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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
First Regular Session 
TWENTIETH CONGRESS 
                    House Bill No. 848 
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Introduced by REP. JESUS MANUEL “BONG” C. SUNTAY 
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EXPLANATORY NOTE 
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Section 1, Article XIV of the 1987 Constitution declares that “The State shall protect and 
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promote the right of all citizens to quality education at all levels and shall take 
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appropriate steps to make such education accessible to all.” Moreover, Section 2 of the 
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same Article mandates the State to “establish, maintain, and support a complete, 
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adequate, and integrated system of education relevant to the needs of the people and 
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society.” 
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The Philippine education system faces profound challenges. While the implementation 
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of the K-12 curriculum marked a significant stride, many of our public elementary and 
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secondary schools remain severely deficient in modern facilities such as computer 
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laboratories, science equipment, and libraries. These gaps hinder not only the teaching 
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of essential technical skills but also students ’capacity to keep pace with global standards 
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in science, technology, and information. 
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Yet the modernization of facilities alone cannot address the crisis in Philippine 
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education. Recent results of international assessments, including the Programme for 
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International Student Assessment (PISA), reveal alarmingly low levels of reading 
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comprehension and critical thinking among Filipino students. Without direct 
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interventions to strengthen higher-order cognitive skills, investments in hardware and 
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infrastructure will fall short of preparing our youth for an increasingly knowledge-
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driven and competitive world. 
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This measure seeks to establish a School Modernization and Innovation Program as a 
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permanent initiative of the Department of Education (DepEd) to upgrade and sustain 
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facilities—such as computer laboratories, libraries, and science laboratories—and to 
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expand access to integrated distance learning platforms. Most importantly, the bill 
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mandates programs to directly improve reading comprehension, critical thinking, 
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problem-solving, and other higher-order cognitive skills across all public elementary 
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and secondary schools. 
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To ensure inclusivity and equity, the measure provides for phased implementation of 
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the modernization program based on regional priorities and schools ’absorptive 
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July 1, 2025
2:00 pm


capacities. It institutionalizes a School Modernization and Innovation Trust Fund 
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sourced from a combination of appropriations, national government revenue shares, 
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and private sector contributions. Recognizing the importance of community 
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involvement, the bill mandates counterpart support from local government units and 
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incentivizes private partners to actively participate through fiscal benefits. 
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Additionally, this bill strengthens accountability by establishing National and Regional 
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Modernization Committees to evaluate project proposals, ensuring that funded 
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programs are aligned with measurable goals for facility upgrades and cognitive skill 
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improvements. Teacher training in both technology integration and comprehension-
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focused pedagogies is explicitly prioritized. 
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Through these comprehensive interventions, this bill envisions modern public schools 
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that do not merely provide hardware but empower every Filipino child with the 
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cognitive tools necessary for lifelong learning, informed citizenship, and meaningful 
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participation in a rapidly changing world. 
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In view of the foregoing, the immediate passage of this bill is earnestly sought. 
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REP. JESUS MANUEL “BONG” C. SUNTAY 
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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
First Regular Session 
TWENTIETH CONGRESS 
                    House Bill No. 848 
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Introduced by REP. JESUS MANUEL “BONG” C. SUNTAY 
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AN ACT INSTITUTIONALIZING A SCHOOL MODERNIZATION AND 
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INNOVATION PROGRAM FOR PUBLIC ELEMENTARY AND SECONDARY 
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SCHOOLS, STRENGTHENING STUDENTS ’READING COMPREHENSION 
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AND CRITICAL THINKING, PROVIDING FUNDS THEREFOR, AND FOR 
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OTHER PURPOSES 
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Be it enacted by the Senate and the House of Representatives of the Philippines in 
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Congress assembled: 
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SECTION 1. Short Title. 
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This Act shall be known as the “School Modernization, Reading Comprehension, and 
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Critical Thinking Enhancement Act.” 
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SEC. 2. Declaration of Policy. 
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It is hereby declared the policy of the State to promote a comprehensive and sustainable 
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modernization program for all public elementary and secondary schools aimed at 
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improving the effectiveness and efficiency of the delivery of basic education, as well as 
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enhancing students ’reading comprehension, critical thinking, problem-solving, and 
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other higher-order cognitive skills necessary for lifelong learning and active 
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participation in a dynamic, knowledge-driven world. The State shall likewise consider 
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regional and sectoral needs in developing a viable modernization plan and encourage 
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private sector and local government participation. 
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SEC. 3. Statement of Purpose. 
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This Act seeks to attain the following objectives: 
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a. To institutionalize a comprehensive, sustainable modernization program for public
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schools;
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b. To encourage innovation and resourcefulness in developing modernization programs;
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c. To define the roles and responsibilities of officials from regional, division, to school
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levels;
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d. To provide mechanisms for private sector participation;
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e. To formulate regional, division, and school modernization and innovation plans 
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responsive to local student needs; and 
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f. To ensure that modernization programs directly improve reading comprehension, 
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critical thinking, and higher-order cognitive skills of students. 
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SEC. 4. Implementing Agency. 
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The Department of Education (DepEd) shall be the main implementing agency. The 
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Secretary of Education shall ensure the smooth implementation of the modernization 
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plan and cognitive skills enhancement programs. 
