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

HOUSE OF REPRESENTATIVES

Introduced by Representative Maximo B. Rodrig

House Bill No, 70.76

EXPLANATORY NOTE

Article XIV, Section | of the Constitution provides that “the State shall protect and
promote the right of all citizens to quality education at all levels and shall take appropriate
steps to make such education accessible to all’. Thus, education has always enjoyed the
highest budgetary priority in the annual budget of govemment as mandated by the
Constitution itself.

However, the meager resources of government led to the stagnation of budgetary
allocation across all sectors including education. As a result, the resources provided for
education has not kept pace with the growing student population. Massive backlog in
classrooms, textbooks, desks and even teachers has continued to plague the public
education system.

The passage of the Goverment Assistance to Students and Teachers in Private
Education (GASTPE) Program in 1989 and its subsequent amendment in 998 tapped the
potential of the private education system to fulfill the Constitutional mandate to make
education accessible to all Filipinos. It made use of the otherwise unutilized capacity of the
private schools to cater to students which cannot be accommodated by the public education
‘system.

Since its inception in 1989, GASTPE has provided support to over 700,000
beneficiaries in private schools. It has helped more than 1,400 private schools which
enrolled in the program. The program has been very successful but has not achieved full
potential due to budgetary constraints. According to the Department of Education, at least
P2 billion pesos is needed on top of the annual appropriations for the program to achieve the
desired level of 500,000 beneficiaries at P4,000 per grantee.

In addition to this, the scarce resource for the program has made its appropriation
centered on the student beneficiary and has left little or none at all for teachers who are also
intended to be provided with the proper training.

This bill seeks to increase the funding for the GASTPE Program in order to address
the deficiency in the public education sector. It allocates P1 billion pesos exclusively to
teachers to upgrade their training skills for the delivery of quality education to students.

In addition, it seeks to institute a voucher system in place of the current tuition fee
supplement program to further improve benefits to students enrolled in private schools.

In view of the foregoing, the passage of this measure is eamestly sought.

MAXIMO B. RODRIGUEZ, JR.


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

HOUSE OF REPRESENTATIVES

Introduced by Representative Maximo B. Rodriguez, Jr.

House Bill No. 20.76

AN ACT
PROVIDING FOR AN EXPANDED VOUCHER SYSTEM IN THE ELEMENTARY AND
SECONDARY EDUCATION, AMENDING FOR THE PURPOSE REPUBLIC ACT NO. 6728,
AS AMENDED

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

SECTION 1. Section 2 of Republic Act No. 6728, otherwise known as the “Government
Assistance to Students and Teachers in Private Education Act’, as amended, is hereby
further amended to read as follows:

“SEC 2. Declaration of Policy. It is a declared policy of the
state in conformity with the mandate of the Constitution, to promote
and make quality education accessible to all Filipino citizens. The
State also hereby recognizes the complementary roles of public and
private educational institutions in the educational system and the
invaluable contribution that the private schools have made and will
make to education. For these purposes, the State shall provide the
mechanisms to improve quality in private education, recognizing in the
process the government's responsibility to provide basic elementary
and secondary education, post secondary vocational and technical
education and higher education as having priority over its other
functions.

“Elementary education is the first six (6) years of basic
education, excluding pre-school and grade seven, the completion of
Which is attested by a certificate issued by or with permission of the
Department of Education, {,Culture and Sports], Secondary education
is the next four (4) years of basic education, the completion of which is
attested by a high schoo! diploma issued by or with permission of the
Department of Education [, Culture and Sports).

“Post-secondary education may be education and training in
non-degree vocational and technical courses offered in post-
secondary vocational and technical institutions or education in degree
courses offered by higher educational institutions, the completion of
which are attested by a certificate or diploma issued by or with
permission of the Technical Education and Skills Development
Authority (TESDA) or the Commission on Higher Education (CHED)
respectively.

SEC 2. Section 3 of Republic Act No. 6728, as amended, is hereby further amended
to read as follows:

“SEC 3. Criteria for Assistance. The programs for assistance

shall be based on a set of criteria which include among others, tuition

AND OTHER fees charged by the schools, the socio-economic needs

‘of each region giving priority to the [the Social Reform Agenda (SRA)


provinces] THE POOREST REGIONS, PROVINCES OR
MUNICIPALITIES, overall performance of the schools, the academic
qualifications and the financial needs of the schools, as well as the
Geographic spread and size of student ENROLLMENT.

