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... : 
Republic of the Philippines 
SENATE OF THE PHILIPPINES 
Pasay City 
SIXTEENTH CONGRESS 
First Regular Session 
, "sa 
S. B. NO.--.t 
'13 
,JUL-1 
Introduced by Senator JUAN EDGARDO "SONNY" M. ANGARA 
EXPLANATORY NOTE 
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Studies show that for every 100 children who enter elemen~ary school in the Philippines 
only 69 of them reach Grade 6, only 48 of them complete their high school education (now 
Grade 10 under the K-n program), and only 18 finish their collegE' education. The highest rate 
of school dropouts is in the poorest regions in the Philippines - like Bicolandia and Eastern 
Visayas - which contributes to the lack of economic development if' these regions.' 
The number of enrollees in the Philippine public schools has been constantly increasing 
over the years because more and more Filipino families cannot afford the tuition in private 
schools. The public school system has been unable to cope with the surge in student 
populations, resulting in many public schools becoming too congeE.i:ed and no longer conducive 
to student learning. Worse, some public schools are no longer ablE' to accommodate additional 
students because they lack classrooms, desks and textbooks. Thfl problem of classroom and 
desk backlog in public schools is aggravated by the annual increase in the budgetary needs of 
public schools. 
In 1998, the expansion of Republic Act No. 6728, otherwisf) known as the Government 
Assistance to Students and Teachers in Private Education (GASTPE) Act, gave many poor 
students the opportunity to avail of quality education in private s':'hools by providing financial 
assistance to private schools through tuition fee supplements and the education service 
contracting scheme. The law also introduced a more efficient m«nner of tuition fee payment 
through the voucher system. 
There is a need to enhance the Expanded GASTPE law ,0 make it responsive to th1 
needs of poor students and public and private schools. This requires an improvement of the 
existing system and an increase in the amount of assistance to stu(]ents-grantees. 
Over the years, the GASTPE financial assistance to students has fallen far below the 
government's per capita cost in the public schools. Hence, there fB an urgent need to increase 
the amount of financial assistance to poor students in order to ;'educe their burden of high 
education cost in the secondary and tertiary levels. 
With this amendatory bill, we can improve the voucher .;upport system provided to 
secondary and tertiary students whose incomes are below the poverty line and cannot be 
accommodated by public educational institutions due to lack of fa,~ilities.this way, more poor 
Filipinos will have access to higher education, which was denied them in the past. For the 
abovementioned reasons, the approval of this bill is earnestly urged. 
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SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
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S. B. No. 199 
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!{lU,:. "NIl" j;-n'crtlt"lll' 
'13: JUL -1 P 4 :35 
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Introduced by S~nator JUAN EDGARDO "SONNY" M. ~NGARA 
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AN ACT 
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FURTHER AMENDING REPUBLIC ACT NO. 6728. AS AI\JIENDED. OTHERWISE 
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KNOWN AS THE "EXPANDED GOVERNMENT ASSISTANCE TO STUDENTS AND 
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TEACHERS IN PRIVATE EDUCATION ACT" TOPfi~OVIDE FOR AN 
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EXPANDED VOUCHER IN SECONDARY AND TERTIARY EDUCATION, 
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APPROPRIATING FUNDS THEREFOR AND FOR b'~'HER PURPOSES 
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Be it enacted by the Senate and House of Representatives pf the Philippines in 
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Congress assembled: 
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SECTION 1. Section 3 of Republic Act 6728, as amended by Repuplic Act No. 8545 and 
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other laws, otherwise known as the "Expanded Government At;sistan'be to Students and 
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Teacher in Private Education Act," is hereby amended to read as follows' 
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"SECTION 3. Criteria for Assistance. -
The programs for assistance shall be based on 
a set of criteria which shall include, among others, tuition f,ees charged by the schools. 
the socioeconomic needs of each region giving priority to~he FIF,TH (5th) AND SIXTH 
(6th) CLASS MUNICIPALITIES, overall performance of the PRIVATE schools, the 
academic qualifications and the financial needs of the studC1nts and the teachers and the 
financial STATUS of the PRIVATE schools, as well 
,~s the RATIO OF PUBLIC 
SCHOOLS TO PRIVATE SCHOOLS IN THE AREA and I£ize of student population IN 
THE PUBLIC SCHOOLS IN THE AREA. 
