REINFORCING RESOURCE GENERATION THRU THE ESTABLISHMENT

OF CATANDUANES STATE UNIVERSITY ENDOWMENT FUND

Submitted to the Faculty of the
Development Academy of the Philippines
Graduate School of Public and Development Management


In Partial Fulfillment of the Requirements of the
Flagship Course on Administrative Service Excellence
for Middle-Level Managers (Directors) of SUCs




GERRY S. RUBIO
CATANDUANES STATE UNIVERSITY
MARCH 7, 2014
ii


DISCLAIMER

This is an official document of the Flagship Course on Administrative Service
Excellence for Middle-Level Managers (Directors) of State Universities and
Colleges (SUCs) under the Executive Development Program for SUCs of the
Graduate School of Public and Development Management of the Development
Academy of the Philippines.

Quotations from, contractions, and reproductions of all or any of this document
are not authorized without the specific permission from the Dean of the Graduate
School of Public and Development Management.

The opinions, ideas, and proposals expressed herein are those of the student-
author and do not necessarily express the official views of the Development
Academy of the Philippines Graduate School of Public and Development
Management, or of any other government agencies.

Reference to this work includes the foregoing statement:
Development Academy of the Philippines
Graduate School of Public and Development Management
DAP Building, San Miguel Avenue
Ortigas Center, Pasig City
iii


APPROVAL

This Re-Entry Action Plan (REAP) Paper entitled Reinforcing Resource
Generation through the Establishment of Catanduanes State University
Endowment Fund of GERRY S. RUBIO of CATANDUANES STATE
UNIVERSITY has been successfully presented on March 6, 2014.


Ma. Teresa V. Puriran Adelfo V. Briones
Panel Member Panel Member



Sofia C. Gemora
Panel Member



Gloria Jumamil-Mercado, Ph.D., MNSA
Chair of the Panel

iv


ACKNOWLEDGEMENT



The best and the most beautiful things, Keller said, cannot be seen nor
even touched; they must be felt with the heart. And so, my profound gratitude to
the following:

The officialdom of the Commission on Higher Education, the Development
Academy of the Philippines, and the Ateneo School of Government, for
crafting this executive development program that values the significant
role of SUCs middle level administrative managers;
Dr. Minerva I. Morales, SUC President III of Catanduanes State University
for the unwavering support;
Prof. Ma. Theresa E. Sarmiento, Vice President for Administrative and
Financial Affairs, for the encouragement in pursuing this action plan;
Dr. Mario C. Villaverde, former Cabinet Assistant Secretary and Ateneo
School of Government Associate Dean, our prolific resource speaker on
various subjects in the course, and my mentor for this Re-Entry Action
Plan, for the many insightful sharing and valuable inputs;
Our brilliant resource speakers from Development Academy of the
Philippines, Ateneo School of Government, and other government and
private entities for generously sharing their expertise;
The training officers and staff from Development Academy of the
Philippines and the Ateneo School of Government, for their efficiency,
facilitation, and untiring assistance;
My Executive Development Program - Flagship Course on Administrative
Service Excellence for Middle Managers of SUCs Batch 1 classmates for
the very enriching sharing of ideas, and for the camaraderie; and,
v

To my fellow non-teaching personnel at the Catanduanes State
Universitythe backbone of the institution; the untiring and committed
workersthis work is likewise dedicated

vi


TABLE OF CONTENTS

Title Page i
Disclaimer ii
Approval iii
Acknowledgement iv
List of Tables, Figures, and Appendices vi
Table of Contents viii
Abstract ix

CHAPTER I INTRODUCTION 1
Context of the Issue 1
Issue/Problem Statement 2
Silver Lining 3
Opportunities in the Region 4
Catanduanes Investment Opportunities 7
From the Island to the Global Community 11
Institutional Distinctions 16
The Islands Mecca of Knowledge
Objectives of the Project 19
Results/Significance of the Project 19
What is Endowment? 20
Endowment Fund Campaign of Some HEIs in the PH 21
Learning the Ropes 28
Why Endowment 28
Endowing the CSU: Prospects and Impact
Impact to SUC Levelling 34
CHAPTER II IMPLEMENTATION OF THE REAP 39
Activities 39
Key Indicators for Achieving and Assessing Results 45
vii

Resources Needed to Implement the REAP 48
Time Frame for Accomplishing the REAP 49
CHAPTER III CHALLENGES AND SOLUTIONS 51
Risks and Assumptions to Achieve Results 51
Stakeholders Analysis 52
CHAPTER IV SUMMARY AND DISCUSSIONS 55
Highlights of the REAP 55
Fund Management and Result Expected 55
Endowed Benefits 56
Mitigating the Risks to Implement the REAP 58
Recommendations 59
Bibliography 61
Appendices 64
viii

LIST OF TABLES, FIGURES, AND APPENDICES



Table Page
1. Result of Initial SUC Leveling Evaluation of CSU 34
2. Key Indicators for Achieving and Assessing Results 45
3. Budget for the Implementation of the Project 48
4. Timeline for Accomplishing the REAP 49
5. Net Mapping 52

Figures
1. The Catanduanes State University Main Campus 2
2. NEDA-RDC Bicol Investment Guide 4
3. The Province of Catanduanes Tourism Campaign 7
4. The Bicol Tourism Convergence Map 9
5. The CSUs Development Framework 10
6. The CSU Mandate 11
7. The CSU Vision 12
8. The CSU Mission 13
9. The Top 1 in the Nov. 2012 Civil Engineer Licensure Exam 15
10. The CSU Arch of Excellence 16
11. The CSUs Roster of Licensure Exam Topnotchers 17
12. Screenshot of a Donation Form from
Central Philippine University 23
13. The FEU Accountancy Endowment Fund 24
14. The UP Alumni Fund Campaign 25
15. The Ateneo de Manila Make a Gift Campaign 27
16. Income of CSU, 2009-2013 30
17. Budget of CSC, 2009-2013 32
18. The Campaign Logo 43
ix

19. Net Map 53

Appendices
1. Designation with Terms of Reference,
Alumni and Placement Services Officer 65
2. The newly-approved organizational structure-
Central Management Division showing the newly created
Global and Industry Linkages under the Planning, Development,
and Information Systems Management Services 66
3. Republic Act 10229 Converting the Catanduanes
State Colleges into a University 67
x


ABSTRACT



Beefing up the resources of Catanduanes State University amid dwindling
government support is imperative. As such, a scheme to generate and mobilize
resource was identified. This is through the establishment of the Catanduanes
State University Endowment Fund.
The institutionalization of the project aims to augment the funds of the
university to support faculty, staff, and student development; improve resource
management capability; and, foster greater participation and commitment of the
stakeholders to the universitys development undertakings. The project is also
attuned to the Philippine Higher Education Reform Agenda and to the
Universitys strategic development plan. It will likewise help in attaining quality
and standards set forth by CHED and DBM such as the SUC leveling, the CMO
46, or the outcome-based and typology-based quality assurance, normative
financing, and other organizational performance evaluations.
The private and alumni sectors, other institutions, and individuals have big
potentials in enabling this plan. The University is also ripe to venture into this
kind of fund campaign. As it moves on to its jubilee (50
th
) year, it must
continually keep in step with the demands in higher education.
Establishing an endowment fund is therefore a potentially dynamic and
viable resource generation and mobilization venture.
1

CHAPTER I
INTRODUCTION


Context of the issue
The Roadmap for Philippine Higher Education Reform (PHER) envisions
the public higher education to significantly contribute to the urgent task of
alleviating poverty, hastening the pace of innovations, creating new knowledge
and functional skills, and increasing the productivity of the workplace and the
dynamism of the communities.
Alongside with this vision is the challenge for State Universities and
Colleges (SUCS) to adapt the Rooseveltian wisdom of doing what you can, with
what you have, where you are. With perennial meager resources to subsidize
their ever-increasing development demands, the SUCs are behoved to flex to the
hilt their innovative capacities to sustain and further improve their operations.
Resource generation, as forwarded by Bernardo (2006) is a matter of
survival among state colleges and universities because of economic problems
and government support, declining external donors resources, donor fatigue of
supporting some projects, and greater competition among many institutions for
the same funding sources. Bernardo adds that state colleges and universities
have been established to provide essential services in education and R&D. They
are not profit-oriented and their objective in resource generation is to obtain
sufficient resources to support quality programs of higher education in instruction,
research, and extension.
Therefore, looking for ways to beef-up the income of SUCs demands
ingenuity. However, one must not reinvent the wheel for there are already tested
schemes which will effectively help the resource generation and mobilization, like
the establishment of an endowment fund.

