SCHOOL FUNDS

Discussant:
Mrs. Jarris C. Pahita
Objectives:

 identify different possible sources of school finance;

 understand and apply the appropriate knowledge and
skills to mobilise funds for your school;
The school budget is one of the most
powerful tools to promote and strengthen the
school based management and accountability.
This is why apart from curricular reforms and
capacity building programs, the Department
of Education (DepEd) continues to make more
resources available to schools to support
them in enabling students to perform better.
What is School Funding?

 When we talk about school funding, we mean the

money K-12 learning institutions receive to
support the day-to-day operations. Although
funding sources vary according to many factors,
such as whether the school is public or private, or
student population, schools are funded mostly
through similar sources.
Sources of School Funds
1. Central government
2. Parents
3. Local authorities
4. Community groups
5. School facilities
6. Pupils
7. Fund raising
CENTRAL GOVERNMENT
 REPUBLIC ACT NO. 4092

 REPUBLIC ACT NO. 4092 - AN ACT TO AMEND SECTIONS SEVEN AND EIGHT OF COMMONWEALTH ACT
NUMBERED FIVE HUNDRED EIGHTY-SIX ENTITLED "AN ACT TO PROVIDE FOR THE REVISION OF THE
SYSTEM OF PUBLIC ELEMENTARY EDUCATION IN THE PHILIPPINES INCLUDING THE FINANCING
THEREOF", AS AMENDED, TO PROVIDE FOR THE SUPPORT AND MAINTENANCE OF INTERMEDIATE
SCHOOLS IN ALL CHARTERED CITIES BY THE NATIONAL GOVERNMENT AND FOR THE PURPOSE OF
ABOLISHING THE MATRICULATION FEES OF PUPILS ENROLLED IN THE INTERMEDIATE GRADES AND
PROVIDING FUNDS FOR THE PURCHASE OF SUPPLEMENTARY READERS AND OTHER LIBRARY BOOKS
AND FOR FINANCING ATHLETIC ACTIVITIES IN THE INTERMEDIATE CLASSES, AND FOR OTHER
PURPOSES
 "Sec. 7. Commencing with the school year nineteen hundred forty to nineteen hundred forty-
one, public elementary education (comprising the primary and intermediate courses) shall be
supported by the National Government. Sites for school houses, for primary and for intermediate
classes, shall be acquired by the municipalities, municipal districts, or chartered cities, as the
case may be, through purchase or conditional or absolute donation: provided, that the
Department of Education may, with the approval of the President of the Philippines, waive any
requirement for the acquisition of school sites of standard size whenever the same are not
available.

 The necessary funds shall be provided by the national government for the purchase of
supplementary readers and other library books which had been previously approved by the Board
on Text Books or by the Director of public schools, and for financing athletic activities in the
intermediate classes: provided, that books which are a contribution to Philippine literature shall
be preferred."
Approved: June 19, 1964
CENTRAL GOVERNMENT
(Enclosure to DepEd Order No. 008, s. 2019)

Revised Implementing Guidelines on the Direct Release, Use, Monitoring

and Reporting of Maintenance and Other Operating Expenses (MOOE)
Allocation of Schools, Including Other Funds Managed by Schools
What is MOOE?
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.

With the adoption of the new school MOOE formula starting
2013, and the passage of Republic Act No. 10533 or the
Enhanced Basic Education Act of 2013 expanding the basic
education system from a 10-year to 13-year program with the
addition of one year of Kindergarten and two years of Senior
High School (SHS), the DepEd moves closer to rationalizing
the programming of school budgets. Previously, the school
MOOE budget was computed solely based on enrollment given
a per capita cost.
This DepEd Order has the following legal bases;

i) Department of Budget and Management and DepEd Joint Circular No. 2004-1
dated January 01, 2004, entitled “Guidelines on the Direct Release of Funds to
DepEd-Regional Offices and Implementing Units”,

ii) Section 10, Republic Act No. 9155 (Governance of Basic Education Act of 2001),
which provides that the appropriations intended for the regional and field offices
(elementary/secondary schools and Schools Division Offices [SDOs]) are to be
allocated directly and released immediately by DBM to the said offices; and

iii) Section 11, Republic Act No. 10533 or the Enhanced Basic Education Act of
2013, which provides that appropriations for the operationalization of the enhanced
basic education be included in the Department’s budget.
It is understood that the school MOOE funds shall be valid for release and
obligation for one fiscal year: that is from January 1 to December 31.

