REPUBLIC OF THE PHILIPPINES —)
SEVENTEENTH CONGRESS )
Second Regular Session )

HOUSE OF REPRESE| [VES
House Bill No. EBB

Introduced by Representative GERALDINE B. ROMAN

AN ACT CREATING LUZON INVESTMENT CORRIDOR AND THE
REGIONAL INVESTMENT AND INFRASTRUCTURE DEVELOPMENT
COUNCIL, AND FOR OTHER PURPOSES

EXPLANATORY NOTE

Under the Article II, Sec. 9 of the 1987 Constitution, the State is mandated to free
its people from poverty through policies that promote full employment, a rising
standard of living and an improved quality of life for all. Furthermore, the State is tasked
to promote entrepreneurship and create job opportunities through efficient use of its
resources. The duty of the State to fulfill this mandate cannot be underemphasized.

With key infrastructure assetssuch as the highway expansively connecting the
bulk of the Luzon Island; seaports strategically located in Subic, Mariveles, Manila, and
Batangas;and airports in Subic, Clark, and Manila;the island of Luzon may be said to be
highly accessible. However, there arises the need to further utilize these assets to
become catalysts of growth. If these assets were to be fully optimized, there can be far-
reaching implications especially in agriculture, tourism and other vital industries.

Furthermore, the ease of doing business brought about by these infrastructures
will redirect and disperse traffic of economic activities not only in Central Luzon but
throughout the island. With the passage of this bill, an opportunity to decongest Metro
Manila presents itself since new and better prospects will be made available to the
people as well as businesses.

The State mustnot shy away from taking advantage of its ports and seaports
inLuzon as international transportation hubs connecting the surrounding
areasofBataan, Bulacan, Pampanga, Nueva Ecija, Tarlac, andZambales,for agricultural,
industrial, tourism and other development. The cultivation of these areas bordering the
highway andconnecting to the airports and seaports must be encouraged as this will
create opportunities and bring work to the workers that will promote a rising standard
of living and an improved quality of life for all.

In view of the foregoing, passage of this bill is earnestly sought.

<a | ft) aa
GERALDINE B. ROMAN



REPUBLIC OF THE PHILIPPINES )
SEVENTEENTH CONGRESS )
Second Regular Session J}

HOUSE OF REPRESENTATIVES

House Bill No. ‘7380

Introduced by Representative GERALDINE B. ROMAN

AN ACT CREATING THE LUZON INVESTMENT CORRIDOR AND THE REGIONAL
INVESTMENT AND INFRASTRUCTURE DEVELOPMENT COUNCIL, AND FOR
OTHER PURPOSES.

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

SECTION 1. Short Title. —This Act shall be known as the Regional
Investment and Infrastructure Council Act of 2017.

Sec. 2. Policy. — \t is hereby declared the policy of the state to promote
entrepreneurship and investments and encourage the creation of job and
business opportunities through strengthening and expanding the powers of
the Subic Bay Metropolitan Authority, the Clark Development Corporation, and
the Authority of the Freeport Area of Bataan, allowing them to develop other
Special Economic Zones in Luzon to optimize the one (1) connecting highway
and possible railway in Luzon, four (4) seaports in Subic, Mariveles, Manila, and
Batangas, and three (3) airports in Subic, Clark, and Manila, and for other
purposes.

Sec. 3. Purposes. — This Act shall have the following purposes:

(1) To promote entrepreneurship and investments and create job and

business opportunities;


(2) To optimize the one (1) connecting highway and possible railway in
Luzon, four (4) seaports in Subic, Mariveles, Manila, and Batangas, and three
(3) airports in Subic, Clark, and Manila;

(3) To encourage the local government units and the private sector to
establish Special Economic Zones and provide incentives therefor;

(4) To develop enterprise initiative and foster national and local pride in
the local government units and the private sector as collective stakeholders
and pioneers for change in the development of the Subic Special Economic and
Freeport Zone, the Clark Special Economic Zone, the Freeport Area of
Bataan,and other Special Economic Zones by adhering to the principle of global
competitiveness that encourages investments and businesses that are fast,
friendly, flexible, and forward-looking;

(5) To decongest overcrowded areas by dispersing industries and
populations to the Subic Special Economic and Freeport Zone, the Clark Special
Economic Zone, the Freeport Area of Bataan,and other Special Economic
Zones, and providing tax and fiscal incentives to business and individuals who
relocate to the said areas; and

(6) To lessen dependency on the national government and make the
local government units, the Subic Bay Metropolitan Authority, the Bases
Conversion and Development Authority, the Clark Development Corporation,
the Authority of the Freeport Area of Bataan, and other subsidiaries self-
sustaining, income-generating, and revenue-contributing entities.

Sec. 4. Regional Investment and Infrastructure Council. — There is
hereby created a Regional Investment and Infrastructure Council, hereinafter
referred to as “RIIC’, to be composed of nine (9) members, to include: (i) the
Chairman of the Subic Bay Metropolitan Authority, (ii) the Chairman of the

Bases Conversion and Development Authority; (iii) the Chairman of the Clark


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Development Corporation, (iv) the Chairman of the Authority of the Freeport
Area of Bataan, (v) the Secretary of Trade and Industry, or his/her duly
authorized representative, (vi) the Secretary of Public Works and Highways or
his/her duly authorized representative, (vii) the Secretary of Environment and
Natural Resources, or his/her duly authorized representative, (viii) the
Secretary of Transportation and Communications, or his/her duly authorized
representative, and (ix) the Secretary of Tourism, or his/her duly authorized
representative. The RIIC shall be chaired by the Chairman of the Subic Bay
Metropolitan Authority.

