THIRTEENTH CONGRESS OF THE REPUBLIC 
) 
1 
First Regular Session 
1 
-04 ,jUl$ 30 rqr: :,<'d 
OF THE PHILIPPINES 
Introduced by Senator Franklin M. Drilon 
EXPLAN AT0 RY 
In 1908, the University of the Philippines was established under Act 1870 
by the American colonial government to be at the apex of the Philippine 
education system under Act 1870. 
In 1972, it was designated by the National Board of Education as the 
national university, thus recognizing its role as a standard setter in 
undergraduate and graduate education, research, and public service and its high 
status in national, regional and international circles. 
In 1973, the University was reorganized into a university system which is 
now composed of five autonomous universities and one autonomous college (UP 
M i nda nao) . 
Since 1908, UP has educated and trained many of our leaders in 
government, business, the professions, arts, and science and technology, and 
the social sciences. It has produced research and creative works that showcase 
the critical analysis, ingenuity and intellectual and artistic capability of our race. 
It has also established extension, outreach and voluntary service programs which 
has benefited the less privileged in the country. 
. 
Despite its many achievements, however, there have been many calls for 
the revision of its charter to erase the remaining vestiges of its colonial origins, 
to recognize the gains it has made in democratic participation over the years, 
and to underscore the principles which enable it to function effectively as the 
national university and as a university system. 
In matters in governance, there 
is also a need to strike a better balance between its dual role as a community of 
scholars able to govern themselves and a university supported by the Filipino 
people. It is also necessary to enhance its institutional autonomy so that it can 
continue to be a bastion of academic freedom and academic excellence. 
Thus, this bill proposes a new charter for the university. This proposed 
revised charter is a product of a long process of consultation participated in by 
various sectors of the University - the faculty, students, professional and 
administrative staff, and alumni. 
It emphasizes the value of academic freedom, academic excellence, social 
responsibility, democratic participation, democratic access, ethics, and autonomy 
as guiding principles in the life of the University of the Philippines. 


This bill creates the System University Council to serve as the inter- 
university academic body to set systemwide academic rules and standards and to 
reconcile differences among the autonomous university councils. It distributes 
functions of university governance to the Board of Regents (BOR), the President 
and other administrators, and the University Councils, allows the faculty, 
students, alumni and non-teaching staff representation in the Board, and 
establishes the relationship between the University and other bodies of the State, 
including Congress, constitutional commissions and other government agencies. 
This charter also gives the BOR the power to draw up a position 
classification and compensation plan and to fix and adjust salaries and benefits 
of the faculty members and other employees. 
This measure is a significant step in the development of U.P., particularly 
in ensuring its institutional flexibility and fiscal autonomy. 
It is in this view that the immediate enactment of this bill is earnestly 
recommended. 


THIRTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
First Regular Session 
’. 
j .... 
w 
i-/ 
Introduced by Senator Franklin M. Drilon 
AN ACT TO ENHANCE THE ACADEMIC FREEDOM AND INSTITUTIONAL 
AUTONOMY OF THE UNIVERSITY OF THE PHILIPPINES 
Be it enacted by the Senate and the House of Representatives of the 
Philippines in Congress assembled: 
SECTION 1. We, -This Act shall be known as “The Revised University 
’ 
of the Philippines Charter.” 
SECTION 2. Declaration of Po/icy, - The State shall promote, foster, 
nurture and protect the right of all citizens to quality education. 
Toward this 
end, this Act seeks to strengthen the University of the Philippines System, 
referred to in this Act as the University of the Philippines, as a community of 
scholars dedicated to the search for truth and knowledge, and as the national 
university in recognition of its leadership in higher education in the country. 
SECTION 3. Purpose of the university, -The University of the Philippines 
is a public and secular institution of higher learning established to provide 
advanced education in philosophy, humanities and the arts, the natural and 
social sciences, and engineering and technology, to give professional and 
technical training, encourage and undertake research, and contribute to the 
dissemination and application of knowledge. 
SECTION 4. Component Units -The University of the Philippines shall be 
composed of such autonomous universities and other units as may be 
established by the Board of Regents. 
SECTION 5. Academic Freedom. -The University has the right and the 
responsibility to exercise academic freedom. 
SECTION 6. Academic €xce//ence. - The University has the responsibility 
to strive for high academic standards in the performance of its functions of 
instruction, research and extension. 
SECTION 7. Social ResponsibhZy - The University is committed to serve 
the Filipino people. 
While it carries out the obligation to pursue universal 
principles, it must relate its activities to the needs of the Filipino people and their 
aspirations for social progress and transformation. 


