13” CONGRESS OF THE 
1 
FIRST REGULAR SESSION 
1 
REPUBLIC OF THE PHILIPPINES ) 
5 
NAR 16 P5:52 
INTRODUCED BY SENATOR AQUILINO Q. PIMENTEL, JR 
EXPLANATORY NOTE 
Article XIV of the Constitution mandates that, “ The State shall protect the right 
of all citizens to quality education at all levels and shall take appropriate steps to make 
such education accessible to all.” 
The State gives utmost priority to make available higher learning to all citizens 
throughout the archipelago. By virtue of this state policy, this led to the establishment of 
state universities in various parts of the Country. There were twenty-three (23) State 
Universities approved by Congress since 1987. Of these twenty-three (23) State 
Universities, thirteen (13) were established in Luzon and ten (10) were created in the 
Visayas. However, no new universities were created or established in Mindanao during 
this period. Figures show that the ratio of State Universities to the number of inhabitants 
in the region was 1: 1.8 million for both Luzon and Visayas, 1 :4 million for Mindanao. 
This measure proposes to address th~s inequity by separating the Iligan Institute of 
Technology, created by virtue of Republic Act No. 5363, from the Mindanao State 
University System, and converting it into the Science and Technology University of 
Southern Philippines (STUSP). Empowered by a new charter as an independent state 
institution of higher learning, it could now increase the competitiveness of the inhabitants 
of the Northern Mindanao region. Further, it will fulfill the demands for an educational 
facility to support the socioeconomic 
~ development of the Iligan- Cagayan area and the 
entire Southern Philippines, in general. 
Thus, the immediate approval of this bill is earnestly sought. 
A~UILINO Q. PIMENTEL, JR. 


1 3'h CONGRESS OF THE 
1 
FIRST REGULAR SESSION 
1 
REPUBLIC OF THE PHILIPPINES ) 
5 
klRR T6 P5 :52 .-- 
Introduced by Senator Aquilino Q. Pimentel, Jr. 
AN ACT 
SEPARATING THE ILIGAN INSTITUTE OF TECHNOLOGY IN THE! CITY OF 
ILIGAN FROM THE MINDANAO STATE UNIVERSITY IN THE CITY OF 
M m W I ,  PROVINCE OF LANA0 DEL SUR, CONVERTING IT INTO A STATE 
UNIVERSITY TO BE KNOWN AS THE SCIENCE AND TECHNOLOGY 
UNlVERSITY OF SOUTHERN PHILIPPINES (STUSP), THEREBY REPEALING 
REPUBLIC ACT NO 
5363 (AMENDED CHARTER OF THE NORTHERN 
MINDANAO INSTITUTE OF TECHNOLOGY) AND AMENDING REPUBLIC ACT 
NO 1387 (CHmTER OF THE MINDANAO STATE UNIVERSITY), AS AMENDED 
AND FOR OT€BR PURPOSES 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congvess assembled: 
SECTION 1. Separation and Conversion. - The Iligan Institute of Technology in 
the City of Iligan, is hereby separated from the Mindanao State University (MSU) in 
Marawi City, Province of Lanao del Sur and converting it into a State University, to be 
known as the Science and Technology University of Southern Philippines (STUSP), 
hereinafter referred to as the University. 
SEC. 2. General Mandate. - The University shall provide advance instruction and 
training in the fields of science and technology, agriculture, fisheries and forestry, arts 
and humanities, education and related courses that will support the development of the 
province of Lanao del Norte and Southern Philippines. It shall undertake research and 
extension services and provide progressive leadership ia its area of specialization. 
SEC. 3, Curricular Offering. - The University shall offer undergraduate, graduate 
courses in the fields of science and technology, agriculture, fisheries and forestry, arts 
and humanities, education and other degrees within its areas of specialization and 
according to the capabilities as the Board of Regents may deem necessary to carry out its 
objectives, particularly to meet the needs of the Province of Lanao del Norte and the 
Southern Philippines. 
The existing developmental high school will be allowed to remain aid operate 
within the campus of the University as laboratory high school for the College of 
Education. 
