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

SEVENTEENTH CONGRESS
Second Regular Session

House Bill No. 7081

Introduced by: REP. GREG G. GASATAYA
REP. ALFREDO “ALBEE” B. BENITEZ
REP. ALEJANDRO Y. MIRASOL

EXPLANATORY NOTE

Carlos Hilado Memorial State College (CHMSC), formerly known as Paglaum State
College, is a public, state-owned college oriented towards excellence, competence, and educational
leadership in science and technology situated in Talisay City, Negros Occidental with three (3)
satellite campuses in Brgy. Alijis, Bacolod City, Fortune Town, Bacolod City, and the
Municipality of Binalbagan. CHMSC offers higher technological, professional, and vocational
education and training in science, agriculture and industrial fields, as well as short-term or
vocational courses to the people of Negros Occidental.

Since its establishment in 1983 by virtue of Batas Pambansa Blg. 477, CHMSC remains to
grow and develop into a leading green institution in higher and continuing education committed
to engage in quality instruction, development-oriented research, sustainable lucrative economic
enterprise, and responsive extension and training services through relevant academic programs to
empower a region that responds effectively to challenges in life and acts as catalyst in the holistic
development of a humane province, parallel to their mission and vision. CHMSC has become an
institution looked up to in the province in the fields of Science, Technology, and Livelihood. As
one of only two (2) state colleges in Negros Occidental, CHMSC has also provided quality and
relevant education to many Negrenses and has greatly contributed in the improvement of quality
of life in the province.

Consistent with the constitutional mandate of the State to protect and promote the right of
all citizens to quality education at all levels and take appropriate steps to make such education
accessible to all, this Bill seeks to bring educational opportunities to underprivileged but deserving
Negros Occidental students unable to pay for the quality but expensive education and costs of
living in private institutions in the province, neighboring provinces, and our country’s capital city
by converting CHMSC including all its satellite campuses into a state university. These
representations believe that in view of the history, current status, achievements, and strategic
location of the CHMSC, it has eared its merits to be converted into a state university and be of


further service to the people of Negros Occidental not just through quality education, but also
accessible education.

{As such, passage of this Bill is eamestly sought.

REP. GREG G. GASATAYA REP/ AL! ‘DO B/ BENITEZ
Lone District of Bacolod Negros Oecidental,!3 District

REP. ALEJXNDRO Y. MIRASOL
Negros Accidental, 5" District


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

SEVENTEENTH CONGRESS
Second Regular Session

House Bill No. 7081

Introduced by: REP. GREG G. GASATAYA
REP. ALFREDO “ALBEE” B. BENITEZ
REP. ALEJANDRO Y. MIRASOL

AN ACT
CONVERTING THE CARLOS HILADO MEMORIAL STATE COLLEGE IN THE
CITY OF TALISAY, NEGROS OCCIDENTAL ALL ITS SATELLITE CAMPUSES
LOCATED IN THE CITIES OF TALISAY AND BACOLOD AND IN THE
MUNICIPALITY OF BINALBAGAN, ALL IN THE PROVINCE OF NEGROS
OCCIDENTAL, INTO A STATE UNIVERSITY TO BE KNOWN AS THE CARLOS
HILADO MEMORIAL STATE UNIVERSITY, AND APPROPRIATING FUNDS
THEREFOR

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:

SECTION 1. Conversion. — The Carlos Hilado Memorial State College in the City
of Talisay, Province of Negros Occidental, including all of its existing satellite campuses,
namely: Alijis Campus in Barangay Alijis, Bacolod City, Fortune Towne Campus in
Barangay Estefania, Bacolod City, and Binalbagan Campus in the Muinicipality of
Binalbagan, all located in the Province of Negros Occidental, is hereby converted into a
state university to be known as the Carlos Hilado Memorial State University, Province of
Negros Occidental. Its main campus shall be in Talisay City.

SEC. 2. General Mandate. — The Carlos Hilado Memorial State University,
hereinafter referred to as the University, shall primarily provide advance education, higher
technological, professional instruction and training in the fields of education, agricultural
technology, agri-business management, business administration, industrial technology, arts
and sciences, health sciences, information technology, engineering and other relevant fields
of study. It shall also undertake research, extension services, and provide progressive
leadership in its areas of specialization.

SEC. 3. Academic Freedom and Institutional Autonomy. ~ The University shall
enjoy academic freedom and institutional autonomy, pursuant to Paragraph 2, Section 5 of
Article XIV of the Philippine Constitution.

