Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

‘TWENTIETH CONGRESS
First Regular Session

HOUSE BILL NO. 2642

Introduced by Representative WALFREDO “ARMAN” R. DIMAGUILA, JR.

(AN ACT
AMENDING SECTIONS 3 AND 7 OF REPUBLIC ACT NO. 10931, OTHERWISE
KNOWN AS THE "UNIVERSAL ACCESS TO QUALITY TERTIARY EDUCATION
ACT", TO ENHANCE THE EFFICIENCY, EQUITY, AND ACCOUNTABILITY OF
THE TERTIARY EDUCATION SUBSIDY PROGRAM

EXPLANATORY NOTE

Education remains the most dependable ladder out of poverty. According to the
Philippine Statistics Authority 2023 Labor Force Survey, workers with a bachelor’s
degree earn on average 103 percent more than those whose schooling ends at senior
high school. Yet for many capable Filipinos, the cumulative weight of tuition,
mandatory fees, and daily subsistence costs still keeps college out of reach.

Republic Act No. 10931, known as the Universal Access to Quality Tertiary Education
Act, created the Tertiary Education Subsidy, or TES, to bridge this divide. Seven years
into implementation, however, audit findings continue to reveal delayed stipend
releases and an inequitable distribution scheme that leaves Pantawid Pamilyang
Pilipino Program, or 4Ps, graduates and other learners from the poorest households
waiting in line even when funds are already appropriated.

Guided by the companion bill fled by Senator Paolo Benigno "Bam " A. Aquino IV, this
measure refines the TES so that assistance reaches students who need it when they
need it and in amounts that genuinely defray the hidden costs of pursuing a degree.
It sharpens equity by automatically admitting all qualified 4Ps graduates into the TES
roster and by ranking all other applicants strictly according to verified per capita


household income. It promotes efficiency by migrating disbursement to an integrated
digital platform linked to PhilSys and supported by a public dashboard that highlights
any release pending beyond thirty days. It strengthens accountability by requiring
semester level utilization reports, enforcing five year outcome evaluations, and
imposing definitive sanctions on institutions that misuse or withhold funds.

Enactment of this bill promises tangible gains. Low income students will see out of
pocket expenses fall from day one. Subsidy schedules will become predictable,
allowing tuition, boarding, and licensure costs to remain current. Grantees can be
expected to record lower first year attrition and higher on time graduation.
Policymakers, auditors, and the public will have real time data to trace every peso
committed to student aid.

As principal author I recall how a delayed allowance or an undisclosed fee once
threatened to derail my own college journey and those of many classmates. By
reinforcing the TES with clearer rules, streamlined delivery, and rigorous oversight,
this measure aims to convert every peso of public investment into diplomas, inclusive
growth, and a workforce equipped for the demands of a modern economy. Closing
administrative gaps and sharpening the program's pro poor focus will ensure that
quality tertiary education remains not merely a statutory promise but a tangible reality
for all Filipino youth.

Lone District of fi


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

TWENTIETH CONGRESS
First Regular Session

2642

HOUSE BILL NO.

Introduced by Representative WALFREDO “ARMAN” R. DIMAGUILA, JR.

AN ACT
AMENDING SECTIONS 3 AND 7 OF REPUBLIC ACT NO. 10931, OTHERWISE
KNOWN AS THE "UNIVERSAL ACCESS TO QUALITY TERTIARY EDUCATION
ACT", TO ENHANCE THE EFFICIENCY, EQUITY, AND ACCOUNTABILITY OF
THE TERTIARY EDUCATION SUBSIDY PROGRAM

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

Section 1. Section Section 3(h) of Republic Act No. 10931 or the "Universal Access to
Quality Tertiary Education Act" is hereby amended to read as follows:

"SECTION 3. Definition of Terms. - As used in this Act:

(h) Other school fees refer to fees charged by HEIs and technical-vocational
institutions which cover other necessary costs supportive of instruction,
‘specifically the following: library fees, computer fees, laboratory fees, school ID
fees, athletic fees, admission fees, development fees, guidance fees, handbook
fees, entrance fees, registration fees, medical and dental fees, cultural fees,
INTERNSHIP AND RELATED LEARNING EXPERIENCE (RLE) FEES


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REQUIRED BY THE CURRICULUM, INCLUDING THOSE FOR NURSING
AND OTHER ALLIED HEALTH PROGRAMS, and other similar or related fees;

Sec. 2. Section 7 of Republic Act No. 10931 or the "Universal Access to Quality Tertiary
Education Act” is hereby amended to read as follows:

