COMPUTATION OF PUBLI C

SCHOOLS MOOE
The Department of Education has significantly increased its allocation for schools
maintenance and other operating expenses (MOOE) this year as the government
intensifies its efforts to achieve the learning targets of some 20 million students in
elementary and secondary public schools nationwide.

Education Secretary Br. Armin A. Luistro FSC said DepEd and the Department of
Budget and Management both agreed to adopt a refined formula for setting the
MOOE budgets of public schools, which takes into account not only the number of
students in a school, but also the number of classrooms and teachers. The new
formula is more responsive to the requirements for improved classroom
instruction and better school management. The increase in MOOE comes
together with the government’s classroom construction program and its massive
teacher hiring program, which are part of the government’s continuing thrust to
improve conditions in public schools and upgrade the quality of education.

COMPUTATION OF PUBLIC SCHOOLS

MOOE – BONCODIN FORMULA
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.

School’s MOOE = Fixed amount + (Allowable amount x Number of Classrooms) +

(Allowable amount x Number of Teachers) + (Allowable amount x Number of
Learners)
There are two components in the formula, the fixed and variable costs. The fixed
amounts for every Elementary School would be P40,000 and for High School
P80,000. The variable costs are the following:

Elementary School High School

Basis

Every Classroom P3,750 P6,000

Every Teacher P4,000 P8,000

Every Learner P200 P400

1. Assume that Basey I Central Elementary School has 250 enrolees, 6 teachers,
and 5 classrooms:

Applying the fomula, the school’s MOOE would be:

= P40,000 + (P3,000 x 5) + (P4,000×5) + (P200 x 250)

= P125,000
2. Assume that Basey National High School has 850 enrolees, 25 teachers, and
20 classrooms:

Applying the formula, the school’s MOOE would be:

= P80,000 + (P6,000 x 20) + (P8,000 x 25) + (P 400 x 850)

= P740,000

There are cases however when the proposals derived from the Boncodin’s
formula will be constrained due to the department’s budget calling.

