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

TWENTIETH CONGRESS
First Regular Session

37

HOUSE BILL NO.

Introduced by Representative Jaime R. Fresnedi

EXPLANATORY NOTE

This proposed measure seeks to enhance the delivery of early childhood care and
development (ECCD) and basic education services at the local level. It expands the
membership of, and introduces new mandates to, local school boards, which are being
proposed to be renamed into local education boards (LEBs), to further capacitate local
government units (LGUs) to address ECCD and basic education concerns in their respective
jurisdictions. The bill also expands the use of the Special Education Fund (SEF) to ensure
that LGUs have greater flexibility for its efficient and effective utilization

According to the Second Congressional Commission on Education (EDCOM II)
disparities in Special Education Fund (SEF) income across local government units (LGUs)
have led to significant inequities in access to resources. The EDCOM Year One Report
highlighted that municipalities receive only 4% of the SEF income that cities and provinces
do, and first-class municipalities earn 68 times more than sixth-class ones. This inequality
severely limits the ability of lower-income LGUs to fund essential education programs.
Alongside that, SEF underutilization has been a persistent issue, with an estimated P15
billion unspent in 2022 alone, particularly in cities where 57% of available SEF funds remain
unused.

Cognizant of these findings, the bill also contains provisions on how the preparation
of the budget of LEBs shall be undertaken to ensure that these are based on relevant data in
order to efficiently and effectively address ECCD and basic education concerns at the local
level. Another significant feature of this proposed measure are provisions to ensure that LEBs
shall be able to perform their functions efficiently and effectively and that the SEF is properly
utilized through the development of a manual of operations for LEBs and manual on the
utilization of the SEF.

‘The bill envisions to create a more responsive and equitable education system in the
country by strengthening local governance. This is in recognition of the critical role of LGUs
in the delivery of education. By empowering them with the necessary tools, funding and
authority, they will be able to make significant improvements in their respective jurisdictions.

In view of the foregoing, the immediate passage of this bill is eamestly sought

J ESNEDI
Representative
Lone District, Muntinlupa City


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

TWENTIETH CONGRESS
First Regular Session

HOUSE BILL NO._37

Introduced by Rep. Jaime R. Fresnedi

AN ACT
TO ENHANCE THE DELIVERY OF EARLY CHILDHOOD CARE AND
DEVELOPMENT (ECCD) AND BASIC EDUCATION SERVICES AT THE LOCAL
LEVEL

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

SECTION 1. Title Four of Republic Act No. 7160 or the “Local Government Code of
1991”, as amended, is hereby further amended to read as “TITLE FOUR. — LOCAL
[SCHOOL] EDUCATION BOARDS”.

Sec. 2. Section 98 of the same law is hereby amended to read as follows:
“SECTION 98. Creation, Composition and Compensation. —

(a) There shall be established in every province, city or municipality a provincial, city
or municipal [school] EDUCATION board, respectively.

(b) The composition [school] EDUCATION boards shall be as follows:

(1) The provincial school board shall be composed of the [g]Governor and the
division superintendent of schools as co-{chairman;|CHAIRPERSONS the
chairman of the education committee of the sangguniang panlalawigan, the
provincial treasurer, the representative of the “pederasyon ng mga
sangguniang kabataan” in the sangguniang panlalawigan, the duly elected
president of the provincial federation of parents-teachers associations, the
duly elected representative of the teachers’ organizations in the province, and
the duly elected representative of the non-academic personnel of public
schools in the province,] AND THE FOLLOWING as members;


v

. CHAIRMAN OF THE EDUCATION COMMITTEE OF THE

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SANGGUNIANG PANLALAWIGAN;

PROVINCIAL TREASURER;

REPRESENTATIVE OF THE “PEDERASYON NG MGA
SANGGUNIANG KABATAAN” IN THE SANGGUNIANG
PANLALAWIGAN;

DULY ELECTED PRESIDENT OF THE PROVINCIAL
FEDERATION OF PARENTS-TEACHERS ASSOCIATIONS;

DULY ELECTED REPRESENTATIVE OF THE TEACHERS’
ORGANIZATIONS IN THE PROVINCE;

. DULY ELECTED REPRESENTATIVE OF THE NON-

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ACADEMIC PERSONNEL OF PUBLIC SCHOOLS IN THE
PROVINCE;

REPRESENTATIVE FOR EARLY CHILDHOOD CARE AND
DEVELOPMENT (ECCD) IN THE PERSON OF PROVINCIAL
SOCIAL WELFARE AND DEVELOPMENT OFFICER OR THE
DESIGNATED ECCD FOCAL PERSON IN THE LGU;

} DIVISON ALTERNATIVE LEARNING SYSTEM (ALS)

REPRSENTATIVE; AND

). ONE (1) REPRESENTATIVE EACH FROM THE FOLLOWING

ADDITIONAL SECTORS, DETERMINED JOINTLY BY THE
CO-CHAIRS FROM A SHORTLIST IDENTIFIED THROUGH
PUBLIC NOMINATIONS:

a, A REPRESENTAT! FROM PRIVATE EDUCATION
COMING FROM A _ LOCAL ASSOCIATION OR
ORGANIZATION OF PRIVATE SCHOOLS WITHIN THE
TERRITORIAL JURISDICTION OF THE LOCAL
GOVERNMENT;

bo A REPRESENTATIVE OF PERSONS WITH
DISABILITIES;

«. A REPRESENTATIVE OF PRIVATE
INDUSTRY/BUSINESS;


d. A REPRESENTATIVE OF ACCREDITED NON-
GOVERNMENTAL OR CIVIL SOCIETY
ORGANIZATIONS; AND

e. A REPRESENTATIVE FROM THE YOUTH SECTOR

WITH THE PROVINCIAL BUDGET OFFICER AND THE PROVINCIAL
PLANNING AND DEVELOPMENT OFFICER AS RESOURCE PERSONS.

