NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
)
finale
'(©ffitr of tljf
23 SEP 21 P7«6
SENATE
Senate Bill No. 2448
RECEIVED BY:
Introduced by Senator Juan Miguel F. Zubiri
AN ACT
AMENDING PRESIDENTIAL DECREE NUMBERED 1341, OTHERWISE KNOWN 
AS THE CHARTER OF THE POLYTECHNIC UNIVERSITY OF THE PHILIPPINES
EXPLANATORY NOTE
The Polytechnic University of the Philippines (PUP) is one of the country's most 
distinguished Polytechnic Universities, having served thousands of students since its 
foundation in 1904. Today, it is the largest State University in the country in terms of 
population, with around 70,000 students. It has been one of the top-performing schools 
in various academic fieids, such as engineering, education, psychoiogy, and accountancy.
The University has consistently produced competent graduates who now compose 
our country's league of workers and professionals. PUP is named the top school preferred 
by employers according to a 2023 survey by Jobstreet, one of the biggest employment 
platforms in the country. According to this survey, PUP graduates are preferred by 23.39 
percent of employers because they are "effective team players in the workplace". The 
university has held the top spot on this survey for severai years.
PUP has remained to have one of the lowest tuition fees across the country while 
providing access to quality and responsive education to students who wish to fulfill their 
dreams and improve their lives through education.
This bili seeks to strengthen and empower the Polytechnic University of the 
Philippines through an amendment to its charter. This will allow the university to continue 
fulfilling its mission to ensure inclusive and equitable education and promote lifelong 
learning opportunities.
In view of the foregoing, the passage of this bill is respectfully sought.
IAN MIGUEL F. ZUBIRI


NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
)
SENATE
2448
Senate Bill No.
(©Hur o( titr ftarrM'-’1
23 SEP 21 P7:07
RECEIVED BV
Introduced by Senator Juan Miguel F. Zubiri
AN ACT
AMENDING PRESIDENTIAL DECREE NUMBERED 1341, OTHERWISE KNOWN 
AS THE CHARTER OF THE POLYTECHNIC UNIVERSITY OF THE PHILIPPINES
Be it enacted by the Senate and House of Representatives of the Phiiippines in Congress 
assembied:
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SECTION 1. Section 1 of PD 1341 is hereby amended to read as foiiows:
"Section 1. Declaration of Policy. The Polytechnic University 
of the Philippines is hereby strengthened into the Country's National 
Polytechnic University. In order to execute its mandate, it is hereby 
declared as the country's First Nationai Poiytechnic University. Along 
with its elevated status as the country's first national polytechnic 
university, the University will aid support to other polytechnic state 
universities and colleges to raise the bar by having the former serve as 
the latter's guide in the development and delivery of professional and 
technical programs.
The University shall enjoy institutional autonomy and fiscal autonomy.
It shall be treated in a manner consistent with its institutional 
requirements by the service-wide agencies in the exercise of their 
respective jurisdiction. Taking into account national goals and priorities, 
it shall exclusively determine its teaching, research and extensions 
thrust, plans, policies, programs and standards, consistent with the 
policies standards and guidelines promulgated by the Commission on 
Higher Education. On the basis of such determination, the National 
Polytechnic University shall recommend its annual budget to the 
President of the Republic of the Philippines and Congress. Appropriations 
for the University shall not be reduced by the legislature below the 
amount appropriated for the previous year and after approval shall be 
automatically and regularly released."
SEC. 2. Section 2, of PD 1341 is hereby amended to read as follows:
"Section 2. Primary Purpose. The University shall offer primarily 
higher occupational, technical and professional instruction and training in 
the fields of engineering and architecture, applied sciences, accountancy, 
law, education, business and management, and shall be strengthened as


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the country's National Polytechnic University. It shall also promote applied 
research, advance studies, and progressive leadership in the stated fields. 
As a national polytechnic university, PUP is committed in implementing 
programs designed to address the pressing social and economic needs by 
rendering services to individuals and communities and empowering citizenry 
for sustainable development."