PUBLIC SCHOOLS M AINT EN ANCE AND OTHER

OPER ATING EXPENSES ( MOOE) FY 2015
Maintenance and Other Operational Expenses (MOOE) allocation for Fiscal Year
2015 with Public Elementary and Secondary Schools Enrolment for School Year
2014-2015 as of October 31, 2014. All information as reported by school heads in
the Enhanced Basic Education Information System (EBEIS).
Mooe MAINTENANCE AND OTHER OPERATING EXPENSES DECS
1. 1. MOOE By: Ayda Garcia Jelly Qiuroz Universidad De Manila
2. 2. Maintenance And Other Operating Expenses
3. 3. 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 that support learning programs and help maintain a safe and healthy
environment in schools.
4. 4. LEGAL BASIS
5. 5. A) Joint Circular No. 2004-1 Department of Budget and Management (DBM) and DepEd
dated January 01, 2004
6. 6. Joint Circular No. 2004-1 • “Guidelines on the Direct Release of Funds to DepEd –
Regional Offices and Implementing Units”
7. 7. B) Section 10, R.A. No.9155 (Governance of Basic Education Act of 2001)- appropriations
for regional & field offices (elementary / secondary schools and schools division offices) =
allocated directly and released immediately by the DBM to the said offices
8. 8. C) Section 10. of the DepEd Special Provisions , Republic Act NO. 10147, the General
Appropriations Act (GAA) o Fiscal Year 2011
9. 9. D) DEPED Order No. 13 2 2016 IMPLEMENTING GUIDELINES ON THE DIRECT
RELEASE AND USE OF MAINTENANCE AND OTHER OPERATING EXPENSES (MOOE)
ALLOCATIONS OF SCHOOLS, INCLUDING OTHER FUNDS MANAGED BY SCHOOLS
10. 10. DepEd Order No. 13, s. 2016 (DO 13), the MOOE annually allocated to public
elementary and secondary schools must be utilized to:
11. 11. 1) Procure school supplies and other consumables for teachers and students deemed
necessary in the conduct of classes
12. 12. MOOE FOR NECESSITIES
13. 13. 2) Pay for reproduction of teacher- made activity sheets or exercises downloaded from
the Learning Resource Management and Development System (LDRMS);
14. 14. MOOE for printing of available resources from decs portal
15. 15. 3. •Fund minor repairs of facilities, building and grounds maintenance, and upkeep of
school;
16. 16. Source: www. philstar
17. 17. • In 2018, the MOOE may see an increase of up to P347.723 million, which will also aim
to cover the teachers’ annual physical exam (APE). • SOURCE: Philippine Information
Agency portal
18. 18. Source of fund of MOOE
19. 19. In CO
20. 20. IMPLEMENTING REQUIREMENT
21. 21. • a. Implementing Units (IUs) are capable of administering their own funds – they have
position items assigned to handle cashiering, bookkeeping functions , whether on a
permanent or temporary basis
22. 22. • b. DBM has assigned agency codes to the said IUs… they are authorized to open
Modified Disbursement Scheme (MDS)SubAccounts in government depository banks and
the cash allocations - IUs are directly issued by the DBM to their respective MDS Sub-
Accounts.
23. 23. • C. IUs are required to maintain sets of books of accounts OD. • The MDS SubAccounts
of SDOs shall cover transactions of the SDO (Proper),ESs and SSs without financial staff.
24. 24. RESPONSIBILITIES OF MOOE IU
25. 25. DECS – Central Office • a.i. Provide the Regional and Schools Division Offices with a
matrix showing the MOOE allocation of each public ES out of the appropriations authorized
for MOOE for each SDO for Elementary Education under operations of Schools as reflected
in the GAA • a.ii. Post on its website the allocations of ESs
 26. 26. SCHOOL DIVISION • b.i. inform in writing the heads of ESs and SSs without financial
staff of their annual MOOE allocation; • b.ii. Ensure that, by the end of the year, the MOOE
allocations of nonimplementing ES/SSs have been fully downloaded to the respective heads
of the said non- IUs through cash advance using the replenishment method.
27. 27. SCHOOL DIVISION • Biii. Submit to the office of the Secretary , through the Accounting
Division- Financial Management Service (FMS) , monthly reports on the status of
downloading of school MOOE and its utilization
28. 28. LIQUIDATION CASH DISBURSEMENT REGISTER LIQUIDATION REPORT FORM •
COPY OF CASH ADVANCE VOUCHER SUPPORTING DOCUMENTS PER
TRANSACTION
29. 29. Not Eligible Expenditures
30. 30. Computation of MOOE FY 2019 BONCODIN FORMULA 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)
31. 31. • 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 *stand alone only – P100,000
32. 32. Parameter (Basis) Elementary Schools Junior High School Senior High School
Senior High School (stand- alone) Every Classroom Php 3, 750 Php 7,200 Php 100,000
Every Teacher Php 5, 000 Php 9,600 Every Learner Php 250 Php 480 Php 1, 353 Php 1,
353 Every Graduating Learner Php 313 Php 300
33. 33.  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.
34. 34. PENALTY CLAUSE • The SDO and school heads who 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.
35. 35. Parting words…

MOOE

1. DepEd ORDER No.12,s.2014 IMPLEMENTING GUIDELINES ON THE DIRECT

RELEASE OF MAINTENANCE AND OTHER OPERATING EXPENSES (MOOE)
ALLOCATIONS OF SCHOOLS TO THE RESPECTIVE IMPLEMENTING UNITS

2. 1. Legal Bases The following are the legal bases of these guidelines: a.
Department of Budget and Management (DBM) and DepEd Joint Circular
No.2004-1 dated January 1,2014,entitled “Guidelines on the Direct Release of
Funds to DepEd-Regional and Implementing Units”; and b. 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) are to be allocated
directly and released immediately by the DBM to the said offices.

