Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

FIFTEENTH CONGRESS
First Regular Session

House Bil No 109’

Introduced by Honorable Roilo Golez

EXPLANATORY NOTE

We as a nation have abundant human capital that we must take greater advantage of by pouring more
investment in the manpower development projects.

In particular, the field of technical education and skills development must be strengthened not only for the
purpose of utilizing to the nation’s advantage the abundant human capital in the country and meeting the
demand for skilled Filipino workers both here and abroad but also, more importantly, to enhance our
nation's global competitiveness.

To do this, supplemental budgetary support to the training programs being administered by the Technical
Education and Skills Development Authority (TESDA) which is the government agency created by virtue of
Republic Act 7796, otherwise known as the “Technical Education and Skills Development Act of 1994”,
tasked to manage and supervise technical education and skills development (TESD) in the country. The
said Act integrated the functions of the former National Manpower and Youth Council (NMYC), the Bureau
of Technical-Vocational Education of the Department of Education, Culture and Sports (BTVE-DECS) and
the Office of Apprenticeship of the Department of Labor and Employment (DOLE).

Despite the following provisions of Section 32 of Republic Act No. 769 on Scholarship Grants stating that
“The Authority (TESDA) shall adopt a system of allocation and funding of scholarship grants which shall be
responsive to the technical education and skills development needs of the different regions in the country",
the 3.48B and 2.89B budget of TESDA for Fiscal Years 2009 and 2010, respectively, has been inadequate
to effectively support this program as well as to comprehensively extend its benefits to all districts in the
respective regions in faithful compliance with the provisions of Section 5 Article XIV of our fundamental law,
the 1987 Constitution, which states that “The State shall take into account regional and sectoral needs and
conditions xxx in the development of educational policies and programs.”

Thus, there is a need to establish a comprehensive scholarship program for technical education and skills
development and to make the same accessible to as many people as possible following an equitable
scheme of distribution among the congressional districts in the Philippines. This proposed measure will
provide a mechanism and the means for TESDA to extend its industry-based training programs to the


grassroots and district level and enable it to equitably distribute its services in pursuance of its legal
mandate.

In sum, the solution is to put more investment in human capital. The support this measure provides in the
development of our skilled manpower will ikewise complement the government effort to meet international
labor force requirement for our Overseas Filipino Workers (OFWs) whose collective contribution to the
Philippine economy according to the Bangko Sentral ng Pilipinas amounted to $5.86 billion in the first four
months of the current year and growing at a steadily increasing rate.

The same is true and even more so in case of the business process outsourcing sector which has grown
into a $7.3B industry in 2009 and is expected to rake in around $9.1B in revenues this year.

These important industries, among other skill-based industries and trades such as retail, tourism,
information technology, care giving and health services, as well as the traditional crafts and cottage
industries, are not only sparking new labor demand and buoying employment but will also be instrumental,
when properly supported by government, in helping the Philippine economy shift from crisis to recovery.
The technical and vocational education training scholarship grant provided for in this proposed measure is
aimed precisely to provide such support supplementary to the existing program of the TESDA.

In view ofthe foregoing, urgent passage of this proposed legislative measure is eamestly sought.

RQILO GOLEZ


Republic ofthe Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

FIFTEENTH CONGRESS
First Regular Session

1097

House Bill Ni

Introduced by Honorable Roilo Golez

AN ACT STRENGTHENING THE TECHNICAL EDUCATION AND SKILLS DEVELOPMENT
SCHOLARSHIP PROGRAM AND FOR OTHER PURPOSES

Section 1. Title. — This Act shall be known as the “Technical Education and Skills Development
Scholarship Act of 2010".

Sec. 2. Declaration of Policy. — It is hereby declared the policy of the State to promote and enhance the
nation’s labor and manpower capability with respect to domestic and global demand for skilled Filipino
workers by improving access to relevant, accessible, high quality and efficient technical education and skils
development through the adoption of a comprehensive scholarship grant program to be administered by
the Technical Education and Skills Development Authority (TESDA).

Sec, 3. Statement of Goals and Objectives. — To carry out the foregoing policy, this Act strengthens the
country's technical education and vocational skills manpower development thrusts by creating a scholarship
program geared towards providing the necessary support to qualified students desiring to pursue a
particular industry-based training in areas covered by Republic Act No. 7796 or the Technical Education
and Skills Development Act of 2004.

It is the goal and objective of this Act to make access to technical education and skills development
equitable and available to more qualified individuals in line with the dynamic changes in the local and global
trade and labor market demands and competition.