SEC 3. Section 3 of PD 1341 is hereby amended to read as follows:
"Section 3. Secondary Purpose. The University shall offer 
undergraduate and graduate programs in the field of accountancy, 
engineering and architecture, applied sciences, law, education, business and 
management. In addition, the University shall offer other programs in the 
polytechnic areas in light of its purpose as a national polytechnic university."
SEC 4. Section 4 of PD 1341 hereby amended to read as follows:
"Section 4. The University Administration. The Administration 
of the university shall be vested in the President of the university who shall 
render full-time service. He shall be appointed by the Board of Regents, 
upon the recommendation of a duly constituted search committee. He shall 
have a term of six (6) years without an eligibility for reappointment for 
another term: Provided that this provision shall not adversely affect the 
terms of the incumbents, that the incumbent President shall become the 
first president of the university upon effectivity of this act; Provided further, 
that in case where no appointment was made thereafter, the incumbent 
President shall continue to hold the office in a hold-over capacity, such 
period shall in no case be more than 90 days.
The president shall be assisted by an executive vice president, vice 
presidents for academic affairs, administration, research, planning and 
development, finance , student affairs, external affairs, who shall be 
appointed by the Board upon the president's recommendation without 
prejudice to the appointment of additional vice presidents when so 
warranted, in case of vacancy by reason of death resignation, removal for 
cause or incapacity of the president to perform the functions of his office, 
the Board of Regent shall have the authority to designate an officer-in- 
charge pending the appointment of a new president. In case of vacancy in 
the office of the president as mentioned in the immediately preceding 
paragraph, his successors shall hold office for the unexpired term."
Section 5. Section 5 of PD 1341 is hereby amended to read as follows:
"SEC 5. Powers and Duties of the President. Specifically, the 
President of the University shall have the following powers and duties in 
addition to those normally appertaining to the Office of the President of the 
University:
a. 
He shall be the Chief Executive Officer of the University as such, 
progressive and dynamic, ethical, and intellectual administrative leadership 
in the University is expected of him and vested in him;
b. 
He shall be the head of the University Faculties and of any branch 
thereof;
c. 
He shall have general supervision over all academic as well as 
business and financial operations of the University;


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d. 
He shall promulgate and enforce general policies affecting any unit 
of the University and take such actions which in his judgment are necessary 
for the protection of property and general interest of the University, students 
and personnel and for the operation of the University as a whole and shall 
inform the Board on all matters relating to the operation and welfare of the 
University;
e. 
He shall appoint qualified persons to fill all vacancies and new 
positions subject to the approval of the Board and make such other 
arrangements to meet emergencies occurring between meetings of the 
Board so that the work of the University shall not suffer;
f. 
He shall institute disciplinary action against any member of the 
University personnel, faculty or non-faculty as well as any student of the 
University whose actions adversely affect the general interest of the 
University.
g. 
He shall decide appeals in controversies between ranking officials of 
the University, his decisions being final and conclusive;
h. 
He shall grant or deny sabbatical leaves and leaves of absence 
without pay and/or extension of such leaves as well as extension of 
fellowships or any form of scholarship for a period not exceeding one 
academic year if the budget permits and for reasons he may deem 
satisfactory;
i. 
He shall make ad-interim appointments;
j. 
He shall grant or withhold permission to reveal confidential matters 
affecting the University or any unit thereof, as well as any action taken by 
the Board of Regents;
k. 
He shall grant permission for the use of buildings and premises of the 
University for academic, professional and scientific conventions, for students 
and related activities and to fix the fee thereof;
l. 
He is authorized to join the execution of all contracts, deeds, and 
instruments for the proper conduct of the business of the University and to 
assign the same in behalf of the University;
m. 
He shall prepare an annual report on the work of the past year and 
needs of the current year including a budget with estimates of income and 
expenditures; and
n. 
He shall have such other powers as may be specifically authorized by 
the Board of Regents. He may delegate in writing any of his specific 
functions to any office."
SEC 6. Section 6 of PD 1341 is hereby amended to read as follows:
"Section 6. The Board of Regents. The governing body of the 
University shall be the Board of Regents of the Polytechnic University of the 
Philippines (hereinafter referred to as the Board).