Policy Statement
This DepEd Order aims:
i) to provide guidance to all public schools on the derivation, release, utilization,
monitoring and reporting of school MOOE, and other funds managed by schools;

ii) to ensure timely and optimal use of school resources, and iii) to institute
mechanisms for transparency and accountability.
Uses of School MOOE

 School MOOE, as defined under the Definition of Terms per

Section IV.4 of this DO, shall also be used for the following,
among others, subject to availability of funds and
prioritization of mandatory expense items; and must be in
accordance with the existing budgeting, accounting,
procurement and auditing rules and regulations:
 1) To fund activities as identified in the approved School Improvement
Plan (SIP) for implementation in the current year and as specifically
determined in the Annual Implementation Plan (AIP) which shall follow
the calendar year format (Annex 1) of the school;
 2) To finance expenses pertaining to graduation rites, moving up or
closing ceremonies and recognition activities;
 3) To fund supplies, rental and minor repair of tools and equipment and
other consumables for teachers and students deemed necessary in the
conduct of classes and learning activities;
 4) To fund minor repairs of facilities, building and grounds maintenance
necessary for the upkeep of the school (as defined in DepEd Order No. 1, s.
2017 entitled Guidelines on the National Inventory of DepEd Public School
Buildings for School Year 2016-2017);
 5) To procure semi-expendable property items worth less than
Php l5,000.00 (including Technical-Vocational-Livelihood and science
classes consumables) as provided in the Government Accounting Manual
(GAM) issued by the Commission on Audit; and
 6) In no case shall the school MOOE be used for the procurement of:

 6.1. School seats, and teacher’s tables and chairs except for school furniture which are not
procured/provided by the Central, Regional or School Division Offices. These may include laboratory
and workshop furniture;

 6.2. Textbooks; and

 6.3. Other supplementary learning resources (SLRs) which include publications, periodicals and
review materials.
Part of the regular school MOOE budget include:

a) financial assistance to support special curricular programs in Science

(Special Science Elementary Schools, Regional Science High Schools,
Science, Technology and Engineering Program in High Schools), Sports
(High Schools with Special Programs in Sports), Arts (High Schools with
Special Programs in Arts) and Special Education;

b) DepEd Internet Connectivity Program;

c) Gulayan sa Paaralan; and d) School Based Management Grants. The

Department continues to develop and institute policies and reforms that
would deepen the decentralization of education management.
Computation of DepEd
Schools MOOE
BONCODIN FORMULA

 Computation of School’s MOOE BUDGET PROPOSAL

(BP) FY 2019

 School’s MOOE = Fixed amount + (Allowable

amount x Number of Classrooms) + (Allowable
amount x Number of Teachers) + (Allowable
amount x Number of Learners) + (Allowable
amount x Number of Graduating Learners)
The variable costs are the following:
 There are two components in the formula, the fixed and
variable costs.

 The fixed amount for every school would be:

 Elementary School – P50,000

 Junior High School (IUs & Non IUs) – P96,000
 Senior High School *standalone only – P100,000
 Assume that Basey I Central Elementary School has 250 enrollees, 6 teachers,
5 classrooms and 8 graduating pupils:
 Applying the formula, the school’s MOOE would be:
 = P50,000 + (P3,750 x 5) + (P5,000 x 6) + (P250 x 250) + (P313 x 8)
 = P50,000 + (P18,750) + (P30,000)+ (P62,500)+ (P2,504)
 = P163,754

 = P164,000 (rounded-off to the nearest thousand) Basey I Central Elementary

School’s MOOE FY 2019 (Proposed) = P164,000.00

 There are cases however when the proposals derived from the Boncodin’s
formula will be constrained due to the department’s budget ceiling.
 Supplementary Guidelines on Managing Maintenance and Other
Operating Expenses Allocation for Schools to Support the
Implementation of Basic Education Learning Continuity Plan in Time of
COVID-19 Pandemic

