Bill 703.

Summary.

The bill establishes minimum safeguards for transparency, traceability and accountability concerning money and economically valuable goods obtained through activities involving students directly or indirectly at public schools providing the first and second levels of education in the Republic of Panama (República de Panamá). It defines school fundraising and self-financing activities, resources generated, pedagogical activities, traceability, accountability and the school community. Covered activities include recycling campaigns, material collection, fairs, sales, cultural, recreational or environmental activities, and collections, among others. The governing principles include voluntary participation, equality, educational purpose and protection of the best interests of children and adolescents.

The bill prohibits making grades, assessments, recognition, promotion or academic benefits conditional on providing money, materials or other goods. Where collecting or reusing materials forms part of a pedagogical project, assessment must rest on demonstrated learning and educational outcomes, rather than the amount or economic value contributed. Participation in activities primarily intended to raise funds is voluntary. Refusal to participate or contribute may not lead to sanctions, exclusion, discrimination, or academic or disciplinary consequences. Before an activity, the school must disclose its nature, purpose, intended use of resources and the person or body responsible for administering them. Fundraising requires that intended use to be determined in advance.

Resources must benefit students, the educational process, or the school's operation, maintenance, equipment or improvement, consistently with the stated purpose. They may not provide economic or personal benefits to teachers, administrators, other staff or third parties, or fund recreational activities exclusively for staff. Authorized institutional training directly connected with educational services remains eligible where applicable rules permit it. Each school must record resources and goods obtained, proceeds from their sale or use, expenditures, their use and the remaining balance. Sales of collected materials require a record of the quantity delivered and the amount received. Results of each activity must be communicated to the school community through accessible means.

The Ministry of Education (Ministerio de Educación), through its Regional Directorates, would oversee compliance and receive, investigate and resolve complaints without academic retaliation against students. The bill identifies breaches involving pressure to participate, missing records, diversion of resources, concealment of information and retaliation. Following due process, the Ministry of Education would impose measures according to the seriousness and recurrence of the conduct, including written reprimands and suspension. It would refer acts potentially giving rise to civil, criminal or financial liability to the competent authority. The proposed safeguards would operate alongside special rules on public funds, self-financing funds and parent associations. The Executive Branch (Órgano Ejecutivo), through the Ministry of Education, would issue implementing regulations within six months of promulgation; the proposed law would take effect six months after promulgation. The provisions concern school communities, parent associations and public schools.