2

Figure 1. The Catanduanes State University Main Campus in Virac,
Catanduanes

Issue/Problem Statement
The Catanduanes State University, like other SUCs, wrestles with the
persistent challenge of resource generation. In its 5-Year Strategic Development
Plan, the CSU, (which has been in existence for 43 years and was converted into
a University last October 2012), targets to provide efficient and effective
administrative and financial services for the attainment of its instruction,
research, extension, and production functions.
Thus, resource generation and mobilization to support the triad functions
of the university is of paramount importance.
For so many years, Catanduanes State University has relied on the
traditional sources of fundsGAA, income from tuition and matriculation fees
and the meager proceeds from production ventures. Grants and other financial
support from government and private entities come few and far between. They
are also not enough to fund one-time robust projects. For instance, funding
3

support would only be enough to finish a storey or two of a building that
completing the entire infrastructure project would wait for another manna from
heaven. The university can only provide as much equity within the capacity of its
funds which are already spread thinly for the continuance of its operations.
This reality is buttressed by Perez (2010) who propounds that since the
government could no longer meet its financial obligations to different agencies,
many SUCs faced unprecedented hardships as growth was hindered by lack of
funds. Clearly, one of the challenges posed in the operation of SUCs is the need
to be self-reliant by way of instituting self-help development strategies.
Concurring this bleak reality, Briones (2014) likewise forwards that
resource mobilization at present for SUCs is a real challenge, and that the
National Budget is not sufficient. SUCs have to take care of themselves. They
have to generate more and more resource generating activities, Briones further
emphasized.
In all these limited sourcing and allocating, some other equally important
activities of the university, like providing financial support for faculty and student
merit scholarships, and other academic pursuits that would contribute to the
scaling up of the institutions competitiveness, are sidetracked.

Silver Lining
Notwithstanding the challenges, Catanduanes State University is gifted
with a rich human resource who is at the forefront of social development. As the
lone state-run higher education institution in the province that is a part of a
dynamic Bicol community, Catanduanes State University offers services that
contribute to knowledge generation.






4



Opportunities in the Region
The Regional
Development Council (RDC) of
the National Economic and
Development Authority (NEDA)
cites Bicol as a strategically
positioned gateway to the rich
East Asian market, being located
on the western rim of the Pacific
Ocean, off the southeastern
coast of the Asian mainland.
RDC highlights the Bicol
peninsulas strategic position, as
it straddles the major sea lanes
that connect to Manila, the
Philippines business center and
its neighboring East Asian key cities. These include the emerging markets of
China, and the leading business centers of Japan and Australia, which are all just
a few hours away by plane.
RDC underscores the regions rich natural resources which are suitable
for agriculture, mining, and tourism.
RDC also cites the potential of Bicol in the talents of its graduates from
renowned public and private universities, vocational/technical centers and top-tier
schools, as well as the hard-working workforce that also boasts of an impressive
contingent of skilled laborers and professionals from across the region.
The rich natural resources and a relatively low cost of living and training
help make Bicolandia an attractive place to live in and do business. RDC adds.
The Council also believes that investors looking for a favorable business
environment will find Bicol an ideal place as it is identified in the national map
Figure 2. The NEDA - Regional Development
Councils Investment Guide for Bicol
5

as a tourism and maritime zone due to its accessibility to Manila, Visayan, and
Mindanao provinces.
The region, according to RDC, manifests a mixture of dynamic culture,
resilient and religious people, and literate workforce. The region also prides itself
on having a literacy rate of 96% with schools and universities at par with those in
Manila. Aside from being highly literate, the Bicolano workforce is skilled and
hard working. The majority of the workforce speaks English.
As a viable trade and investment hub, RDC promotes Bicol as a place that
is accessible to Manila and the rest of Luzon through air, land, rail and sea.
Manila is about 9 hours away from those taking the south road of the Manila
Bicol route and about 45 minutes by air transportation. It is also accessible to
Visayas and Mindanao thru the Maharlika Highway, the strong republic nautical
highway and by air.
RDC also accentuates the regions telecommunications network consists
of wired and wireless systems with landlines using fiber optics and cell sites for
cellular phones. An array of radio and television networks, postal services,
internet service providers (ISPs) and cable networks are also growing in number.
A wide selection of places for conferences, conventions and trainings are
available. Money transactions are made easy through the services of different
banking institutions, ATM Networks, foreign exchange centers and money
transfer companies in major urban centers.
The Investment Priorities in Bicol which are identified by RDC are the
following:
Food Processing and Beverages
Fish Farming
Feed Mill and Livestock Support Services
Industrial Tree Plantation
Pili Plantation
Abaca Plantation
Post Harvest Facilities
Warehouses/Common Service Facilities
Metallic and Nonmetallic Mineral Processing
Hotels and Restaurants, Resorts,
Golf Courses, Theme Parks
6

Retirement Village Facilities
Socialized Housing Projects
Educational/Training Centers
Printing and Publishing
Manufacture of Construction/Building Component and
Accessories
Water Supply System
Public Markets
Storage and Warehouse Facilities
Transport Terminals and Cargo
Handling Facilities (bus, airport, and port terminals)
Hospitals and Diagnostic Centers, Medical Centers & Facilities

Catanduanes State Universitys share in harnessing these investment
potentials can be gleaned from the institutions active involvement with research
and development institutions and consortia, such as the Philippine Council for
Agriculture, Aquatic and Natural Resources Research and Development, Bicol
Consortium for Agriculture Resources Research, and Development, Philippine
Association of Tertiary Level Educational Institutions in Environmental Protection
and Management, the Philippine and Bicol Consortium for Health Research and
Development, Department of Agriculture, Bureau of Fisheries and Aquatic
Resource, Department of Science and Technology. Collaborative research
undertakings and institutional studies of CSU are strongly anchored in national,
regional, and provincial development agenda.


7


Catanduanes Investment Opportunities
Back in the home front, the same investment guide prepared by RDC
emphasizes the Catanduanes populaces hospitable and highly trainable traits.
Industry-wise, RDC identifies fishing and farming as the major livelihood
activities of Catanduanes where it has a dominantly agro-based economy, and
29.2 percent of its total land area is being utilized for farming, and agricultural
productivity ranks first in the short list of priority programs of government.
According to the investment guide, Catanduanes is also currently one of
the countrys largest producers of unprocessed abaca fibers cultivated on some
19,438 hectares of available cropland. It also recognizes the waters around the
province which are considered rich in marine product and abound with a variety
of fishes, such as blue marlin, tuna, tanguigue; and crabs and prawns that are
shipped and sold to several Metro Manila outlets.
Meanwhile, RDC recognizes the Catanduanes improving transportation
facilities, such as the Virac Airport, which is being expanded and upgraded in
anticipation of the implementation of the regional flagship program on tourism.
RDC drumbeats the islands 17 marine ports, comprising of three national, one
municipal, and 13 fishing ports. The growth of cellular telecommunications has
now encompassed the island. There are also 4 telephone companies and 11
postal stations serving the communication needs of the people of Catanduanes.
Major crops of the province are abaca fiber, copra, and tiger grass where, except
Figure 3. The Province of Catanduanes tourism campaign
8

copra, the province enjoys a comparative advantage as a leading producer.
Catanduanes is the regions number one producer of first class alpaca fibers and
is known as the countrys leading supplier of quality tiger grass (lasa), a durable
raw material used in soft broom processing.
RDC also takes cognizance of the presence of minerals in the province
like copper, gold and other allied metals and other non-metallic minerals such as
bituminous coal, limestone, and marble.
RDC points out the potentials for a significant economic growth, which can
be drawn from the development of resource-based primary industries. Availability
of resource-based materials with commercial potentials, and the comparative
advantage enjoyed by the province over these resources are good fundamentals
for the growth of local primary industries.
On the tourism side, Catanduanes is marketed by RDC as a province that
is blessed with numerous tourist potentials that would warrant an unhampered
tourism development. The same investment guide lists the provinces tourist
potentials such as the long stretches of white sand beaches, waterfalls, cave
virgin forests, and man-made tourist spots.
The Regional Development Council also endorses the province as an
alternative route to the Gota Beach, an international tourist destination primarily
known as the shoot location of the Survivor series by different countries.
According to RDC, a traveler can take the 45-minute plane from Manila, land in
Virac, then take the 35-minute land trip to Codon. The estimated travel time thru
the Manila- Virac-Codon-Caramoan route is likely to be hours shorter than the
Manila-Naga City- Caramoan trip. The Naga-Caramoan trip alone takes at least
four hours.
It can be recalled that on May 2012, Catanduanes State University worked
with the National Economic and Development Authority Regional Office,
Department of Tourism - Regional Office V, the Provincial Government of
Catanduanes, and other regional and provincial line agencies for the crafting of
Catanduanes-Caramoan Tourism Link project. This will pave the way for the
9

establishment of Triple C or the tourism development partnership of Camarines
Norte, Camarines Sur, and Catanduanes.

