Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
Nineteenth Congress 
First Regular Session 
HOUSE BILL NO. _________ 
_____________________________________________________________________ 
Introduced by Hon. Mark O. Go 
   EXPLANATORY NOTE 
Micro, small and medium enterprises (MSMEs) form the backbone of the Philippine 
economy. Based on 2020 data of the Philippine Statistics Authority (PSA), MSMEs constitute 
about 99.51% of all the enterprises operating all over the country, and employs almost two-
thirds of the working sector or about 62.66%. That being said, the country has yet to fully 
capitalize on the potential of MSMEs for national productivity growth and job creation.  
In terms of employment generation, the Philippines’ MSME sector which accounts for 
about 62.66% of our workforce lags behind other Asian countries. In Indonesia, 92% of total 
jobs are from MSMEs, 80.4% in Thailand, and 70% in Malaysia, meanwhile, around 14 
million jobs are created in India by MSMEs per annum. The promotion of MSMEs can help 
solve the country’s unemployment, which currently stands at 5.8%, spread economic growth 
across different segments of the society, and ignite countryside development. As it is, MSME 
distribution is still heavily concentrated in NCR, CALABARZON and Central Luzon, and 
remains low in the regions of ARMM and Caraga. Further, despite accounting for two-thirds 
of the workforce, the contribution of MSMEs to the country’s total GDP remains at only 
around 40%.  In contrast with Asian countries that nurtured environments for start-ups and 
existing MSMEs like Taiwan and South Korea, our MSME sector has yet to deliver 
significant boost to our domestic economy.  
The Philippine Institute for Development Studies (PIDS) identified three major 
challenges of the MSMEs in the country: (a) low rate of business entry, (b) low productivity, 
and (c) failure of most MSMEs to grow. This bill seeks to empower the country’s youth 
sector to reenergize the economy by infusing new blood to the MSME sector through 
establishing the Philippine Entrepreneurs Academy. Said Academy shall formalize and 
integrate under a school system the non-formal entrepreneurship programs and short-courses 
of the TESDA, DTI, DOST and other government agencies to provide a degree course, short-
term courses and modular trainings that will enhance the core competencies of its clients. By 
cultivating a culture of entrepreneurship, developing the practical know-how of the youth in 
skilled trade and management, and bolstering support through a specialized institute that 
would cater to the distinct needs in providing entrepreneurial education, we would be able to 
facilitate the growth of MSME’s as driver towards the twin goals of national productivity and 
job creation.  
July 1, 2022 
7:03 pm
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This bill has been approved by the House of Representatives in the 18th Congress and was 
transmitted to the Senate for its consideration and approval.  However, due to lack of material 
time, this proposed measure was not enacted into law. 
In view of the foregoing, approval of this bill is earnestly sought. 
MARK O. GO 


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
Nineteenth Congress 
First Regular Session 
HOUSE BILL NO. ________ 
_____________________________________________________________________ 
Introduced by Honorable Mark O. Go  
_____________________________________________________________________ 
AN ACT 
ESTABLISHING THE PHILIPPINE ENTREPRENEURS ACADEMY, 
AND APPROPRIATING FUNDS THEREFOR 
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 “Philippine Entrepreneurs 
Academy Act.” 
SEC. 2.  Establishment. – There is hereby established a learning institution under the 
supervision of the Commission on Higher Education (CHED), to be known as the “Philippine 
Entrepreneurs Academy”, hereinafter referred to as the Academy. 
SEC. 3.   General Mandate. – The Academy shall provide undergraduate and graduate 
degree programs, short-term technical-vocational nondegree courses and modular trainings 
that will enhance the core competencies of individuals on entrepreneurship. It shall cater to 
technical-vocational, college, and graduate students.  It shall also promote the relevance of 
entrepreneurship to job generation and its significant role to the sustainable economic growth 
of the country. 
The Academy shall formalize and integrate, under a school system, the nonformal 
entrepreneurship programs and short-term technical-vocational courses of the Technical 
Education and Skills Development Authority (TESDA), Department of Trade and Industry 
(DTI), Department of Science and Technology (DOST), and other government agencies. It 
shall administer education and consultancy, and supervise publication on entrepreneurship. It 
shall also conduct scientific and policy-oriented research and training. 
SEC. 4.   Curricular Offerings. – The Academy shall offer undergraduate and graduate 
degree programs and short-term diploma or certificate courses on entrepreneurship, including 
entrepreneurship development in the fields of agriculture, trade, technology, and the 
manufacturing sector. The curriculum and modules of the programs shall be designed and 
developed following the competency-based curriculum model and in accordance with the 
mandate of this Act.  
SEC. 5. School Sites. - The Academy shall have two (2) campuses, with the main 
campus to be established in the Clark Freeport and Special Economic Zone located in the 
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Provinces of Pampanga and Tarlac, to be known as the Entrepreneurs Academy-Clark 
Campus. The other campus shall be located in the City of Baguio, to be known as the 
Entrepreneurs Academy-Baguio City Campus.  
 
