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W T E t  !: , , 
FOURTEENTH CONGRESS OF THE REPUBLIC) 
OF THE PHILIPPINES 
) 
Second Regular Session 
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8 EC-9 P2:4li 
Introduced by Senator Miriam Defensor Santiago 
EXPLANATORY NOTE 
Mindanao is an island in Southern Philippines with vast natural resources and 
skilled labor force. Mindanao has become the vanguard of trade and commerce because 
it is situated between the East and the West, and it is strategically proximate to key 
markets such as Brunei-Indonesia-Malaysia-the Philippines - East ASEAN Growth Area 
(BIMP-EAGA), Singapore, India and China. 
However, 6 out of 10 poorest provinces are in Mindanao. Also, it lags behind 
relative to other island groups in terms of human development. The 5 regions that belong 
to the bottom 5 in terms of human development are in Mindanao. 
The high incidence of poverty and low degree of human development mainly 
explain the vulnerability of Mindanao to amed conflict. 
To address these ubiquitous and compelling problems in Mindanao, there is a 
need for an agency that looks beyond regional concerns and ensures unity among diverse 
cultures, religious denominations and the programs and projects aimed at alleviating 
poverty do not result in conflict. 
Rather than create a new office which would be expensive for the government, 
this bill to aims to strengthen the Mindanao Economic Development Council (MEDCo), 
an existing office that has been in the forefront in strengthening and protecting the gains 
of the collective developmental efforts of the Mindanaoans for the past 16 years. Under 
the government's guidelines on peace and development the MEDCo has been able to 
institutionalize programs such as the Mindanao Natin. 
The following are the 10 
components o f  Mindanao Natin: 
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a. Implementation of the RA 9054 in pursuit of the GRP-MNLF Final Peace 
Agreement 
b. Rehabilitation of Conflict-Affected Areas in Mindanao 
c. Health Development 
d. Education Development 
e. Livelihood Support and SME Development 
f. Land Tenure Improvement 
g. Agri-Aqua Development 
h. Implementation of the Regional Economic Zone Authority 
i. Infrastructure Development for Inter-connectivity 
j, Culture-based Healing, Reconciliation, and Integration Programs 
Being the mechanism for Mindanao Super Region, MEDCo spearheaded the 
critical infrastructure requirements of the island to support sustained growth and 
globalization. These include construction on Farm to Market Roads (FMR) and small 
irrigation projects; housing units; implementation of Rugnan River Imgation System 
Rehabilitation Project; and the upgrading of the Cotabato Airport and Butuan Airport. 
This bill aims to create the Mindanao Economic Development Authority, which is 
envisioned to be a permanent mechanism. This will ensure coherence, consistency, and 
continuity of development efforts in Mindanao. 
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FOURTEENTH CONGRESS OF THE REPUBLIC) 
OF THE PHILIPPINES 
) 
Second Regular Session 
1 
8 EC -9 P2:45 
S E N A T E  
Introduced by Senator Miriam Defensor Santiago 
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AN ACT 
CREATING THE MINDANAO ECONOMIC DEVELOPMENT AUTHORITY 
(MEDA), DEFINING ITS POWERS AND FUNCTIONS, 
AND PROVIDING FUNDS THEREFORE 
Be it enacted by the Senate and the House of Representatives ofthe Philippines in 
Congress assembled: 
SECTION 1. Short Title. - This Act shall be known as the “Mindanao Economic 
Development Authority (MEDA) Act of 2008.” 
SECTION 2. Declaration of Policy. - It is hereby declared a policy of the State to 
accelerate the socio-economic growth and development of Mindanao, by encouraging 
and increasing trade, tourism and investments, encouraging private enterprise, and 
advancing efforts towards peace and development. Towards this end, an effective 
institutional mechanism shall be established to address the need for a coordinative and 
integrative approach for the formulation and implementation of various Mindanao-wide, 
Mindanao-specific interregional development plans, programs and projects. The 
government shall furthermore undertake efforts to promote the active participation of 
Mindanao and Palawan in the Brunei Darussalam-Indonesia-Malaysia-the Philippines - 
East ASEAN Growth Area (BIMP-EAGA). 
SECTION 3. Creation of the Mindanao Economic Development Authority. - The 
Mindanao Econoinic Development Authority, hereinafter referred to as the Authority, is 
hereby created which shall promote, coordinate, and facilitate the active and extensive 
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participation of all sectors to effect the socio-economic development of Mindanao. It 
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shall also act as an implementing agency for Mindanao-specific interregional and 
Mindanao-wide programs and projects, whenever necessary. 
SECTION 4. Coverage. - The Authority shall cover all the provinces and cities 
of Regions IX, X, XI, XII, Caraga and Autonomous Region in Muslim Mindanao 
( W M ) .  