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In addition to the foregoing criteria, within such reasonable"time as the respective State 
Assistance. Council may determine, student grantees ,~lder ttte Privatb Education 
Student Financial Assistance Program shall be enroll,id in 
~chools which have 
accredited programs or are applying for accreditation as· may b'e recognized by the 
respective State Assistance Council, 
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Preference shall be given to stUdents whose annual incomi:; is BELOW THE POVERTY 
THRESHOLD INCOME AS MAY BE DETERMINED BY THE APPROPRIATE 
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GOVERNMENT AGENCY, or such amounts as may be f~etermined by the respective 
councils, as defined hereinafter. 
For purposes of this Act, programs of assistance to stud,",nts and teachers of private 
post-secondary vocational and technical institutions and higher educational institutions 
shall likewise be extended to students and teachers of ctlmmunity colleges in degree 
and non-degree programs. Implementation of the program shall encourage students to' 
undergo post-secondary vocational and technical and higfler education courses in the 
same region where their families reside. 
The programs of assistance under this Act shall be extent:ied onl~ to students who are 
citizens of the Philippines.! 
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The State Assistance Council, jointly with the Departmeili of Education, Culture and 
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Sports (DECS), the CHED and the TESDA shall formulate measurement standards for 
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the evaluation of the quality of courses as well as the standirlg and .status of the recipient 
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institutions. 
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Within five (5) years from the approval of this Act, the nssistanpe shall be given to 
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schools: Provided, That the present allocation of the tuitio~, fee and other income of the 
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schools shall be used at the same proportion and aliocatiOll';':tS provided by law." 
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SECTION 2. Section 4 of Republic Act 6728, as amended b~Republrc Act No. 8545 and, 
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other laws, otherwise known as the "Expanded Government A\;sistance to Students and 
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Teacher in Private Education Act," is hereby amended to read at; follows: 
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"SECTION 4. Forms of Assistance. -
Assistance to privi!te education shllil consist of 
assistance to students and teachers. 
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The following are forms of assistance to students in private ;:'ducation: 
(1) 
Tuition fee supplements for students in private high :schools; including students in 
vocational and technical courses; 
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(2) 
High School Textbook Assistance Fund: Provided, (rhat the textbook assistance 
per student in private high schools shall be determ)hed by the council and shall 
not exceed what students in public high schools q~e provided on a per student 
basis under a comprehensive textbook program !if the Seconda~ Education 
Development Program (SEDP): Provided, further, 'rhat the. textbook assistance 
shall be granted only to beneficiaries of tuition fee supplements and educational 
service contracting scheme provided in this Act; 
... 
(3) 
Expansion of the eXisting Educational Service Contr~cting (ESC) Scheme; 
(4) 
EXPANSION OF the EXISTING voucher systerrr of the Private Education 
Student Financial Assistance Program (PESFA);' 
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(5) 
Scholarship grants to students graduating as valc',ijictorians and salutatorians 
from secondary schools; 
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(6) 
Tuition fee supplements to students in private colleg;~s and universities; 
(7) 
Education Loan Fund; AND 
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(8) 
TRANSPORTATION ALLOWANCE. 
The following are forms of assistance to teachers and faculty in private education: 
(1) 
In-service training fund for teachers in private high s~;hOOIS; and 
(2) 
College Faculty Development Fund." 
SECTION 3. Section 5 of Republic Act 6728, as amended 1}'1 Republic Act No. 8545 and 
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other laws, otherwise known as the "Expanded Government Af;Sista'lce to Students and 
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Teacher in Private Education Act," is hereby amended to read ak followS': 
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"SECTION 5. Tuition Fee Supplements for Students in PriJtlte High Schools. 
