SEVENTEENTH CONGRESS __)
REPUBLIC OF THE PHILIPPINES )
Second Regular Session )

HOUSE OF REPRESENTATIVES

House Bit! No.6830
EXPLANATORY NOTE

In 1994, the Commission on Higher Education was created to take on the
responsibility of the then Department of Education, Culture and Sports over higher
education and research. Essentially, the Commission was provided overall supervision
and regulatory powers over private higher educational institutions and degree
programs, and limited influence over state universities and colleges through
chairmanship of their governing boards and the recommendation of their budgets to
the Department of Budget and Management.

To enhance its developmental role in the higher education subsystem, the
Commission was armed with a Higher Education Development Fund which it can use
to support, among others, faculty development, the development of centers of
excellence in various fields of leaming, and enhancing governance over, and linkages
between and among, private and public higher educational institutions.

More than a decade after its creation, experiences as well as the enactment of
several laws on different professions and professional regulations have necessitated
the need to clarify the powers of and strengthen the Commission.

The increase in the number of state universities and colleges (SUCs) as well as
the imminent and problematic creation of locally-funded universities and colleges
(LUCs), and the concomitant offering by these SUCs and LUCs of numerous degree
programs without a CHED evaluation, the rational allocation of state support to these
SUCs, the absence of a grievance and conciliation mechanism on academic issues,
and the limitation on the number of educational institutions that may be created, are all
being addressed in this Bill.

Lastly, this bill seeks to clarify that the Higher Education Development Fund is
a trust fund and therefore is free from restriction or limitation on budgetary releases.

In view thereof, immediate approval of this Bill is sought.

MAXIMO B. RODRIGUEZ, JR.


‘SEVENTEENTH CONGRESS
REPUBLIC OF THE PHILIPPINES )
Second Regular Session )

HOUSE OF REPRESENTATIVES

Introduced by Representative Maximo B. Rodriguez, Jr.
6830

AN ACT
STRENGTHENING THE COMMISSION ON HIGHER EDUCATION (CHED),
AMENDING FOR THE PURPOSE REPUBLIC ACT NO. 7722, ENTITLED “AN ACT
CREATING THE COMMISSION ON HIGHER EDUCATION, APPROPRIATING
FUNDS THEREFOR AND FOR OTHER PURPOSES”

House Bill No.

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

SECTION 1. Section 2 of Republic Act (R. A.) No. 7722 is hereby amended to read as
follows:

“SEC. 2 Declaration of Policy. - The State shail protect, foster
and promote the right of all citizens to affordable quality education at all
levels and shall take appropriate steps to ensure that education shall be
accessible to all. The State shall likewise ensure and protect academic
freedom and shall promote its exercise and observance for the
continuing intellectual growth, the advancement of leaming and
research, the development of responsible and effective leadership, the
education of high-level [and middle-level] professionals, and the
enrichment of our historical and cultural heritage.

XXXX"

SEC. 2. Section 3 of R.A. 7722 is amended to read as follows:

“SEC. 3. Creation of the Commission on Higher Education. - in
pursuance of the abovementioned policies, the Commission on Higher
Education is hereby created, hereinafter referred to as the Commission.

The Commission shall be a collegial body independent and
separate from the Department of Education, [Culture and Sports
(DECS)] (DEPED), and attached to the Office of the President for
administrative purposes only. Its coverage shall be both public and
private institutions of higher education [as well as degree-granting]
OFFERING DEGREE programs [in all post-secondary educational
institutions, public and private].

