Title
Supreme Court
Educational Development Decree of 1972
Law
Presidential Decree No. 6-a
Decision Date
Sep 29, 1972
A presidential decree is enacted to ensure that the educational system in the Philippines contributes to the country's economic development, social progress, and promotion of cultural values, with a focus on providing a broad general education, training skilled manpower, and responding effectively to the changing needs of the nation through educational planning and evaluation.

Law Summary

Declaration of Policy

  • Government policy ensures maximum contribution of education to:
    • Accelerating economic and social development.
    • Participation of all people in benefits of growth.
    • Strengthening national consciousness and cultural values.

Objectives of the Educational System

  • Provide broad general education for personal and societal development.
  • Train middle-level skilled manpower.
  • Develop high-level professions for national leadership and research.
  • Establish an adaptive system for planning and evaluation responding to national needs.

Guiding Principles of the Ten-Year Program

  • Improve curricula, instruction quality, facilities, and teacher training.
  • Academic upgrades via accreditation, testing, and counselling.
  • Democratize access to education with financial aid and training programs.
  • Restructure higher education for responsiveness to national needs.
  • Expand programs for technical and agricultural manpower training.
  • Reform financing to shift elementary and secondary education costs to local governments.

Educational Development Projects

  • Projects include: management study, secondary schools enhancement, technical institutes support, curriculum and staff development, agricultural program expansion, instructional technology improvements, and assistance to universities.
  • Projects must align with guiding principles and be endorsed and approved by designated committees.

Organizational Structure and Implementation

  • Education Special Committee chaired by Secretary of Education and Culture with Finance and Budget secretaries as members.
  • Committee approves projects and administers Educational Institutions Development Fund.
  • National Board of Education formulates policies and guidelines, assisted by Planning Service.
  • Educational Development Projects Implementing Task Force supervises foreign-assisted and assigned projects.
  • Coordination with other government agencies as necessary.

Authority to Borrow Funds

  • President may contract foreign loans totaling up to US$100 million for project financing.
  • Loans must have a minimum 10-year repayment term.
  • Certain laws restricting borrowing are superseded.

Use of Loan Proceeds and Appropriations

  • Loans and appropriations used exclusively for authorized educational development projects.
  • Establishment of Educational Institutions Development Fund with at least ₱10 million annually for 10 years.
  • Fund facilitates loans and grants for public and private educational institutions.
  • Local government units may access funds for local educational projects.

Appropriations and Fund Release

  • ₱500 million appropriated from the National Treasury, released over a 10-year period (₱50 million annually).
  • Release schedule flexible based on actual project needs.
  • Surplus funds directed to Educational Special Account for future use.

Creation of Educational Special Account

  • Fund sources include bond proceeds, special education and science funds, savings from reforms, and general fund augmentations.
  • Donations/bequests accepted and exempt from gift taxes.

Bond Issuance

  • Secretary of Finance authorized to issue bonds up to ₱20 million annually.

Allocation from Special Education and Science Funds

  • ₱20 million from Special Education Fund allocated annually for ten years.
  • ₱15 million plus 50% of special science taxes allocated similarly.
  • After ten years, shares revert to General Fund.
  • Local government shares may be used for local projects per the Decree.

Savings and Fund Augmentation

  • Implemented reforms may generate savings directed to the Educational Special Account.
  • Additional appropriations from the General Fund authorized if other sources are insufficient.

Tax Exemptions

  • Loans, fund earnings, importations, and related transactions exempt from all taxes, duties, fees, and restrictions.
  • Secretary of Finance to promulgate necessary regulations.

Payment of Loans

  • Appropriations authorized to pay principal, interest, and charges on incurred loans as due.

Repealing Clause

  • Any inconsistent laws, orders, rules, or regulations are repealed or modified accordingly.

Effectivity

  • The Decree takes effect immediately upon issuance.

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