Figure 4. Bicol Tourism Convergence Map (source: Philippine Daily Inquirer)

RDC also props up the provinces potential for Renewable Energy
Development. The project invites investors to develop, finance, own and
operate power generating plants using renewable energy that is locally available
10

such as a Wind Power System, Coal Bed Methane (CBM) Energy Development,
and Mini Hydro Power Plant.
These potentials synchronize with the CSUs vision of transforming into
(and sustaining the gains of) a green university globally engaged in island
research and innovations for societal advancement. The academic offerings of
the University in the areas of health and natural sciences, education and
humanities, public administration, business, agriculture and fisheries, information
and communications technology, and engineering and technology, provide the
province, region, and nation a steady source of professionals. The
multidisciplinary research conducted by the University along agriculture, food
security, nutrition and health, governance, and education, among others, are
likewise anchored on or supportive of the provincial, regional, and national
development plans. These are backed up by outreach programs to the
community in the form of training and technology transfer.
The overarching goal of this resource generation through the
establishment of an endowment fund is directly linked or leans toward the
Universitys various development goals. As illustrated in the CSUs
organizational framework, the mandate of the University, which will be supported
by this resource generation program, redounds to the bigger goal of inclusive
economic growth.

FIGURE 5. CSU Mandates Link to National Development Goals


11

From the Island to the Global Community
At the core of this exciting investment opportunities are the key players in
the social and economic development sectors such as the Catanduanes State
University. CSU also boasts of
a vast land resources, coupled
with professional and skilled
human resources who shape
the vision of establishing a
green university globally
engaged in island research and
innovations for societal
development.
The CSU Main Campus
rises at 155 feet above sea
level, and is spread over 90
hectares of verdant plains and
rolling hilly lands. In the
backdrop of the Universitys
land area is a mountain range
that completes the postcard
perfect birds-eye view of the
campus.
CSUs credence has
been tested over the past four
decades as a quality
educational institution. It holds several distinctions in the field of instruction,
research, extension, and production. Categorized as SUC Level III-A, CSU is
one of PASUC-AIM Philippines Top 19 State Universities and Colleges in the
Philippines with High Business Potential in Land and Equipment Assets, Human
Resources, and Technological Capital.
Figure 6. The CSU Mandate
12

It is also designated by
CHED as Center of Development in
Teacher Education, Provincial
Institute of Agriculture, and award-
winning eco-university, having
garnered prestigious regional and
national awards such as DENR-Vs
Bicol Saringaya Award Champion
and regional and national winner in
the Search for Eco-Friendly
Schools, and Dangal ng Kalikasan
Awardee of the Provincial
Government of Catanduanes.
The Catanduanes State
Universitys achievement in
producing board examination
Topnotchers is a solid record it has
carved since its initial turning out of
graduates when it was established
as a college. Since 1974, it has
produced board Topnotchers or placers in Licensure Examinations in Nurse, Civil
Engineer, Agriculturist, Teacher, Certified Public Accountant, and Midwife
professions. Barely a month before it was converted into a University, a
phenomenal Top 1-3 achievement has been established by its Civil Engineering
graduates.
Figure 7. The CSU Vision
13

Apart from hogging the front
pages and prime time newscasts of
major televisions, this article by Raul
Palabrica of the Philippine Daily
Inquirer (Corporate Securities Info, Dec.
1, 2012) sums up the quality and
potential of the Catanduanes State
University as one of the leading
institutions in human capital
development.
Corporate Securities Info
by Raul S. Palabrica

Unheralded high achievers

Philippine Daily Inquirer
11:46 pm | Thursday, December 1st,
2011

Metro Manila-based colleges
and universities are no longer assured
of their graduates dominating, if not
topping, government licensure
examinations.
Last Monday, the Inquirer reported (as front page news, mind you) that
graduates of the Catanduanes State Colleges bagged the top three places in
the board exams for civil engineers given earlier this month.
They bested graduates of the University of the Philippines, University of
Santo Tomas, Technological Institute of the Philippines and Mapa Institute of
Technology who used to lord it over these tests.
Although this is not the first time that the alumni of the lone state
college in Catanduanes made good in the exams, bagging the top three slots
may be considered phenomenal considering the quality of the competition.
What makes the result more interesting is, the Top 10 consisted of
graduates of promdi (the snooty Manila-inspired description for people who
come from the provinces) schools in Bulacan, Davao, Mindoro Oriental and
Zambales.
The feat merited the publication of the photos of the three Catanduanes
graduates in the Inquirer, a privilege often given only to topnotchers of the bar
exams.
This fixation with the law profession, which dates back to the countrys
colonial past, is prevalent also in other broadsheets and media outlets.

Education
The results of government licensure tests in recent years have shown
that graduates of private and public educational institutions outside Metro
Manila are no longer the pushovers they were once thought to be.
Figure 8. The CSU Mission
14

The Imperial Manila syndrome (or the impression that anything that
comes from the national capital is better than the rest of the country) has
engendered the belief that only Metro Manila schools are capable of providing
quality education.
Sleek publicity about graduates of these schools dominating board
exams and famous personalities touting their links with so-called elite campuses
have bred feelings of inferiority among students who, for financial or personal
reasons, opt to study in their hometowns.
This sense of inadequacy is further reinforced when province mates
studying in Metro Manila who come home for the holidays strut around with
superior airs or engage in activities that tend to show that their rural counterpart
have much to learn from them.
To aggravate matters, advertisements for new hires in private
companies often state their preference for graduates of certain Metro Manila
schools. The subliminal message is, those who got their education elsewhere
are better off trying their luck in companies with less demanding academic
credentials.

Recognition
The prejudice for certain graduates can also be felt in companies
whose key executives or human resource personnel are fanatically devoted to
their alma mater.
These are the types whose rooms are lined with knickknacks that show
their school logo, or who skip work to attend basketball games that involve their
school teams, or who instinctively come up with petty remarks when positive
statements are made about their school rival.
Thus, if the alumni of, say, UP, Ateneo or La Salle, are in positions of
influence in a company, expect them to give priority to applicants whose
curriculum vitae include their school.
When confronted about this discriminatory attitude, they usually give
the excuse that they know what their fellow alumni went through before getting
their diploma so they have more confidence in their ability to take on the jobs
applied for.
Bluntly stated, the other school graduate is an unknown factor whose
skills have yet to be tried or tested, so why take the risk.
If at all, exceptions are made from this elitist posture only when the
applicant is too good to be left off to competitors, or has a backer who cannot
be turned down without adverse consequences.
Unless he holds a key position in the company, his peculiar academic
credentials will nonetheless give rise to subtle acts of discrimination or put him
out of the loop when fellow alumni in the staff talk about school-related matters.

Review
Under these circumstances, it is not surprising that provincial residents
prefer to come to Metro Manila for the education that, in their mind, would
assure their passing the licensure exams for their chosen professions and, in
the process, be assured of gainful employment in the future.
The exemplary showing of graduates of provincial schools in these
tests should spur companies that still hold traditional views about Metro Manila-
acquired education to undertake a serious review of their employment policies.
Thanks to the Internet and other modern means of instruction, the
quality of education in colleges and universities outside Imperial Manila has
improved tremendously.
In fact, the results of the periodic assessment examinations conducted
for primary and secondary students all over the country consistently show that
15

many of the students in the provinces outshine their Metro Manila counterpart in
mathematics and science.
It helps that the provincial students are not bothered by the problems of
traffic congestion, pollution and other distractions that Metro Manila residents
have to bear with as part of their daily living.
The provincial students have to thank their stars that, considering their
less stressful living conditions, they are able to focus on their studies better and,
as a result, are able to go toe to toe with graduates of Metro Manila-based
schools in government licensure examinations.
Next time the results of these tests are published, it would be
interesting to find out how many graduates of provincial schools are in the Top
10.


Figure 8. The Top 1 in the November 2012 Civil Engineer Licensure Examination,
Benjie T. Pantino. Two other graduates from CSU finished second and third.
(gmanetwork.com)
16



Institutional Distinctions
True to its administrative and academic excellence, the University has
likewise been cited by the Civil Service Commission as Best Government Agency
in Region V, and awarded several times by the Professional Regulations
Commission as Best Performing School nationwide.
Bolstering its Profile of Excellence, which serves as one of the criteria
used in normative financing, is its AACCUP-accredited academic programs,
apart from the CHED Center of Development-designated Teacher Education
program. The distinction has attracted the youth of the province and nearby
provinces in the Bicol Region and other places across the nation to study at the
Catanduanes State University. The constantly improving status of the University
has likewise reinforced its enrollment record, bringing in a steady increase in
student population through the years. The University is also working out to
submit the College of Health Sciences Nursing Program, and College of
Technology Civil Engineering Program as additional Centers of Development in
the country.
Figure 9. The CSU Arch of Excellence
17

These records attest the Universitys institutional strength which blends
well with the island province of Catanduanes abundant natural resources that
have potential for instruction, research, extension, and production.




