Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ____ 
Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.,  
HON. MIGUEL LUIS R. VILLAFUERTE, HON. TSUYOSHI ANTHONY G. 
HORIBATA AND HON. NICOLAS ENCISO VIII 
EXPLANATORY NOTE 
Boracay has topped Condé Nast Traveler's list of world's best islands for several years until it 
rose to the very top in 2016, where it has lingered in the top two since then. It boasts of its soft 
white sand, clear waters, and one of the best sunsets in the world.  
However, the island fell victim to over tourism. The clear waters have been filled with green 
algae that President Duterte called it a “cesspool” and ordered its closure for rehabilitation. 
Boracay’s waters tested positive for coliform bacteria, high enough to cause skin infections 
and stomach aches. Illegal fishing, pollution, and unmonitored snorkeling are said to have 
destroyed almost 90% of its reefs coral cover in the past 30 years.  
The island had 260,000 annual visitors in 2000, 650,000 in 2009, and 1.2 million visitors in 
2012. Put simply, Boracay is ill-equipped to handle important issues that grow with the 
frequency of visitors and number of hotels like sewage, sanitation, garbage, and pollution. 
This bill proposes the creation of the Boracay Island Development Authority (BIDA). It is tasked 
to oversee the continued rehabilitation of the island and ensure sustainable development, 
conservation and protection of its natural resources. It shall also formulate policies, plans, 
programs and projects for the rehabilitation, preservation, and enhancement of Boracay 
Island.  
In view of the foregoing, the approval of this bill is earnest sought. 
LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR. 
 MIGUEL LUIS R. VILLAFUERTE 
TSUYOSHI ANTHONY G. HORIBATA 
NICOLAS ENCISO VIII 
July 4, 2022
2:25 pm
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2
Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ____ 
Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.,  
HON. MIGUEL LUIS R. VILLAFUERTE, HON. TSUYOSHI ANTHONY G. 
HORIBATA AND HON. NICOLAS ENCISO VIII 
AN ACT  
CREATING THE BORACAY ISLAND DEVELOPMENT AUTHORITY, 
DEFINING ITS POWERS AND FUNCTIONS, AND PROVIDING 
FUNDS THEREFOR 
Be it enacted by the Senate and House of Representatives of the Philippines 
in Congress assembled: 
SECTION 1. Short Title. - This Act shall be known as the “Boracay Island 
Development Authority (BIDA) Act.” 
SEC. 2. Declaration of Policy. - It is hereby declared the policy of the State 
to promote and accelerate the sustainable development and balanced growth of 
Boracay Island consistent with the necessity of maintaining a sound ecological 
balance and protecting and enhancing the quality of the environment. 
Towards this end, the State shall formulate policies, plans, programs, and 
projects for the management, rehabilitation, preservation, and enhancement of 
Boracay Island, ensure adequate provision for environmental management and 
control, the preservation of the quality of human life and ecological systems, and 
the prevention of undue ecological disturbances, degradation, and pollution. 
The State shall likewise ensure fair, orderly, and environmentally sound 
manner of utilizing the wealth and natural resources of Boracay Island, promote and 
1085


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encourage the involvement of all sectors of society, and maximize people 
participation in natural resource management, conservation, and protection. 
SEC. 3. Objectives. - To carry out the declared policy for the sustainable 
development of Boracay Island, the utilization of its natural resources and all 
development activities therein shall be in strict conformity with all the laws on the 
utilization, conservation, preservation, and protection of natural resources and the 
environment. 
The development framework for Boracay Island shall translate into: 
(a)
Sustainable and balanced development;
(b)
Sustainable domestic and foreign investments;
(c)
Sustainable employment; and
(d)
Sustainable growth with environmental protection.
SEC. 4. Strategies. - In order to facilitate, supervise, unify, and oversee the 
development plans in Boracay Island, the following shall be pursued: 
(a)
Establishment of the legal framework and mechanism for the administration
and management of Boracay Island for its development and promotion as a world- 
class and eco-friendly smart island community tourist destination; 
(b)
Formulation of a comprehensive long-term Boracay Action Plan (BAP) for
adoption and implementation in coordination with concerned National Government 
Agencies; 
(c)
Development of responsible tourism through the participation of local
communities including indigenous peoples in conserving biophysical and cultural 
diversity; 
(d)
Protection, conservation, and restoration of the environment to ensure a
balanced and healthful ecology; 
(e)
Ensure prompt and accurate collection, analysis, and dissemination of all
data that will provide environmental protection and management; 
(f)
Maintain international standards of excellence in all tourism facilities and
services, and promote the country, more particularly Boracay Island as an 
environmentally sustainable and safety-conscious tourism destination; 