SEC. 4. Curricular Offerings. ~ The University shall offer undergraduate,
graduate and post-graduate programs and short-term courses in the fields of agriculture and
environment studies, pure and applied sciences, behavioral and social sciences, law, culture
and arts, tourism and business-related programs, nautical and maritime programs, industrial


2

technology and engineering, education and teacher training, communication and
information technology, health-related programs, developmental management and
leadership programs, agricultural technology, agri-business management, business
administration, health sciences and other degree courses within its areas of specialization
and according to its capabilities, as the Board of Regents may deem necessary to carry out
its objectives, particularly in meeting the needs of the Province of Negros Occidental and
Region VI.

The University may operate a reasonably-sized laboratory school under its College
of Education.

SEC. 5. Administration. — The University shall have the general powers of a
corporation set forth in Batas Pambansa Blg. 68, as amended, otherwise known as the
“Corporation Code of the Philippines.” The administration of the University and the
exercise of its corporate powers shall be vested exclusively in the Board of Regents and the
President of the University.

SEC. 6. The Governing Board. ~ The governing body of the University shall be
the Board of Regents, hereinafter referred to as the Board, and shall be composed of the
following:

a. The Chairperson of the Commission on Higher Education (CHED),
Chairperson;

b. The President of the University, Vice-Chairperson;

c. The Chairperson of the Committee on Education, Arts and Culture of the
Senate, member;

d. The Chairperson of the Committee on Higher and Technical Education of the
House of Representatives, member;

e. The Regional Director of the National Economic and Development Authority
(NEDA), member;

f. The Regional Director of the Department of Science and Technology in Region
XI, member;

g. The President of the federation of the faculty associations of the University,
member;

h. The President of the federation of student councils of the University, member;

i, the President of the federation of alumni associations of the University,
member; and

j. Two (2) prominent citizens from the private sector who have distinguished
themselves in their profession or fields of specialization, members.

The Board shall appoint the two (2) prominent citizens from among a list of at least
five (5) qualified persons in the Province of Negros Occidental where the University and its
campuses are located, as recommended by a search committee constituted by the President
of the University, in consultation with the Chairperson of the CHED and the other members
of the Board, based on the standards and qualifications for the position.

The term of office of the President of the federation of faculty associations, the
President of the federation of student councils, and the President of the federation of alumni
associations shall be coterminous with their respective terms of office, as set forth in their
respective constitutions and bylaws.


3

The two (2) prominent citizens shall serve for a term of two (2) years from the date
of appointment.

SEC. 7. Powers and Duties of the Board of Regents. ~ In addition to its general
powers of administration and the powers granted to the Board of Directors of a corporation
under existing laws, the Board shall have the following specific powers and duties:

a. To promulgate and implement policies in accordance with declared State policies
and the provisions of the Philippine Constitution on education, agriculture, science and
technology, as well as the policies, standards and thrusts of the CHED under Republic Act
No. 7722, otherwise known as the “Higher Education Act of 1994”;

b. To promulgate rules and regulations not contrary to law as may be necessary to
carry out the purposes and objectives of the University;

c. To receive and appropriate all sums as may be provided for the support of the
University in the manner it may determine, in its discretion, in order to carry out the
purposes and functions of the University;

d. To import economic, technical and cultural books and publications;

e. To receive, in trust, legacies, gifts and donations of real and personal properties of
all kinds and to administer and dispose of the same when necessary for the benefit of the
University, and subject to the limitations, directions and instructions of the donor, if any;

£. To fix the tuition fees and other necessary school charges, including matriculation
fees, graduation fees and laboratory fees, as the Board may deem proper to impose, after
due consultations with the involved sectors. Such fees and charges, including government
subsidies and other income generated by the University, shall constitute a special trust fund
and shall be deposited in any authorized government depository bank: Provided, That all
interests that shall accrue therefrom shall form part of the same funds for the use of the
University.

Any provision of existing laws, rule or regulation to the contrary notwithstanding,
any income generated by the University from tuition fees and other charges, as well as
from the operation of auxiliary services and land grants, shall be retained by the University,
and may be disbursed by the Board for instruction, research, extension or other programs or
projects of the University: Provided, That all fiduciary fees shall be disbursed for the
specific purposes for which these are collected.