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(1) Financial Assistance for tuition for students in private hlflh scho'oJs shall be provided 
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by the government through a voucher system in the fOI!~jwing manner: For students. 
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enrolled in schools charging an amount as may be determ)ned by.the State Assistance 
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Council, the government shall provide them with a vouchefi in suer an amount as may 
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be determined by the council: Provided, That the govemment" shall reimburse the 
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vouchers from the schools concerned within one hundreo twenty'(120) days from the 
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close of the registration period; PROVIDED FURTHER;., THAT THE AMOUNT OF 
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TUITION FEE SUPPLEMENT SHALL BE AT LEAST 20%,iOF THE PER CAPITA COST 
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IN PUBLIC HIGH SCHOOLS." 
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(2) 
Assistance under PARAGRAPH (1) shall be gU(ljanteed to all private high 
schools participating in the program for a number of slots ,i\) of the"effectiVity of this Act 
as the total number of students who availed of tuition fei<, .. supplements for SCHOOL 
YEAR 2000-2001: Provided, That the State Assistance COli,,'lcil may in subsequent years 
determine additional slots and/or additional participatin(\ high schools as may be 
deemed necessary," 
SECTION 4, Section 6 of Republic Act 6728, as amended by Republic Act No. 8545 and' 
other laws, otherwise known as the "Expanded Government A.\~sistance to Students and 
Teacher in Private Education Act," is hereby amended to read ai~.follows: 
"SECTION 6. High School Textbook Assistance Fund. -":~here sl;tall be established in 
the Department of Education, Culture and Sports (DECl;s), a Hillh School Textbook 
Assistance Fund, so that assistance on a per student bas);" shall be given to students 
enrolled in private schools CHARGING AN AMOUNT AS]IIAY BE DETERMINED BY 
THE STATE ASSISTANCE COUNCIL exclusively for tt1e purcftase of high school 
textbooks, in support of the implementation of the Seconqary Education Development 
Program: Provided, That the textbook assistance per sttllent in 'private high schools 
shall be determined by the council and shall not BE ~ESS Tl·jAN THE ANNUAL 
TEXTBOOK ALLOCATION FOR ACADEMIC SUBJECTS;'FOR EVERY STUDENT in 
THE public high schools; Provided, further, That the tffldbook' assistance MAY be 
granted to beneficiaries of tuition fee supplements and eo'~lcational service contracting 
scheme FOR HIGH SCHOOL STUDENTS provided in'1is Act .• AND OF PRIVATE 
EDUCATION STUDENT FINANCIAL ASSISTANCE FOR CI;)LLEGE STUDENTS." 
SECTION 5. Section 7 of Republic Act 6728, as amended G'\i Republic Act No. 8545 and 
other laws, otherwise known as the "Expanded Government A'f;sistance to Students and 
Teacher in Private Education Act," is hereby amended to read al follow~: 
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"SECTION 7. Expansion of the Existing Educational ;pervice' Contracting (ESC) 
Scheme. -
(a) )'he Department of Education, Culture andr.Sports (bECS) ~hall continue 
to enter into contracts with private schools whereby the uovernment shall PROVIDE 
DIRECT FINANCIAL ASSISTANCE TO high school studeflts who WANT1TO enroll in 
private high schools BUT DO NOT HAVE THE FINANCIAf'CAPABILITY TO PAY THE 
TUITION IN THESE SCHOOLS.:~. 
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(b) The Department shall also enter into contracts with pi1vate schools ACCREDITED 
BY THE DEPARTMENT PARTICULARLY in communiti~s where THE PUBLIC HIGH 
SCHOOLS CANNOT ACCOMMODATE THE ENTIRE JHUDENT POPULATION, in 
which case the Department shall PROVIDE FINANCIAIXiASSISTANCE WHICH MAY 
COVER the tuition and other fees of stUdents who shall t/lnroll in said private schools. 
(c) The amount of assistance to be given by the governme{it under this section shall BE 
EQUAL TO THE COST PER STUDENT in public high sf,hools. . 
