QuestionsQuestions (EXECUTIVE ORDER NO. 80)
The Executive Order authorizes the creation of the CDC as the operating and implementing arm of the BCDA for the Clark Special Economic Zone (CSEZ), and ties this to the Bases Conversion and Development Act of 1992 (RA 7227), which mandates BCDA to prepare and implement the comprehensive plan for conversion of the Clark military reservations.
The CDC is authorized to be formed as a subsidiary corporation of the BCDA and functions as the operating and implementing arm of the BCDA for the CSEZ; the CDC is subject to BCDA’s policies, rules, and regulations for the CSEZ.
It aims to accelerate the conversion of Clark military reservations (including contiguous extensions) into alternative productive civilian uses. It envisions Clark as an international civil aviation complex, modern industrial estate, tourism, and business/trade center for Luzon and Asia.
It states that the CDC shall be formed in accordance with Philippine corporation law and existing rules and regulations promulgated by the Securities and Exchange Commission (SEC) pursuant to Section 16 of RA 7227.
The BCDA determines the powers and functions of CDC. The Executive Order further states that, pursuant to Section 15 of RA 7227, CDC shall have the specific powers of the Export Processing Zone Authority as provided in Section 4 of Presidential Decree No. 66 (1972), as amended.
The Board consists of eleven (11) members, each a stockholder of CDC. The composition is also stated to be subject to the provisions of Section 16 of RA 7227.
Such members are nominated by the President.
The person must be a Filipino citizen, of good moral character, and of recognized competence in relevant fields such as economics, management, international relations, law, or engineering.
Yes. It provides that preference in designation of Board members representing national government capital stocks shall be given to residents within local government units that concur to join the CSEZ.
Capitalization is determined by BCDA (as incorporator and holding company) and includes: (1) cash equity from BCDA and other government agencies/instrumentalities; (2) portions of all lands embraced by and covered by the CSEZ, including permanent improvements and fixtures upon proper inventory; and (3) other assets the President may transfer to CDC as part of Government equity contribution.
BCDA promulgates necessary policies, rules, and regulations governing the CSEZ, including investment incentives, in consultation with local government units and pertinent government departments for implementation by CDC.
It states that among others, CSEZ shall have applicable incentives in the Subic Special Economic and Free Port Zone under RA 7227, incentives applicable in Export Processing Zones, incentives in the Omnibus Investments Code of 1987, the Foreign Investments Act of 1991, and any new investments laws that may be enacted.
The CSEZ Main Zone covering Clark Air Base proper has all the incentives; the CSEZ Sub-Zone covering the rest of the CSEZ has limited incentives. The BCDA determines the exact level and extent of full and limited incentives.
Affected LGUs retain basic autonomy and identity. Angeles City follows its charter; Porac, Mabalacat, Bamban, and Capas operate under RA 7160. If there is conflict between CDC and the LGUs on matters affecting the CSEZ other than defense and security, CDC’s decision prevails.
All heads of departments, bureaus, offices, agencies, and instrumentalities of the government are directed to give full support and coordinate with BCDA to facilitate necessary approvals to expedite implementation of conversion projects.
The Executive Order includes a repealing clause stating that all presidential issuances, rules and regulations, or parts thereof inconsistent with its provisions are repealed, amended, or modified accordingly.
It states that it shall take effect immediately.