SECTION 5 .  Principal Ofice and Term, - The Authority shall have its main 
office at Davao City. It may establish area management offices (AMOS) as it may deem 
necessary to achieve the objectives of this Act. The Authority shall have a term of fifty 
(50) years from the effectivity of this Act and renewable for the same period unless 
otherwise provided by law. 
SECTION 6. Powers and Functions of MEDA. - In the exercise of those activities 
which are Mindanao-wide and/or Mindanao-specific in character, the Authority shall 
have the following powers and functions: 
(a) Formulate an integrated development framework for Mindanao that is 
consistent with the peace initiatives of the national government; 
(b) Integrate, prioritize and program Mindanao-wide, interregional and region- 
specific programs, activities and projects with Mindanao-wide impact; 
(c) Advocate to the constituents of Mindanao, their elected representatives in 
Congress, and the National Government, national policies that will foster the 
integrated and balanced development of Mindanao; 
(d) Promote and facilitate investments in any field which would enhance the 
socio-economic development of Mindanao and uplift the living standards of 
the people and their socio-political activities in close coordination with 
agencies primarily mandated to undertake such function; 
(e) Explore sources for financing priority Mindanao-wide and/or Mindanao- 
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specific interregional programs, projects and activities; 
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(f) Coordinate and facilitate the extension of necessary planning, management, 
and 
technical 
assistance to 
prospective 
and 
existing 
investors, 
complementary and in support of agencies primarily mandated to execute 
such functions; 
(8) Establish a comprehensive and integrated databases on Mindanao and 
BIMP-EAGA necessary for planning and decision-making; 
(h) Monitor, evaluate and formulate recommendations on the implementation of 
Mindanao-wide and/or Mindanao-specific inter-regional development 
programs, activities and projects; 
(i) Act as the implementing agency, whenever necessary, for 
the 
accomplishment of Mindanao-specific interregional or Mindanao-wide 
programs and projects, including Official Development Assistance (ODA) 
projects, subject to such limitations prescribed by existing laws, rules, and 
regulations; 
(i) Provide strategic direction for Mindanao; 
(k) Oversee mega infrastructure programs and projects with Mindanao-wide 
impact such as the Mindanao Super Region Program; 
(1) Establish appropriate mechanisms to ensure the timely implementation of 
Mindanao-wide and Mindanao-specific interregional projects, whenever 
necessary, including, but not limited to public-private partnership; 
(m) Review and recommend for approval by the NEDA Board such Mindanao- 
wide and Mindanao-specific inter-regional programs, projects, and plans by 
the national government and donor agencies subject to existing laws, rules 
and regulations; 
(n) Act as the official and permanent Philippine Coordinating Office for BIMP- 
EAGA (PCOBE) and as lead agency of the government in coordinating the 
formulation and implementation of policies and programs and monitoring of 
all activities related thereto; 
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(0) Represent and strengthen the participation of the Philippine focus areas for 
BIMP-EAGA which are Mindanao and Palawan; 
(p) Closely coordinate with the private sector in all policy deliberations 
concerning BIMP-EAGA, 
(9) Act as a data bank for BIMP-EAGA and other related data by collecting, 
consolidating and processing data and analyzing the resulting information 
and thereafter disseminating the information gathered to various groups; 
(r) Initiate and coordinate the establishment of BIMP-EAGA desks in 
concerned national agencies, local government units and private enterprises; 
(s) Undertake advocacy for the adoptiodapproval of new policies or policy 
changes and the promotion of initiatives for the growth of the BIMP-EAGA; 
(t) Formulate and develop new plans and/or programs for the Philippine 
participation in the BIMP-EAGA based on the consensus of the BIMP- 
EAGA Clusters and Working Groups, and/or Heads of State, Signing 
Ministers and Senior Officials; 
(u) Initiate and facilitate sourcing of technical and other forms of assistance to 
BIMP-EAGA projectsiinitiatives; 
(v) Monitor developments in the BIMP-EAGA and follow-through agreements 
entered into by the Philippine parties; 
(w) Ensure efficient and effective technical and administrative support services 
for the Philippines’ BIMP-EAGA operations and coordinate budgetary 
requirements for this purpose; 
(x) Engage or invest on or enter into joint venture with Filipino and foreign 
investors in such Mindanao-wide and/or interregional projects as it may 
deem proper and necessary or contributory to the economic development of 
Mindanao; 
(y) Receive and administer donations, contributions, grants, bequest or gifts in 
cash or in kind fiom foreign governments, international agencies, private 
entities, and other sources, including Official Development Assistance 
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(ODA) agencies, for purposes that would contribute to the development of 
Mindanao, subject to existing laws, rules and regulations; 
(2) To sue and be sued, enter into contracts, acquire, purchase, hold, lease, 
transfer, dispose of property of any kind or nature necessary to carry out the 
purposes of this Act; 
(aa) Discharge other functions which may be deemed necessary or as may be 
provided by law. 
