Fair budget allocation for education capital outlay

Section 2 declares the policy of the State to uphold the primacy of education.
Section 2 directs the State to foster patriotism and nationalism, accelerate social progress, and promote total human liberation and development.
Section 2 requires the State to ensure fair and equitable access to the infrastructure and tools necessary for quality education for the citizenry represented by all legislative districts.
Section 2 mandates the establishment of an objective mechanism to make equitable the allocation of the DECS budget for capital outlay.

Section 3 defines “Capital outlay” as provisions in the General Appropriations Act pertaining to the DECS budget for elementary and secondary education for:
- (i) the acquisition and improvement of sites;
- (ii) the construction, replacement, rehabilitation and repair of buildings, classrooms, libraries, workshops, toilets and other structures; and
- (iii) furniture, fixtures, and equipment such as desks, chairs, laboratory and workshop implements, computers, books, and other basic and essential tools for learning whose beneficial use shall exceed one (1) year.
Section 3 defines “Classroom shortage” as the number of classrooms whose construction, in considering the number of students divided by the existing number of classrooms, results in a student-classroom ratio of 45:1.
Section 3 provides that classrooms mean those exclusively used for instructional purposes and exclude offices, libraries, laboratories, workshops and the like.

Section 4 requires that the annual DECS budget for capital outlay (as defined in Section 3) be allocated among legislative districts notwithstanding any law to the contrary.
For the first year of the effectivity, Section 4 allocates the total capital outlay as follows:
- 30% allocated pro-rata according to each legislative district’s student population in relation to the total student population of the country;
- 60% allocated only among legislative districts with classroom shortages, pro-rata to the total classroom shortage of the country pursuant to Section 3(b) as determined by the DECS; and
- 10% allocated in accordance with the implementation of the policy of the Act as may be determined by the DECS.
For the second year and every year thereafter, Section 4 allocates the total capital outlay as follows:
- 50% allocated pro-rata according to each legislative district’s student population in relation to the total student population of the country;
- 40% allocated only among legislative districts with classroom shortages, pro-rata to the total classroom shortage of the country pursuant to Section 3(b) as determined by the DECS; and
- 10% allocated in accordance with the implementation of the policy of the Act as may be determined by the DECS.

Section 5 requires that the total amount allocated be used exclusively for capital outlay pursuant to the educational priorities of the legislative district as determined by the DECS upon prior consultation with the representative of each legislative district.
Section 5 mandates that the primary objective in the use of any allocation is to eliminate classroom shortages if any.
Section 5 provides that amounts allocated under subparagraph (1) of paragraphs (a) and (b) of Section 4 must be used only for:
- acquisition or improvement of school sites;
- construction of school buildings and classrooms; and
- the purchase of material or equipment that directly aid in education.
Section 5 provides that amounts allocated under subparagraph (2) of paragraphs (a) and (b) of Section 4 must be used exclusively for the construction of new school buildings.
Section 5 requires that if the amount appropriated under subparagraph (2) exceeds the amount required to meet classroom shortage, the excess must be integrated with subparagraph (1) of paragraphs (a) and (b) of Section 4, excluding capital outlays of division offices, regional and central offices.

Section 6 requires the DECS, upon prior consultation with the Department of Budget and Management, to promulgate necessary rules and regulations for immediate and effective implementation within sixty (60) days after the Act’s effectivity.
Section 6 requires DECS officials to submit to the Committees on Finance and Education, Arts and Culture of both Houses of Congress copies of the implementing rules and regulations within thirty (30) days after promulgation.
Section 7 requires that any person charged in implementing the Act certify under oath (to be attached in the payroll or salary voucher under which his salary is paid) that the Act’s allocation provision for the year under Section 4 has been fully complied with.

Section 6 provides that any violation of Section 6 renders the concerned official liable under Republic Act No. 6713, the “Code of Conduct and Ethical Standards for Public Officials and Employees,” and other existing administrative and/or criminal laws.
Section 8 provides that any public official or employee or private individual who willfully or knowingly misappropriates the funds allocated herein or uses them for personal gain in violation of Section 5 shall be punished with:
- perpetual disqualification from public office, and
- imprisonment for not less than six (6) years but not more than fifteen (15) years.

Section 9 directs that the appropriation for the construction, rehabilitation, replacement completion and repair of school buildings shall be directly released to and administered by the Department of Public Works and Highways, based on the work program submitted by the DECS.
Section 9 requires that fifty percent (50%) of the total appropriation for capital outlay be released automatically on the first quarter of the calendar year, including its corresponding notice of cash allocation.

Section 10 provides that if any provision of the Act is declared unconstitutional, the validity and effectivity of the other provisions are not affected.
Section 11 repeals or modifies accordingly all laws, decrees, orders, rules and regulations, and other issuances, or parts thereof, inconsistent with the Act.
The Act is a consolidation of Senate Bill No. 2003 and House Bill No. 13063, and was finally passed by the Senate and the House of Representatives on February 7, 1995.