As the department seeks to meet the backlog in classrooms im many parts of the country.
As part of efforts to address the long-standing classroom shortage and accelerate the construction of new school buildings nationwide, the Department of Education (DepEd) bas reached into an agreement with the Philippine Amusement and Gaming Corporation (PAGCOR).
Under the agreement, PAGCOR will allocate P55 million in financial assistance to each of the 38 local government units (LGUs) for the construction of a three-story school building containing 12 classrooms.
According to the department, the funds will be released in three tranches, contingent upon compliance with technical standards and regular monitoring of construction progress.
This is said to be the second signing event involving 38 LGUs, following an initial signing in March 2026 with 21 LGUs—each committed to building a three-story, 12-classroom structure—resulting in a total of 252 classrooms.
The said LGUs will spearhead the procurement and construction of the buildings and wkll adhering to prescribed designs and existing laws.
Upon completion, which will is targeted for the latter part of 2027, the facilities will be turned over to DepEd for management and maintenance.
According to Angara, the classroom shortage is one of DepEd’s biggest challenges, particularly as demand continues to rise and many aging school buildings require repair or replacement.
“One of the biggest challenges that we face in the Department is the shortage of classrooms,” said Angara, who also stressed the need to accelerate the construction of schools as many school buildings are aging, with facilities also repeatedly affected by calamities.
“Napakalaking bagay sa atin ang mga partner na patuloy na sumusuporta sa layuning ito,” Angara added.
As of January 2026, the backlog of classrooms is estimated at 144,758 units and through the Nationwide Classroom Building Program, which seeks to urgently address the country’s classroom shortage, DepEd has sought different pathways to meet the demand such as additional funding from the General Appropriations Act, partnering with LGUs, and public-private partnerships.
In February, the DepEd entered into an agreement with city governments, which will oversee procurement, construction, and project management to ensure faster and more responsive implementation on the ground.
For its part, the education department will set standards and validate compliance before final turnover and payment, with strict accountability measures include tranche-based fund releases, dedicated trust accounts, and mandatory monthly and quarterly reporting to the agency.
Last June, 79 local government units (LGUs) have begun the bidding process for school infrastructure, with the first phase of this partnership being an investment equivalent to PHP9.3 billion and is set to build 2,632 classrooms in over 600 schools nationwide.
The localized program is also in line with other major government infrastructure projects, including DepEd’s PHP 36.227 billion funding for the construction of new classrooms and the Public-Private Partnership (PPP) School Infrastructure Program.
