22 March 2023

This is to respond to the accusation of Northern Samar Rep. Paul Daza that a total of P10 billion worth of funds allocated for the Commission on Higher Education (CHED) for use in scholarships for tertiary students, were used for other purposes.

The Higher Education Development Fund (HEDF) was put in the CHED Charter (RA 7722) to fund projects to “strengthen higher education.” It is not a scholarship fund. I do not know where the idea of a P10B scholarship fund came from.

The Tourism Act of 2009 (RA 9593) states that the use of travel tax contributions (the biggest bulk of the HEDF fund) “should prioritize tourism related projects and courses.” This law also requires the Department of Tourism (DoT) and CHED to collaborate in the regulation and development of undergraduate and graduate degrees in tourism.

Based on these two laws, CHED has practiced judicious use of HEDF funds to provide grants for HEIs:

  1. Grants for tourism related projects as required by the RA 9593 (curricular enhancements in tourism courses, providing HRM equipment, edu-tourism projects between HEIs and LGUs to promote local tourism)
  2. Grants to HEIs for equipment and facilities in priority programs (engineering, agriculture, medicine, nursing, IT), to help them comply with quality assurance standards (library holdings, equipment) to get Certificates of Program Compliance (COPC) or  required in conversion from state colleges to universities

CHED has been giving grants to HEIs over the past four (4) administrations and the current CHED Chairperson and Commissioners have continued this policy. What is new under the current CHED leadership is a stronger focus on tourism.

HEDF funds have also been used to implement laws passed by Congress that are not funded in the National Expenditure Program (NEP) or General Appropriations Act (GAA) (K-12 graduate scholarship/research, transnational education, Philippine Qualifications Framework, LUDIP law, equipment for medical schools). Once included in the NEP/GAA, then the HEDF funding stops.

CHED has also assisted HEIs in internationalization by funding university-university partnerships and graduate scholarships abroad through the Fulbright and British Council programs. This is a major reason why there are now fifteen (15) Philippine universities in the global rankings and many have achieved star ranking in QS.

CHED has started funding high level research and training collaboration between Philippine and foreign universities and industry in medicine (UP, WVSU, MSU-GenSan and University of Adelaide) and producing health products from indigenous plants and probiotics (DMMMSU, MMSU, ISPSC and industry partners in the Philippines and Thailand).

Accusing CHED of misusing public funds is a very serious allegation. We reiterate that HEDF funds are used consistent with the CHED law and Tourism Act, and grants to HEIs have been provided since the past administrations.

CHED is always open to sit down with the leadership of Congress to discuss the priorities of Congress and we will go to the process of discussing it in the Commission.

For the Commission:

(signed)

J. PROSPERO E. DE VERA III, DPA
Chairman
Commission on Higher Education

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