Republic of the Philippines  
HOUSE OF REPRESENTATIVES 
Quezon City  
NINETEENTH CONGRESS 
Third Regular Session  
HOUSE BILL NO. 10927 
Introduced by HON. FLORIDA “RIDA” P. ROBES 
AN ACT ESTABLISHING A SPECIAL ECONOMIC ZONE IN THE CITY OF SAN 
JOSE DEL MONTE, BULACAN, CREATING FOR THE PURPOSE THE SAN JOSE 
DEL MONTE SPECIAL ECONOMIC ZONE AUTHORITY, AND APPROPRIATING 
FUNDS THEREFOR 
EXPLANATORY NOTE 
Article II, Sec. 20 of the 1987 Constitution states that, “The State recognizes the 
indispensable role of the private sector, encourages private enterprise, and provides incentives 
to needed investments.” 
Republic Act No. 7916, as amended by Republic Act No. 8748, provided for the 
framework on the establishment of special economic zones that shall encourage and induce 
private sector participation in industrial, economic and social development in the country. It 
also grants fiscal incentives and the simplification of business operations and documentation. 
The City of San Jose del Monte, a 1st class city in the province of Bulacan was the first 
recorded city in the province and is also known for its numerous resettlement areas. As time 
passed by, it transformed its identity from a resettlement area into a dynamic, productive and 
progressive city. With its increasing human capital, substantial land size, infrastructure 
facilities, proximity to urban areas and transportation hubs, San Jose del Monte city fits all 
characteristics for an optimum site of an economic zone. 
Moreover, a special economic zone shall extend numerous job opportunities, bolster 
economic growth and development, and increase local revenues. It shall aid in the 
decentralization from the urban areas contiguous to the city of San Jose del Monte and in 
upgrading the quality of life of its population and that of its nearby municipalities. 
In view of the foregoing, the immediate passage of this measure is earnestly sought. 
FLORIDA P. ROBES 
September 18, 2024
11:28 am


Republic of the Philippines  
HOUSE OF REPRESENTATIVES 
Quezon City  
NINETEENTH CONGRESS 
Third Regular Session  
HOUSE BILL NO. 10927 
Introduced by HON. FLORIDA “RIDA” P. ROBES 
AN ACT ESTABLISHING A SPECIAL ECONOMIC ZONE IN THE CITY OF SAN 
JOSE DEL MONTE, BULACAN, CREATING FOR THE PURPOSE THE SAN JOSE 
DEL MONTE SPECIAL ECONOMIC ZONE AUTHORITY, AND APPROPRIATING 
FUNDS THEREFOR 
Be it enacted by the Senate and the House of Representatives of the Philippines in Congress 
assembled:  
CHAPTER I 
GENERAL PROVISIONS 
SECTION 1. Short Title. – This act shall be known as the “CSJDM Special Economic Zone 
Act.”   
SEC. 2. Declaration of Policy. – It is declared the policy of the State to encourage, promote, 
and accelerate the sound and balanced industrial, economic, and social development of the 
country. The establishment of special economic zones shall attract legitimate and productive 
foreign investments in strategic locations in the country to increase employment and incomes, 
thereby improving the quality of life of the Filipino people.  
CHAPTER II 
CREATION OF THE ECONOMIC ZONE 
SEC. 3.  Creation of the CSJDM Special Economic Zone. – In accordance with the foregoing 
declared policy and subject to the concurrence of the concerned local government unit (LGU) 
of the City of San Jose del Monte, there is hereby established a special economic zone, 
hereinafter referred to as the CSJDM Ecozone. The CSJDM Ecozone shall cover a particular 
area in the City of San Jose del Monte, province of Bulacan, the specific metes and bounds of 
which shall be more particularly defined in a presidential proclamation that shall be issued for 
the purpose of this Act, Provided, that the lands therein shall be contiguous to one another.   
SEC. 4.  Creation of the CSJDM Special Economic Zone Authority. – There is hereby created 
a corporate body to be known as the CSJDM Special Economic Zone Authority, hereinafter 


referred to as the CSEZA which shall manage and operate the CSJDM Ecozone, in accordance 
with the provisions of this Act. The corporate life of the CSEZA shall expire in fifty (50) years, 
counted from the first year after the effectivity of this Act, unless otherwise extended by 
Congress. It shall be organized within one hundred eighty (180) days after the effectivity of 
this Act.  
SEC. 5.  Governing Principles. – The CSEZA shall manage and operate the CSJDM Ecozone, 
under the following principles:  
a.) Within the framework and limitations of the Constitution and applicable provisions 
of Republic Act No. 7160, or the Local Government Code, as amended, the City of 
San Jose del Monte Ecozone shall be developed into and operated as a 
decentralized, self-reliant and self-sustaining industrial, commercial, trading, agro-
industrial, tourist, banking, financial, and investment center with suitable residential 
areas;  
 