SEC. 3. Section 4 of R.A. 7722 is hereby deleted and replaced with a new Section 4,
to read as follows:
“SEC. 4. BOARD OF COMMISSIONERS. THERE SHALL BE A
MULTI-SECTORAL AND INTERDISCIPLINARY GOVERNING BOARD
OF COMMISSIONERS RESPONSIBLE FOR POLICY-MAKING AND
GOVERNANCE OF THE ENTIRE SUBSYSTEM OF HIGHER
EDUCATION. IT SHALL BE COMPOSED OF SEVEN MEMBERS
WHO WILL SERVE IN PART-TIME CAPACITY AND WHO SHALL
REPRESENT THE ACADEME, PROFESSIONAL ASSOCIATIONS,
PRIVATE AND PUBLIC BUSINESS AND INDUSTRY AND SUCH
OTHER SECTORS WHICH HAVE DIRECT STAKES IN HIGHER


EDUCATION: PROVIDED, THAT, THE DIRECTOR-GENERAL OF THE
SECRETARIAT SHALL BE AN EX-OFFICIO BUT NON-VOTING
MEMBER OF THE BOARD.

THE COMMISSIONERS SHALL BE PERSONS OF HIGHEST
PROFESSONALISM AND INTEGRITY, AND WHO HAVE
DISTINGUISHED THEMSELVES AS AUTHORITIES AND EXPERTS
IN THEIR CHOSEN FIELDS OF LEARNING AS PROFESSORS,
RESEARCHERS, MANAGERS, PROFESSIONAL PRACTITIONERS
AND OTHER LINES OF ENDEAVORS THAT CAN CONTRIBUTE TO.
THE EFFICIENT AND EFFECTIVE EXTERNAL GOVERNANCE OF
HIGHER EDUCATION. NO PERSON CAN BE APPOINTED
COMMISSIONER IF HE HAS BEEN A CANDIDATE FOR ELECTIVE
POSITION IN THE IMMEDIATELY PRECEEDING ELECTION.

IN NO CASE SHALL ANY AND ALL OF THE
COMMISSIONERS APPOINT REPRESENTATIVES TO ACT ON
THEIR BEHALF.

THE COMMISSION SHALL BE AN EQUAL-OPPORTUNITY
INSTRUMENTALITY AND SHALL STRICTLY ADHERE TO THE
TENETS OF TRANSPARENCY AND ACCOUNTABILITY. TO
DEMOCRATIZE THE SELECTION AND APPOINTMENT OF
PERSONS IN THE BOARD OF COMISSIONERS AND THE
SECRETARIAT, ALL VACANCIES IN THE COMMISSION AND THE
SECRETARIAT SHALL BE WELL-PUBLICIZED AND TO WHICH THE
APPLICATION BY INDIVIDUALS OF MOST — SUITABLE
PROFESSIONAL QUALIFICATIONS AND MORAL PROBITY SHALL
BE ENCOURAGED. TO PRESERVE ACADEMIC AND FISCAL
AUTONOMY, THE COMMISSIONERS SHALL ELECT FROM AMONG
THEMSELVES THE CHAIRMAN AND VICE CHAIR OF THE
COMMISSION,

THE COMMISSION SHALL REGULARLY MEET ONCE IN TWO
MONTHS: PROVIDED, HOWEVER, THAT UPON CERTIFICATION OF
THE DIRECTOR-GENERAL OF THE SECRETARIAT, IT SHALL
CONVENE SPECIAL MEETINGS IF THE EXIGENCIES SO
WARRANT.

SEC. 4. Section 5 of R.A. 722s hereby amended to read as follows:
“SEC. 5. Term of Office. - The President shall appoint ALL the
[full-time chairman and the commissioners for a term of four (4) years.]
MEMBERS OF THE BOARD OF COMMISSIONERS without prejudice
to [one] reappointment BASED ON MERIT AND TRACK RECORD OF
PERFORMANCE. The terms of the initial appointees shall be on a
staggered basis TO ENSURE CONTINUITY AND COHERENCE OF
POLICIES AND PROGRAMS ACROSS ADMINISTRATIONS. [: the full
time chairman] A SET OF THREE COMMISSIONERS shall hold office
for a term of [four (4)] FIVE (5) years, the next two (2) commissioners
for three (3) years, and the last two (2) commissioners for two (2) years.
The Commission shall hold office until their successors shall

have been appointed and qualified. Appointment to any vacancy shall
only be for the unexpired term of the predecessor. In no case shall any
‘commissioner be appointed or designated in a temporary or acting

capacity.”