4
(g)
Enhance international business relations to support tourism projects and
environmental protection through partnership and joint venture undertaking 
involving local and foreign investors; 
(h)
Promote programs and activities such as on eco-farm tourism, lifestyle,
medical and wellness, local arts and crafts, outdoor recreation, and other social 
activities like family reunions and celebrations, corporate conferences, and those 
with environmental preservation and conservation themes; 
(i)
Encourage the active participation of the private sector in transforming
Boracay Island into an environmentally sustainable and safety conscious tourism 
destination; 
(j)
Ensure 
sustainable 
funding 
mechanism 
for 
the 
implementation 
of
environment and tourism policies, plans, programs, projects, and activities; and 
(k)
Encourage and safeguard investments, both foreign and local, which will
generate revenues to sustain the environmental and developmental objectives of 
the State through the pursuit of world-class and environmentally-sustainable 
tourism that can compete with other international premier tourist destinations. 
SEC. 5. Definition of Terms. – As used in this Act, 
(a) Ancestral Lands refer to land occupied, possessed, and utilized by
individuals, families, and clans who are members of the Indigenous Cultural 
Communities/Indigenous People (ICCs/IPs) since time immemorial, by themselves 
or through their predecessors-in-interest, under claims of individual or traditional 
group ownership, continuously, to the present except when interrupted by war, force 
majeure or displacement by force, deceit, stealth, or as consequence of government 
projects and other voluntary dealings entered into by government and private 
individuals or corporations, including residential lots, rice terraces or paddies, 
private forests, swidden farms, and tree lots; 
(b) Boracay Island refers to the most popular tourist destination in the
country, located approximately three hundred fifteen kilometers (315 km) south of 
Manila, by plane, and two (2) kilometers off the Northwest tip of the Island of Panay 
in the Western Visayas Region of the Philippines, and whose territory is comprised 
of all the islands and waters around it, including islets within two (2) kilometer radius 
of the islands, as well as the waters around, between, and connecting the islands, 
regardless of breadth and dimension; 


 
5
 
(c) Conservation refers to the wise use of natural resources that assures 
regeneration and replenishment for continuous benefit; 
 
(d) Easement refers to the twenty-five (25) plus five (5) meters “no-build” area 
and setback observed in Boracay Island wherein no building or structures of any 
kind, neither commercial, business, recreational nor residential, whether permanent or 
temporary, is allowed to be constructed or allowed to operate, particularly on the 
beaches around the island including the offshore waters with the exception of 
government facilities for the purpose of safety and security of the general public, 
such as lifeguard stations and communications and surveillance installations; 
 
(e)  Ecology refers to the life-sustaining interrelationships and interactions of 
organisms with each other and with their physical surroundings; 
 
(f) Forest lands refer to the public forests, the permanent forest or forest 
reserves, and forest reservations; 
 
(g) Forest reservations refer to forest lands which have been reserved by the 
President of the Philippines for any specific purpose or purposes; 
 
(h) Graded system of protection refers to a system similar to zoning, where 
different areas are subjected to different levels of protection and development, as 
appropriate; 
 
(i) Natural Resources refer to life-support systems such as the sea, coral 
reefs, soil, lakes, rivers, streams, and forests as well as useful products found 
therein such as minerals, wildlife, trees and other plants, including the aesthetic 
attributes of scenic sites that are not man-made; 
 
(j) Permanent forest or forest reserve refers to those lands of the public 
domain which have been the subject of the present system of classification and 
have been determined to be needed for forest purposes; 
 
