Guiding principles and policy directions
- The Cordillera Autonomous Region is an integral and inseparable part of the territory of the Republic of the Philippines.
- The people of the Autonomous Region must uphold the Constitution, and owe allegiance and fidelity to the Republic of the Philippines.
- The Autonomous Region must be governed and administered in accordance with this Organic Act.
- Autonomy ensures the right to secure ancestral domain, develop the economy, promote cultural heritage, and establish self-governance within the framework of the Constitution, national sovereignty, and territorial integrity.
- The Regional Government must ensure and protect basic individual and collective rights of its constituents.
- The Regional Government must pursue peace founded on justice, including renunciation of lawless violence, cruelty, vengeance, and discrimination.
- The Regional Government must adopt measures for democratic sharing of wealth, power, and opportunities without distinctions based on ethnic origin, sex, language, political conviction, economic or social status, or religious belief.
Participation, development, and governance values
- All government authority emanates from the people and must be exercised with democratic participation, representation, and consent.
- The people have the right, especially through voluntary organizations and movements, to participate and be equitably represented in decision-making and in formulation and implementation of priorities, plans, programs, and projects, including monitoring.
- Development must provide an environment for basic human needs and a rising standard of living.
- The people have a prior right to utilization and development of the region’s natural, material, and fiscal resources, which must be used for the benefit of the people of the Cordillera.
- Conservation and protection of the natural environment is an essential dimension of regional development, and the Regional Government must promote balanced and sustainable growth.
- The Regional Government must establish an education system (formal and non-formal) of best quality within its means, responding to Cordillera community needs and respecting indigenous culture, human rights, and the dignity of work.
- The Regional Government must guarantee youth participation and representation in public affairs.
Constitutional limits on security and rights protections
- Civilian authority must remain supreme at all times.
- The Regional Government must institute measures to promote courtesy, impartiality, integrity in public service and eradicate nepotism, favoritism, graft and corruption, red tape, and waste.
- The Regional Government must prohibit the development, storage, use, or transport of nuclear, biological or chemical weapons within the region.
- The Regional Government must provide incentives to investors and businesses consistent with measures preventing exploitation of natural and human resources and ensuring activities contribute to development and democratic sharing of wealth and income.
- Except under a state of emergency, no military personnel may be appointed or designated to any public position that is civilian in character in the Regional Government (including government-owned or controlled corporations and their subsidiaries), and such military personnel are likewise barred from being appointed or designated to such positions within five (5) years from separation or retirement.
- The Regional Government must take measures to prevent torture, other cruel, inhuman, and degrading treatment or punishment, illegal detention, and extra-judicial executions.
- The Regional Government must pursue reconciliation efforts and promote peace and demilitarization in the region.
Powers, government structure, and intergovernmental relations
- The Cordillera Autonomous Region is a territorial and political subdivision administered by the Cordillera Government consisting of the Regional Government and local government units, under the general supervision of the President.
- The Cordillera Government is constituted as a municipal corporation with powers inherent in its character and powers expressly granted by this Organic Act.
- The Regional Government exercises powers and functions for proper governance and development of all provinces, cities, municipalities, and barangay or ili within the Autonomous Region, consistent with regional autonomy and decentralization.
- Nothing authorizes diminution of powers and functions already enjoyed by local government units.
- The Regional Government and local government units share and exercise devolved constitutional powers and functions where appropriate, including:
- administrative organization;
- creation of sources of revenues;
- ancestral domain and natural resources;
- personal, family, property and tribal relations;
- urban and rural planning development;
- economic, social and tourism development;
- educational policies;
- preservation and development of cultural heritage; and
- powers, functions and responsibilities exercised by departments of the National Government, except enumerated national matters.
- The Regional Government may exercise the power of eminent domain.
- The President exercises general supervision over the Regional Government, including local government units therein, to ensure faithful execution of national and regional laws, directly or through the Cordillera Governor.
