Republic of the Philippines

University of Eastern Philippines

University Town, Northern Samar
GRADUATE SCHOOL

Name: Cristine Grace R. Acuyan

Course Description: Master in Public Administration MPA-1
Subject: P.A 823 (PUBLIC FISCAL ADMINISTRATION)
Professor: Abe A. Villarino, CPA, MPA, MSEcon, Lib.

Topic: Commission on Higher Education (CHED) and;

Technical Education Skills Development (TESDA)

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Commission on Higher Education

The Commission on Higher Education more popularly known as CHED, is one of the three
agencies of the Philippine government governing the education sector. It is primarily responsible for
the oversight and supervision of both public and private higher education institutions as well as
degree-granting programs in all tertiary educational institutions in the Philippines

History

CHED was created on May 18, 1994, through Republic Act No. 7722, also known as the Higher
Education Act of 1994, as part of a broad agenda for reforms in the country's education system
outlined by the Congressional Commission on Education (EDCOM) in 1992. Part of these reforms
resulted in the trifocalization of the education sector, which was allocated among three governing
bodies: the Commission on Higher Education (CHED) for tertiary and graduate education, the
Department of Education (DepEd) for basic education, and the Technical Education and Skills
Development Authority (TESDA) for technical-vocational and middle level education.

Mandate

Under R.A. 7722, CHED is mandated to promote quality education; take appropriate steps to ensure
that education shall be accessible to all; and ensure and protect academic freedom for the continuing
intellectual growth, the advancement of learning and research, the development of responsible and
effective leadership, the education of high level professionals, and the enrichment of historical and
cultural heritage.

Title. - This act shall be known as the "Higher Education Act of 1994".

Declaration of Policy. - The State shall protect, foster and promote the right of all citizens to
affordable quality education at all levels and shall take appropriate steps to ensure that education
shall be accessible to all. The State shall likewise ensure and protect academic freedom and shall
promote its exercise and observance for the continuing intellectual growth, the advancement of
learning and research, the development of responsible and effective leadership, the education of high-
level and middle-level professionals, and the enrichment of our historical and cultural heritage.
 Creation of the Commission on Higher Education . - In pursuance of the abovementioned
policies, the Commission on Higher Education is hereby created, hereinafter referred to as the
Commission.
The Commission shall be independent and separate from the Department of Education, Culture
and Sports (DECS), and attached to the Office of the President for administrative purposes only. Its
coverage shall be both public and private institutions of higher education as well as degree-granting
programs in all post-secondary educational institutions, public and private.

Composition of the Commission. - The Commission shall be composed of five (5) full-time
members. During the transition period, which begins upon approval of this Act, the president may
appoint the Secretary of Education, Culture and Sports as ex-officio chairman of the Commission for
a maximum period of one (1) year. Thereafter, the President shall appoint a Chairman of the
Commission and four (4) commissioners, who shall be holders of earned doctorate(s), who have been
actively engaged in higher education for at least ten (10) years, and must not have been candidates for
elective positions in the elections immediately preceding heir appointment. They shall be academicians
known for their high degree of professionalism and integrity who have distinguished themselves as
authorities in their chosen fields of learning. The members of the Commission shall belong to
different academic specialization.

Term of Office. - The President shall appoint the full-time chairman and the commissioners for a
term of four (4) years, without prejudice to one reappointment. The terms of the initial appointees
shall be on staggered basis: the full-time chairman shall hold office for a term of four (4) years, the
next two (2) commissioners for three (3) years, and the last two (2) commissioners for two (2) years.

The commission shall hold office until their successors shall have been appointed and qualified.
Should a member of the Commission fail to complete his term, his successor shall be appointed by the
President of the Philippines but only for the unexpired portion of the term.

Rank and Emoluments. = The chairman and the commissioners shall have the rank of a Department
Secretary and Undersecretary, respectively. They shall receive the compensation and other
emoluments corresponding to those of a Department Secretary and Undersecretary, respectively, and
shall be subject to the same disqualification.