(k) Public forest refers to lands of the public domain which have not been the 
subject of the present system of classification to determine which lands are needed 
for forest purposes and those which may be classified into other land classifications 
in accordance with the Constitution; 
 
(l) Smart island community refers to a community where investments in 
human and social capital as well as traditional and modern infrastructure, the wise 
management of natural resources and the empowered participation of community 
thereto fuel sustainable economic growth and a high quality of life; and 


 
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(m) Sustainable development refers to the improvement in the quality of life 
of the present and future generations through the complementation of development 
and environmental protection activities and programs. 
 
 
SEC. 6. Creation of Boracay Island Development Authority (BIDA), 
Term, Coverage, and Jurisdiction. - There is hereby created a government- 
owned and controlled corporation to be known as the Boracay Island Development 
Authority (BIDA), hereinafter known as the “Authority”, to manage, develop, operate, 
preserve, and rehabilitate in accordance with the provisions of this Act the Boracay 
Island Development Zone, hereinafter referred to as the “Development Zone”. 
 
 
The Authority shall exist for fifty (50) years counted from the effectivity of this 
Act. 
 
The metes and bounds of the Development Zone shall include the entirety of 
Boracay Island and surrounding islets including Barangay Caticlan and may be 
extended by the President of the Philippines through an Executive Order. 
 
The Development Zone shall be transformed into a self-sustaining industrial, 
commercial, leisure, financial, and investment center to generate employment 
opportunities and attract and promote productive local and foreign investments, 
while strictly prioritizing the protection and preservation of the natural resources and 
biodiversity of Boracay Island: Provided, That the exercise of the Authority’s powers 
and functions shall in no way diminish the autonomy of the local government units 
(LGUs) concerning purely local matters within the framework and subject to the 
mandate and limitations of the Constitution and the pertinent provisions of the Local 
Government Code of 1991. 
 
SEC. 7. Location of Principal Office. - The Authority shall maintain its 
principal office in Boracay Island without prejudice to the establishment of branch 
or satellite offices in such other places as are deemed necessary for the proper 
conduct of its business. 
 


 
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SEC. 8. Corporate Powers of the Authority. - The Authority shall exercise 
the following powers and functions: 
(a) 
Formulate and implement the Boracay Action Plan (BAP) geared 
towards investment sustainability and balanced development in Boracay; 
(b) 
Ensure the preservation of the cultural heritage of the island; 
(c) 
Regulate the maintenance of facilities, infrastructures, construction, 
and other services in the island, and pursuant thereof, fix fair and reasonable rates 
and charges; 
(d) 
Adopt, alter, or use a corporate seal; 
(e) 
Subject to existing laws, contract, lease, buy, sell, acquire, own, or 
dispose movable and immovable as well as personal and real property of whatever 
nature, including shares of stock or participation in private corporations or in limited 
partnerships, or in joint ventures with limited liability, bonds, precious metals, 
bullions, ingots, and easily convertible foreign exchange: Provided, That no real 
property thus acquired and any other real property shall be sold without the approval 
of the President of the Philippines; 
(f) 
Sue and be sued in order to carry out its duties, responsibilities, 
privileges, powers and functions as granted and provided for in this Act; 
(g) 
Exercise the power of eminent domain within its jurisdiction insofar as 
it may be reasonably necessary for the efficient maintenance and operation of 
services, the preservation of biodiversity and environmental conditions of the island, 
and to maximize public returns on government and private sector investments; 
(h) 
Enter into, make, perform and carry out contracts of every class, kind, 
and description which are necessary or incidental to the realization of its purposes with 
any person, firm or corporation, private or public, and with foreign government 
entities; 
(i) 
Within the limitation provided by law, raise or borrow adequate and 
necessary funds from local or foreign sources to finance its projects and programs 
under this Act, and for that purpose to issue bonds, promissory notes, and other 
forms of securities, and to secure the same by a guarantee, pledge, mortgage, deed 
of trust, or an assignment of all or part of its property or assets; 
(j) 
Establish a mechanism for the sustainable development and use of 
the Development Zone, defining for the purpose the mode of acquisition for certain 
parcels of the public domain classified as land open to disposition: Provided, That 


