THIRTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
.First Regular Session 
SENATE 
L 
f 
S. No. 
INTRODUCED BY HON. MANUEL B. VILLAR. TR. 
EXPLANATORY NOTE 
The CARAGA Region appears to be the only region in the country today without a public or private 
university. 
This Bill therefore proposes the creation of the CARAGA STATE UNIVERSITY SYSTEM by integrating 
the Northern Mindanao College of Arts, Science and Technology, the Northern Mindanao State Institute of 
Science and Technology, and the Siargao National College of Science and Technology. 
Aware of your deep concern for higher education especially- in depressed areas like the CARAGA region, 
immediate passage of this Bill is earnestly sought. 
M A N U ~ L  B. VI 
Senator 


THIRTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regdar Session 
1 
SENATE 
$
1
 
S. No. 
5 
INTRODUCED BY HON. MANUEL B. VILLAR, JR. 
ACT CREATINGTHE CARAGA STATE UNIVERSITY SYSTEM (CSOS) BY 
INTEGRATING THE (I) 
THE NORTHERN MINDANAO COLLEGE OF ARTS, 
SCIENCE AND TECHNOLOGY (NMCAST) IN CABADBARAN, AGUSAN DEL 
NORTE; (2) THE NORTHERN MINDANAO STATE INSTITUT'E OF SCIENCE AND 
TECHNOLOGY (NORMISIS'I) IN M A Y O N ,  BUTUAN CIW, AND (3) SIARGAO 
NATIONAL COLLEGE OF SCIENCE AND TECHNOLOGY (SNCST) IN DEL 
CARMEN, SIARGAO, SURIGAO DEL NORTE AND APPROPRIATING FUNDS 
THEREFOR AND FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines, in Congress assembled: 
SECTION 1. Integration and Creation. - The present Northern Mindanao College of 
Arts, Science and Technology (NMCAST) in Cabadbaran, Agusan del Norte; the Northern 
Mindanao State Institute of Science and Technology (NORIVIISIST) in Ampayon, Butuan City; 
and Siargao National College of Science and Technology (SNCST) in Del Carmen, Siargao, 
Surigao del Norte, Caraga Region, are hereby integrated and created into a Caraga State 
University System (CSUS), hereinafter referred to as the University. 
SEC. 2. Pqboses and O&ectives. - The University shall provide quality education that 
shall tap and develop human potentials with skills and competencies for sustainable 
environment, socioeconomic development and global competitiveness through instruction, 
research, extension services and production. 
The University shall provide instructions for special purposes; technical and professional 
development; advanced studies; and promote research, extension services and production. 
The University shall offer undergraduate, graduate and lost graduate programs and short 
tern courses within its areas of specialization and according to its capabilities, specifically, but 
not limited to, the fields of agriculture and environmental studies, fishery, engineering, forestry, 
industrial technology, education, law, medicine and other health-related programs, information 
technology, arts and sciences and other fields as the Board of Regents so approves to carry out 
the objectives and goals of the regional and national development for socioeconomic and 
sustainable development for global competitiveness. 
SEC. 3. The University Campu.res. - The campuses of the Caraga State University System 
(CSUS) shall be composed of the following: 