"SECTION 7. TES for Filipino Students. - To support the cost of tertiary education or
any part or portion thereof, a Tertiary Education Subsidy (TES) is hereby established
for all Filipino students who shall enroll in undergraduate post-secondary programs of
SUCs, LUCS, private HEIs and all TVIs. The TES shall be administered by the UniFAST
Board and the amount necessary to fund the TES shall be included in the budgets of
the CHED and the TESDA: Provided, That [prioritization shall be given to students in
the following order: (a) students who are part of households included in the
Listahanan 2.0, ranked according to the estimated per capita household income, and
(b) students not part of the Listahanan 2.0, ranked according to estimated per capita
household income based on submitted documentation of proof of income to be
determined by the UniFAST Board] ALL POST-SECONDARY EDUCATION
STUDENTS FROM QUALIFIED HOUSEHOLD-BENEFICIARIES OF THE THE
PANTAWID PAMILYANG PILIPINO PROGRAM (4PS), AS PROVIDED UNDER
REPUBLIC ACT NO. 11310, SHALL BE GUARANTEED TES GRANTEES, UPON
SUCCESSFUL COMPLETION OF SENIOR HIGH SCHOOL AND ACCEPTANCE
INTO A CHED-RECOGNIZED HIGHER EDUCATION INSTITUTION OR A
TESDA-RECOGNIZED TVI: Provided, further, That [such prioritization shall not
apply to Filipino students in cities and municipality with no existing SUC op LUC
campus] SUBJECT TO THE AVAILABLE FUNDS, THE REMAINING TES SLOTS
SHALL BE AWARDED BASED ON FINANCIAL NEED, AS DETERMINED BY THE
HOUSEHOLD PER CAPITA INCOME OF APPLICANTS, TO BE ASSESSED BY
THE RESPECTIVE HIGHER EDUCATION INSTITUTIONS OR TVIS, IN
ACCORDANCE WITH GUIDELINES TO BE ISSUED BY THE UNIFAST BOARD:
PROVIDED, FINALLY, THAT TES GRANTEES SHALL BE GUARANTEED
CONTINUED SUPPORT UNTIL THE COMPLETION OF THEIR
UNDERGRADUATE DEGREE OR TVET PROGRAM, SUBJECT TO THE


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MAINTENANCE OF SATISFACTORY ACADEMIC OR TRAINING
PERFORMANCE, AND COMPLIANCE WITH INSTITUTIONAL POLICIES.

The TES may, among others, and to support the cost of tertiary education or any part
or portion thereof, cover the following:

(a) FULL [T]tuition and other school fees (TOSF) in private HEIs, and private or LGU-
operated TVIs, which shall be equivalent to the tuition and other school fees of the
nearest SUC or state-run TVI in their respective areas: PROVIDED, THAT SUCH
TOSF SHALL NOT EXCEED THE AVERAGE AMOUNT SPENT BY GOVERNMENT
PER STUDENT UNDER THE FREE HIGHER EDUCATION PROGRAMS IN SUCS
AND LUCS; PROVIDED, FURTHER, THAT IN CASES WHERE THE TOSF
EXCEED THIS AVERAGE AMOUNT, THE UNIFAST BOARD SHALL
ADMINISTER GUIDELINES IN SETTING THE AMOUNT OF THE TES;

(b) An allowance for books, supplies, transportation, and miscellaneous personal
expenses, including a reasonable allowance for the documented rental or purchase of
a personal computer or laptop, and other education-related expenses;

(©) An allowance for room and board cost incurred by the student;

(d) For a student with a disability, an allowance for expenses related to the student's
disability, including special services, personal assistance, transportation, equipment,
and supplies that are reasonably incurred; [and]

(e) INTERNSHIP AND RELATED LEARNING EXPERIENCE (RLE) FEES THAT
ARE REQUIRED BY THE CURRICULUM, INCLUDING THOSE FOR NURSING
AND OTHER ALLIED HEALTH PROGRAMS; AND

(F) For a student in a program requiring professional license or certification, the one
(1)-time cost of obtaining the first professional credentials or qualifications, which may
include the following: application fees, notarial fees, review classes fees, insurance
premium fees and documentation fees: Provided, That the amount of subsidy shall be
based on the guidelines set forth by the UniFAST Board and on the annual budgetary
appropriation for this purpose."

