PRIVATE SHOOLS

SECTARIAN PAUL B. DORONILA PhD IN EDUCATIONAL MANAGEMENT EDM 307 SCHOOL LEGISLATION PROFESSOR: DR. CONSTANTINA A BARBAS CPSU GRADUATE SCHOOL

LAWS ON PRIVATE SCHOOLS

1987 PHILIPPINE CONSTITUTION EDUCATIONA ACT OF 1982 (BP 232) DEPED ORDER 106 S. 2009 DEPED ORDER 36 S. 2010 DEPED ORDER 88 S. 2010 RA 7798 CMO 40 S. 2008 CORPORATE CODE OF THE PHILIPPINES

THE 1987 PHILIPPINE CONSTITUTION: ARTICLE XIV ON PRIVATE SCHOOLS

Section 1. The State shall protect and promote the right of all citizens to quality education at all levels, and shall take appropriate steps to make such education accessible to all. Section 2. The State shall: (1) Establish, maintain, and support a complete, adequate, and integrated system of education relevant to the needs of the people and society

THE 1987 PHILIPPINE CONSTITUTION: ARTICLE XIV ON PRIVATE SCHOOLS

(3) 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 Section 4.(1) The State recognizes the complementary roles of public and private institutions in the educational system and shall exercise reasonable supervision and regulation of all educational institutions.

THE 1987 PHILIPPINE CONSTITUTION: ARTICLE XIV ON PRIVATE SCHOOLS

(2) Educational institutions, other than those established by religious groups and mission boards, shall be owned solely by citizens of the Philippines or corporations or associations at least sixty per centum of the capital of which is owned by such citizens. The Congress may, however, require increased Filipino equity participation in all educational institutions.

THE 1987 PHILIPPINE CONSTITUTION: ARTICLE XIV ON PRIVATE SCHOOLS

(3) All revenues and assets of non-stock, non-profit educational institutions used actually, directly, and exclusively for educational purposes shall be exempt from taxesand duties. Upon the dissolution or cessation of the corporate existence of such institutions, their assets shall be disposed of in the manner provided by law. Proprietary educational institutions, including those cooperatively owned, may likewise be entitled to such exemptions, subject to the limitations provided by law, including restrictions on dividends and provisions for reinvestment.

THE 1987 PHILIPPINE CONSTITUTION: ARTICLE XIV ON PRIVATE SCHOOLS

(4) Subject to conditions prescribed by law, all grants, endowments, donations, or contributions used actually, directly, and exclusively for educational purposes shall be exempt from tax.

EDUCATION ACT OF 1982 (BP 232) ON PRIVATE SCHOOLS

Sec. 2. Coverage. This Act shall apply to and govern both formal and non-formal systems in public and private schools in all levels of the entire educational system. Sec. 6. Definition and Coverage. "Educational community" refers to those persons or groups of persons as such or associated in institutions involved in organized teaching and learning systems. 4. "Schools," or institutions recognized by the State which undertake educational operations

EDUCATION ACT OF 1982 (BP 232) ON PRIVATE SCHOOLS

Sec. 13. Rights of Schools. In addition to other rights provided for by law, schools shall enjoy the following: 1. The right of their governing boards or lawful authorities to provide for the proper governance of the school and to adopt and enforce administrative or management systems. . 2. The right for institutions of higher learning to determine on academic grounds who shall be admitted to study, who may teach, and what shall be subjects of the study and research.

EDUCATION ACT OF 1982 (BP 232) ON PRIVATE SCHOOLS

Sec 26.3. "Private Schools" are educational institutions maintained and administered by private individuals or groups. Sec 28.3 Operation of schools and educational programs without authorization, and/or operation thereof in violation of the terms of recognition, are hereby declared punishable violations subject to the penalties provided in this Act.

EDUCATION ACT OF 1982 (BP 232) ON PRIVATE SCHOOLS

Sec. 28. Effects of Recognition; Punishable Violations. The issuance of a certificate of recognition to a school shall have the following effects: 1. It transforms the temporary permit to a permanent authority to operate; 2. It entitled the school or college to give the students who have completed the course for which recognition is granted, a certificate, title or diploma; and 3. It shall entitle the students who have graduated from said recognized course or courses to all the benefits and privileges enjoyed by graduates in similar courses of studies in all schools recognized by the government

EDUCATION ACT OF 1982 (BP 232) ON PRIVATE SCHOOLS

Operation of schools and educational programs without authorization, and/or operation thereof in violation of the terms of recognition, are hereby declared punishable violations subject to the penalties provided in this Act.