3. 2. Implementing Requirements a. The Implementing Units (IUs) are capable of

administering their own funds since they have position items assigned to handle
cashiering and bookkeeping functions, whether on a permanent or temporary
basis. b. The DBM has assigned agency codes to the said IUs, hence, they are
authorized to open Modified Disbursement Scheme (MDS) Sub-Accounts in
government depository banks and the cash allocations intended for the
aforementioned IUs are directly issued by the DBM to their respective MDS Sub -
Accounts.

4. c. The IUs are required to maintain sets of books of accounts. d. The MDS
Sub-Accounts of Schools Division Offices (SDOs) shall cover transactions of SDO
(Proper), elementary schools (ESs) and secondary schools (SSs) without financial
staff.

5. 3. Responsibilities of Implementing Units a. The DepEd-Central Office (CO)

shall: a.i. Provide the Regional and Schools Division Offices with a matrix
showing the MOOE allocation of each public ES out of the appropriations
authorized for MOOE for each SDO for Elementary Education under Operations of
Schools as reflected in the GAA; and a. ii. Post on its website the allocation of
ESs.

6. b. The Schools Division Office (SDO) shall: b.i. Inform in writing the heads of
ESs and SSs without financial staff of their annual MOOE allocation; b.ii. Ensure
that, by the end of the year, the MOOE allocation of ESs and non -implementing
SSs have been fully downloaded to the respective heads of the said non-IUs
through cash advance using the

7. The SDOs are prohibited from undertaking centralized procurement of any

good or service out of school MOOE intended for distribution to schools in kind. In
extreme cases, however, the SDOs may procure items using school MOOE,
provided that they submit a report to the Office of the Secretary, through the
Office of the Undersecretary for Finance and Administration, explaining or
presenting: (a)The need for such items, (b)The nature, type, quantity and price of
the items listed by the receiving school, and (c) The estimated price difference
between the division and the school procurement, and the name of the supplier,
including the mode of procurement used. While the report does not require pre -
approval, SDOs must submit such report within thirty (30) days after the conduct
of the procurement, for audit and monitoring purposes; and b.iii. Submit to the
Office of the Secretary, through the Accounting Division – Financial Management
Service (FMS), monthly reports on the status of downloading of school MOOE
and its utilization.

8. c. The Elementary School (ES) and Secondary School (SS) without financial
staff shall: c.i. Apply for bonding with the Bureau of Treasury, Fidelity Bond
Division; c.ii. Draw cash advance from their supervising/directing SDO for their
MOOE requirements;

9. c.iii. Pursuant to Item H.1.1 the Manual on Simplified Accounting Guidelines

and Procedures for the Use of Non-Implementing Units/Schools, V 2008, submit
to the SDO on or before the 5th day of the following month the original copy of the
Cash Disbursement Register (CDR), the paid Disbursement Vouchers (DVs) and
all supporting documents which shall serve as liquidation or replenishment of the
cash advance granted. Subsequent cash advance shall be granted only upon
receipt of the CDR equivalent to at least 75% of the previous cash advance. It is
reiterated, however, that any remaining cash advance at the end of the year must
be liquidated in full and unexpected balances refunded; and

10. 4. Uses of School MOOE a. To fund activities as identified in the approved

School Improvement Plan (SIP), for the implementation in the current year, and
as specifically determined in the Annual Implementation Plan of the school; b. To
support expenses for training activities that are selected or designed based on
the most critical needs to improve learning outcomes in the

11. c. To pay for expenses for utilities and communications (e.g. electric, water
and telephone expenses); d. To procure school supplies neces sary in classroom
teaching; e. To finance expenses pertaining to graduation rites, not to exceed a
cost of PhP250 per graduating student; f. To pay for wages of janitorial and
security services; and g. To fund minor school repairs.

12. Notwithstanding the above, in no case shall the school MOOE be used for the
procurement of textbooks and other instructional materials as well as school
furniture and equipment, even if these expenditures are contained in the SIP. In
this regard, “ instructional materials” include publications, periodicals and review
materials.5. Penalty Clause The SDO and school heads who 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