The Authority, through the MEDA Chairperson, shall submit to the President 
and both Houses of Congress annual reports on its accomplishments and activities. 
SECTION 7. Chairperson. - 
The MEDA Chairperson, hereinafter referred to as 
the Chairperson, shall be appointed by the President of the Philippines with a cabinet 
rank and shall act as the Head of office. He/she shall serve a term of six (6) years from 
the date of his appointment unless removed for cause. He/she shall also be the Philippine 
Senior Official for BIMP-EAGA. He/she shall likewise be a member of the National 
Economic Development Authority (NEDA) Board. 
The Chairperson shall have the following duties and functions: 
(a) Call and preside at the meetings of the MEDA Advisory Board and see to it 
that the policies, programs, and rules and regulations developed and 
promulgated by it are implemented properly; 
(b) Call on development players in the formulation and implementation of a 
comprehensive and integrated development plan for Mindanao, investment 
programs including the preparation of a system of investment programming 
priorities, annual reports and other pertinent documents approved by MEDA, 
(c) Identify solutions to key issues and concerns taking into account related 
risks, affected parties and impact, in coordination with the Board and key 
stakeholders, whenever necessary; 
(d) Advocate the Authority’s work for Mindanao among the varions concerned 
sectors and stakeholders; 
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(e) Call on any agency, group, individual member of the Board, local 
government unit, and host community to address issues and concerns 
relating to implementation of major programs, projects and activities; 
(0 Supervise the monitoring and timely implementation of Mindanao-wide 
and/or Mindanao-specific inter-regional programs, projects and activities; 
(g) Endorse to the MEDA Advisory Board all policy recommendations, plans, 
programs, and projects for approval; 
(h) Represent the MEDA Advisory Board in regular and Special Cabinet 
Meetings; 
(i) Convene the BIMP-EAGA Advisory Board to discuss issues and concerns, 
and recommend policies and programs to ensure the widest participation of 
Mindanao and Palawan in BIMP-EAGA; 
(j) Accept, in behalf of MEDA, donations, contributions, grants and bequests or 
gifts, in cash or in kind, from members, foreign governments, international 
offices, private entities or any individual for purposes that will realize the 
functions of the Authority; 
(k) Supervise administrative operations including disbursement of any fund of 
the MEDA subject to usual accounting and auditing procedures, and submit 
reports thereon; 
(1) Execute and administer the policies and measures approved by the MEDA 
Advisory Board; 
(m) Appoint all employees of the Authority, and remove, dismiss or otherwise 
discipline for cause, such employees in accordance with the standard 
guidelines for recruitment, employment, and discipline in the Civil Service 
Code; 
(n) Represent the Authority in all dealings with other offices, agencies, and 
instrumentalities of the Government and with all persons and entities, public 
or private; 
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(0) Sign agreements and/or contracts in behalf of the Authority, including those 
for expert and consultant services and other reports of accountabilities 
emanating from the Authority; 
(p) Perform such other functions that the MEDA Advisory Board may direct to 
carry out the provisions of this Act. 
SECTION 8. Executive Director. - An Executive Director shall be appointed by 
the President of the Philippines upon recommendation by the Chairperson. He/she shall 
possess the requisite eligibilities for third (3rd) level career service position. He/she shall 
assist the Chairperson in carrying out the functions of Authority and shall likewise serve 
as the Secretary of the MEDA Advisory Board. 
SECTION 9. MEDA Advisory Board. - The Authority’s overall directions and 
thrusts shall be provided and approved, unless provided otherwise in this Act, by the 
MEDA Advisory Board, hereinafter referred to as the Board. It shall be composed of the 
following members: 
(a) The MEDA Chairperson; 
(b) The Chairpersons of the Regional Development Councils (RDCs) of Regions 
IX, X, XI, XI1 and XIII, and the Regional Economic Development and 
Planning Board (REDPB) of ARMM; 
(c) The Chairperson of the House Committee on Mindanao Affairs; 
(d) The Chairperson of the House Committee on BIMP-EAGA Affairs; 
(e) The Vice President for Mindanao of the Union of Local Authorities of the 
Philippines (ULAP); 
(f) The President of the Mindanao Confederation of Governors’, City Mayors’ 
and Municipal Mayors’ League Presidents; 
(8) The Administrator of the Southern Philippines Development Authority 
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(h) The three (3) representatives from the Private Sector to be appointed by the 
President, upon the recommendation of the Chairperson and Board members, 
comprising of one representative each from the: 
i. Mindanao Business Sector 
ii. Mindanao Academe Sector 
iii. Mindanao Non-Government Organization (NGO) Sector 
Members of the Board shall receive a per diem of not more than Five Thousand 
Pesos (P5,OOO) for every board meeting: Provided, however, that the per diem collected 
per month does not exceed the equivalent of four (4) meetings. Provided, further, that the 
amount of per diem for every board meeting may be increased by the President but such 
amount shall not be increased within two (2) years after its last increase. 
