Republic of the Philippines
HOUSE OF REPRESENTATIVES
Queson City

EIGHTEENTH CONGRESS
‘Second Regular Session

HOUSE BILL No. 7280

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.

AN ACT CREATING THE BORACAY ISLAND DEVELOPMENT AUTHORITY
(BIDA)

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 overtourism. 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.

Ll A

LUIS R; IND “LRA . VILLAFUERTE, JR.


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS.
First Regular Session

HOUSE BILL No. 7280

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.

AN ACT CREATING THE BORACAY ISLAND DEVELOPMENT AUTHORITY

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 "Boracay Island Development
Authority" (BIDA).

Section 2. Declaration of Policy. - It is hereby declared the national policy to
promote and accelerate sustainable development and balanced growth of the
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 Boracay Island Development Authority (BIDA) shall formulate policies, plans,
programs, and projects for the rehabilitation, preservation, and enhancement of the
Boracay Island ensuring adequate provisions for environmental management and
control, the Preservation of the equality of human life and ecological systems, and the
prevention of undue ecological disturbances, deterioration and pollution.

It shall also promote and encourage the involvement of all sectors of society and
maximize people participation in natural resource management, conservation and
protection.

Section 3. Boracay Island Development Authority (BIDA) created. - For the
purpose of carrying out and effecting the declared national policy, there is hereby
created a body corporate to be known as the Boracay Island Development Authority
(BIDA), hereinafter referred to as the Authority whose metes and bounds shall be
issued by the President of the Philippines subject to the limitations of the Constitution
and the pertinent provisions of the Local Government Code.

Within the framework and subject to the mandate and limitations of the Constitution
and the provisions of the Local Government Code, the BIDA shall be developed into
a self sustaining, industrial, commercial, financial and investment center to generate
employment opportunities and to attract and promote productive local and foreign
investments, taking into account the protection and preservation of the natural
resources and biodiversity of the Boracay Island.


It shall be organized within ninety (90) days after the approval of this Act.

The Authority is attached to the Department of Environment and Natural Resources
(DENR) and shall execute the powers and functions herein vested in such manner as
will, in its judgment, aid to the fullest possible extent in carrying-out the goals and
purposes set forth below.

Section 4. Definition of Terms. -As used in this Act, the following terms are defined
as follows:

1, "Boracay Island” refers to the most popular tourist destinations, located
approximately 315km (200 miles) south of Manila and 2km off the
Northwest tip of the Island of Panay in the Western Visayas Region of the
Philippines;

2. “Sustainable development" means the improvement in the quality of life of
the present and future generations through the complementation of
development and environmental protection activities and programs;

3. "Natural Resources" refers 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;

4. "Preservation" refers to the wise use of natural resources that assured
regeneration and replenishment for continuous benefit;

5. "Ecology" means the life-sustaining interrelationships and interactions of
Organisms with each other and with their physical surroundings;

6. "Administrator" means the chief operating or executive officer of the
Boracay Island Development Authority (BIDA) duty appointed by the Office
of the
President;

Section 5. Location of Principal Office. - The Authority shall maintain its principal
office at a convenient place within the region, but it may have branch offices in such
other places that are necessary for the proper conduct of its business.

Section 6. Corporate Powers of the Authority. - The Authority shall have the
following powers and functions:

To succeed on its corporate name;

. To sue and be used in such corporate name
To adopt, alter, and use corporate seal;

. To adopt, amend, and repeal its by-laws;
To enter into contracts as may be allowed by existing laws to carry out it
purposes and functions state in this Act;
To establish a graded system of protection and development control over
the whole of Boracay Island including its tribal lands, forest mines,
agricultural areas, settlement areas, biodiversity, mangroves, coral reefs,
seagrass beds and the surrounding sea;

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. To accept any local or foreign investment, business or enterprise, subject

only with the internal policies of the Authority without prejudice to existing
laws, rules and regulations;

. To undertake and regulate the establishment, operation and maintenance

of utilities, other services and infrastructure in the Island to fix just and
reasonable rates, fares, charges and other prices therefore;

To construct, acquire, own, lease, operate and maintain on its own or
through contract, franchise, license permits bulk purchase from the private
sector and built-operate-transfer scheme or joint-venture the required
utilities and infrastructure in coordination with local government units and
appropriate government agencies concerned and in conformity with
existing applicable laws therefore;

Within the limitation provided by law, to raise and/or 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 its
properties held by the Authority for the purpose of financing its projects and
programs within the framework and limitations of this Act;

. To protect, maintain and develop forest lands, protected areas and

wetlands, the rules and regulations of DENR and other government
agencies directly involved in the above functions shall be implemented by
the Authority;

To receive donations, grants, bequeaths and assistance of all kinds from
local and foreign government and private sectors and utilize the same;

. To adopt and implement measures and standards for environmental

pollution control of all areas within its territory, including, but not limited to
all bodies of water and to enforce the same. For which purpose the
Authority shall create an Ecology Center;

To promulgate all necessary rules and regulations; and

. To perform such other powers as may be necessary authorized under

existing laws to carry out the purposes of this Act.

Section 7. Incorporation. - The members of the first Board of Directors shall be
elected by the Stockholders and the incorporation shall be held to have been affected
from the date of the first board meeting.