 DO s 2020 015
Reporting Requirements

 A. Principals/School Heads/Teachers-in-Charge shall:

 1. Declare all sources of funding of the school, which include school MOOE
allocation, private donations, grants from development partners, funding
support from local government units (i.e. Special Education Fund) and other
government agencies, funding support from local stakeholders such as School
Governing Councils (SGC), Parent-Teacher Associations (PTA), civil society
organizations (CSO), alumni associations, revenue from school canteen
operations, and other income generated from the disposal of assets, rent, or
collection of fees as per applicable provisions of the General Appropriations
Act. The report on sources and uses of school funds shall include not only the
amounts of funding received by the school but also details on quantity and
description, if such donations are received in kind;
Monitoring and Evaluation

 1) All offices shall comply with the reporting requirements specified under NBC
No. 567 including the submission of Budget and Financial Accountability
Reports as prescribed under COA-DBM Joint Circular No. 2014-1, DBM Circular
Letter No. 2016 -11 and COA-DBM Joint Circular No. 2019-1;

 2) Any related concerns of schools not covered by the abovementioned

provisions shall be referred to the respective Division Office for appropriate
resolution; and

 3) The Finance Service – DepEd Central Office shall monitor and evaluate
reports as requested in Part VI of this DepEd Order, submitted by ROs based on
the reports collated from SDOs.
Penalty Clause

 1) Any DepEd personnel who will violate any provision of this Order shall be
dealt with administratively, pursuant to DepEd Order No. 49, s. 2006,
otherwise known as the “Revised Rules of Procedure of the Department of
Education in Administrative Cases”, without prejudice to other legal remedies
available to the government.

 2)The School Governance Council may prepare a report on any irregularity or

violations of these implementing guidelines, and should be filed to the proper
disciplining authority pursuant to DepEd Order No. 49, s. 2006.
Effectivity

 1) All DepEd Orders, particulary Nos. 9, s. 2018 and 13, s. 2016, and
other related issuances, rules and regulations and provisions which
are inconsistent with these guidelines are hereby repealed,
rescinded, or modified accordingly.

 2) This Order shall take effect on School Year 2019 – 2020 and
thereafter.
 REMINDER: In accordance with RA 9485 (Anti-Red
Tape Act of 2007), schools are mandated by law to
have a Transparency Board on MOOE posting all
school expenditures using the allocated funds.
CANTEEN FUND
CANTEEN
OPERATIONS
 DepEd Order No. 8 s. 2007

Revised Implementing
Guidelines on the Operation and
Management of School Canteens
in Public Elementary and
Secondary Schools
1.0 Purpose
1.1 The school canteen shall help eliminate malnutrition among
pupil/students.

1.5 Service should be the main consideration for operating a

school canteen. Profit shall be secondary since the clientele are
puplis/students who are dependent only to their meager allowance
from their parents.

1.6 Reporting and accounting of the proceeds from the operations

of a school canteen shall be made by the parties concerned to
emphasize transparency and accountability.
4.0 Policy Statements

4.1 School canteens shall be of two types: (1) School-

Managed Canteen; (2) Teachers’ Cooperative-Managed
Canteen. Both shall adhere to professional management
and sound business practices as well as to safety and
security measures.
4.0 Policy Statements

4.7 A reasonable mark-up price for all merchandise in

the canteen shall be allowed, provided that the selling
retail price does not exceed the prevailing prices in the
locality.

4.8 Sub-leasing the whole or part of the school canteen

premises or sub-contracting the operation of the school
canteen to concessionaires is prohibited.
5.0 Procedural Guidelines

5.3 Reportorial Requirements

5.3.1 All entities operating and managing a

school canteen, including the laboratory
canteen, shall regularly prepare the
following reportorial requirements to be
submitted to the DepEd and/or CDA,
whichever is applicable:
5. Procedural guidelines
5.3 Reportorial Requirements
5.3.2 The school-managed canteen shall prepare its
financial statements using the pro-forma copies of the
monthly statement of operation and financial statements \.
Teachers’ cooperative managing school canteen shall
follow the Standard Chart of Accounts for Consumers’
Cooperative and Those with Canteen and/or Catering
Services prescribed by the CDA.
5. Procedural guidelines

5.3 Reportorial Requirements

5.3.3 The school head/principal shall also

post on the school’s bulletin board a statement
of receipts and disbursements, indicating the
share it received from the teachers’
cooperative managed canteen.
5. Procedural guidelines