(2) The city [school] EDUCATION board shall be composed of the City Mayor
and the [city] SCHOOLS DIVISION Superintendent [of schools] as [co
chairmen;] AS CO-CHAIRPERSONS |the chairman of the education
committee of the sangguniang panlungsod, the city treasurer, the
representative of the “pederasyon ng mga sangguniang kabataan” in the
sangguniang panlungsod, the duly elected president of the city federation of
parents-teachers associations, the duly elected representative of the teachers”
organizations in the city, and the duly elected representative of the non-
academic personnel of public schools in the city, AND THE FOLLOWING
as members[;]=

1. CHAIRPERSON OF THE EDUCATION COMMITTEE OF THE
SANGGUINANG PANLUNGSOD;

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. CITY TREASURER;

3. REPRESENTATIVE OF THE PEDERASYON NG MGA
SANGGUNIANG KABATAAN IN THE SANGGUNIANG
PANLUNGSOD;

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DULY ELECTED PRESIDENT OF THE CITY FEDERATION
OF PARENTS-TEACHERS ASSOCIATIONS;

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DULY ELECTED REPRESENTATIVE OF THE TEACHERS’
ORGANIZATIONS IN THE CITY;

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DULY ELECTED REPRESENTATIVE OF THE NON-
ACADEMIC PERSONNEL OF PUBLIC SCHOOLS IN THE
city;

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REPRESENTATIVE FOR ECCD IN THE PERSON OF THE
CITY SOCIAL WELFARE AND DEVELOPMENT OFFICER
OR THE DESIGNATED ECCD FOCAL PERSON IN THE LGU;

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DIVISION ALS REPRESENTATIVE, AS MEMBER; AND

3


9. ONE REPRESENTATIVE EACH FROM THE FOLLOWING
ADDITIONAL SECTORS, DETERMINED JOINTLY BY THE
CO-CHAIRS FROM A SHORTLIST IDENTIFIED THROUGH
PUBLIC NOMINATIONS:

a, A REPRESENTATIVE FROM PRIVATE EDUCATION
COMING FROM A LOCAL ASSOCIATION OR
ORGANIZATION OF PRIVATE SCHOOLS WITHIN THE
TERRITORIAL JURISDICTION OF THE LOCAL
GOVERNMENT;

b. A REPRESENTATIVE OF PERSONS WITH
DISABILITIES;

aA REPRESENTATIVE OF PRIVATE
INDUSTRY/BUSINESS;

d.A REPRESENTATIVE OF ACCREDITED NON-
GOVERNMENTAL OR CIVIL SOCIETY
ORGANIZATIONS; AND

e. A REPRESENTATIVE FROM THE YOUTH SECTOR.

WITH THE CITY BUDGET OFFICER AND THE CITY PLANNING AND
DEVELOPMENT OFFICER AS RESOURCE PERSONS; AND

The municipal school board shall be composed of the municipal mayor and the district
supervisor of schools as co-chairmen; the chairman of the education committee of the
sangguniang bayan, the municipal treasurer, the representative of the “pederasyon ng mga
sangguniang kabataan” in the sangguniang bayan, the duly elected president of the municipal
federation of parent-teacher associations, the duly elected representative of the teachers”
organizations in the municipality, and the duly elected representative of the non-academic
personnel of public schools in the municipality, as members.

(3) The municipal [school] EDUCATION board shall be composed of the
Municipal Mayor and the District Supervisor of Schools as [co-chairmen]
CO-CHAIRPERSONS|; the chairman of the education committee of the
sangguniang bayan, the municipal treasurer, the representative of the
“pederasyon ng mga sangguniang kabataan” in the sangguniang bayan, the
duly elected president of the municipal federation of parent-teacher
associations, the duly elected representative of the teachers’ organizations in
the municipality, and the duly elected representative of the non-academic
personnel of public schools in the municipality,] AND THE FOLLOWING
as members|. |:


. THE CHAIRMAN OF THE EDUCATION COMMITTEE OF

THE SANGGUNIANG BAYAN;

THE MUNICIPAL TREASURER;

. THE REPRESENTATIVE OF THE “PEDERASYON NG MGA

SANGGUNIANG BABATAAN” IN THE SANGGUNIANG
BAYAN;

|. THE DULY ELECTED PRESIDENT OF THE MUNICIPAL

FEDERATION OF PARENT-TEACHER ASSOCIATIONS;

THE DULY ELECTED REPRESENTATIVE OF THE
TEACHERS’ ORGANIZATIONS IN THE MUNICIPALITY;

THE DULY ELECTED REPRESENTATIVE OF THE NON-
ACADEMIC PERSONNEL OF PUBLIC SCHOOLS IN THE
MUNICIPALITY;

THE REPRESENTATIVE FOR ECCD IN THE PERSON OF
THE MUNICIPAL SOCIAL WELFARE AND DEVELOPMENT
OFFICER OF THE DESIGNATED ECCD FOCAL PERSON IN
THE LGU;

THE DIVISON ALSO REPRESENTATIVE; AND

ONE REPRESENTATIVE EACH FROM THE FOLLOWING
ADDITIONAL SECTORS, DETERMINED JOINTLY BY THE
CO-CHAIRS FROM A SHORTLIST IDENTIFIED THROUGH
PUBLIC NOMINATIONS:

a, A REPRESENTATIVE FROM PRIVATE EDUCATION
COMING FROM A LOCAL ASSOCIATION OR
ORGANIZATION OF PRIVATE SCHOOLS WITHIN THE
TERRITORIAL JURISDICTION OF THE LOCAL
GOVERNMENT;

bo A REPRESENTATIVE OF PERSONS WITH
DISABILITIES;

. A REPRESENTATIVE OF PRIVATE
INDUSTRY/BUSINESS;

d. A REPRESENTATIVE OF ACCREDITED NON-
GOVERNMENTAL OR CIVIL SOCIETY

ORGANIZATIONS; AND


e. A REPRESENTATIVE FROM THE YOUTH SECTOR.