- Judicial and quasi-judicial bodies continue to exercise their constitutional and statutory jurisdiction unless otherwise provided in this Organic Act.
- Local representation in Congress continues for each province and city in the region in the number and proportion determined by national law.
Legislative department: Cordillera Assembly
- Regional legislative power is vested in the Cordillera Assembly, except to the extent reserved by the Constitution and this Organic Act on initiative and referendum.
- The Cordillera Assembly may create, divide, merge, abolish, or substantially alter boundaries of any province, city, municipality, or barangay or ili subject to approval by a majority of the votes cast in a plebiscite in the directly affected political units.
- The Cordillera Assembly may change the names of local government units and public places and institutions.
- The Cordillera Assembly approves the budget of the Autonomous Region.
- Unless otherwise provided by national law, the Cordillera Assembly has not more than thirty-two (32) Members elected from regional assembly districts apportioned by regional law among provinces and cities based on a uniform and progressive ratio, considering geography and ethnolinguistic characteristics, with at least one (1) Member per province or city.
- Members serve a term of three (3) years beginning at noon on the thirty-first day of March following their election and ending at noon of the same date three years thereafter, and no Member may serve more than three (3) consecutive terms.
- Regular elections of Members are held on the second Monday of February unless otherwise provided by national law.
- A vacancy occurring at least one (1) year before term expiration triggers a special election, and the elected Member serves only the unexpired term.
- A Member must be a natural-born citizen, at least twenty-one (21) years old on election day, able to read and write, a registered voter in the political subdivision of election, and an actual resident of the political subdivision for at least one (1) year and of the Cordilleras for at least five (5) years immediately preceding election day.
- The Speaker is elected by a majority vote of all Members and serves as presiding officer.
- The Cordillera Assembly convenes once every year on the fourth Monday of April for its regular session and remains in session for as many days as it determines until thirty (30) days before the opening of its next regular session, excluding Saturdays, Sundays and legal holidays; the Cordillera Governor may call a special session.
- A quorum is a majority of all Members, though a smaller number may adjourn and may compel attendance of absent Members under Assembly penalties.
- The Assembly sets its rules, punishes disorderly behavior, and with two-thirds (2/3) concurrence may suspend or expel a Member, but suspension may not exceed sixty (60) days.
- The Assembly must keep a Journal; at the request of one-fifth (1/5) of Members present, yeas and nays must be entered in the Journal.
- Member compensation: each Member receives PHP 120,000.00 annually, and the Speaker receives PHP 144,000.00 per annum; Members may not receive any other emolument from the Government during tenure.
- Assembly records and books of account are open to the public and are audited by the Commission on Audit, which must publish annually itemized expenditures of each Member.
- Members are protected from questioning or liability elsewhere for speeches or debate in the Assembly or committee thereof.
- Members are barred from holding any other government office or employment, including in government-owned or controlled corporations or their subsidiaries, during tenure.
- Members may not personally appear as counsel before courts or quasi-judicial and other administrative bodies; Members may not be financially interested in any contract with, or any franchise or special privilege granted by, the Government or any subdivision, agency, instrumentality including government-owned or controlled corporations or their subsidiaries during tenure; Members may not intervene in any matter before any office of the Cordillera Autonomous Region for pecuniary benefit or where called upon to act because of office.
- Members must make full disclosure of financial and business interests, including those of spouses and unmarried children under eighteen (18) years living in their households, and must notify the Assembly of potential conflict of interest; non-disclosure may result in expulsion by a two-thirds (2/3) vote of all Members, without prejudice to other liabilities.
- A Regional Commission on Appointments is created with the Speaker as Chairman and six (6) Members elected from among Assembly Members from different provinces and cities; the Chairman votes only in case of tie; the Commission acts on appointments within thirty (30) session days and decides by majority vote.