“in addition to the foregoing criteria, within which such
reasonable time as the respective State Assistance Council may
determine, student grantees under the Private Education Student
Financial Assistance Program shall be enrolled in schools which have
accredited programs or are applying for accreditation as may be
recognized by the respective State Assistance Council

“Preference shall be given to students whose ANNUAL family
income is [not more than Seventy-two thousand pesos (P72,000.00)
or such amounts as may be determined by the respective councils, as
defined hereinafter] BELOW THE POVERTY THRESHOLD INCOME
LEVEL IN THEIR RESPECTIVE REGION, PROVINCE, OR
MUNICIPALITY AS MAYBE DETERMINED BY THE APPROPRIATE
GOVERNMENT AGENCY, OR IN THE ABSENCE OF SUCH DATA,
THE NATIONAL POVERTY THRESHOLD INCOME LEVEL AS
MAYBE DETERMINED BY THE NATIONAL ECONOMIC
DEVELOPMENT AUTHORITY.

“For purposes of this Act, programs of assistance to students
and teachers of private post-secondary vocational and technical
institutions and higher educational institutions shall likewise be
extended to students and teachers of community colleges in degree
and non-degree programs. Implementation of the program shall
encourage students to undergo post-secondary vocational and
technical and higher education courses in the same region where their
families reside.

“The programs of assistance under this Act shall be extended
only to students who are citizens of the Philippines.

“The State Assistance Council, jointly with the Department of
Education) DepEd, [Culture and Sports (DECS) and the TESDA shall
formulate measurement standards for the evaluation of the quality of
courses as well as the standing and status of the recipient institutions.

‘Within five (5) years from the approval of this Act, the
assistance shall be given to schools: Provided, That The present
allocation of the tuition fee and other income of the schools shall be
used at the same proportion and allocation as provided by law.

SEC 3. Section 4 of Republic Act No. 6728, as amended, is hereby further amended to read
as follows:

SEC 4. Forms of Assistance. Assistance to private education
shall consist of assistance to students [and], assistance to teachers
and ASSISTANCE TO SCHOOLS.

“The following are forms of assistance to students in private

education:

“(1) Tuition fee supplements for students in private [high]
ELEMENTARY AND SECONDARY schools, including
students in vocational and technical courses;

“(2) [High School] Textbook Assistance Fund: Provided, That the
textbook assistance per student in private ELEMENTARY OR
SECONDARY [high] schools shall be determined by the
council and shall not exceed what students in public
ELEMENTARY OR SECONDARY schools are provided on a
per student basis [under a comprehensive textbook, program


of the Secondary Education Development Program (SEDP)]:
Provided, further, That the textbook assistance shall be
granted only to beneficiaries of tuition fee supplements and
educational service contracting scheme provided in this Act;

“(3) Expansion of the existing Educational Service Contracting
(ESC) Scheme;

“(4) The voucher system of the Private Education Student Financial
Assistance Program (PESFA);

“(8) Scholarship grants to students who graduated as
valedictorians and salutatorians from ELEMENTARY AND
secondary schools;

“@) Tuition fee supplements to students in private colleges and
universities; and]

“(7) _ Education Loan Fund

The following are forms of assistance to teachers and faculty in private

education:

“(1)__ In-service training fund for teachers in private [high] ELEMENTARY

OR SECONDARY schools; and

“@) College Faculty Development Fund.

THE FOLLOWING ARE FORMS OF ASSISTANCE TO PRIVATE SCHOOLS:

(1) UTILIZATION OF THEIR UNUSED CAPACITY THROUGH
THE EXPANDED EDUCATION SERVICE CONTRACTING
SCHEME;

(2) SCHOLARSHIPS FOR QUALIFIED ELEMENTARY AND
SECONDARY TEACHERS ENROLLED IN QUALITY
GRADUATE PROGRAMS;

(3) PARTICIPATION IN GOVERNMENT FUNDED IN-SERVICE
TRAINING FOR PRIVATE ELEMENTARY AND SECONDARY
TEACHERS;

(4) ACCESS TO GOVERNMENT FUNDED LABORATORY
FACILITIES ESPECIALLY FOR SCIENCE AND
TECHNOLOGY.