Board of Advisers. - There shall be constituted a Board of Advisers which shall meet with the
Commission at least once a year to assist it in aligning its policies and plans with the cultural, political
and socioeconomic development needs of the nation and with the demands of world-class scholarship.

The Board of Advisers shall be composed of the following:

a) the Secretary of Education, Culture and Sports, as chairman;

b) the Director-General of the National Economic and Development Authority, as co-chairman;
c) the Secretary of Science and Technology;
d) the Secretary of Trade and Industry;
e) the Secretary of Labor and Employment;
f) the President of the Federation of Accrediting Association of the Philippines (FAAP); and
g) the President of the Fund for Assistance to Private Education (FAPE).
The President upon recommendation of the Commission may appoint two (2) additional members of the
Board of Advisers.
 Organizational Structure

• Office of the Chairman and Commissioners (OCC) - The Commission en banc acts as a
collegial body in formulating plans, policies and strategies relating to higher education and in
deciding important matters and problems regarding the operation of the CHED. It is
composed of five full-time members, the chairman and four commissioners, each having a
term of office of four years. The commissioners meet at least once a year with the CHED
Board of Advisers which assists them in aligning CHED policies and plans with the cultural,
political and socio-economic development needs of the nation and with the demands of world-
class scholarship.

• Executive Office (EO) - Heads the CHED secretariat that implements the plans and policies
of the Commission; oversees the over-all implementation of policies, programs, projects and
activities of the different offices, namely: Office of Programs and Standards (OSS);
Office of Policy, Planning, Research and Information (OPPRI); Office of Student
Services (OSS); International Affairs Service (IAS); Legal Affairs Service (LAS);
Administrative Service (AS); Finance Service (FS); and Regional Offices; . It coordinates
with the HEDF Secretariat in the utilization of HEDF funds for the efficient implementation
of CHED programs and projects.

The Secretariat. The Commission shall organize a secretariat, which shall be headed by an executive
officer, subject to the national compensation and position classification plan. It shall fix the
secretariat's staffing pattern, determine the duties, qualifications, responsibilities and functions, as
well as the compensation scheme for the positions to be created upon the recommendation of the
executive officer. It shall also prepare and approve its budget.

• Program Committee - Serves as a forum for consensus building and review of policy
formulations proposed by the different offices prior to endorsement to the Commission en
banc; also serves as a coordinating advisory body to the Office of Programs and Standards;
Office of Policy, Planning, Research and Information; Office of Student Services; and
International Affairs Service on overlapping/crosscutting concerns including those with other
CHED offices in relation to policy formulation.

• Office of Programs and Standards (OPS) - Tasked to assist in formulating academic

development plans, policies, standards and guidelines for higher education programs, including
alternative learning systems such as open learning and distance education; develop criteria
and instruments in monitoring and evaluating the enforcement of Policies, Standards and
Guidelines (PSGs) by the CHED Regional Offices; assist in formulating the criteria for
selecting Centers of Excellence (COEs) and Centers of Development (CODs) in various
academic programs and in developing the tools for evaluating the impact of COEs and CODs
vis-a-vis students, community and country. The OPS has four divisions under the Office of
the Director: Monitoring and Evaluation Division (Cluster "A"); Program Development Division
(Cluster "B"); Standards Development Division (Cluster "C" ); and Expanded Tertiary
Education Equivalency and Accreditation Program (ETEEAP) (Cluster "D").

• Office of Policy, Planning, Research and Information (OPPRI) - Tasked to assist in the
development of sector-wide policies, plans, and programs and formulate/implement projects
to improve the sub-sector; gather, process and analyze higher education data/information;
conduct activities needed for policy/decision making, planning, project development and
implementation; and package and disseminate higher education data/information and research
 outputs. The OPPRI has three divisions: Policy Development and Planning Division (PDPD);
Research Division (RD); and Management and Information System Division (MISD).