5.4 Accounting of Funds

5.4.1 A book of accounts and statement of sales
and disbursements shall be maintained for
recording daily transactions related to the
operations of the canteen. Receipts and other
similar documents shall be kept to support sales,
purchases and disbursements made. The books of
accounts should be kept up to date and made by
the school level auditing committee or the COA
representative based in the division office.
5. Procedural guidelines
5.4 Accounting of Funds

5.4.2 For purpose of transparency and accountability,

the school head/principal shall organize a school level
auditing committee to be headed by a Mathematics
department head/teacher, and Home Economics
department head/teacher and the president of the faculty
club as members. The committee shall look into the books
of accounts at least once a month. The audited statement
shall be posted on the school’s bulletin board.
5. Procedural guidelines

5.4 Accounting of Funds

5.4.3 Canteen funds shall be audited by the school

level auditing committee on a quarterly basis and by
the Division COA Resident Auditor or his/her
authorized representative twice a year. Audit
finding shall be submitted to the Schools Division
financial statements shall be posted on bulletin
boards for the information of everybody.
5. Procedural guidelines

5.5 Incentives received in cash or in

kind from private suppliers of food
items and beverages shall form part of
the gross income of the school
canteen and shall be part of the
financial statement.
6.0 Specific guidelines for School-Managed
Canteens
6.4 The Canteen Teacher shall be responsible in the
preparation and submission of reports and the books of
accounts and statement of sales and disbursements
required enumerated in Procedural Guidelines 5.3.1 and
5.4.1, respectively.

6.5 The net income derived from the operation of the

canteen shall be utilized for , but not limited to the
following:
6.0 Specific guidelines for School-Managed Canteens

Supplemental feeding program for undernourished pupil/students 35%

School Clinic Fund 5%

Faculty and student development fund 15%

H.E. instructional fund 10%

School operations fund 25%

Revolving Fund 10%

Total 100%
6.0 Specific guidelines for School-Managed Canteens

6.6 Earning and cash received from canteen operations

shall be deposited daily in the nearest government
depository bank. In the absence of such government
depository bank, deposits shall be made at any nearest
reputable commercial bank. In no case shall the deposits
be made in the personal account of any school official. A
school-managed canteen shall have a bank account “in
trust for” the name of the school, whereby the school
head/principal and the Canteen Teacher shall be the joint
signatories.
 6.0 Specific guidelines for School-Managed Canteens

6.8 Disbursement of canteen funds shall be in accordance with

the approved budget and existing accounting and auditing rules
and regulations.

6.9 Teachers and canteen personnel shall be required to secure

clearance from money and property accountabilities in relation
to their involvement in the operation and management f the
school canteen before they are allowed to retire and/or resign
from government service, or transfer to other posts for
purposes of re-assignment or promotion to a higher position.
7.0 Specific Guidelines for Teachers’ Cooperative-Managed Canteens

7.10 Sharing of Proceeds

The sharing of the gross margin derived from the teachers’

cooperative-managed canteen shall be as follows:
a. Eighty percent (80%) for the teachers’ cooperative and twenty
percent (20%) for the school. However, the school head/principal
and teachers cooperative may agree on other percentage of
sharing depending on the peculiar situation of the school:
Provided that the share of the school shall not be less than twenty
present (20%). Remittance of the school share shall be due every
fifth day of the month.
7.0 Specific Guidelines for Teachers’ Cooperative-Managed Canteens

b. The school head/principal or his/her duly

authorized representative shall receive the
school share from the teachers’ cooperative and
issue the corresponding acknowledgement
receipt duly signed by the school head/principal
or his/her duly authorized representative. Any
authorized disbursement made chargeable
against such share shall be recorded, accounted
for and supported by receipts.
7.0 Specific Guidelines for Teachers’ Cooperative-Managed Canteens

c. The share of the school shall be utilized as follows:

Supplemental feeding program for undernourished pupil/students 35%

School Clinic Fund 5%

Faculty and student development fund 15%

H.E. instructional fund 10%

School operations fund 35%

Total 100%
 DepEd Order No. 13., s. 2017
“Policy and Guidelines on
Healthy Food and Beverage Choices
in Schools and in DepEd Offices

