Republic of the Philippines
Congress of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

4114

HOUSE BILL NO.

Introduced by Representative Manuel Jose M. Dalipe

PLANATORY NOTE

This bill seeks the creation of Zamboanga City Intemational Airport Authority
(ZCIA Authority), a government entity clothed with corporate personality and
sufficient powers and authority to efficiently manage and administer the operations of
the Zamboanga City International Airport (ZCIA).

This proposed measure was first filed in the 10" Congress and subsequently
filed in the previous Congresses by our respective Zamboanga City District
Representatives but remained pending upon adjournment

The Zamboanga City International Airport in Zamboanga City is one of the
country’s major airports in Mindanao catering to thousands of travelers not only from
Zamboanga City but also the from the rest of Western Mindanao including ARMM
provinces of Basilan, Sulu, and Tawi-tawi.

With the creation of ZCIA Authority, we hope to achieve the desired degree of
efficiency, effectiveness, and economy in the operations of the ZCLA being the center
of air traffic in Western Mindanao. The people of Zamboanga City and the entire
Western Mindanao will surely benefit from the establishment of ZCIA as it is expected
(o further boost city tourism and accelerate the growth and development of the region
and nearby provinces,

In view of the foregoing, the passage of this bill is eamestly sought

MANUEL JOSE )
Representative, 2" Distri


Republic of the Philippines
Congress of the Philippines
"ATIVES

Quezon Ci

SEVENTEENTH CONGRI
First Regular Session

4114

HOUSE BILL NO.

Introduced by Representative Manuel Jose M. Dalipe

CREATING THE ZAMBO. RNATIONAL AIRPORT.
AUTHORITY TO ADMINI: AND OPERATE THE ZAMBOANGA CITY
INTERNATIONAL AIRPORT AND APPROPRIATING FUNDS THEREFOR

Be it enacted by the Senate and the House of Representatives of the Philippines
in the Congress assembled:

ION 1. Short Title. This Act shall be known as the “Charter of the
Zamboanga City International Airport Authority.”

SEC. 2, Zamboanga City International Airport Authority. There is hereby
established a body corporate to be known as the Zamboanga City International Airport
Authority, hereinafier referred to as “The Authority,” which shall be attached to the
Department of Transportation. The principal office of the Authority shall be located at
the Zamboanga City International Airport in Zamboanga City

The Authority may have such branches, agencies or subsidiaries as it may

deem proper and necessary

SEC, 3, Objectives. The Authority shall principally undertake the economical,
efficient and effective control, management and supervision of the Zamboanga Cit
International Airport, hereinafter also referred to as the “Airport” in Zamboanga ¢
In addition, the Authority shall have the following objectives

a) Encourage, promote and develop international and domestic air traffic in
Western Mindanao as a means of making the region a center of international
trade and tourism, and accelerating the development of the means of
transportation in the country; and

b) Upgrade the services and facilities of the Zamboanga City International
Airport and. formulate internationally acceptable standards. of airport
sommodation and service.



SEC, 4, Duties and Functions. ‘The Authority shall ¢
duties and functions:

a) Formulate a comprehensive and integrated development policy and
program, including expansion, for the Zamboanga City International Airport
and any other airports that it may operate and implement, review and update
such policy and program periodically;

rvise the following

b) Control, supervise, construct, maintain, operate, expand and provide such
facilities or services as shall be necessary for the efficient functioning of the
Zamboanga City International Airport or other airports that would come
under its jurisdiction;

©) Promulgate rules and regulations governing the planning, development
maintenance, operation and improvement of the Zamboanga City
International Airport, and control and supervise the construction of any
structure or the rendition of any service within the Zamboanga City
International Airpor

c)) Exercise all the powers of a corporation under Batas Pambansa Bla, 68,
otherwise known as the “Corporation Code of the Philippines, " insolar as
those powers are not inconsistent with the provision of this Act;

Acquire, purchase, own, administer, lease, mortgage, sell or otherwise
dispose of a land, building, airport facility, or property of whatever kind and
nature, whether movable or immovable, or any interest therein; Provided
That any asset located in Zamboanga City International Airport important
to national security shall not be subject to alienation or mortgage by the
Authority nor to transfer to any entity other than the National Government:

J) xercise the power of eminent domain in the pursuit of its purposes and
objectives:

w To sue and be sued:
fi) Levy and collect dues, charges, fees or assessment for the use of airport

premises, works, appliances, facilities or concessions, or for any service
provided by the Authority

i) Retain and appropriate dues, fees and charges collected by the Authority
relative to the use of airport premises for such measures as may be necessary
to make the Authority more effective and efficient in the discharge of its

signed tasks:

J) Invest its idle funds, as it may de
other evidences of indebtedness:

em proper, in government securities

4) Provide services, whether on its own or otherwise, within the Zamboanga
City International Airport and the approaches thereof as may be necessary



or in connection with the maintenance and operation of the Zamboanga City
International Airport and their respective facilities.

