Role of LGUs in Basic Education
Role of LGUs in Basic Education
Notwithstanding the devolution of many basic services to LGUs, basic education is still largely the responsibility of the central government and is delivered through the Department of Education (DepEd). However, LGUs do provide supplementary funding support to public basic education because they have access to a sustainable source of financial resources that are earmarked for the basic education subsector, the Special Education Fund (SEF).
The monies in the SEF come from an additional 1% tax on real property that LGUs are mandated by the Local Government Code (Republic Act 7160 of 1991) to impose and collect. In addition to education expenditures funded out of the SEF, LGUs also provide some budgetary support for education from the General Fund (GF). Thus, LGUs are considered major partners of the national government in the delivery of basic education services.
LEGAL FRAMEWORK
Republic Act 5447. The Special Education Fund was originally created under Republic Act (RA) No. 5447, entitled “An Act Creating a Special Education Fund to be Constituted from the Proceeds of an Additional Real Property Tax and a Certain Portion of the Taxes on Virginia-Type Cigarettes and Duties on Imported Leaf Tobacco Defining the Activities to be Financed, Creating School Boards for the Purpose, and Appropriating Funds There from,” which took effect in 1969. In the case of provinces, 50% of the collections from the additional 1% real property tax imposed under RA 5447 went to the SEF of municipality where the property subject to tax is situated, 20% to the SEF of the province and 30% to the Bureau of Treasury (BTr). In the case of cities, 60% of the collections from the additional 1% tax on real property went to the SEF of the city while 40% went to the BTr. The amounts remitted to the BTr were meant to be expended exclusively for stabilizing the SEF in municipalities, cities and provinces.
Under RA 5447, the allocation and utilization of
Notwithstanding the devolution of many basic services to LGUs, basic education is still largely the responsibility of the central government and is delivered through the Department of Education (DepEd). However, LGUs do provide supplementary funding support to public basic education because they have access to a sustainable source of financial resources that are earmarked for the basic education subsector, the Special Education Fund (SEF).
The monies in the SEF come from an additional 1% tax on real property that LGUs are mandated by the Local Government Code (Republic Act 7160 of 1991) to impose and collect. In addition to education expenditures funded out of the SEF, LGUs also provide some budgetary support for education from the General Fund (GF). Thus, LGUs are considered major partners of the national government in the delivery of basic education services.
LEGAL FRAMEWORK
Republic Act 5447. The Special Education Fund was originally created under Republic Act (RA) No. 5447, entitled “An Act Creating a Special Education Fund to be Constituted from the Proceeds of an Additional Real Property Tax and a Certain Portion of the Taxes on Virginia-Type Cigarettes and Duties on Imported Leaf Tobacco Defining the Activities to be Financed, Creating School Boards for the Purpose, and Appropriating Funds There from,” which took effect in 1969. In the case of provinces, 50% of the collections from the additional 1% real property tax imposed under RA 5447 went to the SEF of municipality where the property subject to tax is situated, 20% to the SEF of the province and 30% to the Bureau of Treasury (BTr). In the case of cities, 60% of the collections from the additional 1% tax on real property went to the SEF of the city while 40% went to the BTr. The amounts remitted to the BTr were meant to be expended exclusively for stabilizing the SEF in municipalities, cities and provinces.
Under RA 5447, the allocation and utilization of