THE OLD AND THE NEW MANDAUECITYCOLLEGE

The OldMandaueCityCollege (Old MCC)

1. The Old MCC was established by Ord. No. 10-2005-324A on September 27, 2005,

without the required prior consultation with CHED Reg.7.

2. Publication of the Ordinance was however made only on December 14, 2007, more

than two years after its enactment.

3. Dr. Paulus Mariae Canete was designated President by Mayor Thadeo Ouano through

an Executive Order, not by the Board of Trustees (BOT), as required by the

ordinance. Incidentally, this Executive Order is fraught with illegal and ulta vires

provisions that are not based on Ord. 324A. Dr. Paulus Canete (DM) does not have

the appropriate earned doctoral degree to run an HEI with at least five years of

relevant administrative experience as required by CHED. He, his staff and faculty

were issued contracts of services for the First Semester, AY 2006-2007, which were

not renewed after expiration, and ruled by Judge Marilyn Yap as long expired.

4. The Old MCC did not have prior consultation with the Commission on Higher

Education (CHED) which has jurisdiction over all Higher Educational Institutions HEIs), both public and private, pursuant to RA 7722. The President of the Old MCC relied on the reported backing of the Association of Local Colleges and Universities (ALCU), an association of local colleges and universities, with no official authority over HEIs. The Old MCC offered major courses, including nursing, electronics and communications engineering and computer engineering and even graduate and post graduate programs. Under CHED Memo Order No. 36, s. 1998, graduate and post graduate programs may not be offered by a school unless it has Level III undergraduate programs. The Old MCC does not even have any program with Level I classification.

5. The Old MCC depended on the tuition and other fees collected from students (this is

illegal exaction under the Revised Penal Code), which were reportedly deposited in non-trust bank accounts. Despite provision in the City Budget Ordinance, subsidy was not extended because of refusal of President Canete to submit required documents, tantamount to insubordination. As a result, many personnel were not paid for three months to one year salary.

6. There were reported anomalies, unauthorized disbursement of funds and irregular

collections of contributions from students for parties, uniforms, pins, and notes. These public funds transactions partake of malversation of public funds, falsification, graft and corruption, and many administrative violations of COA laws and rules, among other offenses.

7. In view of these blunders and problems (Items 3 to 6), Dr. Paulus Mariae Canete was

ordered to cease and desist from functioning as President on June 28, 2007 by Acting Mayor Amadeo Seno, Jr., and Dr. Susana B. Cabahug, a widely experienced educator and retired DECS Regional Director was designated as caretaker or Officer in Charge.

8. In reaction, Dr. Canete contested Acting Mayor Amadeo Seno’s order before the

court and impleaded the Chairman of the New BOT Mayor Cortes and Dr. Cabahug.

9. On December 28, 2007, Judge Marilyn Lagura-Yap of Regional Trial Court Branch

28 decided the case in favor of the new City Mayor, the New BOT and Dr. Susana

B. Cabahug as New MCC Officer-in-Charge. Dr. Canete appealed the decision

of the Court and continued to act as President of the Old MCC.

10. Upon request of the New MCC BOT, an evaluation of the Old MCC done by seven

CHED-RQAT teams revealed that in all seven areas of administration, faculty,

instructional standards, physical plant, laboratory facilities, library, and curricula,

the Old MCC was deficient and non-compliant. BS Nursing, BS Electronics

and Communications Engineering, BS Computer Engineering and all the

graduate and post graduate programs were ordered to be phased out after the

First Semester, AY 2007-2008; and students were advised to shift courses and

remain in MCC or transfer to other schools during the Second Semester. The

Old MCC was given until the end of the school year to correct the deficiencies.

11. The Old MCC, even after several orders to transfer to the MandaueCity

Cultural and Sports Complex (MCCSC), continued to use on a temporary basis the

Ibabao Estancia building for which the Mandaue City Science High had a long-

standing Deed of Usufruct with MandaueCity.

