Republic of the Philippines

Congress of the Philippines

Metro Manila
Tenth Congress

REPUBLIC ACT NO. 8292

June 6, 1997
AN ACT PROVIDING FOR THE UNIFORM COMPOSITION AND POWERS OF THE
GOVERNING BOARDS, THE MANNER OF APPOINTMENT AND TERM OF OFFICE
OF THE PRESIDENT OF CHARTERED STATE UNIVERSITIES AND COLLEGES,
AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:
Section 1. Short title. This Act shall be known as the "Higher Education Modernization Act of
1997."
Sec. 2. Declaration of policy. It is the declared policy of the State to establish, maintain, and
support a complete, adequate and integrated system of education relevant to the needs of the
people society. Towards this end, the composition of the governing boards of chartered state
universities and colleges is hereby modified in order to:
(a) achieve a more coordinated and integrated system of higher education;

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(b) render them more effective in the formulation and implementation of policies on higher
education;
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(c) provide for more relevant direction in their governance; and

(d) ensure the enjoyment of academic freedom as guaranteed by the Constitution.

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Sec. 3. The Governing Boards; manner of appointment.

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(a) Composition The governing body of state universities and colleges is hereby in the Board of
Regents for universities and in the Board of Trustees for colleges which shall be composed of the
following:
(i) Chairman of the Commission on Higher Education (CHED), Chairman;
(ii) President of the university or college, Vice Chairman;

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(iii) Chairmen of the Congressional Committees on Education and Culture;

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(iv) Regional Director of the National Economic Development Authority (NEDA) where the
main campus of the university or college is located;
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(v) Regional Director of the Department of Science and Technology (DOST) in case of science
and technological colleges; or the Regional Director of the Department of Agriculture colleges;
or the Secretary of Education for an Autonomous Region. In lieu of such representation, the
commanding generals of the Philippine Air Force and the Philippine Navy shall sit as members
of the Board of the Philippine State College of Aeronautics and the Philippine Merchant marine
Academy, respectively;
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(vi) President of the faculty association;

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(vii) President of the supreme student council or the student representative elected by the student
council: Provided, That in the absence of a student council president of student representative
elected by the student council, the university or college shall schedule one (1) weekly for the
campaign and election of student representative;
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(viii) President of the alumni association of the institution concerned;

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(ix) Two (2) prominent citizens who have distinguished themselves in their professions or fields
of specialization chosen from among lists of at least five (5) persons qualified in the city or the
province where the school is located, as recommended by the search committee constituted by
the President consultation with the Chairman of the CHED based on the normal standards and
qualifications for the position;
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The faculty and the student council shall be represented of their respective federations in multicampus universities and colleges. The private sector representatives shall be appointed by the
Board of Regents/Trustees upon recommendation of a duly constituted search committee.
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(b) Term of office The president of the faculty and alumni associations and the student regents
or trustees shall sit in the board until expiration of their term of office in such capacities.
The prominent citizens shall serve for a term of two (2) years.
(c) Meetings; quorum The Board of Regents/Trustees shall regularly convene at least once
every quarter. The Chairman of the Board of Regents/Trustees may call a special meeting
whenever necessary: Provided, That members are notified in writing at least three (3) days prior
to said meeting.
A majority of all members holding office shall constitute a quorum for board meetings: Provided,
that the Chairman of the CHED who is the chairman of the Board or the president of the
university or college is among those present in the meeting. In the absence of the Chairman of
the CHED, a commissioner of the CHED, duly designed by him, shall represent him in the
meeting all the rights and responsibilities of a regular member: Provided, however, That in the

