Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
May 28, 2021
8:40 am
EIGHTEENTH CONGRESS
Second Regular Session
9494
HOUSE BILL NO. ________
Introduced by KABATAAN PARTY-LIST Representative Sarah Jane I. Elago,
ACT TEACHERS PARTY-LIST Representative France L. Castro,
BAYAN MUNA PARTY-LIST Representatives Carlos Isagani T. Zarate,
Ferdinand Gaite and Eufemia C. Cullamat,
and GABRIELA WOMEN’S PARTY Representative Arlene D. Brosas
AN ACT
PROVIDING FINANCIAL ASSISTANCE TO SUBSIDIZE EDUCATION COSTS AND
PROVIDING OTHER FORMS OF RELIEF DURING TIMES OF NATIONAL
EMERGENCIES AND CRISES, AND APPROPRIATING FUNDS THEREFOR
EXPLANATORY NOTE
Article XIV, Section I of the 1987 Constitution states that the State shall protect and
promote the right of all citizens to quality education at all levels. This is further concretized
in Section 2, subparagraph (3) of the same Article, which states that it shall establish and
maintain a system of scholarship grants, student loan programs, subsidies, and other
incentives which shall be available to deserving students in both public and private
schools, especially to the underprivileged.
While significant strides have been made in the Filipino youth’s pursuit to realize this
constitutionally-enshrined right—the passage of RA 10931 (Universal Access to Quality
Tertiary Education Act), RA 10929 (Free Public Wifi Law), RA 11036 (Mental Health Law),
among others—there are still numerous battles to be won. However, the education sector
has faced another major setback: the COVID-19 pandemic and its consequent historic
economic crisis.
The COVID-19 pandemic has unmasked the already weak economic fundamentals, poor
job generation strategy, and fragile healthcare and social protection systems that have
been in place for so long as part of the neoliberal orientation of the Philippine economy.
Contrary to the Duterte administration’s claim of strong economic fundamentals, the
Philippine economy has long been tethered to artificial and external economic growth
drivers such as overseas remittances that continue to act as a façade for the chronic
decay of the quality of life of millions of Filipinos.
According to independent think tanks, major sectors have continued to contract year-on-
year: agriculture (-1.2% growth), construction (-24.2%), and wholesale and retail trade (-
3.9%). The jobs crisis is also reflected in household final consumption expenditure which
registered -4.8% growth, despite hyped employment gains.
The country’s gross domestic product (GDP) declined by -4.2% in the first quarter of 2021,
thus posing the herculean task of attaining an impossible average of 10.8% growth in the
last three quarters to hit 7% for 2021.
Up to now, social safety nets such as the government’s Social Amelioration Program
(SAP) remain remiss in meeting their target beneficiaries despite having been in and out
of various modes of community quarantines. From the insufficient Php 8,000.00 ayuda in
2020, it has even further dwindled down to a paltry sum of Php 1,000.00, a far cry from
realistically alleviating the economic crisis being felt by Filipinos. With the reduction of
financial capacity of poor Filipinos across the nation, families have to pinch pennies as
regards educational expenses which thus threatens the full realization of the Filipino
youth’s right to education.
The high dropout rates and surge in mental health concerns among students while
government agencies are implementing distance learning modes are reaching alarming
levels. Students are experiencing difficulties as to how they can continue to fund their
education because their parents are unemployed, underemployed, or receiving meager
wages. While the country is in an economic crisis, public funds must be used primarily for
basic social services, including education.
In this bill, it seeks to institutionalize an emergency student aid and relief system during
times of national emergency or crisis to assist Filipino students and youth in their
expenses related to alternative modes of learning, including tuition, other school fees,
gadgets and internet connectivity, among others.
For immediate relief under the COVID-19 pandemic, this bill contains a one-time cash
subsidy of ten thousand pesos (Php10,000) for each student as well as those who
dropped out during the pandemic.
The authors, along with Student Aid Network, and broad sectors of society call on
Congress to enact this law and others that will allocate sufficient budget for cash subsidies
to Filipino students. It also calls on President Rodrigo Duterte to certify as urgent those
bills in line with this objective.
Thus, the passage of this bill is earnestly sought.