(d) The Department shall fully pay the subsidized amount to pal'\icipating schools not 
later than one hundred eighty (180) days from the closei)f the r~gistration period. 
(e) The amount of assistance shall be allocated and distril'i,~ted among the sixteen (16) 
regions in proportion to the total population as well as trl.i, high ~chool age population 
for the first school year: Provided, That starting schoct year 1998, an equalizatiofll 
scheme shall be implemented by the State Assistance c::ouncil. : 
(f) The amount of assistance to private high schools partit~ipating: in the program shall 
be guaranteed for a number of slots as of the effectivitli of this 'Act as the number of 
students availing of educational service contracting as~istance for SCHOOL YEAR 
2000-2001: Provided, That the State Assistance Count;il may, in subsequent years 
determine additional slots and/or additional participatin\! private' high schools as may 
be deemed necessary. 
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(9) WHERE THE AMOUNT OF TUITION AND FEES EN~EEDS THE AMOUNT OF 
THE PRESCRIBED SUBSIDY, A PRIVATE sCHqej!L MAY SHOULDER THE 
BALANCE AS ITS COUNTERPART FUNDING.'1·1-lE STATE ASSISTANCE 
COUNCIL MAY IN SUBSEQUENT YEARS 
INCR.~:ASE THE AMOUNT OF 
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FINANCIAL ASSISTANCE FOR STUDENTS UN[tER T('lE 
ESC SCHEME 
SUBJECT TO THE AVAILABILITY OF FUNDS." 
SECTION 6. Paragraph (a) of Section 8 of Republic Act 67'i!8, as a'mended by Republic 
Act No. 8545 and other laws, otherwise known as the "Expanded'{';ovenlment Assistance to 
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Students and Teacher in Private Education Act," is hereby amel;ded to 'read as follows: 
"SECTION 8. Assistance to College Freshmen. -
(a) Tho\,' Voucher System of Private 
Education Student Financial Assistance (PESFA) Pro>l'ram. The 
exi~ting Private 
Education Student Financial Assistance (PESFA) Prograr\'1 which covers degree and 
non-degree vocational/technical courses shall be expanded·'so that all qualified enrolling 
first year students ENROLLED IN PRIORITY COURSE PRW)GRAMS DETERMINED BY 
THE TESDA AND THE CHED can benefit from a scholarship, plus an allowance. Such 
financial assistance shall be granted to deserving underprili)leged siudents, who shall be 
selected on the basis of family income, geographic spree!;,1 and (esults of competitive 
examinations to be given by the CHED for degree coursi~s and. the TESDA for non-
degree vocational/technical courses in all secondary sChlfols in coordination with the 
DECS. The program shall be equitably allocated to provin(;es and cities in accordance 
with regional and national plans to priority courses as determined by the CHED and the 
TESDA. For purposes of this Act, an underprivileged stl!ljent shall refer to a student 
whose gross income, if any, COMBINED WITH THE anrS,ual gross income of his/her 
parents IS BELOW THE POVERTY THRESHOLD INCOM~rAS MAY BE DETERMINED 
BY THE APPROPRIATE GOVERNMENT AGENCY.SUBJ!:~CT TO THE AVAILABILITY 
OF FUNDS, THE AMOUNT OF FINANCIAL ASSISTANCE)!SHALL BE INCREASED BY 
TEN PERCENT (10%) EVERY YEAR TO HELP STUJ)ENTs' COPE WITH THE 
INCREASING COST OF EDUCATION. THE FINANCIAL~\SSIST»-NCE FOR TUITION' 
SHALL BE PAID DIRECTLY TO THE PARTICIPATING SO'100LS.''' 
SECTION 7. The following provision is inserted as Section:b-A of Republic Act 6728, as 
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amended by Republic Act No. 8545 and other laws, otherwis~' knowll. as the "Expanded 
Government Assistance to Students and Teacher in Private Ei.!ilcation Act": 
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"SECTION 9-A. 
