Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon Ci

SIXTEENTH CONGRESS

First Regular Session

House Bill No.

Introduced by Hon. Rodolfo G. Biazon

EXPLANATORY NOTE
Article XIV, Section 1 of the Constitution declares:

“The State shall protect and promote the rights of all citizens to quality
education at all levels and shall take appropriate steps to make education accessible
toall.”

To implement this Constitutional mandate, the State shall provide the mechanisms to
broaden opportunities for higher education in addition to what is already provided for in RA 6014,
“The Study Now Pay Later Law”, and RA 6728, “The Government Assistance to Students and
Teachers in Private Education Act.”

This bill therefore proposes to further broaden opportunities for higher education by
enabling qualified Social Security System (SSS) and Government Service Insurance System (GSIS)
members to insure the college education of their children through the College Education Trust Fund
created under this Act. This fund consists of the premiums paid by the Member. This bill seeks to
guarantee the completion of a basic four year or five year college course.

Coverage under this college education insurance plan is optional for all members regardless
of civil status, with or without a child. The benefits provided for under this Act can only be availed
of by members who have completed their policy prior to enrollment of the child in college. The
GSIS or SSS, as the case may be, will pay the college education of the child no matter what the cost
at the time of enrollment. It is in effect paying for the child’s education tomorrow at today’s prices.
The payment is made directly to the school, thus preventing the funds from being used for other
purposes. Included in the benefits are the payment for non-standard fees such as materials, books,
supplies and even board and lodging expenses that may be incurred in the pursuit of such
education. This Bill likewise provides incentives to scholars and enrollees of courses in agriculture,
fishery, forestry, science and technology.

For many Filipinos, college education remains an elusive dream, So that their dreams may
come true and to strengthen education as means for upward mobility, passage of this bill is urged.

RO} LFO @. BIAZ
Representative
Lone District, Muntinlupa City



Republic of the Philippines
HOUSE OF REPRESENTATIVES,
Quezon City

SIXTEENTH CONGRESS
First Regular Session

489
House Bill No. ae

Introduced by Hon. Rodolfo G. Biazon

AN ACT
ESTABLISHING A COLLEGE EDUCATION TRUST FUND FOR CHILDREN OF
GSIS AND SSS MEMBERS.

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 “College Education Trust
Fund Aci

Sec. 2. College Education Trust Fund. — There is hereby established in the
Government Service Insurance System and the Social Security System a special trust fund
called the “College Education Trust Fund” to ensure the college education of the children of
the Members of both Systems.

Sec. 3. Children Defined. — For purposes of this Act, the term “children” shall include
the legitimate, legitimated, legally adopted or illegitimate child or grandchild of the Member.

Sec. 4. Optional Coverage. ~ Subject to the rules and regulations prescribed by the
Government Service Insurance System (GSIS) or the Social Security System (SSS), as the
case may be, all Members, regardless of civil status, with or without a child shall have the
option to insure under this Act.

Sec. 5. Premium Payments. ~ The amount of premiums to be paid to the College
Education Trust Fund by the Member shall be, in accordance with the schedule of payments
to be provided by the System concerned taking into consideration the following criteria:

a. The interval of time between the effectivity of the coverage and the estimated time
of enrollment of the child in college;

b. The number of monthly contributions to be made to complete the policy;

c. The benefits to be availed of as provided in Section 5 of this Act;


d. The number of children insured under this Act;
. The amount of tuition and other standard fees charged by the school; and

f. Such other factors as may be determined by the System concerned.

Sec. 6. Educational Benefits. — Only Members who have completed the payment of
the premium on the policy before the enroliment of the child shall be entitled to avail of the
benefits provided for under this Act.

The benefits shall include the payment by the System concerned of:

a. Such school fees as may be required for enrollment in and completion of four or
five year college course which shall include tuition fees for all subject officially
prescribed by the school and part of the regular curriculum as requisite for
graduation and such standard fees as may be defined by the System concerned in
coordination with the Department of Education, Culture and Sports;

b. Materials, books, supplies and other similar fees required by the school; and

c. The board and lodging expenses that may be incurred in the pursuit of such
education.

‘The member may opt to insure any of the above or combinations thereof. The
payment shall be made by the System directly to the institution except for item (b) which
shall only be reimbursed to the member child. The System concerned shall provide for
safeguards to insure the prompt payment of these benefit

Sec. 7. Incentives. ~ a) Should the child earn any scholarship in College as to exempt
the System from the payment of the benefits provided for in paragraph (a) of the preceding
section, in whole or in part, such payments shall be received by the child in lieu of the school.

b) The System concerned shall provide for incentives to enrollees of the
following courses: Agricultural, Forestry, Fishery, Science and Technology.

Sec. 8. Transferability of Benefits. - The benefits provided for this act may be
transferred or assigned to another child of the same Member.

Sec. 9. Death or Disability of Member. — The death or disability of the member shall
not preclude the child from the availment of the benefits provided for in this Act.

Sec. 10. Suppletory Effect. — In case of insufficiency of provisions of this Act, the SSS
or GSIS law as the case may be shall apply in a suppletory manner.

Sec. 11. Implementing Rules. ~ The GSIS or SSS, as the case may be, shall
promulgate the necessary rules and regulations for the effective implementation of this Act
within ninety (90) days following its approval.


See. 12. Separability Clause. — If, for any reason, any section or provision of this Act
shall be held to be unconstitutional or invalid, such parts not affected thereby shall remain in
full force and effect.

13. Effectivity Clause. ~ This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in two (2) National Newspapers of general application,
whichever comes earlier.

Approved,