‘SEC. 5. Section 6 of the same Act is hereby amended to read as follows:
“SEC. 6. Rank and Emoluments. - The chairman, VICE CHAIR
and the commissioners shall have the rankS AND EMOLUMENTS


CORRESPONDING OR COMPARABLE TO THOSE APPOINTED IN
THE POLICY AND GOVERNING BOARDS OF PRIVATE AND PUBLIC
CORPORATIONS AS MAY BE DETERMINED BY THE OFFICE OF
THE PRESIDENT [of a Department Secretary and Undersecretary,
respectively. They shall receive the compensation and emoluments
corresponding to those of a Department Secretary and Undersecretary,
respectively, and shall be subject to the same qualifications].

SEC. 6. A new Section 7 is hereby inserted to the same Act as follows:

“SEC. 7. DUTIES AND RESPONSIBILITIES OF THE
CHAIRMAN. - SUBJECT TO PERTINENT LAWS AND THE POLICIES
AND RULES ADOPTED BY THE COMMISSION, THE CHAIRMAN
‘SHALL:

(1) ACT AS THE PRESIDING OFFICER OF THE

COMMISSION EN BANC;

(2) SUBMIT TO THE OFFICE OF THE PRESIDENT RULES
AND REGULATIONS ADOPTED BY THE COMMISSION,
WHICH REQUIRE PRESIDENTIAL ATTENTION
INCLUDING — ANNUAL AND OTHER PERIODIC
REPORTS; AND

(3) DIRECT THE DIRECTOR-GENERAL OF THE
SECRETARIAT ON THE PERFORMANCE OR
EXECUTION OF THE DECISIONS AND POLICIES OF
THE BOARD OF COMMISSIONERS”

‘SEC. 7. A new Section 8 is hereby inserted to the same Act as follows:

“SEC. 8. DUTIES AND RESPONSIBILITIES OF THE
COMMISSIONERS. - IN THE SPIRIT OF COLLEGIALITY, JOINTLY
WITH THE CHAIRMAN, THE COMMISSIONERS SHALL BE
RESPONSIBLE FOR THE EFFECTIVE EXERCISE OF THE POLICY
AND RULE-MAKING, RESOURCE ALLOCATION AND MANAGEMENT
FUNCTIONS OF THE COMMISSION OVER THE ENTIRE HIGHER
EDUCATION SUBSYSTEM. THEY SHALL LIKEWISE PERFORM
SUCH OTHER FUNCTIONS AS MAY BE DELEGATED BY THE
COMMISSION. IN CASE OF THE ABSENCE OF THE CHAIRMAN
AND THE VICE CHAIR DUE TO ILLNESS, INCAPACITY OR OTHER
SERIOUS CAUSE, THE MOST SENIOR FULL-TIME
COMMISSIONER SHALL PERFORM THE FUNCTIONS OF THE
CHAIRMAN.

NOTHING IN THIS ACT SHALL BE CONSTRUED TO MEAN
THE DEROGATION OF THE PREROGATIVES OF INTERNAL
GOVERNANCE AND FISCAL AUTONOMY OF THE INSTITUTIONS
OF HIGHER LEARNING AS WELL AS PROMOTE A CONFLICT OF
INTEREST BETWEEN THE FUNCTIONS OF INSTITUTIONAL
GOVERNING BOARDS AND THOSE OF THE COMMISSION IN THE
EXERCISE OF THE LATTER'S COORDINATIVE AND OVERSIGHT
FUNCTIONS OVER THE FORMER.”

SEC. 8. Section 7 of the same Act is hereby renumbered as Section 9.