• Office of Student Services (OSS) - Tasked to develop, recommend, monitor and evaluate
the implementation of policies, systems, procedures and programs on matters pertaining to
the various student services in higher education institutions. The OSS has two divisions: the
Study Grant Division (SGD) and the Student Auxiliary Services Division (SASD)

• International Affairs Service (IAS) - Tasked to help promote Philippine higher education
abroad for international recognition. It works in concert with all offices of CHED as they
pursue their fundamental functions and objectives to enhance the international orientation
and dimension of higher education.

• Admistrative Committee - Serves as a forum for consensus building and review of action
plans, programs and services proposed by the Legal Affairs Service, Administrative Service
and Finance Service prior to endorsement to the Commission en banc. It serves as
coordinating/advisory body to the three offices in relation to policy formulation.

• Legal Affairs Service (LAS) - Renders efficient and competent legal services to the CHED
and its constituents upon being provided sufficient staff, facilities and resources, by
rendering rulings, opinions and other legal actions on matters concerning the implementation
of R.A. 8272, R.A. 7279 and other relevant education laws, CHED memoranda, orders and
guidelines, and the preparation, examination and implementation of its programs, systems and
procedures, as well as issues and concerns affecting the rights and obligations of the various
sectors of the educational community.

• Administrative Service (AS) - Tasked to develop and maintain the personnel program that
includes recruitment, selection and appointment, performance evaluation, employee relations
and welfare services, leave administration and other personnel benefits; plan and develop
training programs for CHED that are geared to the needs of the individual as measured by
the requirements of his present and probable future job; and provide property and supply
services, records management services, cash management, reproduction, messengerial and
other related services.

• Finance Service (FS) - Tasked to prepare the budget proposal of the CHED and coordinate
with the Department of Budget and Management and both Houses of Congress in the
preparation of the said budget; evaluate budgetary proposals of CHED Supervised
Institutions (CSIs) and integrate proposed budget of State Universities and Colleges (SUCs);
keeps record of all financial transactions of the CHED, perform pre-audit functions on all
disbursements funded by regular appropriation and render required financial reports; and
review and consolidates financial statements of CSIs and render quarterly consolidated
financial reports.

• Higher Education Development Fund Secretariat (HEDF) - Tasked to mobilize funds for the
strengthening of higher education in the entire country and monitor the implementation of
programs and projects to ensure achievement of objectives within the allocated budgets.

• Regional Offices (ROs) - Serve as the frontline offices or the implementing units of the
CHED in the different regions of the country. They carry out the CHED's thrusts, programs,
 and policies at the regional level and serve as centers or focal points where all concerns,
issues, programs and projects of higher education institutions are facilitated.

• Technical Panels (TPs) - Serve as advisory and consultative bodies to the Commission. These
are composed of academicians, practitioners, representatives of professional organizations
and appropriate government agencies.Technical Panels have been created for the following
disciplines: Science and Mathematics; Humanities, Social Sciences and Communication;
Information Technology; Health Profession Education; Engineering, Technology and
Architecture; Maritime Education; Business and Management; Agricultural Education; Teacher
Education; and Legal Education and Criminology.

Powers and Functions

CHED has the following powers and functions:

• Formulate and recommend development plans, policies, priorities, and programs on higher
education;
• Formulate and recommend development plans, policies, priorities, and programs on research;
• Recommend to the executive and legislative branches priorities and grants on higher
education and research;
• Set minimum standards for programs and institutions of higher learning recommended by
panels of experts in the field and subject to public hearing, and enforced the same;
• Monitor and evaluate the performance of programs and institutions of higher learning for
appropriate incentives as well as the imposition of sanctions such as, but not limited to,
diminution or withdrawal of subsidy, recommendation on the downgrading or withdrawal of
accreditation, program termination or school course;
• Identify, support and develop potential centers of excellence in program areas needed for
the development of world-class scholarship, nation building and national development;
• Recommend to the Department of Budget and Management (DBM) the budgets of public
institutions of higher learning as well as general guidelines for the use of their income;
• Rationalize programs and institutions of higher learning and set standards, policies and
guidelines for the creation of new ones as well as the conversion or elevation of schools to
institutions of higher learning, subject to budgetary limitations and the number of
institutions of higher learning in the province or region where creation, conversion or
elevation is sought to be made;
• Develop criteria for allocating additional resources such as research and program
development grants, scholarships, and the other similar programs: Provided, that these shall
not detract from the fiscal autonomy already enjoyed by colleges and universities;