WITH THE PROVINCIAL BUDGET OFFICER AND THE
CITY PLANNING AND DEVELOPMENT OFFICER AS
RESOURCE PERSONS.

(©) In the event that a province or city has two (2) or more school superintendents and
in the event that a municipality has two (2) or more district supervisors, ALL
SUCH SCHOOL SUPERINTENDENTS AND DISTRICT SUPERVISORS
SHALL SERVE AS MEMBERS | [the co-chairman] of the local [school]
EDUCATION board; PROVIDED, THAT ONE (1) SCHOOL
SUPERINTENDENT OR DISTRICT SUPERVISOR SHALL SERVE AS
THE CO-CHAIR ALONGSIDE THE LOCAL CHIEF EXECUTIVE,
WHILE THE REMAINING SCHOOL SUPERINTENDENTS OR
DISTRICT SUPERVISORS SHALL SERVE AS THE VICE-CHAIRS;
PROVIDED, FURTHER THAT THE POSITION OF CO-CHAIR FOR
SCHOOL SUPERINTENDENTS AND DISTRICT SUPERVISORS SHALL
ROTATE REGULARLY AND EQUITABLY, AS DETERMINED BY THE
RULES TO BE ESTABLISHED BY THE LOCAL EDUCATION BOARD.
[shall be determined as follows:]

1, [The Department of Education, Culture and Sports shall designate the co-
chairman for the provincial and city school boards; and]

2. [The division superintendent of schools shall designate the district supervisor
who shall serve as co-chairman of the municipal school board.]

(d) xxx

Sec. 3. A new section to be designated as Section 98-B shall be inserted after Section
98 of the same law which shall read as follows:

“SECTION 98-B. CREATION OF THE LOCAL EDUCATION OFFICE. —
THERE IS HEREBY CONSTITUTED AN ORGANIZATIONAL UNIT
FOR EACH PROVINCE, CITY AND MUNICIPALITY. THIS UNIT
SHALL SERVE AS THE PRINCIPAL OFFICE OF THE LOCAL
GOVERNMENT UNIT RESPONSIBLE FOR IMPLEMENTING AND
OVERSEEING THE IMPLEMENTATION OF ALL EDUCATION-
RELATED PROGRAMS, PROJECTS AND ACTIVITIES WITHIN ITS
TERRITORIAL JURISDICTION, WITH PARTICULAR FOCUS ON
ECCD, BASIC EDUCATION, HIGHER EDUCATION AND
TECHNNICAL AND VOCATIONAL EDUCATION AND TRAINING
(TVET).

THE LOCAL EDUCATION OFFICE SHALL BE HEADED BY A LOCAL
EDUCATION OFFICER, WHO SHALL CONCURRENTLY SERVE AS
THE HEAD OF THE SECRETARIAT FOR THE LOCAL EDUCATION

6


BOARD. IT SHALL ALSO FUNCTION AS THE SECRETARIAT OF THE
LOCAL EDUCATION BOARD, PROVIDING ADMINISTRATIVE AND
TECHNICAL SUPPORT TO FACILITATE THE EFFICIENT AND
EFFECTIVE OPERATION OF THE LOCAL EDUCATION BOARD.

THE ORGANIZATIONAL STRUCTURE AND STAFFING PATTERN OF
THE LOCAL EDUCATION OFFICE SHALL BE DESIGNED AND
IMPLEMENTED WITH DUE CONSIDERATION OF THE SERVICE
REQUIREMENTS AND FINANCIAL CAPABILITY OF THE
PROVINCE, CITY OR MUNICIPALITY, SUBJECT TO THE MINIMUM
STANDARDS AND GUIDELINES PRESCRIBED BY THE CIVIL
SERVICE COMMISSION (CSC) AND THE DEPARTMENT OF BUDGET
AND MANAGEMENT (DBM).”

Sec. 4. Section 99 of the same law is hereby amended to read as follows:

“Section 99. Functions of Local [School] EDUCATION Boards. — The
provincial, city or municipal [school] EDUCATION board shall:

(a) Determine [, in accordance with the criteria set by the Department of
Education, Culture and Sports} the annual supplementary budgetary needs
for the FOLLOWING:

. Operation and maintenance of public schools within the province, city, or
municipality, as the case may be, and the supplementary local cost of
meeting such needs {, which shall be reflected in the form of an annual
school board budget corresponding to its share of the proceeds of the
special levy on real property constituting the Special Education Fund and
such other sources of revenue as this Code and other laws or ordinances
may provide]; AND

»

ECCD PROGRAMS AND INITIATIVES;

THESE SHALL BE REFLECTED IN THE FORM OF AN ANNUAL
SCHOOL BOARD BUDGET CORRESPONDING TO ITS SHARE
OF THE PROCEEDS OF THE SPECIAL LEVY ON REAL
PROPERTY CONSTITUTING THE SPECIAL EDUCATION FUND
AND SUCH OTHER SOURCES OF REVENUE AS THIS CODE
AND OTHER LAWS OR ORDINANCES MAY PROVIDE;

ASSESS AND MONITOR THE IMPLEMENTATION OF EDUCATION
PROGRAMS IDENTIFIED AS THE LOCALITY’S PRIORITIES BASED
ON LEARNING NEEDS AND OUTCOMES AT THE LOCAL LEVEL;

(B) RECOMMEND EDUCATION REFORMS TO THE SANGGUNIAN
FOR THE ENACTMENT OF NECESSARY ORDINANCES AND TO

7


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(E)