SEC. 9. Section 8 of R.A. 7722 is hereby amended to read as follows:
“SEC. [8] 10. Powers and Functions of the Commission. - The
Commission shall have the following COLLEGIAL powers and functions OVER
THE SECRETARIAT AND THE HIGHER EDUCATION INSTITUTIONS:


a) formulate and [recommend] IMPLEMENT development plans,
policies, priorities and programs on higher education and research;
AND RECOMMEND TO THE EXECUTIVE AND LEGISLATIVE
BRANCHES, PRIORITIES AND GRANTS ON HIGHER
EDUCATION AND RESEARCH;

[b) formulate and recommend development plans, policies, priorities
and programs on research;

©) recommend to the executive and legislative branches, priorities and
grants on higher education and research;]

B) APPROVE THE CHANGES IN THE INSTITUTIONAL STATUS OF
PRIVATE UNIVERSITIES AND COLLEGES AND RECOMMEND
TO THE LEGISLATURE THE CREATION, DISSOLUTION AND
MERGER OF STATE COLLEGES AND UNIVERSITIES AND
OTHER PUBLICLY FUNDED TERTIARY INSTITUTIONS ON THE
BASIS OF NATIONAL AND SECTORAL DEVELOPMENT PLANS;

[d] C) set minimum standards for programs and institutions of higher
leaming recommended by panel of experts in the field and subject
to public hearing, and enforce the same. LIKEWISE, IT SHALL
HAVE THE EXCLUSIVE AUTHORITY TO DETERMINE THE
MINIMUM QUALIFICATIONS FOR FACULTY WHO CAN TEACH
IN HIGHER EDUCATION INSTITUTIONS;

[e] D) monitor and evaluate the performance of programs and
institutions of higher leaming, BOTH PRIVATE AND PUBLIC,
INCLUDING LOCALLY FUNDED COLLEGES AND
UNIVERSITIES, for appropriate incentives as well as the imposition
of sanctions such as, but not limited to, [diminution or] withdrawal
of subsidy, [recommendation on the] downgrading [or] AND
withdrawal of [accreditation, program termination] GOVERNMENT
RECOGNITION AND AUTHORITY TO OPERATE PROGRAMS or
school closure[;]: PROVIDED, THAT, THE COMMISSION SHALL
HAVE THE EXCLUSIVE/SOLE AUTHORITY TO CONDUCT
VISITATIONS TO HIGHER EDUCATION INSTITUTIONS (HEIS)
FOR ISSUANCE OF GOVERNMENT AUTHORITY TO OPERATE
PROGRAMS OR COURSES FOR MONITORING AND
EVALUATION PURPOSES;

{fl E) identify, support and develop potential centers of excellence in
Program areas needed for the development of world-class
scholarship, nation building and national development;

[9] F) [recommend to] ALLOCATE AND SUBDIVIDE THE TOTAL
BUDGET OF STATE UNIVERSITIES AND COLLEGES IN
COORDINATION WITH the Department of Budget and
Management [the budgets of public institutions of higher learning as
well as] AND RECOMMEND general guidelines for the use of their
income, BASED ON A NORMATIVE AND MERIT-BASED
FUNDING FORMULA WHICH SHAL BE FORMULATED BY THE
COMMISSION: PROVIDED, ALSO, THAT THE USE OF THE
INTERNAL AND EXTERNAL SOURCES OF DEVELOPMENT
FINANCING SHALL BE ALLOCATED ON MERIT AND EQUITY
GROUNDS ACROSS REGIONS AND PROVINCES, PROGRAMS
AND INSTITUTIONS;

{h] G) rationalize programs and institutions of higher leaming BASED ON
LOCAL AND REGIONAL DEVELOPMENT IMPERATIVES AND set
standards, policies and guidelines for the creation of new ones as
well as the conversion or elevation of schools to institutions of
higher leaming, subject to budgetary limitations and GEOGRAPHIC


DISTRIBUTION OF HIGHER EDUCATION INSTITUTIONS and the
LIMITATION ON THE number of institutions of higher learning in the
province or region where creation, conversion or elevation is sought
tobe made;

