Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

Seventeenth Congress
First Regular Session

House Bill No, 3707

Introduced byRepresentative Geraldine B. Roman

EXPLANATORY NOTE

Education is considered as one of the vital instruments for national
development. More importantly, it has been the catalyst for the growth of human
potential. The broadening of the horizons for humanity will not be possible if our
youth’s access to education will be hindered.

It comes as a sad reality now that while most citizens of our country have the
potential to master their skills and craft through education, they are not able to do so
due to a variety of reasons. The lack of finances and also the lack of awareness on the
existence of scholarship programs can be counted as the main reasons. Our citizens
are not aware of the many government scholarship opportunities that exist both here
and abroad.Aside from that, there’s an issue that the Commission on Higher Education
(CHED), the highest policy-making body and regulator of higher education
institutions, is having a hard time doing its extra job as the handler of the majority of
government scholarships for tertiary students,

According to an ABS-CBN Report dated August 31, 2016 entitled “CHED
admits difficulty with huge scholarship funds,” Ch Chairperson Dr. Patricia
Licuanansaid to members of the House of Representatives Appropriations Committee
that her agency has a weak absorptive capacity and cannot cope up with the huge
amounts of funds it has been given for scholarships. She further stated that the
problem started when the task of processing the scholarship funds from the former
Priority Development Assistance Fund (PDAF) were given to them. Their problem is
the scholarships for tertiary students alone. How about the proper management and
timely releasing of scholarships for the primary, secondary, & post-graduate levels
including the processing of foreign scholarships, grants, and exchange programs for
the Filipino People?

It is at this juncture that the National Government must step in by creating a
new agency that can implement, disburse, monitor, & promoteall government
scholarships to qualified recipients and grantees, not only in the tertiary level but for
all levels. An agency under the Office of the President that can also coordinate with
foreign counterparts for them to easily access scholarships abroad. With the


establishment of the National Scholarship Agency, we can make sure that there is a
government office that will focus in processing all the available scholarship

opportunities for the Filipino People.

I earnestly call on my colleagues to support the passage of this important
legislative measure for our Filipino Students.

Ab Koran

7RALDINE B, ROMAN
Representative

First District, Bataan



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

Seventeenth Congress
First Regular Session

House Bill No. 3707

Introduced by Representative Geraldine B. Roman

AN ACT
ESTABLISHING THE NATIONAL SCHOLARSHIP AGENCY,
PROVIDING FUNDS THEREFOR,AND AMENDING FOR THIS PURPOSE
REPUBLIC ACT 10687 ALSO KNOWN AS THE UNIFIED STUDENT
FINANCIAL ASSISTANCE SYSTEM FOR TERTIARY EDUCATION
(UNIFAST) ACT

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

Section 1. Short Title~ This Act shall be known as the National Scholarship Agency
Act of 2016.

Section 2. Declaration of Policy — The State hereby declares that it shall strengthen
its commitment to demoeratize access (o quality education for all deserving students,
particularly those of whom educational opportunities have been deprived of due to
socio-economic constraints, It is thus essential for the State to fully develop and
realize the potentials of its citizens especially the students, by allowing the widest
access to education by making them aware of all available scholarship opportunities
and immediately processing their applications to the said scholarship programs.

Section 3. Objective — The main objective of this Act is to transform the existing
organization of the UniFAST or the Unified Student Financial Assistance System for
Tertiary Education, into a more powerful agency that will handle all government
scholarships not only for tertiary level students but for all levels including primary,
secondary, and post-graduate levels. The agency can also evaluate and recommend
candidates for local private scholarship programs and for foreign scholarship, grant,
and exchange programs



Section 4.

‘stablishment of the National Scholarship Agency — The National

Scholarship Agency under the Office of the President is hereby established. To
immediately carry out the purposes of this Act, the UniFAST Secretariat, established
pursuant to Republic Act 10687, otherwise known as “the Unified Student Financial
Assistance System for Tertiary Education (UniFAST) Act,” is hereby reconstituted as
the interim officials of the National Scholarship Agency, herein referred to as the

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Section 5,Powers and Functions of the National Scholarship Agency~ The National
Scholarship Agency shall have the following duties and functions

a) Di

b

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d

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seminate information regarding all available foreign and domestic
scholarship opportunities for the Filipino People;

Evaluate and process all government scholarship applications of current and
potential students;

Evaluate and immediately recommend qualified scholarship applicants to local
private scholarship programs and to foreign scholarship, grant,& exchange
programs;

Monitor all government scholars if they are following the conditions of their
scholarship programs and provide the agency the power to warn and pursue
legal remedies for scholars or former scholars who have taken advantage of
government scholarships but are not following the said conditions of their
programs;