®)

THE DEPARTMENT OF EDUCATION FOR COUNTERPART
ISSUANCES;

PROPOSE ALLOCATION OF RESOURCES AND INTRODUCE
INTERVENTIONS FOR THE ESTABLISHMENT OF CHILD
DEVELOPMENT CENTERS AND SUPPORT TO SPECIAL NEEDS
EDUCATION, ALTERNATIVE LEARNING SYSTEM (ALS) AND
PARENT EFFECTIVENESS SERVICE PROGRAM;

PROVIDE THE SANGGUNIAN AND OTHER OFFICES RELEVANT
INFORMATION AND DATA ON EDUCATION WHICH SHALL
INCLUDE, BUT NOT BE LIMITED TO, THE FOLLOWING:

I. PARTICIPATION RATES OF STUDENTS;

Il. NUMBER OF DROP-OUTS AS WELL AS OUT-OF-SCHOOL
YOUTHS;

Ill, ACHIEVEMENT SCORES AS MEASURED BY NATIONAL.
TESTS OR ASSESSMENT TOOLS AND OTHER
STANDARDIZED TEST SCORES; AND

IV. STATUS OF PROVISION OF RESOURCES TO SCHOOLS
COMPARED AGAINST DEPED MINIMUM SERVICE
STANDARDS AND OTHER RESOURCES (SUCH AS THE
NUMBER OF SCHOOLS WITH PRINCIPALS, MATCHING
OF TEACHER SPECIALIZATION AND THEIR ASSIGNED
TEACHING LOAD AND OTHER PERTINENT AND
RELATED DATA);

ORGANIZE EDUCATION SUMMITS AT LEAST ONCE A YEAR TO
REPORT TO THE COMMUNITY THE PROGRESS IN THE
IMPLEMENTATION OF ITS EDUCATION REFORMS, PROGRAMS
AND INTERVENTIONS AND CONSULT COMMUNITY MEMBERS:
ON ISSUES IN ECCD AND BASIC EDUCATION TO FURTHER
GUIDE ITS PRIORITIZATION IN THE ALLOCATION OF THE
SPECIAL EDUCATION FUND;

IDENTIFY WEAKNESSES, IRREGULARITIES AND SHORTAGES
IN THE DELIVERY OF EDUCATION SERVICES AND INTRODUCE
TIMELY, ORGANIZED AND LOCALIZED INTERVENTIONS IN
ECCD AND BASIC EDUCATIONS ESPECIALLY DURING TIMES
OF CALAMITIES, DISASTERS, EMERGENCIES, CATASTOPHES


AND OTHER SIMILAR CAUSES, THAT MAY DISRUPT THE
REGULAR SCHOOL CALENDAR AND ACTIVITES;

(G) STRATEGICALLY ALLOCATE THE SPECIAL EDUCATION FUND

AND OTHER SOURCES OF REVENUE AS THIS CODE AND OTHER
LAWS OR ORDINANCES MAY PROVIDE IN A PARTICIPATORY
AND TRANSPARENT MANNER AS PRESCRIBED UNDER
SECTION 100(B) OF THIS CODE, AND COORDINATE BUDGETARY
REQUIREMENTS THAT COULD NOT BE COVERED IN THE
CURRENT YEAR’S SPECIAL EDUCATION FUND BUDGET WITH
THE LOCAL DEVELOPMENT COUNCIL;

(H) PROPOSE MECHANISMS TO ENSURE THAT PUBLIC AND

a

(0)

PRIVATE SCHOOLS WITHIN TERRITORIAL JURISDICTION OF
ITS COMPLEMENT EACH OTHER IN TERMS OF PROMOTING
ACCESS TO STUDENTS, ALLOCATION OF RESOURCES,
IMPLEMENTATION OF EXISTING GOVERNMENT SUBSIDY
PROGRAMS FOR STUDENTS AND TEACHERS AND PROMOTE
JOINT ACTIVITIES, SHARING OF RESOURCES,
COLLABORATION AND COOPERATION ON LOCAL EDUCATION
PROGRAMS;

[b] Authorize the Provincial, City or Municipal Treasurer, as the case may be,
to disburse funds from the Special Education Fund pursuant to the budget
prepared and in accordance with existing rules and regulations;

Ic] Serve as an advisory committee to the Sanggunian concerned on
educational matters such as, but not limited to, the necessity for and the uses
of local appropriations for educational purposes; {and]

(K) COORDINATE THE IMPLEMENTATION OF THE ALSO

PROGRAM WITH DEPED AT THE CITY OR MUNICIPAL LEVEL,
INCLUDING THE IDENTIFICATION OF PRIORITY ALSO
PROGRAMS, ESTABLISHMENT, OPERATION AND
MAINTENANCE OF ALSO COMMUNITY LEARNING CENTERS,
PROVISION OF TECHNICAL ASSISTANCE TO ALS TEACHERS,
PROGRAM MONITORING AND EVALUATION INCLUDING
PARALLEL ASSESMENTS AND COORDINATION WITH
GOVERNMENT AND NON-GOVERNMENT PARTNERS FOR POST-
PROGRAM SUPPORT ACTIVITIES;

(L) [4] Recommend changes in the names of public schools within the territorial

jurisdiction of the local government unit for enactment by the sanggunian
concerned{.]