1. Composition. The Board shall be composed of:
a. 
The Chairperson of the Commission on Higher 
Education as Chairperson;
b. 
The President of the University as Co-Chairperson;
c. 
The Chairperson of the Senate Committee on Higher, 
Technical and Vocational Education;
d. 
The Chairperson of the House Committee on Higher 
and Technical Education;
e. 
The Director-General of the National Economic 
Development Authority;


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f. 
The Secretary of the Department of Science and 
Technology;
g. 
The President of the Alumni Association who wili serve 
for a period of two (2) years;
h. 
One 
Faculty 
Regent representing ail teaching
personnei, eiected by the said personnel in accordance with 
the rules and qualifications set out by the same constituency 
who shali serve for a period of two (2) years.
i. 
One Student Regent, elected by the students in
accordance with the rules and qualifications set out by said 
constituency, who shail serve for a period of one (1) year.
j. 
One Staff Regent representing all 
non-teaching
personnel, elected in accordance with the ruies and regulations 
set out by said constituency, who shall serve for a period of 
two (2) years; and
k. 
Three other 
Regents who have distinguished
themselves in their professions or fields of specialization. Ali 
these Regents shali be appointed by the Board as 
recommended by the search committee organized for the 
purpose and shail each serve for a term of two (2) years.
The faculty and the student council shall be represented by their 
respective federations. The private sector representatives shall be 
appointed by the Board of Regents upon recommendation of a duly 
constituted search committee.
2. 
Compensation. The members shail serve without 
compensation, but they shail be reimbursed for necessary expense 
incurred in their attendance of meetings of the Board or in connection with 
their official business authorities by resolution of the Board.
3. 
Vacancy. In case of vacancy in the Board, except for the 
President of the University, such vacancy shail be filled in the same manner 
as provided for the predecessor and such appointee shail hold the office 
only for the unexpired portion of the term. In case of Regents representing 
a particuiar sector, their membership shall cease upon suspension 
separation or recail. No person, however, who has succeeded and served 
for more than 3 years of the unexpired portion shaii be eiigibie for 
appointment as president.
SEC 7. Section 7 of PD 1341 is hereby amended to read as foilows;
Section 7. Powers and Duties of the Governing Board. The
governing board shall have the following specific powers and duties in 
addition to its generai powers of administration and the exercise of ali the 
powers granted to the board of directors of a corporation under Section 36 
of Batas Pambansa Big. 68 otherwise known as the Corporation Code of 
the Phiiippines;
a. 
to enact rules and regulations not contrary to iaw as may be 
necessary to carry out the purpose and functions of the university;
b. 
to receive and appropriate all sums as may be provided for the 
support of the university in the manner it may determine, in its 
discretion, to carry out the purpose and functions of the university;
c. 
to receive in trust legacies, gifts and donations of real and 
personal properties of ali kinds, to administer and dispose the same


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when necessary for the benefit of the university, subject to 
limitations, directions and instructions of the donors, if any, such 
donations shall be exempt from all taxes and shall be considered as 
deductibie items from the income tax of the donor;
d. 
to fix the tuition fees and other necessary school charges such 
as but not limited to matriculation fees, graduation fees and 
laboratory fees, as the board may deem proper to impose after due 
consultations with the involved sectors. Such fees and charges, 
including government subsidies and other income generated by the 
university shall constitute special trust funds and shall be deposited 
in any authorized government depository bank and all interest that 
shail accrue therefrom shali form part of the same fund for the use 
of the university. Any provision of existing laws, rules and regulations 
to the contrary notwithstanding, any income generated by the 
university from tuition fees and other charges, as well as from the 
operation of auxiliary services and land grants, shall be retained by 
the university and may be disbursed by the Board of Regents for 
instruction, research, extension, or other programs/projects of the 
university; Provided that all fiduciary fees shall be disbursed for the 
specific purposes for which they are collected . If for reason of 
control, the university shall not be able to pursue any project for 
which funds have been appropriated and allocated under its approved 
program of expenditures, the Board of Regents may authorize the 
use of said funds for any reasonabie purpose, which in its discretion, 
may be necessary and urgent for the attainment of the objectives and 
goals of the university. Provided further, that a portion of any amount 
of fees increased, however, shall inure to the benefit of the College 
or Institute for the purpose of faculty, physical facilities and 
equipment development.