said meeting, the president of the university or college as vice chairman shall be the presiding
officer: Provided, further, That this proviso notwithstanding, the Chairman of the CHED is
hereby authorized to designate a CHED Commissioner the regular Chair to the Board of a
particular university or college, in which case said CHED Commissioner shall act as the
presiding officer.
The members shall serve without compensation, but they shall be reimbursed for necessary
expense incurred in their attendance of meetings of the Board or in connection with their official
business authorities by resolution of the Board.
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Sec. 4. Powers and duties of Governing Boards. The governing board shall have the following
specific powers and duties in addition to its general powers of administration and the exercise of
all the powers granted to the board of directors of a corporation under Sec. 36 of Batas Pambansa
Blg. 68 otherwise known as the Corporation Code of the Philippines;
(a) to enact rules and regulations not contrary to law as may be necessary to carry to carry out the
purposes and functions of the university or college;
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(b) to receive and appropriate all sums as may be provided, for the support of the university or
college in the manner it may determine, in its discretion, to carry out the purposes and functions
of the university or college;
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(c) to receive in trust legacies, gifts and donations of real and personal properties of all kinds, to
administer and dispose the same when necessary for the benefit of the university or college,
subject to limitations, directions and instructions of the donors, if any. Such donations shall be
exempt from all taxes and shall be considered as deductible items from the income tax of the
donor: Provided, however, That the rights, privileges and exemptions extended by this Act shall
likewise be extended to non-stock, non-profit private universities and colleges: Provided, finally,
That the same privileges shall also be extended to city colleges and universities with the approval
of the local government to city colleges and universities with the approval of the local
government unit concerned and in coordination with the CHED;
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(d) to fix the tuition fees and other necessary school charges, such as but not limited
matriculation fees, graduation fees and laboratory fees, as their respective boards may deem
proper to impose after due consultations with the involved sectors.
Such fees and charges, including government subsidies and other income generated by the
university or college, shall constitute special trust funds and shall be deposited in any authorized
government depository bank, and all interests shall accrue therefrom shall part of the same fund
for the use of the university or college: Provided, That income derived from university hospitals
shall be exclusively earmarked for the operating expenses of the hospitals.
Any provision of existing laws, rules and regulations to the contrary notwithstanding, any
income generated by the university or college from tuition fees and other charges, as well as
from the operation of auxiliary services and land grants, shall be retained by the university or
college, and may be disbursed by the Board of Regents/Trustees for instruction, research,

extension, or other programs/projects of the university or college: Provided, That all fiduciary
fees shall be disbursed for the specific purposes for which they are collected.
If, for reason of control, the university or college, shall not be able to pursue any project for
which funds have been appropriated and, allocated under its approved program of expenditures,
the Board of Regents/Trustees may authorize the use of said funds for any reasonable purpose
which, in its discretion, may be necessary and urgent for the attainment of the objectives and
goals of the universities or college;
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(e) to adopt and implement a socialized scheme of tuition and school fees for greater access to
poor but deserving students;
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(f) to authorize the construction or repair of its buildings, machineries, equipment and other
facilities and the purchase and acquisition of real and personal properties including necessary
supplies, materials and equipment. Purchases and other transactions entered into by the
university or college through the Board of Regents/Trustees shall be exempt from all taxes and
duties;
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(g) to appoint, upon the recommendation of the president of the university or college, vice
presidents, deans, directors, heads of departments, faculty members and other officials and
employees;
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(h) to fix and adjust salaries of faculty members and administrative officials and employees
subject to the provisions of the revised compensation and classification system and other
pertinent budget and compensation laws governing hours of service, and such other duties and
conditions as it may deem proper; to grant them, at its discretion, leaves of absence under such
regulations as it may promulgate, any provisions of existing law to the contrary not with
standing; and to remove them for cause in accordance with the requirements of due process of
law;
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(i) to approve the curricula, institutional programs and rules of discipline drawn by the
administrative and academic councils as herein provided;
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(j) to set polices on admission and graduation of students;