(a) The administrative campus - The administrative campus of the University system 
shall be established in a most strategic location, considering certain criteria set by the 
Commission on mgher Education (CHED). 
(b) The autonomous campuses - The autonomous campuses of the University System 
shall be composed of and shall be known as: (1) Caraga State University in Agusan del Norte at 
Cabadbaran; (2) Caraga State University in Ampayon, Butuan City; and (3) Caragu State 
University in Del Carmen, Siargao, Sudgao del Norte . 
SEC. 4. The Board $Regents. - The governing body of the State University shall be the 
Board of Regents, hereinafter referred to as the Board. 
(a) Composition - The composition of the Board of Regents in accordance with Republic 
Act No. 8292, otherwise known as the Uniform Composition and Powers of the Governing 
Boards and Appointment of Term of Office of the President of Chartered State Universities and 
Colleges, shall be as follows: 
(j,l Chairman of the Commission on Higher Education (CHED), chairman; 
(2) President of the State University, vice chairman; 
Constitution on education, science and technology, art, culture and sports as well as the policies, 
standards and thrust of the CHED under Republic Act r40.7722, otherwise known as the 
Commission on Higher Education Act and Republic Act No. 8292. 
The University shall have the general powers of a corporation set forth in the Corporation 
Law. The administration of the State University and the exercise of its corporate powers shall be 
vested exclusively in the Board of Regents and the president of the State University iii so far as 
authorized by the Board. 
The Board shall have the following specific powers and duties in addition to its general 
powers of administration and the exercise of all the powers granted to the Board of Directors of' 
corporation under existing laws: 
(1) To enact rules and regulations not contrary to law as may be necessary to carry out tile 
purposes and functions of the University; 
(2) 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; 
(3) To receive in trust legacies, gifts and donations of real and personal properties of all 


kinds and to administer and dispdse the same when necessary for the benefit of the University 
and subject to the limitations, directions and instructions of the donor, if any; and 
(4) To fix tuition fees and other necessary school charges such as, but not h t e d  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 shall accrue therefrom shall form pad of the 
same fund for the use of the University. 
Any provision of existing laws, rules and regulations to the contrary notwithstanhg, any 
income generated by the University from tuition fees acid other charges, as well as froth 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 snit be able to pursue any project for 
which funds have been appropriated and allocated under it approved program of expenditures, 
the Board may authorize the use of said funds for any reasonable purpose which, in its 
discretion, may be necessary and urgent for the attainment of the objectives and goals of the 
University. 
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. 
(5) Subject to the provisions of Q, Section 4 of Republic Act No. 3292 and in accordance 
with the Revised Compensation and Position Classification System to appoint faculty members 
and other officials and employees, to draw up a position classification and compensation plan for 
its faculty and staff, and to fE, and adjust the salaries and benefits of the faculty member: and 
other employees; to determine their hours of service, and such other terms and conditions as it 
may deem proper; to grant to them, in its discretion, leave of absence under such regulations as it 
may promulgate, any other provisions of law contrary notwithstanding; and to remove them for 
cause as provided by law after due investigation and proper hearing; 
(6) To approve the curricula, institute programs and rules of discipline drawn by tile 


administrative and academic councils of the University as herein provided; 
(7) To set policies on admission and graduation of students; 
(8) To award honorary degrees upon persons in recognition of outstanding contributions in 
the fields of education, public service, arts, science and technoIogy or in any field of 
specialization within the academic competence of the University; and nontraditional courses; 
(9) To establish research and extension centers where such will promote the development 
of the University; 
(10) To establish chairs in the University and to provide fellowship for qualified faculty 
members and scholarships to deserving students; 
(11) To delegate any of its powers and duties as 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; 
(12) To institute reforms, including academic and structural changes; 
(13) To collaborate with other governing boards of State colleges and universities within 
the province or region, under the supervision of the CUED and in consultation with the 
Department of Budget and Management (DBM) the restoring of the University to become more 
efficient, relevant, productive and competitive; 
(14) To enter into joint ventures with business and industry for profitable development and 
management of the economic assets of the University, the proceeds from which to be used fur 
the development and strengthening of the University; 
(15) To develop consortia and other forms of linkages with local government units, 
institutions and agencies, both, public and private, local and foreign, in furtherance Of the 
purposes and objectives of the University; 
(1 6) To develop academic arrangements for institution-capability building with appropriate 
institutions and agencies, public and private, local and foreign, and to appoint experts/specialists 
as consultants, or visiting or exchange professors, scholars, researchers, as the case may be; 