If, for reasons beyond its control, the University shall not be able to pursue any
project for which the funds have been appropriated and allocated under its approved
program of expenditures, the Board may authorize the use of said funds for any reasonable
purpose which, in its discretion, may be necessary and urgent for the attainment of the
objectives and goals of the University.

g. To authorize the construction or repair of its buildings, machinery, equipment and
other facilities, and the purchase and acquisition of real property, including necessary
supplies, materials and equipment;


4

h. To appoint, upon the recommendation of the President of the University, the vice
presidents, deans, directors, heads of campuses, faculty members and other officials and
employees of the University;

i, To fix and adjust the salaries of faculty members and administrative officials and
employees, subject to the provisions of the Revised Compensation and Position
Classification System and other pertinent budget and compensation laws governing the
hours of service, and such other duties and conditions as it may deem proper; to grant
them, at its discretion, leaves of absence under such regulations as it may promulgate, any
provision of existing law to the contrary notwithstanding; and to remove them for cause in
accordance with the requirements of due process of law;

j. To approve the curricula, instructional programs, and rules of discipline drawn by
the Administrative Council and the Academic Council herein provided;

k. To set the policies on admission and graduation of students;

1. To award honorary degrees upon persons in recognition of their outstanding
contribution in the fields of education, public service, arts, science and technology,
agriculture or in any field of specialization within the academic competence of the
University, and to authorize the awarding of certificates of completion of non-degree and
nontraditional courses;

m. To establish and absorb non-chartered tertiary institutions within the Province of
Davao Oriental as branches and centers, in coordination with the CHED and in consultation
with the Department of Budget and Management (DBM), and to offer therein programs or
courses to promote and carry out equal access to educational opportunities, as mandated by
the Constitution;

n. To establish research and extension centers of the University where such will
promote the development of the University;

©. To establish professorial chairs in the University and to provide fellowships for
qualified faculty members, and scholarships to deserving students;

p. To delegate any of its powers and duties provided for hereinabove to the President
or other officials of the University, as it may deem appropriate, so as to expedite the
administration of the affairs of the University;

q. To authorize an external management audit of the University, to be financed by the
CHED, subject to the rules and regulations of the Commission on Audit (COA), and to
institute reforms, including academic and structural changes, on the basis of the audit
results and recommendations;

r. To collaborate with other governing boards of state colleges and universities within
the Province of Negros Occidental or Region VI, under the supervision of the CHED and in
consultation with the DBM, and work towards the restructuring of the University to
become more efficient, relevant, productive and competitive;


s. To enter into joint ventures with business and industry for the profitable
development and management of the economic assets of the University, the proceeds from
which shall be used for the development and strengthening of the University;

t. To develop consortia and other economic forms of linkages with local government
units (LGUs), institutions and agencies, both public and private, local and foreign, in the
furtherance of the purposes and objectives of the University:

u. To develop academic arrangements for institutional capacity building with
appropriate institutions and agencies, public and private, local and foreign, and to appoint
experts or specialists as consultants, part-time, visiting or exchange professors, scholars or
researchers, as the case may be;

v. To adopt modem and innovative modes of transmitting knowledge such as the use
of information technology, the dual training system, open distance learning, and
community laboratory for the promotion of greater access to education;

w. To establish policy guidelines and procedures for participative decision-making and
transparency within the University;

x. To privatize, where most advantageous to the University, the management of non-
academic services such as health, food, building or grounds or property maintenance and
such other similar activities; and

y. To extend the term of the President of the University beyond the age of retirement,
but not beyond the age of seventy (70): Provided, That the President's performance has
been unanimously rated by the Board as outstanding, based on the guidelines,
qualifications and standards it has set, and after unanimous recommendation by the search
committee.

SEC. 8. Meetings of the Board. — The Board shall regularly convene once every
three (3) months. Whenever necessary, the Chairperson of the Board may call, upon three
(3) days’ prior written notice to the members, a maximum of two (2) special meetings
within the same period.

A quorum of the Board shall consist of majority of all its members holding office at
the time of the meeting: Provided, however, That the Chairperson of the Board or the
President of the University is among those present in the meeting.

In case the CHED Chairperson cannot attend a meeting of the Board, a CHED
Commissioner duly designated by the CHED Chairperson as representative to the meeting,
shall have all the rights and responsibilities of a regular member: Provided, however, That
in the said meeting, the President of the University, as vice chairperson, shall be the
presiding officer: Provided, further, That this proviso, notwithstanding, the Chairperson of
the CHED is hereby authorized to designate a CHED Commissioner as the regular
Chairperson of the Board, in which case, the said CHED Commissioner, as the regular
Chairperson of the Board, shall act as the presiding officer.

In case the Chairpersons of the Senate Committee on Education, Arts and Culture
and House Committee on Higher and Technical Education shall not be able to attend the
Board meeting, they may duly designate their respective representatives to attend the


6

meeting, who shall have the same rights and responsibilities as a regular member of the
Board.

The members of the Board shall not receive any salary, but shall be entitled to
reimbursements for actual and necessary expenses incurred, either for their attendance in
the meetings of the Board or in connection with other official business authorized by
resolution of the Board, subject to existing laws and regulations.

