REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

FIFTEENTH CONGRESS
First Regular Sessi

4286

House Bill No.

Introduced by Kabataan Party-List Representative Raymond V. Palatino

EXPLANATORY NOTE,

It is clearly expressed in our Constitution that the State shall ensure that education,

at all levels, be made accessible to all. Sadly, this constitutional provision, which should
guarantee the people’s right to quality and accessible education, is undercut by the
unabated increase of tuition and other fees in schools, especially in private colleges and
universities.

For instance in 2001, the national average of tuition and other fees in private
higher educational institutions (PHEIs) was P257.41 per unit. The rate has gone up to
P501.22 (94.72%) in 2010. In the National Capital Region (NCR), the average rate of
tuition and other fees in 2001 was P439.59; it has increased to P980.54 (123.06%) in
2010. This means that a college student in the NCR. with a 21-unit load has to produce an
average of P20, 591 per semester. That amount does not include miscellaneous fees

which, in many PHEls, are even higher than the actual tuition.

‘This lamentable condition finds basis in some of the laws and policies which
govern our education system. Salient among them is the the Education Act of 1982 which
States in Section 42 that “private schools shall determine the rate of tuition and other
school fees or charges.” This grants private schools that sole authority to increase tuition
and other fees.

‘Because of the unbridled tuition and other fee increase, private schools have now

been transformed as ripe venues for aggressive profit-making. Many rich and powerfull


businesspeople have already ventured into owning schools, allowing them to rake in
millions yearly. Despite their high earnings, yearly tuition and other fee increases are still
imposed as schools reason out that more money is needed for operation expenses. While
it is true that a number of schools need the increase to prevent them from closing down,
this

increasing tuition and other fees takes place within the context of big school earnings and

remains the e

ception rather than the rule. The fact remains that the process of

the lack of democratized participation from students, parents and other members of the
academic community.

The school process of deciding over tuition and other fee increase does not
normally include the practice of democratic consultation and decision-making process. In
most cast, there are even no tuition consultations held in schools: students and parents
only know of the increases during enrollment or after the school officials have already
closed ranks on the issue. Forgoing tuition consultation processes in schools is warranted
by the implicit rule that the decision of the school owner's is conclusive and executory. In
few cases where a tuition consultation is held, it usually involves only a mere passing
down of the school administration’s decision.

Although the Commission on Higher Education have existing guidelines with
regard to tuition and other fee increase, schools are still able to dodge the jurisdiction of
these educational agencies. It is a sad fact that CHED have fallen short in terms of strictly
ensuring that students, parents and members of the acader

community are able to

exercise their democratic rights to take part in the process of deciding over the

implementation of tuition and other fees.
It is therefore urgent that we create a set of guidelines to ensure the democratic

participation of students, parents and other members

of the academic community in
‘matters related to tuition and other fees including the rate of increases.
and other fees over the years and,the lack of

democratic tuition consultations in schools are clear violations of the Constitution and the

‘The unrelenting increase of tui

democratic rights of the people. The basic premise being that the two common
occurrences in schools have invariably limited the accessibility of education in the
country.

For the State to fulfill its constitutional mandate to ensure that education is


accessible to all, then urgent reforms must be done. That includes amending the
Education Act of 1982, a law which has permitted schools to jack up tuition and other
fees, Also, a mechanism for the strict regulation of the yearly increase of tuition and other
fees must be institutionalized.

As is always said, one of the major functions of education is to arm our people
ith relevant life-skills to make their life better and purposeful. This function is hindered

by the fact that the business sector is rapaciously devouring the education sector. It is,

indeed, high time to reclaim education as an accessible service for the the development of

our people and of our nation.

It is along along these lines that the immediate approval of this bill is sought.

Adopted,

HON. RAYMOND V. PALATINO:
Represenfative, Kabataan Party-list


REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
‘Quezon City, Metro Manila

FIFTEENTH CONGRESS
First Regular Session

4286

House Bill No.

Introduced by Kabataan Party-List Representative Raymond V, Palatino

AN ACT
REGULATING THE TUITION AND OTHER FEES OF PRIVATE HIGHER
EDUCATIONAL INSTITUTIONS (PHEIs), THEREBY AMENDING BATAS
PAMBANSA 232, AS AMENDED, CREATING A TUITION CONSULTATION
AND DECISION-MAKING PROCESS, AND FOR OTHER PURPOSES

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

SECTION 1. Short Title. — This Act shall be known as the “Tuition and Other Fees

Regulation Act.”