The Islands Mecca of Knowledge
Catanduanes State University is a comprehensive higher education
institution. It started as a farm school, then an agricultural and trade school in
1961, and then converted into colleges in 1971. With its remarkable
accomplishments and solid performance, it was converted into a university on
October 19, 2012. The university firmly stands as the brain center of the
province of Catanduanes. Year in and year out, it supplies the province, the
country, and the international community with professionals and skilled workers.
Its graduates are spread elsewhere in the world as engineers, teachers, health
care, business, and public and private industry professionals, IT experts,
industrial technologists, and entrepreneurs.
As a Level III-A University, it offers around 70 curricular programs in
advanced and higher education levels. Catanduanes State University aspires to
foster excellence, holistic outcomes-based education compliant to the
requirements of the diverse world market, and contribute to the development of
productive and value-laden lives.
Figure10. CSUs Board Topnotchers in the CPA, Nurse, Engineer, Teacher, and
Midwifery Licensure Examinations
18

The University also vigorously generates and transfers knowledge through
its research and extension mandates and embarks into viable resource
generation and utilization programs, projects, and activities in support of the
universitys core functions.
19

Objectives of the Project
The establishment of the Catanduanes State University Endowment fund
aims to achieve the following:
1. Beef-up the resource generation of the university that will support
faculty, staff, and student development, specifically:
Faculty and staff advanced degree scholarships in Top 1000
universities in Asia based on QS World University Rankings
Tertiary students participation in inter-country mobility
programs, including OJTs, internships, exchanges, and merit
scholarships
2. Improve resource management capabilities of the university to help
attain higher SUC Level and other organizational performance
evaluations by CHED and DBM such as the SUC leveling, the CMO
46, or the outcome-based and typology-based quality assurance, and
normative financing
3. Establish greater stakeholder participation, support, and commitment
to the development undertakings of the university

Result/Significance
The establishment of an endowment fund will provide the university
numerous opportunities and address longstanding problems not only about
resource augmentation, but also on the improvement of its SUC Level and other
organizational performance evaluations undertaken by CHED and DBM such as
the CMO 46, or the outcome-based and typology-based quality assurance, and
normative financing.
The SUC Leveling Instrument is a tool devised by the Commission on
Higher Education and the Department of Budget and Management that
measures the SUCs institutional achievements in areas relative to the programs,
functions and operations. SUC Levels are from I to IV. Specifically, the leveling
instrument focuses on the performance in instruction, research, and extension
and the management capability of the SUCs. Catanduanes State University is
20

Level III, and with the more stringent criteria issued this 2014 by CHED, it is
doubly challenged to at least retain its current status.

What is Endowment?
In its context, the Carnegie Mellon University of Pittsburg, Pennsylvania,
defines endowment as assets that are invested in perpetuity, unlike expendable
funds which are typically used for immediate needs. It provides a steady
predictable source of income over time, on which the university can make
commitments and build its programs.
The Carnegie Mellon University clarifies that their endowment is not, as
many may think, a single pot of money that can be used as the university
wishes. In fact, many separate endowed funds comprise the endowment, and
each has its own stipulations about how and for what purpose the income may
be used, as specified by the donor. As Carnegie Mellons endowment grows
through prudent investment management and gifts, the endowment will help to
ensure the strength and stability of the university.
Meanwhile, the University of Utah Investment Management Office more
clearly defines endowment as a gift to the University where, typically, only a
portion of the interest accrued on the endowment is used to support a program or
programs. Because the principal i.e., the original gift is invested and not
spent directly, the interest income generated by the endowment will last into
perpetuity and support distinctive programs, scholarships, research,
professorships, and buildings as per the donors wishes for generations to
come. Excess income will be reinvested in the endowment fund, thus helping
grow the fund and protect it from inflationary pressures.
1


1
Inflationary pressure is a term used to describe a situation in which the price of goods and
services increases at a higher rate than wages therefore causing financial strain. This in the end affects the
public's way of spending on essential goods and services. http://www.ask.com/question/what-is-
inflationary-pressure



21

Moreover, to the University of Utah, endowment matters because it lends
them fiscal stability and provides critical resources which enable the university to
offer competitive tuition, supports high-quality academic programs, attracts top
faculty, and ensures that the brightest students have access to the University of
Utah education.

Endowment Fund Campaign of Some Higher Education Institutions in the PH
Some universities or higher education institutions (HEIs) have already
well-entrenched resource generation and mobilization programs through the
endowment fund campaign. These are best practices that the Catanduanes
State University can valuably learn from.
Flores (2010) of PhilStar reported that the President of the De La Salle
University President Armin Luistro has urged private firms to help put up a P120
million endowment fund to develop top caliber engineers in the country. In the
report, the DLSU president proposed that they will all work towards a P120
million endowment fund, the proceeds of which will be used to provide
scholarships for 10 doctoral students, 20 masters students and reserve about P2
million to P4 million for competitive research grants per year. Luistro said about
P2.76 million would be spent for the stipend of 10 doctoral students while P3.6
million would be allotted for the stipend of 20 Masters students.
Meanwhile, Ang (2010) of Philippine Daily Inquirer, quoting Chancellor
Luis Rey Velasco, reported the creation of the University of the Philippines-Los
Baos Centennial Artists Endowment Fund to sustain their efforts to uplift the
Filipino culture and fire-up artistic talents among their young students and faculty.
According to Velasco, the fund is actually part of an umbrella fund, the
UPLB Centennial Fund, which allows donors to become involved in creating a
legacy of distinctive excellence in higher education
The report said that UPLB seeks to raise funds for and to undertake
projects that will contribute to nation-building by producing high quality, well-
rounded graduates, generating relevant and responsive technologies and
knowledge products, and promoting Filipino culture and arts.
22

Aside from an allocation for artists, the news item said that the fund also
has allotments for faculty development, scholarships and student welfare, sports
and modernization projects, among others.
The University of the Philippines Diliman Campus website
(www.upd.edu.ph) reported its signing of the memorandum of agreement with the
Philippine National Oil Corporation Exploration Corporation for the establishment
of P500 million in grants and scholarships to the University of the Philippines.
According to the press release, the endowment fund will provide for scholarship
grants, research grants and professorial chairs in the fields of Geology (under the
National Institute of Geological Sciences), Mining Engineering and Energy
Engineering (both under the College of Engineering).
Further, according to the websites news, research conducted through the
grants must be related and/or applicable to PNOC-ECs core businesses of
petroleum exploration and production, coal exploration and production, shipping
and power generation. In addition, faculty and scholar awardees are required to
spend one year of employment at the PNOC for each year of scholarships they
receive from the endowment. According further to the report, the donation will be
given in three annual instalments, with the first P125 million to be given in 2011.
23


Figure 12. A sample (screenshot) of endowment donation form from
Central Philippine University





24

Figure 13. The FEU accountancy endowment fund

This is another example of an endowment fund effort undertaken by a
private HEI, the Far Eastern University. Culled from the official website of the
university, the news item reports about the Institute of Accounts, Business and
Finance (FEU-IABF) and the Nicanor Reyes Memorial Foundation (NRMF) as
beneficiaries of the Dr. Wilfrido C. Tecson endowment grant, named after one of
FEUs prominent accounting alumni, Tecsons wife, Nelly U. Tecson.
As part of the endowment terms, the NRMF received P2 million to
complement the development of the universitys flagship accountancy program.
One million pesos will be used to establish a professorial chair in accountancy,
which aims to foster research and further training for faculty, according to the
report. The remaining one million, the report further added, will be used to create
a scholarship fund for accounting students.