 
8
the Authority may recommend to the President of the Philippines, in consultation 
with concerned agencies and local government authorities, the reclassification or 
subclassification of lands within its territorial jurisdiction to spur ecologically 
balanced economic growth and development; 
(k) 
In coordination with concerned government agencies, establish a 
graded system of protection and development control over the entire area of the 
Development Zone, including its tribal lands, forests, mines, agricultural areas, 
settlement areas, biodiversity, coastal areas, mangroves, coral reefs, seagrass 
beds and the surrounding sea; 
(l) 
Establish facilities on public domain classified as land open for 
disposition for the purpose of safety and security of the Development Zone, such as 
lifeguard stations and communications and surveillance installations; 
(m) 
Accept any local or foreign grant, assistance, bequeath, and 
donations of all kinds from government and private sectors and utilize the same, 
subject to such rules and regulations to be promulgated by and in conformity with 
the internal policies of the Authority without prejudice to existing laws, rules and 
regulations; 
(n) 
Coordinate with the Municipality of Malay to promote, approve, 
accept, accredit, and allow any local or foreign business, enterprise, or investment 
in the Development Zone subject only to the nationalization limits imposed by the 
Constitution, and to such rules and regulations as may be promulgated from time to 
time in conformity with the provisions of this Act; 
(o) 
Authorize or undertake on its own or through others, and regulate in 
coordination with the concerned government agencies, the establishment, 
operation, and maintenance of public utilities, waste management systems, 
services, and infrastructure in the Development Zone such as shipping, barging, 
stevedoring, cargo handling, hauling, warehousing, storage of cargo, port services 
or concessions, piers, wharves, bulkheads, bulk terminals, mooring areas, storage 
areas, roads, bridges, terminals, conveyors, water supply and storage, sewerage, 
drainage, economic aspect of air transportation, electricity and power supply, 
telecommunications facilities, and such other services or concessions or 
infrastructure, necessary or incidental to the accomplishment of the objectives of 
this Act; 


 
9
(p) 
Impose fees and charges for the protection and sustainability of the 
environment and surrounding islands; 
(q) 
Manage and impose fees or charges on the utilization of lands 
acquired by the Authority and share income from the tenurial instruments issued by 
the DENR subject to existing laws, rules and regulations; 
(r) 
Construct, acquire, own, lease, operate and maintain on its own or 
through others by virtue of contracts, franchises, licenses or permits under the Build- 
Operate-Transfer scheme or under a joint-venture with the private sector, any or all 
of the public utilities and infrastructure required or needed in the Development Zone, 
in coordination with the appropriate national government authorities and in 
conformity with applicable laws thereon; 
(s) 
Recognize, protect, and promote the rights of the indigenous cultural 
communities or indigenous peoples ICCs/IPs to participate in decision making 
matters directly affecting their lives, beliefs, institutions, spiritual well-being, and the 
lands they own, occupy, or use in conformity to the framework of unity and 
development mandated by the Constitution and applicable norms and principles; 
(t) 
Protect, maintain, and develop forestlands, protected areas, and 
wetlands in accordance with DENR rules and regulations and the pertinent laws and 
regulations implemented by other government agencies in order to conserve 
specific terrestrial and marine areas representative of the Philippine natural and 
cultural heritage for present and future generations; 
(u) 
Adopt and implement measures and standards, following the ridge-to- 
reef approach to prevent or mitigate environmental pollution of all areas within the 
Development Zone. To this end, the Authority may enact and enforce 
environmental 
pollution 
control 
measures 
to 
maintain 
and 
improve 
the 
environmental quality of water sources, rivers, streams, creeks, wetlands, coastal 
areas: Provided, That these measures and standards shall not be lower than the 
minimum standards imposed by the DENR and its Environment Management 
Bureau, the Department of Health (DOH), and such other relevant government 
agencies; 
(v) 
Identify and endorse the licensing of tourism projects: leisure, 
amusement, recreational, entertainment, eco-farm tourism and learning sites, 
medical tourism, and sports related activities, subject to priorities and standards set 
by law as implemented by concerned government agencies: Provided, That gaming 