Sec. 2. A new Section 7-A is hereby inserted to read as follows:


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"SECTION 7-A. IMPLEMENTATION, MONITORING, AND QUALITY
ASSURANCE OF THE TES. - THE UNIFAST BOARD SHALL:

(A) IMPLEMENT A SYSTEM FOR MONITORING AND VALIDATION TO
ENSURE THAT TES ALLOWANCES ARE UTILIZED IN ACCORDANCE WITH
THE PURPOSES PROVIDED UNDER SECTION 7, AND IMPOSE SANCTIONS,
INCLUDING DISQUALIFICATION NON-COMPLIANCE;

(B) IN CONSULTATION WITH THE DBM AND COMMISSION ON AUDIT
(COA), DEVELOP AN EFFICIENT DISBURSEMENT SYSTEM, INCLUDING THE
DISBURSEMENT OF ADMINISTRATIVE SUPPORT COST, TO ENSURE TES
BENEFICIARIES RECEIVE THEIR SUBSIDIES DURING THE SEMESTER FOR
WHICH THEY ARE APPLYING THE TES AS WELL AS TO FUND THE
PROVISION OF LEARNER SUPPORT SERVICES, AND MAY UTILIZE THE
PHILIPPINE IDENTIFICATION SYSTEM (PHILSYS) TO FACILITATE THE
VALIDATION OF ELIGIBLE BENEFICIARIES;

(C) COORDINATE WITH THE DEPARTMENT OF EDUCATION, DEPARTMENT
OF SOCIAL WELFARE AND DEVELOPMENT, AND OTHER GOVERNMENT
AGENCIES, TO ESTABLISH A SYSTEM THAT INFORMS SENIOR HIGH
SCHOOL STUDENTS UNDER THE 4PS OF THEIR AUTOMATIC ELIGIBILITY
TO RECEIVE TES; AND,

(D) MONITOR AND EVALUATE THE TES PROGRAM EVERY FIVE (5) YEARS,
INCLUDING THE UTILIZATION OF AN ONLINE INFORMATION SYSTEM TO
MONITOR THE PROGRESS OF TES GRANTEES WHILE THEY ARE IN THE HEI,
AND TRACER SURVEYS CONDUCTED BY PUBLIC AND PRIVATE HEIS TO
ASSESS AND ENHANCE THE PROGRAM DESIGN AND IMPLEMENTATION,
AND UTILIZE THE PHILSYS NUMBERS OF TES GRANTEES FOR
MONITORING AND EVALUATION PURPOSES.

FURTHER, PUBLIC AND PRIVATE HEIS SHALL UTILIZE THE PHILSYS
NUMBERS OF TES GRANTEES FOR MONITORING AND EVALUATION
PURPOSES AND LIKEWISE PROVIDE LEARNER SUPPORT SERVICES TO TES


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BENEFICIARIES, INCLUDING BUT NOT LIMITED TO CAREER COUNSELING,
BRIDGING PROGRAMS, AND TUTORIALS.

THE CHED, IN COORDINATION WITH THE UNIFAST BOARD, SHALL
ESTABLISH A REGULAR QUALITY ASSURANCE PROCESS FOR HEIS
ENROLLING TES GRANTEES. THIS SHALL INCLUDE PERIODIC
ASSESSMENTS OF BOTH INSTITUTIONAL PERFORMANCE AND PROGRAM
QUALITY, WITH A FOCUS ON ACADEMIC STANDARDS, GRADUATE
EMPLOYABILITY, AND OTHER RELEVANT OUTCOMES, AND COMPLIANCE
WITH CHED POLICIES. HEIS FAILING TO MEET THE MINIMUM QUALITY
STANDARDS SHALL BE REEVALUATED AND MAY BE DISQUALIFIED FROM
ENROLLING NEW TES GRANTEES UNTIL COMPLIANCE IS ACHIEVED.

Sec. 4. Implementing Rules and Regulations. — Within sixty (60) days from the
effectivity of this Act, the UniFAST Board, in consultation with the CHED, DepEd,
DSWD, TESDA, and other stakeholders in higher and technical education, shall
promulgate the revised implementing rules and regulations of R.A. 10931 necessary
to ensure the efficient and effective implementation of this Act: Provided, That the
failure of the Board to promulgate the said rules and regulations shall not prevent or
delay the effectivity and implementation of this Act.

Sec. 5. Separability Clause. — If any portion or provision of this Act is declared
unconstitutional, the remainder of this Act or any provision not affected thereby shall
remain in force and effect.

Sec. 6. Repealing Clause. — Any law, presidential decree or issuance, executive order,
letter of instruction, rule or regulation inconsistent with the provisions of this Act is
hereby repealed or modified accordingly.

Sec. 7. Effectivity. — This Act shall take effect after fifteen (15) days following its
complete publication in the Official Gazette or in a newspaper of general circulation.

Approved,