b.) The CSJDM Ecozone shall be equipped with transportation , telecommunications, 
and other facilities needed to attract legitimate and productive investments, generate 
linkage industries and employment opportunities for the people of the City of San 
Jose del Monte, Bulacan and its neighboring municipalities and provinces;  
 
c.) The CSJDM Ecozone may establish mutually beneficial economic relations with 
other entities or enterprises within the country or, subject to the administrative 
guidance with the Department of Foreign Affairs (DFA), the Philippine Economic 
Zone Authority (PEZA), and the Department of Trade and Industry (DTI), with 
foreign entities or enterprises;  
 
d.) Foreign citizens and companies owned by non-Filipinos in whatever proportion 
may set up enterprises in the CSJDM Ecozone, either by themselves or in a joint 
venture with Filipinos in any sector of industry, international trade and commerce 
within the CSJDM Ecozone;  
 
e.) The CSJDM Ecozone shall be managed and operated as a separate customs territory 
thereby ensuring the free flow or movement of goods and capital within, into and 
out of its territory, and shall likewise provide incentives subject to Title XIII of the 
National Internal Revenue Code, as amended. However, exportation or removal of 
goods from the territory of the CSJDM Ecozone to other parts of the Philippine 
territory shall be subject to customs duties and taxes under Republic Act No. 10863, 
otherwise known as the “Customs Modernization and Tariff Act” and other relevant 
tax laws of the Philippines;  
 
f.) The areas comprising the CSJDM Ecozone may be expanded or reduced when 
necessary through a presidential proclamation issued for the said purpose. For this 
purpose, the CSEZA, in consultation with the LGU, shall have the power to acquire 
either by purchase, negotiation or condemnation proceedings, any private land 
within or adjacent to the CSJDM Ecozone for the following purposes: 1. 
Consolidation of lands for zone development, 2. Acquisition of right of way to the 
CSJDM Ecozone, 3. The protection of watershed areas and natural assets valuable 
to the prosperity of the ecozone;  
 


g.) Goods manufactured by any CSJDM Ecozone enterprise shall be made available 
for immediate retail sale in the domestic market, subject to the payment of 
corresponding taxes on raw materials and other regulations that may be formulated 
by the CSEZA together with the PEZA, the Bureau of Customs, the Bureau of 
Internal Revenue (BIR), and the DTI. However, in order to protect domestic 
industries, a Negative List of industries shall be drawn up and regularly updated by 
the PEZA. Enterprises engaged in industries included in such Negative List shall 
not be allowed to sell their products locally;  
 
h.) The defense of the CSJDM Ecozone and the security of its perimeter fence shall be 
the responsibility of the national government in coordination with the CSEZA and 
the concerned LGUs.  
SEC. 6.  Development Goals of the CSJDM Ecozone. – The CSEZA shall determine the 
development goals of the CSJDM Ecozone within the framework of national development 
plans, policies, and goals. The Chairperson-Administrator shall,  upon approval by the Board 
of CSEZA, submit City of San Jose del Monte Ecozone plans, programs, and projects to the 
Regional Development Council for inclusion in the regional development plan.  
SEC. 7.  Capitalization. – The CSEZA shall have an authorized capital stock of two billion 
(2,000,000,000) no par shares with a minimum issue of Ten pesos (Php 10.00) each, the 
majority shares of which shall be subscribed and paid for by the national government and the 
LGU embracing CSJDM Ecozone. The Board of Directors of the CSEZA may, with the written 
concurrence of the Secretary of Finance, sell shares representing not more than forty per 
centum (40%) of the capital stock of CSEZA to the general public under such policy as the 
Board and Secretary of Finance may determine. The national government and the LGU shall 
in no case own less than sixty per centum (60%) of the total issued and outstanding capital 
stock of the CSEZA.  
 