SECTION 2. Declaration of Policy. ~ The State shall protect and promote the right of all
citizens to quality and accessible education at all levels. Further, the State is mandated to

well-being.

protect and promote the youth’s physical, moral, spiritual, intellectual and s
In this view, the following are hereby declared as the objectives of this Act:
(@) To ensure the access by all citizens to quality education by regulating the tuition and
other fees, including the rate of increases, in private colleges and universities
nationwide.
(b) To ensure that a democratic consultation and decision-making process with regard
to tuition and other fees and the rate of increases are strictly followed,
(©) To affirm that the power and jurisdiction of the Commission on Higher Education

over private colleges and universities nationwide.


SECTION 3. Definition of Terms. —as used in this Act, the following terms shall mean:

(a) “Private Higher Educational Institutions” — shall refer to any school, college,
university, company or corporation authorized by the state to grant tertiary level of
education, either formal or informal; technical or non-technical; vocational or non-
vocational; and whose subsistence relies significantly in tuition and other fees.
Private colleges and universities and Private Higher Educational Institutions are
used in this Act interchangeably.

(b) “Tuition” — shall refer to the school charges for the subjects or course enrolled in by
a pupil or student, as indicated in the respective prospectuses, colleges and
universities, which may either be on a term or yearly basis or per unit or units.

(©) “Other school fees” — shall refer to miscellaneous fees charged by private colleges
and universities as embodied in their respective prospectuses, bulletins of
information, or catalogues, which are collected and earmarked for certain specified
purposes pursuant to existing laws, rules and regulations. Other school fees, other
fees, and miscellaneous fees are used in this Act interchangeably.

(@) “Student” — shall refer to any person enrolled in private colleges and universities
including those enrolled in vocational and technical education.

(©) “School” ~ shall refer to any private higher educational institution including the
administrators or officials of the institution.

(©) “Parent” — shall refer to any person who has custody of a student enrolled in a
private higher educational institution.

(g) “Faculty” ~ shall refer to any person hired by a school to conduct teaching and
training to students.

(h) “Non-teaching personnel” — shall refer to any person hired by a school to perform
duties outside that of teaching.

(i) “Consultation” — shall refer to the the process by which students, parents, faculty
and non-teaching personnel decide over the approval and apportioning of tuition and
other fees and the rate of increases.

SECTION 4. Tuition and other fees. — All tuition and other fees, including the rate of


increases, shall be subjected to a democratic consultation and decision-making process with
the participation and approval of the students, parents, teachers and non-teaching personnel.
The democratic consultation and decision-making process shall also grant power to the
students, parents, teachers and non-teaching personnel to decide over how tuition and other
fees, including the increases, are apportioned.

In the event that only incoming freshmen are proposed to pay the increase in tuition and
other fees the school shall still have to consult and seek the approval of the students (as
represented by the student council and other equivalent or similar student organization),
parents (as represented by the parents association or other equivalent or similar parents
organization), teachers (as represented by the faculty union or other equivalent or similar
teacher’s organization), and non-teaching staff (as represented by the worker's union or
other equivalent or similar worker’s organization).

SECTION 5. Amendments to Sec. 42 of BP 232. — Section 42 of Batas Pambansa Bilang
232 (BP 232), other known as the “Education Act of 1982” is hereby amended to read as

follows:

Sec, 42. Tuition and Other Fees. - TUITION AND OTHER SCHOOL FEES MAY BE
CHARGED BY PRIVATE SCHOOLS SUBJECT TO THE RULES AND
REGULATIONS OF THE DEPARTMENT OF EDUCATION, THE COMMISSION,
ON HIGHER EDUCATION AND THE TECHNICAL EDUCATION AND SKILLS
DEVELOPMENT AUTHORITY. AS REGARDS TO PRIVATE HIGHER
EDUCATIONAL INSTITUTIONS, THE FOLLOWING ADDITIONAL.
REGULATIONS SHALL APPLY:

(1) TUITION AND OTHER FEES — EACH PRIVATE COLLEGE OR
UNIVERSITY SHALL BE ALLOWED TO IMPOSE AND APPORTION TUITION
AND OTHER FEE INCREASE UPON THE APPROVAL OF STUDENTS,
PARENTS, TEACHERS AND NON-TEACHING PERSONNEL THROUGH A.
DEMOCRATIC CONSULTATION AND DECISION-MAKING PROCESS.