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(k) to award honorary degrees upon persons in recognition of outstanding contribution in the
field of education, public service, arts, science and technology or in any field of specialization
within the academic competence of the university or college and to authorize the award of
certificates of completion of non-degree and non-traditional courses;
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(l) to absorb non-chartered tertiary institutions within their respective provinces in coordination
with the CHED and in consultation with the Department of Budget and Management, and to
offer therein needed programs or courses, to promote and carry out equal access to educational
opportunities mandated by the Constitution ;
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(m) to establish research and extension centers of the SUC where such will promote the
development of the latter;
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(n) to establish chairs in the university or college and to provide fellowships for qualified faculty
members and scholarships to deserving students;
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(o) to delegate any of its powers and duties provided for hereinabove to the president and/or
other officials of the university or college as it may deem appropriate so as to expedite the
administration of the affairs of the university or college;
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(p) to authorize an external management audit of the institution, to be financed by the CHED and
to institute reforms, including academic and structural changes, on the basis of the audit results
and recommendations;
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(q) to collaborate with other governing boards of SUCs within the province or the region, under
the supervision of the CHED and in consultation with the Department of Budget and
Management, the restructuring of said colleges and universities to become more efficient,
relevant, productive, and competitive;
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(r) to enter into joint ventures with business and industry for the profitable development and
management of the economic assets of the college or institution, the proceeds from which to be
used for the development and strengthening of the college or university;
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(s) to develop consortia and other forms of linkages with local government units, institutions and
agencies, both public and private, local and foreign, in furtherance of the purposes and objectives
of the institution;
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(t) to develop academic arrangements for institution capability building with appropriate
institutions and agencies, public or private, local or foreign, and to appoint experts/specialists as
consultants, or visiting or exchange professors, scholars, researchers, as the case may be;
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(u) to set up the adoption of modern and innovative modes of transmitting knowledge such as the
use of information technology, the dual system, open learning, community laboratory, etc., for
the promotion of greater access to higher education;
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(v) to establish policy guidelines and procedures for participative decision-making and
transparency within the institution;
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(w) to privatize, where most advantageous to the institution, management and non-academic
services such as health, food, building or grounds or property maintenance and similar such other
objectives; and
(x) to extend the term of the president of the college or university beyond the age of retirement
but not later than the age of seventy (70), whose performance has been unanimously rated as
outstanding and upon unanimous recommendation by the search committee for the president of
the institution concerned.
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Sec. 5. Promulgation and implementation of policies. The governing boards shall promulgate
and implement policies in accordance with the declared state policies on education and other
pertinent provisions of the Philippine Constitution on education, science and technology, arts,
culture and sports; as well as the policies, standards and thrusts of the CHED under Republic
Acts No. 7722.
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Sec. 6. The Administration. The administration of the university or college shall be vested in
the president of the university or college who shall render full-time service. He shall be
appointed by the Board of Regents/Trustees, upon the recommendation of a duly constituted
search committee. He shall have a term of four (4) years and shall be eligible for reappointment
for another term: Provided, That this provision shall not adversely affect the terms of the
incumbents.
The president shall be assisted by a vice president for academic affairs who shall be appointed by
the Board upon the former's recommendation without prejudice to the appointment of more than
one vice president when so warranted.
In case of vacancy by reason of death, resignation, removal for cause or incapacity of the
president to perform the functions of his office, the Board shall have the authority to designate an
officer-in-charge pending the appointment of a new president.
In case of vacancy in the office of the president as mentioned in the immediately preceding
paragraph, his successors shall hold office for the unexpired term.
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Sec. 7. The Secretary of the University or College. The Board shall appoint a secretary who
shall serve as such for both the Board and the university or college and shall keep all records and
proceedings of the Board. He shall communicate to each member of the Board notice of
meetings.
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Sec. 8. The Treasurer of the Philippines. The Treasurer of the Philippines shall be the exofficio treasurer of the university or college. All accounts and expenses of the university or
college shall be audited by the Commission on Audit or its duly authorized representative.

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Sec. 9. Administrative Council. There shall be an administrative council consisting of the

president of the university or college as Chairman, the vice president(s), deans, directors and
other officials of equal rank as members, and whose duty is to review and recommend to the
Board of Regents/Trustees policies governing the administration, management and development
planning of the university or college for appropriate action.
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Sec. 10. Academic Council. There shall be an academic council with the president of the
university or college as Chairman and all members of the instructional staff with the rank of not
lower than assistant professor as members.
The academic council shall have the power to review and recommend the curricular offerings
and rules of discipline of the university or college subject for appropriate action of the Board of
Regents/Trustees. It shall fix the requirements for the admission of students as well as for

graduation and the conferment of degrees subject to review and/or approval by the Board of
Regents/Trustees through the president of the university or college.
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Sec. 11. Academic freedom. Pursuant to paragraph 2, Sec. 5 of Article XIV of the Constitution
of the Republic of the Philippines, all institutions of higher learning, public or private, shall
enjoy academic freedom and institutional autonomy.
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Sec. 12. Admission. No student shall be denied admission to any university or college by
reasons of sex, nationality, religion, political affiliation, or physical disability.
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Sec. 13. Exclusion clause. Except for the chairmanship of the Board, the provisions of this Act
shall not affect the charter of the University of the Philippines System. Likewise, this Act shall
not affect the charter of the Mindanao State University (MSU) except for the provision of this
Act on chairmanship of the Board, and the membership of the Chairmen of the Congressional
Committees on Education and Culture.
Sec. 14. Filing of report. On or before the fifteenth (15th) day of the second month after the
opening of regular classes each year, the president of the university or college shall file with the
Office of the President of the Philippines through the Chairman of the CHED, and with the
Senate and House of Representatives a detailed report on the progress, conditions and needs of
the university or college.
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Sec. 15. Implementation. The Chairman of the CHED is hereby directed to take such steps as
are necessary for the immediate implementation of this Act.
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Sec. 16. Separability clause. If, for any reason, any part or provision of this Act is declared
invalid or unconstitutional, the remaining parts or provisions not affected thereby shall remain in
full force and effect.
Sec. 17. Repealing clause. All laws, presidential decrees, executive orders, letters of
instruction and SUC charters contrary to or inconsistent with this Act are hereby repealed or
amended accordingly.
Sec. 18. Effectivity clause. This Act shall take effect upon its approval.
Approved: June 6, 1997