SEC. 6. Governing Board. - The governing board of the Academy shall be the Board of 
Trustees,  hereinafter referred to as the Board, which shall be chaired and co-chaired by the 
Chairperson of the CHED, and the President of the Academy, respectively, with the following 
as members: 
 
a) Chairperson of the Committee on Higher, Technical and Vocational Education of 
the Senate;  
b) Chairperson of the Committee on Higher and Technical Education of the House of 
Representatives; 
c) Director General of the TESDA;  
d) Director General of the National Economic and Development Authority (NEDA);  
e) Secretary of the DOST;  
f)   Secretary of the DTI ; 
g) President of the federation of faculty associations of the Academy; 
h) President of the federation of student councils of the Academy; 
i)   President of the federation of alumni associations of the Academy; and  
j)   two (2) prominent citizens from the private sector who have distinguished 
themselves in their professions or fields of specialization. 
 
         The members of the Board shall not receive any compensation or remuneration for their 
services as such, but may be reimbursed for actual and necessary expenses incurred in 
discharging the business of the Academy. 
    
        SEC. 7. Powers and Duties of the Board. The Board shall be the highest policymaking 
body of the Academy. In addition to its general powers of administration and the exercise of 
all the powers granted to the Board of a corporation under existing laws, the Board shall have 
the following specific powers and duties: 
 
a) Promulgate and implement policies in accordance with the declared State policies 
and pertinent provisions of the Philippine Constitution on education, as well as 
policies, standards and thrusts of the CHED under Republic Act No. 7722, 
otherwise known as the “Higher Education Act of 1994”;    
 
b) Prepare, adopt and enact rules and regulations not contrary to law, as may be 
necessary to carry out the purposes and functions of the Academy, and to 
effectively discharge its responsibilities;  
 
c) Receive assistance from any legitimate source to augment the internal sources of 
funds, as may be provided, for the support of the Academy in the manner it may 
determine, in its discretion, to carry out the purposes and functions of the 
Academy; 
 
d) Constitute the Board, as herein defined;    
 
e) Appoint the President and as many Vice-Presidents as may be necessary to assist 
the President in the administration of the affairs of the Academy;  
 
f)   Review periodically the administrative procedures and programs of the Academy;  
 


 
g) Receive, in kind and in trust, legacies, gifts and donations of real and personal 
properties of all kinds, to administer and dispose the same when necessary for the 
benefit of the Academy, subject to limitations, discretions and instructions of the 
donors, if any; 
 
h) Fix the tuition fees and other school charges such as matriculation fees, 
graduation fees,  laboratory fees, and other miscellaneous fees as the Board may 
deem proper to impose after due consultations with the involved sectors: 
Provided, That these fees shall not be prohibitive or unreasonable as to deviate 
from the purpose for which the Academy was created based on the guidelines of 
the CHED; 
 
       Such fees and charges, including government subsidies and other incomes 
generated by the Academy, shall constitute its regular fund and shall be deposited in 
any authorized government depository bank, and all interests that shall accrue 
therefrom shall form part of the same fund for the use of the Academy. 
 
