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13th CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
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First Regular Session 
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'011 JUL -6 
All :I6 
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S. B I U N O .  
13 
Intmdttced 
Senator Ra(ph G. Recto 
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Explanatory Note 
Section 17, Article I1 of the Constitution provides that the State shall give priority to 
education to foster patriotism and nationahsm, accelerate social progress, and promote total 
human liberation and development. Further, the State shall protect and promote the right of 
all citizens to quality and accessible education at all levels and shall take appropriate steps to 
make every individual a productive member of society. 
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Studies made since h e  1980's however show that our country's education system is 
perennially faced' by problems like poor quality of education, poor performance in 
achievement tests? kspantles between private and public education, access to education 
among regions, lack of classrooms and textbooks, unequal teacher-student ratio, inadequate 
curriculum and ineffective instructional language'. 
Our education system's poor performance may also be attributed to the lack of 
initiative both from the government and the schools to raise the level of teaching standards 
and improve student performance. 
Moreover, the absence of an over& monitoring and 
performance agericy, which shall assess the performance of students, the teacher's teaching 
abilities and the efficiency of the curriculum being implemented, adds to this problem. 
At present, parents and students base their choice of educational institutions on the 
more trivial criteria such as affordable tuition fees and accessibility rather than on the more 
important measures like academic excellence and quality of education being offered. 
This bill proposes the creation of Schools Academic Efficiency Rating Board designed 
to assess the learning skills and performance of students and to evaluate the quality and 
efficiency of the education curriculum being implemented in all educational institutions in the 
country. The Board shall be responsible for rating schools based on a number of indicators, 
which are meant to ensure competitiveness and excellence in the quality of education in the 
country. 
This measure also provides the corresponding disciplinary measures to all educational 
institutions by providing rewards and incentives for good performance and sanctions and 
penalties for poor and underperformance. 
' Basic Education: Still Below the Grade, Eleanor Mamanl, Congressional Planning and Budget Office, 
House of Representatives, NOT. 2000 


The enactment of this bill will make educational institutions accountable to parents 
It d 
also support the public's right to information regarding the levels 
and the community. 
of student performance and the quahty of education in each school in the country. 
In view of the foregoing, the passage of 
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MRUSB 2231 schools ratings board.doc 
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UTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
1 
First Regular Session 
) 
-- 
-= 
'04 
JUL -6 All 36 
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S. BILLNO. 
1360 
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Intmduced bv Senator Ralbh G. Recto 
AN ACT 
CREATING THE SCHOOLS ACADEMIC EFFICIENCY RATING BOARD, 
DEFINING ITS POWERS AND FUNCTIONS, APPROPRIATING FUNDS 
THEREFOR, AND FOR OTHER PURPOSES 
Be it enacted by the Senate and the House OfRepresentatzves ofthe Phzhppznes zn Congress asmnbLed: 
SECTION 1. Short Tide. - This Act shall be known as the Schools Academc 
Efficiency Rating Board Act of 2002. 
SEC. 2. Declaration ofl'oficy. - It is the policy of the State to protect and promote 
the right of all citizens to quahty and accessible education at all levels and shall take 
appropriate steps to make every individual a productive member of society. The State shall 
also recogmze the 'complementary roles of public and private institutions in the educational 
system and shall exercise reasonable supervision and regulation of all educational institutions. 
In order to ens& 
competiuveness and excellence in the #quality of student-teacher 
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performance in d e  country, the State shall adopt an effective and transparent schools 
academic efficiency rating system designed to assess the learning skills and performance of 
students and to evaluate the quality and efficiency of-the edueaimg curriculum being 
implemented in all educational institutions in the country. 
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SEC. 3. 
Creation o f  the Schools Academic EBciency Rating Board -To carry 
out the provisions of this Act, there is hereby created a Schools Academic Efficiency Rating 
Board, herein after referred to as the Board, under the Office of the President. 
SEC. 4. 
Powers andFunctions. The Board shall have the following powers and 
functions: 
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To establish and implement an Academic Excellence Evaluation System (AEES) 
which will serve as the basis for all performance ratings, rewards 'and sanctions, 
and ryports; 
To evaluate the quality and efficiency of the education curriculum being 
implemented id all educational institutions in the counu-p; 
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3. 