‘SEC 4. Section 5 of Republic Act No. 6728, as amended, is hereby further amended to read
as follows:

“SEC 5. Tuition Fee Supplements for Students in Private [High]

ELEMENTARY AND SECONDARY Schools.

(1) Financial Assistance for tuition of students in private [High]
ELEMENTARY AND SECONDARY schools shall be provided
by the govemment through a voucher system in the following
manner:

*(a) For students enrolled in schools charging an amount
as may be determined by the State Assistance
Council, the government shall provide them with a
voucher in such an amount as may be determined by
the council: Provided, That the govemment shall
reimburse the vouchers from the schools concemed
within one hundred twenty (120) days from the close
of the registration period.

(2) Assistance under paragraph (1), subparagraph (a) shall be
guaranteed to all private [high] ELEMENTARY AND
SECONDARY schools participating in the program for a
number of slots as of the effectivity of this Act as the total
number of students who availed of tuition fee supplements
for school year 1997-1998: Provided, that The State


Assistance Council may in subsequent years determine
additional slots and/or additional participating ELEMENTARY
AND SECONDARY [high] schools as may be deemed
necessary.
SEC 5. Section 6 of Republic Act No. 6728, as amended, is hereby further amended to
read as follows:
“SEC 6. [High School] Textbook Assistance Fund. There shall be
established in the Department of Education [,Culture and Sports (DECS)]
DepEd, a [High School] Textbook Assistance Fund, so that assistance on a
per student basis shall be given to students enrolled in private schools
exclusively for the purchase of ELEMENTARY OR SECONDARY [high]
school textbooks, [in support of the implementation of the Secondary
Education Development Program|:Provided, That the textbook assistance
per student in private ELEMENTARY OR SECONDARY [high] schools shall
be determined by the council and shall not exceed what students in public
ELEMENTARY OR SECONDARY [high] schools are provided on a per
student basis; Provided, further, That the textbook assistance shall be
granted only to beneficiaries of tuition fee supplements and educational
service contracting scheme provided in this Act.

‘SEC 6. Section 7 of Republic Act No. 6728, as amended, is hereby further amended to read
as follows:
“SEC 7. Expansion of the Existing Educational Service Contracting

(ESC) Scheme.

“@) The Department of Education [,Culture and Sports (DECS)] DepEd
shall continue to enter into contracts with private schools whereby
the government shall shoulder the tuition and other fees of
ELEMENTARY AND SECONDARY [high] school students who shall
enroll in private [high] schools under this program. PRIORITY
SHALL BE GIVEN TO PRIVATE SCHOOLS IN COMMUNITIES
WHERE THE PUBLIC SCHOOLS CAN NO LONGER
ACCOMMODATE THE STUDENTS DUE TO THE INCREASE IN
STUDENT POPULATION, who shall enroll in private [high] schools
under this program.

“(b) The Department shall also enter into contracts with private schools
in communities where there are no public ELEMENTARY OR
SECONDARY [high] schools, in which case the Department shall
shoulder the tuition and other fees of students who shall enroll in
said private schools.

“(©) The amount of assistance to be given by the government under this
section shall not exceed that determined as the per student cost in
public [high] ELEMENTARY AND SECONDARY schools.

“@) The Department shall fully pay the subsidized amount to
participating schools not later than one hundred eighty (180) days
from the close of the registration period

“(e) The amount of assistance AND THE NUMBER OF SLOTS SHALL
BE DETERMINED BY THE STATE ASSISTANCE COUNCIL AND
ALLOCATED [shall be allocated and distributed] among the sixteen
(16) regions in proportion to the total population as well as the [high]
ELEMENTARY AND SECONDARY school age population for the
first school year; Provided, That starting school year 1998, an
equalization scheme shall be implemented by the State Assistance
Council

“() The amount of assistance to private {high} ELEMENTARY AND
SECONDARY schools participating in the program shall be


guaranteed for a number of slots as of the effectivity of this Act as
the number of students availing of educational service contracting
assistance for school year 1997-1998; Provided, That the State
Assistance Council may, in subsequent years determine additional
slots and/or additional participating private [high] ELEMENTARY
AND SECONDARY schools as may be deemed necessary.