e. 
to authorize the construction or repair of its buildings, 
machineries, equipment and other facilities and the purchase and 
acquisition of real and personal properties including necessary 
supplies, materials and equipment. Purchases and other transactions 
entered into by the university through the Board of Regents shall be 
exempt from all taxes and duties.
f. 
to appoint upon the recommendation of the president, vice 
presidents, deans, directors, heads of departments, faculty members 
and other officials and employees of the University;
g. 
to fix and adjust salaries of faculty members and 
administrative officials and employees subject to the provisions of the 
revised compensation and classification system and other pertinent 
budget and compensation laws governing hours of service and such 
other duties and conditions as it may deem proper to grant them, at 
its discretion, leaves of absence under such regulation as it may 
promulgate, any provision of existing law to the contrary 
notwithstanding, and to remove them for cause in accordance with 
the requirements of due process of law;
h. 
to approve the curricula, institutional programs, and rules of 
discipline drawn by the administrative and academic councils as 
herein provided;
i. 
to set policies on admission and graduation of students;
j. 
to award honorary degrees upon persons in recognition of 
outstanding contribution in the field of education, public service, arts, 
science and technology or in any field of specialization within the


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academic competence of the university and to authorize the award of 
certificates of completion of non- degree and non-traditional courses;
k. 
to absorb non-chartered tertiary institutions within their 
respective provinces in coordination with the CHED and in 
consuitation with the Department of Budget and Management and to 
offer therein needed programs or courses to promote and carry out 
equai access to educationai opportunity mandated by the 
Constitution;
l. 
to estabiish research and extension centers of the SUC where 
such wiil promote the development of the latter;
m. 
to establish professoriai chairs in the university and to provide 
feliowships to quaiified faculty members and scholarship to deserving 
students;
n. 
to deiegate any of its powers and duties provided for 
hereabove to the president and/or other officiais of the university as 
it may deem appropriate so as to expedite the administration of the 
affairs of the university;
0. to authorize an externai management audit of the institution 
and to institute reforms, inciuding academic and structurai changes, 
on the basis of the audit resuits and recommendations:
p. 
to coilaborate with other governing boards of SUCs within the 
province or the region, in coordination with the CHED and the 
Department of Budget and Management, the restructuring of said 
coileges and universities to become more efficient, relevant, 
productive, and competitive;
q. 
to enter into joint ventures with business and industry for the 
profitable development and management of the economic assets of 
the coilege or institution, the proceeds from which to be used for the 
development and strengthening of the university;
r. 
to develop consortia and other forms of iinkages with locai 
government units, institutions and agencies, both public and private, 
local and foreign, in furtherance of the purposes and objectives of the 
institution.
s. 
to develop academic arrangements for institution capability 
buiiding with appropriate institutions and agencies, pubiic or private, 
iocai or foreign, and to appoint experts/specialists as consultants, or 
visiting or exchange professors, scholars, researchers, as the case 
may be;
t. 
to set up the adoption of modern and innovative modes of 
transmitting knowledge such as the use of information technoiogy, 
the dual system, open learning, community laboratory etc., for the 
promotion of greater access to higher education;
u. 
to estabiish policy guideiines and procedures for participative 
decision-making and transparency within the institution;
V. To create, organize, reorganize, merge or abolish colieges, 
institutes, and other academic and administrative units of the 
University; and
w. to privatize, where most advantageous to the institution, 
management of non-academic services such as heaith, food, buiiding 
or grounds or property maintenance and simiiar such other 
objectives.


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SEC 8. Section 8 of PD 1341 is hereby amended insofar as a section title was 
inserted, and to read as follows:
Section 8. Quorum and Services of Processes. - A quorum of 
the Board of Regents shall consist of a majority of all members. All processes 
against the Board of Regents shall be served on the President or Secretary 
thereof.