Rep. SARAH JANE I. ELAGO Rep. CARLOS ISAGANI T. ZARATE
Kabataan Party-list Bayan Muna Party-list
Rep. FRANCE L. CASTRO Rep. FERDINAND GAITE
ACT Teachers Party-list Bayan Muna Party-list
Rep. ARLENE D. BROSAS Rep. EUFEMIA C. CULLAMAT
Gabriela Women’s Party Bayan Muna Party-lis
Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
EIGHTEENTH CONGRESS
First Regular Session
9494
HOUSE BILL NO. ________
Introduced by KABATAAN PARTY-LIST Representative Sarah Jane I. Elago,
ACT TEACHERS PARTY-LIST Representative France L. Castro,
BAYAN MUNA PARTY-LIST Representatives Carlos Isagani T. Zarate,
Ferdinand Gaite and Eufemia C. Cullamat,
and GABRIELA WOMEN’S PARTY Representative Arlene D. Brosas
AN ACT
PROVIDING FINANCIAL ASSISTANCE TO SUBSIDIZE EDUCATION COSTS AND
PROVIDING OTHER FORMS OF RELIEF DURING TIMES OF NATIONAL
EMERGENCIES AND CRISES, AND APPROPRIATING FUNDS THEREFOR
Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:
SECTION 1: Short Title. – This act shall be known as the “Emergency Student
Aid and Relief Law".
SECTION 2. Declaration of Principles and State Policies. – It is hereby the
declared policy of the State that education at all levels is a fundamental right of every
Filipino, and that the State shall establish and maintain a system of scholarship grants,
student loan programs, subsidies, and other incentives which shall be available to
deserving students in both public and private schools, especially to the underprivileged.
In order to achieve this, the State shall:
(1) Ease the financial burden of educational costs during national emergencies
or crisis across all levels of education;
(2) Financially assist students in public and private educational institutions,
especially those struck by economic hardship during national emergencies
and crises, by defraying a certain portion of such cost; and
(3) Allocate sufficient funding to subsidize additional costs incurred by the
student during the alternative learning setup during said national
emergency or crisis.
SECTION 3. Definition of Terms. – The following terms, as defined accordingly,
shall be used in this Act:
(1) Gadget subsidy. – refers to the disbursement of public funds to aid students
in their procurement or purchase of electronic gadgets necessary for their
attendance and/or participation in the online classroom setup;
(2) Learning institution. - refers to institutions providing educational services to
its enrollees, including those in basic, secondary, and/or tertiary education;
(3) Online and modular learning expenses. – refers to expenses incurred
relevant to the utilization of the digital learning setup, which may include,
but are not limited to, prepaid load, internet connection rental, transportation
expenses for submission of modules and other requirements, printing
expenses for the production of learning modules and other written projects;
(4) Other education-related expenses. – refers to expenses incurred by the
student in his/her compliance with the educational requirements necessary
to finish the term, which may include, but are not limited to books, school
supplies, materials for alternative-learning projects or activities,
reproduction of other learning materials, yearbook;
(5) Recipient. – refers to anyone currently enrolled as a student in any learning
institution duly accredited by the Department of Education (DepEd) and/or
Commission on Higher Education (CHEd), as well as those who dropped
out of their programs attributable to the national crisis or emergency;
(6) Tuition. – refers to the fee representing the direct costs of instruction,
training and other related activities, the students’ use of the instruction and
training facilities, and fees that cover costs supportive of instruction,
including but not limited to medical and dental, athletic, development and
construction, library, and laboratory fees.
SECTION 4. Implementation of the Student Aid Program. – The Student Aid
shall be effective upon declaration by the national government of a national emergency
or any declaration to that effect, and that recipients shall receive said student aid in cash
form, upon compliance with minimal requirements as may be imposed by the Department
of Social Welfare and Development, in coordination with the Department of Education
and/or the Commission on Higher Education: Provided, that local government units in any
level may declare local state of emergencies or crisis and be authorized to realign their
respective local funds, including unutilized or unreleased subsidies and transfers to fund
the provision of the emergency aid and relief contemplated in this Act: Provided further,
that nothing in this Act shall cause or authorize the reduction or removal of any benefit
which the national or local government, or any other private entity, may have granted to
the students or to their families prior to the enactment of this Act:
SECTION 5. Student Aid. – To subsidize education costs during the period of
emergency or crisis, the student aid as provided in this Act shall be disbursed to its
recipients in the following matrix:
(1) Financial assistance for tuition, other education-related expenses, and/or
gadget subsidy of at least One thousand pesos (Php 1,000.00) per month;
and
(2) Subsidy for online and modular learning expenses of at least One Thousand
pesos (Php 1,000.00) per month, also to be given in a singular tranche.
All recipients will receive the subsidy of within 15 days after declaration of
emergency or crisis: Provided, that in the event that the funding appropriated under
this Section is not fully utilized by reason of those voluntary opt-outs, the remaining
balance, shall be appropriated towards increasing the financial assistance
mentioned in Section 5, subparagraph (1) of this Act.