(M) FOR MUNICIPAL AND CITY SCHOOL BOARDS, EXPLORE AND
RECOMMEND, AT THE BARANGAY AND SCHOOL LEVELS,
PROGRAMS AND INTERVENTIONS TO _ FACILITATE
COLLABORATIVE ACTION AND DEVELOP PARTNERSHIPS
‘WITH COMMUNITY STAKEHOLDERS IN ORDER TO MAKE THE
DELIVERY OF ECCD AND BASIC EDUCATION SERVICES AND
THE HOLISTIC EDUCATION AND DEVELOPMENT OF
LEARNERS A SHARED RESPONSIBILITY;

(N) PROMOTE EFFICIENCY AND SYNERGY WITH HEALTH
SERVICES, SOCIAL SERVICES AND OTHER INTERVENTIONS AT
THE LOCAL LEVEL THAT IMPACT EDUCATION OUTCOMES,
PROVINCIAL EDUCATION BOARDS MAY DEVELOP A
PROVINCIAL ROADMAP FOR EDUCATION IN CONSULTATION
WITH RELEVANT STAKEHOLDERS AND EDUCATION BOARDS
OF COMPONENT CITIES AND MUNICIPALITIES WITHIN ITS
TERRITORIAL JURISDICTION; AND

(O) PERFORM SUCH OTHER FUNCTIONS ANALOGOUS TO THE
FOREGOING.

The [Department of Education, Culture and Sports] DEPED shall consult the local
school board on the appointment of division superintendents, district supervisors, school
principals, and other school officials.

Sec. 5. Section 100 of the same law is hereby amended to read as follows:
“SECTION 100. Meetings and Quorum; Budget. ~

(a) The local [school EDUCATION board shall meet at least once a month or as
often as may be necessary,

(b) Any of the co-chair[men]PERSONS may call a meeting. A majority of all its
members shall constitute a quorum. However, when both co-
chair[men]PERSONS are present in a meeting, the local chief executive
concemed, as a matter of protocol, shall be given preference to preside over
the meeting. The [division superintendent, city superintendent or district
supervisor, as the case may be] LOCAL EDUCATION BOARD shall
prepare [the] ITS budget [of the school board concerned. [Such budget shall
be supported by programs, projects, and activities of the schoo! board for the
ensuring fiscal year. The affirmative vote of the majority of all the members
shall be necessary to approve the budget] AS FOLLOWS:

10


THE LOCAL TREASURER AND THE LOCAL ACCOUNTANT
SHALL SUBMIT TO THE LOCAL EDUCATION BOARD A
CERTIFIED STATEMENT OF THE ACTUAL INCOME AND
EXPENDITURES OF THE SPECIAL EDUCATION FUND IN THE
PRECEDING FISCAL YEAR, THE ACTUAL INCOME AND
EXPENDITURES IN THE FIRST TWO QUARTERS OF THE
CURRENT YEAR, THE ESTIMATED INCOME FOR THE LAST
TWO QUARTERS OF THE CURRENT YEAR AND THE
ESTIMATE OF THE SPECIAL EDUCATION FUND INCOME
FOR THE INCOMING BUDGET YEAR BY AUGUST 15; AND

THE LOCAL EDUCATION BOARD SHALL ENSURE THAT:

A. THE NEEDS IN BASIC EDUCATION AS WELL AS THAT
OF CHILDREN AGED 0 TO 8 AND OUT-OF-SCHOOL
CHILDREN IN SPECIAL CASES ARE INCLUDED IN THE
BUDGET, WITH PRIORITY GIVEN TO ECCD
BUDGETARY REQUIREMENTS, WHICH INCLUDE
SERVICES AND INTERVENTIONS, FOR THE FIRST 1,000
DAYS OF LIFE AS WELL AS THE SUPPLEMENTARY
FEEDING PROGRAM FOR  UNDERNOURISHED
CHILDREN AGED THREE TO FIVE, IN RECOGNITION
OF THE OUTSIZED INFLUENCE OF INTEVENTIONS IN
THE EARLY YEARS ON CHILDREN’S FUTURE LIFE
OUTCOMES;

B. THAT PRIORITIES ACROSS ECCD AND BASIC
EDUCATION ARE DETERMINED BASED ON NEEDS
AND ISSUES IDENTIFIED THROUGH ANALYSIS OF
DATA AND IN CONSONANCE WITH THE LOCAL
NUTRITION ACTION PLAN, IMPROVEMENT PLANS OF
ALS, ECCD AND SCHOOLS, THE COMPREHENSIVE
DEVELOPMENT PLAN (CDP), THE PROVINCIAL
DEVELOPMENT AND PHYSICAL FRAMEWORK PLAN
(PDPFP), THE LOCAL DEVELOPMENT AND
INVESTMENT PLAN (LDIP) AND OTHER RELATED
PLANS PREPARED AT THE LOCAL LEVEL; AND

C. THAT THE PROPOSAL MUST HAVE UNDERGONE
CONSULTATIONS WITH KEY LOCAL EDUCATION
STAKEHOLDERS AND THOROUGHLY DELIBERATED
BY THE BOARD.

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3. THE LOCAL EDUCATION BOARD SHALL REVIEW THE
BUDGET PROPOSAL AND APPROVE THE SAME BY THE
AFFIRMATIVE VOTE OF THE MAJORITY OF ALL ITS
MEMBERS. THE REVIEW AND APPROVAL OF THE
MUNICIPAL OR CITY SPECIAL EDUCATION FUND BUDGET
FOR THE INCOMING BUDGET YEAR SHALL NOT BE LATER
THAN OCTOBER 21 OF THE CURRENT YEAR. ANY
UNFUNDED PROPOSALS SHALL BE SUBMITTED BY THE
MUNICIPAL EDUCATION BOARD TO THE PROVINCIAL
EDUCATION BOARD FOR CONSIDERATION. THE
PROVINCIAL EDUCATION BOARD SHALL REVIEW THE
UNFUNDED PROPOSALS FROM MUNICIPAL EDUCATION
BOARDS NO LATER THAN NOVEMBER 30 OF THE CURRENT
YEAR.

