College of Arts and Sciences
San Beda University
(Economics Department)
BUDGET ANALYSIS:
Department of Education
To be submitted to: Prof. Deri
Submitted by: Evan Gaubert P. Paz
MANDATE
The Department of Education was established through the Education Decree of
1863 as the Superior Commission of Primary Instruction under a Chairman. The
Education agency underwent many reorganization efforts in the 20th century in
order to better define its purpose vis a vis the changing administrations and
charters. The present day Department of Education was eventually mandated
through Republic Act 9155, otherwise known as the Governance of Basic
Education act of 2001 which establishes the mandate of this agency.
The Department of Education (DepEd) formulates, implements, and coordinates
policies, plans, programs and projects in the areas of formal and non-formal basic
education. It supervises all elementary and secondary education institutions,
including alternative learning systems, both public and private; and provides for
the establishment and maintenance of a complete, adequate, and integrated system
of basic education relevant to the goals of national development.
MISSION
To protect and promote the right of every Filipino to quality, equitable, culture-
based, and complete basic education where:
Students learn in a child-friendly, gender-sensitive, safe, and motivating
environment.
Teachers facilitate learning and constantly nurture every learner.
Administrators and staff, as stewards of the institution, ensure an enabling and
supportive environment for effective learning to happen.
Family, community, and other stakeholders are actively engaged and share
responsibility for developing life-long learners.
VISION
We dream of Filipinos
who passionately love their country
and whose values and competencies
enable them to realize their full potential
and contribute meaningfully to building the nation.
As a learner-centered public institution,
the Department of Education
continuously improves itself
to better serve its stakeholders.
Dep-ED’s History
Year Official Name of Official Legal Bases
Department Titular
Head
1863 Superior Commission of Chairman Educational Decree of 1863
Primary Instruction
1901-1916 Department of Public General Act. No. 74 of the Philippine
Instruction Superinte Commission, Jan. 21, 1901
ndent
1916-1942 Department of Public Secretary Organic Act Law of 1916 (Jones
Instruction Law)
1942-1944 Department of Commissi Renamed by the Japanese
Education, Health and oner Executive Commission, June 11,
Public Welfare 1942
1944 Department of Minister Renamed by Japanese Sponsored
Education, Health and Philippine Republic
Public Welfare
1944 Department of Public Secretary Renamed by Japanese Sponsored
Instruction Philippine Republic
1945-1946 Department of Public Secretary Renamed by the Commonwealth
Instruction and Government
Information
1946-1947 Department of Secretary Renamed by the Commonwealth
Instruction Government
1947-1975 Department of Education Secretary E.O. No. 94 October 1947
(Reorganization Act of 1947)
1975-1978 Department of Education Secretary Proc. No. 1081, September 24,
and Culture 1972
1978-1984 Ministry of Education Minister P.D. No. 1397, June 2, 1978
and Culture
1984-1986 Ministry of Education, Minister Education Act of 1982
Culture and Sports
1987-1994 Department of Secretary E.O. No. 117. January 30, 1987
Education, Culture and
Sports
1994-2001 Department of Secretary RA 7722 and RA 7796, 1994
Education, Culture and Trifocalization of Education
Sports Management
2001 - Department of Education Secretary RA 9155, August 2001
present (Governance of Basic Education
Act)
The Education Act of 1982 created the Ministry of Education, Culture and Sports which
later became the Department of Education, Culture and Sports in 1987 by virtue of Executive
Order No. 117. The structure of DECS as embodied in EO No. 117 has practically remained
unchanged until 1994 when the Commission on Higher Education (CHED), and 1995 when the
Technical Education and Skills Development Authority (TESDA) were established to supervise
tertiary degree programs and non-degree technical-vocational programs, respectively.
The Congressional Commission on Education (EDCOM) report provided the impetus for
Congress to pass RA 7722 and RA 7796 in 1994 creating the Commission on Higher Education
(CHED) and the Technical Education and Skills Development Authority (TESDA), respectively.
The trifocal education system refocused DECS’ mandate to basic education which covers
elementary, secondary and nonformal education, including culture and sports. TESDA now
administers the post-secondary, middle-level manpower training and development while CHED
is responsible for higher education.