The amount necessary to subscribe and pay for the shares of the national government 
to the capital stock of the CSEZA shall be included in the General Appropriations Act. For the 
LGUs concerned, the funds shall be taken from their internal revenue allotment and other local 
funds. 
SEC. 8.  Principal Office of the CSEZA. – The CSEZA shall maintain its principal office in 
the City of San Jose del Monte, Province of Bulacan, but it may establish liaison offices within 
the Philippines as may be necessary for the proper conduct of its business.  
SEC. 9.  Powers and Functions of the CSEZA. – The CSEZA shall have the following powers 
and functions:  
a.) Operate, administer, manage, and develop the CSJDM Ecozone according to the 
provisions set forth in this Act;  
 
b.) Register, regulate and supervise the enterprises in the CSJDM Ecozone in an efficient 
and decentralized manner, subject to existing laws, rules and regulations;  
 
c.) Coordinate with the LGU and exercise general supervision over the development plans, 
activities, and operations of the CSJDM Ecozone;  
 


d.) Regulate and undertake the construction, operation, and maintenance of public utilities, 
services, and infrastructure in the CSJDM Ecozone, such as light and power, cargo 
handling, hauling, warehousing, storage of cargo, port services or concessions, storage 
areas, roads, transports, bridges, terminals, conveyors, telecommunications, water 
supply and storage, sewerage, drainage, airport operations, in coordination with the 
Civil Aviation Authority of the Philippines, and such other services or concessions or 
infrastructure necessary or incidental to the accomplishment of the objectives of this 
Act;  
 
e.) Construct, acquire, own, lease, operate, and maintain on its own or through contracts, 
franchise, licenses, bulk purchase from the private sector or permits under any of the 
schemes allowed in Republic Act No. 6957, otherwise known as the “Build-Operate-
Transfer Law”, as amended, or joint venture, adequate facilities and infrastructure 
required or needed for the operation and development of the CSJDM Ecozone, in 
coordination with appropriate national and local government authorities and in 
conformity with applicable laws;  
 
f.) Approve plans, programs, and projects of the CSJDM Ecozone to be submitted to the 
Regional Development Council for inclusion in the regional development plan;  
 
g.) Raise or borrow, within the limitation provided by law, and subject to the approval of 
the Monetary Board of the Bangko Sentral ng Pilipinas (BSP), as the case may be, 
adequate and necessary funds from local or foreign sources, to finance its projects and 
programs under this Act and for this 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; 
  
h.) Protect, preserve, and maintain ecological balance within the CSJDM Ecozone. 
Notwithstanding the power of the CSEZA to create rules for such purpose, the rules and 
regulations of the Department of Environment and Natural Resources (DENR) and 
other relevant government agencies shall be implemented by the CSEZA;  
 
i.) Create, operate or contract to operate such functional units or offices of the CSEZA as 
it may deem necessary;  
 
j.) Adopt, alter, and use a corporate seal; contract, lease, buy, acquire, own or otherwise 
dispose of personal or real property of whatever nature; sue and be sued; and otherwise 
carry its functions and duties as provided for in this Act;  
 
k.) Issue certificates of origin for products manufactured or processed in the CSJDM 
Ecozone, in accordance with prevailing rules of origin and the pertinent regulations of 
the PEZA, the DTI, and the Department of Finance (DOF);  
 
l.) Establish one-stop shops for the issuance of all necessary permits, clearances, licenses, 
and other similar certifications to conduct such activities intended to improve the ease 
of doing business within the ecozone, in coordination with government agencies having 
jurisdiction over activities therein; Provided, that all government agencies are directed 
to extend utmost and full cooperation to the CSEZA in the establishment of such one-
stop shops;  
 


m.) Ensure that the area covered by the CSJDM Ecozone is secure at all times; Provided, 
that the Armed Forces of the Philippines (AFP) or the Philippine National Police (PNP) 
shall not interfere in the internal affairs of the CSEZA except to provide the necessary 
security, defense, or law enforcement assistance, as the case may be; Provided, finally, 
that expenses of the AFP or the PNP in the CSJDM Ecozone shall be borne by the 
national government;  
 
n.) Exercise such powers as may be essential, necessary or incidental to the powers granted 
to it by this Act, as well as those that shall enable it to carry out, implement and 
accomplish the purposes, objectives and policies set forth in this Act; and  
 