CONDITIONS FOR TUITION FEE,,;;UBSIDY, -
THE TUITION 
FEE SUBSIDY PROVIDED IN THE PRECEDING SECTli0NS Si'IALL BE GRANTED 
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ON THE CONDITION THAT (i) AT LEAST SEVENTnPERCENT (70%) OF THE 
SUBSIDY AMOUNT SHALL BE USED TO PAY SALARIEi, WAGES, ALLOWANCES, 
AND INCREASES IN THE SAME, INCLUDING THOSIJ: AS PROVIDED FOR IN 
COLLECTIVE BARGAINING AGREEMENTS IN FORCE Ul"ON THE EFFECTIVITY OF 
THIS ACT FURTHER AMENDING REPUBLC ACT NO~6728, AND (ii) AT LEAST 
TWENTY PERCENT (20%) OF THE SUBSIDY AMOUNllsHALL BE USED TO PAY 
FOR THE COST OF OPERATION AND THE IMPROVE~J'::NT OR MODERNIZATION 
OF BUILDINGS, EQUIPMENT, LIBRARIES, LABORA'l'ORIES; GYMNASIA AND 
SIMILAR FACILITIES. FOR THIS PURPOSE, EACH PRI\'ATE SCHOOL RECEIVING 
TUITION FEE SUBSIDY SHALL MAINTAIN A SEPARATG', RECORD OF ACCOUNTS 
FOR ALL ASSISTANCE RECEIVED FROM THE GOVER('IMENT·; ANY TUITION FEE, 
INCREASE AND THE DETAILED DISPOSITION AN"i USE:. THEREOF. SUCH 
RECORD OF ACCOUNTS 
SHALL 
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MADE 
AV~\ILABLE FOR 
PERIODIC 
INSPECTION AS MAY BE DETERMINED BY THE STATE~\SSISTANCE.COUNCIL." 
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SECTION 8. The following provision is inserted as Sectiol~ 10-A of Republic Act 6728, 
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as amended by Republic Act No. 8545 and other laws, otherwis,~, known as the "Expanded 
Government Assistance to Students and Teacher in Private EeJllcatioiJ Act": 
"SECTION 10-A. TRANSPORTATION ALLOWANCE. -ilHIGHSCHOOL STUDENT 
BENEFICIARIES OF THE EDUCATION SERVICE CONTR~;\CTING SCHEME AND THE 
TUITION 
FEES 
SUPPLEMENT 
PROGRAM 
AND l¥iE COLLEGE 
STUDENT 
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BENEFICIARIES 
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PRIVATE 
EDUCATIOr1; 
STljDENT 
FINANCIAL 
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ASSISTANCE WHO LIVE BEYOND A 3-KILOMETER R>t'iDIUS OF THEIR SCHOOL 
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SHALL BE ENTITLED TO A TRANSPORTATION ALLOW~t!~CE IN SUCH AMOUNT AS 
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SHALL BE DETERMINED BY THE STATE ASSISTANCE (~8UNCIL." 
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SECTION 9. The following provision is inserted as SectiOli 14-A of Republic Act 6728, 
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as amended by Republic Act No. 8545 and other laws, otherwiif; knowr1 as the "Expanded 
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Government Assistance to Students and Teacher in Private Ectllcation Act": 
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"SECTION 14-A. SCHOLARSHP FUND IN PRIVATE HI~tH SCHOOLS, COLLEGES 
AND UNIVERSITIES. - EACH PRIVATE SCHOOL PARTICIPATING IN ANY OF THE 
PROGRAMS UNDER THIS ACT IS ENJOINED TO J~ROVIDE COUNTERPART 
FUNDING FOR AT LEAST TWENTY PERCENT (;;:\)%) OF THE STUDENT 
BENEFICIARIES IN SUCH SCHOOL. OTHER PRIVME SCHOOLS ARE ALSO 
ENJOINED TO PROVIDE SCHOLARSHIPS AND FII\l?\NCIAU ASSISTANCE TO 
UNDERPRIVILEGED STUDENTS." 