SEC. 5. Police Authority, The Authority shall have the power to exercise such
police authority as may be necessary within its premises or areas of operation to carry
out its functions and attain its purposes and objectives: Provicedt That the Authority
may request the assistance of law enforcement agencies, including, request
deputization as may be required. Such police authority shall be exereised in conneetion
with the following, among others:

4) Maintenance of security to passengers, cargoes, aircraft, airport equipment,
structures, facilities, personnel, fiunds and documents;

to, exits from and movement within the

b) Regulation of the entry

irports:

©) Maintenance of peace and order within the premises of the Zamboanga City
Intemational Airport;

) Regulation and. supervision of private security agencies operating in the
Zamboanga City International Airport:

©) Enforcement of rules and regulations promulgated by the Authority pursuant
to law; and

£) Incase of emergencies or imminent danger involving national security within
the airport premises, the Philippine Air Force Security Command shall take
charge,

SEC, 6, Board of Directors, The corporate powers of the Authority shall be
exercised by and vested in the Board of Directors which shall be composed of a
Chairman, a Vice-Chairman and seven (7) members, ‘The Secretary of Transportation
and the General Manager of the Authority shall be the ex officio Chairman and Vice
Chairman of the Board, respectively.

‘The Assistant Secretary of the Air Transportation Office and the Secretaries of the
following executive departments or any Undersecretary or Assistant Secretary
designated by the respective Secretaries shall be ex afficio members, to wit: Department
of Finance, Department of Justice and Department of Tourism, In addition, two (2)
members from the private sector who are residents of Zamboanga City shall be
appointed by the President of the Philippines for a term of four (4) years, ‘The Mayor
of Zamboanga City or his duly authorized representative shall be the seventh member

‘The Board shall promulgate its rules relative to meetings, quorum requirements
and compensation or allowances of the members of the Bo

*. 7. Functions of the Board. The Board shall exercise the following functions:

procedures and guidelines of
ion of the Zamboanga City

4) Define and approve the programs, plans, policies,
the Authority for the development and op
International Airport;



b) Appoint the General Manager of the Authority who shall be the chief exeeutive
officer of the Authority;

©) Approve the Authority’s organizational and administrative structure, staffing
pattern, operating and capital expenditures, and financial budgets, upon
recommendation of the General Manager subject to existing laws, rules and
regulations:

dl) Approve salary ranges, benefits and other terms and conditions of service for
all officers and employees of the Authority, which shall, as far as possible, be
competitive with those offered in the private sector, subject to existing, laws,
rules and regulations;

©) Fix the rate of dues, charges, fees, or assessments for the use of airport
premises, works, appliances, facilities, concessions, services and other fees and
charges related to the activities of the airports, upon recommendation of the
General Manager; and

f) Exercise all the functions and powers necessary or incidental to attain the
purposes and objectives of this Act

SEC. 8, Duties of the General Manager. The General Manager shall be directly
responsible to the Board and exercise the following duties:
a) Direct and supervise the day-to-day management, operation and administration

of the

mboanga City International Airport;

b) Implement and enforce decisions, orders, rules and regulations issued,
prescribed or adopted by the Boar

©) Undertake researches, studies, investigations and other activities related to the
present operations and future improvement of the Zamboanga City
International Airport, and submit comprehensive reports and appropriate
recommendations to the Board for proper action:

d) Appoint, transfer, suspend, remove or otherwise discipline any subordinate
officer or employee of the Authority, subject to the approval of the Board and
in accordance with the existing rules and regulations of the Civil Service
Commission;

©) Within the limits of Authority, delegated to him by the Board, execute
contracts, incur obligations, acquire and dispose of assets, and deliver
documents on behalf of the Authority;

£) Grant permits or concessions to do business within the airports in accordance
With such rules and regulations to be promulgated by the Authority for the
purpose; and



2) Perform such other duties as the Board ma
Is may be neces

y delegate or assign, and such acts
ry and proper to implement this Act

See. 9, Author
equal to:

a) The value of fixed assets, including airport facilities, runways and equipment
and such other properties, movable and immovable, currently administered by
or belonging to the Zamboanga City International Airport as valued on the date
of the effectivity of this Act;

70d C

pital. The Authority shall have an authorized capital stock

b) ‘The value of such real estate owned or administered by the Zamboanga City
Intemational Airport; and