Sec. 5. Powers and Functions. — The RIIC shall each be vested with the
following powers and functions:

(1) To prepare, adopt, and implement a comprehensive and detailed
master plan, which includes zoning and urban planning, in consultation and
coordination with the appropriate national agencies and the local government
units, for the sound and balanced development of the zones, to promote the
economic and social development of the local communities in particular and
the country in general;

(2) To initiate and coordinate all development and infrastructure
projects linking the four (4) seaports and three (3) airports mentioned
hereinabove; Provided, that when necessary, the RIIC shall likewise handle the
bidding of the projects under the unsolicited build-operate-transfer or build-
operate-own schemes, or through solicited bids under applicable government
procurement laws and/or the rules promulgated by the National Economic
Development Authority;

(3) To grant and administer all fiscal and non-fiscal incentives available

under the Foreign Investments Law, the Omnibus Investments Code, the


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Philippine Economic Zone Act of 1995, and the Bases Conversion and
Development Act of 1992;

(4) To accept any local or foreign investment, business or enterprise,
subject only to such limitations as provided in the Constitution;

(5) To prioritize job creation;

(6) To prescribe a strike moratorium, if in the national interest;

(7) To maintain industrial peace and require earnest efforts toward a
compromise in case of labor disputes where abuses by management and/or
labor will be discouraged and dealt with;

(8) To generate its own revenues and be self-sustaining;

(9) To invest its funds and other assets;

(10) To construct, acquire, own, lease, operate, and maintain on its own
or through contract, franchise, license permit, public-private partnership,
build-operate-transfer or joint-venture the required utilities and infrastructure
facilities, including additional roads, bridges, airports, seaport, railroads,
subways, telecommunications and IT systems, water and power, and the like,
and to fix just and reasonable rates, fares, charges and other prices therefor;

(11) To develop other Special Economic Zones in Luzon within the same
legal framework and mechanisms as Republic Act No. 7916, as amended, or
the Special Economic Zone Act of 1995;

(12) To manage and operate Special Economic Zones and other
development programs and projects;

(13) To raise and borrow the necessary funds from local and
international financial institutions and to issue bonds, promissory notes and
other securities for that purpose and to secure the same by guarantee, pledge,

mortgage, deed of trust or assignment of properties;


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(14) To establish subsidiaries and serve as holding company of such
subsidiaries;

(15) To enter into, make, perform and carry out contracts of every class,
kind and description which are necessary or incidental to the realization of this
Act with any person, firm or corporation, private or public, or with foreign
government entities;

(16) To exercise the right of eminent domain;

(17) To adopt, implement and enforce ecological and environmental
standards and measures for environmental pollution control and issue
environmental compliance certificates;

(18) To provide, establish and accredit security and firefighting forces,
and formulate and implement public safety measures to ensure safety and
preserve peace and order;

(19) To establish by itself or in coordination with national and local
government agencies one-shop shops for investors that promote fast, friendly,
flexible and forward-looking business; and

(20) To promulgate rules and regulations and perform such other
powers and functions as may be necessary, appropriate or incidental to this
Act.

Sec. 5. Supervision. — The RilCshall be under the general supervision of
the Office of the President of the Philippines.

Sec. 6. Budget.— The RIIC shall be jointly funded by the Subic Bay
Metropolitan Authority, the Bases Conversion and Development Authority, the
Clark Development Corporation and the Authority of the Freeport Area of

Bataan. Thereafter, it shall be funded by its own earnings or income.


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Sec. 7. Exemption from the Salary Standardization Law. — The salaries
and benefits of employees of the RIIC, as well as those of the Subic Bay
Metropolitan Authority, the Bases Conversion and Development Authority, the
Clark Development Corporation, andthe Authority of the Freeport Area of
Bataan shall be fixed by the Board of Directors and shall be exempt from
Republic Act No. 6758, as amended, or the Salary Standardization Law,
provided that the difference between the salaries prescribed in the Salary
Standardization Law and the salaries of employees in Subic Bay Metropolitan
Authority, the Bases Conversion and Development Authority, the Clark
Development Corporation,and the Authority of Freeport Area of Bataan fixed
by the Board of Directors shall be taken from the earnings of the Subic Bay
Metropolitan Authority, the Clark Development Corporation,and the Authority
of the Freeport Area of Bataan and not from the National Treasury.

Sec. 8.Legal Counsel.— Without prejudice to the hiring of an outside
counsel, the Government Corporate Counsel shall be the ex officio legal
counsel of RIIC, including the Subic Bay Metropolitan Authority, the Bases
Conversion and Development Authority, the Clark Development Corporation,
and the Authority of the Freeport of Bataan. In the event that highly
specialized legal skills that cannot be provided for by the Office of the
Government Corporate Counsel are required, as may be determined by the
Subic Bay Metropolitan Authority, the Clark Development Corporation, and the
Authority of the Freeport Area of Bataan, the services of outside counsel,
whose compensation shall be approved by the Board of Directors, may be
engaged and no further consent or approval of the Office of the Government

Corporate Counsel shall be required.


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Sec. 9.Injunctions or Restraining Orders.— The implementation of the
provisions of this Act is of national interest. Thus, no project, bidding and
undertaking in implementation of the provisions of this Act shall be restrained

or enjoined by an injunction or rest order except by the Supreme Court

of the Philippines.

Sec. 10.Repealing Clause .— All laws, decrees, orders, rules and
regulations or other issuances or parts thereof inconsistent with the provisions
of this Act, are hereby repealed or modified accordingly.

Sec. 11.Separability Clause. — \f any portion or provision of this Act is
declared unconstitutional, the remainder of this Act or any provision not
affected thereby shall remain in force and effect.

Sec. 18.Effectivity. —- This Act shall take effect after fifteen (15) days
following the completion of its publication either in the Official Gazette or in a

newspaper of general circulation in the Philippines.

Approved,