                   Any provision of existing laws, rules and regulations to the contrary 
notwithstanding, any income generated by the Academy from tuition fees and other 
charges, as well as from the operation of auxiliary services and land grants, shall be 
retained by the Academy, and may be disbursed by the Board for instruction, research, 
extension services, or other programs and projects of the Academy: Provided, That all 
fiduciary fees shall be disbursed for the specific purposes for which they were 
collected.    
 
       If for reason beyond its control, the Academy shall not be able to pursue any 
project for which 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 Academy.  
 
i) Adopt and implement a socialized tuition scheme for greater access of poor, but 
deserving students in accordance with Republic Act No. 10931 or the “Universal 
Access to Quality Tertiary Education Act”; 
   
j) Authorize the construction or repair of its buildings, machineries, equipment, and 
other facilities, as well as the purchase and acquisition of real and personal 
properties, including the necessary supplies, materials, and equipment;  
 
k)  Appoint, upon the recommendation of the  President of the Academy, the deans, 
executive directors, heads of departments, faculty members, and other officials and 
employees; 
 
l) Prescribe the salaries of faculty members and administrative officials and 
employees, subject to the provisions of Republic Act No. 11466, otherwise known 
as the “Salary Standardization Law of 2019” and civil service rules and regulations 
governing hours of service and related concerns, and other pertinent laws;  
 
m) Formulate and implement the curricula and institutional programs of the Academy: 
Provided, That they comply with the minimum CHED requirements and 
guidelines;  
 


 
n) Formulate and promulgate the rules of discipline for the students of the Academy 
to ensure orderly and effective governance thereof;  
 
o) Set policies on admission and graduation of students: Provided, That they  
conform with the CHED guidelines; 
 
p) Award honorary degrees upon persons in recognition of outstanding contribution 
in the field of education, public service, arts, science and technology, or any field 
of specialization within the academic competence of the Academy and to authorize 
the issuance of certificates of completion of non-baccalaureate programs and 
nontraditional or innovative courses: Provided, That these conform with the 
applicable guidelines of the CHED and TESDA; 
 
q) Establish research and extension centers of the Academy where such will promote 
the development of the latter; 
 
r) Establish professorial chairs in the Academy and provide fellowships for qualified 
faculty members and scholarships to deserving students; 
 
s) Enter into any agreements or joint ventures with business and industry for the 
profitable management of the economic and manpower assets of the Academy, the 
proceeds from which shall be used for the upgrading of facilities and its 
development; 
  
t) Authorize an external management audit of the Academy, to be financed by the 
CHED, subject to the rules and regulations of the Commission on Audit and 
institute reforms, including academic and structural changes, on the basis of the 
audit results and recommendations;   
 
u) Import economic, technical and cultural books and publications;  
 
v) Develop consortia, academe-industry linkages and other forms of networks with 
other institutions and agencies, both public and private, local and foreign: 
Provided, That these comply with the applicable guidelines of the CHED in 
furtherance of the purposes and  objectives of the institutions as well as develop 
academic arrangements for institution capacity and capability building with 
appropriate institutions and agencies, public and private; 
 
w)  Appoint experts and specialists as consultants, or visiting or exchange professors,  
scholars, researchers, as the case may be: Provided, That the appointment shall 
conform to the CHED  
guidelines; 
 
x) Set up the adoption of modern 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; 
 
   y) Outsource, where most advantageous to the institution, the management of non-
academic services such as health, food, building or grounds or property 
maintenance and similar objectives; 
 


 
 z) Delegate any of its powers and duties to the President or the other officials of the 
Academy,  as it may deem appropriate, so as to expedite the administration of the 
affairs of the Academy;  
 
  aa) Extend the term of the President of the Academy beyond the age of retirement, 
when deemed meritorious due to outstanding performance,  but not later than the 
age of seventy (70) years old; and     
 
  bb) Promulgate rules and regulations, as may be necessary, to carry out the purposes 
and functions of the Academy.    
  
