initiative to support public education. 
Towards this end, the State shall institute programs to [encourage] 
INCENTIVIZE THE private [companies and enterprises] SECTOR 
to [help] ASSIST in the DEVELOPMENT, upgrading, and 
modernization of THE COUNTRY’S public [schools] EDUCATION 
SYSTEM [in the country, particularly those in poverty-strickee 
provinces.] AND ESTABLISH PROPER LINKAGES BETWEEN 
EDUCATIONAL INSTITUTIONS AND INDUSTRIES, 
INCLUDING THE TRAINING AND EMPLOYMENT OF SENIOR 
HIGH SCHOOL (SHS) GRADUATES.”


1 
SEC. 3. Section 3 of Republic Act No. 8525 is hereby amended as
2 
follows:
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
“Sec. 3. Adopt-a-School Program. - There is hereby 
established the "Adopt-a-School Program" which will allow private 
INDIVIDUALS OR entities, WHETHER LOCAL OR FOREIGN, 
OF GOOD STANDING to assist [a] public [school] 
EDUCATIONAL INSTITUTIONS, whether EARLY CHILDHOOD, 
elementary, secondary, TECHNICAL-VOCATIONAL 
EDUCATION AND TRAINING, ALTERNATIVE LEARNING 
SYSTEM (ALS), or tertiary, preferably located in [any of the twenty 
(20) poorest provinces identified by the Presidential Council for
Countryside Development or any other government ageney
tasked with identifying the poorest provinces] THE 4th, 5th, AND
6th class provinces, cities, and municipalities as
DETERMINED BY THE DEPARTMENT OF FINANCE (DOF) 
AND OTHER LOCAL GOVERNMENT UNITS (LGUs) 
EXPERIENCING SEVERE SHORTAGES, INSUFFICIENT 
BUDGET OR HAVING NUMEROUS POOR BUT HIGH 
PERFORMING LEARNERS in, but not limited to, the following 
areas: 
TRAINING, DEVELOPMENT AND FURTHER
EDUCATION OF SCHOOL HEADS, TEACHERS, INCLUDING 
DAYCARE AND CHILD DEVELOPMENT WORKERS, TVET 
TRAINERS, FACULTY AND LEARNERS; ASSESSMENTS IN 
PURSUIT OF RELEVANT WORK-RELATED CERTIFICATIONS 
AND CREDENTIALS; SCHOLARSHIPS FOR TEACHERS; 
REAL ESTATE PROPERTY [staff and faculty development for 
training and further education]; construction of SCHOOL facilities 
SUCH AS LIBRARIES AND LABORATORIES AND THOSE 
RELATED TO POWER, WATER, AND SANITATION; 
[upgrading] UPGRADE AND REPAIR of existing facilities; 
provision of books, publications, SCHOOL SUPPLIES, and other 
instructional materials SUCH AS ELECTRONIC BOOKS (E- 
BOOKS), COMPUTERS, FURNITURE, EDUCATIONAL FILMS 
AND AUDIO-VISUAL MATERIALS; TECHNICAL VOCATIONAL 
LIVELIHOOD (TVL) TOOLS AND EQUIPMENT; HEALTH AND 
NUTRITION PACKAGES; ASSISTIVE LEARNING DEVICES 
AND EQUIPMENT FOR LEARNERS WITH SPECIAL NEEDS; 
and modernization of instructional technologies.
A Memorandum of Agreement (MOA) specifying the details 
of the adoption shall be entered into between the adopting 
INDIVIDUAL OR entity and the head of the [school] 
EDUCATIONAL INSTITUTION concerned: Provided, That such 
MOA shall be subject to review and approval of the 
[Superintendent of Schools of the province or district concerne4]
CONCERNED REGIONAL, PROVINCIAL, OR FIELD OFFICE 
OF THE EDUCATIONAL INSTITUTION: Provided, further, That 
the agreement shall last for at least two (2) years with the 
possibility of extension: Provided, finally. That such period may be