- Original and promotional appointments to positions created by the Cordillera Assembly with the rank of Cabinet members and their assistants, regional directors, and heads of agencies or commissions require review and confirmation by the Regional Commission on Appointments.
- The Regional Commission on Appointments must be constituted within thirty (30) days after the election of the Speaker and meets only while the Assembly is in session.
- The Assembly holds a people’s hour at least once a month or as rules provide, and certain Cabinet members answer questions upon initiative and consent of the Cordillera Governor, or upon request of the Assembly.
- The Assembly may conduct inquiries in aid of legislation under duly published rules, respecting the rights of persons appearing in or affected by such inquiries.
Executive department: Cordillera Governor, Deputy, Cabinet
- Executive power is vested in a Cordillera Governor elected at large by direct vote of the people of the Autonomous Region.
- A Governor candidate must be a natural-born citizen, at least thirty-five (35) years old on election day, able to read and write, a registered voter in the region, and an actual resident for at least five (5) years immediately preceding election day.
- The Governor is assisted by a Cabinet of six (6) members, at least four (4) preferably from indigenous cultural communities, and the members must be registered voters and residents of the region for at least five (5) years immediately preceding appointment.
- Cabinet members are appointed by the Cordillera Governor subject to confirmation by the Regional Commission on Appointments.
- A Cordillera Deputy Governor is elected with and in the same manner as the Governor, has the same qualifications and term, and may be removed in the same manner as the Governor.
- The Deputy Governor may be appointed as a Cabinet member without confirmation.
- The Governor and Deputy Governor are elected by direct vote for a term of three (3) years starting at noon on the thirty-first day of March following election and ending at noon of the same date three years thereafter.
- Neither the Cordillera Governor nor Deputy Governor may serve more than three (3) consecutive terms.
- The regular election for both is held on the second Monday of February unless otherwise provided by national law.
- Upon assumption, the Governor and Deputy Governor must take the required oath or affirmation, pledging faithful performance of duties, defense of the Constitution and this Organic Act, execution of laws, justice to all, and consecration to the service of the Cordilleras.
- Annual compensation: Cordillera Governor receives PHP 180,000.00 and Deputy Governor receives PHP 144,000.00, unless otherwise provided by national law, and neither may receive any other emolument from the Government during tenure.
- The Cordillera Governor is provided a reasonable housing allowance by the Cordillera Assembly.
- Succession rules apply for failure to qualify, death, permanent disability, removal, temporary incapacity, and vacancies: the Deputy Governor and, in certain cases, the Speaker act as Governor under defined timing and vacancy conditions.
- The Governor has control over all executive departments in the Regional Government.
- The Governor appoints heads of regional departments, bureaus, or offices with concurrence of the Regional Commission on Appointments; the Assembly may vest appointment powers for subordinate officers through regional law.
- Any Cabinet member may be removed or replaced by the Governor at any time, with or without cause; salaries and emoluments of Cabinet members are fixed by regional law and may not be decreased during tenure.
- The Governor addresses the Assembly at the opening of the regular session and may appear at other times; the Assembly may invite the President and other officials to address it.
Judicial institutions and indigenous courts
- A system of tribal courts is created for indigenous cultural communities in the Autonomous Region and may include a Tribal Appellate Court.
- Tribal courts determine, settle, decide controversies, and enforce decisions involving personal, family and property rights in accordance with tribal codes of the communities.
- The Cordillera Assembly, in consultation with the Supreme Court, defines tribal court composition and jurisdiction; it may also create a Council of Elders and provide its organization and jurisdiction.
- The decisions of special courts are final and executory, without affecting the Supreme Court’s original and appellate jurisdiction under the Constitution.
Local government and elections
- Local government subdivisions are the provinces, cities, municipalities, and barangay or ili where applicable; ili refers to a tribal village occupying a definite area within the Autonomous Region.
- Territorial and political subdivisions enjoy local autonomy.