The Board shall have the following functions: 
(a) Provide direction and guidance for the Authority’s work and thrusts for 
Mindanao; 
(b) Ensure that the goals and policies of the Authority are consistent with the 
overall national development goals and objectives; 
(c) Ensure that the programs of the Authority are consistent with regional and 
local development plans, program and projects, and vice versa for purposes 
of harmonization; 
(d) Explore sources for financing of priority Mindanao-wide and/or Mindanao- 
specific inter-regional plans, programs, projects and activities; 
(e) Create committees/task forces as may be deemed necessary in the 
accomplishments of its duties and functions; 
(0 Determine schedules, establish voting procedures, criteria for the 
constitution of a quorum, and other rules and regulations in the conduct of 
Board meetings; and 
(8) Perform such other functions as may be necessary to carry out the purposes 
of this Act. 
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SECTION 10. Executive Committee. - The Board shall constitute an Executive 
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Committee, hereinafter referred to as the ExeCom, from among its membership to act, for 
and on its behalf when the Board is not in session, on urgent matters as may be deemed 
necessary by the Chairperson. To ensure inter-regional representation and participation, 
the following shall comprise the Execom: 
(a) 
The MEDA Chairperson 
(b) 
(c) 
(d) 
The Chairpersons of the RDCs and REDPB 
The Representative from the Mindanao Business Sector 
The Representative from the Mindanao Non-Government Organization 
(NGO) Sector 
The Executive Director, as the Board Secretary, shall provide technical assistance 
to the Execom. 
SECTION 11. BIMP-EAGA Advisory Board. - There is hereby constituted a 
BIMP-EAGA Advisory Board to be composed of the following: 
(a) MEDA Chairperson as Head; 
(b) Chairpersons of the RDCs of Regions IX, X, XI, XI1 and XIII, and REDPB of 
ARMM; 
(c) City Mayor of Puerto Pnncesa; 
(d) Provincial Governor of Palawan; and, 
(e) Two Philippine Country Representatives to the BIMP-EAGA Business 
Council (BEBC). 
The BIMP-EAGA Board shall convene, from time to time, to discuss issues and 
recommend policies aid programs to ensure the widest participation of Mindanao and 
Palawan in the activities of BIMP-EAGA. It shall make recommendations to the 
Chairperson, being the Head of the PCOBE. The PCOBE, in consultation with the BIMP- 
EAGA Board, will draw up its own procedures for making recommendations, finalizing 
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decisions and overseeing implementation of BIMP-EAGA activities in Mindanao and 
Palawan. 
SECTION 12. Organizational Structure. - The Chairperson shall determine the 
organizational structure, staffing pattern, and pay scales of the Authority subject to 
existing civil service and compensation laws. The Chairperson may reorganize the 
Authority and may create or abolish divisions, units, or branches therein as the exigencies 
of the affairs of the Authority may require. 
SECTION 13. Transitory Provisions. - The Mindanao Economic Development 
Council (MEDCo), created under Executive Order 512, and Executive Order 244, as 
amended, is hereby abolished. 
The unexpended appropriations of the abovementioned agency are hereby 
transferred to MEDA including its existing records, properties, equipment, facilities and 
other assets. 
The MEDA shall absorb the existing plantilla positions and incumbent staff of 
MEDCo who shall continue to perform their respective duties and responsibilities and 
receive the corresponding salaries and benefits, in the fulfillment of the powers and 
functions of MEDA. 
SECTION 14. Appropriations. - The amount necessary to finance the initial 
implementation of this Act shall be charged against the current year’s appropriations of 
the Mindanao Economic Development Council (MEDCo). Thereafter, the current budget 
shall be increased by loo%, which amount shall be included in the Annual General 
Appropriations Act (GAA) for its continued implementation. 
The current appropriations of MEDCo shall be transferred to the Mindanao 
Economic Development Authority to commence its activities. 
SECTION 15. Separability Clause. - If any provision or part hereof, is held 
invalid or unconstitutional, the remainder of the Act or the provision not otherwise 
affected shall remain valid and subsisting. 
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SECTION 16. Repealing Clause. - Any law, presidential decree or issuance, 
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executive order, letter of instruction, administrative order, rule or regulation contrary to, 
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or inconsistent with the provisions of this Act is hereby repealed, modified or amended 
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SECTION 17. Effectivity Clause. - This Act shall take effect fifteen (15) days 
after its publication in at least two (2) newspapers of general circulation. 
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