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SECTION 10, The following provision is inserted as Sectio" 16-A ot Republic Act 6728, 
as amended by Republic Act No, 8545 and other laws, otherwis,:\ known as the "Expanded 
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Government Assistance to Students and Teacher In Private Ec'%iJcation Act": 
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"SECTION 16-A. THE DEPARTMENT OF EDUCATION t6)AY UTILIZE ITS SAVINGS 
FROM ANY ITEM OF ITS APPROPRIATION IN THE FISC/IL YEAR 2013;lpROVIDED, 
THAT ANY DEFICIENCY SHALL BE TAKEN FROrvi ANY ,OR A~L OF THE 
FOLLOWING SOURCES: 
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(1) 
TWENTY 
PERCENT 
(20%) 
OF 
THE 
TRAVEL 
TAX AND 
AIRPORT 
DEPARTURE TAX COLLECTIONS;" 
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TEN PERCENT (10%) OF ANY FUNDS COL;:ECTED BY THE SUGAR 
REGULATORY ADMINISTRATION AND THE PHILIPPINES; COCONUT AUTHORITY; 
(3) 
TEN PERCENT (10%) OF THE NET INCOME OF TIrlE DEVELOPMENT 
ACADEMY OF THE PHILIPPINES; 
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(4) 
PORTIONS OF THE OVERSEAS WELFARE'1::UND TO BENEFIT THE 
DEPENDENTS OR CHILDREN OF OVERSEAS WORKERii:; 
(5) 
ANY OTHER LUMP SUM APPROPRIATIONS OR ~;OLLEGTIONS UNDER THE 
SUPERVISION AND CONTROL OF THE OFFICE OF THElPRESI0ENT; 
PROVIDED FINALLY, THAT THE TOTAL AMOLlRlT MADE AVAILABLE TO 
CARRY OUT THE PURPOSES OF THIS ACT SHALL r~)T EX<;:EED ONE BILLION 
PESOS (P1,000,000,000) FOR FISCAL YEAR 2013, THr;tt~EAFTf.R, SUCH AMOUNT 
AS MAY BE NECESSARY FOR ITS CONTINUED IMF'.i_EMENTATION SHALL BE 
INCLUDED IN THE ANNUAL GENERAL APPROPRIATI0~i3 ACT." 
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SECTION 11. Penalties. In case of any violation of the pro':isions of this Act or the rules 
and regulations promulgated pursuant thereto by an institution, the DeiJilrtment of Education 
(DepED) or the Commission on Higher Education, upon the ri'';;ommendation of the State 
Assistance Council, may bar the institution from participating in orJ1enefitihg from the programs 
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of this Act, and from other programs of the DepED and the:':;HED, without prejudice to 
administrative and criminal charges as may be filed against the i~hool and or its responsible 
officers under existing laws, 
SECTION 12, The Senate Committee on Education and tfi'''! HousE! Committee on Basic 
Education shall oversee the implementation of the Expanded VOI~' ~her System in coordination 
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with the State Assistance Council. The State Assistance Council "~hall submit to Congress an 
annual accomplishment report on the implementation of this Act 
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SECTION 13, The State Assistance Council led by the C;,:'lpartment of Education, the 
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Commission on Higher Education and the Technical Educatk'in and; Skills Development 
Authority shall formulate rules and regulations necessary for the s'·looth implementation of this 
Act within a period of sixty (60) days from the day of its effectivity. 
SECTION 14, Repealing Clause, All laws, presidential d8crees, letters of instruction, 
rules and regulations that are inconsistent with this Act are hureby repealed or modified 
accordingly. 
SECTION 15. Separability Clause, If any provisior!: of this Act is declared 
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unconstitutional, the same shall not affect the validity and effectivity of the other provisions not 
affected thereby. 
SEC. 18. Effectivity Clause. This Act shall take effect imlT,ediately upon its publication • 
in at least two newspaper of general circulation. 
Approved, 
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