12. The opposition-dominated Sanggunian Panlungsod amended the ordinance creating

the Old MCC by changing the composition of the BOT, allegedly to “depoliticize”

it, by doing the exact opposite. Instead of the City Mayor being the Chairman, as in

all LGU committees, boards, and other such creations of the City pursuant to the

law, they packed the BOT membership with more politicians and supporters of the

opposition and made the position of Chairman to be elected by the members. This

amendment is illegal and ultra vires for the SP to pass, as this counters the essence

of RA 7722, and the CHED Memo Order No. 32, s. 2006. Even the CHED

Regional Director and City Superintendent of Schools as BOT members pursuant to

said Memo Orders were eased out by the SP. Hence, such amendment per se

appears void ab initio, as to obviate the presumption of legality. Since the

amendment-ordinance was passed prior to the effectivity (15 days after publication)

of the original ordinance, the Mayor considered this amendment ineffective and

continued recognizing the de facto BOT of the New MCC, as the membership

thereof was in accordance with Ord. No. 10-2005-324A and CMO No. 32, s. 2006.

13. The Ombudsman tried to settle the case on September 7, 2007 between the Old and

New MCC amicably by meeting with Dr. Canete, Dr. Cabahug and Mayor Cortes

and suggesting that, while the case is not yet finally decided, Dr. Canete and Dr.

Cabahug jointly manage the MCC. Mayor Cortes agreed provided Dr. Canete

submits the financial statements and records from the start of its operation to the

Ombudsman for audit by the COA. At the beginning Dr. Canete agreed but later

refused to submit the financial statements and records. This again has elements of

insubordination, graft, etc.

14. The Mandaue City Science High School, which was temporarily occupying part of

the GerardoOuanoHigh School in Opao, MandaueCity, was asked to move out.

Since the Science High School had a long-standing Deed of Usufruct with Mandaue

City on the Ibabao-Estancia facility, the ScienceHigh School requested

implementation of the Deed of Usufruct. On April 17, 2008

Mayor Cortes ordered the take-over of the Ibabao-Estancia facility for inventory

prior to turn-over of the facility to the ScienceHigh School.

15. Mayor Cortes as Chairman of the New MCC BOT organized an MCC-Inventory

Committee composed of the following:

Chairman : Dr. Josefino A. Ronquillo (CHED Region VII)

Vice Chairman : Mrs. Belen Zanoria (DepEd-Mandaue)

Secretary : Dr. Leo B. Acibar (MCC BOT Secretary)

Members : Mr. Neil Comiso (City Legal Office)

: Mr. Robert Capa (City Accounting Office)

Observer : Mrs. Ruth Kintanar (COA Representative)

16, The MCC-Inventory Committee conducted the inventory on May 12-17 & 19, 2008

and submitted the Official Results of the Inventory Conducted for the Old MCC on

July 31, 2008.

17. In the meantime, with the help of Rep. Nerissa Soon-Ruiz, the Old MCC is

holding classes in some vacant rooms of the Eversley Childs Sanitarium. IN

EFFECT, LIKE THE SP, REP. SOON-RUIZ AND THE EVERSLEY CHILDS

SANITARIUM ARE ABETTING THE ILLEGALITY AND IRREGULARITY OF

CANETE’S DEFIANCE.

18. In spite of his often-repeated statement that the CHED has no regulatory oversight

over the Old MCC, Dr. Canete requested CHED for an evaluation of the Old MCC

Again, the results are not much different from the previous evaluation: it

miserably failed in 80% of the areas evaluated. For the second time, it was

was given another extension until October 2008 to correct the deficiencies.

19. The results of the inventory of the papers found in the Old MCC indicated rampant

violations in administrative, academic, financial, property, and COA rules for a

City-created entity, which could be the basis for legal action by the appropriate

government agency in the future.

20. Some Highlights and Some Findings of the inventory are shown in Annex A.

The New MandaueCity Collge (New MCC)

21. Upon assumption on July 1, 2007 of the new City Mayor, Hon. Jonas C. Cortes, and

upon the expiration of the co-terminus term of the old BOT, a New MCC BOT was

constituted strictly following the guidelines of CHED and the New MCC BOT

designated Dr. Susana B. Cabahug as the head of the Interim Management Team

to run the New MCC. Thereafter, all activities were formalized by means of

appropriate Memos by the Interim Management Team Officer-in-Charge or by

Resolutions approved by the New MCC BOT.

