FOURTEENTH CONGRESS 
OF THE PHILIPPINES 
First Regular Session 
OF THE REPUBLIC) 
SENATE 
S. No. 
Introduced by Senator Richard J. Gordon 
EXPLANATORY NOTE 
The country is besieged by a multitude of problems, but none as tremendous and 
far-reaching as the critical condition of our educational system today. The substandard 
quality of our teachers, the dismal performance of our students, and the staggering shortage 
in classrooms and educational materials are roadblocks that keep us from moving forward, 
Thus, keeping in mind that it is the avowed policy of the State, embodied in Section 17, 
Article 11 of the Constitution, to "give priority to education, science, and technology," it is in 
pursuit of this mandate that we must focus on improving the system of our schools and the 
education of our children for the future. 
First, our teachers - entrusted with the primary responsibility for the education of our 
children - are painfully inadequate in both quality and quantity. An alarming 81% of the 
country's teachers failed the English Proficiency Test, an exam that measures their reading 
comprehension, verbal and oral skills. They are educators who cannot educate. They need 
to be trained and re-trained, year in and year out, and be kept up to date on developments 
in their respective fields - particularly information technology - so that excellence eventually 
becomes the norm. 
Second, our students -the hope and future of our nation - are undernourished and 
undereducated. They are faring miserably in English, Math and Science. A miniscule 
0.64% of incoming high school students obtained a mark of 75% or higher in the 2004 High 
School Readiness Test. The country ranks 43rd out of 45 countries in math and science 
proficiency, Considering that the nation's children must contend with poverty, learn their 
lessons on an empty stomach, attend class under an acacia tree, and listen to teachers 
whose competencies leave much to be desired, their poor performance is unsurprising, but 
more importantly, unacceptable and deserving of urgent remedial attention. 
Finaly, our educational resources are sorely lacking. As of 2004, in order to meet 
the target classroom-student ratio of 1:45, the country needs 32.315 Billion Pesos to 
construct an additional 55,145 classrooms, hire 20,874 teachers and purchase 26.85 million 
textbooks. There are even reports that in SY 2006-2007, there was an actual gap of 41,197 
classrooms for the 1:45 ratio, a shortage of 10,517 teachers, 1.5 million seats, and 41.32 
million textbooks. Altogether, closing the gap would need 22.88 Billion Pesos. And while 
the classroom backlog went down to 29,321 this year, that of the teaching posts reached 
16,390. We therefore need to adopt innovative means to augment the budget of the 
education sector, to ensure that they are equipped to provide necessary services, which we 


as a nation, and as a matter of national policy, have identified as crucial to national 
develoDment. 
We MUST act. This bill seeks to address the foregoing needs, by ushering in a new 
era for education through the creation of the Philippine Education Rehabilitation 
Corporation, a government corporation whose mission is to bridge the gap between the 
above-mentioned educational demands and the nation’s meager supply. And anchored on 
the principle of short-term sacrifice for long-term gain, this bill seeks to tap the already 
existing text-messaging phenomenon as a source of funds earmarked solely for education - 
one of the most basic needs of our people - for a limited term of only 5 years, to fund the 
most urgent revitalization of our education sector. 
Given these pressing reasons, the prompt passage of this law is earnestly sought. 
$9 
RICHARD J. GORDON 
/ 
psenator+ 


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FOURTEENTH CONGRESS OF THE REPUBLIC) 
OF THE PHILIPPINES 
First Regular Session 
7 
Introduced by Senator Richard J. Gordon 
AN ACT TO REVITALIZE PHILIPPINE EDUCATION BY 
CREATING THE PHILIPPINE EDUCATION REHABILITATION CORPORATION, 
ESTABLISHING THE SPECIAL EDUCATION REVITALIZATION FUND, AND FOR 
OTHER PURPOSES 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Short Title. - This Act shall be known as the “Education Revitalization 
Act of 2007.” 
Sec. 2. Declaration of Policy. - It is hereby declared the policy of the State to give 
priority to education by responding to the overriding need for nationwide educational 
rehabilitation and revitalization, through the creation of an independent body dedicated to 
addressing the educational gaps, concretizing the country’s education programs and plans, 
and ensuring the proper administration and use of funds earmarked solely for education. 
The State further recognizes that education is the key to conquering poverty, that an 
educated public is crucial to the long-term development of the nation, and that it is 
imperative that we remove the enormous disparities with our foreign counterparts with 
respect to educational access and achievement by constructing additional school buildings 
or classrooms, augmenting the training of our teachers, and procuring all other educational 
materials necessary to improving the quality of education 
Sec. 3. Philippine Education Rehabilitation Corporation. - There is hereby 
created a body corporate to be known as the Philippine Education Rehabilitation 
Corporation (hereinafter referred to as the “Corporation”) to carry out the purposes of this 
Act. The Corporation shall be an independent government instrumentality attached to the 
Department of Education for administrative purposes only. The Corporation shall exist for a 
A 