SEC. 4. Administration. - The administration and the exercise of corporate 
powers is hereby vested exclusively in the Board of Regents and in the President of the 
University insofar as authorized by the Board. 
SEC. 5. The Board of Regents. ,- The Board of Regents, hereinafter referred to as 
the Board, shall be composed of the following: 
(a) Chairperson of the Commission on Higher Education (CHED), chairman; 
(b) President of the University, vice chairman; 


(c) Chairpe son of the Committee on Education, Arts and Culture of the Senate, 
member 7 
(d) Chairperson of the Committee on Higher and Technical Education of the 
House of Representatives, member; 
(e) Regional Director of the National Economic Development Authority (NEDA), 
Region X, member; 
(9 Regional Director of the Department of Science and Technology (DOST), 
Region X, member; 
(g) President of the faculty association of the University, member; 
(h) President of the administrative staff and non- teaching employees association 
of the University, member; 
(i) President of the supreme student council of the University, member; 
(j) President of the alumni association ofthe University, member; and 
(IC) Two (2) prominent citizens from the private sector who have distinguished 
themselves in their profession or fields of specialization, as members 
The Board of Regents shall appoint prominent citizens from among a list of at 
least five (5) persons qualified in the City of Iligan and Province of Lanao del Norte, as 
recommended by the search committee constituted by the University President, in 
consultation with the Chairman of CHED and other members of the Board, based on the 
normal standards and qualifications for the position. 
The term of office of the representatives of the faculty association, administrative 
staff and non-teaching employees association, supreme student council and the alumni 
association shall be coterminous with their respective terms of office, as set forth in their 
respective Constitutions and By- laws. 
The two (2) private sector representatives shall serve for a term of two (2) years 
from date of appointment. 
SEC. 6. Promulgation and Implementation of Policies. - The Board shall 
promulgate and implement policies in ,accordance with the declared state policies on 
education and other pertinent provisions of the Philippine Constitution on education, 
science and technology, agriculture, as well as the policies, standards, and thrusts of the 
CHED under Republic Act No. 7722, otherwise known as the “Higher Education Act of 
1994”. 
SEC. I .  Powers and Duties of the Board of Regents. - The Board shall have the 
following specific powers and duties, in addition to its general powers of administration 
and the exercise of the powers granted to the Board of Directors of a corporation under 
existing laws: 
(a) 
To enact rules and regulations not contrary to law as may be necessary to 
carry out the purposes and functions of the University; 
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 purposes and functions of the University; 
To import duty-free economic, technical and cultural books and/ or 
publications, upon certification of the CHED that such imported books 
and/ or publications are for economic, technical, vocational, scientific, 
(b) 
(c) 


philosophical, historical, or cultural purposes, in accordance with the 
provisions of the Tariff and Customs Code, as amended; 
To receive in trust, legacies, gifts and donations of real and personal 
properties of all kinds, to administer and dispose of the same when 
necessary for the benefit of the University, subject to limitations, 
directions and instructions of the donors, if any. 
(d) 
Such donations. shall be exempt from all taxes and shall be 
considered as deductible items from the income tax of the donor and the 
same shall be considered as allowable deductions 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 (NIRC), as amended: 
Provided, that such donations shall not be disposed of, transferred or sold; 
To fix 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 consultation with involved 
sectors. 
(4 
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 
for the use of the University. 