22. In the meantime the New MCC is temporarily using some rooms in the Mandaue

City Cultural & Sports Complex (MCCSC). Based on a MOA between the New

MCC BOT and the DepEd Schools Division Superintendent, the New MCC can

also use available classrooms at the MandaueCityCentralSchool and MandaueCity

ComprehensiveNationalHigh School when needed.

24. Starting in January 2008 the New MCC is emerging with new hope and dynamism.

The MandaueCityCollege under the New Administration, its Philosophy, Vision,

Mission, Core Values, and other pertinent information are shown in Annex B.

ANNEX A-1

HIGHLIGHTS AND FINDINGS OF THE MCC INVENTORY COMMITTEE

(Source: Report on MandaueCityCollege Inventory, May 12-17 & 19, 2008)

Some Specific Findings

Administrative Office:

a. Records of daily cash collections were incomplete as there were periods that

these were missing.

b. Cash of P25,719.05 was found in several rooms and places. (Turned over to COA

representative for recording , then to the New MCC Cashier for safekeeping.)

c. Huge amount of cash advances was unearthed.

d. As of AY2007-2008 the Old MCC offered twelve baccalaureate degrees, three

master’s program and three doctoral programs, as well as DPE and DSPED.

e. In the Commencement Exercises on April 4, 2008 the program listed 79 graduates in

undergraduate associate courses. Graduates in the postgraduate courses list were: two

PhD-TM, two EdD, two PhMPM, 16 MPM, 12 MME, two DPE, and one DSPED,

60% of whom were instructors from the Old MCC.

f. Old MCC’s Graduate program has an extension in Hilongos, Leyte.

g. Five gradesheets for Master in Public Mgt. program showed Hon. Victor Biano’s

name alone with his corresponding grades for five subjects, 2nd Sem, AY 2007-2008.

Also found was Hon. Biano’s enrollment form for 12 units in Summer 2008,

obviously an impossibility.

h. Contract between Dr. Paulus Canete and RPN 9 for a Radio Program from August

2007 to July 2008 for P30,000 per month. (This program was often hosted by Dr.

Canete and by Hon. Biano to attack Mayor Cortes administration and even Mayor

Cortes personally.)

i. Contract between Old MCC and Eglyrina Caballero for Rental of Vehicle at

P1500.00 per day.

j. Letters to parents and Memo to students enjoined them to vote for JONKIE OUANO.

This is an election offense since CHED Memo Orders and IRR requires faculty and

employees of MCC as under the merit system of the Civil Service.

Registrar’s Office/Records Section:

k. The following credentials were NOT available in almost all of students’ envelopes:

*Form 137-A Seconday Students Permanent Record

*Request from the admitting school

*Official Transcript of Records issued by the sending school attached with

documentary stamps signed and cancelled by the sending school.

l. All of the doctoral and masters students were transferees. Many did not have transfer

credentials. Some were certified by Deans, not Registrars, of the institutions where

they came from.

ANNEX A-2

m. Registration/Enrolment forms could not be found in almost all of the students’

envelopes.

n. The following documents were not found at the Registrar’s Office:

*Students Manual

*Faculty Manual

*Memos issued by Governing authorities

*Grade Sheets.

Nursing Faculty Room:

o. Financial transactions with students were evidently without approval of BOT, such as

consigned books, uniforms and nursing bags.

p. There were local receipts found, not approved by BIR and Bureau of Treasury.

q. There were lists of expenses without approval by BOT; e.g. capping & badging.

There was no evidence of student consultation for capping and badging.

r. A list of BSN-2 students for Capping and Badging with corresponding list of

payment in amounts ranging from P1,000.00 to P5,110.00.

Some General Findings

Academic:

1. Even during the first year of operation 1st Semester, AY 2006-2007 of the Old MCC

when there were 12 bachelor’s degree programs (some with ladderized curricula),

three doctoral programs and three master’s programs offered, there are no

documents showing MCC BOT approval and/or acknowledgement from

concerned agencies such as CHED, DBM, CSC, and TESDA.

2. The Old MCC has conducted extension classes for master’s programs in Hilongos,

Leyte without regard to CHED Order No. 29, s. 1995, “Policies and Guidelines for

Extension Classes.”

3. The Old MCC has not observed the Policies, Standards, and Guidelines for Graduate

Education by CHED pursuant to CMO 36, s. 1998.