 
10
facilities shall continue to be licensed by the Philippine Amusement and Gaming 
Corporation (PAGCOR) upon recommendation of the Authority: Provided, 
furthermore, That accreditation of eco-farm tourism and learning sites shall continue 
to be under the authority of the Department of Agriculture (DA) upon 
recommendation of the Authority: Provided, finally, That the designation and 
certification of hospitals and clinics for medical tourism purposes shall continue to 
be exercised by the DOH upon written endorsement of the Authority; 
(w) 
Coordinate with the appropriate government agencies and the LGUs 
concerned in the enforcement of its policies, rules and regulations to ensure that plans, 
programs and projects of all stakeholders are aligned with the developmental, 
management, and protection plans of the Authority; 
(x) 
Ensure the existence of the basic components of the Philippine 
criminal justice system in the Development Zone in order to address crimes affecting 
local and foreign residents, tourists, and investors, in coordination with the relevant 
national government agencies including recommending to the Supreme Court the 
designation of special courts to hear and try such cases. For this purpose, the 
Authority may establish a Boracay Law Enforcement, Safety and Security Service 
(BLESSS) in coordination with the following agencies with regard to their respective 
jurisdictions and mandates: 
i. 
The Department of the Interior and Local Government (DILG) shall 
assign a composite team to the Authority from the Philippine National Police 
(PNP), including the PNP-Aviation Security Group and Bureau of Fire 
Protection (BFP), to act as support units: Provided, That they shall be 
under the direct control and supervision of the DILG Central Office for 
policy direction and coordination and not the regional and provincial 
directorate of their respective units; 
ii. 
The Department of Justice (DOJ) shall provide a dedicated prosecution 
team and personnel from the Bureau of Immigration and National Bureau 
of Investigation to the Authority as support, who shall all be under the 
direct control and supervision of the DOJ Central Office for policy direction 
and coordination and not the regional and provincial directorate; 
iii. 
The Philippine Coast Guard (PCG) shall provide a detailed service to the 
Authority as support: Provided, That such PCG unit shall be under the 


 
11
direct control and supervision of the PCG Central Office for policy direction 
and coordination, and not the regional and provincial directorate; 
iv. 
The Department of Transportation (DOTr) shall provide a dedicated 
Land Transportation Office (LTO) Licensing and Registration Team to the 
Authority as support which shall be under the direct control and 
supervision of the DOTr Central Office and not the regional and provincial 
directorate; and 
v. 
The DENR shall provide a dedicated team to the Authority as support, 
that shall be under the direct control and supervision of the DENR- 
Central Office for policy direction and coordination and not the regional 
and provincial offices. 
(y)  
Create its own security force and firefighting capability or hire others to 
provide the same; 
(z) 
Adopt, amend, enforce, and rescind its rules and regulations to 
conform with national laws and impose reasonable fines to effectively implement 
the provisions of this Act; 
(aa) 
Issue rules and regulations consistent with the provisions of this Act 
as may be necessary to implement and accomplish the purposes, objectives and 
policies herein provided; 
(bb) 
Exercise such powers as may be essential, necessary, or incidental 
to the powers granted to it hereunder as well as those that shall enable it to carry 
out, implement and accomplish the purposes, objective and policies of this Act; 
(cc) 
Adopt and implement measures and standards for environmental 
pollution control of all areas within its territory, including all bodies of water and to 
enforce the same, for which purpose the Authority shall create an ecology center 
that shall undertake studies and recommend programs and projects to improve the 
health and determine the environmental impacts of residents and guests in Boracay 
Island; 
(dd) 
Impose environmentally related conditions on investments and 
enterprises within its jurisdiction in addition to conditions already required by law; 
(ee) 
Order the demolition or removal of structures illegally constructed in 
public areas, including road and beach easements, wetlands and forest land areas. 
Such demolition or removal shall be carried out by the Department of Public Works 
and Highways (DPWH) upon the recommendation of the Authority; 


