Definitions
- "Authority": Manila International Airport Authority.
- "Board": Board of Directors appointed by the President.
- "Airport": New Manila International Airport including domestic airport and future airports under Authority's administration.
Purpose and Objectives
- Promote and encourage international and domestic air traffic for:
- Making the Philippines a center of international trade and tourism.
- Unifying diverse ethnic groups of the archipelago.
- Accelerating transportation and communication development.
- Formulate international standard airport accommodation and services.
- Upgrade terminals, aviation, and other facilities.
Powers, Functions, and Duties of the Authority
- Formulate and implement comprehensive airport policies with government coordination.
- Control, supervise, operate, maintain airport facilities.
- Promulgate airport rules and supervise construction and services.
- Sue and be sued, adopt seal, executive contracts.
- Acquire, lease, dispose properties; exercise eminent domain.
- Levy fees subject to ministerial approval.
- Invest idle funds.
- Provide various services related to aircraft and passenger handling.
- Remedy airport congestion.
- Exercise corporate powers under law within EO’s limits.
Police Authority
- Authority empowered to exercise police powers inside premises for:
- Security of passengers, cargo, equipment, facilities, personnel, funds.
- Regulating entry, exit, movement.
- Maintaining peace and order in coordination with local police.
- Supervising private security agencies.
- Enforcement of rules and regulations.
- May request deputization and assistance from law enforcement agencies.
Board of Directors
- Seven members: Chairman (Minister of Transportation and Communications), Vice-Chairman (General Manager), and five ex officio members from Finance, Tourism, Presidential Exec Assistant, AFP Chief of Staff, and Immigration Commissioner.
- Meetings monthly or as needed; quorum is four members.
- Members entitled to per diems capped at P1,000 monthly.
Board’s Functions and Powers
- Define and approve programs, policies for airport development and operations.
- Recommend the General Manager for Presidential appointment.
- Approve organizational structure and budgets.
- Approve employee compensation aligned with private sector norms.
- Fix rates for dues, fees, and charges.
- Exercise necessary corporate powers for Authority’s objectives.
General Manager’s Duties
- Reports to the Board.
- Directs and supervises management and operations aiming at international service standards and financial stability.
- Conducts studies and submits reports recommending development plans.
- Appoints and disciplines employees subject to Board approval.
- Maintains internal data dissemination systems.
- Executes contracts and implements Board resolutions.
Capitalization
- Initial capital P10 billion from government contributions:
- Fixed assets, properties valued net of depreciation.
- Realty owned by Manila International Airport.
- Net current assets and cash for working capital.
- Additional capital from General Appropriations Act.
Auditing and Legal Counsel
- Commission on Audit Chairman is ex officio auditor; may appoint representatives.
- Auditor paid by Authority; reports annually and as necessary.
- Government Corporate Counsel serves as legal counsel; expenses appropriated by Board.
Reporting and Civil Service Application
- Board submits annual reports and audited statements to President through Ministry.
- Authority officials and employees are subject to Civil Service laws.
Borrowing Powers and Financial Limitations
- Authority may raise funds via approved loans and securities.
- May create liens on assets; loans secured rank equally with priority over other claims.
- Debt principal shall not exceed net worth unless expressly authorized.
- Finance Minister may guarantee loans with Presidential approval.
Rate Adjustments and Competitive Bidding
- Authority may adjust fees to protect government interests and reflect costs.
- Permits and concessions granted preferably to highest bidders via competitive bidding.
- Exceptions for banks, post office, telecommunication bureau, and airline operations.
- Final awards subject to Board approval.
Tax Exemptions
- Authority exempt from corporate income and realty taxes imposed by national or local government.
- Subsidiaries do not benefit from tax exemptions.
Transfer of Assets, Liabilities, and Facilities
- All existing airport facilities and assets from Bureau of Air Transportation transferred to Authority.
- Ongoing projects continued until completion then transferred to Authority.
- Authority assumes liabilities and debts related to transferred assets.
Abolition of Previous Airport Entity
- Manila International Airport as division of Bureau of Air Transportation abolished.
- Existing Airport General Manager continues to perform Authority’s functions until new GM appointed.
- Benefits and gratuities provided to terminated employees.
Repealing and Separability Clauses
- Conflicting laws, orders or rules repealed or amended.
- Provisions are separable; invalidity of one does not affect others.
Effectivity
- Executive Order takes effect immediately upon issuance.