SECTION 6. Moratorium on Tuition and Other School Fee Increases. – To
further mitigate the impact of the emergency or crisis to students and their families, a
moratorium on tuition and increases in other school fees (TOSF), as defined by Sec. 3(h)
of Republic Act 10931, shall be in place for the term during the occurrence of the
emergency or crisis: Provided, That the Department of Education, Commission on Higher
Education, and/or Technical Skills Development Authority shall review its policy
guidelines governing adjustment, refund and transparency in the collection of TOSF
following changes in learning modalities under a public health emergency, with the
objective of studying the feasibility of reduction during the period of emergency or crisis,
and coming up with guidelines to that effect.
SECTION 7. Waiver of student loans incurred during the emergency or crisis.
– For those students in tertiary education, whether in public or private educational
institutions, who have incurred student loans through the Unified Financial Assistance
System (UniFAST) or any government lending institution for educational expenses during
the period of emergency or crisis, their loans are deemed waived.
SECTION 8. Waiver of interest on unpaid balances incurred during the
emergency or crisis. – The collection of interest arising from unpaid balances in private
educational institutions across all levels incurred during the period of the emergency or
crisis are hereby suspended: Provided, That non-payment was due to loss of financial
capacity to pay because of unemployment or some other valid justification as may be
qualified by the crisis management agency.
SECTION 9. Opt-Out Provision. Any student, without need of any valid or
justifiable reason, may voluntarily opt not to receive any or all of the student aid grants
described in Sec. 5 subparagraphs (1) and (2), Sec. 6, 7, and 8.
SECTION 10. Student Aid and Relief during the COVID-19 pandemic. To
subsidize education costs during the period of the COVID-19 pandemic, the student aid
as provided in this Act shall be disbursed to its recipients in the following manner:
(1) Financial assistance for tuition, other education-related expenses, and/or
gadget subsidy of One thousand pesos (Php 1,000.00) for five months, for
a total of Five thousand pesos (Php 5,000.00), to be given in a singular
tranche; and
(2) Subsidy for online and modular learning expenses of One Thousand pesos
(Php 1,000.00) for five months, for a total of Five thousand pesos (Php
5,000.00), also to be given in a singular tranche.
All recipients will receive a one-time cash subsidy of Ten thousand pesos (Php
10,000.00) within 15 days after the promulgation of the Implementing Rules and
Regulations of this Act: Provided, that any student, without need of any valid or
justifiable reason, may voluntarily opt not to receive any or all of the student aid
grants in this Section and Secs. 6, 7, and 8: Provided further, that in the event that
the funding appropriated under this Section is not fully utilized by reason of those
voluntary opt-outs, the remaining balance, shall be appropriated towards
increasing the financial assistance mentioned in Section 5, subparagraph (1) of
this Act.
The sum of Two hundred and Seventy one Billion pesos (Php
271,000,000,000.00) is hereby appropriated to the Development of Social Welfare
and Development for the implementation of this Section.
This section shall lose its operative force upon full utilization of the funds
appropriated therefor.
SECTION 11. Prohibited Acts. – Upon effectivity of this Act, it shall be unlawful
for any person and/or any learning institution to:
(a) Impose additional rates on the tuition and/or other school fees being
charged to its students;
(b) Deprive any qualified recipient of the student aid being given, without
sufficient basis and due process; and
(c) Unlawfully appropriate said funding for purposes other than those specified
in this Act: Provided, That the criminal offense arising from the violation of
this Section does not preclude the criminal offenses that may be charged
under the Revised Penal Code and other special laws.
SECTION 12. Penalties. – A violation of the prohibited act under Section 7 of this
Act shall be meted a penalty of imprisonment of not less than six (6) months but not more
than one (1) year or a fine of not less than Twenty thousand pesos (Php 20,000.00) but
not more than One hundred thousand pesos (Php 100,000.00), or both, at the discretion
of the court. In case of a university, college or any other judicial entity, the penalty shall
be imposed on the president, treasurer or the officer or person responsible for the
violation.
SECTION 13. Sources of Funding.
(a) For the implementation of Section 10 of this Act, the herein subsidy and
stimulus measures shall be funded from the following:
(i) 2021 General Appropriations Act (GAA): Provided, That funds for the
herein authorized programs, activities and projects (P/A/Ps) shall be
sourced primarily from the unprogrammed funds and savings
realized from modified, realigned, or reprogrammed allocations for
operational expense of any government agency or instrumentality
under the Executive Department, including, but not limited to,
traveling expenses, supplies and materials, expenses, professional
services, infrastructure projects, general services, advertising
expenses, printing and publication expenses, and other maintenance
and operating expenses in the 2021 GAA: Provided, That such
discontinued P/A/Ps do not support the objectives of economic
stimulus and recovery for having low labor intensity or low multiplier
effects: Provided, further, That infrastructure, having the highest
multiplier effect can only be discontinued when all other funds,
including unobligated allotments and unreleased appropriations,
have been exhausted.