all interests that shall accrue therefrom shall form part of the same fund 
i 
Any provision of existing laws, d e s  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 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 reasons beyond its 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 may authorize the 
use of said funds for a reasonable purpose which in its discretion, may be 
necessary and urgent for the attainment of the objectives and goals of the 
University; 
To adopt and implement a socialized scheme of tuition and school fees for 
greater access to poor but deserving students; 
To authorize the construction or repair of the University 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 sanctioned by 
the Board, that are incidental to the conduct of educational purposes, shall 
be exempt from all taxes and duties; 
To appoint, upon recommendation of the President of the University, vice 
presidents, deans, directors, heads of departments, faculty members and 
other officials and employees; 
To fix and adjust salaries of faculty members and administrative officials 
and employees subject to the provisions of the Revised Compensation and 
Position Classification System, New Budgetary Circular No. 308 and 
other pertinent budget and compensation laws governing hours of service, 
(9 
(SI 
(h) 
6) 


and such other duties and conditions as it may deem proper, to grant them, 
at its discretion, leaves of absence under such regulations as it may 
promulgate, any provision of existing law to the contrary notwithstanding, 
and to remove them form cause in accordance with the requirements of due 
process of law; 
To approve the curricula, institutional programs and rules of discipline, 
drawn by the administrative and academic councils as herein provided; 
To set policies on admission and graduation of students; 
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 academic 
competence of the University and to authorize the award of certificates of 
completion of non-degree and non-traditional courses; 
To absorb non-chartered tertiary institutions within the Province of Lanao 
del Norte or Southern Philippines in coordination with the Commission 
Higher Education and in consultation with the Department of Budget and 
Management, and to offer therein needed programs or courses, to promote 
and carry out equal access to educational opportunities mandated by the 
Constitution; 
To establish research and extension centers where such will promote the 
development of the University; 
To establish chairs in the University and to provide fellowships for 
qualified faculty members and scholarships to deserving students; 
To delegate any of its powers and duties provided for hereinabove to the 
president and/or other officials of the University as it may deem 
appropriate so as to expedite the administration of the affairs of the 
University; 
To authorize an external management audit of the institution, to be 
financed by the CHED, subject to COA rules and regulations; and to 
institute reforms, including academic and structural changes, on the basis 
of the audit results and recommendations; 
To collaborate with other governing boards of state universities and 
colleges within the province of Lanao del Norte or the Southern 
Philippines region, under the supervision of the CHED and in consultation 
with the Department of Budget and Management, the restructuring of the 
University to become more efficient, relevant, productive and competitive; 
To enter into joint ventures with business and industry for the profitable 
development and management of the economic assets of the University, 
the proceeds from which shall be used for the development and 
strengthening of the University; 
To develop consortia and other forms of linkages with local government 
units, institutions and agencies, public or private, local and foreign, in 
fbrtherance of the purposes and objectives of the University; 
To develop academic arrangements for institution capability building with 
appropriate institutions and agencies, public or private, local or foreign 
and to appoint experts/specialists as consultants, or visiting or exchange 
professors, scholars, researchers, as the case may be; 


To set up the adoption of modem and innovative modes of transmitting 
knowledge such as the use of information technology, the dual system, 
open learning or distance education, community laboratory, etc., for the 
promotion of greater access to higher education and graduate, as the case 
may be; 
To establish policy guidelines and procedures for participative decision- 
making and transparency within the University; and 
To privatize, where most advantageous to the University, management and 
non-academic services such as health, food, building or grounds or 
property maintenance and similar such other activities. 
SEC. 8. Meetings of the Board of Regents, Quorum, Notices and Presiding 
OSficer. - The Board shall convene regularly at least once every quarter. However, the 
Chairperson of the Board may, upon three (3) days' prior written notice, call a maximum 
of two (2) special meetings, whenever necessary. 
( 9  
(w) 
( X I  
A quorum of the Board shall consist of the majority of all members 
holding office at the time of the meeting. Provided, however; That the Chairperson of the 
Board or the President of the University is among those present in the meeting. 
In the absence of the Chairperson of the Commission on Higher 
Education, a commissioner of the CHED, duly designated by him, shall represent him in 
the meeting with all the rights and, responsibilities of a regular member: Provided, 
however, That during this meeting, the President of the University as Vice Chairman 
shall be the presiding officer: Provided, Jitrther, That this proviso notwithstanding, the 
Chairperson of the CHED is hereby authorized to designate a CHED Commissioner as 
the regular chair of the Board of Regents, in which case said CHED commissioner shall 
act as Presiding Officer. 
In the case the Chairpersons of the Congressional Committees on 
Education shall not' be able to attend ,the Board meeting, they may duly designate their 
respective representatives to attend the ,said meeting, who shall have the same rights and 
responsibilities as a regular member of the Board. 
The members of the Board shall not receive any salary but shall be entitled 
to reimbursements for actual and necessary expenses incurred, either in their attendance 
to the meetings of the Board or in connection with other official business authorized by 
resolution of the Board, subject to existing laws and regulations. 