To develop and implement an incentives and rewards system as well as sanctions 
and discipliniq measures for educational institutions based on academic 
efficiency rating criteria and standards; 
To encourage and undertake activities that will promote the growth and 
development of the education system in the country; 
To develop and promote programs that will enhance the sWts and performance. 
of students and teachers necessary for an efficient and excellent system of 
education; 
To prescribe the procedures for the exercise of its powers and functions as well 
as the performance of its duties and responsibilities; 
To determine the Board's organizational stmcture and stafhng pattern and 
appoint officers and employees of the Board in accordance with Civil Service 
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laws, d e s  and regqlations; 
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To perform such other functions as may be necessary to carry out the provisions 
of thil Act. 
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SEC. 5. 
1 Compositiort o f f h e  Board. - The Board shall be composed of a 
Chairperson and delve (12) members, five (5) of whom shall be' regular members, whde the 
other seven (7) members shall be in an ex-oflio capacity: Provided, That the Chaqerson shall 
be a person of proven administrative proficiency and independence, and knowledgeable of the 
different aspects of the education system and fully committed to its promotion and 
development: Pmvided, further, That the Chairperson and the regular members shall be 
appointed by the President of the Philippines. 
The seven (7) members who shall be ex-o@cio members of the Board are the following: 
1. 
The Secretary of the Department of Education (DepEd) or his/her 
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duly dksignated representative; 
The Chairperson of the Commission on Higher Education (CHED) 
or gs/her duly designated representative; 
The Chairperson of the Technical Skills Development Authority 
(TESDA) or his/her duly designated representative; 
The Secretary of the Department of Trade and Industry or his/her duly 
designated representative; 
The Chaqerson of the Philippine Regulatory Commission (PRC) 
or his/her duly designated representative; 
The President of the Philippine Accrediting Association of Schools, 
Colleges and Universities (PAASCU); and 
The President of the Philippine Association of State Universities and Colleges 
(PASUC). 
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The five (5) regular members shall be as follows: 
1. 
A 
representative 
from 
the 
,legally 
. . ,constituted 
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schools/co!leges/dniversities association; 
2. 
A 
representative 
from 
'the 
legally 
constituted 
public 
schools/colleges/universities teachers association; 
A representative from the legally constituted students assodation; 
A representative from the legauy constituted professionals' organization; 
A representative from the business and private sector. 
3. 
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5. 
SEC. 6. Term of Office. -The Chairperson and the five (5) regular members shall 
hold office for a term of three (3) years unless sooner removed by the President: Pmvided, That 
they shall be eligible for reappointment after the expiration of their respective terms: Provided, 
firthr, That no Ch'airperson or member shall serve for more than two (2) consecutive terms. 
If the Ch'ikperson'or member fails to complete his/her term, the person appointed to W the 
vacancy shall serve only for the unexpired portion of the vacated term whom he/she 
succeeds: ProkdedjnuL&, That such service of the unexpired portion shall not be counted as a 
term. 
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SEC. 7. Meetings. - The Board shall meet regularly at least once a month or as 
often as necessary at the call of the chairperson or a majority of the members. A majority of 
the members of the Board shall constitute a quorum to do business. The members of the 
Board shall be entitled to honoraria based on existing government accounting and auditing rules 
and regulations. 
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' SEC. 8.  the 'Chaitpers&. - The Chairperson shall be the Chief Executive 
Officer and shall ~exeruse overall administrative supervision to ensure the effective and 
efficient implemedation of the policies laid down by the Board. The Chaqerson shall have 
the same.rank andlsalaq of an Undersecretary of a Department as provided for in the Salaq 
Standardization Law. 
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SEC, 9. 
The Executive Director. - The Chaqerson shall be assisted by an 
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Executive Director to be appointed by the Board upon the recommendation 
- -  of the 
Chairperson. The Executive Director shall have a salary comparable to that of equivalent 
rank under the Revised Compensation and Position Classification System and shall be co- 
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terminus with the Chairperson unless sooner removed for cause 
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SEC. 10. 
Functions of the Chairperson. - The Chaqerson shall have the 
following functions: 
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3. 
4. 
Execute and administer the policies, plans and programs approved by the Board; 
Direct and supervise the operations and internal affairs of the Board; 
Establish the internal organization and administrative procedures of the Board; 
Recommend to the Board the appointment, transfer or detail, suspension, 
dismissal for cause of its subordinate officials and employees; and 
Such other functions which the Board may assign from time to time. 
5. 
SEC. 11. Academic Excellence Evaluation System. - The Board shall formulate 
and establish a set of standards, criteria and procedures for the Academic Excellence 
Evaluation System1 which shall be the basis for all performance ratings, rewards and sanctions, 
primarily based but not limited to the following indicators: 
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h. Annual 
SEC. 12. 
