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

NINETEENTH CONGRESS
First Regular Session

yo, 3912

HOUSE BILL NO.

Introduced by HONORABLE ROMEO M. ACOP

EXPLANATORY NOTE

Section 309 of Republic Act No. 7160, otherwise known as the Local
Government Code of 1991, provides for the establishment of a Special Education
Fund (SEF). Section 272 of the same Code limits the allocation of the SEF to 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
School Board.

Under Joint Circular No. 1, series of 2017 issued by the Department of
Education (DepEd), Department of Budget and Management (DBM), and
Department of the Interior and Local Government (DILG}, given the observed
practices in the utilization of the SEF and current developments in the basic
education sub-sector, particularly the K to 12 Basic Education Program and early
childhood care and development (ECCD) programs, there is a need to revisit and
refocus the policies on the use of the SEF to further support the supplementary
budgetary needs of schools and learning centers.

It is well to note that the Local Government Code was signed into law
almost three decades ago. Guided by said DepEd-DBM-DILG Joint Circular, the
proposed measure seeks to expand the allocation and purposes of the SEF in
order to be more responsive to the present needs of local schools.

In view of the foregoing, the passage of this bill is earnestly sought.

2nd District, Antipolo City


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

NINETEENTH CONGRESS.
First Regular Session

Introduced by HONORABLE ROMEO M. ACOP

AN ACT
EXPANDING THE PURPOSES AND APPLICATION OF THE SPECIAL
EDUCATION FUND (SEF), AMENDING FOR THE PURPOSE SECTION 272 OF
REPUBLIC ACT NO. 7160, OTHERWISE KNOWN AS THE LOCAL
GOVERNMENT CODE OF 1991 AND FOR OTHER PURPOSES
Be it enacted by the Senate and the House of Representatives of the Philippines in

Congress assembled:

SECTION 1. Section 272 of Republic Act No. 7160, otherwise known as the Local

Government Act of 1991, 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 PURPOSES LISTED BELOW IN

‘THE FOLLOWING ORDER OF PRIORITY:


q)

Operation and maintenance of public schools:

b)

PAYMENT OF COMPENSATION/ALLOWANCES OF
TEACHERS LOCALLY-HIRED IN ELEMENTARY AND
SECONDARY SCHOOLS IDENTIFIED TO HAVE
SHORTAGES PER THE TEACHER DEPLOYMENT
ANALYSIS OF DEPED; THE RATES OF
COMPENSATION / ALLOWANCES, SHALL BE
DETERMINED BY THE LOCAL SCHOOL BOARD (LSB)
BASED ON FUNDS AVAILABLE, BUT NOT TO EXCEED
THE SALARY SCHEDULE BEING IMPLEMENTED BY
THE LOCAL GOVERNMENT UNIT (LGU) CONCERNED:
PROVIDED, THAT FOR THE PURPOSE OF HIRING
TEACHERS CHARGEABLE AGAINST THE SEF, THE LSB
IN EACH PROVINCE, CITY OR MUNICIPALITY SHALL
UTILIZE THE LIST FOUND IN THE REGISTRY OF

QUALIFIED APPLICANTS (RQA);

PAYMENT OF SALARIES/WAGES OF — UTILITY
WORKERS AND SECURITY GUARDS HIRED IN PUBLIC
ELEMENTARY AND SECONDARY SCHOOLS WHICH
HAVE NOT BEEN PROVIDED SUCH POSITION IN THE

DEPED BUDGET; AND

PAYMENT OF EXPENSES PERTAINING TO THE


OPERATION OF SCHOOLS, WHICH MAY INCLUDE

UTILITIES AND COMMUNICATION EXPENSES.