25

Figure 14. The UP Alumni Fund Campaign



This is a very compelling donation campaign undertaken by the University
of the Philippines Alumni Office of Relations. Its pitch is the 150% tax deduction
for UP donors. The whole campaign text reads:
All gifts and donations to the University of the Philippines are exempt
from donors tax pursuant to Section 25 of RA 9500 or the UP
Charter of 2008, and consistent with Section 101 (A)(#) of the Tax
code of 1997.
In addition, gifts and donations of real and personal properties of all
kinds to UP will be exempted from donors tax and the same shall be
26

considered as allowable deduction from the gross income of the
donor in accordance with the provisions of the National Internal
Revenue Code of 1997, as amended: Provided, That the allowable
deductions shall be equivalent to 150 percent of the value of such
donation. Valuation of assistance other than money shall be based
on the acquisition cost of the property. Such valuation shall take into
consideration the depreciated value of property in case said property
has been used.
Furthermore, the Tax Code of 1997 exempts from the donors tax
gifts in favor of the educational institution subject to the condition that
not more than thirty (30%) percent of said gifts shall be used by such
donee for administration purposes. UP being a government
educational institution, falls under the purview of Section 101(A) (3)
of the Tax Code of 1997.
Donors may claim up to 150 percent allowable deduction when they
give to the University of the Philippines.

With its very rich alumni resource, UP remains as one of the leading
universities with big endowment fund reserve. According to the report of Jess
Diaz (2013) of the Philippine Star, UP has a huge amount of savings and an
equally huge amount of endowment funds.













27

Figure 14. The Ateneo de Manila Make a Gift campaign



Meanwhile, true to the Atenean spirit of being men and women for
others Ateneo de Manila Universitys endowment fund campaign (Giving
homepage, ADMU website) mirrors the anchorage of the institution to the
generosity of its alumni, friends, benefactors and other donors.
Its Make a Gift campaign targets to support not only the academics, but
also the employees, and its various programs promoting the holistic human
development.
Notable of which are its endowment fund for employee excellence award
which seeks to recognize the important work of our faculty and staff as they play
their part in making Ateneo a world-class institution for learning, and the Sports
Endowment Fund (SEF) that aims to provide permanent support to Ateneos
28

various sport teams. It aims to reach a P200M goal to realize SEFs objective to
sustain and develop both athletes and facilities.

Learning the Ropes
The successful implementation of endowment fund campaign of these
selected higher education institutions can serve as the benchmark of the
Catanduanes State University in launching a similar venture. Specifically, a
generic benchmarking will be conducted to study the activities that can best fit
the needs of the University.

Why Endowment?
Endowments, according to Dupree (2000) offer the advantage of
sustainable income over the long term by providing organizations with
independence, greater ownership of resources, increased capacity for long term
planning, access to new resources, and by involving a wider range of individuals
and organizations in building a resource base.
As to sources of funding for endowment, David (2000) cites multiple
places where organizations can turn in order to raise funds for an endowment. At
the local level, he says that there is potential for raising endowment funds from
government or public sources, the private sector, wealthy individuals,
membership fees, the general public, and the earned income. At the
international level, endowment funding can come from bilateral/multilateral
overseas development assistance, international foundations and NGOs
multinational corporations, and wealthy individuals
Harvard, like other big universities, has the Harvard Management
Company, Inc. or HMC that manages the endowment fund. HMC is an American
investment management corporation, a wholly owned subsidiary of Harvard
University charged with managing the university's endowment, pension assets,
working capital, and non-cash gifts. HMC is best known for managing the
university's $32 billion endowment, the largest endowment in higher education in
the United States. (Wikipedia, 2013)
29

Additionally, Winder (2000) cites the numerous reasons why organizations
would wish to create an endowment. These include sustainabilityan
endowment can enhance the ability to plan for the long-term and to meet the
future needs of constituents; autonomyan endowment can increase an
organization's independence from funding trends outside its control; and
leveragingan endowment can be used as a basis for acquiring additional
funding.



30

Endowing the CSU: Prospects and Impact
The establishment of an endowment fund that is envisioned to bring in
financial donations to the university will not only infuse the much needed fiscal
support but also improve the Universitys institutional level.

Figure 16. Income of the Catanduanes State University for 5 years

An erratic trend in income is seen from the comparative income report of
the Universitys Accounting Services. Generated fees did not establish a steadily
rising trend for the period of five years. Fluctuations in income record were
marked during the period in review. Tuition and other fees comprise the bulk of
these revenues, followed by earnings from Income Generating Projects and
externally funded projects.
All the more, there is a definite need to augment the income generating
activities of the University.
44,671,295.05
52,030,863.57
50,299,941.13
54,276,973.17
50,615,664.87
2009 2010 2011 2012 2013
Comparative Income, 2009 - 2013
31


Another compelling reason for the University to engage in innovative fund
generation activities is the expectedly dwindling allocation from the National
Government. With the stringent criterion used by the Department of Budget and
Management in allocating funds for SUCs (the highest or best performers get
equally best shares), it is doubly imperative for the CSU to embark into another
fund sourcing scheme. While improving its Management of Resources
capability, which is one of the Key Result Areas in evaluating SUCs, CSU
through the endowment fund campaign will quantitatively and qualitatively
improve its institutional standing.
32


Figure 17. Five-Year Budget Trend

Budget increases were likewise negligible for the last five years as can be
gleaned from the graph above.
With this internal evaluation, the endowment fund that will support
academic programs, projects, and activities, will also diametrically strengthen
other criteria in SUC Leveling such as faculty and staff development, and
students involvement in inter-country mobility programs, as well as merit
scholarships. It is envisioned that the endowment fund will primarily support
these undertakings
162,859,000
188,840,284 191,439
211,004 219,216
2009 2010 2011 2012 2013
Report of Appropriations and Obligations
33

The impact of this project is indeed far reaching. One of the most
compelling marketing pitches about the power and lasting characteristics of an
endowment fund is best dished out by the University of Washington in Seattle,
USA. It says,
Endowments are forever. It is a permanent fund
supporting a purpose of your choosing. Depending on
your individual passion or interest, your endowment,
which provides funds in perpetuity, can be focused or
wide-ranging. The principal of your gift is invested and
grows over time, while quarterly distributions provide a
steady, reliable source of income to the program you
choose. This ensures your gift will provide benefits year
after year, generation after generation.

Conversely, the establishment of an endowment fund is not a novel idea.
This has been implemented by big universities here and abroad, but for the
Catanduanes State University, adopting this scheme as a means to prop-up its
resources is something new and challenging.
Catanduanes State University has been in existence for 43 years. It has
produced thousands of graduates who are now gainfully employed in the country
and elsewhere around the world.
As such, apart from corporate sponsors, other individuals, and institutions,
the project will tap the alumni of the University. They are the rich yet untapped
resource. They are the Catanduanes State Universitys Benham Rise. And to
these alumni, there is no place like home. To thousands of CSU graduates,
home is their college. It is where their hearts are. There is no better way than to
rekindle their love for their home than recognize their immense capacity to sow
the seeds of generosity.
The project will also fortify public relations and goodwill. The endowment
fund project will spur greater participation and a sense of solidarity of
stakeholders to the development directions of the University.
34

Impact to SUC Leveling
Below is the work in progress evaluation of CSU using the tentative SUC
Leveling instrument. CHED is working on the finalization of a more stringent
SUC Leveling instrument through a series of workshops with SUCs this First and
Second Quarter of 2014.

Table 1. Result of SUC Leveling Conducted to Catanduanes State University
CRITERIA
CSU Actual Data as
of Jan. 14, 2014
E
a
r
n
e
d

P
o
i
n
t
s
Total
Equivalent
Points
Earned
Maximum
POINTS for
every KRA
A. KRA: Quality and Relevance of
Instruction
12
1. Average Number of Weighted Enrolled
Units (WEU)/Semester in the past three
years
401,770 1.0 1
2. Accreditation Status

a) No. of Accredited Baccalaureate Program
Level I
4 0.5
Level II
3 0.8
Level III
8 4
Level IV
0
b) Percentage of accredited Baccalaureate
Programs
29.17% (14/48) 0.25
c) No. of Accredited Master's Program
Level I
1 0.5
Level II
0
Level III
2 2
Level IV
0
d) Percentage of accredited Master's
Programs
23% (3/13) 0
e) No. of Accredited Doctoral Program
Level I
1 0.75
Level II
0 0
Level III
0 0
Level IV
0 0
f) Percentage of Accredited Doctoral
Programs
100% (1/1) 1.5
Total Points 11.3 0.5 2
3. COE/COD 0.05 1
a) Number of COE/COD Programs
COE 0
COD 1 0.5
4. PRC Performance
35

a) No. of program with percentage passing of
1-14% higher than the national passing
average
6 1.5
b) No. of program with percentage passing of
15-29% higher than the national passing
average
7 3.5
c) No. of program with percentage passing of
30% and above national passing mark
4 4
d) Average institutional passing percentage in
the past three years/Ave. National passing
percentage
48.13% (1,891/3,929) 1
TOTAL POINTS 10 2 2
5. Faculty Profile 0.5 0.5 2
Percentage of Doctoral Degree Holders
(inclusive of part time faculty where teaching
hours are converted to full time equivalent)
15% 0
6. Average Percentage of Merit
Scholars/Semester in the past three years
0.29% 0.5 0.5 1
7. Employment of Graduates 3 3
Percentage of graduates who are employed
within one year after graduation
66% (289/438) 3
8. No. of foreign students enrolled full-time on
campus (inclusive of part time students in
which enrolled units are converted into full-
time equivalent)
0 0
9. Percent of students involved in inter-
country mobility programs including those
on OJT, internships and exchanges
.03% (2/7,935) 0.25 0.25 1
TOTAL POINTS EARNED UNDER CRITERIA (A) 7.8 12
B. Research Capability and Outputs
within the Last Three (3) Years