SECTION 8. Democratic Access - No student shall be denied admission to 
the University by reason of age, sex, nationality, religious belief, or political 
affiliation. 
The University shall take affirmative steps to enhance the access of 
disadvantaged students to its programs and services. 
SECTION 9. The Board of Regents. - The government of the University is 
vested in a Board of Regents, composed of: 
a) The Chairman of the Commission on Higher Education as Chairperson; 
b) The President of the University of the Philippines as Vice-Chairperson; 
c) The Chairperson of the Senate Committee on Education; 
d) The Chairperson of the House Committee on Education; 
e) The President of the U.P. Alumni Association, to serve during his or her 
tenure as President of the Alumni Association; 
f) One Faculty Regent chosen by the full-time University faculty members 
from their ranks, to serve for a term for two years; 
g) One Student Regent, to serve for a term of one year, chosen by the 
students from their, ranks; 
h) One regent representing the full-time research, extension and 
administrative personnel and chosen by them from their ranks, to 
serve for a term of two years; and, 
i) Three other regents appointed by the President of the Philippines who 
shall serve a term of three years. 
In case of vacancy in the Board of Regents of any appointive position, 
such vacancy shall be filled by appointment by the President of the Philippines, 
and such appointee shall hold office for the unexpired term. In case of vacancy 
in the position of sectoral Regents, the successor, who shall serve for the 
unexpired term, shall be chosen in the same manner as provided above for the 
predecessor; Provided, that membership in the Board, in the case of a sectoral 
Regent, ceases upon separation from the service of the University. 
Members of the Board shall serve without compensation other than actual 
and necessary expenses incurred in attendance of meetings of the Board or 
other official business authorized by the Board. 
SECTION 10, Puwers, - The administration of the University and the 
exercise of its powers are vested in the Board of Regents and the President of 
the University insofar as authorized by the Board, and in the University Councils 
to the extent specified in this Act. 
The administration of each Autonomous 
University is vested in the Chancellor insofar as authorized by the Board. 


The Board shall, in addition, exercise all the powers granted to the Board 
of Directors of a private non-stock corporation under existing laws, as well as the 
following specific powers and duties: 
. 
a) 
To adopt and define in general terms the thrusts of the 
University and broad policy guidelines to ensure their 
implementation; 
. 
b) 
To preserve the integrity of the UP system; 
c) 
Upon recommendation of the System University Council, to 
approve the institution, merger or abolition of academic 
programs drawn up by the University Councils; 
Upon recommendation of the System University Council, to 
confer the usual honorary degrees upon persons in recognition 
of learning, statesmanship, or eminence in literature, science, or 
art: Provided, that such degrees shall not be conferred in 
consideration of the payment of money, the giving of gifts or 
other valuable consideration; 
d) 
e> 
To establish professorial chairs and to provide for the 
maintenance or endowment of such chairs, as well as to provide 
for such other professors and lecturers as the progress of 
instruction may make necessary, and to fix the compensation 
pertaining to such positions; 
f 1 
To provide fellowships and scholarships and to award the same 
to students giving special evidence of merit; 
9) 
To elect the University President upon appropriate consultations 
with the various sectors of the University community; 
h) 
To appoint, upon recommendation of the President, all officials 
of the University except those whose appointments are vested 
by the Board in the President, the Chancellor, or in other 
I 
appropriate officials of the University; 
To appoint faculty members and other officials and employees; 
any other provision of law to the contrary notwithstanding, to 
draw up and approve a position classification and compensation 
plan for its officials, faculty and other employees, fix and adjust 
their salaries and benefits; to fix their hours of service, and such 
other duties and conditions as it may deem proper; to grant to 
them in its discretion, leave of absence under such regulation as 
it may promulgate, any other provision of law to the contrary 
notwithstanding and to remove them for cause as provided by 
law after due investigation and proper hearing; 
j) 
To extend, with their consent, the tenure of faculty members of 
the University beyond the compulsory retirement age, any other 
provision of law 
to the 
contrary 
notwithstanding, 
on 
recommendation of the units upon endorsement of the President 
of the University, whenever in the latter’s opinion their services 