- The Cordillera Governor exercises general supervision over local governments, ensuring acts of component units remain within legally mandated powers and functions.
- Local government units are entitled to an equitable share in the proceeds of utilization and development of natural resources within their areas, distributed by regional law and shared with inhabitants through direct benefits.
- Elective local officials (except barangay or ili officials) have a term of three (3) years and are limited to three (3) consecutive terms; voluntary renunciation is not an interruption of continuity for the full term.
- Cities are governed by their charters and nothing diminishes powers and functions already enjoyed by those cities.
Accountability, removal, recall, and declarations
- Public office is a public trust requiring accountability to the people with utmost responsibility, integrity, loyalty, efficiency, patriotism, justice, and modest lives.
- The Cordillera Governor and Deputy Governor may be removed for and conviction of culpable violation of the Constitution and this Organic Act, treason, bribery, graft and corruption, other high crimes, or betrayal of public trust, by a three-fourths (3/4) vote of all Members of the Cordillera Assembly.
- The Cordillera Assembly may initiate removal by a majority vote of all Members.
- Necessary rules must be promulgated by the Cordillera Assembly to carry out purposes of the removal provisions.
- Removal proceedings may not be initiated more than once within a period of one (1) year.
- The Cordillera Assembly must provide for a system of recall for all regional and local elective officials, and no recall may occur within one (1) year from the date of the official’s assumption or within one (1) year immediately preceding a regular election in the region.
- Public officers and employees must submit, upon assumption and as often thereafter as national law requires, a declaration under oath of assets, liabilities, and net worth to the chief of the office concerned.
- Declarations under oath by the Cordillera Governor, Deputy Governor, Assembly Members, and heads of offices are submitted to the Office of the Ombudsman and must be published in two (2) newspapers of general circulation in the region.
Recognition of customary relations and marriage
- Customary laws affecting personal, family, tribal and property relations in the Cordilleras are recognized among members of the indigenous tribal group or cultural community.
- Marriages solemnized among indigenous cultural community members in accordance with indigenous customary laws are valid, and dissolution under those laws is recognized.
- The Regional Government must promote a program of responsible parenthood based on parents’ free and informed choice of number of children, without prejudice to religious and cultural values.
- Peaceful settlement of family disputes under customary practices is recognized.
- Acquisition, disposition, and encumbrance of property under customary laws of the place are recognized and protected, subject to the Constitution and national policies.
- Where parties agree, peaceful settlement of disputes involving property rights and ownership is governed by customary laws where the property is located.
- The Cordillera Assembly must provide for a system of registration of births, marital status, and deaths of members of indigenous cultural communities and the required documentation.
Ancestral domain, ancestral lands, and restrictions
- The Regional Government must protect the ancestral domain and ancestral lands of indigenous cultural communities.
- Lands and natural resources in the Autonomous Region possessed or occupied by indigenous cultural communities since time immemorial form part of the ancestral domain, except when prevented by war, force majeure, or other forms of forcible usurpation.
- Ancestral lands consist of lands under communal or tribal ownership exercised by groups belonging to a definite indigenous cultural community, ili or village.
- Lands in actual, open, notorious, and uninterrupted possession and occupation by an indigenous cultural community for at least thirty (30) years are ancestral lands.
- Traditional or constructive possession may be recognized subject to confirmation by a competent tribunal, with the petition instituted within ten (10) years from effectivity of this Act.
- Confirmation procedures for imperfect titles under existing laws apply as far as practicable to confirmation of titles to ancestral lands.
- Torrens titles and rights already vested under existing laws are respected.
- After identification and demarcation, the appropriate land agency issues titles over ancestral lands to communities or tribes.
- Within ten (10) years from organization, the Cordillera Assembly must pass laws on customary tenure of land and communal property, incorporating customs and prescribing extent and manner of land dispositions.
- Corporations, companies, and other entities within the ancestral domain whose operations adversely affect ecological balance must take preventive measures and safeguards to maintain ecological balance.
