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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

Eighteenth Congress
First Regular Session

HOUSE BILL NO. gaer

Introduced by Honorable Deogracias Victor “DV” B. Savellano

EXPLANATORY NOTE

This bill seeks to create the Northern Luzon Growth Quadrangle
Development Authority, herein referred to as the Authority, covering the
provinces, cities and municipalities of Ilocos Region, Cagayan Valley Region and
the Cordillera Administrative Region (CAR).

As a backdrop of the proposed bill, precursor offices of the proposed
Authority were created in the past: The Northwestern Luzon Growth Quadrangle
Commission, created under Executive Order No. 175 (Series of 1994), as
amended by Executive Order No. 223 (Series of 1995), Executive Order No. 229
(Series of 1995), Executive Order No. 259 (Series of 1995) and Executive Order
No. 373 (Series of 1996) under the Ramos Administration, and Executive Order
No. 114 under the Estrada Administration. Executive Order No. 147 (Series of
2002), creating the North Luzon Development Plan Management Office and
Executive Order No. 239 (Series of 2003) rationalizing the Office of North Luzon
Growth Quadrangle Area and Defining its Powers, Functions and
Responsibilities were likewise issued under the Arroyo Administration.

In 2004, however, former President Gloria Macapagal-Arroyo issued
Executive Order No. 357 (Series of 2004) abolishing the North Luzon
Development Plan Management Office, and transferred the office and functions
together with its personnel to the Office of the Presidential Adviser for North
Luzon. Thereafter, President Benigno C. Aquino III issued Executive Order No.
18 (Series of 2010) abolishing the Office of the North Luzon Quadrangle Area
attached to the Office of the President. This author feels the necessity to bring
back the office, hence this bill.


The proposed Authority will be responsible for the overall policy direction,
coordination and supervision of the entire development efforts of Ilocos Region,
Cagayan Valley Region and CAR. The proposed Authority has a land area
totalling 57,971.60 square kilometres representing about 20% of the total land
area of the Philippines. The contiguous provinces and cities of Ilocos Region,
Cagayan Valley Region and CAR are bound by historical and socio-cultural ties
creating interdependence where day to day activities of the Cordilleras affect
those of the lowlands of Ilocos and Cagayan Valley Regions. The people of Ilocos
Region, Cagayan Valley Region and CAR are rich with skilled manpower that
can be tapped for economic growth and development for the area. With the skilled
manpower, the proposed Authority is aimed to stimulate trade, investment and
tourism activities, generate jobs, expand businesses and create export and
domestic markets for local produce of the Ilocos and Cagayan Valley Regions
and CAR with the hope of reducing poverty incidence and for advancement and
progress.

The three regions above, if developed together under a common framework
of integrated and sustainable development, require a main coordinating body such
as this Authority to effectively mobilize people in improving local industries.
This will support the national leadership in achieving continuous programs and
projects that would ensure sustained development for the three regions.
Hopefully, the proposed Authority will open avenues to expand its growth
towards dealings with Asian countries and other parts of the globe through trade,
exchange programs, joint ventures and international discourse.

Early approval of this bill is earnestly sought.

DEOGRACIAS V} R “DV” B. SAVELLANO


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

Eighteenth Congress
First Regular Session

1801
HOUSE BILL NO,

Introduced by Honorable Deogracias Victor “DV” B. Savellano

AN ACT
CREATING THE NORTHERN LUZON GROWTH QUADRANGLE
DEVELOPMENT AUTHORITY, PRESCRIBING ITS POWERS AND
FUNCTIONS AND APPROPRIATING 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 “Northern
Luzon Growth Quadrangle Development Authority Act.”