4. Majority of individual students’ files were found lacking of required credentials such

transcript of records, transfer credentials, marriage certificates and the like.

5. The Old MCC does not have a syllabus in each course, except professional nursing

courses.

6. There is no evidence on file on clear-cut policies on faculty qualifications, screening

and placement, as well as on the composition of the revalida/oral examination panel.

ANNEX A-3

7. There were 12 doctoral graduates and 28 master’s graduates last April 5, 2008

without Certificate of Authority or notice to CHED and approval by MCC BOT.

8. Full-time and part-time faculty files do not contain duly accomplished CSC Form 201

/Personal Data.

9. The Old MCC does not have plantilla of personnel items approved by the MCC BOT

and concerned government authorities such as Sangguniang Panlungsod, DBM and

CSC upon which the hiring of regular personnel will be based.

Administrative:

10. The Old MCC run by Dr. Paulus Mariae Canete has no record of all proceedings of

the Board of Trustees since the very beginning.

11. The Old MCC has no record of official consultation with the CHED.

12. The Old MCC does not have a Certificate of Authority to offer every curricular

program pursuant to CMO 32, s. 2006.

13. The Old MCC does not have a manual of operations or administrative handbook,

students’ manual and faculty/employees manual approved by the MCC BOT.

14. There were contracts between Dr. Canete and also between MCC for Contract of

Services, all without approval of the MCC BOT.

15. The Old MCC was used as a tool of partisan politics or elections.

Financial:

16. Tuition fees of P100.00 per unit is charged each student but without approval by

MCC BOT.

17. Total miscellaneous fees in the amount of P2,705.00 (BSN) and P2,355.00 (BSIT,

BSHRTSM, BSEd, BEEd, & POLSC.) are charged per student without breakdown

and without approval by MCC BOT.

18. Huge amounts of tuition and other fees have been collected and disbursed without

approval by MCC BOT and without proper recording and documentation.

19. There is no complete set of books of accounts, ledgers, and prescribed journals

used in the Old MCC.

20. The Old MCC used two sets of Offical Receipts: ORs from the National

Printing Office and ORs locally printed without BIR authority or approval.

21. There were two cashiers assigned but both were not bonded; each cashier prepared

daily cash collections report but had no income and expenses report supported by

by vouchers showing accounts taken from the collections and the remaining amount

ANNEX A-4

deposited in the bank. Vouchers were not properly accomplished and not in

accordance with prescribed forms.

Registrar’s Office/Records Section:

22. No authority to operate the college was kept in the records section and/or

posted in a conspicuous place of the school campus.

23. No anecdotal records of the school from its inception up to the prevailing years of its

operation is maintained in the Registrar’s Office.

24. School registration credentials such as Certificate of Transfer Credentials and the

like are not kept in the registrar’s perpetual record file.

25. No student’s file on the curriculum of the degree program taken by the student (old

and new) is not maintained.

26. Perpetual records of students such as Certificate of Live Birth, Change of Name,

Correction of Name, Change of Status, Certificate of Marriage/License, Adoption

Papers, and the like, are not kept by the Registrar on file.

27. Memoranda issued by governing authorities are not kept or filed in the Registrar’s

archive for reference purposes.

Nursing Faculty Room:

28. Department Head and faculty members engage in financial transactions with

students.

29. Consignments for academic/institutional operations are not coursed through the

school canteen or school bookstore, to avoid conflict of interest.

30. Not all collections are issued Official Receipts registered with the BIR.

31. Expenses for capping and badging are not approved by school authority and

student officers, and not audited by the internal auditor.

ANNEX B-1

MANDAUECITYCOLLEGE UNDER THE NEW ADMINISTRATION

Philosophy

Quality tertiary education prepares well-rounded citizens, workers and leaders to participate in nation-building and the attainment of global solidarity.

Vision

MandaueCityCollege is a dynamic learning institution characterized by affordability and accessibility and committed to quality instruction and research with a strong sense of social responsiveness and spiritual fervor.

Mission

MandaueCityCollege provides students equal opportunity to develop competencies (knowledge, attitudes, skills and values) needed to enter and succeed in post –secondary training as well as higher education technology-based and professional programs and to contribute to national development. It also promotes the professional development and well-being of its personnel and the involvement of the citizens it serves through research and community extension services.