EDUCATION ACT OF 1982 (BP 232) ON PRIVATE SCHOOLS

Sec. 29. Voluntary Accreditation. The Ministry shall encourage programs of voluntary accreditation for institution which desire to meet standards of quality over and above minimum required for State recognition.

EDUCATION ACT OF 1982 (BP 232) ON PRIVATE SCHOOLS

B. FUNDING OF PRIVATE SCHOOLS Sec. 40. Funding of Private Schools. Private schools may be funded from their capital investment or equity contributions, tuition fees and other school charges, grants, loans, subsidies, passive investment income and income from other sources.

DEPED ORDER 106 S. 2009 ON PRIVATE SCHOOLS

Pursuant to the RA 7798 entitled An Act Amending Section 25 of BP 232, otherwise known as the Education Act of 1982, Section 3.1 Chapter III of DECS Service Manual 2000 is hereby amended, as follows:

DEPED ORDER 106 S. 2009 ON PRIVATE SCHOOLS

Sec. 41. Government Assistance. The government, in recognition of their complementary role in the educational system, may provide aid to the programs of private schools in the form of grants or scholarships, or loans from government financial institutions: Provided, That such programs meet certain defined educational requirements and standards and contribute to the attainment of national development goals.

DEPED ORDER 106 S. 2009 ON PRIVATE SCHOOLS

Sec. 42. Tuition and Other Fees. Each private school shall determine its rate of tuition and other school fees or charges. The rates and charges adopted by schools pursuant to this provision shall be collectible, and their application or use authorized, subject to rules and regulations promulgated by the Ministry of Education, Culture and Sports.

DEPED ORDER 106 S. 2009 ON PRIVATE SCHOOLS

Sec. 43. Income from Other Sources. Any private school duly recognized by the government, may receive any grant and legacy, donation, gift, bequest or devise from any individual, institution, corporation, foundation, trust of philanthropic organization, or research institution or organization as may be authorized by law.

DEPED ORDER 106 S. 2009 ON PRIVATE SCHOOLS

Furthermore, private schools are authorized to engage in any auxiliary enterprise to generate income primarily to finance their educational operations and/or to reduce the need to increase students' fees. Sec. 44. Institutional Funds. The proceeds from tuition fees and other school charges, as well as other income of schools, shall be treated as institutional funds. Schools may pool their institutional funds, in whole or in part, under joint management for the purpose of generating additional financial resources.

DEPED ORDER 106 S. 2009 ON PRIVATE SCHOOLS

Sec. 3. Establishment of Private Schools. 3.1 The establishment of a private school, including the branch school or extension class, shall be subject to the prior approval of the Department pursuant to the provisions of the 1987 Constitution, education related or applicable laws. Provided, however, that any private school to be established must incorporate as either a non-stock or stock educational corporation in accordance with the provision of the Corporation Code of the Philippines, and provided further, that the requirement of incorporation may be waived by the Department in the case of family-administered school offering preelementrary school education program.

DEPED ORDER 36 S. 2010 ON PRIVATE SCHOOLS

Pursuant to the RA 7798 entitled An Act Amending Section 25 of BP 232, otherwise known as the Education Act of 1982, Section 3.1 Chapter III of DECS Service Manual 2000 is hereby amended, as follows: Sec 5. Establishing Branch School or Extension Classes within the same Region as the Main Campus of the Private Elementary/ Secondary School

DEPED ORDER 36 S. 2010 ON PRIVATE SCHOOLS

Sec 5.1 The establishment of a school branch or extension class shall not require a separate incorporation or entity. The incorporation of the mother school as either stock or non-stock educational corporation shall be sufficient, provided that the school branch or extension class meets all the requirements and complies with the rules and prescribed standards of the DepEd before a permit may be issued.

DEPED ORDER 88 S. 2010 ON PRIVATE SCHOOLS

2010 REVISED MANUAL OR REGULATIONS FOR PRIVATE SCHOOLS IN BASIC EDUCATION It is issued for the guidance and compliance of all concerned instakeholders in basic private education.