1. Number of Research Output Published
3 3
a) International Refereed Journal
4 2
b) National Refereed/CHED Accredited
Journal
0 0
c) Percentage of research output published in
refereed journals in total number of
publications, including books and other
instructional materials
100% (4/4) 1
2. Number of Research Paper Presented
2
a) International fora/conferences
21 10.5
b) National fora/conferences
11 2.75
c) Regional fora/conferences
10 1.25
d) Percentage of research output presented in
international/national fora/conferences
52.46% (32/61) 1.00 1
3. Inventions
3
a) Number of invention Patented
0 0
b) Number of invention Patented and
Commercialized / with application in
process
6 6
c) Number of invention not Patented / utilized
by the local community
0
d) Percent of S & T Oriented research outputs
patented
0 0.5
4. Citations
2
36

a) Number of research paper cited by other
researchers in refereed international or
national journal
1 0.25
b) Number of research paper cited by book
authors; of national/international readership
0 0
c) Percentage of research publications cited
in books, institutional materials and
refereed international / national journals to
total publication
25% (1/4) 1 1
5. Research Funding
2
a) Number of research funded by outside
agency

Program
2 1.5
Project (not part of a program)
3 1.5
Study (not part of a project)
4 1
b) Amount of Research Fund Generated from
outside Agencies
19.879M 0.5 0.5
c) Percentage of Externally Generated funds
for research / GAA for research in the past
three years

d) Percentage of internally-generated income
allocated to research

TOTAL POINTS EARNED UNDER CRITERIA (B) 6 12
C. Relationship with and Services to
the Community within the Last
Three (3) Years)
7
1. No. of Community Extension Programs
(with minimum of 8 hours conducted,
authorized by the BOR and covered by
MOA with approved budget)
1
No. of Extension Programs
more than 10 1 1
2. Community/Population served
2
No. of trainees served weighted by
the length of training (minimum of
8 hours)
4997.5 (in 2013
only)
2 2
3. Active Linkages/Partnerships with other
Organizations/Educational Institutions
(Covered by MOA/MOU and annual
budget approved by the BOR/BOT)
0 1
International Organization
0
National Organization
2 1
Regional Organization
0
4. Funding for Extension
1
a) Percentage of externally-generated
funds for extension / GAA funding for
extension

b) Percentage of internal income allotted
to extension

5. Adoptors 0 4
a) Number of adaptors engaged in
profitable enterprises in the past three
years

b) Average percent increase in number
of adoptors in the past three years

6. Demonstration Projects
0 3
37

a) Number of viable demonstrations
projects based on positive cost /
return on investment and return
analysis in the past three years

b) Internal Rate of Return for all
demonstration projects

7. No. of Awards given by reputable
organizations

International
10 10
National
1 0.5
Regional
5 1.25
TOTAL POINTS



TOTAL POINTS EARNED UNDER CRITERIA (C) 3
D. Management of Resources 8
1. Percentage of income from business
operations/IGPs to the total budget
2.55%
(6,200/242,907)
0
2. The percentage of other income raised
from the services to GAA budget
(inclusive of tuition and service fees)

3. Percentage of Externally generated
income / donations and grants to GAA
budget (does not include externally
generated research and extension fund)
2.71%
(6,600/242,907)
0.5 0.5 2
4. Faculty and Staff Development Program
1.75 2
a) Percentage of Faculty members who
finished their doctoral programs in
their field of specialization in
programs with at least Level 2
accreditation in 2014 to 2016, and at
least Level 3 accreditation onwards.
(other than home SUC)
27% 0.75 0.75
b) Percentage of plantilla Faculty
members who finished advanced
degrees in at least the top 1000
universities in Asia based on QS
world university rankings
9% 1 1
c) Relevant training hours attended by
the faculty and staff members during
the last three years; including
attendance to conferences / trainings
0.625
5. Trainings/conferences in Foreign
Countries
112 0.125
Regional/National
training/Conferences
10,464 0.5
TOTAL POINTS EARNED UNDER CRITERIA (D) 4.625
SUMMARY OF POINTS EARNED 21.425

38

The new SUC Leveling evaluation of the Catanduanes State University
places the institution on the brink of being pulled down from its current Level III
status. Greater strides must be achieved in all Key Result Areas.
From the initial simulated evaluation conducted by the administration,
Catanduanes State University got low points in the Management of Resources
Percentage of Externally-Generated Income/Donations, and Grants to GAA
Budget. The succeeding workshops, which used the updated but still work in
progress Leveling Instrument designed by CHED, further gave a bleak outlook of
the CSUs standing.
Thus, in many innovative ways, the endowment fund campaign will help
the CSU cope with the increasingly rigid quality standard set forth by CHED, and
align to the demands of Philippine Higher Education Reform Agenda.

39


CHAPTER II
IMPLEMENTATION OF THE REAP

Activities and Strategies
The implementation of the Endowment Fund project will generally consist
of two major activities. These are the conceptualization and project
presentation phase, and the project launching phase. Henceforth, once the
groundwork has been firmly established, the ball will start rolling. The
endowment fund will become an institutional pillar.
These two major phases, and the continuing operations of the endowment
fund, will be aggressively supported by a media campaign that will target the
internal and external stakeholders of the university, and most especially the
current and potential donors.
To keep the ground running, the following incipient activities will be
conducted:
1. Resource mapping identification of social mobilizers (key officials and
staff) who will spearhead the establishment of the University Endowment
Fund. This already includes benchmarking that will provide input in
drafting the policy.
The commando-type team will be composed of:
The Planning Officer- Chairperson
The Administrative Officer V, PR & Information Services - Vice
Chairperson
Members
The Project Development Officer
The Internal Auditor III
The Alumni Relations Officer

2. Identification of IT facilities and systems, including the technical expert/s
who will help the project build a technological backbone
40

3. Budgeting and allocation for human resource needs, including equipment
and facilities
4. Policy Formulation - The staff will conduct a series of meetings to discuss
the establishment of Catanduanes State University Endowment Fund,
particularly on the following specific activities:
a. Identification of donors from alumni and corporate/private sectors, and
other institutions and individuals.
b. Updating of the alumni database
c. Drafting, discussion, and fine tuning the Catanduanes State University
Policy on Endowment Fund Administration and Compliance
5. Presentation of the proposal to the Administrative Council
6. Submission to Board of Regents approval of the proposed Catanduanes
State University Alumni Endowment Fund
7. Social Mobilization
Once the proposal is approved, the team will launch and sustain the
implementation of a social mobilization strategy that will target the alumni,
corporate donors, other institutions, and individuals, as benefactors.
In launching the project, CSU will employ Bernardos (2006) three strategies
in conducting the fund campaign to external donors:
1. Entry strategies
Once the opportunities were clearly identified and a project proposal was
conceptualized and prepared, strategic fund-raising entry plans should be
undertaken, such as:
Sending the project proposal to the right donor through:
- Channels
- Personal presentation
- Use of a second or third party known to the donor
Promotion of the project proposal through:
- Endorsement of top officials known to the donor
- Personal follow-up, if known to the donor
41

- Providing additional information to further strengthen the need
for the project
2. Penetration strategies
Project proposal phasing phasing or modular presentation to
appeal to different donor interests and capacity to support
Project revision to please donors strengthening or improvement of
selected modules after receiving feedback from donor
representatives
Donor segmentation and sequencing looking at donors
capacities, interests, priorities
Flexibility of project proposal getting the right mix of factors and
variable for the right price.
3. Maintenance strategies
Never rest on your laurels; aim for further improvement in
performance
Further strengthen technical, financial, and administrative
capacities
Develop a good network to source out information on possible
changes in donors areas of interest as well as relevant government
agencies that can provide counterpart funds for any proposed
project
Specifically, this will employ Advocacy as a particular communication
campaign. This strategy will fit into this undertaking since it is an important
component of social mobilization that involves convincing, persuading, and
motivating individuals and entities that there is a problem and that there are
appropriate policies and strategies which could be adopted for solving such
problem (Heffner 1998, as cited by Velasco et.al). Heffner adds that policy
support and resource generation are two words constantly associated with
advocacy efforts. Advocacy targets the different actors capable of creating a
positive environment for the program, such as political leaders, legislators,
planners, administrators in various sectors, media organizations, and NGOs.
42

The highlight of the campaign is its Launching and Pledging Session
during the Charter Anniversary Celebration of the Catanduanes State University
on October 19, 2014. The campaign will be dubbed From Bucket to Ocean
Sharing Aspirations. Shaping Visions. This will signal the continuous campaign
and sustained social mobilization.
A draft guideline on the generation and management of endowment fund
will be one of the outputs of the committee. A benchmarking with other SUCs
which have successfully implemented endowment fund will be also conducted to
gain insights on best practices.