Notwithstanding the provisions of this Act, the discontinued P/A/Ps
may be revived at any time after the COVID-19 pandemic has
ceased, and notwithstanding the provisions of Republic Act No.
11518 or the “General Appropriations Act of 2021”, may be revived
and proposed for funding within the next two (2) fiscal years.
(ii) Savings pooled pursuant to Republic Act No. 11469, otherwise
known as the “Bayanihan to Heal as One Act” and Republic Act No.
11494, otherwise known as “Bayanihan to Recover as One Act”;
(iii) Excess revenue collections in any one of the identified tax or non-tax
revenue sources from its corresponding revenue collection target, as
provided in the FY 2021 Budget of Expenditures and Sources of
Financing (BESF);
(iv) New revenue collections or those arising from new tax or non-tax
sources which are not part of nor included in the original sources
included in the FY 2021 BESF;
(v) Any unutilized or unreleased balance in special purpose funds
(SPFs), including, but not limited to, funds appropriated towards the
Barangay Development Program, shall be considered to have their
purpose abandoned during the state of national emergency as
declared by the President. All such unspent, unutilized, or
unreleased money or funds sourced from SPFs shall be utilized and
are hereby appropriated for such measures to address the COVID-
19 situation and to accomplish the declared national policy herein;
(vi) Cash, funds, and investments held by any GOCC or any National
Government Agency: Notwithstanding any law to the contrary, the
President is hereby authorized to allocate cash, funds, investments,
including unutilized or unreleased subsidies and transfers, held by
any GOCC or any National Government Agency in order to address
the COVID-19 Pandemic; and
(vii) Unused appropriation for debt servicing: Notwithstanding any law to
the contrary, the President may direct the discontinuance of
unutilized automatic appropriations for debt service and available
appropriation for redemption of maturing government securities and
use the savings generated therefrom to augment the allocation for
any item necessary for the purposes identified in this Act. All
amounts so reprogrammed, reallocated, or realigned shall be
deemed automatically appropriate for the said purposes: Provided,
That for interest payments, the savings will be generated from the
unused appropriations after actual payment of interest per month as
reported by the Bureau of Treasury to the DBM: Provided further,
That for principal repayment the savings will be generated from the
funds freed up as a result of a debt exchange by the Bureau of
Treasury.
(b) For succeeding implementation of this Act, the amounts necessary to carry
out the provisions of this Act shall be included in the annual General
Appropriations Act (GAA) and shall be appropriated under SUCs, CHED
and TESDA in accordance with the provisions of this Act.
SECTION 14. Implementing Rules and Regulations. – Upon enactment of this
Act, there shall be an inter-agency task force charged with the promulgation of the
Implementing Rules and Regulations (IRR) needed for the implementation of this Act.
This task force shall be led by the Secretary of Department of Social Welfare and
Development with the following members: (1) the Department of Education; (2) the
Commission on Higher Education; (3) the Department of Budget and Management; (4)
National Youth Commission; (5) a representative from the Philippine Association of State
Universities and Colleges; (6) a representative from the Coordinating Council of Private
Educational Associations; (7) a representative from the Association of Local Colleges and
Universities; and (8) representatives from the National Youth and Student Organizations
and Formations: Provided, That the committee shall finish and promulgate the IRR within
thirty (30) days after effectivity of this Act.
SECTION 15. Reporting to Congress. – The implementing agencies shall submit,
in either printed form or by way of electronic document, to the Joint Congressional
Oversight Committee, the House Committee on Appropriations, the Senate Committee
on Finance and the Commission on Audit, the monthly reports regarding the
implementation of this Act. The quarterly reports shall likewise be uploaded on the official
website of the respective implementing agencies.
SECTION 16. Separability clause. – If, for any reason or reasons, any part or
provision of this Act shall be declared as unconstitutional or invalid, the other parts or
provisions hereof which are not affected thereby shall continue to be in full force and
effect.
SECTION 17. Repealing clause. – All provisions of existing laws, orders, rules
and regulations or parts thereof which are in conflict or inconsistent with the provisions of
this Act are hereby repealed, amended, or modified accordingly.
SECTION 18. Effectivity clause. – This Act shall take effect immediately upon its
publication in the Official Gazette or in at least two (2) newspapers of general circulation
in the Philippines.