4. THE ALLOCATION OF SPECIAL EDUCATION FUND AT THE
PROVINCIAL LEVEL SHALL BE EQUITABLY AND
STRATEGICALLY ALLOCATED, THROUGH:

A. ORGANIZING CONSULTATIONS WITH THE
EDUCATION BOARD REPRESENTATIVES OF
MUNICIPALITIES AND COMPONENT CITIES WITHIN
THE TERRITORIAL JURISDICTION OF THE
PROVINCE;

B. AUGMENTING THE BUDGETARY REQUIREMENTS
THAT COULD NOT BE COVERED BY MUNICIPAL SEF
BUDGETS;

C. GIVING PRIORITY TO THE NEEDS OF FOURTH AND
FIFTH INCOME CLASS MUNICIPALITIES, AND/OR
DEPED IDENTIFIED PRIORITIES, IF ANY; AND

D. CONSULTING WITH THE LOCAL DEVELOPMENT
COUNCILS ON OTHER FUND SOURCES FOR
EDUCATION INVESTMENTS THAT COULD NOT BE
COVERED BY THE SEF.

5. THE REVIEW AND APPROVAL OF THE CITY AND
PROVINCIAL SPECIAL EDUCATION FUND BUDGETS FOR
THE INCOMING BUDGET YEAR SHALL NOT BE LATER
THAN DECEMBER 31,

[(©) The annual school board budget shall give priority to the following:


(1) Construction, repair, and maintenance of school buildings and other
facilities of public elementary and secondary schools;

(2) Establishment and maintenance of extension classes where necessary;
and

(3) Sports activities at the division, district, municipal, and barangay
levels]

Sec. 6. New sections to be designated as Section 100 (A), (B), (C), (D) and (E) shall be
inserted after Section 100 which shall read as follows:

“SEC. 100-A. TRANSPARENCY IN OPERATIONS AND UTILIZATION
OF THE SEF. TO INSTITUTIONALIZE GREATER TRANSPARENCY IN.
ITS OPERATIONS AND UTILIZATION OF THE SEF, EVERY LOCAL
EDUCATION BOARD IS HEREBY MANDATED TO HAVE A
TRANSPARENCY BOARD AND ENSURE THE TIMELY SUBMISSION
TO THE FULL DISCLOSURE POLICY PORTAL OF ALL REPORTS ON
THE FOLLOWING INFORMATION DURING THE BUDGET YEAR:

(A) THE FUNDS AND OTHER RESOURCES THAT SCHOOLS
RECEIVE FROM THE DEPED BUDGET;

(B) THE ACTUAL SEF COLLECTIONS AND ITS UTILIZATION
DURING THE BUDGET YEAR;

(C) A QUARTERLY REPORT OF REALIZD SEF INCOME,
EXPENDITURES AND BALANCES NOT LATER THAN ONE
MONTH AFTER THE REFERENCE QUARTER;

(D) THE ACTUAL SEF INCOME AND EXPENDITURES IN THE
PRECEDING FISCAL YEAR AND ACTUAL INCOME AND
EXPENDITURES OF THE FIRST TWO QUARTERS OF THE
CURRENT YEAR;

(E) THE AMOUNT OF RESOURCES THAT INDIVIDUAL SCHOOLS
RECEIVE UNDER THE GENERAL APPROPRIATIONS ACT,
INCLUDING SCHOOL-LEVEL MAINTENANCE AND OTHER
OPERATING EXPENSES DOWNLOADED TO SCHOOLS;

(F) SCHEDULE OF CONSTRUCTION OF CLASSROOMS BY
SCHOOL UNDER THE SCHOOL BUILDING PROGRAM; AND

(G) INDICATORS OF SCHOOL PERFORMANCE BY GRADE LEVEL
INCLUDING NATIONAL ACHIEVEMENT TEST (NAT) RESULTS,
OTHER STANDARDIZED TEST SCORES, PARTICIPATION
RATES OF STUDENTS, DROP-OUT RATES, COHORT SURVIVAL
RATES AND OTHER RELEVANT MEASURES OF
PERFORMANCE ON THE QUALITY OF EDUCATION.

13


SEC. 100-B. MANUAL ON THE FUNCTIONS OF LOCAL SCHOOL
BOARDS AND SEF UTILIZATION. - THE DEPARTMENT OF THE
INTERIOR AND LOCAL GOVERNMENT (DILG), THE DEPED, THE
DEPARTMENT OF SOCIAL WELAFRE AND DEVELOPMENT (DSWD),
PHILIPPINE STATISTICS AUTHORITY (PSA) AND THE UNION OF
LOCAL AUTHORITIES OF THE PHILIPPINES (ULAP) SHALL
DEVELOP A MANUAL TO GUIDE THE ALLOCATION AND
UTILIZATION OF THE SEF AND THE EFFICIENT FUNCTIONING OF
THE SCHOOL BOARD. THE MANUAL SHALL ALSO INCLUDE,
AMONG OTHERS, THE SEF EXPENDITURES THAT ARE ALLOWABLE
OR NOT, THE BUDGET CALENDAR, THE TRANSPARENCY
MECHANISMS AND THE EFFECTIVE PROCESSES FOR THE
OPERATION OF THE SCHOOL BOARD. THE MANUAL SHALL BE
FORMUALTED AND RELEASED TO THE SCHOOL BOARDS NOT
LATER THAN SIXTY (60) DAYS AFTER THE PROMULGATION OF THE
IMPLEMENTING RULES AND REGULATIONS OF THIS ACT.

SEC. 100-C. INCENTIVES FOR COOPERATIVE UNDERTAKINGS
THAT PROMOTE EQUITY. ~ CONSISTENT WITH SECTION 33 OF THIS
CODE, THE DILG SHALL DEVELOP INCENTIVES FOR
COOPERATIVE UNDERTAKING UNDERTAKEN BY LOCAL
GOVERNMENT UNITS TO AUGMENT THE RESOURCES OF FOURTH
AND FIFTH INCOME CLASS MUNICIPALITIES IN THE PROVISION OF
EDUCATION PROGRAMS AND SERVICES.

