Question & AnswerQ&A (LETTER OF INSTRUCTIONS No. 1462)
The Special Education Fund is a fund to support stated education priorities, established under R.A. No. 5447 approved on September 25, 1968, constituted from an additional tax on real property and other sources.
The Special Education Fund is administered by Local School Boards created by R.A. No. 5447 for this purpose.
The primary reference is the Magna Carta for Public School Teachers (R.A. No. 4670, approved June 18, 1966).
The fund may be used for (a) organization and operation of extension classes for Grade I children, including related teacher and principal positions; (b) construction and repair of elementary school buildings and related facilities; (c) payment and adjustment of benefits for public school teachers under R.A. No. 4670; (d) preparation and purchase of textbooks and teaching materials; (e) purchase and repair of equipment for vocational and practical arts courses; (f) promotion of citizenship programs and physical education activities.
For provinces, priority is given to activities related to textbooks/teaching materials, teacher benefits, and equipment repair; for cities and municipalities, priority is given to extension classes, teacher benefits, and textbooks/teaching materials.
It mandates that the needs of a higher priority activity must be fully met before funds can be appropriated for the next lower priority activity, strictly observed for the top priority activities.
No, Local School Boards are prohibited from appropriating funds for expenses outside those allowed under R.A. No. 5447, including motor vehicles, maintenance of other agencies, sponsorship of fairs, and other similar activities.
Allowances shall not exceed 100% of basic salary in first-class LGUs, 75% in second and third class LGUs, and 50% in fourth and lower classes, with existing higher rates allowed to continue for certain LGUs.
Not more than 60% of the total Local School Board budget may be used for personal services payments except if authorized by the Office of Budget and Management upon recommendation of the Ministry of Education, Culture and Sports.
The Instructional Materials Corporation, which the Minister of Education, Culture and Sports must operationalize using the resources of the Textbook Board Secretariat, is responsible for procurement.
Local government units may use their General Fund and Trust Funds to cover temporary deficiencies in Local School Board funds as loans, under terms imposed by the local government.
They assist in ensuring compliance with the provisions of the Letter of Instructions in their respective jurisdictions, with the Commission on Audit disallowing expenditures in violation and the Office of Budget assisting in budget approval.