REPRESENTATIVES
RECEIVED

Republic of the Philippines ba7tO 2 AUG 2016

HOUSE OF REPRESENTATIVES aac: 3D)
Quezon City By
Seventeenth Congress
v8 ej REGISTIMITON UNIT
First Regular Session BILLS AND thorn oe
HOUSE BILL NO. 2313 :

Introduced by Honorable Evelina G. Escudero

EXPLANATORY NOTE

Article XIV Section 1 of the 1987 Constitution mandates the State to protect
and promote the right of all citizens to quality education at all levels and shall take
appropriate steps to make such education accessible to all. Moreover, Section 2(3)
provides that, the State shall establish and maintain a system of scholarship grants,
student loan programs, subsidies and other incentives which shall be available to
deserving students in both public and private schools, especially to the
underprivileged.

Due to high market prices of basic commodities, families earning a minimum
wage, with more than one child enrolled in higher or technical education institutions,
are not able to afford their children’s daily expenses, aside from their family’s daily
basic needs.

This bill seeks to relieve these families from financial stress and encourage
the students in continuing their education by at least providing the students
discounts for basic services and educational services.

In view of the foregoing reasons, immediate approval of this measure is

earnestly sought. usd

EVELINA G. ESCUDERO
Representative
First District, Sorsogon


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

17TH CONGRESS.
First Regular Session

HOUSE BILL no.e34 3

Introduced by REP. EVELINA G. ESCUDERO

AN ACT
GRANTING DISCOUNTS ON BASIC AND EDUCATIONAL SERVICES TO
UNDERPRIVILEGED HIGHER AND TECHNICAL EDUCATION STUDENTS

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 “Underprivileged Higher and
Technical Education Students’ Discounts Act.”

SEC. 2. Declaration of Policy. It is the policy of the State to prioritize quality education and
take appropriate steps to make such education accessible to all.

SEC. 3. Definition of Terms. As used in this Act:

a. Basic Services - refer to basic necessities such as food for snacks and meals, and
medicines;

b. Discounts - refer to an amount deducted or counted off from the cost of goods under
basic services and educational services;

c. Educational Services - refer to education-related expenditures such as books and school
supplies; and

d. Underprivileged Higher and Technical Education Students - refer to Filipino students
enrolled in Bachelor's Degree Programs at the college level and post-secondary non-
degree technical-vocational courses, respectively, including beneficiaries of the
Conditional Cash Transfer or Pantawid Pamilyang Pilipino Program (4Ps) and other
poverty reduction programs of the Department of Social Welfare and Development
(DSWD), whose parents have a gross annual income of not more than one hundred
thousand pesos (P100,000,00), subject to review by the National Economic and
Development Authority (NEDA) every three (3) years. These also include Filipino
students who opt to take part-time jobs to subsidize their education and whose income
combined with the annual gross income of their parents do not exceed one hundred
thousand pesos (P 100,000.00). subject to review by the NEDA every three (3) years.



SEC. 4. Discounts for Underprivileged Higher and Technical Education Students
underprivileged higher and technical education students shall be entitled to discounts on the
following:

a. food establishments. — A five percent (5%) discount shall be granted by food
establishments such as food chains, canteens and restaurants anywhere in the country;

b. medicines. ~ A five percent (5%) discount shall be granted by pharmacies or drug stores
anywhere in the country; and

©. textbooks and school supplies. — A five percent (5%) discount shall be granted by
establishments anywhere in the country that sell reference books for technical-
vocational education and training and college and school supplies.