Perform such other functions as may be necessary for its effective operations and for the
continued enhancement, growth and development of higher education
 [Republic Act No. 7796]
An act creating the Technical Education and Skills Development Authority, providing for its
powers, structure and for other purposes is it enacted by the Senate and the House of
Representatives of the Philippines in Congress assembled:

TITLE. - This act shall be known as the "Technical Education Skills Development Act of
1994" or the TESDA Act of 1994."

DECLARATION OF POLICY. - It is hereby declared the policy of the State to provide relevant,
accessible, high quality and efficient technical education and skills development in support of the
Development of High Quality Filipino Middle-level Manpower responsive to and in accordance with
Philippine Development Goals and Priorities.
The state shall encourage active participation of various concerned sectors, particularly private
enterprises, being direct participants in and immediate beneficiaries of a trained and skilled
workforce, in providing technical education and skills development.

Private Sector Participation. - The State shall encourage the active participation of various
concerned sectors, particularly private enterprises, being direct participants in and immediate
beneficiaries of a trained and skilled workforce, in providing technical education and skills
development opportunities.

Statement of Goals and Objectives. - The goals and objectives of TESDA Act of 1994 (hereinafter
cited as Act) are as follows:

• International Competitiveness. - To promote and strengthen the quality of

technical education and skills development programs to attain international
competitiveness;
• Quality Middle-Level Manpower. - To focus technical education and skills
development on meeting the changing demands for quality middle-level manpower.
• Scientific and Technical Knowledge Base. - To encourage critical and
creative thinking by disseminating the scientific and technical knowledge base of
middle-level manpower development programs;
• Roles of Public and Private Institutions. - To recognize and encourage the
complementary roles of public and private institutions in technical education and
skills development and training systems; and
• Desirable Values. - To inculcate desirable values through the development of
moral character, with emphasis on work ethic, self-discipline, self-reliance and
nationalism.

DEFINITION OF TERMS. - As used in this act:

• "Skill" shall mean the acquired and practiced ability to carry out a task job;

• "Skills Development" shall mean the process through which learners and
workers are systematically provided with learning opportunities to acquire or
upgrade, or both, their ability, knowledge and behavior pattern required as
qualifications for a job or range of jobs in a given occupation areas;

• "Technical Education" shall refer to the education process designed at post-

secondary and lower tertiary levels, officially recognized as non-degree programs
 aimed at preparing technicians, para-professionals and other categories of middle-
level workers by providing them with a broad range of general education, theoretical,
scientific and technological studies, and related job skills training;

• "Trade" shall mean any group of interrelated jobs or any occupation which is traditionally or
officially recognized as craft or artisan in nature requiring specific qualifications that can be
acquired through work experience and/or training ,
• "Middle-Level Manpower" refers to those
o who have acquired practical skills and knowledge through formal or non-formal
education and training equivalent to at least a secondary education but preferably at
post-secondary education with a corresponding degree of diploma; or
o skilled workers who have become highly competent in their trade or craft as
attested by industry;
• "Private Enterprises" refers to an economic system under which property of all kinds can be
privately owned and in which individuals, alone or in association with another, can embark on a
business activity. This includes industrial, agricultural, or agro-industrial establishments
engaged in the production, manufacturing, processing, repacking or assembly of goods
including service-oriented enterprises;
• "Trainers" shall mean persons who direct the practice of skills towards immediate
improvement in some task;
• "Trainors/trainers" shall mean persons who provide training to trainers aimed at developing
the latter's capacities for imparting attitudes, knowledge, skills and behavior patters
required for specific jobs, tasks, occupations or group of related occupations.