©) Government contribution in such amount as may be deemed an appropi
initial balance, Such initial amount, as approved by the President of the
Philippines, which shall be more or less equivalent to six (6) months working,
pital requirement of the Authority, is hereby authorized to be appropriated in
the annual General Appropriations Act of the year following the effectivity of
this Act

thereafter, the government contribution to the capital of the Authority shall be
provided for in the annual General Appropriations Act

SEC. 10, Resident Auditor. The Commission on Audit shall appoint a
representative who shall be the auditor of the Authority, together with the necessary
personnel to assist said representative in the performance of his duties. ‘The number
and salaries of the auditor and said personnel shall be determined by the chairman of
the Commission on Audit, subject to the rules and regulations of the Commission on
Audit,

The Auditor shall as soon as practicable, but not later than three (3) months after
the accounts have been submitted for audit, send an annual report to the Board. ‘The
auditor may also submit such periodic or special reports as the Board may deem
necessary.

Sec. 11, Annual Report, An annual report of the activities and operations of the
Authority, together with the audit report shall be submitted by the Board to the President
of the Philippines and both Houses of Congress of the Philippines through the
Department of ‘Transportation,

Sec, 12. Applicability of Civil Service Laws. The Authority and its officials and
employees shall be subject (0 the existing civil service laws and its rules and
regulations.

See, 13, Borrowing Power. ‘The Authority may
Article XII of the Constitution and other existing laws, rules a
or foreign borrowing, raise funds, either from local or international source:
loans, credit or securities, and other financing instruments with the power 0 create
pledges, mortgages and other voluntary liens or encumbrances on any of its assets or
properties, subject to the prior approval of the President of the Philippines.



All loans contracted by the Authority under this section, together with all interests
and other sums payable in respect thereof, shall constitute a charge upon all the
revenues and assets of the Authority and shall rank equally with one another, but shall
have priority over any other claim or charge on the revenue and assets of the Authority
Provided, That this provision shall not be construed as a prohibition or restriction on
the power of the Authority to create pledges, mortgages and other voluntary liens or
encumbrances on any asset or property of the Authority.

The payment of the loans or other indebtedness of the Authority may be guaranteed
by the National Government subject to the approval of the President of the Philippines.

See, 14. Tax Exemptions. ‘The Authority shall be exempt from realty taxes
imposed by the National Government or any of its political subdivisions, agencies and
instrumentalities: Provided, That no tax exemption herein granted shall extend to any
subsidiary which may be organized by the Authority

Sec. 15. Transfer of Existing Facilities and Intangible Asset. All existing public
airport facilities, runways, lands, buildings and other properties, movable ot
immovable, belonging to or presently administered by the Zamboanga City
International Airport, and all assets, powers, rights, interests and privileges relating to
airport works or air operations, including all equipment necessary for the operation of
air navigation, acrodrome control towers, crash, fire and rescue facilities are hereby
transferred to the Authority: Provided, however, That the operational control of all
equipment necessary for the operation or radio aids to air navigation, airways
communication, the approach control office, and the area control center shall be
retained by the Air Transportation Office. No equipment, however, shall be removed
by the Air Transportation Office from Zamboanga City International Airport without
the concurrence of the Authority. ‘The Authority may assist in the maintenance of the
Air Transportation Office equipment.

See. 16, Projects in Progress. All ongoing projects relating to the construction of
Zamboanga City Intemational Airport facilities and supply of equipment shall be
administered and undertaken by the Authority.

¢. 17, Transfer of Liabilities and Debts. Upon the transfer to and acceptance
by the Authority of the existing physical facilities, intangible assets and completed
projects referred to in the preceding sections, all debts, liabilities, and obligations of
government agencies or entities concerned in respect of such physical facilitie
tangible assets and completed projects within the Zamboanga City International Airport
shall likewise be assumed by the Authority.

18. Transitory Provision, The General Manager of the Zamboanga City
International Airport shall continue in office and shall perform all powers and functions
of the Authority until such time as the General Manager is appointed in accordance with
the provisions of this Act. Officials and employees whose services are terminated shall
if not eligible for retirement, be given gratuities equivalent to one (1) month salary for
every year of continuous satisfactory service on the basis of the highest salary
in addition to other benefits accorded to them by existing laws.



Sec. 19, Repealing Clause, All laws, executive orders, letters of instructions, rules
and regulations, or provisions thereof which are inconsistent with the provisions of this
Act are hereby repealed, amended or modified accordingly

See, 20, Separability Clause, Ifany provision or part of this Act is declared invalid
or unconstitutional, such parts or provisions not affected thereby shall remain in full
force and effect.

See, 21. Wffectivity, This Act shall take effect fifteen (15) days afier its publication
in the Official Gazette or in a newspaper of general circulation,

Approved,