SEC. 8. President of the Academy. - The Academy shall be headed by a President, who 
shall render full-time service and shall be appointed by the Board upon the recommendation 
of a duly constituted Search Committee. The President shall also be the chief executive 
officer of the Academy. 
 
The President shall have a term of four (4) years and shall be eligible for reappointment 
to another term. Within six (6) months before the expiration of the term of office of the 
incumbent President of the Academy, the Board shall constitute the Search Committee for the 
Presidency. 
  
The President shall receive such compensation and remuneration in accordance with 
Republic Act No. 11466 or the “Salary Standardization Law of 2019”, and by such other laws 
amendatory thereto, which may hereinafter be enacted, and shall be comparable to that being 
received by the Presidents of similar educational institutions.    
 
The President shall exercise the following powers and duties:   
 
a) Submit, for the consideration of the Board and the Executive Committee, the 
policies and measures which are necessary to carry out the purposes of the 
Academy;  
 
b) Recommend, coordinate, and administer the programs and projects of the 
Academy;  
 
c) Direct and supervise the operations and internal administration of the Academy, 
and delegate administrative responsibilities in accordance with the rules and 
regulations of the Academy; 
  
d) Submit an annual report to the Board setting forth the accomplishments of the 
Academy during the year, its financial operations and status, and a program and 
budget for the ensuing year; and  
 
e) Exercise other powers and discharge other functions, as may be vested by the 
Board and the Executive Committee.  
 
 The Board shall designate an Officer-In-Charge (OIC) of the Academy 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, 
pending the appointment of a new President: Provided, That the OIC shall serve only during 
the unexpired portion of the term.  
  


 
The powers and duties of the President of the Academy, in addition to those provided in 
this Act, shall be those usually pertaining to the Office of the President of similar educational 
institutions, and those delegated by the Board.  
 
 
SEC. 9. Executive Committee. - There shall be an Executive Committee consisting of 
the President of the Academy and four (4) other members to be elected by the Board from its 
members. Each Member of the Executive Committee, other than the President of the 
Academy, shall hold office for a term of two (2) years, and shall be eligible for re-election, 
unless at the time of election, a shorter term is specified. The Board shall elect the 
Chairperson of the Executive Committee from the membership of the Board. 
.  
SEC. 10. Functions of the Executive Committee. - The Executive Committee shall 
administer the affairs of the Academy in accordance with such functions, powers and 
responsibilities as may be delegated by the Board.  
 
SEC. 11.  Government Support and Coordination. – The CHED Chairperson is hereby 
authorized to call upon any department, bureau, agency or instrumentality of the government 
for such assistance as may be necessary for the effective implementation of this Act.  
 
SEC. 12. Tax Exemption. – The importation of economic, technical and cultural books 
and publications, which are for economic, technical, vocational, scientific, philosophical, 
historical or cultural purposes made by the Academy, upon certification by the CHED,  shall 
be exempt from customs duties in accordance with the provisions of Republic Act No. 10863, 
otherwise known as the “Customs Modernization and Tariff Act”.  
  
All grants, bequest, endowments, donations and contributions made to the Academy, to 
be used actually, directly and exclusively by it, shall be exempt from donor’s tax and the same 
shall be considered as allowable deduction from the gross income in the computation of the 
income tax of the donor, in accordance with the provisions of the National Internal Revenue 
Code of 1997, as amended.  
 
        SEC. 13.  Appropriations. – The amount necessary to carry out the provisions of this Act 
shall be included in the annual General Appropriations Act. 
 
SEC. 14.  Implementing Rules and Regulations. – Within ninety (90) days from the 
effectivity of this Act, the CHED, in coordination with the TESDA and the DTI, shall 
formulate the necessary rules and regulations to fully implement the provisions of this Act.  
 
SEC. 15.  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 shall 
remain in full force and effect. 
 
SEC. 16.  Repealing Clause. – All laws, presidential decrees, executive orders, 
proclamations or administrative regulations that are inconsistent with the provisions of this 
Act are repealed, amended, or modified accordingly.  
  
SEC. 17.  Effectivity.  –  This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in a newspaper of general circulation. 
 
 
            Approved,