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
shortened only in cases where the adopting INDIVIDUAL OR 
entity is dissolved before the end of such period unless otherwise 
earlier terminated in accordance with [the succeeding section]
THIS ACT.”
SEC. 4. Insert a new Section under Republic Act No. 8525 as follows, 
and renumber the succeeding sections accordingly:
“SEC. 4. CREATION AND ESTABLISHMENT OF AN 
ADOPT-A-SCHOOL ONE-STOP SHOP. - THE DEPARTMENT 
OF EDUCATION (DEPED), COMMISSION ON HIGHER 
EDUCATION (CHED), AND TECHNICAL EDUCATION AND 
SKILLS DEVELOPMENT AUTHORITY (TESDA), IN 
COORDINATION WITH THE DOF, BUREAU OF INTERNAL 
REVENUE (BIR), THE BUREAU OF CUSTOMS (BOC), AND 
THE DEPARTMENT OF INFORMATION AND 
COMMUNICATIONS TECHNOLOGY (DICT), SHALL 
ESTABLISH AND MAINTAIN AN ADOPT-A-SCHOOL ONE- 
STOP SHOP AND AN ONLINE PORTAL TO ADDRESS 
QUERIES AND CONCERNS FROM PRIVATE INDIVIDUALS 
AND ENTITIES INTERESTED IN THE PROGRAM, TO RECEIVE 
AND PROCESS APPLICATIONS JOINTLY WITH THE BIR AND 
THE BOC.”
SEC. 5. Section 4 of Republic Act No. 8525 is hereby amended as 
follows:
“Section [4] 5. Periodic review. - A review of the adoption 
shall be undertaken by the [local school board of the province or 
city where the school] CONCERNED REGIONAL, PROVINCIAL,
OR FIELD OFFICE WHERE THE PARTICIPATING SCHOOL is 
located. The standards and guidelines for the review shall be 
formulated by the ADOPT-A-SCHOOL Coordinating Council 
created under Sec. [7] 8 hereof. The results of the review shall be 
taken into consideration in the assessment of the application for 
tax credits by the adopting INDIVIDUAL OR entity. The [schoet 
board] CONCERNED REGIONAL, PROVINCIAL, OR FIELD 
OFFICE may, after an appropriate review, recommend to the 
ADOPT-A-SCHOOL Coordinating Council the termination of the 
adoption. The adopting INDIVIDUAL OR entity may appeal the 
assessment to the ADOPT-A-SCHOOL Coordinating Council 
whose decision shall be final and unappealable.”
SEC. 6. Section 5 and 6 of Republic Act No. 8525 are hereby repealed 
and replaced with a new Section, as follows:
“SEC. 6. INCENTIVES FOR ADOPTING INDIVIDUALS 
OR ENTITIES. - PROVISIONS OF EXISTING LAWS TO THE 
CONTRARY NOTWITHSTANDING, ADOPTING INDIVIDUALS 
OR ENTITIES SHALL ENJOY THE FOLLOWING INCENTIVES:


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
a) ADDITIONAL DEDUCTION FOR EXPENSES INCURRED 
FOR THE ADOPTION - EXPENSES INCURRED BY THE 
ADOPTING INDIVIDUALS OR ENTITIES FOR THE 
"ADOPT-A-SCHOOL PROGRAM" SHALL BE 
ALLOWED AN ADDITIONAL DEDUCTION FROM THE 
GROSS INCOME EQUIVALENT TO FIFTY PERCENT 
(50%) OF SUCH EXPENSES.
VALUATION OF ASSISTANCE OTHER THAN MONEY 
SHALL BE BASED ON THE ACQUISITION COST OF 
THE GOODS, SERVICES AND REAL PROPERTY. SUCH 
VALUATION SHALL TAKE INTO CONSIDERATION THE 
DEPRECIATED VALUE OF THE GOODS AND REAL 
PROPERTY, IN CASE SAID GOODS AND REAL 
PROPERTY HAVE ALREADY BEEN USED.
b) ONE-TIME ADDITIONAL DEDUCTION FOR HIRING OF 
PUBLIC SENIOR HIGH SCHOOL (SHS) GRADUATES - 
ADOPTING INDIVIDUALS OR ENTITIES WHO HIRE 
SENIOR HIGH SCHOOL (SHS) GRADUATES FROM 
THEIR PARTNER PUBLIC INSTITUTION SHALL ENJOY 
AN ADDITIONAL DEDUCTION EQUIVALENT TO 20%
OF THE SALARIES, WAGES, AND BENEFITS PAID TO 
THE EMPLOYED SHS GRADUATE: PROVIDED, THAT 
THE SHS GRADUATE IS REGULARLY EMPLOYED FOR 
AT LEAST ONE YEAR.
c) ADDITIONAL INCENTIVES - IN ACCORDANCE WITH 
EXISTING LAWS AND SUBJECT TO THE 
IMPLEMENTING RULES AND REGULATIONS, THE 
ADOPTING INDIVIDUAL OR ENTITY SHALL BE 
ENTITLED TO HAVE ITS NAME EMBLAZONED 
BENEATH THE NAME OF THE SCHOOL AFTER 
WORDS INDICATING THAT THE SCHOOL IS UNDER 
THE "ADOPT-A-SCHOOL PROGRAM.”
SEC. 7. Insert a new Section under Republic Act No. 8525 as follows, 
and renumber the succeeding sections accordingly:
“SEC. 7. EXEMPTION FROM IMPORT DUTIES, TAXES 
AND OTHER FEES. - THE DONATED GOODS, REAL 
PROPERTY, AND SERVICES BY AN ADOPTING INDIVIDUAL 
OR ENTITY SHALL BE EXEMPT FROM CUSTOMS DUTIES, 
VALUE-ADDED TAX, EXCISE TAX, AND DONOR'S TAX: 
PROVIDED, THAT THE DONATIONS SHALL NOT BE RESOLD 
OR TRANSFERRED FOR MATERIAL CONSIDERATION.”
SEC. 8. Section 7 or Republic Act No. 8525 is hereby amended as
follows:


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
“Section [7] 8. ADOPT-A-SCHOOL Coordinating Council.
- AN ADOPT-A-SCHOOL Coordinating Council, hereinafter 
referred to as the Council, is hereby created to coordinate and 
monitor the implementation of this Act. The Council shall be 
composed of the Secretary of [the Department of Education, 
Culture and Sports (DECS)] DEPED, as chairperson; the 
Chairman of [the Commission on Higher Education (CHEB)]
CHED and the Director-General of [the Technical Education and 
Skills—Development—Authority—(TESDA)] TESDA, as co- 
chairpersons; THE SECRETARY OF THE DEPARTMENT OF 
TRADE AND INDUSTRY (DTI); THE SECRETARY OF THE 
DEPARTMENT OF LABOR AND EMPLOYMENT (DOLE); THE 
COMMISSIONER OF THE BIR and [the chairperson of the 
Presidential Council for Countryside Development (PCCD), and]
a representative, WHO SHALL HAVE A TERM OF THREE (3) 
YEARS AND MAY BE REAPPOINTED FOR ANOTHER THREE 
(3) YEARS, from a [national federation of chambers of commerce 
and industry] REPUTABLE BUSINESS GROUP to be appointed 
by the President of the Philippines, as members.”
THE SECRETARIES OF DEPED, DTI, AND DOLE, THE 
CHAIRMAN OF CHED, THE DIRECTOR-GENERAL OF TESDA,
AND THE COMMISSIONER OF BIR MAY DESIGNATE THEIR 
RESPECTIVE ALTERNATES WITH RANKS NOT LOWER 
THAN ASSISTANT SECRETARY OR ITS EQUIVALENT. ALL 
ALTERNATES SHALL BE AUTHORIZED TO DECIDE FOR OR 
ON BEHALF OF THEIR RESPECTIVE PRINCIPALS.
The Council shall meet once every three (3) months. The 
chairpersons and members shall not receive compensation but 
shall be entitled to reimbursements for reasonable expenses 
related to the Council's activities.
The DEPED [DECS], CHED, [afl4] TESDA, DTI, DOLE 
through a mutual agreement, AND IN COORDINATION WITH 
DBM, shall each make provisions for the secretariat of the Council.
THE COUNCIL SHALL COORDINATE WITH NATIONAL 
GOVERNMENT AGENCIES (NGAS) AND EXISTING 
COUNCILS RELEVANT TO THE IMPLEMENTATION OF THE 
PROVISIONS OF THIS ACT.”
SEC. 9. Insert a new Section under Republic Act No. 8525 as follows, 
and renumber the succeeding sections accordingly:
“SEC. 9. DETERMINATION OF EDUCATION SECTOR 
NEEDS AND PRIORITIES. - THE DEPED, CHED, AND TESDA, 
THROUGH THEIR RESPECTIVE REGIONAL, PROVINCIAL 
AND FIELD OFFICES, SHALL MAKE AN ANNUAL


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
DETERMINATION OF THE NEEDS AND PRIORITIES OF
PUBLIC EDUCATION INSTITUTIONS WITHIN THEIR
LOCATION, WHICH MAY SERVE AS A GUIDE FOR
STRATEGIC INTERVENTIONS IN PARTNERSHIP WITH THE
PRIVATE SECTOR.
SEC. 10. Implementing Rules and Regulations. - Within sixty (60) 
days from the effectivity of this Act, the DepEd, CHED, TESDA, DTI and DOLE, 
in consultation with the DOF, including the BIR, and the BOO, and the Early 
Childhood Care and Development (ECCD) Council Secretariat, shall formulate 
the implementing rules and regulations to implement this Act.
SEC. 11. Transitory Clause. - To prevent any delay in the delivery of 
goods, services, and real property, the provisions of Republic Act No. 8525 
shall apply to pending and ongoing transactions and/or donations by adopting 
individuals or entities.
SEC. 12. Repealing Clause. - All laws, decrees, orders, rules, and 
regulations or parts thereof inconsistent with this Act are hereby repealed or 
modified accordingly.
SEC. 13. Separability Clause. - If any provision of this Act is held 
invalid or unconstitutional, the same shall not affect the validity and effectivity 
of the other provisions hereof.
SEC. 14. Effectivity. - This Act shall take effect after fifteen (15) days 
following its publication in the Official Gazette or a newspaper of general 
circulation.
Approved,