SEC. 100-D. SUPPORT FROM NATIONAL GOVERNMENT
AGENCIES. - CONSISTENT WITH THE OPERATIVE PRINCIPLE OF
IMPROVED COORDINATION OF NATIONAL GOVERNMENT
POLICIES TO LESS DEVELOPED AND DESERVING LOCAL
GOVERNMENT UNITS PROVIDED UNDER SECTION 3(K) OF THIS
CODE AND THE PRINCIPLE OF SHARED GOVERNANCE PROVIDED
UNDER SECTION 5 OF RA 9155, THE DEPED, THE ECCD COUNCIL,
THE DSWD, THE DOH AND THE DEPARTMENT OF BUDGET AND
MANAGEMENT (DBM) AND OTHER RELATED AGENCIES ARE
HEREBY MANDATED TO EXTEND THE NECESSARY RESOURCES
AND TECHNICAL SUPPORT TO LOCAL EDUCATION BOARDS AND
LOCAL GOVERNMENTS OF FOURTH AND FIFTH INCOME CLASS
MUNICIPALITIES TO ENSURE EQUITABLE ACCESS TO QUALITY
SERVICES IN ECCD AND ALS, PARTICULARLY IN THE PROVISION
OF RESOURCE-INTENSIVE BUT CRITICAL INPUTS SUCH AS THE
HIRING OF CHILD DEVELOPMENT WORKERS AND TEAHCERS AND.
THE ESTABLISHMENT OF CHILD DEVELOPMENT CENTERS.

SEC, 100-E. MONITORING AND OVERSIGHT. - TO STRENGHTEN
MONITORING AND OVERSIGHT IN THE UTILIZATION OF THE SEF,
THE BUREAU OF LOCAL GOVERNMENT FINANCE (BLGF) SHALL:

(A) REGULARLY MONITOR AND ASSESS THE EFFICIENCY OF
LOCAL EDUCATION BOARDS IN UTILIZING THE SPECIAL
EDUCATION FUND;

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(B) IN COORDINATION WITH THE DILG, CAUSE THE CONDUCT
OF MANAGEMENT AUDIT, EVALUATION OR SUCH ACTION AS
MAY BE NECESSARY TO RECTIFY THE PERFORMANCE OF
EDUCATION BOARDS THAT RECORDED LOW UTILIZATION
OF THEIR SEF BUDGET IN THE PRECEDING YEAR;

(C) SUBMIT AN ANNUAL REPORT ON THE STATUS OF THE
FUND’S UTILIZATION TO THE ECCD COUNCIL, THE
DEPARTMENT OF EDUCATION, THE DEPARTMENT OF
INTERIOR AND LOCAL GOVERNMENT, OTHER RELEVANT
AGENCIES AND BOTH HOUSES OF CONGRESS; AND

(D) PERIODICALLY HOLD CONSULTATIONS WITH RELEVANT
STAKEHOLDERS AND REVIEW ITS SYSTEMS TO ENSURE
THAT ACTIONABLE DATA ON THE SEF IS COLLECTED.

THE COUNCIL OF GOOD LOCAL GOVERNANCE SHALL:

(A) DEVELOP FUNCTIONAL INDICATORS TO GAUGE THE
PERFORMANCE OF LOCAL EDUCATION BOARDS IN
CONSULTATION WITH THE ECCD COUNCIL, THE DEPED AND
OTHER RELEVANT STAKEHOLDERS;

(B) REGULARLY MONITOR AND ASSESS THE PERFORMANCE OF
LOCAL EDUCATION BOARDS IN CARRYING OUT ITS
FUNCTIONS PROVIDED UNDER EXISTING LAWS THROUGH
THE DILG; AND

(C) ADDRESS REPEATED LOW PERFORMANCE OF IDENTIFIED
LOCAL EDUCATION BOARDS BY DEVELOPING
INTERVENTIONS AND CORRECTIVE MEASURES TO BE
IMPLEMENTING BY ITS MEMBER AGENCIES.

Sec. 6. Section 272 of the same law is hereby amended to read as follows:

“Section 272. Application of Proceeds of the Additional One Percent SEF Tax. —
The proceeds from the additional one percent (1%) tax on real property accruing to
the Special Education Fund (SEF) shall be automatically released to the local school
boards: Provided, That, in case of provinces, the proceeds shall be divided equally
between the provincial and municipal school boards: Provided, however, That the
proceeds shall be allocated for the [operation and maintenance of public schools,
construction and repair of school buildings, facilities and equipment, educational
research, purchase of books and periodicals, and sports development as determined
and approved by the local schoo! board.| FOLLOWING:

(A) SALARIES OR WAGES OF SEF-PAID TEACHERS ASSIGNED TO
PUBLIC ELEMENTARY AND SECONDARY SCHOOLS;

(B) PAYMENT FOR TEACHING AS WELL AS TECHNICAL AND
ADMINISTRATIVE SUPPORT SERVICES PROVIDED BY

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PERSONNEL IN SCHOOLS AND COMMUNITY LEARNING
CENTERS, INCLUDING ALLOWANCES AND OTHER BENEFITS
THAT MAY BE PROVIDED IN ACCORDANCE WITH EXISTID
CIVIL SERVICE LAWS AND GUIDELINES;

(C) SALARIES AND OF CHILD DEVELOPMENT WORKERS AND
TEACHERS, CAPITAL OUTLAY FOR CHILD DEVELOPMENT
CENTERS AND EXPENDITURES FOR DIRECT SERVICES
RELATED TO THE IMPLEMENTATION OF THE ECCD
PROGRAM THROUGH PUBLIC AND PRIVATE PROVIDERS AS
WELL AS ALTERNATIVE DELIVERY MODES IDENTIFIED IN
EXISTING LAWS AND ISSUANCES;