In August 2001, Republic Act 9155, otherwise called the Governance of Basic Education
Act, was passed transforming the name of the Department of Education, Culture and Sports
(DECS) to the Department of Education (DepEd) and redefining the role of field offices
(regional offices, division offices, district offices and schools). RA 9155 provides the overall
framework for (i) school head empowerment by strengthening their leadership roles and (ii)
school-based management within the context of transparency and local accountability. The goal
of basic education is to provide the school age population and young adults with skills,
knowledge, and values to become caring, self-reliant, productive and patriotic citizens.
The following agencies are attached to DepEd:
(1) Bureau of Elementary Education
(2) Bureau of Secondary Education
(3) Bureau of Alternative Learning Systems
(4) National Education Testing Center
(5) Health and Nutrition Center
(6) National Educators Academy of the Philippines
(7) Educational Development Projects
(8) Technical-Vocational Education Task Force
(9) Early Childhood Care and Development Council
(10) National Book Development Board
(11) National Council for Children’s Television
(12) National Museum
(13) Philippine High School for the Arts
BUDGET ANALYSIS
The Department of Education is like many agencies of government which tends to
underspend its budget, hence, underspending means under-delivery. The department was
spending 42% of the 2015 budget and a
YEAR BUDGET PRESIDENT
little bit over 40% of the 2016 budget. So
1998 78,520,483,000 ERAP
for the past six months, the Department of
1999 81,665,288,000 ERAP
Education are operating on two budgets.
2000 82,743,412,000 ERAP
Despite the nominal increase in the
2001 82,743,412,000 GMA
education budget over recent years, state
2002 95,290,938,000 GMA
spending on education has actually
2003 95,447,461,000 GMA
declined when compared to the Gross
2004 95,447,461,000 GMA
Domestic Product, representing just a third
2005 102,629,586,000 GMA
of the United Nation’s recommended
2006 102,629,586,000 GMA
national investment on education. The
2007 126,862,859,000 GMA
2013 education budget is P238.8 billion,
2008 138,243,515,000 GMA
higher than last year’s P201 billion but
lower if taken as a ratio of GDP. Last 2009 158,210,142,000 GMA
year’s budget was 2.3 percent of GDP, a 2010 161,405,905,000 GMA
benchmark used globally to gauge how 2011 192,312,856,000 PNOY
much governments spend on education. 2012 201,821,472,000 PNOY
The Department of Education’s per capita 2013 232,595,221,000 PNOY
spending for each of the more than 20 2014 281,774,247,000 PNOY
million public school students every 2015 321,059,493,000 PNOY
school year has increased to P10,700, from 2016 411,905,257,000 PNOY
P9,400 or a growth of 13.8% in 2011 and 2017 544,109,087,000 DUTERTE
P8,000 in 2010. But despite the nominal 2018 553,312,832,000 DUTERTE
increases, the amount is actually going
down compared to inflation. DepEd, the country’s largest bureaucracy, continues to receive the
largest allocation in the annual state budget and has seen the largest increase in spending among
government departments in the last two years. DepEd is also pursuing partnerships with the
private sector to address unresolved shortages in classrooms, textbooks, teachers, school desks
and sanitation facilities. The current classroom shortage is at 50,921 while DepEd lacks around
74,000 teachers.
The Senate Committee on Finance approved on Wednesday, October 11, the P549.5-
billion budget of the Department of Education (DepEd) for Fiscal Year 2018-2019, which is
dedicated to ensuring that education will continue in an inclusive and nurturing environment for
MAX MIN DepEd BUDGET AVERAGE
600,000,000,000
450,000,000,000
300,000,000,000
150,000,000,000
0
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018
learners, teachers, and personnel. The swift motion to approve came following the Senate’s
thorough scrutiny of the Department’s budget utilization and allocation for its program and
projects. Some of the big ticket items under the 2018 DepEd budget are: (1) provision of
maintenance and basic education facilities; government assistance and subsidies; (2) operations
of school; (3) DepEd Computerization Program; learning tools and equipment; School-Based
Feeding Program; (4) human resource development for teaching and non-teaching personnel;
textbook and instructional materials; (5) Flexible Learning Option such as Alternative Learning
System (ALS), Alternative Delivery Mode (ADM), Education in Emergencies (EiE); (6)
Madrasah Education Program; and (7) Indigenous People Education Program, among others.
