8/8/2019 PCDSPO SUC Budget Briefer

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EDUCATION REMAINS A PRIORITY

2010 actual SUC budget released vs2011 Proposed NEP of PNoy

Le t: The frst bar in toto represents the 2010appropriated budget or SUCs, including theCongressional Insertions subjected to a conditional vetoby ormer President Arroyo -- and were never released.

The second bar represents the proposed SUC budgetor 2011. The graph illustrates that the proposed 2011budget is P2.373 billion higher than that o the 2010proposed budget, which was the only amount not subjectto the ormer President’s conditional veto.

Right: A graph illustrating the di erence betweenthe overall education budget or 2010 (le t) and 2011 (right).

Q & A on the Education budget orFiscal Year 2011

Was the Education Budget cut?

The education budget was actuallyncreased rom 15.6% (P240.59 billion) ohe National Budget to 16.5% (P271.67

illion).

Was the budget or State Universities andColleges (SUC) cut?

The proposed SUC budget or 2011 is23.407 billion, or 11.3% o the total

National Budget: higher than the P21.034illion proposed in 2010. The increases allotted or Personal Services (PS) toupport the requirements o the Salarytandardization Law.

The P23.845 billion 2010 appropriation orUCs in the 2010 General Appropriations

Act was not the actual budget releasedor 2010. At the least, P2.8 billion worth oongressional insertions was subjected to aonditional veto by ormer President Gloria

Macapagal-Arroyo, and was never released.The actual SUC budget released or 2010

nly amounted to the 2010 proposed budget P21.034 billion.

Why do people say the budget was cut?

As stated, the nominal fgures or 2010include congressional insertions which madethe 2010 fgures seem higher, but whichwere never disbursed as per the conditionalveto o ormer President Arroyo.

Another reason may have been the relativelylarger basic education unding increaseto P207.3 billion, 18.5% o the 2011budget—the highest increase in a decade.This move was made to aid the sector obasic education, which the administrationdeems most in need o public assistance.Furthermore, it is in accordance with Section2, Article XIV o the 1987 Constitution, whichencourages the Government to ocus onbasic education.

What is a Conditional Veto?

It is defned as a veto in which the Presidentobjects to parts o a Bill and proposesamendments and conditions to make itacceptable.

The insertions could only have been releasedi the 14 Congress enacted new revenue

measures. This condition was not met.

What does this mean or SUCs?

SUCs may earn extra income throughdi erent ventures, including partnershipswith the private sector, and utilizingresources, such as land, that are availableto them. The institutions are ree to manageand allocate these resources as they see ftto augment their budget.

As stated in Higher Education Modernization Act o 1997 (Republic Act 8292), SUCs areauthorized to retain and utilize their ownincome. At the end o 2009, SUCs had a totalamount o P19.1 billion in cash balances.These institutions, as proposed, shoulduse their cash balances to und academicprograms. This is in line with the President’sobjective to make SUCs more sel -reliant.

What does this mean or teachers in SUCs?

The salaries and benefts o teachers areully covered.

What does this mean or students in SUCs?

The general concern is that this mightlead to tuition hikes in SUCs. The 2010budget was proposed as such to preventunnecessary tuition ee increases. The wholeamount allotted to SUCs will be releasedunconditionally.

Students should nonetheless encourage theadministrations o their respective schoolsto come up with creative ways to maximizeincome rom their existing resources todevelop their respective universities orcolleges.

Education-- rom basic to higher education-- remains a priority o the Aquino administration. It understands the concerns o eachers, students, and their parents, and has proposed the 2011 Re orm Budget precisely to ensure that the education sector willeceive the unds they need. The bottom line:

1. The proposed budget or the whole education sector actually increased by P31 billion. The proposed budget or basic educationn particular increased by 18.5%, the highest increase in a decade.

2. The 2011 Budget proposes a larger amount or SUC’s than what they actually received or 2010.

Prepared by: Presidential Communications Development and Strategic Planning O fce