Technical Education and Skills TESDA), hereinafter referred to as the Authority, which shall
replace and absorb the National Manpower and Youth Council (NMYC), the Bureau of Technical and
Vocational Education (BTVE) and the personnel and functions pertaining to technical-vocational
education in the regional offices of the Department of Education, Culture and Sports (DECS) and the
apprenticeship program of the Bureau of Local Employment of the Department

Development Authority; Creation. - To implement the policy declared in this Act, there is hereby
created a Technical Education and Skills Development Authority (of Labor and Employment.

Composition of the Authority. - The Authority shall be composed of the TESDA Board and the
TESDA Secretariat.

Composition of the TESDA Board.* - The TESDA Board shall be composed of the following:

• The Secretary of Labor and Employment Chairperson

• Secretary of Education, Culture and Sports Co-Chairperson
• Secretary of Trade and Industry Co-Chairperson
• Secretary of Agriculture Member
• Secretary of Interior and Local Government Member
• Director-General of the TESDA Secretariat Member

Two (2) representatives from the employer/industry organization, one of whom shall be a
woman;
Three (3) representatives from the labor sector, one of whom shall be a woman; and
To (2) representatives of national associations of private technical-vocational education and
training institutions, one of whom shall be a woman.
Term of Office. - As soon as all the members of the private sector are appointed, they shall so
organize themselves that the term of office of one-third (1/3) of their number shall expire every
year. The members from the private sector appointed thereafter to fill vacancies caused by
expiration of terms shall hold office for three (3) years.

Change of Membership. - The President of the Philippines may revise the membership of the TESDA
Board through an administrative order whenever the President deems it necessary for the effective
performance of the Board's functions.

Meetings, Emoluments. - The TESDA Board shall meet at least twice a year, or as frequently as may
be deemed necessary by its Chairperson. In the absence of the Chairperson, a Co-Chairperson shall
preside. In case any member of the Board representing the Government cannot attend the meeting, he
or she shall be regularly represented by an undersecretary or deputy-director general, as the case
may be, to be designated by such member for the purpose.

The benefits, privileges and emoluments of the Board shall be consistent with existing laws and rules.

Powers and Functions of the Board. - The Authority shall primarily be responsible for
formulating, continuing, coordinated and fully integrated technical education and skills development
policies, plans and programs taking into consideration the following:

• The State policy declared herein of giving new direction and thrusts to
efforts in developing the quality of Filipino human resource through technical
education and skills development; the implementation of the above-mentioned policy
requires the coordination and operation of policies, plans, and programs of different
concerned sectors of Philippine society; equal participation of representatives of
industry groups, trade associations, employers, workers and government shall be
made the rule in order to ensure that urgent needs and recommendations are readily
addressed; and improved linkages between industry, labor and government shall be
given priority in the formulation of any national-level plan.

• The Board, shall have the following powers: promulgate, after due
consultation with industry groups, trade associations, employers, workers, policies,
plans, programs and guidelines as may be necessary for the effective implementation
of this Act;

• Organize and constitute various standing committees, subsidiary groups, or

technical working groups for efficient integration, coordination and monitoring
technical education and skills development programs at the national, regional, and
local levels.

The TESDA Secretariat - There is hereby created a Technical Education and Skills
Development Authority Secretariat which shall have the following functions and responsibilities:

• to propose to the Authority the specific allocation of resources for the

programs and projects it shall undertake pursuant to approved national technical
education and skills development plan;
 • to submit to the Authority periodic reports on the progress and
accomplishment of work programs of implementation of plans and policies for
technical education and skills development.

PROGRAMS AND ACTIVITIES

Programs and Activities in Technical Education and skills Development. - The TESDA shall
accredit, coordinate, integrate, monitor and evaluate all the different formal and non-formal
technical-vocational education and training programs pursuant to the goals and objectives of the Act.
Encouraging the active participation of the private sector, including industry groups, trade
associations, employers and workers, and particularly private enterprises, the TESDA shall promote
and strengthen the quality of these technical education and skills development programs:-

User-Led or Market-Driven Strategy. - adopting a user-led or market driven strategy, the

TESDA shall promote strengthened linkages between educational/training institutions and industry to
ensure that appropriate skills and knowledge are provided by the educational system.