(D) CONSTRUCTION, REPAIR AND MAINTENANCE OF PUBLIC
ELEMENTARY AND SECONDARY SCHOOL BUILDINGS,
EQUIPMENT AND OTHER FACILITIES INCLUDING
WORKSHOPS, LABORATORIES, SCHOOL FENCES, SCHOOL
TOILETS AND SCHOOL FURNITURE, IN INSTANCES WHERE
SUCH NEEDS ARE BEYOND THE COVERAGE OF EXISTING
SCHOOL MAINTENANCE AND OTHER OPERATING EXPENSES
(MOOE) BUDGET AND OTHER FUND SUPPORT ALLOCATED
BY DEPED;

(E) ACQUISITION OR PROCUREMENT OF BOOKS,
INSTRUCTIONAL OR LEARNING MATERIALS AND
INFORMATION AND COMMUNICATIONS TECHNOLOCY
PACKAGES;

(F) EDUCATIONAL RESEARCH;

(G) EDUCATION SUMMITS, COMMUNITY TOWNHALL
MEETINGS, DISCUSSIONS AND CONSULTATIONS ON
INFORMATION, ISSUES AND CONCERNS RELATED TO
EDUCATION:

(H) COMMUNITY MAPPING OF DATA RELATED TO EDUCATION;

(1) OPERATION AND MAINTENANCE OF ALS PROGRAMS
WITHIN THE CITY OR MUNICIPALITY AND THE
SUPPLEMENTARY LOCAL COST OF IMPLEMENTING SUCH
PROGRAMS, INCLUDING BUT NOT LIMITED TO THE HIRING
AND PAYMENT OF SALARIES OF ADDITIONAL ALS
TEACHERS WITHIN THE LGU’S AREA OF JURISDICTION;

(J) FORMULATION AND IMPLEMENTATION OF LOCALLY
ORIENTED NON-FORMAL AND DISTANCE EDUCATION
CLASSES AND TRAINING PROGRAMS AND OTHER
SIMILARLY RELATED PROGRAMS, PROJECTS AND
ACTIVITES;

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(K) ESTABLISHMENT AND MAINTENANCE OF EXTENSION OR
REMEDIAL CLASSES WHERE NECESSARY;

(L) HONORARIA AND ALLOWANCES FOR TEACHERS AND
OTHER NON-TEACHING SCHOOL PERSONNEL, WHETHER
NATIONALLY OR LOCALLY COMPENSATED, TO BE GIVEN IN
ADDITION TO THEIR SALARIES FOR ADDITIONAL SERVICES
RENDERED OUTSIDE OF REGULAR SCHOOL HOURS;

(M)SCHOOL SPORTS ACTIVITIES, YOUTH FORMATION AND
LEADERSHIP DEVELOPMENT PROGRAMS INVOLVING
LEARNERS IN BOTH PUBLIC AND PRIVATE SCHOOLS AND
OTHER CO-CURRICULAR ACTIVITES;

(N) PROVISION OF SCHOOL UNIFORMS AND OTHER ESSENTIAL
SUPPLIES SUCH AS BAGS AND SCHOOL SHOES; AND

(O) MAINTENANCE AND OTHER OPERATING EXPENSES OF THE
LOCAL SCHOOL BOARD, INCLUDING SUPPLIES, MATERIALS,
EQUIPMENT AND RELATED EXPENSES;

IN THE EVENT OF A NATIONWIDE DECLARED EMERGENCY OR
WHEN THE EXECUTIVE DEPARTMENT DEEMS IT NECESSARY,
THE DEPED, IN COORDINATION WITH THE RESPECTIVE LOCAL
GOVERNMENT UNITS, UPON SHOWING THE NECESSITY AND
UPON APPROVAL OF THE LOCAL EDUCATION BOARD, MAY LEVY
FUNDS FROM THE SEF FOR THE PREEMPTIVE OR RESPONSIVE
MEASURES INCLUDING, BUT NOT LIMITED TO, THE ITEMS
LISTED ABOVE AND ALL OTHER PURPOSES NECESSARY FOR THE
PROPER IMLEMENTATION OF THE PREEMPTIVE AND
RESPONSIVE PROGRAMS OF THE DEPED FOR THE DURATION OF
THE PUBLICLY DELCARED EMERGENCY OR UNTIL THE
EXECUTIVE DEPARTMENT AND DEPED MAY DEEM NECESSARY.

THE DEPED SHALL REPORT TO THE LOCAL EDUCATION BOARD
AS TO THE USE AND DISBURSEMENT OF THE LEVIED FUNDS, AS
OFTEN AS MAY BE REQUIRED BY THE LOCAL EDUCATION
BOARD.”

Sec. 7. Implementing Rules and Regulations. - The Department of the Interior and Local

Government and the Department of Education shall promulgate the necessary rules and

regulations to implement this Act not later than ninety (90) days after its effectivity.

Sec. 8. Transitory Provision. — All existing local school boards established pursuant to

the provisions of RA No. 7160, as amended, shall continue to operate pursuant to, and shall be

covered by, the provisions of this Act and its IRR.

Sec. 9. Separability Clause. — Should any provision or part of this Act be declared invalid
or unconstitutional, the remaining parts not affected shall remain in full force and effect.

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Sec. 10. Repealing Clause. - All laws, executive orders, presidential decrees,
administrative orders, rules and regulations, issuances, or parts thereof inconsistent with or
contrary to the provisions of this Act are hereby repealed or amended accordingly.

Sec. 11. Effectivity. — Notwithstanding the non-issuance of the IRR, this Act shall take
effect fifteen (15) days after its publication in the Official Gazette or in a newspaper of general
circulation.

Approved,

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