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(2) NO INCREASES IN TUITION AND/OR OTHER FEES SHALL BE GRANTED
IN THE ABSENCE OF AN AGREEMENT, MADE THROUGH PUBLIC
CONSULTATION, BETWEEN A SCHOOL’S COMPETENT AUTHORITY AND
ITS STUDENTS, PARENTS, FACULTY AND NON-TEACHING PERSONNEL
EQUALLY REPRESENTED. FURTHERMORE, THERE SHALL BE NO OTHER
SCHOOL FEES WHICH MAY BE REQUIRED ASIDE FROM TUITION AND
OTHER FEES.

(3) THE COMMISSION ON HIGHER EDUCATION SHALL ENSURE THAT A
DEMOCRATIC CONSULTATION AND DECISION-MAKING PROCESS IS.
FOLLOWED IN DETERMINING THE RATES AND CHARGES ADOPTED BY
PRIVATE COLLEGES AND UNIVERSITIES PURSUANT TO THIS PROVISION.

SECTION 6. Amendments to Sec. 68 of BP 232. — Sections 68 of BP 232 is hereby
amended to read as follows:

See. 68. Penalty Clause. — Any school and/or person upon conviction for an act in
violation of Section 28, Chapter 3, Title III above OR SECTION 42, CHAPTER 5
TITLE B OF THIS ACT, shall be punished with a fine of not less than ONE MILLION
PESOS (P1,000,000.00) nor more than FIVE MILLION PESOS (P5,000,000.00) or
imprisonment OF NOT MORE THAN SIX (6) YEARS, or both, in the discretion of

the court.

SCHOOL VIOLATORS SHALL ALSO BE AUTOMATICALLY BARRED FROM
PROPOSING ANY INCREASE IN TUITION AND OTHER FEES FOR THREE (3)
CONSECUTIVE YEARS FROM THE DATE OF CONVICTION.

MISREPRESENTATION OR MISDECLARATION OF ASSETS, INCOMES AND
LIABILITIES SHALL BE PRIMA FACIE EVIDENCE AS VIOLATING SECTION
42, CHAPTER 5, TITLE B OF THIS ACT


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SECTION 7. Tuition Consultation Process. ~ \t is hereby created a set of guidelines
schools with proposed tuition and other fees must follow.

(1) The school shall effectively inform the students, parents, teachers and non-teaching
personnel of the the proposed tuition and other fee increase and the place and date
of the consultation at least 30 days before the consultation proper.

2) All tuition consultations shall be made before February 28.

(3) The school shall make easily available at least 30 days before the consultation all
pertinent documents including, but not be limited to, financial reports including a
comprehensive report of the incremental proceeds of the the preceding year’s
increase, administrative reports and the school's position paper for the perusal of the
students, parents, faculty, and non-teaching personnel.

(4) The school shall allow gatherings and activities of student, parents, faculty and non
teaching personnel in preparation for the consultation.

(8) The school shall furnish the students, parents, faculty and non-teaching personnel
copies of the suggested flow and agenda of the tuition consultation which the
concerned parties may amend to include proposals not limited to review, refund and
scrapping of existing fees.

(© The facilitating body of the consultation shall be composed of one (1) representative
from the school, students, parents, faculty and non-teaching personnel.

(7) The consultation shall be opened to all concemed students, parents, faculty and non
teaching personnel.

(8) The school publication shall be allowed to cover and report the consultation
proceedings.

(9) The school, students, parents, faculty and non-teaching personnel shall agree on the
rate of tuition increase based on a consensus.

(0)In the event that no consensus is made, the previous rate of tuition and other fees
shall apply.

SECTION 8. Repealing Clause. — All laws, presidential decrees, executive orders, rules
and regulations or parts thereof which are inconsistent with the provisions of this Act are


hereby repealed or modified accordingly.
SECTION 9. Separability Clause. — If any part or provision of this Act shall be held
unconstitutional or invalid, other provisions hereof which are not affected shall continue to

be in full force and effect.

SECTION 10. Affectivity.—This Act shall take effect fifteen (15) days after its publication
in two (2) national newspapers of general circulation..

Adopted,