Apprenticeship and Learnership Programs. - Using the above-mentioned strategy, in

accordance with existing laws, rules and regulations, the TESDA shall implement and administer
reformed industry-based apprenticeship and learneship programs which have been transferred from
the Department of Labor and Employment to the TESDA by the Act.

Dual Training System. - Also using the strategy mentioned in Section 2 hereof, the TESDA
shall implement Republic Act No. 7686 otherwise known as the "Dual Training System Act. Of 1994"
and lend support and encourage increasing utilization of the dual training system as provided for in the
aforementioned Act.

Administration of Training Programs. - The TESDA shall design and administer training
programs and schemes that will develop the capabilities of public and private institutions to provide
quality and cost-effective technical education and skills development and related opportunities.

Establishment and Administration of National Trade Skills Standards. - There shall be

national occupational skills standards to be established by TESDA - accredited industry committees.
The TESDA shall develop and implement a certification and accreditation program in which private
groups and trade associations are accredited to conduct approved trade tests, and the local
government units to promote such trade testing activities in their respective areas in accordance with
the guidelines to be set by the TESDA..

Industry Boards. - The TESDA shall establish effective and efficient institutional
arrangements with industry boards and such other bodies or associations to provide direct
participation of employers and workers in the design and implementation of skills development
schemes, trade skills standardization and certification and such other functions in the fulfillment of
the TESDA's objectives.

Skills Development Centers. - The TESDA shall strengthen the network of national, regional
and local skills training centers for the purpose of promoting skills development.

This network shall include skills training centers in vocational and technical schools, technical
institutions, polytechnic colleges, and all other duly accredited public and private dual system
educational institutions. The technical education and skills development centers shall be administered
and operated under such rules and regulations as may be established by the TESDA in accordance with
the National Technical Education and Skills Development Plan.

Coordination of All Skills Training Schemes. - In order to integrate the national skills
development efforts, all technical education and skills training schemes as provided for in the Act
shall be coordinated with the TESDA particularly those having to do with the setting of trade skills
standards. For this purpose, existing technical education and skills training programs in the
Government and in the private sector, specifically those wholly or partly financed with government
funds, shall be reported to the TESDA which shall assess and evaluate such programs to ensure their
efficiency and effectiveness.

Skills Development Opportunities. - The TESDA shall design and implement an effective and
efficient delivery system for quality technical education and skills development opportunities
particularly in disadvantaged sectors, with new tools of wealth creation and with the capability to take
on higher value-added gainful activities and to share equitably in productivity gains.

Devolution of TESDA's Training Function to Local Governments. - In establishing the

delivery system provided for in the preceding Section, the TESDA shall formulate, implement and
finance a specific plan to develop the capability of local government units to assume ultimately the
responsibility for effectively providing community-based technical education and skills development
opportunities; Provided, however, that there shall be formulated and implemented an effective and
timely retraining of TESDA personnel that would be affected by the devolution to ensure their being
retained if the concerned local government units would not be able to absorb them.

Implementing Rules and Guidelines. - The TESDA board shall issue, within a period of ninety (90)
days after the affectivity of this Act, the rules and regulations for the effective implementation of
this Act. The TESDA Board shall submit tot he committees on Education, Arts and Culture of both
Houses of Congress copies of the implementing rules and guidelines within (30) days after its
promulgation. Any violation of this Section shall render the official/s concerned liable under R.A. No.
6713, otherwise known as the "Code of Conduct and Ethical Standards for Public Officials and
Employees" and other existing administrative and/or criminal laws.

TESDA Budget. - The amount necessary to finance the initial implementation of the Act shall
be charged against the existing appropriations of the NMYC and the BTVE. Thereafter, such
funds as may be necessary for the continued implementation of the Act shall be included in
the annual General Appropriations Act.