 
12
(ff) 
Order the closure, cessation of operations, suspension, or stoppage 
of development or construction of establishments for non-compliance with the terms 
and conditions of permits and licenses issued to them, or violations of any provision 
of this Act, or the rules and regulations issued by the Authority and existing laws; 
(gg) 
Regulate and control the entry of people, especially informal settlers, 
vehicles, supplies and materials to the island consistent with the prevailing carrying 
capacity study; 
(hh) 
Adopt, amend, and rescind such rules and regulations and impose 
reasonable fines and penalties for the effective implementation of the provisions of 
the Act; 
(ii) 
Formulate and implement innovative management techniques and 
strategies for the enforcement of a land use scheme and zoning plan, buffer zone 
management 
for 
multiple 
use 
and 
protection, 
habitat 
conservation 
and 
rehabilitation, diversity management, community organizing, socioeconomic and 
scientific researches, site-specific policy development, pest management, fire 
control, and such other aspects incidental and necessary to the lawful 
implementation of the Authority’s mandate; 
(jj) 
Authorize the establishment of appropriate educational and medical 
institutions; 
(kk) 
Promulgate rules and regulations, set policies and standards 
governing the delivery of basic services, and prescribe and collect service and 
regulatory fees; 
(ll) 
Endorse to the Bureau of Immigration for approval the issuance of 
working visas to foreign executives and other aliens working within the Development 
Zone as long as their roles are managerial, technical, or advisory in nature. In 
addition, the Authority may also recommend to the Bureau of Immigration the 
issuance of special non-immigrant visas with multiple entry privileges to non- 
resident foreign nationals: Provided, That they are investors, supervisors, or 
advisers. This privilege shall extend to their spouses and unmarried children below 
twenty-one (21) years old; and 
(mm) Perform such other powers as may be necessary under existing laws 
to carry out the purposes of this Act. 
 


 
13
SEC. 9. Functions of Other Government Agencies. - For purposes of 
implementing and facilitating paragraphs (n) and (o) of the preceding Section, the 
following agencies shall undertake the following: 
(a) 
The Department of Finance shall provide a Revenue District Office 
(RDO) and a Customs District Office for BIDA and nearby municipalities; 
(b) 
The Department of Trade and Industry (DTI) shall establish a satellite 
office to handle all matters related to international marketing of investments and 
trade opportunities, as well as other functions of the DTI in support of and that do 
not conflict with BIDA; and 
(c) 
The Securities and Exchange Commission shall establish a satellite 
office in the Development Zone for the registration and regulation of all corporations 
domiciled therein. 
 
SEC. 10. Taxes and Fees of the Boracay Island Development Zone. – 
(a) 
Any provision of existing law, rules or regulations to the contrary 
notwithstanding, all local and national taxes shall be imposed on business 
establishments operating and registered within the Development Zone: Provided, 
That the power to impose and collect real estate taxes shall be retained by the 
Provincial Government of Aklan and the Local Government of Malay, respectively; 
and 
(b) 
The Authority may also impose fees, imposts, and assessments as 
may be deemed necessary for the sustainability of its operations. 
 
SEC. 11. Board of Directors. – The powers of the Authority shall be vested 
in and exercised by a Board of Directors, hereinafter referred to as the Board, which 
shall be composed of eleven (11) members, as follows: 
1. 
Chairperson of the Board to be appointed by the President of the 
Philippines; 
2. 
Administrator and Chief Executive Officer of the Authority, as ex officio 
Vice Chairperson; 
3. 
Secretary of the DENR as ex officio member; 
4. 
Secretary of the DOT as ex officio member; 
5. 
Secretary of the DTI as ex officio member; 
6. 
Secretary of the DILG as ex officio member; 


 
14
7. 
Governor of the Province of Aklan as ex officio member; 
8. 
Mayor of the Municipality of Malay, Aklan, as ex officio member; and 
9. 
Three (3) representatives from the business sector. 
 