[1 H) develop criteria for allocating additional resources such as research
and program development grants, scholarships, and other similar
programs: Provided, That these shall not detract from the fiscal
autonomy already enjoyed by colleges and universities;

[i] |) direct or redirect purposive research by institutions of higher
leaming to meet the needs of agro-industrialization and
development AS WELL AS OTHER STRATEGIC AREAS OF
GLOBAL IMPORTANCE;

J) AUTHORIZE THE PERIODIC REVIEW OF THE ORGANIZATION,
FUNCTIONS, MISSION AND STRUCTURE OF THE ENTIRE
COMMISSION IN THE LIGHT OF THE COUNTRY’S SOCIAL,
ECONOMIC AND TECHNOLOGICAL CHANGES AND PROPOSE
THE NECESSARY INTERVENTIONS INCLUDING APPROPRIATE
LEGISLATIONS;

k) devise and implement resource development schemes;

) administer the Higher Education Development TRUST Fund, as
described in Section 10 hereunder, which will promote the purposes
of higher education;

m) review the charters of institutions of higher leaming and state
universities and colleges including the chairmanship and
membership of their governing bodies and recommend appropriate
measures as basis of necessary action;

N) CONDUCT MEDIATION, CONCILIATION, _ SETTLEMENT
MEETINGS OR CONFERENCES, EXERCISE APPELLATE
JURISDICTION BETWEEN HIGHER EDUCATION INSTITUTIONS
AND STUDENTS, TEACHERS, AND STAFF INVOLVING
ACADEMIC ISSUES ONLY, IN ACCORDANCE WITH RULES TO
BE ISSUED BY THE COMMISSION FOR THE PURPOSE;

In] ©) promulgate such rules and regulations and exercise such other
powers and functions as may be necessary to carry out effectively
the purpose and objective of this Act; and

[0] P) perform such other functions as may be necessary for its effective
operations and for the continued enhancement, growth or
development of higher education.

SEC. 10. Section 10 of the same Act is hereby amended to read as follows:

“SEC. [9] 11. The Secretariat. - The Commission shall organize
a TECHNICAL secretariat which shall be headed by [an executive
officer] A DIRECTOR-GENERAL, subject to the national compensation
and position classification plan. It shall fix the secretariat's [staffing
pattern, determine the duties, qualifications, responsibilities and
functions, as well as the compensation scheme for the positions to be
created upon the recommendation of the executive officer] STRUCTURE
BASED ON AN ACCEPTABLE ORGANIZATIONAL EVALUATION
STUDY THAT WILL RECOMMEND SUITABLE QUALIFICATION,
RESPONSIBILITIES AND FUNCTIONS AS WELL AS THE
APPROPRIATE COMPENSATION SCHEME THAT BEFITS AN
ORGANIZATION OF SUCH HIGHLY TECHNICAL AND
DEVELOPMENTAL MANDATE. It shall also prepare and approve its
budget.



THE COMMISSION SHALL HAVE THE AUTHORITY TO
APPOINT ITS OWN PERSONNEL AND DETERMINE THE
QUALIFICATION STANDARDS REQUIRED BY THE MANAGEMENT,
COORDINATION AND PLANNING FUNCTIONS OF THE
COMMISSION TOWARDS THE DEVELOPMENT OF WORLD-CLASS
HIGHER EDUCATION SUB-SYSTEM.

THE COMMISSION SHALL TAKE STEPS TO ATTRACT THE
MOST QUALIFIED AND COMPETENT STAFF IN ALL GRADES AND
LEVELS AND SHALL INSTITUTE NECESSARY AND FLEXIBLE
INTERNAL RULES AND PROCEDURES TOWARDS HIRING AND
REMOVAL OF PERSONNEL IN THE INTEREST OF EFFICIENCY,
ECONOMY, DISCIPLINE AND BETTER PERFORMANCE
STANDARDS.”