The Indigenous Peoples Education is a research and development project which aims to
provide basic education support services to IP communities. This is initially implemented at the
tribal communities in Dumalneg, Ilocos Norte, Gen. Nakar, Quezon, and Botolan, Zambales.
The Basic Literacy Program (BLP) is a program aimed at eradicating illiteracy among
out-of-schools youth and adults (in extreme cases school-aged children) by developing basic
literacy skills of reading, writing and numeracy.
The Maintenance and Other Operating Expenses (MOOE) is the allocated funds for
public elementary and secondary schools that can be spent on activities and necessities (i.e.
electricity and water) that support learning programs and help maintain a safe and healthy
environment in schools. During 2016, one of the continuing initiatives of the Department of
Education (DepEd), along its thrust of increasing access to quality elementary education, is
strengthening the implementation of the Multigrade Program in Philippine Education (MPPE) to
address pressing concerns and issues on the provision of customized teaching and learning
materials for multigrade classes and professional development of teachers.
President Benigno S. Aquino III lauded the collaborative efforts of the Department of
Education (DepEd) and Department of Public Works and Highways (DPWH) in addressing the
2010 backlog in classrooms. These classrooms, which range from one-story structures to multi-
floor buildings, were constructed using national and local government funds and donations from
the private sector. According to Pres. Aquino, the administration maintained its commitment to
education, and fulfilled its promise to every Filipino child. Through the continuous support of
various sectors, DepEd was able to close the not only the backlog in classrooms but also the
needs on textbooks, school seats, and teachers in 2012. DepEd's various classroom construction
programs from 2014 onwards had addressed the increase in student population and prepared for
the full implementation of senior high school (grades 11 and 12) back in 2016. Under P-Noy’s
term the Department of Education solved the 66,000-classroom backlog with the construction of
118,000 new rooms. According to his
YEAR PERCENTAGE PRESIDENT
CHANGE secretary the construction of 66,000 more
98-99 4.01 ERAP classrooms in public schools finished at
99-00 1.32 ERAP the target date. The number of
00-01 0.00 ERAP schoolrooms constructed by the Aquino
01-02 15.16 GMA administration totalled to 185,000. This is
02-03 0.16 GMA why there is an outlier in 2016 to 2017 due
03-04 0.00 GMA to the massive increase in the budget of
04-05 7.52 GMA the Department of Education in order to
accomplish classroom construction. And in
05-06 0.00 GMA
2010, the DepEd has also hired almost
06-07 23.61 GMA
130,000 teachers, there was an increase of
07-08 8.97 GMA
teachers from 500,000 to 700,000, putting
08-09 14.44 GMA
the average student-teacher ratio to 33:1 .
09-10 2.02 GMA
Apart from these measures, the Aquino
10-11 19.15 GMA
administration also pushed for the K-12
11-12 4.94 PNOY
program, which extended the country's 10-
12-13 15.25 PNOY
year basic education cycle to 12 years.
13-14 21.14 PNOY
Government has maintained that the K-12
14-15 13.94 PNOY program satisfies international education
15-16 28.3 PNOY standards, and that K-12 graduates are
16-17 32.1 PNOY already eligible to join the work force,
17-18 1.69 DUTERTE courtesy of the technical-vocational
courses offered as electives in Grades 11 and 12. The country currently has around 10,557 public
and private senior high schools. Around 6,000 of those are public senior high schools, while the
rest are privately run.
FORECASTING (2019-2023)
Forecasting Table
Currently, public school teachers’ salaries range from P19,000 to P43,000, depending on
their level. In addition, they get allowances and bonuses. If the Deparment of Education’s budget
will increase in the future it will raise the teacher’s chalk and clothing allowance by P1,000. The
increase in teachers’ salaries would be funded through the administration’s second tax reform
package. This follows the recent signing of the Tax Reform for Acceleration and Inclusion Act
that increased the take-home pay of most middle-income workers but increased the prices of
certain commodities, such as fuel. Overall, the salary adjustments across the board averaged 58.7
percent in 2018 and 72.18 percent in 2019.
FORECASTING CHART
1,600,000,000,000
1,200,000,000,000
800,000,000,000
400,000,000,000
0
2015 2016 2017 2018 2019 2020 2021 2022 2023
BUDGET FORECAST