SEC. 9. Section 9 of PD 1341 is hereby amended insofar as a section title was 
inserted, and to read as follows:
Section 9. Meetings. - Regular meetings of the Board of Regents 
shall be held at least once every quarter. The Chairman of the Board of 
Regents may call a special meeting whenever necessary. In both cases, 
notice of such meetings shall be issued at least three (3) days prior to the 
meeting.
SEC 10. Section 10 of PD 1341 is hereby amended and to read as follows;
Section 10. University Officials. The administration of the 
university shall be vested in the president. The president shall be assisted 
by the Executive Vice President, the Vice-President for Administration, the 
Vice-President for Academic Affairs, the Vice-President for Student Affairs, 
the Vice-President for Research and Extension, the Vice-President for 
Planning and Development, the Vice-President for Finance, the Vice- 
President for External Affairs, the Secretary of the University and such other 
academic and administrative officials, whose positions and functions are 
deemed necessary to assist in the effective and efficient administration of 
the University as may be determined by the Board of Regents.
Sec. 11. A new Section 11 is hereby inserted and to read as follows:
Section 11. The Faculty. The teaching staff of each college shall 
constitute its faculty. The College Faculty shall be presided over by a Dean. 
The Dean shall be appointed by the Board of Regents, upon 
recommendation of the President, selected from a shortlist of three 
nominees submitted by a special selection committee established for the 
purpose. If a dean fails to complete his/her term, the President shall appoint 
an Acting Dean while a search process is in progress. In no case shall the 
search and election of the next Dean be longer than sixty (60) calendar days 
from the date when the vacancy occurs.
SEC 12. A new Section 12-A is hereby inserted amending PD 1341 to read as
follows:
Section 12-A. Land Grants and Other Real Properties of the 
University. —
(a) The State shall support the Polytechnic University of the 
Philippines as the national polytechnic university in the form of lump 
sum amount, through general appropriations and other financial 
benefits, and in kind, through land grants and donations and use of 
other real properties. To carry out the intent of these grants, income 
derived from the development of all land grants and real properties 
shail be used to further the ends of the national polytechnic 
university, as may be decided by the board;


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(b) Such parcels of land ceded by law, decree or presidential issuance 
to the Polytechnic University of the Philippines are hereby declared to 
be reserved for the purposes intended. The absoiute ownership of 
the national polytechnic university over these landholdings, including 
those covered by original and transfer certificates of title in the name 
of the Polytechnic University of the Philippines and their future 
derivatives, is hereby confirmed. Where the issuance of proper 
certificates of title is yet pending for these landholdings, the 
appropriate government office shall expedite the issuance thereof 
within six months from the date of effectivity of this Act: Provided, 
That all registration requirements necessary for the issuance of the 
said titles have been submitted and complied with;
(c) The Board may plan, design, approve and/or cause the 
implementation of land leases: Provided, That such mechanisms and 
arrangements shall sustain and protect the environment in 
accordance with law, and be exclusive of the academic core zone of 
the campuses of the Polytechnic University of the Philippines: 
Provided, further. That such mechanisms and arrangements shall not 
conflict with the academic mission of the national polytechnic 
university;
(d) The Board may allow the use of the income coming from real 
properties of the national polytechnic university as security for 
transactions to generate additional revenues when needed for 
educational purposes;
(e) The Board may approve the implementation of joint ventures: 
Provided, That in the event real properties of the national polytechnic 
university are involved, only the income derived by the University 
from the use of the real properties shall be the subject of its 
participation or obligation in the joint ventures: Provided, further. 
That no joint venture shall result in the alienation of the real 
properties of the national polytechnic university; and
(f) Any plan to generate revenues and other sources from land grants 
and other real properties entrusted to the national polytechnic 
university shall be consistent with the academic mission and 
orientation of the national polytechnic university as well as protect it 
from undue influence and control of commercial interests: Provided, 
That such programs, projects or mechanisms shall be approved by 
the Board subject to a transparent and democratic process of 
consultation with the constituents of the national polytechnic 
university: Provided, further. That funds generated from such 
programs, projects or mechanisms shall not be meant to replace, in 
part or in whole, the annual appropriations provided by the national 
government to the national university.