SEC. 9. The University President. - The University shall be headed by a 
President, who shall render full time service. He shall be appointed by the Board, subject 
to the guidelines, qualifications and/or standards set by it, upon recommendation of a 
duly constituted search committee. He, shall have a term of four (4) years and shall be 
eligible for reappointment for another term, Provided, That in order to effect a smooth 
transition to a State University, the incumbent head of the MSU-IIT, if qualified, shall 
serve as the first President of the University. 
Within six (6) months before the expiration of the term of office of the 
incumbent President of the Science and Technology University of Southern Philippines, 
the Board shall constitute the Search Committee for the Presidency (SCP). 
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 his office, the Board shall designate an Officer-in-Charge of the 
University within six (6) months from date of vacancy, pending appointment of a new 
President. 


In case of vacancy in the office of the President as mentioned in the 
immediately preceding paragraph, the Oficer-in-Charge or the newly appointed 
President shall hold office for the unexpired term only. 
6 
The powers and duties iof the President of the University, in addition to 
those specifically provided in this Act, shall be usually pertaining to the office of the 
President in similar universities, and those delegated by the Board. 
The salary of the President of the University shall be in accordance with 
the Revised Compensation and Position Classification System and NBC No. 308 and 
shall be comparable to that being received by the Presidents of similar educational 
institutions. 
The President of the University shall be assisted by Vice Presidents, who 
shall be appointed by the Board upon recommendation of the President. 
SEC. 10. Universiy Site. -The site of the MSU-IIT that has been reserved 
for the use of the latter under Republic ;Act No. 4626, otherwise known as the “Charter of 
the Northern Mindanao Institute of ITechnology (NMIT)” and the Memorandum of 
Agreement between the NMIT and the, d e h c t  Bureau of Vocational Education, or its 
successor-in-interest, covering approximately nine (9) hectares, located in the City of 
Iligan, is hereby granted for the exclusive use of the University. 
SEC. 11. The Adnzinistvative Council. - There shall be an Administrative 
Council consisting of the President of the University as Chairman, Vice Presidents, 
Deans, Directors and other officials of equal rank as members, whose duty is to review 
and recommend to the Board policies, governing the administration, management and 
development of the University for appropriate action. 
SEC. 12. The Academic, Council. - There shall be an Academic Council 
with the President of the University as chairman, and all members of the academic staff 
with rank not lower than Assistant Professor as members. 
The Academic Council shall have the power to review and recommend the 
curricular offerings and rules of discipline of the University subject for appropriate action 
of the Board of Regents. It shall fix the requirements for the admission of students as well 
as for graduation and the conferment of degrees subject to review and/or approval by the 
Board of Regents through the President of the University. 
SEC. 13. f i e  Secretary of the Board - The Board shall appoint a 
Secretary, who shall serve as such for the Board and the University and shall keep all 
Board the notices of meetings. 
records and proceedings of the Board. He shalt communicate to each member of the 
6 
SEC. 14. The Treasurer of the University. - The Treasurer of the 
Philippines shall be the ex-officio treasurer of the University. 
SEC. 15. Faculty. - No religious opinion or affiliation shall be a matter 
of inquiry in the appointment of faculty members of the University: Provided, That said 
appointment shall be subject to the guidelines, qualifications and/or standards set by the 
Board. 
SEC. 16. Scholarship P,,gmndAdmission. - The University shall 
provide a scholarship program and other affirmative action programs to assist poor but 
deserving students who qualify for admission to the University, 
No student shall be denied admission to the University by reason of sex, 
religion, cultural or community affiliation or ethnic origin. 


SEC. 17. Academic Freedom and Institutional Autonomy. - The 
University shall enjoy academic freedom and institutional autonomy, pursuant to 
paragraph 2, Section 5 of Article XIV of the Constitution. 