The ex officio board members of the Authority may designate their respective 
alternates whose acts shall be considered the acts of their principals: Provided, That 
these alternates shall either be an Undersecretary of a cabinet secretary or a 
department head of the LGU. 
 
A member of the Board shall be a Filipino citizen, of good moral character, 
and of recognized competence in relevant fields including business, economics, 
environment, tourism, engineering, or law. Appointees to the Board shall observe 
and undergo the process of appointment in accordance with Chapter IV of Republic 
Act No. 10149 or the GOCC Governance Act of 2011. 
 
SEC. 12. Functions of the Board. – The Board shall have the following 
powers and functions: 
(a) 
Determine the organizational structure of the Authority and define the 
duties and responsibilities of all officials and employees in accordance with civil 
service laws, rules and regulations and evaluation and approval of the Department 
of Budget and Management (DBM); 
(b) 
Create such divisions and positions as may be deemed necessary for 
the efficient, economical and effective conduct of the activities of the Authority; 
(c) 
Appoint all officials down to the third level and authorize the 
Administrator to appoint all other officials and employees of lower rank: Provided, 
That all appointments shall be on the basis of merit and fitness and all personnel 
action shall be in accordance with Civil Service laws, rules and regulations; 
(d) 
Prepare the annual budget of the Authority, and a supplemental 
budget when necessary; and 
(e) 
Submit to the President of the Philippines and the Senate and the 
House of Representatives of the Philippines an annual report and such other reports 
as may be required. 
 


 
15
SEC.13. Board Meetings. – The Board shall meet at least once every three 
(3) months, and its meetings shall be called by the Chairperson or upon written 
request signed by majority of the members. The Chairperson and the members of 
the Board, except ex officio members, shall be entitled to allowances and per diem 
in accordance with existing policies, rules and regulations. 
 
SEC. 14. Administrator of BIDA. – The President of the Philippines shall 
appoint a full-time professional and competent Administrator for the Authority who 
shall also act as the Chief Executive Officer of the BIDA. The Administrator shall 
have a term of office in accordance with Section 17 of Republic Act No. 10149 or 
the GOCC Governance Act of 2011. In case the Administrator is removed for cause, 
any one appointed to the position shall serve only the unexpired portion of term of 
the Administrator. The Administrator shall be responsible to the Board and the 
President of the Philippines for the efficient administration and management of the 
Development Zone. 
 
SEC. 15. Qualifications of the Administrator. – No person shall be 
appointed as Administrator unless one is a natural-born Filipino citizen, a 
stakeholder or resident of the Development Zone for at least ten (10) years, of good 
moral character and unquestionable integrity, has not participated in the preceding 
three (3) local elections for government office, with relevant ten (10) years of 
experience, and of recognized competence in the areas of business administration, 
economics, hotel and restaurant management, tourism promotions, tourism 
management, investment promotions, real estate development, real estate 
management, or law. 
 
The Administrator and all officials and employees of the Authority shall be 
entitled to compensation and benefits in accordance with the Salary Standardization 
Law. 
 
SEC. 16. Powers and Functions of the Administrator and Chief 
Executive Officer. – The Administrator of the BIDA shall have the following powers 
and duties: 


 
16
(a) 
Submit for consideration of the Board the policies and measures 
deemed necessary to carry out the purposes and provisions of this Act; 
(b) 
Execute and administer the policies, plans, programs, and projects 
approved by the Board; 
(c) 
Direct and supervise the operation and internal administration of the 
Authority and delegate certain administrative responsibilities to other officers, 
subject to the rules and regulations of the Board; 
(d) 
Develop and submit its organizational structure and staffing pattern, 
as approved by the Board, to the Civil Service Commission (CSC) and the DBM for 
consideration and approval; 
(e) 
Appoint officials and employees below the rank of division heads to 
positions in the approved organizational chart; and 
(f) 
Exercise such other powers and duties as may be vested by the Board 
from time to time. 
 