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limited term of five (5) years, or only until such time that the Education Revitalization Plan in 
Section 6 of this Act has been carried out. 
Sec. 4. Board of Directors. - The powers of the Corporation shall be vested in and 
exercised by a Board of Directors, composed of a Chairperson and six (6) members from 
the private and public sectors, as follows: one (1) representative from the business sector, 
two (2) representatives from the education sector, one (1) representative from the 
construction industry, and in an ex-officio capacity, the Secretary of the Department of 
Education and the Secretary of the Department of Science and Technology; provided, that 
the chairperson and members of the Board of Directors shall be persons of proven integrity, 
independence, and administrative proficiency, and fully committed to the objectives of this 
Act. 
Such amount as may be necessary for the initial organization andlor operational 
expenses of the Corporation shall be set aside from the special fund herein created; 
provided, such amount shall not exceed one percent (1%) of the Fund. 
Sec. 5. Powers and Functions. - The Corporation shall exercise the following 
powers and functions: 
(1) To control, administer, and manage the Fund in accordance with this Act; 
(2) To acquire, manage and hold such real and personal property as may be 
necessary to carry out the purposes and objectives of this Act; 
(3) To enter into, make, perform and carry out contracts of every class, kind and 
description which are necessary to the realization of its purposes with any person, firm or 
corporation, private or public; 
(4) To apply for, receive and accept grants and donations and other conveyances by 
gratuitous 
title, including funds, materials, equipment and services needed to 
accomplish its objectives under this Act; 
(5) To construct, acquire, operate or maintain on its own or through contract, build- 
operate-transfer 
scheme or joint-venture, the required utilities and infrastructure 
necessary for the accomplishment of the objectives of this act, including but not limited to 
schools, classrooms, and teacher-training camps, in conformity with existing applicable 
laws; 
(6) To adopt, alter and use a corporate seal; to contract, lease, sell, dispose, acquire 
and own properties; to sue and be sued in order to carry out its duties and functions as 


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provided for in the 
Act; and to exercise the power of eminent domain for public use and 
public purpose; 
(7) To call upon and coordinate with other government and nongovernment 
(8) To promulgate rules, regulations and undertake any and all measures as may be 
educational institutions and agencies for assistance in any form; 
necessary to implement this Act. 
Sec. 6. Education Revitalization Plan. - The Corporation shall, within three (3) 
months from the effectivity of this Act adopt and immediately cause to be implemented a 
five-year Education Revitalization Plan which shall specify the projects to be completed by 
the Corporation every year in accordance with target areas identified by the Department of 
Education, such as but not limited to the construction of classrooms, new or improved 
teacher-training programs, and the acquisition of educational materials. The Plan shall be 
subject to annual review by the Board of Directors. 
Sec. 7. Special Education Revitalization Fund. - A Special Education 
Revitalization Fund (the "Fund") is hereby established, earmarked solely and to be used 
exclusively for the purposes stated therein. 
For the purposes of this Act, there shall be levied, assessed and collected on all 
local mobile phone text messages a tax of one peso (P 1.00) per message sent, for a 
limited period of five (5) years from the effectivity of this Act. All proceeds from the tax shall 
accrue exclusively to the Fund. 
Government corporations are also hereby authorized to give grants to the Fund. All 
amounts and proceeds from donations and other conveyances including funds, materials, 
property and services, by gratuitous title shall also accrue exclusively to the Fund. 
With the exception of the amount set aside for the initial organization andlor 
operational expenses of the Corporation under section 4, all amounts accruing to the Fund 
shall be earmarked solely and used exclusively for the construction andlor repair of school 
buildings, facilities, classrooms and equipment; hiring and training or re-training of teachers; 
implementation of in-school health and nutrition or feeding programs; and the purchase of 
books or other educational materials. No money shall be released without any identified 
program andlor project, nor shall it be used to pay obligations incurred before the approval 
of this Act. 


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At no time shall any portion of the Fund be used to augment maintenance and other 
operating expenses of any other national government agency, government owned or 
controlled corporation, local government units or their subdivisions. 
Sec. 8. Report to Congress. - The Corporation shall submit to the Department of 
Education and to Congress a detailed quarterly report on the funds allocated, indicating the 
amount released, obligated and disbursed under this Act, including but not limited to funds 
for the construction or repair and reconstruction of infrastructure projects, the list of 
contractors and projects being financed, and the accomplishments for the expended 
appropriation, including the percentage of completion. 
The Corporation shall also submit as part of the quarterly report a list of all donors 
and the nature of their donations. 
The Corporation shall cause to be disseminated in the community the list of 
beneficiaries and contractors mentioned above. 
Sec. 9. Congressional Oversight Committee. - There is hereby created a 
Congressional Oversight Committee, which shall be composed of three (3) representatives 
each from the Senate and the House of Representatives, to be appointed by the Senate 
President and the Speaker of the House of Representatives, to monitor the implementation 
of this Act. The Committee shall conduct an annual review of this Act in aid of legislation. 
Sec. I O .  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. 
Sec. 11. Separability Clause. - If any portion or provision of this Act is declared 
unconstitutional, the remainder of this Act or any provisions not affected thereby shall 
remain in force and effect. 
Sec. 12. Effectivity. - This Act shall take effect after fifteen (15) days following the 
completion of its publication either in the Official Gazette or in a newspaper of general 
circulation in the Philippines. 
Approved,