- Lands of ancestral domain titled to or owned by an indigenous cultural community cannot be disposed of to non-members unless authorized by the Cordillera Assembly.
- No portion of the ancestral domain can be opened to resettlement by non-members.
- No person may enter or occupy any portion of the Autonomous Region by force or other unlawful means under the guise that it forms part of the ancestral domain.
- The ancient rice terraces in the Cordilleras are declared national treasures and part of the national heritage of cultural communities and the Filipino people.
Development and natural resources management
- The Regional Government must initiate, stimulate, facilitate, support, and catalyze development in the region.
- Development must be people-oriented, empowering the people through government programs to actively and substantially participate in their own development.
- Development programs must address watershed and critical reservation protection and inalienability declarations, respect for indigenous concepts and institutions, disparities in natural resource endowments through strategies enhancing mobility, cooperative organizations for democratizing ownership and management of public utilities, urban land reform to address inadequate housing and congestion, appropriate technology based on indigenous conservation practices, and diffusion of enterprise ownership and benefits.
- Except for strategic minerals such as uranium and others defined by national law, control and supervision over exploration, utilization, and development of natural resources in the Autonomous Region are delegated to the Regional Government under the Constitution and national laws.
- The Cordillera Assembly grants franchises and concessions; the Cordillera Governor may be authorized by regional law to grant leases, permits and licenses for areas within constitutional limits for periods not exceeding twenty-five (25) years.
- Existing leases, permits, licenses, franchises, and concessions are respected until expiration unless legally terminated.
- Where natural resources are located within ancestral domain, permits, licenses, franchises, or concessions require Cordillera Assembly approval after consultation with the concerned cultural community.
- Consistent with the Constitution and national laws and policies, the Autonomous Region may enact laws on mineral, energy, and forestry resources management.
- The Regional Government cannot impose lesser standards than the National Government concerning protection, conservation, enhancement, fiscal matters, and regulatory licensing of natural resources.
- The Cordillera Assembly must regulate extraction and processing of mineral and non-mineral resources to protect the ecosystem, including setting limitations on open pit mining and similar methods.
- Exploration, development, and utilization of natural resources (except those in the strategic minerals exception) are allowed to all Filipinos and private enterprises, including corporations, associations, cooperatives, and similar collective organizations with at least sixty percent (60%) of capital investment or capital stock directly controlled or owned by Filipinos, who are preferably residents of the region.
- Small-scale mining receives support and is regulated by the Autonomous Region, taking into account ecological balance and community interests where operations occur.
- The Regional Government must pursue reforestation measures so that at least fifty percent (50%) of the land surface is covered with trees, prioritizing strips along edges of rivers and streams and shorelines of lakes.
- The Regional Government must adopt measures for development of lands eighteen percent (18%) in slope or over by providing infrastructure, financial and technical support to upland communities, especially tribal peoples.
Planning, banking, roads, and telecommunications
- A Regional Planning and Development Board is created, chaired ex officio by the Cordillera Governor, with all provincial governors and city mayors or representatives, two (2) Members of the Cordillera Assembly designated by the Speaker, and additional private sector representatives as prescribed by the Assembly.
- The Board serves as planning, monitoring, and coordinating agency, identifying, evaluating, recommending, and submitting annual work programs and comprehensive development plans to the Cordillera Governor.
- The Regional Government must establish and capitalize a Regional Development Bank to administer its own funds under supervision of the Central Bank.
- In coordination with the National Government, the Regional Government must plan, construct, and maintain an interconnecting roads system to other regions adjacent to the Cordilleras, and establish a region-wide telecommunications system so municipalities have telephone, telegraph, or radio facilities.
- Subject to ecological considerations, the Regional Government must adopt and implement a comprehensive urban land reform and land use program consistent with the Constitution and national and regional laws and policies.