SEC 7. Section 8 of Republic Act No. 6728 as amended, is hereby further amended to read
as follows:

“SEC 8. Assistance to College Freshmen. - (a) The Voucher System
of Private Education Student Financial Assistance (PESFA) Program. The
existing Private Education Student Financial Assistance (PESFA) Program
which covers degree and non-degree vocational/technical courses shall be
expanded so that all qualified enrolling first year students can benefit from a
scholarship, plus an allowance. Such financial assistance shall be granted to
deserving underprivileged students, who shall be selected on the basis of
family income, geographic spread and results of competitive examinations to
be given by the CHED for degree course and the TESDA for non-degree
vocational/technical courses in all secondary schools in coordination with the
[DECS] DepEd. The program shall be equitably allocated to provinces and
Cities in accordance with regional and national plans to priority courses as
determined by the CHED and the TESDA.

“For purposes of this Act, an underprivileged student shall refer to a
student whose gross income, if any, and that of the combined annual gross
income of his/her parents do not exceed [Seventy-two thousand pesos
(P72,000.00) THE POVERTY THRESHOLD INCOME LEVEL IN THEIR
RESPECTIVE REGION, PROVINCE, OR MUNICIPALITY AS MAY BE
DETERMINED BY THE APPROPRIATE GOVERNMENT AGENCY, OR IN
THE ABSENCE OF SUCH DATA, THE NATIONAL POVERTY THRESHOLD
INCOME LEVEL AS MAY BE DETERMINED BY THE NATIONAL
ECONOMIC DEVELOPMENT AUTHORITY.

SEC 8. Section 12 of Republic Act No. 6728, as amended, is hereby further amended to
read as follows:

“SEC 12. In Service Training Fund (Inset Fund). For the purpose of
improving the quality of teaching in private secondary education, there is
hereby established in the Department of Education, DepEd [Culture and
Sports] an Inset Fund to provide for the upgrading of knowledge and teaching
competencies in critical subject areas and for the modemization of teaching
techniques and strategies, including training in the use of computers and of
other multi-media educational technologies to assist instruction: Provided,
That the Inset Fund shall be available only to qualified licensed teachers in
participating private ELEMENTARY AND SECONDARY [high] schools as
determined by the State Assistance Council: Provided, further, That the
amount of Inset Fund available to private ELEMENTARY AND secondary
‘education shall not exceed that available to public ELEMENTARY AND
SECONDARY education as per capita basis.

SEC 9. Section 14 of Republic Act No. 6728, as amended, is hereby further amended to
read as follows:
“SEC 14. Teacher's Salary Subsidy Fund. A Teacher's Salary
Subsidy Fund is hereby established in the [DECS] DepEd to grant
government subsidy to teachers in private [high] ELEMENTARY AND
SECONDARY schools participating in the programs of assistance
provided in this Act: Provided, That the total monthly salary which


includes the subsidy to be received by such private [high]
ELEMENTARY AND SECONDARY school teachers shall not be more
than eight percent (80%) of the salary of his counterpart in the public
sector. Provided, further, That the amount of monthly subsidy shall
not exceed exceed the amount of any monthly salary increase that
teachers in public {high} ELEMENTARY AND SECONDARY schools
shall receive after the effectivity of this Act: Provided, further, That
private [high] ELEMENTARY AND SECONDARY school teachers
qualified to receive subsidy under this Act are duly licensed by the
Professional Regulation Commission: Provided, further, That the
government shall provide them with a voucher for the salary subsidy
which shall be reimbursed directly to the teachers within sixty (60)
days after the close of the school year upon submission of proof of
qualification and actual teaching service in a participating private
[high] ELEMENTARY OR SECONDARY school; Provided, further,
That the present allocation out of increases from tuition and other
income shall be maintained; Provided, finally, That in case of
insufficiency of funds, priority shall be given to married teachers
supporting a family.