2) Construction and repair of school buildings:

a) CONSTRUCTION, REPAIR, AND MAINTENANCE OF
SCHOOL BUILDINGS AND OTHER FACILITIES FOR
PUBLIC ELEMENTARY AND SECONDARY SCHOOLS,
WHICH ARE DEEMED TO HAVE SHORTAGE OF
CLASSROOMS OR OF OTHER FACILITIES, AS THE
CASE MAY BE PER DEPED CLASSROOM DEPLOYMENT
ANALYSIS, SUBJECT TO EXISTING
STANDARDS/SPECIFICATIONS SET BY DEPED
AND/OR DEPARTMENT OF PUBLIC WORKS AND

HIGHWAYS; AND

b) ACQUISITION AND TITLING OF SCHOOL SITES,

3) Facilities and equipment:

a) ACQUISITION OF LABORATORY, TECHNICAL AND

SIMILAR APPARATUS, AND INFORMATION

TECHNOLOGY EQUIPMENT AND COROLLARY

SUPPORTING SERVICES, SUBJECT TO THE

PREVAILING REQUIREMENTS AND SPECIFICATIONS


SET BY THE DEPED.

4) Educational research:

EDUCATIONAL RESEARCH OTHER THAN THE
RESEARCH SUBJECT AREAS FUNDED IN THE DEPED
BUDGET, SUBJECT TO THE PREVAILING POLICIES

AND GUIDELINES OF THE DEPED.

5) Purchase of books and periodicals:

PURCHASE OF LIBRARY BOOKS AND PERIODICALS
FOR THE LIBRARIES OF THE DIFFERENT
ELEMENTARY AND SECONDARY SCHOOLS IN THE
PROVINCE, CITY, AND MUNICIPALITY, AND PURCHASE
OF INSTRUCTIONAL MATERIALS, WORKBOOKS AND
TEXTBOOKS NEEDED BY PUBLIC ELEMENTARY AND
SECONDARY SCHOOLS, SUBJECT TO THE
PREVAILING POLICIES AND GUIDELINES OF THE

DEPED.

6) Sports development:

a)

EXPENSES FOR SCHOOL SPORTS ACTIVITIES AT THE

NATIONAL, REGIONAL, DIVISION, _ DISTRICT,



MUNICIPAL AND BARANGAY LEVELS, AS WELL AS FOR
OTHER DEPED RELATED ACTIVITIES, SUBJECT TO
PREVAILING REQUIREMENTS AND SPECIFICATIONS

SET BY THE DEPED.

7) FUNDING FOR THE EARLY CHILDHOOD CARE AND

DEVELOPMENT (ECCD)

a) DIRECT SERVICES RELATED TO THE
IMPLEMENTATION OF THE ECCD PROGRAM, SUCH AS
SALARIES/ALLOWANCES OF LOCALLY HIRED CHILD
DEVELOPMENT TEACHERS AND/OR DAY CARE

WORKERS;

b) ORGANIZATION AND SUPPORT OF PARENT
COOPERATIVES TO ESTABLISH COMMUNITY-BASED

ECCD PROGRAMS;

c) PROVISION OF COUNTERPART FUNDS FOR THE
CONTINUING PROFESSIONAL DEVELOPMENT OF

ECCD PUBLIC SERVIC PROVIDERS;

d) PROVISION OF FACILITIES FOR THE CONDUCT OF

THE ECCD PROGRAM; AND.


e) PAYMENT OF EXPENSES PERTAINING TO THE
OPERATIONS OF NATIONAL CHILD DEVELOPMENT
CENTERS, INCLUDING, BUT NOT LIMITED TO,

UTILITIES.”

SECTION 2.Implementing Rules and Regulations. - The Department of Education
(DepEd), Department of Interior and Local Government (DILG) and the
Department of Budget and Management (DBM) shall, within ninety (90) days from
the effectivity of this Act, promulgate the rules and regulations necessary to

implement the provisions hereof.

SECTION 3.Separability Clause. — Should any provision of this Act or any part
hereof be declared invalid, the remainder of this Act or any provision not affected

thereby shall remain in force and effect.
SECTION 4.Repealing Clause. — All laws, decrees, rules and regulations or parts
thereof contrary to or inconsistent with the provisions of this Act are hereby

repealed or modified accordingly.

SECTION 5.Effectivity

lause. - This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in at least two (2) newspapers of general

circulation.

Approved,