SEC. 9. The University President. - The University shall be headed by a
President, who shall render full-time service and who shall be appointed by the Board,
subject to the guidelines, qualifications and standards set by the Board, upon
recommendation of a duly constituted search committee. The University President shall
have a term of four (4) years and shall be eligible for reappointment for another term:
Provided, That in order to effect the smooth transition to a state university, the incumbent
president of the Carlos Hilado Memorial State College, if qualified, shall serve as the first
president of the University.

Within six (6) months before the expiration of the term of office of the incumbent
President of the University, the Board shall constitute the Search Committee for the
Presidency (SCP).

In case of vacancy in the Office of the President by reason of death, compulsory
retirement, resignation, removal for cause or incapacity of the President to perform the
functions of the office, the Board shall designate an Officer-in-Charge (OIC) of the
University within six (6) months from date of vacancy, pending the appointment of a new
President. The successor or the OIC shall serve only for the unexpired portion of the term.

The powers and duties of the President of the University, in addition to those
specifically provided in this Act, shall be those usually pertaining to the Office of the
President of similar universities, and those delegated by the Board.

The salary of the President of the University shall be in accordance with the
Revised Compensation and Position Classification System and shall be comparable to that
being by the presidents of similar educational institutions.

The President of the University shall be assisted by a Vice President for Academic
Affairs and a Vice President for Administration, who shall be appointed by the Board upon
the recommendation of the President of the University.

SEC. 10. The Secretary of the University. — The Board shall appoint a Secretary,
who shall serve as such for both the Board and the University and who shall keep all
records and proceedings of the Board. The Secretary of the University shall serve upon
each member of the Board the appropriate notice of the Board meetings.

SEC. 11. The Treasurer of the University. ~The Treasurer of the Philippines shall
be the ex officio Treasurer of the University.

SEC. 12. The Administrative Council. — There shall be an Administrative Council
consisting of the President of the University as Chairperson, and the vice presidents, deans,
directors and other officials of equal rank as members, whose duties are to review and


7

recommend to the Board policies governing the administration, management and
development planning of the University.

SEC. 13. The Academic Council. — There shall be an Academic Council to be
composed of the President of the University, who shall act as Chairperson, and all
academic staff with the rank of at least an assistant professor, as members.

The Academic Council shall have the power to review and recommend the
curricular offerings and rules of discipline of the University, subject to the approval of the
Board. It shall fix the requirements for the admission of students, as well as for their
graduation and conferment of degrees, subject to review and approval by the Board through
the President of the University. It shall have the disciplinary power over students of the
University and shall formulate academic policies and rules and regulations on discipline,
subject to the approval of the Board.

SEC. 14. The Faculty, — No political belief, gender preference, cultural or
community affiliation or ethnic origin, and religious opinion or affiliation shall be a matter
of inquiry in the appointment of faculty members of the University: Provided, That said
appointment shall be subject to the guidelines, qualifications and standards set by the
Board: Provided, further, That no member of the faculty shall teach for or against any
particular church or religious sect.

SEC. 15. Scholarship Program and Admission. ~The University shall provide a
scholarship program and other affirmative action programs to assist poor but deserving
students who qualify for admission to the University.

No student shall be denied admission to the University by reason of gender,
religion, cultural or community affiliation or ethnic origin.

SEC. 16. Authority to Loan or Transfer Apparatus, Equipment, Supplies and
Detail of Personnel. — The heads of the bureaus and offices of the national government are
hereby authorized to loan or transfer, upon the request of the President of the University,
such apparatus, equipment or supplies as may be needed by the University, and to detail
employees for duty therein when, in the judgment of the head of bureau or office, such
apparatus, equipment, supplies or services of such employees can be spared without serious
detriment to public service.

The employees so detailed shall perform such duties as required of them by the
President of the University, and the time so employed shall be counted as part of their
regular services.

SEC. 17. Assets, Liabilities and Personnel. — All assets, real and personal,
personnel and records of the Carlos Hilado Memorial State College, as well as liabilities or
obligations, are hereby transferred to the University. The positions, rights and security of
tenure of faculty members and personnel therein employed under existing laws prior to the
conversion into a University shall be respected.

Alll parcels of land belonging to the government occupied by the Carlos Hilado
Memorial State College and all its campuses, are hereby declared to be the property of the
University, and shall be titled under that name: Provided, That should the University cease


8

to exist or be abolished or should such aforementioned parcels of land be no longer needed
by the University, the same shall revert to the LGUs concerned.

