The document discusses how education is supported and funded at different levels of government in the Philippines. It states that the national government assumes most of the responsibility for supporting elementary schools, as well as other institutions like regional normal schools and special schools. Local governments like municipalities and provinces are responsible for funding secondary schools and maintaining school buildings. The national budget process and procedures for expending funds at each governmental level are also outlined.

2. The State Responsibility for the Support of Education
• The welfare of the state depends largely upon the
education of its citizens.
• Our leaders and framers of the Constitution who
have realized the importance of education saw to it
that the Magna Carta contain a provision that the
state should establish and maintain a complete and
adequate system of education and provide at least a
primary education for all children of school age.
• Congress has consistently given approximately one-
third of the entire budget of the country to education.

3. Sources pf School Revenue for the Support of Education
• The welfare of the state depends largely upon the
education of its citizens.
• Our leaders and framers of the Constitution who have
realized the importance of education saw to it that the Magna
Carta contain a provision that the state should establish and
maintain a complete and adequate system of education and
provide at least a primary education for all children of school
age.
• Congress has consistently given approximately one-third of
the entire budget of the country to education.

4. Support Elementary Education Before the enactment of
Commonwealth Act No. 586 (Educational Act of 1940), the
elementary schools were jointly supported by the National and the
local government.
• Educational Act of 1940:
1. Support of all elementary schools in municipalities and
municipal districts saved the situation for the poor communities.
2. Abolished the share of municipalities and municipal districts in
the internal revenue collections, percentage taxes and income tax
to the general fund which may be drawn for school purposes.
3. The law forbids the collection of tuition fees in the intermediate
grades although it is permits matriculation fees not exceeding two
pesos for each pupil enrolled in intermediate grades. 60% spent for
the purchase of library books and equipment and 40% for financing
athletic activities in intermediate grades.

5. Support of PublicSecondary Schools
• The financial support for the maintenance and operation of public
ordinary schools is provided for by the provincial and city
governments.
• The source of provincial income are the following:
1. Internal revenue allotments from the national government;
2. Share from local taxes;
3. Fees from services rendered; and
4. Income from miscellaneous receipts. • The major portion of the
support for secondary schools comes from the tuition and
matriculation fees impose by the Provincial Board on all high school
students.
• Public secondary schools charge a tuition fee of between 80.00 and
150.00 a year.
• Through the enactment of Republic Act No. 3478, the National
Government has been granting annual national aid to general
provincial and municipal high schools .The law authorized 10 million

6. Support for Public Secondary Schools
• Voluntary contributions and donations by private individuals constitute
additional sources of income.
• In the case of municipal high schools, they are also supported from
students’ tuition and matriculation fees and general fund transfer from the
municipality where they are located.
• Former superintendent of schools Dr. Pedro T. Orata has advocated the
opening of barrio high schools.
• According to Dr. Orata, there are as of July 1967 about 450 barrio high
schools.
• Sources of funds, the Bureau of Public Schools in its Memorandum No. 86,
issued on August 1, 1966, states as follows:
1. Tuition fee to be charged should not be less than 80.00 a year.
2. 50% of the 10% real estates tax proceeds allotted to barrios in accordance
with Revised Barrio Charter should be set aside and used for the
improvement of instruction in the barrio high schools.
3. All feeder barrios should share the expenses for the improvement of
instruction.

7. Support of Public Schools in Chartered Cities
• Supported from tuition fees and city funds.
• Another source of income is the national aid.
• In R.A. No. 3478- the National Aid was specifically for provincial and
municipal high schools but the law was amended by R.A. No. 4128 so
as to include all city high schools. The Aid is also primarily for salary
adjustments of teachers. Support of Vocational High Schools
• Vocational schools located in provinces usually come under two
categories- the provincial trade school and the provincial agricultural
school.
• All vocational schools must be nationalized since the enactment of
R.A. No. 948 in 1954 the sources of income now are national
contribution, tuition and other fees an income from school products.

8. Support of Regional Normal Schools
• Regional normal schools are also national like the vocational schools.
• Sources of income are national contribution and tuition fees.
• Regional normal schools are therefore supported jointly by the students
themselves and by the national, provincial and municipal governments.
Support of Special Schools
• The Philippine Nautical School in Pasay City which offers courses for
employment as merchant marine officers is supported entirely by the
National Government. The School for Deaf and Blind under the Bureau of
Public Schools is supported almost entirely by the National Government with
occasionally aids from the Philippine Charity Sweepstakes. Support of
Chattered Government Colleges and Universities
• Comes from the tuition and matriculation fees of students and from
national funds appropriated annually by Congress.
• Special aids for the construction, repair and improvement of buildings are
given in special legislation or taken from the pork barrel fund.

9. Procedures followed in Financing Education by the Municipal, City,
Provincial, and National Governments
• There is no special education tax fixed by law in the Philippines.
• Municipalities, municipal districts and cities do not have to provide for
elementary education by virtue of Commonwealth Act No. 586 which
placed the responsibility of support for elementary education on the
National Government.
• Local entities may set aside sums from their general fund income if they
can afford, but it is optional.
• The National Government has assumed the greater burden of support
for: – Elementary schools in the whole country – Regional normal schools,
vocational schools, specials schools and partially even provincial secondary
schools. – Chartered colleges and universities
• The construction and repair and improvement of school buildings remain
the legal responsibilities of provinces, municipalities and cities

10. System Used by the local Governments
1 • A budget is prepared by the treasurer
2 • Proposed budget i signed by all officials concerned
3 • Submitted to the municipal council
4 • If approved, the resolution of the local government is signed by
the chairman of the councila and local executive
5 • If the budget approves, it is becomes legal and valid, otherwise it
does not become operative .

11. Procedure followed by the National Government
1 • The Division superintendents asked to submit an estimate of the needs.
2 • The Division of School Finance of the General Office of the Bureau of
Public Schools then consolidates reports and submit to the Secretary of
Education
3 • The Sec. of Education submits the proposal to the Budget Commission
under the Office of the Presidents of the Philippines.
4 • In January, each year, the President submits the budget for the entire
government of Congress for approval.
5 • The directors of the Bureaus and their Secretaries are summoned by the
appropriation committees of the House and Senate for hearing on the
justification of their proposals.
6 • After Congress has acted on the National Budget, the President signs it
and become operative
7 • The entire budget has finally approved by the Congress and the
President is printed for the distribution to all offices concerned.

12. Procedure in the expenditure of Funds
1 • The Budget Office which is the disbursing agency notifies the
Offices concerned of the amounts available for release for the
first quarter (July to September)
2 • The Budget Commission releases the first allotment based on
the approved national budget.
3 • The Director of Public Schools notifies the Division
Superintendent of Schools of the allotment for his division by
quarter.
4 • The salaries for the national teachers are paid by checks
through I.B.M. The Superintendent is rewired to submit to the
General Office his program of expenditure
5 • The report of expenditure submitted from the field is
forwarded by the Director to the Secretary of Education.
6 • These requisitions are then examined and scrutinized by the
Office of the Secretary of Education.