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SEC. 5. Components. 
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The School Modernization and Innovation Program shall consist of the following 
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components: 
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a. Computerization – Allocation of IT equipment based on student enrollment, with 
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priority to science high schools; 
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b. Upgrading of Libraries – Establishment of well-equipped libraries with at least five 
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(5) internet-connected computers per public elementary and secondary school; 
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c. Integrated Distance-Learning Program – Interactive systems enabling students to 
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access Science, Math, English, Communication, and global learning resources through 
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television, satellite, or cable; 
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d. Upgrading of Science Laboratories – Provision of modern science equipment 
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essential to improving competencies in science and technology; and 
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e. Strengthening Reading Comprehension and Critical Thinking – Integration of 
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evidence-based interventions to improve reading comprehension, critical and analytical 
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thinking, including: 
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1. Acquisition of appropriate reading materials; 
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2. Development of critical thinking modules across core subjects; 
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3. Teacher training programs on comprehension and higher-order skills instruction. 
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SEC. 6. Phased Implementation. 
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The Department shall implement the program in phases according to priorities set and 
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the absorptive capacities of schools. 
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SEC. 7. Financing. 
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The Department of Budget and Management shall allocate at least ten percent (10%) of 
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the total annual appropriations of the Department to finance the program. 
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SEC. 8. Formulation of School Modernization and Innovation Plans. 
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a. National Plan – The Secretary of Education, in consultation with Regional Directors 
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and Schools Division Superintendents, shall develop a 5-year comprehensive 
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modernization and innovation plan, incorporating measurable standards for 
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improvements in reading comprehension and critical thinking. It shall identify sources 
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of funding from local and international partners, as well as define national standards 
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and frameworks. 
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b. Regional Plan – Regional Directors, with Schools Division Superintendents, shall 
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create regional frameworks aligned with national standards and reflecting unique 
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regional needs, including literacy and critical thinking gaps. 
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c. School Plan – Each school shall formulate its own 5-year modernization plan, 
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assessing needs, existing facilities, priorities for cognitive skills development, funding 
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strategies, and effective resource use. Plans shall be submitted to regional offices for 
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consolidation. 
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SEC. 9. School Modernization and Innovation Trust Fund. 
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A School Modernization and Innovation Fund (“the Fund”) is hereby established, to 
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augment regular appropriations. Sources include: 
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1. ₱15 billion seed capital; 
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2. 10% of annual PAGCOR gross earnings; 
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3. 10% of annual travel tax collections; 
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4. 10% of increases in vehicle registration fees; 
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5. 2% of annual revenue collection increases; 
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6. 10% of annual PCSO lotto sales; 
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7. Donations in cash, equipment, property, or services. 
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The Fund is distinct from schools  ’regular MOOE and may use annual interest 
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income only for modernization and cognitive skills programs. 
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SEC. 10. Management of the Fund. 
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The Fund shall be administered by DepEd, which shall appoint a reputable government 
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financial institution as portfolio manager, and organize an autonomous management 
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staff. Guidelines shall prohibit using the Fund’s seed capital for overhead, and allow 
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only private donation earnings for administrative expenses, unless stipulated otherwise. 
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SEC. 11. LGU Assistance. 
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Each LGU shall allocate at least five percent (5%) of their Special Education Fund to 
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support modernization programs, including cognitive development initiatives. 
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SEC. 12. Uses of the Fund. 
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The Fund shall be used to finance: 
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a. Priority projects approved by National or Regional Modernization Committees; 
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b. In-service teacher training in computer literacy, instructional communication 
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technology, reading comprehension, and pedagogies for teaching critical and analytical 
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thinking; 
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c. Procurement and maintenance of IT and multimedia equipment; 
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d. Procurement of science laboratory equipment; and 
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e. Acquisition of reading materials and development of cognitive skills enhancement 
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programs. 
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SEC. 13. Order of Priority in Fund Allocation. 
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Priority shall be given to programs aligned with modernization plans, with schools 
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securing at least 40% counterpart funding from LGUs, private corporations, 
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foundations, or donors. 
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SEC. 14. Selection Process. 
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Schools shall develop project proposals aligned with regional modernization thrusts, to 
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be evaluated by: 
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1. Regional Modernization Committees for proposals up to ₱1 million; 
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2. National Executive Modernization Committee, chaired by the DepEd Secretary, for 
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projects above ₱1 million. 
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SEC. 15. Private Sector Participation. 
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Private sector contributions to modernization programs are deductible at 100% of 
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expenses from gross income. Schools achieving 40% counterpart support from LGUs or 
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private partners shall have priority for grants. 
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SEC. 16. Implementing Rules and Regulations. 
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The Secretary of Education shall promulgate the necessary rules and regulations for 
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effective implementation. 
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SEC. 17. Separability Clause. 
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If any provision of this Act is held invalid, the remaining provisions shall remain in full 
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force and effect. 
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SEC. 18. Repealing Clause. 
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All laws, decrees, orders, rules, regulations, or ordinances inconsistent with this Act are 
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hereby repealed or amended accordingly. 
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SEC. 19. Effectivity. 
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This Act shall take effect fifteen (15) days after its publication in the Official Gazette or a 
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newspaper of general circulation. 
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Approved, 
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