SEC 13. A new Section 12-B is hereby inserted amending PD 1341 to read as 
follows:
Section 12-B Safeguards on Assets Disposition. The
preservation of the value of the assets of the national polytechnic university
shall be of primordial consideration the sale of any existing real property of


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the national polytechnic university shall be prohibited: Provided, That the 
Board may alienate real property donated after the effectivity of this Act if 
the terms of the donation specifically allow it. Notwithstanding the provision 
of this Act or any other law to the contrary, the lease of more than five (5) 
years of the assets of the national polytechnic university and any 
transactions referred to in Section 22 shall be subject to the following 
conditions and procedures:
a. 
The transactions shall be discussed with the members of the 
Board in any of its formally convened regular or special meeting, at 
least one (1) month before a decision is to be made;
b. 
The transactions shall be based on a multi-year 
comprehensive development plan, crafted and developed by qualified 
urban planning professionals having at least five (5) years' 
experience, with prior consultations with and concurrence of third- 
party experts and duty approved by a majority vote of all the 
members of the Board;
c. 
The transactions shall be subject to competitive and public 
bidding as provided under Republic Act No 9184, otherwise known as 
the "Government Procurement Reform Act"; and
d. 
If the contract or transaction involves an amount more than 
fifty million pesos (P50,000,000.00). It shall be approved by three 
fourths (3/4) of all the members of the Board: Provided, That the 
splitting of contracts, which is by breaking up a contract into smaller 
quantities or amounts or dividing contract implementation into 
artificial or arbitrary phases or subcontracts for the purposes of 
circumventing this provision, shall not be allowed.
SEC 14. A new Section 12-C is hereby inserted amending PD 1341 to read as 
follows:
"Section 12-C Tax Exemptions. The provisions of any general or 
special law to the contrary notwithstanding:
a) All revenues and assets of the Polytechnic University of the 
Philippines used for educational purposes or in support thereof shall 
be exempt from all taxes and duties;
b) Gifts and donations of real and personal properties of all kinds shall 
be exempt from the donor's tax and the same shall be considered as 
allowable deductions from the gross income of the donor in 
accordance with the provisions of the National Internal Revenue Code 
of 1997, as amended; Provided that the allowable deductions shall be 
equivalent to one hundred fifty percent (150%) of the value of such 
donation. Valuation of assistance other than money shall be based 
on the acquisition cost of the property, such valuation shall take into 
consideration the depreciated value of property in case said property 
has been used.
c) 
Importation of economic, technical, vocational, scientific, 
philosophical, historical, legal and cultural books, supplies and 
materials duty certified by the Board, including scientific and 
educational computer and software equipment shall be exempt from 
customs duties.
d) The University shall only pay 0% value-added tax for all 
transactions subject to this tax; and
e) All academic awards shall be exempt from taxes.


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SEC 15. Sections 11,12 and 13 PD 1341 are hereby repealed
SEC 16. Section 14 of PD 1341 is hereby amended to read as follows:
"Section 14. Appropriations. In addition, to the amount already 
appropriated for the Polytechnic University of the Philippines for the current 
fiscal year, there is hereby appropriated an initial sum of Eight Billion pesos 
(P8,000,000,000.00) from any amount available in the Treasury of the 
Philippines for the purposes of carrying out the implementation of this Act. 
Further, an additional sum of One Hundred Million pesos (P100,000,000.00) 
shall be appropriated separate and above the said initial funding for each 
fiscal year for the first three years of the implementation of this Act."
SEC 17. Separability Clause. If any part or provision of this Act is held invalid 
or unconstitutional, other provisions not affected thereby shall remain in force and effect.
SEC 18. Repealing Clause [Republic Act No 8292, as amended, and [a] All laws, 
decrees, orders, rules, and regulations or other issuances or parts inconsistent with the 
provisions of this Act are hereby repealed or modified accordingly
SEC. 19. Suppletory Application of Republic Act No 8292. The provisions of 
Republic Act No. 8292 in so far as they are applicable shall be suppletory to this Act.
SEC 20. Effectivity. This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in any newspaper of general circulation in the 
Philippines.
Approved,
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