SEC. 18. Tax Exemption on Importation and Donations. - The importation of
economic, technical and cultural books or publications, which are for economic, technical,
vocational, scientific, philosophical, historical or cultural purposes made by the University
upon certification by the CHED shall be exempt from customs duties in accordance with
the provisions of RA No. 10863 otherwise known as the “Customs Modernization and
Tariff Act”.

All grants, bequests, endowments, donations and contributions made to the
University to be used actually, directly and exclusively by the University shall be exempt
from donor's tax and the same shall be considered as allowable deduction from the gross
income of the donor for purposes of computing the taxable income of the donor in
accordance with the provisions of the National Internal Revenue Code of 1997, as
amended.

SEC. 19. Appropriations. — The amount necessary to carry out the provisions of
this Act shall be charged against the current year’s appropriations for the Carlos Hilado
Memorial State College. Thereafter, such sums as may be necessary for the continued
operation and maintenance of the University shall be included in the annual General
Appropriations Act.

SEC. 20. Development Plan, Management Audit, and Academic Structure. —
Within the period of one hundred twenty (120) days after the approval of this Act, the
University shall accomplish the following:

a. Submit a five (5)-year development plan, including its corresponding
program budget to the CHED, for corresponding recommendation to the DBM;
Undergo a management audit in cooperation with the CHED; and
¢c. Set up its organizational, administrative, as well as academic structure,
including the appointment of key officials of the University.

SEC. 21. Filing of Report. — On or before the fifteenth (15th) day of the second
month after the opening of the regular classes each year, the Board shall file with the Office
of the President of the Philippines, through the Chairperson of the CHED, and with both
Houses of Congress, a detailed report on the progress, conditions and needs of the
University.

SEC. 22. Suppletory Application. — The provisions of RA No. 8292, otherwise
known as the “Higher Education Modernization Act of 1997”, shall be an integral part of
this Act and shall serve as part of the Governing Charter of the University.

SEC. 23. Compliance with CHED Requirements. ~ The provisions of this Act
notwithstanding, the conversion of the institution into a state university shall become
effective only upon the determination and declaration by the CHED, based on the
recommendation of a panel of experts it shall constitute for the purpose, that the institution
has complied with the requirements for a university status based on CHED Memorandum
Order No. 46, series of 2012 (Policy Standards to Enhance Quality Assurance (QA) in
Philippine Higher Education, through the Outcomes-Based and Typology-Based QA):


9

Provided, That the panel may issue such a recommendation when the institution has
substantially complied with the requirements for the grant of university status.

The following operational requirements for a university, as established by the
CHED, shall be complied with:

a. Faculty members who possess relevant degrees in their areas of specialization, as
required by the CHED, and shall have participated in research and development activities
in their respective disciplines, as evidenced by refereed publications and other scholarly
outputs;

b. A comprehensive range of degree programs in all levels, from basic post-
secondary to doctoral programs;

c. Viable research programs in specific (disciplinal and multidisciplinary) areas of
study that produce new knowledge, as evidenced by refereed publications, citations,
inventions, and patents, among others.;

d. Comprehensive learning resources and support structures, to include libraries,
practicum laboratories, relevant educational resources, and linkages with the relevant
disciplinal and professional sectors, to allow students to explore basic, advance, and even
cutting edge knowledge in a wide range of disciplines or professions;

e. Active and ongoing linkages and affiliation with other research institutions in
various parts of the world that would ensure that the research activities of the university are
functioning at current global standards; and

f. Outreach activities that allow the students, faculty, and research staff to apply the
new knowledge they generate to address specific social development problems broadly
defined.

The institution shall retain its status prior to the effectivity of this Act, unless in the
meantime it is able to comply with the requirements provided herein, within a period not
later than January 01, 2021.

. 24. Parity Clause. — All other powers, functions and privileges,
responsibilities and limitations to state universities and their officials under existing laws
shall be deemed granted to or imposed upon the University and its officials whenever
appropriate.

SEC. 25. Implementing Rules and Regulations. ~ Within sixty (60) days from the
effectivity of this Act, the Board, in consultation with the CHED, shall formulate the rules
and regulations to fully implement provisions of this Act.

See. 26. Separability Clause. — If, for any reason, any part or provision of this Act
is declared invalid or unconstitutional, the remaining parts or provisions not affected
thereby shall remain in full force and effect.

SEC. 27. Repealing Clause. — All laws, presidential decrees, executive orders,
rules and regulations contrary to or inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.


10

SEC. 28. Effectivity. — This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation.

Approved,
REP. GREG G. GASATAYA REP. ALFR&DO B. BENITEZ
Lone District of Bacolod Negfos Occidental, 3" District

REP. ALEYAXDRO Y. MIRASOL
Negros/Occidental, 5" District