43

Figure 18. The Campaign Logo



The campaign slogan above, which was conceptualized and designed by
this proponent, takes inspiration from the wisdom of a Japanese poet,
44

Ryunosoke Satoro who wrote, Individually, we are one drop. Together, we are
an ocean.
The details of the campaign will be provided at the bottom of the poster.
This will be incorporated in the design as soon as the important policies and
information have been finalized.
The incipient activities will provide the groundwork for the establishment
and consequent nurturing of the Catanduanes State University Endowment
Fund.
45

Table 2. Key Indicators for Achieving and Assessing Results
Implementation Results

Implementation Result
Inputs Activities Output Outcomes Impact
Working
Committee
Identification of
key officials and
staff that will
spearhead the
studying of the
establishment
of the
University
Endowment
Fund

The Planning
Officer-
Chairperson
The
Administrative
Officer V, PR &
Information
Services - Vice
Chairperson
Members
The Project
Development
Officer
The Internal
Auditor III
The Alumni
Relations Officer

Efficient
meetings,
benchmarking,
discussions, and
review of
proposed policies
conducted
Stronger
groundwork
serving as
the
cornerstone
of the
project

46


Implementation Results

Implementation Result
Inputs Activities Output Outcomes Impact
People Ware and
IT ware
Identification of
IT facilities and
systems,
including the
technical
expert/s who
will help the
project build a
technological
backbone


IT Technical staff
in place and state-
of-the-art IT
facility purchased
and installed
Efficient and effective
work facilitation and
platform for database
management and
communication/social
media marketing
Sustainable
IT support
and systems
Budget
appropriation
Budgeting for
human
resource, as
well as
equipment
and facilities
Project funding Improved operations
Reliable
financial
support
Policy/guide for the
Endowment Fund
establishment
Policy
formulation

Crafted policy
finalized at the
committee level
Policy fine-tuned and
endorsed
Systems and
procedures in
place to
support the
smooth
operation of
the project
Draft Policy
Presentation
of the
proposal to
the
Administrative
Council


The policy further
strengthened with
the Inputs,
suggestions, and
recommendations
of the
Administrative
Council
Improved version of
the policy achieved
due to participatory
planning and
preparation
Greater
institutional
support
Administrative
Council-
approved/endorsed
policy
Submission to
the BOR
approval of the
proposed
Catanduanes
State
University
Alumni
Endowment
Fund


BOR-approved
policy
The project becomes
official and
institutionalized
Endowment
fund
campaign
contributes to
resource
generation &
mobilization
to support
faculty, staff &
student
development
47


Implementation Results

Implementation Result
Inputs Activities Output Outcomes Impact
Social Mobilization

Meetings with
concerned
stakeholders,
presentation
with potential
donors, write-
up of the
project for
publication in
print and social
media, as well
as
dissemination
in broadcast
media

Linkages
formed, media
campaign
established
and advocacy
materials
produced and
disseminated
Potential donors
tapped and the
publics are well-
informed and
supportive of the
project
Improved and
vibrant
resource
generation
and
mobilization
supporting
academic
activities




48


Resources Needed to Implement the REAP
Since this is a relatively new project, a particular budget to support its
implementation is necessary, to be drawn from the income of the university.
The estimated expenses are for the preliminary implementation of the
project and considered as an investment for a more efficient resource generation
and mobilization of the University.
The table below shows the details of the budgetary requirement

Table 3. Budget for the Implementation of the Project
Activity/Item Budget Allocation
1. Computer and peripherals 30,000.00
2. Media production/publication 20,000.00
3. Linkaging/ Benchmarking 50,000.00
4. Administrative Cost 10,000.00
TOTAL 110,000.00

49

Table 4. Time Frame for Accomplishing the REAP
ACTIVITY APR MAY JUN JUL AUG SEPT OCT
Committee and Staff
Work, including
benchmarking

Presentation to
Administrative Council

Presentation to BOR
Finalization and
Packaging

Advocacy,
Presentation, Meeting
with Donors

Grand Launching

Implementing this re-entry plan will entail minimal financial and human
resources. A committee comprising key staff in the administrative and finance
services will oversee the realization of the set time frame. This time frame will
also serve as a monitoring tool that will check the progress or the pace of the
project implementation.
The incipient committee and staff work runs for two months, April and
May. It will include resource mapping, andidentification of key officials and staff
who will spearhead the establishment of the University Endowment Fund. Other
activities under this phase are identification of IT facilities and systems, including
the technical expert/s who will help the project build a technological backbone.
Budgeting and allocation for human resource needs, including equipment and
facilities, and policy formulation will also take place in this phase.
Upon completion of the initial task, it will be presented to the
Administrative Council and subsequently to the Board of Regents.
Furthermore, the finalization of the project concept, policy, and other
essential information will be done to come up with a final packaged copy of the
project.
50

The next step will be the advocacy campaign, presentation and meeting
with stakeholders, donors, and other sectors.
Capping this timeline is the projects launching during the Charter Day
Celebration of the Catanduanes State University on October 19, 2014.
Henceforth, the endowment campaign will become a regular fund generating
activity of the University.
The rapid result initiative will be a crucial segment of this project. It will
serve as the cornerstone of a long-term, if not a perpetual undertaking that will
become one of the pillars of the University operation.



51

CHAPTER III
CHALLENGES AND SOLUTIONS

The trustees of an endowment institution
are the guardians of the future against
the claims of the present. Their task is to
preserve equity among generations.
JAMES TOBIN, 1981 Nobel laureate,
Sterling Professor of Economics, Yale University

Risks and Assumptions to Achieve Results
While the advocacy campaign for the establishment of an endowment
fund can be a very vibrant social marketing and mobilization drive, the other side
of the project implementation, which is the financial management side, can be
fraught with challenge.
Another possible risk is the nonchalance of the perceived donor sector.
This may hamper the prompt project implementation.
As discussed in previous chapters, social mobilization (socmob)
approaches (Velasco et. al.) will be employed for different stakeholders to get
fully involved in the program, specifically using McKees five main socmob
approaches which are political mobilization, government mobilization, community
mobilization, corporate mobilization, and beneficiary mobilization. This will be
aided by the component strategies of social mobilization which includes the
advocacy (convincing, persuading, and motivating individuals and entities that
there is a problem [in this aspect, the lack of funds] and that there are
appropriate policies and strategies which could be adapted.) Another component
strategy to be employed is the information, education, and communication or the
generation of information or release of readymade information and distribution
through available communication methods.
To backstop the commando team as social mobilizers of the program are
the University championsthe University President and Vice Presidents for
Academic Affairs, Finance and Administration, and Research, Extension and
Production.
52



Assessing the Stakeholders
As forwarded by Villaverde (2013), conducting stakeholder analysis would
provide a chance to discover existing patterns of interactions among
stakeholders, predict and manage conflicts, improve and target interventions,
integrate the interests and concerns of all stakeholders in the design of policies,
programs and projects, and enhance inputs to decision-making and
implementation.
With this insight as a valuable underpinning, the project will observe due
evaluation of the people whom the project will deal with, directly or indirectly. As
such, the table below delineates the stakeholders involved, their links, positions,
and their type of influence to the fruition or failure of this undertaking.