SEC 10. Section 15 of Republic Act No. 6728, as amended, is hereby further amended to
read as follows:

“SEC 15. Program Administration Rules and Regulations. The
State Assistance Council shall be responsible for policy guidance and
direction, monitoring and evaluation of new and existing programs,
and the promulgation of the rules and regulations, while the
Department of Education [Culture and Sports] DepEd, the TESDA and
the CHED shall be responsible for the day to day administration and
program implementation for the programs of assistance to private
ELEMENTARY AND secondary education, post secondary vocational
and technical education and higher education, respectively. Likewise,
itmay engage the services and support of any qualified govemment or
private entity SUCH AS THE FUND FOR ASSISTANCE TO PRIVATE
EDUCATION (FAPE) AS A PERMANENT SECRETARIAT for its
implementation.

“The State Assistance Council, hereinafter known as. the
Council, shall be headed by the Secretary of Education, (Culture and
Sports] as chairperson, the chairperson of the CHED and the Director
General of the TESDA as co-chairpersons, with representatives from
the National Economic Development Authority, the Department of
Budget and Management, the Department of Science and
Technology, and representatives from duly organized nationwide
associations of teachers, students, parents and school administrators
concemed with ELEMENTARY, secondary, post-secondary vocational
and technical education and higher education as members. The last
FOUR (4) [three (3)] members shall be appointed by the Council upon
the recommendation of their respective sectors for a term of THREE
@) [one (1)] school years subject to reappointment {for a maximum
term of four (4) school years] UPON THE RECOMMENDATION OF
THEIR RESPECTIVE SECTORS. A representative from the
Committee on Education of both Houses of Congress shall be
designated resource persons to the Council.

“The Council shall meet, from time to time, as the need arises,
to assess the effectivity of the programs and to ensure that the
ELEMENTARY AND secondary schools, post-secondary vocational


and technical institutions and higher educational institutions may
continue to enroll students and teachers/faculty as recipients of
government assistance under this Act.

SEC 11. Section 16 of Republic Act No. 6728, as amended, is hereby further amended to
read as follows:

“SEC 16. Appropriations. The amount needed to implement
these programs shall be provided for in the Annual General
Appropriations Act [for] BEGINNING the year [1998] 2008. The
ANNUAL appropriations of [One billion pesos (P1,000,000,000.00)
already appropriated under the General Appropriations Act of 1998
shall be used for this purpose] the DepEd TO CARRY OUT THE
PROVISIONS OF THIS ACT SHALL BE INCREASED TO THREE
BILLION PESOS (P3,000,000,000.00) OF WHICH THE AMOUNT OF
ONE BILLION SHALL BE ALLOCATED AS ASSISTANCE TO
ELEMENTARY AND SECONDARY TEACHERS OF THE
PARTICIPATING SCHOOLS. LIKEWISE, TO DO THE SAME, THE
CHED AND TESDA APPROPRIATIONS SHALL BE INCREASED TO
FIVE MILLION PESOS (P5,000,000.00) TWO HUNDRED FIFTY
MILLION PESOS (P250,000,000.00), RESPECTIVELY.

“All funds appropriated for this purpose shall be constituted as
a trust fund to be administered by the State
Assistance Fund, which shall be SEPARATE AND DISTINCT FROM
THE REGULAR APPROPRIATIONS OF THE DepEd AND SHALL BE
RELEASED BY THE DepEd, CHED AND TESDA DIRECTLY TO
THEIR RESPECTIVE PARTICIPATING SCHOOLS [directly and
automatically released to the different regional offices of the DECS].

SEC 12. Section 17 of Republic Act No. 6728, as amended, is hereby further amended to
read as follows:

“SEC 17. Penalties. In case of violations of the provisions of
this Act or the rules and regulations promulgated pursuant thereto by
an institution, the Department of Education, [Culture and Sports]
DepEd, the TESDA and the CHED, upon the recommendation of the
Couneil, may bar the institution from participating in or benefiting from
the programs of this Act, and from other programs of the Department,
without prejudice to administrative and criminal charges as may be
filed against the school and/or its responsible officers under existing
laws.

SEC 13. Repealing Clause. All laws, decrees and such letters of instructions, rules and
regulations or parts thereof which are inconsistent with this Act are hereby repealed or
modified accordingly.

SEC 14. Separability Clause. If any provision of this Act is declared unconstitutional, the
same shall not affect the validity and effectivity of other provisions not affected thereby.

SEC 15. Effectivity Clause. This Act shall take effect immediately upon its complete
Publication in two newspapers of general circulation.

Approved,