are specially needed: Provided, however, that no extension of 
service shall be made beyond the age of seventy: Provided 
further, that in cases of extension of tenure of the University 
President beyond the compulsory retirement age, such extension 
shall be subject to the approval of the President of the 
Philippines; 
. 
k) 
Any law to the contrary notwithstanding, upon recommendation 
of the System University Council, to authorize the creation, 
organization, 
reorganization, 
or 
abolition of autonomous 
universities, colleges, 
institutes, and other units of the 
University; 
1) 
To fix the tuition fees and other necessary school charges, such 
as but not limited to matriculation fees, graduation fees, and 
laboratory fees, as the Board may deem proper to impose. 
Such fees and charges, including government subsidies and 
other income generated by the University constitute special trust 
funds and shall be deposited in any authorized government 
depository bank. 
Any and all interests that shall accrue 
therefrom shall form part of the same funds for the use of the 
University. 
Any provision of existing law to the contrary 
notwithstanding, income generated by the University may, at the 
discretion of the Board be disbursed for the professional growth 
and development, health, welfare, salary and other benefits of 
the faculty members and other personnel, for the acquisition, 
construction, maintenance and repair of urgently needed 
instructional and auxiliary facilities, equipment, buildings and 
other infrastructure and for expenses necessary for the 
attainment of its purposes under this Act. If for any reason, the 
University, for reasons beyond its control, shall not be able to 
pursue any project for which funds have been appropriated and 
allocated under its approved program of expenditures, the Board 
may authorize the use of said funds for any reasonable purpose 
which in its discretion may be necessary and urgent for the 
attainment of the objectives and goals of the University; 
. 
m> 
To receive and appropriate all sums as may be provided for by 
I 
law for the support of the University to the end specified by law, 
and all other sums in the manner it may, in its discretion, 
determine to carry out the purposes and functions of the 
University; 
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n> 
To import articles or materials for educational use in accordance 
with Sec. 25 (4) of this Act; 
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To receive in trust legacies, gifts and donation of real and 
personal property of all kinds and to administer and dispose of 
the same when necessary for the benefit of the University and 
subject to the limitations, directions and instructions of the 
donor, if any; 
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To authorize the construction or repair of its buildings, 
machineries, equipment and other facilities, and the purchase 
. .  


and acquisition of real and personal properties, including the 
necessary supplies, materials and equipment; Provided, that 
purchases and other transactions entered into by the University 
shall be exempt from taxes and duties; 
9) 
To organize and finance a corporation under the Corporation 
Code to assist the University in the discharge of its functions; 
and 
r> 
To prescribe rules for its own government, and to enact for the 
government of the University such general ordinances and 
regulations, not contrary to law, as are consistent with the 
purposes of the University 
SECTION 11, Quorum2 - A majority of all members of the Board of 
Regents holding office at the time the meeting is called shall constitute a 
quorum. 
SECTION 12. The System University Council. - There shall be a System 
University Council composed of the following: 
The University President as Chairperson; 
The Chancellors of the Autonomous University as members; 
The Vice President for Academic Affairs as member who shall also act 
as the Secretary of the Council; 
The Faculty Regent 
Three members from each Autonomous University Council, to serve for 
a term of two years, chosen as follows: I) one elected from among 
and by the Assistant Professors; 2) one elected from among and by 
the Associate Professors; and 3) one elected from among and by the 
Professors and University Professors; and, 
Three members elected at-large from among and by the regular 
faculty members with the rank of Assistant Professor or higher, to 
serve a term of two years. 
SECTION 13. Powers. - The System University Council shall: 
a) Prescribe the minimum system-wide requirements for admission to the 
University and for graduation and the receiving of a degree; 
b) Recommend for approval of the Board of Regents the institution, 
merger or abolition of academic programs endorsed to it by the 
University Councils ; 
c) Approve system-wide rules on student discipline ; 
d) Approve the graduation of students solely as recommended by the 
University Councils of the Autonomous Universities ; 