SEC. 2. Declaration of Principles and Policies. — It is hereby declared a
policy of the State to hasten the socioeconomic development of the provinces and
cities of Ilocos Region, Cagayan Valley Region and the Cordillera Administrative
Region (CAR), increasing trade, tourism and investments; encouraging private
enterprise; generate jobs, develop infrastructures and advancing efforts towards
peace and expansion. Towards this end, the State shall promote sustainable
development by building a globally competitive and ecology conscious community
of self-reliant and highly efficient people. The State shall likewise formulate and
implement a framework to enhance the capabilities of the people where they are
given equitable access to local resources, basic social services and economic
opportunities. It shall ensure the implementation, management and oversight of

the necessary measures and programs and an effective institutional mechanism to

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be established to address the need for a coordinated and integrated approach in the
formulation and implementation of various inter-regional development plans,
programs and projects in llocos Region, Cagayan Valley Region and the Cordillera
Administrative Region (CAR).

SEC. 3. Northern Luzon Growth Quadrangle Development Authority. —
There is hereby created the Northern Luzon Growth Quadrangle Development
Authority, hereinafter referred to as the Authority, to be headed by a Chairperson
appointed by the President. It shall be organized within one hundred twenty (120)
days after the approval of this Act. The Authority shall promote, coordinate and
facilitate the active and extensive participation of all sectors to effect the
socioeconomic development of the Ilocos Region, Cagayan Valley Region and the
CAR. It shall be responsible in close cooperation with the local government units
(LGUs) and line agencies for the overall policy direction and coordination of the
efforts of the authority, execute the powers and functions herein vested.

SEC. 4. Coverage. — The Authority covers all the provinces and cities of
Ilocos Region, Cagayan Valley Region and the CAR.

SEC. 5. Principal Office and Term. — The Authority shall have its main
office in San Fernando City, La Union in the Ilocos Region. In order to achieve
the objectives of this Act, satellite management offices may be established in
Tuguegarao, Cagayan for Cagayan Valley Region and Baguio City for CAR and
such other satellite offices as the Authority may establish taking into consideration
the accessibility of their offices to the public. The Authority shall also have a term
of fifty (50) years from the effectivity of this Act and renewable for the same
period unless otherwise provided by law.

SEC. 6. Powers and Functions of the Authority. — The Authority shall

exercise the following powers and functions:


a) Formulate an integrated development framework for Ilocos Region,
Cagayan Valley Region and CAR that is consistent with the peace and
development initiatives of the National Government;

b) Review and submit to the President, for approval, a master plan for the
Authority;

c) Cause the update, periodic review refinement and endorsement of the
Authority plans, investment programs and development activities within the
context of the master plan of the component regions;

d) Transform regions in the Authority into highly developed and
sustainable centers of agriculture, natural resources, commerce, education, tourism,
banking, investment and finance, information and communications technology
(ICT) knowledge-based industries and other appropriate industries of the region;

e) Recommend to and, whenever necessary, call upon the proper
agencies on the technical support, physical assistance and, generally, the level of
priority to be accorded to agricultural, industrial, commercial, infrastructure,
environmental, and technological programs and projects soliciting or requiring
direct or indirect help from or through the National Government or any of its
instrumentalities;

f) Educate and inform the constituents of Ilocos Region, Cagayan Valley
Region and CAR, about national policies that foster the integrated and balanced
development of the area to encourage their full participation;

g) Promote and facilitate investments in any field which enhance the
socioeconomic development of Ilocos Region, Cagayan Valley Region and CAR
and uplift the living standards of the people and their socio-political activities in
close coordination with agencies primarily mandated to undertake such functions;

h) Explore sources for financing priority for inter-regional programs,
projects and activities of Ilocos Region, Cagayan Valley Region and CAR that

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encourage economic and social development through programs, projects and
activities;

1) 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;

Dd Establish a comprehensive and integrated database in Ilocos Region,
Cagayan Valley Region and CAR needed for planning and decision-making;

k) Monitor, evaluate and formulate recommendations in the
implementation of specific Ilocos Region, Cagayan Valley Region and CAR inter-
regional development programs, activities and projects.