Create divisions within the agency and with corresponding manpower, that will
focus on (1) Primary Education Scholarships, (2) Secondary Education
Scholarships, (3) Tertiary Education Scholarships, (4) Post-Graduate Education
Scholarships, & (5) Foreign Scholarship, Grant, & Exchange Programs:

Invite and educate private sector leaders on how to create their own scholarship
programs;

Accept donations that will be vital in the operations of the Agency and in
increasing the funds for government scholarship programs

Perform other vital functions of the defunct UniFAST Secretariat;

Perform such other powers and functions as may be determined by the National
Scholarship Coordinating Council

Section 6. Executive Director of the National Scholarship Agency ~ There shall be
an Executive Director who shall be appointed by the President of the Philippines and
shall have the rank of Undersecretary. The Executive Director shall have a minimum
of seven (7) years managerial experience, be a holder of at least a Master’s degree,
and be a Career Executive Service eligible, The Exccutive Director shall perform the
following functions

a

b
c

d

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Serve as the primary coordinator of all scholarship programs being
implemented by various government agencies, branches, and instrumentalities;
Manage relationships with partner agencies
Exercise leadership, supervisory, and administrative functions over the
Agency;

Ensure accurate and timely technical inputs and feedback to the Council to
guide it in its policy-making functions;

Ensure proper dissemination and implementation of Council decisions;



f) Submit an annual report on the operations, status of funded programs, and
financial conditions of the Agency, including recommendations for the budget
of the Agency for the following year; and

2) Perform such other duties and functions as may be determined by the Council

Section 7. Organization of the National Scholarship Agency ~ The Agency shall
operate and be directly under the Office of the President through the Cabinet
Secretary. All the additional manpower requirements of the Agency shall be
recommended by the National Scholarship Coordinating Council

Section 8.Establishment of the National Scholarship Coordinating Council ~ The
National Scholarship Coordinating Council is hereby established. ‘To immediately
carry out the purposes of this Act, the UniFAST Board, established pursuant to
Republic Act 10687, otherwise known as “the Unified Student Financial Assistance
System for Tertiary Education (UniFAST) Act,” is hereby reconstituted as the
National Scholarship Coordinating Council.

Section 9. Cabinet Secretary as Council Chairman ~ The Secretary to the Cabinet
is hereby designated as the Chairperson of the National Scholarship Coordinating
Council

Section 10. DFA Secretary as Ex-Officio Member — To strengthen the composition
of the incoming National Scholarship Coordinating Council from the current
UniFAST Board, the Secretary of the Department of Foreign Affairs is hereby made
an Ex-Officio Member due to his department’s vital role in coordinating foreign
scholarship, grant, & exchange programs for the Filipino People.

Section 11. Dissemination of Information — The Agency shall have a website where
notices on the availability of scholarship opportunities shall be posted regularly. The
Agency can be assisted by all government offices in publishing and posting
scholarship program announcements relevant to those government offices, its
jurisdictions and areas.

Section 12. Strict Compliance to Government Scholarship Conditioi The strict
compliance of current and former scholars to their government scholarship conditions
shall be consistently monitored and if not followed shall be liable to penalties
provided for by the Government

Section 13. Priority to Government Employment — Graduates and beneficiaries of
Government Scholarship Programs shall be given priorityin Government employment
opportunities.

Section 14, Tax Provisions~ All donations to the Agency shall be exempt from any
and all forms of taxation.

Section 15. Implementing Rules and Regulations ~ The Secretary to the Cabinet, the
Commission on Higher Education (CHED), the Department of Education (DepEd),
and the Technical Education and Skills Development Authority (TESDA) shall have
joint responsibility over the formulation of the implementing rules and regulations of
this Act within one hundred and eighty (180) days from the approval of this Act.


Section 16. Appropriations ~ The funds provided for in the UniFAST Law shall be
transferred to the National Scholarship Agency and the necessary additional funds for
the implementation of this Act shall be included in the General Appropriations Act of
the year following the approval of this Act, and every year thereafter.

Section 17. Repealing Clause -Relevant sections of Republic Act 10687, otherwise
known as the Unified Student Financial Assistance System for Tertiary Education
(UniFAST) Act”, and all laws, presidential decrees, executive orders, rules and
regulations, and parts thereof which are inconsistent with the provisions of this Act are
hereby repealed or modified accordingly.

Section 18. Separability Clause~ If, for any reason, any section or provision of this
Act, or any portion thereof, or the application of such section, provision, or portion to
any person, group, or circumstance is declared invalid or unconstitutional, the
remainder of this Act or the application of such section, provision, or portion thereof
to other persons, groups, or circumstances shall not be affected by such declaration.

Section 19. Effectivity ~ This Act shall take effect fifteen (15) days following its
publication in three (3) newspapers of general circulation

Approved,