Section 8. Composition of the Board of Directors. The powers shall be vested in
and exercised by a Board of Directors, referred to as the Board, composed of 11
members, as follows:

a. The Administrator to be appointed by the President of the Philippines;
b.
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The Secretary of DENR as the Chairman;

. The Secretary of NEDA as Vice-Chairperson;
. Two (2) Representatives from the Provincial government of Aklan and

Municipality of Malay;

. The members of the Board from government shall be regular officers from

the following departments with a rank of director or higher, duly deputized


to represent their respective secretaries and committed to the cause of
sustainable development;

1. Department of Tourism

2. Department of Science and Technology

3. Department of Public Works and Highways

4. Department of Transportation and Communication

Officials next in rank to the above-mentioned member shall serve as permanent
alternate members and follow the rules under the Governance Commission for
GOCCs. He/She shall attend meetings of the Board in the absence of their principals
and receive the corresponding diems.

Section 9. Qualifications. - No person shall be appointed or designated unless he
is a natural-bom Filipino citizen, of good moral character, of unquestionable integrity,
and or recognized competence in relevant fields including but not limited to,
economics, management, international relations, law or engineering.

All procedural matters in the conduct of board meetings shall be prescribed in its
internal rules.

Section 10. Functions of the Board. - The Board of Directors shall be policy-making
body of tile Authority and shall perform the following functions:

a. Determine the organizational structure of the Authority, define the duties
and responsibilities of all officials and employees and adopt a
compensation and benefit scheme at least equivalent to that of the Bangko
Sentral ng Pilipinas (BSP);

b. Appoint all officials down to the third level and authorize the administrator
of the Authority to appoint all others: provided, that all appointments shall
be on the basis of merit and fitness and all personnel action shall be in
pursuance of Civil Service Laws, rules and regulations, except those
coterminous employees of the members of the Board;

c. Prepare the annual and supplemental budgets of the Authority;

d. Submit an annual report of the operation of the Authority to the President
of the Philippines, President of the Senate and Speaker of the House of
Representatives;

. Carry out the purposes of the Authority with the following terms and
references:

1. As much as possible, major conversion projects shall be undertaken
under the complete project turn key or build-operate-transfer (BOT)
scheme as provided under Republic Act Numbered Sixty Nine
Hundred and Fifty Seven (RA 6957); and

2. Starting the third year of the Authority's full operation, a privatization
or divestment program of its projects and subsidiaries shall begin


under general guidelines prescribed by the President of the
Philippines.

Section 11. Board Meetings. - The Board shall meet at least once a month. The
Board shall be convoked by the Chairman or upon written request signed by the
majority of the members.

Section 12. Powers and Functions of the Administrator. - The Administrator shall
be the Chief Executive of the Authority. As such, he shall have the following powers
and duties:

a. Submit for consideration of the Board, the policies and measures which he
believes to be 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;

¢. Direct and supervise the operation and internal administration of the
Authority. The General Manager may delegate certain of his administrative
responsibilities to other officers of the Authority subject to the rules and
regulations of the Board.

d. Appoint officials and employees below the rank of division heads to
positions in the approved budget upon written recommendation of the
division head concerned using as guide the standard set forth in the
Authority's merit system;

e. Submit quarterly reports to the Board on personnel selection, placement
and training;

f. Submit to the NEDA an annual report and such other reports as maybe
required, including the details of the annual and supplemental budgets of
the Authority, and

g. Perform such other functions as may be provided by law.

The Board may create such other divisions and positions as may be deemed
necessary for the efficient, economical and effective conduct of the activities of the
Authority.

Section 13. Capitalization and Financing. - The Authority shall have an authorized
capital of One Hundred Fifty Million Pesos (PI 50,000,000.)

Section 14. Auditing. - The Board shall provide and appoint an auditor who shall
formulate an auditing system for the Authority.

Section 15. Research and Development Division. - The Authority, in coordination
with the Department of Science and Technology (DOST), other concerned
government agencies and academic research institutions, may establish a research
and development division for the prevention and control of 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 Boracay Island.


Section 16. Implementing Rules and Regulations. - The Authority, through the
Board of Directors and DENR shall establish the Implementing Rules and Regulations
within ninety (90) days after the passage of this Act.

Section 17. Penal and Civil Liability Clause. Any person, natural or juridical, who
shall violate any of the provision of this Act or any rules or regulation promulgated by
the Authority pursuant thereto shall be liable to imprisonment of not exceeding three
years or to a fine not exceeding Five Thousand Pesos or both at the discretion of the
Court.

If the violator be a corporation, partnership or association, the officer or officers of the
organization concerned shall be liable therefor.

The authority is hereby authorized to pursue separate civil actions for damages
resulting from infractions of the provisions of this Act, rules or regulations issued
pursuant thereto and/ or conditions embodies in the clearances or permits issued by
the Authority.

Section 18. Separability Clause. - If any provision of this Act is declared invalid or
unconstitutional, the other provisions not affected thereby shall remain valid and
subsisting.

Section 19. Repealing Clause. All Acts, Executive Orders, memorandum circulars/
guidelines and other issuances or parts thereof, which are inconsistent with this Act,
are hereby repealed or modified accordingly.

Section 20. Effectivity. - This Act shall take effect upon its approval.

Approved,