Fiscal autonomy: revenues, sharing, and taxes
- The Regional Government may create its own sources of revenues and levy taxes, fees, and charges subject to the Constitution and this Act, and such taxes, fees, and charges accrue exclusively to the Autonomous Region.
- The Cordillera Assembly must observe uniformity and equity in taxation and may not impose confiscatory taxes or fees.
- Income taxation remains solely with the National Government.
- The Cordillera Assembly cannot revoke or amend, directly or indirectly, any city or municipal ordinance imposing a tax or fee on purely local business.
- No tax, impost, or assessment may be imposed on goods or merchandise coming into, going out of, or passing through the Autonomous Region to other places of the Philippines, and vice versa.
- Corporations, partnerships, and business entities directly engaged in business in the Autonomous Region pay through the Regional Government the portion of annual income tax corresponding to net income generated from business in the area of autonomy.
- Such entities pay corresponding taxes, fees, and charges in the province, city, or municipality where the establishment is doing business regardless of the location of their principal or main offices.
- The Autonomous Region’s revenue sources include taxes (except income taxes) imposed by the Regional Government, fees and charges imposed by the Regional Government, appropriations and internal revenue allotment and other budgetary aids from the National Government, shares in revenue from public utilities operations in the Autonomous Region, and block grants and other aid consistent with the Constitution and national policies.
- Distribution rule: total collections of a province or city from national internal revenue taxes, fees and charges and taxes, fees and charges on natural resources accruing as income to the National Government are distributed as follows: 30% to the province or city, 30% share to the Regional Government, and 40% to the National Government.
- The 30% province share must be distributed as: 10% to the province, 10% to the municipality, and 10% to the barangay.
- The 30% city share must be distributed as: 20% to the city and 10% to the barangay.
- The province or city automatically retains its share and remits 70% to the Regional Government, which after deducting its share remits the balance to the National Government on a monthly basis.
- Remittance within the Autonomous Region follows Regional Government rules; remittances to the National Government follow rules promulgated by the Department of Finance.
- The Regional Government must evolve systems of economic agreements or trade compacts to generate block grants for regional investments and improvements of regional economic structures, authorized by regional legislation or executive agreement, and may assist local government units in counterpart funds requirements for foreign-assisted projects based on Regional Planning and Development Board recommendations.
- Donations or grants exclusively to finance specified development areas—including education, health, youth and sports development, human settlement, science and culture, and economic development—are deductible in full in determining the donor or grantor’s taxable income.
- The Cordillera Assembly may grant tax incentives or exemption on taxes the Autonomous Region is empowered to impose, and a law granting tax exemption requires concurrence of a majority of all Members.
- Foreign loans may be contracted only according to the Constitution and national laws; the Cordillera Governor may contract domestic loans subject to approval of the Cordillera Assembly.
Agriculture, trade, industry, tourism, and cooperatives
- The Regional Government must promote agricultural production for domestic or commercial needs.
- Conservation, protection, and utilization of water resources for agricultural purposes are prioritized.
- The Regional Government must promote and develop inland fishery production where viable.
- The Regional Government must conduct research and pass legislation to enforce floor prices on agricultural and industrial products and ceiling prices on agricultural inputs, and provide and strengthen extension services to farmers free of charge.
- The Regional Government must encourage small and medium-scale cottage industries using efficient and productive methods and provide protection and financing requirements.
- The Regional Government must provide for proper utilization and disposal of industrial waste.
- The Regional Government must adopt measures to prevent flight of capital from the region.
- The Regional Government must adopt measures against monopolies in public utilities and in development, trading, and similar concerns, and may establish and operate pioneering public utilities in the interest of regional welfare and security.
- Upon payment of just compensation, the Regional Government may transfer ownership of such utilities to cooperatives or other collective organizations.
- The Regional Government must adopt measures to prevent manufacture, importation, distribution, or sale of agricultural and industrial inputs found to be biologically or environmentally harmful.