(17) To set up the adoption of modern andiinnovative anodes of transmitting knowledge 
Transparency within the University; 
such as the use of information technology, b e  dual system, open learning, community 
riot later than the age of seventy (70), whose performance has been and unanimously rated as 
outstanding and upon unanimous recommendation by the search committee for the President of 
the institution concerned; and 
(21) To absorb within the University system non-chartered State colleges and CHED-supervised 
institutions after prior consultation and agreements with the heads of these 
institutions and their respective constituencies, in coordination with the CHED and in 
consultation with the DBM, and to offer therein needed programs or courses. 
(c) The Board of Regents - the Board of Regents shall regularly convene at least once 
every quarter. The chairman of the Board of Regents may call a special meeting whenever 
necessary: Provided, That members are notified in writing at least three (3) days prior to said 
meeting. 
In the absence of the chairman of the CHED, a commissioner of the CHED, duly 
designated by him, shall represent him in the meeting. Provided, however, That during this 
meeting, the president of the University, as vice chairman shall be the presiding officer: 
Provided, fjrtber, That this proviso notwithstanding, the chairman of the CHED is hereby 
authorized to designate a CHED commissioner, as the regular chair to the Board of Regents, in 
which case said commissioner shall act as the presiding officer. 
The members of the Board shall not receive compensation but shall be reimbursed for 
necessary expenses incurred in their attendance of meetings or in connection with their official 
business authorized by the resoluuon of the Board. 
A majority of all members holding office shall constitute a quorum for Board meetings: 
Provided, That, the chairman of the CI-TED who is the chairman of the Board or the president of 
the University is among those present in the meeting. 
SEC. 5. The Office ofthe President. -The administration of the University shall be vested 


in the president of the University who shall render full time service for this purpose. He shall be 
appointed by the Board of Regents, upon the recommendation of a duly constituted search 
committee. He shall have a term of four (4) years and shall be eligibly for re-appointment for 
another term: Provided, however, That this proviso notwithstanding, in order to effect a smooth 
transition to a University, the designated PASUC regional chairperson in the Caraga Rcgion 
shall serve as interim president of the Caraga State University System. 
In case of vacancy in the office of the president as mentioned in the immediately preceding 
paragraph, his successor shall hold office for the unexpired portion of the term. 
The powers and duties of the president of the University, in addition to those specifically 
provided for under this section, shall be those equally pertaining to the office of the president of 
a similar University. 
SEC. 6. Heads ofthe University System and the Autonomous Campuses. -The University 
System shall be headed by a president. The incumbent president of the integrated State colleges 
and universities (SUCs) and the superintendent of the CHED-supervised institutions shall 
become the first chancellors of the respective autonomous campuses. 
SEC. 7. The University Administrative Cotmcil. - There shall be a University 
Administrative Council consisting of the president of the University as chairman, tile 
chancellors, deans, directors and other officials of equal rant; whose duty is to implement the 
policies governing the administration, management and development of the University, as 
approved by the Board. 
SE C. 8. The Universip Academic Cozmd -There shall be a University Academic 
Council with the president of the University, as chair and all members of the instructional staff 
with the rank not lower than assistant professor as members which shall have the power to 
prescribe curricular offerings, subject to the approval of the hoard. It shall fix the requirements 
for admission to the University, as well as for graduation and conferring of degrees, subject to 
review and/or approval of the Board through the president of the University. It shall also have 
the disciplinary powers over the students. 
SEC. 9. Semetaty ofthe Universig. - There shall be a secretary of the University who 
shall be appointed by the Board upon recommendation of the president of the University who 
shall also be the secretary of the Board and shall keep such records of the University and the 
board. 
SEC. 10. The Treasurer ofthe University. - The treasurer of the Philippines shall be the ex-officio 