Table 5. Net Mapping
Who are involved?
What are their
links
What are their
positions
What influential are they
Administrative
Council
Formal
Positive
Negative
Recommendatory power
Board of Regents Formal
Positive
Negative
Policy-making authority
Business
Sector/Donors
Formal/Informal
Positive
Negative
Financial clout
Congressman Formal Positive Political influence
Governor Formal Positive Political influence
Church Informal Positive Religious/social influence
Alumni Formal/Informal Positive Mobilization capacity

53

Figure 19. The net map

A localized overview of the stakeholders in this project would reveal nine
key players who have the influence and bearing on the successful
implementation of the project. It starts with the administrative council, which is
composed of selected academic and administrative officials in the university who
have the power to endorse or block the project. Hence, they can elicit either
positive or negative feedback. Since the proposal is untested in the university,
the common reaction of deferring the proposal for further study may derail the
timeframe of implementation.
The Board of Regents, which is composed of members from diverse
sectors, can either support or object the proposal depending on how it sits on
their individual evaluations.
The project sees no opposition from local leaders, including the Church,
considering its charity nature, as well as from the local government officials.
/LGUS
& PARENTS
54

The business sector may also elicit either negative or positive response
depending on their capacity, willingness to take part, trust and confidence in the
project, and personal agenda.
The alumni sector and the parents, who are a broad base of potential
donors and supporters, are expected to give a positive response to the project
considering the value they give to their roots and to the youth.
55

CHAPTER IV
SUMMARY AND DISCUSSIONS



Highlights of the REAP
This Re-entry Action Plan addresses the need to beef-up the resource
generation and mobilization of the Catanduanes State University by establishing
and institutionalizing an Endowment Fund.
The choice of this program is buttressed on its potential to tap individuals
and organization, such as alumni, multinational companies through their
corporate social responsibility arms, local and national leaders, businessmen,
national and international funding organizations, philanthropists, and civic
associations. DuPree (2000) stressed that endowments can be built through
contributions from individuals, businesses, government agencies, other grant
making organizations, official development agencies, and other non-profit
organizations. Endowments offer the advantage of sustainable income over the
long term by providing organizations with independence, greater ownership of
resources, increased capacity for long term planning, access to new resources,
and by involving a wider range of individuals and organizations in building a
resource base.

Fund Management and Result Expected
Managing an Endowment Fund is guaranteed under the new Unified
Accounts Code Structure (UACS) Manual of the Department of Budget and
Management, which provides that grants and donations coming from other
government and non-government agencies, e.g., scholarship grants, research
grants, endowment fund, CHED Funded CO Projects thru DAP, etc. are
deposited to the National Treasury. Depending on guidelines, and the condition
set forth by the donor, the fund can also be invested.
56

Additionally, the Catanduanes State University Charter provides that the
Board of Regents has the power and the duty to to receive in trust legacies, gifts
and donations of real and personal properties of all kinds and to administer and
dispose of the same when necessary for the benefit of the University, and subject
to the limitations, directions and instructions of the donor, if any.
The university can create a section in the Finance Division, which will
specifically oversee the management of the Endowment Fund. Tasks can be
designated to existing accounting services staff. Below is an example of a staff
complement of a university foundation which manages donations such as
endowment funds. The Catanduanes State University can draw insight from this
assignment, apart from the benchmarking from other Universities in the country
with an established endowment fund program.

Figure 20. University of California, San Diego Foundation fund administration
staff complement.


Endowed Benefits
The establishment of an endowment fund will provide the university
numerous opportunities and address longstanding problems not only about
resource augmentation, but also on improvement of its SUC Level and other
organizational performance evaluations by CHED and DBM such as the CMO
57

46, or the outcome-based and typology-based quality assurance, and normative
financing.
The SUC Leveling Instrument is a tool devised by the Commission on
Higher Education and the Department of Budget and Management that
measures the SUCs institutional performance in areas relative to the programs,
functions, and operations. SUC Levels are from I to IV. Specifically, the
instrument focuses on instruction, research, and extension and management
capability of the SUCs. Catanduanes State University is Level III, and with the
more stringent criteria issued this 2014 by CHED, it is doubly challenged to at
least retain its current status.
From the simulated evaluation conducted by the administration,
Catanduanes State University got low points in the Management of Resources
Percentage of Externally-Generated Income/Donations, and Grants to GAA
Budget.
Hence the establishment of an endowment fund that is envisioned to
bring in financial donations to the university will not only infuse the much needed
fiscal support but also improve the Universitys institutional level.
Corollary to this, the endowment fund, which will support academic
programs, projects, and activities, will also diametrically strengthen other criteria
in SUC Leveling most specifically the human capital investments such as faculty
and staff development, and students involvement in inter-country mobility
program, and merit scholarships. It is envisioned that the endowment fund will
primarily support these undertakings.
The Universitys contribution to the governments investment in the
countrys human capital will create a bottom-up development impact. It will
strengthen the CSUs role in providing the province a regiment of the workforce,
technical experts, professionals and a stream of researches and community
outreach program that will improve human development index.

58

Mitigating the Risks to Implement the REAP
Well planned social mobilization strategies will allay the risks in
implementing the program. All relevant segments of society (as can be gleaned
in the network mapfrom policy makers and decision makers to religious
associations, professional groups, opinion leaders, communities, and individuals)
will be engaged in interrelated and complementary efforts (Ling and Welstein,
1998, as cited by Velasco et. Al.)
The possibility of getting lukewarm feedback from potential donors can be
allayed by creating a strong advocacy campaign, and by harnessing the
influence of local and civic leaders.
Establishing linkage with other higher education institutions that have
successfully implemented endowment fund can also be looked into.
Additionally, to better manage the project, the time-honored Good
Governance principles which are Transparency, Accountability, and Participation
(UN, as cited by Briones. 2013) will be duly observed.
The program will be transparent. Status and updates will be regularly
provided to sustain and gain trust and confidence. Information will be provided in
all communications channels to ensure that it is available and accessible.
Alongside, it must be guaranteed that it is accurate, understandable, usable, and
updated.
The administration that is entrusted to manage the resources, will duly
observe accountability. Stakeholders will also be encouraged by gathering their
feedback, and involving them in the planning process. Once included in the
institutions strategic development plan, they can take part in the decision-making
through the stakeholders consultation.
The massive campaign for donors will be conducted with the help of the
deans who have more dynamic connections with their respective graduates.
This is to ensure that a sufficient amount can be funneled to the endowment
fund.
Also essential is the support of the Administrative Council that will help
fine tune the output of the working committee and favorably endorse the program
59

to the Board of Regents. Subsequently, the support of the BOR, led by the
backing of the Alumni, Private, and Faculty Sectors regents, will pave for the
smooth implementation of the project.

Recommendations
To support the establishment of the Endowment Fund, it is proposed that
the following steps must be taken:
Activate the Global and Industry Linkages Services Office created
under the new organizational structure approved by the BOR this
office will take the lead in resource generation, in initiating
partnerships, as well as in establishing cooperation, and other external
affairs function. One of the key activities is the sourcing of endowment
donors.
Strengthen the Alumni Relations the function of the office must be
updated to conform to the needs of the university. It must use its
wealth of data, engage with the alumni sector more vigorously, and
institute programs, projects, and activities that will involve and value
the graduates.
Install efficient and reliable Internet and Information Technology
system and facilities for database, as well as for establishing and
maintaining communication with alumni and donor. The facility will
also serve as a channel and platform for digital PR/social media
campaign.
Conduct Research/Alumni Tracer each college must conduct a study
on alumni profiling to get more updated demographic and other vital
information of the graduates.
Conduct benchmarking in other higher education institutions with
established institutional endowment funds, sound alumni
management, and well-organized alumni foundation.
Carry out Social Marketing Campaign - promote the Endowment
Campaign through the print, broadcast, and electronic media as a
60

socially desirable product aimed to help the educational aspirations of
the University. The project must also establish and maintain
communication with alumni for a more engaged and proactive
connection, and build partnerships and alliance with corporate donors,
institutions, philanthropists, and other potential individuals and
organizations.
Invite successful alumni who have established track records in social
marketing and mobilization, as well as in corporate social
responsibility, to serve as consultants or resource persons of the
projects conceptualization and implementation.

With this plan, there is no reason for the Catanduanes State University to
remain cash-strapped, or be bugged by the persistent budgetary constraint, like
any other SUCs.
Implementing tested innovations like the establishment of the endowment
fund will bring in much needed subsidy, and improve institutional performance
indicators. It only needs foresight and the initiative to pool the many potential
partners in development.
As American industrialist Henry Ford had said so wisely and well, coming
together is the beginning, working together is progress, keeping together is
success.
A small drop in the bucket, indeed, when pooled together, can create an
ocean of opportunity. In the same vein, the many shared aspirations can
concretely shape one lofty vision.

61

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An Act Converting the Catanduanes State Colleges in the Province of
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64


APPENDICES


Designation with Terms of Reference, Alumni and Placement Services Officer

65




The newly-approved organizational structure Central Management Division
showing the newly created Global and Industry Linkages under the Planning,
Development, and Information Systems Management Services
66


Republic Act 10229 Converting the Catanduanes State Colleges into a
University Title Page
67


RA 10229, Page 4, Section 7(e) providing the BOR the power to receive trust
legacies, gifts, donations of real and personal properties
68


RA 10229 Last page of the conversion law approved by the Congress and the
President of the Republic of the Philippines on October 19, 2012
69