Bureau of Learner Support Services

School Health Division
 The Policy is about...
1. Increasing the availability of healthy foods, leading to increased
consumption and positive eating behaviours

2. Setting food standards

 Nutrition Facts
Serving Size 1 pouch (55g)

The Policy is about... Servings Per Container 1

Amount Per Serving

Calories 230 Calories from Fat 80

3. Learning how to read information from Total Fat 9g

%Daily Value
14%
Saturated Fat 4.5g 23%
Nutrition Facts and use it in evaluating Trans Fat 0g
Cholesterol 0mg 0%
whether it is beneficial to one’s health or Sodium 1690mg
Total Carbohydrates 34g
70%
11%
not
Dietary Fiber 3g 12%
Sugars 5g
Protein 5g

4. Regulate the selling and marketing of foods

Vitamin A 0% Vitamin C 0%
Calcium 2% Iron 7%

and beverages in schools and in DepEd *Percent Daily Values are based on a 2,000 calorie diet.

Offices Your daily values may be higher or low er depending on

your calorie needs
Calories: 2,000 2,500
Total Fat Les s than 65g 80g
Saturated Fat Les s than 20g 25g
Cholesterol Les s than 300m g 300m g
Sodium Les s than 2,400m g 2,400m g
Total Carbohydrates 300g 3756
Dietary Fiber 25g 30g
Calories per gram :
Fat 9 Carbohydrate 4 Protein 4
 Malnutrition
• Early death
Undernutrition
• Impaired physical & mental
(Underweight, development
Stunting, & Wasting)

Overnutrition • Chronic Diseases

(Overweight
& Obesity
Schools are the best venue for health promotion
strategies
 II. Scope

The Policy shall apply to:

All public DepEd Offices in

elementary and the Central,
Learning Centers
secondary Regional, &
schools Division Levels

• Private schools are encouraged to adopt the guidelines

 IV. Statement of Policy & Objectives
This policy establishes the guidelines to promote healthy diets and positive eating
behaviours and provide healthy eating environment to learners, teaching, and non-
teaching personnel. Specifically, this policy intends to:

• make available healthier food and beverage choices among students and DepEd
personnel and their stakeholders; and
• introduce a system of categorizing locally available foods and drinks in
accordance with geographical, cultural, and religious orientations;
• provide guidance in evaluating and categorizing foods and drinks; and
• provide guidance in the selling and marketing of foods and beverages in schools
and DepEd offices, including the purchasing of foods for school feeding.
 IV. Procedures
A. Strategies to Implement
1. Food Standards

a. Each school shall develop their own healthy menu

b. Food and beverage choices available in canteens shall adhere to

the requirements of a healthy diet as defined in Section IIIA. It is
important to achieve dietary energy balance coming from the
intake of carbohydrates, fats, and protein to maintain a healthy
weight.
 IV. Procedures
A. Strategies to Implement
1. Food Standards

f. Pinggang Pinoy is a plate-based food guide, a simple and familiar

image associated with eating that provides immediate visual cues
about portion size on a per-meal basis.
PARENTS

Why parents contribute to the financing of

your school ?
 Contributions by parents may become necessary in order to
supplement the funds provided by central government in order to
meet a good standard of educational provision.
 These schools charge fees and would not survive without full parental
contributions.
 But even in schools where there are good buildings, qualified
teachers and a wide variety of resources, parents may still wish to
contribute money for even more resources, such as transport and
computers, and pay for educational visits, because they want their
children to enter adult life having obtained the best possible
education.
 In rather crude terms they want them to be at the front of the queue
for good jobs.
List of ways parents contribute probably
included:
 paying official tuition fees in private schools
 paying PTA contributions
 paying a specific contribution for a building or improvement project
 parents may also give their time and skills to a range of activities from building work to coaching at
sports
 paying teachers for official sanctioned additional lessons and coaching, special duties, general
welfare
 paying for improved resources, such as textbooks, exercise books and writing materials, desks and
chairs, library and sports contributions
 providing school uniforms and sports kit
 paying for the children's welfare, such as transport money, school meals etc.
1.) Are parents in your school generally willing or unwilling to help financially?
2.)Is it always the same group of parents which is supportive? Do
some parents withhold help and, if so, why?
3) What do you do in your school to encourage more parents to
help?
 The raising of school funds from parents is the responsibility of the Parent Teacher Association and the Head
should encourage parents to be involved in this but should not directly raise funds him / herself.