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dropout rates 
Perfomance Ratings. - All educational institutions (schools, colleges, 
c. Acceptable - for ratings 75% to 79% 
d. Low-Performing - for radngs below 75% 
SEC. 13. Rewards. - Educational institutions may receive rewards other than 
high ratings for performance based on the Academic Excellence Evaluation System. These 
rewards include recoption of high achievement on other indicators not used to determine 
ratings, exemptions from regulations and requirements under specific conditions, and 
potentially, grants from corporate and industry leaders. These rewards are based on ratings. 
and are intended ,for those schools rated Exemplary, Recogeixed, and Acceptable that have 
exhibited significant gains in student performance 
SEC. 14. 
, Sanctions. - The Board shall admmster sanctions and remedies .to 
poor-performing educational institutions. These institutions must develop and implement an 
improvement planito address the area/s of poor performance. If the same institution receives 
the lowest rating over two or more consecutive years, the level of state &mention increases. 
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Sanction detematlons would depend on the severity and/or number of deficiencies 
documented and the number of students affected. 
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SEC. 15. Enforcement. - For purposes of implementing this Act, the Board may: 
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1. Impose administrative lines and penalties of not more than One Hundred 
Thousand Pesos (l'100,000.00) 
for the violation of any provision of this Act 
and/or its implementing d e s  and regulations issued by the Board; 
Cause or initiate the criminal or administrative prosecution of violators of this Act 
and its implementing d e s  and regulations. For this purpose, the Board is hereby 
given the power to issue subpoena duces tecum and enlist the assistance or services of 
the Department of Justice or the Office of the Solicitor General; 
Call upon representatives of the different government agencies and other various 
associations in the education system to help ensue compliance with the 
provis,b, of this Act and its implementing d e s  and regulations. 
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Chairperson shall determine; 
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For th_s purpose, the Board may constitute Local Regulatory Board or Boards in 
the cities and municipalities throughout the country composed of representatives 
from the government and the private sector as may be appropriate to implement 
the purposes and objectives of this Act and its implementing rules and regulations 
and they shall serve without compensation and o.dy .for such period of time as .the. 
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4. To deputize any law enforcement agency and instrumentality of the government 
for assistance in the implementation and enforcement of its functions and orders. 
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SEC. 16. Appropriations. - -The amount necessary to carry out the purposes of 
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this Act, including the operations of the Board shall be allocated from the budget of the 
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Office of the President under the General Appropriaaons Act for 20@ and thereafter be 
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included in subsequent annual General Appropriations Acts. 
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SEC. 17. Authority to Accept Donations. - The Board may accept donations, 
contributions, grants bequests or gifts, in cash or in kind, from various sources, domestic or 
foreign,, except from educational institutions for purposes relevant to its functions. 
Said 
donations shall be deemed automatically appropriated for purposes specified by the donor or 
in the absence thereof; for the programs and projects as may be approved by the Board 
subject to the usual government accounting and auditing rules and regulations: Pmoideded, That 
cash donations shall not be used to fund the personal services requirements of the Board. 
Any donation, contribution, subsidy or financial aid which may be made to'the Board shall be 
exempt 'from taxes of any kind and shall constitute allowable deductions in fid from the 
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income of the donors, contdbutors or givers for income tax purposes. 
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SEC. 18. 
1 Assistance from Other Government Agencies. - The Board may 
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request any department, bureau, office, agency, or instrumentahty of the government for such 
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assistance as may be needed in the performance of its functions. 
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SEC. 19. I Implementing Rules and Regulations. -Within ninety (90) days from 
the effestivity of 4 s  Act, an ad hoc Board shall be constimted to formulate +e necessary 
rules and regulations to nnplement the provisions of this Act. 
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20. +udReport, 
- The Board shall within ninety (90) days after the end 
of every fiscal year, submit to the President and to Congress an annual report on its 
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compliance with, or accomplishments under this Act, together with its plans and 
recommendations to improve and develop its capability to enforce the provisions of this Act, 
and a complete accounting of transactions with respect to any funds received under this Act. 
SEC. 21. Separability Clause. - If any provision of this Act is held unconstitutional 
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or invalid, all other provisions not affected thereby shall remain valid.. . 5 
SEC. 22. Repealhg Clause. - All laws, decrees, executive orders, rules and 
regulations or parts thereof, which are inconsistent with this Act, are hereby repealed, 
amended or modified accordingly. 
SEC. 23. Effecti&y. - This Act shall take effect fifteen (15) days following its 
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Appraued, 
publication in the Official Gazette or in two (2) newspapers of general circulation 
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