) Provide strategic direction for Ilocos Region, Cagayan Valley Region
and CAR;

m) Establish appropriate mechanisms to ensure the timely
implementation of specific Ilocos Region, Cagayan Valley Region and CAR inter-
regional projects, whenever necessary, as far as practicable, including public-
private partnership;

n) Review and recommend for approval by the National Economic and
Development Authority (NEDA) Board such specific Ilocos Region, Cagayan
Valley Region and CAR inter-regional programs, projects, and plans by the
National Government and donor agencies subject to existing laws, rules and
regulations;

0) Receive and administer donations, contributions, grants, bequests or
gifts, in cash or in kind, from foreign governments, international agencies, private
entities and other sources, including Official Development Assistance (ODA), to
be used in the development of Ilocos Region, Cagayan Valley Region and CAR,

subject to existing laws, rules and regulations;


p) Integrate, prioritize program and implement, whenever allowed and
authorized by applicable laws with impact on Ilocos Region, Cagayan Valley
Region and CAR inter-regional and region-specific programs, activities and
projects including ODA projects, subject to such limitations prescribed by existing
laws, rules and regulations;

q) To sue and be sued, enter into contracts, acquire, purchase, hold,
lease, transfer, dispose of property of any kind or nature to carry out the purposes
to this Act; and

1) Discharge other functions that may be deemed necessary or as may be
provided by law.

The Authority, through its Chairperson, shall submit to the President and
both Houses of Congress annual reports on its accomplishments and activities.

SEC. 7. Chairperson.—The Chairperson is the head of the Authority
who shall be appointed by the President of the Philippines with a Cabinet rank.
The Chairperson shall serve a term of six (6) years from the date of the
appointment unless removed for a cause. No person shall be appointed as
Chairperson unless the person is a holder of a degree in law or a master degree in
any of the following fields: economics, business, public administration, law,
management or their equivalent and with at least ten (10) years relevant experience
in these fields. The Chairperson must be a resident of any of the provinces of
Ilocos Region, Cagayan Valley Region or CAR for at least (5) years before the
appointment.

SEC. 8. Duties and Functions. — The Chairperson shall exercise the
following duties and functions:

a) Call and preside over meetings of the Board of Directors, hereinafter
referred to as the Board, and see to it that the policies, programs, rules and
regulations are implemented properly;


b) _ Invoive experts in the fields of development in the formulation and
implementation of a comprehensive and integrated development plan for Llocos
Region, Cagayan Valley Region and CAR, investment programs and the
Preparation of investment programming priorities, annual reports and other
pertinent documents approved by the Authority;

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;

d) Advocate the work of the Authority among the various concerned
sectors and stakeholders;

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;

f) Supervise the monitoring and timely implementation of specific Ilocos
Region, Cagayan Valley Region and CAR interregional programs, projects and
activities;

g) — Endorse to the Board all policy recommendations, plans and programs
for approval;

h) _ Represent the Board in regular and special cabinet meetings;

i) Accept, on behalf of the Authority, donations, contributions, grants
and bequests or gifts, in cash or in kind, from members, foreign governments,
international agencies, private entities or any individual to realize the functions of
the Authority;

j) Supervise administrative operations including disbursement of any
fund of the Authority, subject to the usual accounting and auditing procedures, and

submit reports thereon;


k) Execute and administer the policies and measures approved by the
Board;

yb 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 rules;

m) Represent the Authority in all dealings with other offices, agencies,
and instrumentalities of the government and with all persons and entities, public or
private;

n) — Sign agreements or contracts on behalf of the Authority, including
those for expert and consultancy services and other reports of accountabilities
emanating from the Authority; and

o) Perform such other functions that the Board may direct to carry out
the provisions of this Act.

SEC. 9. Executive Director. — An Executive Director shall be appointed by
the President of the Philippines upon recommendation by the Chairperson. No
person shall be appointed as Executive Director unless the appointee is a holder of
a degree in any of the following fields: economics, business, public
administration, law, management or their equivalent and with at least five (5) years
relevant experience in these fields. The appointee must be a resident of any place
in Iocos Region, Cagayan Valley Region and CAR for at least five (5) years prior
to the appointment and must be eligible for third level career service position
pursuant to the career executive rank system

The Executive Director shall assist the Chairperson in carrying out the
functions of the Authority and shall, likewise, serve as the Secretary of the Board.