 We should not assume that all parents are able to make the same contribu­tions, whether financial, in kind or
in time, to the school. Income levels in both urban and rural areas are likely to vary considerably, as will the
size of each family.

 A sensitive approach is required by a school head, first to differ­entiate between families, and second to make
provisions for children and parents who are facing difficulties with payments.

 On the one hand you will need to set ambitious targets to raise funds for your school and on the other you will
need to accept that not everyone will be able to contribute to the same extent.
 In encouraging parents to contribute you will need to target your efforts on those who
have the means but may not have the will.
 To cater for the poorer families you may need to set up a special support fund to assist
in providing equal access to extra curricular activities for those children whose parents
cannot afford to support them in this area.
Other sources of funds

SCHOOL FACILITIES
 Consider the situation in your school and identify different ways in which the
facilities might be used to generate funds.
 Through proper management, school plant may generate substantial funds.
Ways of doing this may include:

 hiring school facilities to the community, for example, halls, ICT facilities,
vehicles, playgrounds
 engaging in money generating projects such as livestock farming, running a
canteen and operating workshops.
Pupils
 Consider if there are different ways your pupils might be involved in
generating school funds.
 Pupils may be good sources of school funds if they can see the benefit both for themselves and their
school. Developing this resource depends on the good management of the school head and staff. Such
fundraising is done through the PTA. The following ways of involving your pupils may be considered:

 generating funds through such activities as agricultural activities in rural areas, making crafts and cake
sales
 fund raising activities, for example, music, dance, drama, games and sports, exhibitions, charity walks
and jumble sales.

 It would only be right to add here that Past Pupils and Alumni Associations are often a great source of
extra financial help. They frequently have very positive feelings towards their “alma mater” and are
philanthropic as well. Many schools have been provided with excellent ICT facilities, for example,
especially from those former students who now live abroad.
Fund raising
 1) Make a list of the methods you use, through the PTA, to raise funds in your
school.
 2) What additional ways might you introduce?
You may have included some of the following:

 Sponsored walks: Where individuals are sponsored to walk certain distances to raise
funds for particular school programmes.

 Trusts from charitable organisations: Where materials and funds set aside by
individuals or organisations are donated to run a school programme.

 Through fund raising representation: By this method an influential and knowledgeable

person is selected to visit people or organisations that have been selected by the fund
raising committee to seek financial assistance. The representative must be well
conversant with the purpose to which the funds will be used.

 Fund raising agents: A group of people interested in raising funds for the school,
allocate themselves areas of operation. Then each person approaches individuals for
financial assistance. The group must have a co‑ordinator to oversee collections and
any other activities involved.
Community groups

 Consider community groups in your area and think of the different ways in
which they contribute financially to your school.
Community groups are often among the key sources of funds to schools. They are mobilised to carry out
given tasks by leaders in the community, such as local politicians.

Your findings might include:

 mobilising community groups in development projects

 community leaders playing the leading role in mobilising the masses to
participate more effectively in school projects
 fund raising for individual schools in an area
 involving community groups and former students in self‑help projects for the
purpose of generating funds
 levying education taxes on members of the community.
 Within communities there may be individuals who also decide to help
one or more schools on a significant scale. Sometimes business people
wish to be seen as philanthropists and may contribute in the same
way as community groups. Such contributions should be welcomed,
but because of the idiosyncrasies of individuals a system of
accountability needs to be enforced particularly where business
people operate schools for profit.

 In recent years, a large number of NGOs which have been willing to

invest time, money and resources into schools either directly or
through training or sustainable activities through the regions .
- Betsy DeVos
References:

 DepEd of Education.(2015a) The School Improvement Plan (SIP) guidebook.

(Online URL: www.deped.gov.ph/sites/default/files/order/_44_0.pdf) accessed
on march 7, 2018

 Governance of Basic Education Act of 2001 (Republic Act No.9155)

 Humanities, Arts and Social Sciences Studies

Volume 20 (I): 219-246, 2020

 Preston, J.P. (2013) Community Involvement in school: Social relationsips in a

bedroom community. Canadian Journal of Education 36 (3): 413-437
Thank you!