o.) Issue rules and regulations consistent with the provisions of this Act as may be 
necessary to accomplish and implement the purposes, objectives, and policies provided 
herein.  
SEC. 10.  Board of Directors of the CSEZA. – The powers of the CSEZA shall be vested in 
and exercised by a Board of Directors, hereinafter referred to as the Board, which shall be 
composed of the following:  
a.) A Chairperson, who shall, at the same time be the administrator of the CSEZA;  
b.) A Vice-Chairperson who shall be elected from among the members of the Board of 
Directors;  
c.) Members consisting of:  
1. The Mayor of the City of San Jose del Monte or a duly-authorized 
representative from the City Government of San Jose del Monte;  
2. One (1) representative from the investors’ group; and 
3. One (1) representative from the workers in the CSJDM Ecozone.  
The Mayor of the City of San Jose del Monte or the Mayor’s duly-authorized 
representative shall serve as an ex-officio member of the Board, whose terms in the Board shall 
correspond to their terms as elected officials.  
The Chairperson-Administrator and the members of the Board, except for the 
representatives of the investors and workers group and the ex-officio member, shall be 
appointed by the President of the Philippines to serve for a term of six (6) years, unless sooner 
separated from service due to death, voluntary resignation or removal for cause. In case of 
death, resignation or removal for cause, their replacements shall serve only the unexpired 
portion of the respective terms. No person shall be appointed as a member of the Board unless 
the person is a Filipino citizen, of good moral character, of proven probity and integrity, and a 
degree holder in any of the following fields: economics, business, public administration, law, 
management or their equivalent, and with at least ten (10) years relevant working experience, 
preferably in the field of management or public administration.  
The members of the Board, except the ex-officio member, shall receive per diem 
allowances at rates to be determined by the Department of Budget and Management in 
accordance with existing rules and regulations; Provided, however, that the total per diem 
allowance collected each month shall not exceed the equivalent of four (4) meetings unless and 
until the President of the Philippines has fixed a higher rate for the per diem allowance for the 


members of the Board, such allowance shall not be more than ten thousand pesos (Php 
10,000.00) for every Board meeting.  
SEC. 11.  Organization and Personnel. – The Board of Directors of the CSEZA shall provide 
for its organization and staff. The Board shall appoint and fix the remuneration and other 
emoluments of its officers and employees in accordance with existing laws, on compensation 
and position classification. The Board shall have exclusive and final authority to promote, 
transfer, assign, reassign, or remove officers of the CSEZA, any provision of existing law to 
the contrary notwithstanding. The Chairperson-Administrator shall execute the decisions of the 
Board.  
 
The officers and employees of the CSEZA, including all members of the Board, shall 
not engage directly or indirectly in partisan activities nor take part in any election, except to 
vote.  
 
No officer or employee of the CSEZA, shall be removed or suspended except for cause, 
as provided by civil service rules and regulations.  
SEC. 12.  Powers and Duties of the Chairperson-Administrator. – The Chairperson-
Administrator shall have the following powers and duties:  
a.) To direct and manage the affairs of the CSEZA in accordance with the policies of the 
Board;  
 
b.) To establish the internal organization of the CSEZA under such conditions that the 
Board may prescribe;  
 
c.) To submit an annual budget and the necessary supplemental budget to the Board for its 
approval;  
 
d.) To submit within thirty (30) days after the close of each fiscal year an annual report to 
the Board and such other reports as may be required;  
 
e.) To submit to the Board for its approval, policies, systems, procedures, rules, and 
regulations that are essential to the operation of the CSJDM Ecozone;  
 
f.) To recommend to the Board the remuneration and other emoluments of its officers and 
employees in accordance with existing laws on compensation and position 
classification;  
 
g.) To create a mechanism in coordination with relevant agencies for the promotion of 
industrial peace, the protection of the environment, and the advancement of the quality 
of life in the CSJDM Ecozone; and  
 
h.) To perform such other duties as may be assigned by the Board or which are necessary 
or incidental to the office.  
SEC. 13.  Legal Counsel. – The CSEZA shall have its own internal legal counsel who shall be 
under the supervision of the Government Corporate Counsel. When the exigencies of business 