Sec. 4. Coverage. — The grant of any scholarship award from the Technical Educational and Skills
Development scholarship program established herein shall be applied but not limited to the following
competency based training courses or curriculum:

a. Software Development and Programming
b. Computer Animation and Visual Graphics Design
c. Computer Hardware Servicing

d. Call / Contact Center Services

e. Care giving and other Health Services

f. Medical and Legal Transcriptionist


Automotive Electrical Assembly
Welding
Animal Production, Aquaculture, and Horticulture
Agricultural Crops Production
‘Automotive / Motorcycle Repair and Servicing
‘Automotive Engine Rebuilding
‘Automotive Body Painting / Finishing
|. Household Services, and Housekeeping
. Electrical Installation and Servicing
Carpentry, Masonry, and Plumbing
. Security Service
Heavy Equipment Operation and Maintenance
Marine Deck and other Seafaring Services
Food Processing, Baking and Pastry
|. Slaughtering Operations
. Food and Beverages Services
Front Office
Beauty care, Hairdressing
Barangay Health Service
Consumer Electronics Servicing
Welding
. Broadband Installation (Fixed Wireless System)
. Commercial Cooking
dd. Dressmaking and Tailoring
ee, Driving
ff. Tour Guiding and Travel Services
gg. Laboratory & Metrology / Calibration Services
hh. Tinsmithing Operation
ii, Pharmacy Services
jj. Transmission Line Installation & Maintenance
kk. CADICAM Operation
Il. Lathe Machine Operation
mm. Milling Machine Operation
inn. Press Machine Operation
00. Foundry Melting / Casting, Molding and Pattemmaking
pp. Animal Health Care & Management Nc lii File
gq. Bookkeeping Ne lii File
tt. Cable Television CATV Installation, Operation and Maintenance
ss. Photography
tt. Landscape Installation and Maintenance
uu. Mechanical and Technical Drafting
w. Tool and Die Making
ww. Events Management
xx. Performing Arts (Ballroom Dancing)

BERNKX exer er epeRarAzT Hse


Sec. 5. Assistance to Grantees. — The grantee of the scholarship program under this Act is entitled to
financial assistance to cover enrollment and other training fees for the course selected as well as a monthly
allowance the amount of which is to be determined by TESDA in accordance with the Implementing Rules
to be adopted under Section 12 of this Act.

Sec. 6. Qualifications. — The course entry requirement or qualification for each training program
mentioned under Section 4 of this Act shall be provided for by TESDA and included in the Implementing
Rules and Regulations to be adopted as provided in this Act, provided that the nomination of the grantees
of the scholarship slots shall solely be made by the duly-elected Representative of the respective district
concermed.

Within thirly (30) days from the effectivity of the Rules and Regulations mentioned in the next preceding
paragraph of this Section, TESDA shall send by registered mail a list of available training courses with the
corresponding entry qualification requirement together with the list of duly-accredited training centers, with
their respective contact details, within or nearest to the congressional district concerned where the subject
course is offered and may be taken up at.

Sec. 7. Distribution of Scholarship Slots. — The TESDA in line with the provisions of this Act shall
provide for a proportional and equitable allotment of the scholarship slots for identified and suitable
technical-vocational education and training programs within the budget allocated for each congressional
district as provided under Section 13 of this Act.

To attain an equitable distribution and most coverage, the TESDA shall organize a scholarship program
aimed towards enlisting at least one hundred thousand (100,000) scholars in each legislative or
congressional district of the Philippines.

Sec. 8. Training Venue — The recipient of the scholarship privileges under this Act shall be required to
pursue their technical or vocational course specified under this Act at any educational or training institutions
duly accredited by TESDA.

Sec. 9. Coordination of Program Implementation. — To ensure the effective coordination of the program
with the various congressional districts, TESDA shall designate a scholarship coordinator for each region
Who will be tasked to ensure the participation of each legislative district located within that particular region
in the proper implementation of the scholarship program established in this Act

Sec. 10. Implementing Body. — The scholarship program herein provided shall be directly implemented
by the Technical Education and Skills Development Authority (TESDA)..

Sec 11. Automatic review. ~ At the end of every year after the effectivity of this Act, the TESDA Board
mentioned in Section 7 or Republic Act No. 7796, otherwise known as the TESDA Act of 1994, shall
conduct an independent review on the implementation by the TESDA of the scholarship program herein
established and shall make recommendations based on its findings to the President and to both Houses of
Congress as to the necessity of revising the annual budget appropriated under Sec. 13 of this Act for the
continued implementation of the TESDA scholarship program. The TESDA Board shall ikewise submit a
summary report on the effectiveness and utilization of the scholarship grants which shall include the
number of enrollees and graduates, among others.


Sec. 12. Implementing Rules and Regulations. — The TESDA board shall issue, within a period of thirty
(30) days from the effectivity of this Act, the rules and regulations necessary for the effective
implementation of this Act and to cary out its objectives. The TESDA Board shall submit to the
Committees on Education, Arts and Culture of both Houses of Congress copies of the implementing rules
and guidelines within (30) days after its promulgation.

Sec. 13. Appropriations. — The amount necessary to carry out the initial implementation of this Act shall
be charged against the current Fiscal Year Appropriations of TESDA at the time this Act takes effect and
thereafter, the amount of Five Billion Pesos (P5,000,000,000) shall be included in the annual General
Appropriations Act and allocated for the continued implementation of the scholarship program herein
established subject to the review as provided under Section 11 of this Act.

Sec. 14, Repealing Clause. — Any law, decree, executive or administrative order, rules and regulations,
or portions thereof, contrary to or inconsistent with the provisions of this Act are hereby repealed, modified.
or amended accordingly.

Sec. 15. Separability Clause. — In the event any of the provisions of this Act is declared invalid or
unconstitutional, the other provisions, not otherwise affected, shall subsist and remain in full force and
effect,

Sec. 16. Effectivity. — This Act shall take effect after fifteen (15) days following its approval and complete
Publication in at least two (2) newspapers of general circulation in the Philippines.

Adopted,