DEPED ORDER 88 S. 2010 ON PRIVATE SCHOOLS

Any existing Department Circulars, Orders, Memoranda, such as the;
1992 Revised Manual of Regulations for Private Schools (8th Edition) issued as DECS ORDER 92 s. 1992 dated August 10, 1992, or any part thereof which are contrary to or inconsistent with any provision of this Manaual shall be deemed repealed or modified accordingly.

Effectivity: beginning School Year 2010-2011

DEPED ORDER 88 S. 2010 ON PRIVATE SCHOOLS

II BASIC EDUCATION Sec 6.1. Basic Education encompasses early childhood, elementary and high school education as well as alternative learning systems for out-of-school youth and adult learners and includes education for those with special needs.

DEPED ORDER 88 S. 2010 ON PRIVATE SCHOOLS

Sec 6.2. Basic Education shall have five (5) main programs, namely: pre-school, elementary, secondary, special needs education and alternative learning systems. Sec 6.3. Elementary education programs shall cover at least Grades I to VI; secondary education programs from First year to Fourth year or total of ten (10) school years in the formal school system. Pre-school shall not be a prerequisite for enrollment of a pupil to Grade I.

DEPED ORDER 88 S. 2010 ON PRIVATE SCHOOLS

Sec 6.4. To ensure proper implementation of the Education For All (EFA) policy of the government, alternative learning systems shall provide for the training needs of out-of-school youths and adults, 15 years old and above.

CMO 40 S. 2008 ON PRIVATE SCHOOLS

MANUAL OF REGULATIONS FOR PRIVATE HIGHER EDUCATION OF 2008 1. Pursuant to the pertinent provisions of the 1987 Constitution, Act N0. 2706 as amended by Act n0. 3075, Commonwealth Act No. 180, Batas Pambansa Bilang 232, Republic act No. 7722 and other applicable legislations and by virtue of the 318th Commission en banc Resolution No. 398-2008 dated 28 July 2008, the Commission hereby adopts and promulgates this Manual of Regulations for Private Higher Education of 2008 for information, guidance and compliance of all concerned.

CMO 40 S. 2008 ON PRIVATE SCHOOLS

2. The Manual shall apply to all private higher education institutions operating under authority of the Commission. 3. It shall be the responsibility of all school officials of private higher education institutions to implement the provisions of this Manual. 4. the CHED Regional offices shall monitor and ensure the effective implementation of this Manual

CORPORATE CODE OF THE PHILIPPINES ON PRIVATE SCHOOLS

THE CORPORATION CODE OF THE PHILIPPINES Sec. 2. Corporation defined. - A corporation is an artificial being created by operation of law, having the right of succession and the powers, attributes and properties expressly authorized by law or incident to its existence.

CORPORATE CODE OF THE PHILIPPINES ON PRIVATE SCHOOLS

Sec. 3. Classes of corporations. Corporations formed or organized under this Code may be stock or non-stock corporations. Corporations which have capital stock divided into shares and are authorized to distribute to the holders of such shares dividends or allotments of the surplus profits on the basis of the shares held are stock corporations. All other corporations are nonstock corporations.

CORPORATE CODE OF THE PHILIPPINES ON PRIVATE SCHOOLS

Sec. 5. Corporators and incorporators, stockholders and members. - Corporators are those who compose a corporation, whether as stockholders or as members. Incorporators are those stockholders or members mentioned in the articles of incorporation as originally forming and composing the corporation and who are signatories thereof.

CORPORATE CODE OF THE PHILIPPINES ON PRIVATE SCHOOLS

TITLE II INCORPORATION AND ORGANIZATION OF PRIVATE CORPORATIONS

Sec. 10. Number and qualifications of incorporators. - Any number of natural persons not less than five (5) but not more than fifteen (15), all of legal age and a majority of whom are residents of the Philippines, may form a private corporation for any lawful purpose or purposes. Each of the incorporators of s stock corporation must own or be a subscriber to at least one (1) share of the capital stock of the corporation.

PRIVATE SCHOOL PERMIT: GUIDELINES FOR THE ESTABLISHMENT OF PRIVATE SCHOOLS

1987 PHILIPPINE CONSTITUTION EDUCATIONA ACT OF 1982 (BP 232) DEPED ORDER 106 S. 2009 DEPED ORDER 36 S. 2010 DEPED ORDER 88 S. 2010 RA 7798 CMO 40 S. 2008 CORPORATE CODE OF THE PHILIPPINES