SEC. 10. Board of Directors. — The Authority’s overall directions and
thrusts shall be provided and approved, unless provided otherwise in this Act, by

the Board composed of the following members:


a) The Chairperson;

b) The heads of the Regional Development Councils of llocos Region,
Cagayan Valley Region and Cordillera Administrative Region;

c) A local chief executive among the municipalities and cities of llocos
Region, Cagayan Valley Region and CAR designated by the Union of Local
Authorities of the Philippines (ULAP);

d) The President of the Confederation of Governors, City Mayors and
Municipal Mayors League Presidents of Ilocos Region, Cagayan Valley Region
and CAR; and

e) The three (3) representatives from the i) business sector; ii) academic
sector; and iii) nongovernment organization (NGO) sector to be appointed by the
President, upon the recommendation of the Board comprising one (1)
representative each from the Ilocos Region, Cagayan Valley Region and CAR:

The three (3) representatives from the private sector shall serve for a term of
six (6) years. At the initial appointment of such members, the second member to
be appointed shall only serve a term of four (4) years and the third member to be
appointed shall only serve a term of two (2) years. They shall continue to hold
office until their successors shall have been appointed. All vacancies, prior to the
expiration of the term, shall be filled for the unexpired term only.

The members of the Board are entitled for a per diem of not more than five
thousand pesos (P5,000.00) for every meeting. The per diem collected per month
must not exceed the equivalent of four (4) meetings. The amount of per diem for
every meeting may be increased by the President but such amount shall not be
increased within two (2) years from its last increase.

SEC. 11. Duties and functions. — The Board shall exercise the following
functions:


a) Provide direction and guidance for the Authority’s work and thrusts
for Ilocos Region, Cagayan Valley Region and CAR;

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, programs and projects and vice versa for purposes of
harmonization;

d) Explore sources for financing of priority specific Ilocos Region,
Cagayan Valley Region and CAR interregional plans, programs, projects and
activities;

e) Create committees or task forces as may be deemed necessary in the
accomplishment of duties and functions;

f) Determine schedules, establish voting procedures, criteria for the
constitution of a quorum and other rules and regulations in the conduct of Board
interregional meetings; and

g) Perform such functions as may be necessary to carry out the purposes
of this Act.

SEC. 12. Executive Committee. — The Board shall constitute an Executive
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 interregional
representation and participation, the following comprise the ExeCom:

a) The Chairperson;

b) The heads of the Regional Development Councils of Ilocos Region,
Cagayan Valley Region and Cordillera Administrative Region;

c) Representative from the nongovernment organizations in the Ilocos

Region, Cagayan Valley Region and CAR business sector; and


d) — Representative from the nongovernment organizations in the Ilocos
Region, Cagayan Valley Region and CAR.

SEC. 13. Organizational Structure. — (he Chairperson shall determine the
organizational structure, staffing pattern and pay scales of the Authority personnel
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.

SEC. 14. Merit System. — All officials and employees of the Authority shall
be selected and appointed on the basis of merit and fitness in accordance with civil
service law, rules and regulations. The recruitment, transfer, promotion, and
dismissal of all its personnel including temporary workers shall be governed by a
merit system that is established by the Authority in compliance with existing laws,
rules and regulations.

SEC. 15. Appropriations. — The amount necessary to finance the initial
implementation of this Act shall be charged against the current year’s
appropriations of the Regional Development Councils of Ilocos Region, Cagayan
Valley Region and Cordillera Administrative Region. Thereafter, the amount
necessary for its operation shall be included in the annual General Appropriations
Act.

SEC. 16. Implementing Rules and Regulations. — Within sixty (60) days
after the approval of this Act, the Authority shall adopt rules and regulations to
implement the provisions of this Act.

SEC 17. Repealing Clause. — All laws, decrees, executive orders, rules and
regulations or parts thereof inconsistent with or contrary to the provisions of this

Act are hereby repealed or modified accordingly.

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SEC. 18. Separability Ciause. — if any part or provision of this Act is held
unconstitutional or invalid, other provisions hereof which are not affected shall
continue to remain in full force and effect.

SEC. 19. Effectivity. — This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation.

Approved.

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