SEC. 5. Limitations. The discounts granted to an underprivileged higher and technical
ation student under this Act shall be discontinued under the following circumstances:

a. if the student fails for one (1) semester in the majority of the academic subjects enrolled
in during the course of study under a degree program or if the student fails in the non-
degree certificate/diploma course enrolled in, unless such failure is due to some valid
cause beyond the student's control, as determined by the Commission on Higher
Education or the Technical Education and Skills Development Authority;

b. ifthe student fails to finish the short-term non-degree course enrolled in;
¢. if the student stops schooling; and
d. ifthe student is convicted of any crime,

SEC. 6. Roles of the Commission on Higher Education (CHED) and the Technical
Education and Skills Development Authority (TESDA). The Commission on Higher Education
(CHED) and the Technical Education and Skills Development Authority (TESDA) shall determine
the qualified higher and technical education student-beneficiaries under this Act and shall perform
the following additional functions:

a. to plan, implement and monitor yearly work programs, evaluate and submit annual
reports in pursuance of the objectives of this Act;

b. to screen applicants, receive documentary proof, and identify who are the eligible
underprivileged higher and technical education students based on the provisions of this
Act;

©. to closely coordinate with the NEDA in determining the income brackets of Filipino
families for the purpose of identifying underprivileged higher and technical education
students;

d. to closely coordinate with the DSWD as to its poverty reduction programs, which can be
used as additional reference on the identification of potential beneficiaries for the
discount;


e. to issue identification cards which shall be valid anywhere in the country as proof of the
eligibility of the underprivileged higher and technical education students to avail
themselves of the discounts;

£ to maintain and regularly update, on a quarterly basis, the list of underprivileged higher
and technical education students who avail themselves of the discounts and to review,
evaluate and assess their academic standing;

g. to cancel the identification cards issued for those disqualified under Section 5 of this
Act;

h. to provide information to the affected establishments under Section 4 of this Act for any
questions regarding the eligibility of any underprivileged tertiary education students
claiming the discounts through the CHED or TESDA website;

i, to monitor the extent of implementation of this Act and to coordinate with the concemed
agencies regarding the imposition of penalties on violators of this Act; and

j. to perform such other functions as may be determined by the CHED Chairperson or the
TESDA Director-General.

SEC. 7. Tax Incentives. Discounts granted by establishments to underprivileged higher and
technical students under this Act shall be treated as allowable deduction from the gross income in
the computation of the income tax, in accordance with the provisions of the National Internal
Revenue Code of 1997, as amended.

EC. 8. Penalties, The first violation of any provision of this Act shall cause the suspension
of the license to operate or the business permit of the establishment or person concerned for not less
than one (1) week but not more than four (4) weeks and a fine of not less than twenty thousand
pesos (P20,000.00) but not more than fifty thousand pesos (P50,000.00).

The second violation of any provision of this Act shall cause the suspension of the license to
operate or the business permit of the establishment or the person concerned for not less than four
(4) weeks and a fine of not less than fifty thousand pesos (P50,000.00), but not exceeding two
hundred fifty thousand pesos (P250,000.00): Provided, however, That the procedure of notice and
hearing shall have been complied with prior to the imposition of the said penalties.

If the offender is a corporation, organization or any similar entity, the officers thereof shall
suffer the same penalty imposed on any person found violating this Act.

SEC. 9. Implementing Rules and Regulations, Within sixty (60) days upon the effectivity of
this Act, the CHED and TESDA, in coordination with the NEDA, the Department of Social
Welfare and Development (DSWD), the Department of Health (DOH), the Department of Trade
and Industry (DTI), Department of Finance (DOF), and other agencies concerned with
establishments or businesses which may be affected by this Act, shall issue the implementing rules
and regulations to carry out the objectives of this Act

SEC. 10. Enforcement. Pursuant hereto, the DTI, DOH, and local government units (LGUs),
in coordination with the CHED and TESDA, shall have the mandate to implement the provisions of
this Act. After filing of an appropriate complaint, and after due notice and hearing, the proper
authorities may also cause the cancellation or revocation of the business permit, permit to operate,



franchise and other similar privileges granted to any business entity that fails to abide by the
provisions of this Act.

SI 11, Separability Clause. If any provision or part thereof is held invalid or
unconstitutional, the other sections or provisions thereof shall not be affected thereby and shall
remain in force and effect.

SEC. 12. Repealing Clause. All laws, executive orders, decrees, instructions, rules and
regulations contrary to or inconsistent with any provision of this Act are hereby amended, repealed
or modified accordingly.

13. Effectivity. ‘This Act shall take effect fifteen (15) days after its publication inthe
Official Gazette or in a newspaper of general circulation,

Approved,