QuestionsQuestions (Republic Act No. 9497)
The short title is the “Civil Aviation Authority Act of 2008.” The State policy is to provide safe and efficient air transport and regulatory services by creating CAAP with jurisdiction over restructuring the civil aviation system and promoting, developing, and regulating technical, operational, safety, and aviation security functions.
“Authority” refers to CAAP created under the Act and includes the Board and/or the Director General. “Director General” is the chief executive/operating officer appointed under the Act and responsible for civil aviation in the Philippines. “Board of Directors” is the corporate board of CAAP composed of seven ex officio members under the Act.
The existing Air Transportation Office (ATO) under RA 776, as amended, is abolished. However, nothing in the Act diminishes the powers and functions of the Civil Aeronautics Board (CAB) as provided under RA 776.
The Board has seven members: the Secretary of the Department of Transportation and Communications (Chairman ex officio), the Director General of Civil Aviation (vice chairman ex officio), the Secretary of Finance, Secretary of Foreign Affairs, Secretary of Justice, Secretary of the Interior and Local Government, and Secretary of Labor and Employment—all ex officio.
At least four (4) members constitute quorum. The majority vote of three (3) members is necessary to adopt any rule, ruling, order, resolution, decision, or other Board act when quorum is present.
The Director General must be a Filipino citizen; at least 35 years old; of good moral character and unquestionable integrity; and must be a degree holder with at least five (5) years supervisory or management experience in the field of aviation.
The Director General is appointed by the President for four (4) years. The appointment may be extended for another non-extendible term of four (4) years. Removal is only for cause in accordance with rules and regulations prescribed by the Civil Service Commission.
Board members (and their relatives within the fourth civil degree of consanguinity or affinity) are prohibited from holding any interest as investor, stockholder, officer, or director in any company/entity engaged in air commerce or providing support services to air commerce (e.g., travel agencies, cargo forwarders, ground handling, catering, fuel servicing, aircraft maintenance, etc.). They must divest upon assumption of office; violation subjects them to removal for cause and administrative, civil, or criminal prosecution.
No Board member or employee of CAAP may accept employment or enter into a contract of service with an entity regulated by the Authority until one (1) year after termination of their appointment (by resignation, revocation, or otherwise).
CAAP has fiscal autonomy. All moneys earned from fees/charges/dues/assessments/fines the Authority is empowered to collect are used solely to fund CAAP operations. Utilization is subject to examination by the Congressional Oversight Committee. For tax exemption, importation of equipment/machineries/spare parts/accessories/materials (and services used solely and exclusively for CAAP operations) not obtainable locally is exempt from direct/indirect taxes and related charges; CAAP obligations and income (including from banking institutions) are exempt from taxes, and CAAP is exempt from several local government-imposed taxes/fees.
CAAP must adopt and publish its schedule of fees and charges and conduct public hearings or consultative meetings with stakeholders before adopting the schedule. It may not revise its schedule of fees and fines more often than once every three (3) years.
The Board provides policy guidance; ensures proper performance; decides objectives/strategies/policies; has appellate powers over decisions of the Director General; can issue subpoenas and order depositions; can use other government agencies’ services on a reimbursable basis; invests retained funds subject to guidelines; promulgates safety-related rules and regulations; imposes and fixes certain charges/fees; approves budgets; and grants limited exemptions from regulations as long as it is not prejudicial to flight safety.
The Board is the corporate body that provides policy and exercises quasi-legislative and quasi-judicial appellate functions, including promulgating rules and reviewing appeals. The Director General is the chief executive/operating officer responsible primarily for the technical and operational aspects, including certification/inspection enforcement actions and issuing aviation documents and orders.
Except in emergency situations, Director General orders/rules take effect within a reasonable time as prescribed and remain in force until replaced or for a specified period. In emergencies affecting civil aviation safety, the Director General may issue just and reasonable orders/rules immediately “without answer or other form of pleading,” with or without notice/hearing/report, and must initiate proceedings afterward regarding the matter.
The Director General or authorized representative may access civil aircraft and facilities (including aerodromes) without restriction within the Philippines and can access aircraft registered in the Philippines worldwide to ensure airworthiness and compliance. They can also inspect aerodrome facilities and conduct tests/inspections in operator facilities/offices at any place and time to verify compliance.
The Director General may direct that a civil aircraft not be operated if the aircraft may not be airworthy; the airman is unqualified or physically/mentally incapable; or the operation would cause imminent danger to persons or property on the ground. The Director General may also take necessary steps to detain the aircraft or airmen.