‘SEC. 11. Anew Section 12 is hereby inserted to the same Act, as follows:

“SEC. 12. THE EXECUTIVE OFFICERS. — THE COMMISSION
SECRETARIAT SHALL BE HEADED BY A DIRECTOR-GENERAL,
ASSISTED BY TWO DEPUTY DIRECTOR GENERALS WHO WILL
ALTERNATELY SERVE AS SECRETARY TO THE BOARD OF
COMMISSIONERS AND WHOSE OTHER RESPONSIBILITIES SHALL
BE BASED ON THE RESPONSIVE STRUCTURE AS RECOMMENDED
BY THE ORGANIZATIONAL EVALUATION. THE DIRECTOR
GENERAL SHALL ACT AS THE CHIEF OPERATING AND EXECUTIVE
OFFICER OF THE COMMISSION AND SHALL BE AN EX-OFFICIO
NON-VOTING MEMBER OF THE BOARD OF COMISSIONERS. AS
SUCH, THE DIRECTOR-GENERAL, WITH THE RANK OF
UNDERSECRETARY, SHOULD HAVE A WELL-BALANCED
EXPERIENCE AND EXPOSURE IN ORGANIZATIONAL AND
FINANCIAL MANAGEMENT IN BOTH PUBLIC AND PRIVATE
SETTING AND HUMAN RESOURCES DEVELOPMENT, AMONG
OTHERS.

AS DIRECTOR-GENERAL HE SHALL:

(1) EXECUTE AND IMPLEMENT POLICIES, STANDARDS, RULES
AND REGULATIONS PROMULGATED BY THE COMMISSION;

(2) SUPERVISE AND COORDINATE THE PROGRAMS OF THE
CENTRAL, REGIONAL, AND OTHER OFFICES OF THE
COMMISSION AND RENDER PERIODIC REPORTS ON THEIR
OPERATIONS;

(3) DIRECT AND SUPERVISE THE INTERNAL ADMINISTRATION
AND DAY TO DAY OPERATIONS OF THE COMMISSION;

(4) SIGNSSUE APPOINTMENTS TO SUBORDINATE OFFICIALS
AND EMPLOYEES OF THE COMMISSION IN ACCORDANCE
WITH LAW;

(8) | DELEGATE AUTHORITY FOR THE PERFORMANCE OF ANY
FUNCTION TO OFFICIALS AND EMPLOYEES OF THE
COMMISSION;

(4) | SUBJECT TO THE CONCURRENCE OF THE COMMISSION,
MAKE TEMPORARY ASSIGNMENTS, ROTATE, AND
TRANSFER PERSONNEL IN ACCORDANCE WITH
PERTINENT LAWS;

(5) | SUBMIT AN ANNUAL BUDGET OF THE SECRETARIAT AND
COMPOSITE HIGHER EDUCATION BUDGET TO THE
COMMISSION FOR APPROVAL;


(©) REPRESENT THE COMMISSION ON HIGHER EDUCATION IN
INTERNATIONAL ORGANIZATIONS AND MEETINGS WHICH
EXCLUSIVELY DEAL WITH HIGHER EDUCATION; AND

(7) PERFORM SUCH OTHER FUNCTIONS AS MAY BE
AUTHORIZED BY THE COMMISSION.

‘SEC. 12. Section 10 of the same Act is hereby amended to read as follows:

“SEC. [10] 13. The Higher Education Development TRUST
Fund. - A Higher Education Development TRUST Fund, hereinafter
referred to as the TRUST Fund, is hereby established exclusively for the
strengthening of higher education in the entire country. FOR THIS
PURPOSE, THE COMMISSION SHALL EXERCISE COMPLETE
AUTONOMY OVER THE MANAGEMENT AND USE OF THE FUND.
XXX xX"

SEC. 13. Section 11 of the same Act is hereby amended to read as follows:
“SEC. [11] 14. Management and Administration of the Higher

Education Development TRUST Fund. - The TRUST Fund shall be
iministered by the Commission. For sound, PROFITABLE and
judicious management of the TRUST Fund, the Commission shall
appoint a reputable government financial institution as portfolio manager
of the Fund, subject to the following conditions:

‘As administrator of the TRUST Fund, the Commission shall
prepare the necessary guidelines for its use, subject to the following
conditions:

a) No part of the seed capital of the TRUST Fund, including
eamings thereof, shall be used to underwrite overhead
expenses for administration;

b) Unless otherwise stipulated by the private donor, only
eamings of private contributions shall be used for
administrative expenses;

c) The Commission shall appoint and organize a separate
staff, independent administratively and budgetarily separate
from the Commission Secretariat; and

4) The TRUST Fund shall be utilized equitably according to
regions, HIGHER EDUCATION INSTITUTIONS and
programs. IN NO CASE SHALL THE TRUST FUND BE
UTILIZED FOR PURPOSES BENEFITING INDIVIDUALS
OTHER THAN THOSE EARMARKED FOR THE
DEVELOPMENTAL PURPOSES.

SEC. 14. Section 12 of the same Act is hereby amended to read as follows:

“SEC. [12] 15. The Technical Panels. - The Commission shall

reconstitute and/or organize technical panels for _ different

disciplines/program areas. They shall assist the Commission in setting

standards, PROGRAM DEVELOPMENT and in program and institution

monitoring and evaluation. The technical panels shall be composed of

senior specialists, PROFESSIONAL PRACTITIONERS or academicians

to be appointed by the Commission. THEY SHALL BE DIRECTLY
UNDER THE OFFICE OF THE DIRECTOR-GENERAL

‘SEC. 15. Section 13 of the same Act is hereby amended to read as follows:
*SEC. [13] 16. Guarantee of Academic Freedom. - Nothing in this
‘Act shall be construed as limiting the academic freedom of universities
and colleges. In particular, no abridgment of curricular freedom of the


individual educational institutions by the Commission shall be made
except for: (a) minimum unit requirements for specific academic
programs, (b) general education distribution requirements as may be
determined by the Commission; and (c) specific professional subjects as
may be stipulated by the various licensing entities. No academic or
curricular restriction shall be made upon private educational institutions,
which are not required for chartered state colleges and universities: -
PROVIDED, HOWEVER, THAT PROGRAM OFFERINGS OF STATE
UNIVERSITIES AND COLLEGES (SUCS) SHALL FOLLOW AND BE
APPROVED IN ACCORDANCE WITH THE MINIMUM STANDARDS.
AND REQUIREMENTS PRESCRIBED BY THE COMMISSION.”

‘SEC. 16. Section 14 of the same Act is hereby amended to read as follows:
“SEC. [14] 17 . Accreditation. - The Commission shall provide
incentives to institutions of higher learning, public and private, whose
programs are accredited or whose needs are for accreditation purposes.
THE COMMISSION SHALL LIKEWISE FORMULATE GUIDELINES
FOR GRANTS FROM THE HEDF AS INCENTIVES FOR
ACCREDITATION.

SEC. 17. Section 15 of the same Act is hereby amended to read as follows:

“SEC. [15] 18. Tax Exemptions. - Any donation, contribution,
bequest and grant which may be made to the Commission shall
constitute as allowable deduction from the income of the donor for
income tax purposes and shall be exempt from donor's tax, subject to
such conditions as provided under the National intemal Revenue Code,
as amended, AND CONSISTENT WITH THE NATIONAL PRIORITIES
PLAN IN COORDINATION WITH THE NATIONAL ECONOMIC AND
DEVELOPMENT AUTHORITY.”

SEC. 18. Repealing Clause. All laws, republic acts, presidential decrees,
executive orders, rules and regulations or parts thereof which are inconsistent
with the provisions of this Act are hereby repealed or modified accordingly.

SEC. 19. Separability Clause. If any part or provision of this Act shall be
declared unconstitutional or invalid, other provisions hereof which are not
affected thereby shall continue to be in full force and effect.

SEC. 20. Effectivity. - This Act shall take effect after fifteen (15) days from
publication in a newspaper of general circulation.

Approved,