Decide with finality all cases on appeal involving the application of the 
rules of discipline, and the requirements for admission to the 
University and for graduation, and the conferment and withdrawal of 
degrees ; 
Recommend to the Board of Regents the conferment of honorary 
degrees ; 
Prescribe minimum standard of ethics and conduct for faculty ; 
Initiate the review of and recommend to the appropriate bodies 
changes in existing academic courses, programs, standards, thrusts 
and policies; and 
Adopt internal rules of procedure consistent with the provisions of this 
Act; and 
Perform other functions requiring system-wide coordination or on 
matters of system-wide concern as may be authorized in appropriate 
cases by the Board of Regents, the University Councils, or the 
President. 
SECTION 14, The Universiify President: - The University President is the 
head of the University Faculty and the Chief Executive Officer of the University. 
The President shall exercise the powers specifically provided for in this Act, those 
determined by the Board of Regents, and those which are usually pertaining to 
the office of the president of a university, or those which are related or 
necessary to its functions. The term and compensation of the President shall be 
determined by the Board of Regents. 
SECTION 15, The University Council. - There shall be in each 
Autonomous University a University Council consisting of the Chancellor as 
Chairperson, and of all the faculty members in the University holding the rank of 
university professor, professor, associate professor or assistant professor. 
SECTION 16. Powers, - The University Council alone shall : 
a) 
Prescribe the academic programs includjng their institution, 
abolition and merger, subject to the approval of the Board of 
Regents as recommended by the System University Council ; 
b) 
Set the rules of discipline, and exercise disciplinary power over 
the students, through its appropriate committees or the 
Chancellor, within the limits prescribed by the rules of discipline; 
c> 
Set the requirement for admission to any college of the 
University, subject to the minimum system-wide requirements; 
d) 
Set the requirement for graduation and the receiving of a 
degree, subject to the minimum system-wide requirements; 
e) 
Recommend to the System University Council students or others 
to be recipients of degrees; 


f > 
Set standards of ethics and conduct for faculty, taking into 
account the minimum prescribed by the System University 
Council; and 
s> 
Adopt internal rules of procedure consistent with the provisions 
of this Act. 
SECTION 17. 
The Chancellor of the Autonomous University. - The 
Chancellor of the Autonomous University shall be appointed by the Board of 
Regents upon nomination of the University President, taking into account the 
views of the constituents of the Autonomous University. 
The Chancellor shall 
serve as the Chief Executive Officer of that Autonomous University. 
The 
Chancellor shall report to the President of the University, and shall perform the 
duties and functions elsewhere stated in this Act, and all the usual necessary and 
related functions of the Office of the Chancellor, subject to the policies and rules 
prescribed by the Board of Regents. 
The term and compensation of the 
Chancellor shall be determined by the Board of Regents. 
SECTION 18. 
The Secretary of the University and of the Board of 
Regents, - There shall be a secretary of the University appointed by the Board 
of Regents, who shall also be the Secretary of the Board, and who shall keep 
such records of the University as may be designated by the Board. 
SECTION 19. The Treasurer of the UniversitF - The Treasurer of the 
Philippines shall be the ex officio treasurer of the University. All accounts and 
expenses therefore shall be audited by the Commission on Audit, and all 
disbursements shall be made in accordance with rules and regulations prescribed 
by the latter. 
The Faculty. - The teaching staff of each college shall 
constitute its faculty, which shall be presided over by a Dean appointed by the 
Board of Regents on nomination by the University President and upon the 
recommendation of the Chancellor of the Autonomous University taking into 
account the views of the constituents of the college. 
In the appointment of 
professors or other faculty members of the University, no religious test shall be 
applied, nor shall the religious or political opinions or affiliations of the faculty 
member of the University be made matter of examination or inquiry. 
SECTION 20. 
SECTION 21. Appointment Requisites. - Professors and other regular 
faculty members, and research, extension and professional personnel of the 
University are members of the closed career system of the Civil Service. 
As 
such, they shall be exempt from any Civil Service examination or regulation as a 
requisite to appointment. 
SECTION 22. Land Grants and Other Propeq of the University. - The 
land grants and other real properties of the University of the Philippines ceded by 
law, decree, presidential issuance or by any other instrument of conveyance to 
the University of the Philippines, are hereby specifically declared to be reserved 
for the purposes intended as confirmed by the Board of Regents. The absolute 
ownership of the University over its landholdings is hereby affirmed and the 
proper certificates of ownership of the University not yet issued for these 
landholdings not otherwise reserved by law to the public domain, shall be 
expedited and released by the Land Registration Authority or by the proper office 
. 