SEC. 18. Authovi fy to Loan or Transfer Apparatus/Equipment/Supplies 
and Detail of Personnel. ~ 
The heads of bureaus and offices of the national government 
are hereby authorized to loan or transfer, upon the request of the President of the 
University, such apparatus, equipment or supplies as may be needed by the University, 
and to detail employees for duty therein when, in the judgment of the head of bureau or 
office, such apparatus, equipment, supplies or services of such employees can be spared 
without serious detriment to the public. The employees so detailed shall perform such 
duties as required by them by the President of the University, and the time's0 employed 
shall be counted as part of their regular services. 
SEC. 19. Assets, Liabilities and Personnel. - All assets, fixed and 
movable, records, personnel +nd funds, of the Mindanao State University- Iligan Institute 
of Technology, as well as liabilities or obligations, are hereby transferred to the 
University 
without 
exception 
and 
unconditionally. All 
personnel, 
academic, 
administrative and non-teaching employees, are hereby deemed absorbed into the staff of 
the University, with all rights and privileges carried over and these shall neither be 
diminished nor altered as a consequence of this Act. 
All parcels of land belonging to the government and occupied by MSU- 
IIT are hereby declared to be property,of the STUSP and shall be titled under that name, 
Provided, That should the University cease to exist or be abolished or should such parcels 
of land aforementioned be no longer needed by the University, the same shall revert to 
the local government unit concerned:i Provided, fidrther, That the State shall provide 
subsidy to the University in the form of land grants and donations and use of other real 
properties for the attainment of the objectives and goals of the University. 
Such parcels of land ceded by law, decree or presidential issuance to the 
University are hereby declared to be reserved for the purposes intended. The absolute 
ownership of the University over these landholdings including those covered by original 
and transfer certificates of title in the name of the University and their future derivatives 
are 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 (6) 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. 
SEC. 20. Appropriations. - The amount needed to carry out the 
provisions of this Act shall be charged against the current year's appropriations of the 
Mindanao State University- Iligan Institute of Technology. Thereafter, such sums as may 
be necessary for the continued operation and maintenance of the Science and Technology 
University of Southern Philippines shall be included in the annual General 
Appropriations Act. 
SEC. 21. Development Plan, Management Audit, Organizational/ 
Administrative/ Academic Slructure. - Within the period of one hundred twenty (120) 
days after the approval of this Act, the University shall accomplish the following: 
(a) Submit a five (5) year development plan, including its corresponding 
program budget to t.he CHED, for recommendation to the 
Department of Budget and Management (DBM); 
(b) Undergo a management audit in cooperation with DBM; 


(c) Accordingly set up its organizational, administrative as well as 
academic structure including the appointment of the University key 
officials. 
SEC. 22. Filzng of Report. - On or before the fifteenth (15“) day of the 
second (2nd) month after the opening of regular classes each year, the President of the 
University shall file with the Ofice of the President of the Philippines, through the 
Chairpersons of the Commission on Higher Education, and with the Senate and House of 
Representatives a detailed report of thelprogress, conditions and needs of the University. 
SEC. 23. Suppletory Application. - The provisions of Republic Act No. 
8292, otherwise known as the “Higher Education Modernization Act of 1997”, shall be 
an integral part of this Act and shall serve as part of the Governing Charter of the 
University. 
d 
SEC. 24. Parzty Clause. - All other powers, functions and privileges, 
responsibilities and limitations to State Universities and/or their officials under existing 
laws shall be deemed granted to or iimposed upon the University and/or its officials 
whenever appropriate. 
SEC. 25. Implementing Rules and Regulations. - The Commission on 
Higher Education (CHED) shall formulate the guidelines to hlly implement the 
provisions of this Act. 
SEC. 26. Separa6ility Clause. - If any provision of this Act or the 
application of such provision to any person or party is declared invalid, the remainder of 
the Act or the application of such provision to other persons or parties shall not be 
affected by such declaration of invalidity. 
SEC. 27. Repealing Clause. - Republic Act No. 5363is hereby repealed 
and Republic Act No. 1387, as amended, is likewise hereby amended. All laws, rules and 
regulations and other issuances or parts thereof which are contrary to or inconsistent with 
this Act are hereby repealed or modified accordingly. 
SEC. 28. Effecfivity. - This Act shall take effect upon its approval 
Approved