SEC. 17. Supervision, Capitalization, and Operating Start-up Capital. – 
The Authority shall be under the direct control and supervision of the Office of the 
President of the Philippines for purposes of policy direction and coordination and shall 
execute the powers and functions herein vested and conferred upon, in such 
manner as will, in its judgement, aid to the fullest possible extent the fulfillment of 
the goals and purposes set forth in this Act. 
 
It shall have an authorized capital of One billion pesos (P1,000,000,000.00) 
representing no par shares with a minimum issue value of Ten pesos (10.00) each. 
 
The initial amount necessary to subscribe and pay for the shares of stock 
shall be included in the annual General Appropriations Act of the year following its 
enactment into law and thereafter. 
 
The Board may, from time to time, and with the written concurrence of the 
Secretary of Finance, increase the value of the shares representing the capital stock 
of the Authority. The national government shall own one hundred per centum 
(100%) of the total shares issued and outstanding capital stock of the Authority. 
 


 
17
SEC. 18. Auditing and Corporate Governance. – The Commission on Audit 
shall appoint a representative who shall serve as a full-time auditor for the Authority. 
 
The performance of the Authority in terms of its social and environmental 
impact shall also be audited. 
 
SEC. 19. Research and Development Division. – The Authority, in 
coordination with the DOST, Ecosystems Research and Development Bureau of 
the DENR (DENR-ERDB), concerned government agencies, and academic 
research institutions may establish a research and development division for the 
prevention and control of environmental and resource degradation. The Authority 
shall conduct and promote the coordination and acceleration of research, 
investigation, studies, investment, trainings, and surveys relating to the causes, 
extent, prevention, and control of environmental degradation of the natural 
resources of the Development Zone. 
 
SEC. 20. Relationship of the Authority and the Local Government Units. 
– 
(a) 
The provisions of existing laws, rules and regulations to the contrary 
notwithstanding, the Authority shall exercise administrative powers, rulemaking 
powers, and shall be authorized to disburse funds, and to require the accreditation 
of enterprises to ensure compliance with the developmental, management, and 
protection plans in the Development Zone; 
(b) 
In no case shall any provision of this Act result in the diminution of 
local taxing authority, which shall be limited to real property taxation, to which only 
fair, reasonable, and just rates, charges, and fees shall be imposed; and 
(c) 
Basic social services to the general community, such as health and 
medical services, family planning, child care, school services, education, and 
disaster recovery services shall be under the authority of the LGUs concerned and 
to the extent that it can, shall be supported by the Authority. 
 
SEC. 21. Penal and Civil Liability. – Any person, natural or juridical, shall 
be liable for imprisonment not exceeding five (5) years or a fine not exceeding One 
hundred thousand pesos (P100,000.00) or both at the discretion of the Court for: 


 
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a. 
Obstructing or impeding the execution of demolition orders; 
b. 
Disobeying cease and desist, closure, or suspension orders; 
c. 
Operating business establishments without the necessary permits 
and licenses from the Authority and other concerned government offices; 
d. 
Violating the conditions stipulated in the clearances or permits issued 
by the Authority; and 
e. 
Violating any of the provisions of this Act or any rules or regulations 
promulgated by the Authority. 
 
If the violator is found to be a corporation, partnership, or association, the 
officer or officers of the organization concerned shall be liable thereof. 
 
The Authority may file criminal charges and pursue separate civil actions for 
damages resulting from infractions of the provisions of this Act and rules and 
regulations issued pursuant thereto. 
 
SEC. 22. Implementing Rules and Regulations. – Within ninety (90) days 
after the passage of this Act, the Board shall, after consultation with the 
stakeholders of the Authority and concerned government agencies promulgate the 
rules and regulations for the effective implementation of this Act. 
 
SEC. 23. Separability Clause. – If any provision of this Act is declared invalid 
or unconstitutional, the other provisions not affected thereby shall remain valid and 
subsisting. 
 
SEC. 24. Repealing Clause. – All laws, executive orders, memorandum 
circulars, guidelines, and other issuances or parts thereof, which are inconsistent 
with this Act, are hereby repealed or modified accordingly. 
 
SEC. 25. Effectivity. – This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in newspaper of general circulation. 
 
Approved,