of the Department of the Environment and Natural Resources within six (6) 
months from date of effectivity hereof. 
SECTION 23. Financial Assistance. - In addition to the appropriations for 
the University in the General Appropriations Act, the amount of P 100 million is 
hereby automatically appropriated each fiscal year for five years beginning in 
1999 which shall be allocated by the Board of Regents for the support of the 
University’s needs such as research, distance education, extension, voluntary 
service, libraries and laboratories. 
. 
SECTION 24. Universi@ Income and Receips, 
(a) All income, receipts and fees accruing to or derived by the University 
shall, upon their collection, be automatically released to it. These shall include, 
among others: 
1) 
2) 
Tuition, matriculation, and all other miscellaneous fees 
collected by the University; 
Income from the land grants ceded to the University 
pursuant to Act No. 3608, as amended, and from other 
land grants that may have been or hereafter be ceded to 
it; 
Income under R.A. No. 3870, as amended, and all other 
special laws; 
Income from the operation of service facilities, such as 
cafeterias and human or animal hospitals; 
Income from extension services, and similar fees; 
Income from trusts, legacies, gifts and donations of real 
and personal property of all kinds; 
All other income classified as special or fiduciary funds 
within the context of existing laws. 
3) 
4) 
5) 
6) 
7) 
(b) All appropriations for government assistance to the University under 
the annual General Appropriations Act and any supplemental or deficiency 
I 
appropriations measure shall be in lump-sum. 
The University may use 
unexpended balances of such appropriations for such purposes as the Board of 
Regents may determine. 
(c) 
All income, receipts, and funds derived by or released to the 
University under paragraphs one and two of this Section shall upon their collection 
or release, be immediately deposited in a separate account or accounts in any 
authorized Government depository bank in the name of the Treasurer of the 
Philippines, as treasurer ex-officio of the University. 
(d) All amounts deposited in the accounts authorized to be established 
and maintained under paragraph three above shall be disbursed under such terms 
and conditions as may be prescribed by the Board of Regents. For this purpose, 
all such disbursements shall be exempt from any requirement of special budgets. 
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SECTION 25. Tax €xemptiuns. - The provisions of any general or special 
law to the contrary notwithstanding: 
I) 
All property, resources, receipts, expenditures, profits and income 
of the University used actually, directly and exclusively for 
I 


.. 
5) 
educational purposes shall be exempt from all national and local 
taxes, fees, charges and assessments now in force or hereafter 
established. 
The same exemption shall likewise apply to ali 
contracts, deeds, documents and transactions related to the 
conduct of the business of the University; Provided, however, that 
said exemptions shall apply only to such taxes fees, charges and 
assessments for which the University itself would be otherwise 
' 
liable, and shall not apply to those taxes, fees, charges, or 
assessments payable by persons or entities doing business with the 
University , 
Revenues derived from the assets used in the operations of 
facilities, such as hospitals, food processing plants and other 
facilities owned and operated by the University, and which are 
indispensable to the operation and maintenance of its academic 
units or programs shall be exempt from taxation. 
Revenues derived from the assets used in the operations of 
cafeterias, canteens, dormitories, bookstores and other facilities 
located within its premises and owned and operated by the 
University as ancillary activities, shall be exempt from taxation. 
The University shall be extended duty and tax-free entry of all 
imported articles used actually and directly for educational 
purposes, subject to the rules and regulations promulgated by the 
Department of Finance; Provided that, articles entered tax and 
duty-free may not be sold, transferred or otherwise disposed of in 
any manner whatsoever to any person without the prior approval of 
the Department of Finance and the Commission on Audit. 
Any 
transferee of said article shall be deemed the importer thereof, and 
the same shall be assessed at its entered value without 
depreciation. 
, 
Donations to the University shall be exempt from all taxes and shall 
be considered deductible items from the income tax of the donor. 
SECTION 26. A Comparative Treatment - To provide the University 
greater flexibility, it shall be accorded differential treatment more consistent with 
its institutional requirements by the service-wide agencies, such as the Civil 
Service Commission and the Commission on Audit, in the exercise of their 
respective jurisdiction. The establishment of such treatment shall be guided by 
comparable and appropriate institutional practices and standards in private 
industry and comparable regional institutions. 
Any law to the contrary notwithstanding, the University shall exclusively 
determine its teaching, research and extension thrusts, plans, policies, priorities, 
programs and standards and, on the basis of such determination, the University 
alone shall recommend to the Department of Budget and Management its annual 
budget. 
SECTION 27. Rule of Construction. - No statutory or other issuances 
shall diminish the powers, rights, privileges, and benefits accorded to the 
University under this Act or presently enjoyed by the University under other 
issuances and not otherwise modified or repealed under this Act, unless 


subsequent legislation expressly provide for their repeal, amendment or 
modification, 
SECTION 28. 
Separabilty Clause. - Should any provision herein be 
declared unconstitutional, the same shall not affect the validity of the other 
provisions of this Act. 
SECTION 29. Repealing Clause. - All laws, decrees, orders, rules and 
regulations or other issuances or parts thereof inconsistent with the provisions of 
this Act are hereby repealed or modified accordingly. 
SECTION 30. Effectivity,- - This Act shall take effect after fifteen (15) 
days following its publication in the Official Gazette or in any newspapers of 
general circulation in the Philippines. 
Approved.