and operations demand it, the CSEZA may engage the services of an outside counsel either on 
a case to case or on a fixed retainer basis.   
CHAPTER III 
INCENTIVES TO ECOZONE ENTERPRISES AND INVESTORS 
SEC. 14.  Investor’s Visa. – Any foreign national who invests an amount of two hundred 
thousand US dollars ($200,000.00) in a registered enterprise, either in cash or equipment, shall 
be entitled to an investor’s visa; Provided, That the foreign national has the following 
qualifications:  
a.) Must be at least eighteen (18) years of age;  
b.) Must not have been convicted by final judgment of a crime involving moral turpitude;  
c.) Must not be afflicted with any dangerous or contagious disease;  
d.) Must not have been confined in an institution for any mental disorder or disability; and  
e.) Must be financially capable as borne out by credible and verifiable evidence 
With an investor’s visa, an alien shall be entitled to reside in the Philippines while the 
investment subsists. The alien investor shall submit an annual report in the form duly prescribed 
for the purpose to prove that the investment in the country subsists. Should said alien investor 
withdraw the investments from the Philippines, then the investor’s visa issued to said alien 
shall automatically expire and be withdrawn.  
The authority to issue visas and work permits shall remain with the Bureau of 
Immigration (BI) and the Department of Labor and Employment (DOLE), respectively; 
Provided, that the BI and the DOLE shall implement measures to expedite the processing of 
such visas and permits for workers in the CSJDM Ecozone and coordinate closely with the 
CSEZA to facilitate the conduct of business operations.  
SEC. 15.  Fiscal Incentives. – Registered enterprises of the CSJDM Ecozone may be entitled 
to pertinent fiscal incentives granted under Title XIII (Tax Incentives) of the National Internal 
Revenue Code, as amended.   
SEC. 16.  Banking Rules and Regulations Governing Banks and Other Financial 
Institutions. – Banks and other BSP-supervised financial institutions to be established in the 
CSJDM Ecozone shall be under the supervision of the BSP and subject to existing banking 
laws, rules and regulations.   
SEC. 17.  Remittances. – In the case of foreign investments, a duly registered entity or 
enterprise within the CSJDM Ecozone shall have the right to remit earnings to its investors in 
the currency in which the investment was originally made and at the prevailing exchange rate 
at the time of remittance, subject to the provisions of Republic Act No. 7653, otherwise known 
as the “New Central Bank Act”, as amended. 
CHAPTER IV 
NATIONAL GOVERNMENT AND OTHER ENTITIES 
SEC. 18.  Supervision and Control. – For purposes of policy direction and coordination, the 
CSEZA shall be under the direct control and supervision of the Office of the President of the 
Philippines.  


SEC. 19.  Relationship with Local Government Units. – Except as herein provided, the LGU 
comprising the CSJDM Ecozone shall retain its basic autonomy and identity. The City of San 
Jose del Monte, Province of Bulacan, shall operate and function in accordance with the 
framework of the Constitution, the Local Government Code of 1991, as amended, and this Act.  
 
In case of any conflict among the CSEZA, the LGU and the national government on 
matters affecting the CSJDM Ecozone, other than national defense and security, the decision 
of the CSEZA shall prevail.  
SEC. 20.  Audit. – The Commission on Audit shall appoint a full-time auditor for the CSEZA 
and may assign such number of personnel as may be necessary to assist the auditor in the 
performance of the auditor’s functions.  
CHAPTER V 
MISCELLANEOUS 
SEC. 21.  Interpretation and Construction. – The powers, authorities and functions that are 
vested in the CSEZA are intended to establish national self-sufficiency and self-reliance in the 
advancement of and protection of the national integrity, enhancement of national security, 
decentralization of governmental functions and authority, and promotion of an efficient and 
effective working relationship among the CSEZA, national government and the LGU. Any 
interpretation of this Act shall consider such intentions. In the event of conflicts in 
interpretation and provided the intentions cannot be harmonized, the provisions of this Act 
shall be construed in favor of an interpretation that shall protect national security. 
SEC. 13.  Applicability Clause. – Insofar as they are consistent with the provisions of this Act, 
the provisions of Sections 30 to 41 of Republic Act No. 7916, otherwise known as “The Special 
Economic Zone Act of 1995”, as amended, shall likewise apply to the CSJDM Ecozone.  
SEC. 13.  Implementing Rules and Regulations. – Within sixty (60) days from effectivity of 
this Act, the DTI shall, in coordination with the DOF and the National Economic and 
Development Authority (NEDA), formulate rules and regulations for the effective 
implementation of the provisions of this Act.  
SEC. 13.  Separability Clause. - If any provision of this Act shall be held unconstitutional or 
invalid, the other provisions not otherwise affected shall remain in full force and effect. 
SEC. 13.  Repealing Clause. - All laws, decrees, executive orders, proclamations, rules and 
regulations, and other issuances, or parts thereof which are inconsistent with the provisions of 
this Act, are hereby repealed or modified accordingly. 
SEC. 13.  Effectivity. - This Act shall take effect fifteen (15) days following its publication in 
the Official Gazette or in a newspaper of general circulation. 
Approved,