treasurer of the University. 
SEC. 11. Admission. -No student shall be denied admission to the University by reason of 
gender, nationality, religious or political affiliation. 
SEC. 12AcademicFreehm. - Pwmant to paragraph 2, Section J of Article XIV of the 
Constitution of the Republic of the Philippines, the University shall enjoy and pursue academic 
Freedom. 
SEC. 13. Filing $Repod, - On or before the fifteenth (15th) day of the second month after 
the opening of the regular classes each year, the Board shall file with the Office of the President 
of the Philippines, through the chairperson of the CHED and of both Houses of Congress, a 
detailed report on the progress, conditions and needs of the University. 
SEC. 14. Transfer OfAssets, Liabilitiesl Personneland Record. - Allassets fixed and 
Movable, personnel and records of the NMCAST in Cabadbaran; Agusan del Norte; 
NORMISIST in Ampayon, Butuan City, Agusan del Norte; and SNCST in Del Carmen, Siargao, 
Surigao del Norte as well as their’liabilities or obligations, are hereby transferred in the name of 
The University; and shall remain therein for the continuous use of the respective campuses: 
Provided, That, the positions, right and security of tenure of personnel therein employed under 
the existing laws prior to absorption by the University are not impaired: Provided, fidber, That 
the incumbents of the positions shall remain in the same status unless otherwise provided for by 
the Board. 
All real properties belonging to the government and presently used by the NMCAST in 
Cabadbaran, Agusan del Norte; NORMISIST in Ampayon, Butuan City; and SNCST in Del 
Carnlen, Siargao, Surigao del Norte, are hereby declared as properties of the Caraga State 
University System (CSUS) and shall be titled under that name: Provided, fhthemore, that, 
should the University cease to exist or be abolished, or such real properties aforementioned be 
no longer needed by the University, the same shall respectively revert to the Provinces of Agusan 
del Norte, Butuan City and Surigao del Norte, as the case may be. 
SEC. 15. Commission on Aivdit. - Allaccounts and expenses of the University shall be 
audited by the Commission on Audit or its duly authorized representative. 
SEC. 16Autbo@ to Loan or Transfer Eqtlipment. - The heads of the bureaus and office, 
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 therein when in the judgment of bureau or office, such 


apparatus, equipment, supplies or services of such employees can be spared without se: ion'; 
detriment to public service. 
Employees so detailed shall perform such other duties as required by theta by the president 
of the University and the time so employed shall be counted as part of their regular service. 
SEC. 17. Tax Exemptions. - The provisions of any general or special law to the contrary 
notwithstanding: 
(1) AII profits and income generated by the University derived exclusively from its 
fundamental function as an educational institution, shall be exempt from the income tax imposed 
on every corporation; 
(2) Gifts and donations of real and personal properties of all kinds shall be exempt front 
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, as 
amended; and 
(3) Importation of economic, technical, vocational, scientific, philosophical, historical and 
cultural books and/or publications shall be exempt front taxes and duties: upon 
certification by the Department of Education, (DepEd) that such imported books and/or 
publications are for economic, technical, vocational, scientific, 
philosophical, historical or cultural purposes, in accordance with the provision; of the 
Tariff and Customs Code, as amended. 
SEC. 18. Institutional Autonomy. - The University, taking into account its regional goals 
and priorities, shall determine its teaching research and extension thrusts, plans, policies, 
programs and standards and, on the basis of such determination, each integrated school shah 
recommend its annual budget to the University President who shall forthwith recommend the 
same to Congress for appropriate action. 
SEC. 19.Appropriations. - The amount necessary to initially implement the provisions of 
this Act shall be charged against the current year's appropriations of the Northern Mindanao 
College of Arts, Science and Technology (NMCAST) in Cabadbaran, Agusan del Norte; the 
Northern Mindanao State Institute of Science and Technology (NMSIMISIST) in Aitipayott, 
Butuan City; and Siargao National College of Science and Technology (SNCST) in Del Carmen, 
Siargao, Surigao del Norte. Thereafter, such sums as may be necessary for the continued 
operation and maintenance of the Caraga State University System (CSUS) shall be included in 
the annual General Appropriations Act. 


SEC. 20. Implementing Ageng. - The CHED shall issue such implementing regulations to 
carry out the provisions of this Act. 
SEC. 2I.SeparabiL~ CLaziJe. - IJ for any reason, any part or provision of this Act is 
declared invalid or unconstitutional, the remaining parts or provisions not affected shall remain 
in full force and effect. 
SEC. 22.Repealing Clatlse. - All laws, presidential decrees, executive orders, rules and 
regulations or issuances contrary or inconsistent with the provisions of this Act are hereby 
repealed, amended or modified accordingly. 
SEC. 23. Effectivip. - This Act shall take effect upon approval. 
Approved