AN ACT CREATING THE MINDANAO DEVELOPMENT AUTHORITY (MinDA)

Case Overview and Summary

Summary of Republic Act No. 9996 (MinDA Act of 2010)

Declaration of Policy (Section 2):
- Accelerate socioeconomic growth of Mindanao, increase trade, tourism and investments, encourage private enterprise, and advance peace and development efforts.
- Establish an effective institutional mechanism for a coordinated and integrated approach in formulating and implementing Mindanao-wide inter-regional development plans, programs and projects.
- Promote active participation of Mindanao and Palawan in the Brunei-Darussalam-Indonesia-Malaysia-the Philippines-East Asia Growth Area (BIMP-EAGA).

Creation and Coverage of MinDA (Sections 3 and 4):
- The Mindanao Development Authority (MinDA) is created to promote, coordinate and facilitate the active and extensive participation of all sectors for the socioeconomic development of Mindanao.
- MinDA covers all provinces and cities of Regions IX, X, XI, XII, Caraga and Autonomous Region in Muslim Mindanao (ARMM).
- The Province of Palawan is included only for its involvement in the BIMP-EAGA.

Principal Office, Term and Powers and Functions (Sections 5 and 6):
- MinDA's main office is in Maramag, Bukidnon, and it may establish area management offices as necessary.
- MinDA has a term of 50 years, renewable for the same period unless otherwise provided by law.
- MinDA's powers and functions include:
    - Formulate an integrated development framework for Mindanao consistent with national peace and development initiatives (Section 6a).
    - Integrate, prioritize, program and implement Mindanao-wide, inter-regional and region-specific programs, activities and projects with Mindanao-wide impact, including Official Development Assistance (ODA) projects (Section 6b).
    - Recommend and call upon agencies for technical support, physical assistance and priority for agricultural, industrial, commercial, infrastructure, environmental and technological programs and projects (Section 6c).
    - Advocate national policies that will foster integrated and balanced development of Mindanao (Section 6d).
    - Promote and facilitate investments to enhance socioeconomic development and uplift living standards (Section 6e).
    - Explore sources for financing priority Mindanao-wide and inter-regional programs, projects and activities (Section 6f).
    - Coordinate and facilitate planning, management and technical assistance to investors (Section 6g).
    - Establish a comprehensive and integrated database on Mindanao and BIMP-EAGA (Section 6h).
    - Monitor, evaluate and formulate recommendations on implementation of Mindanao-wide and inter-regional development programs, activities and projects (Section 6i).
    - Provide strategic direction for Mindanao (Section 6j).
    - Establish mechanisms to ensure timely implementation of Mindanao-wide and inter-regional projects, including public-private partnerships (Section 6k).
    - Review and recommend for approval by NEDA Board such Mindanao-wide and inter-regional programs, projects and plans (Section 6l).
    - Act as the official and permanent Philippine Coordinating Office for BIMP-EAGA (PCOBE) and lead agency in coordinating policies and programs related to BIMP-EAGA (Section 6m).
    - Receive and administer donations, contributions, grants, bequests or gifts for the development of Mindanao (Section 6n).
    - Sue and be sued, enter into contracts, acquire and dispose of property (Section 6o).
    - Discharge other functions as may be deemed necessary or provided by law (Section 6p).

Chairperson and Executive Director (Sections 7 and 8):
- The MinDA Chairperson is appointed by the President with a Cabinet rank and serves a term of 6 years, unless removed for cause.
- The Chairperson must have a degree in law or a master's degree in economics, business, public administration, law, management or equivalent, and at least 10 years of relevant experience.
- The Chairperson must be a resident of Mindanao for at least 5 years before appointment.
- The Chairperson is also the Philippine Senior Official for BIMP-EAGA and an ex officio member of the NEDA Board and TIEZA Board.
- The Executive Director is appointed by the President upon recommendation by the Chairperson.
- The Executive Director must have a degree in economics, business, public administration, law, management or equivalent, and at least 5 years of relevant experience.
- The Executive Director must be a resident of Mindanao for 5 years prior to appointment and have the requisite eligibilities for third level career service position.
- The Executive Director assists the Chairperson and serves as the Secretary of the Board.

Board of Directors (Section 9):
- The MinDA Board of Directors provides overall directions and thrusts, and is composed of:
    - The MinDA Chairperson
    - Chairpersons of the Regional Development Councils (RDCs) of Regions IX, X, XI, XII and XIII and the Regional Economic Development and Planning Board (REDPB) of ARMM
    - A Senator designated by the Senate President (ex officio)
    - Chairperson of the House Committee on Mindanao Affairs (ex officio)
    - Chairperson of the House Committee on BIMP-EAGA Affairs (ex officio)
    - A Mindanao Local Chief Executive designated by ULAP
    - President of the Mindanao Confederation of Governors, City Mayors and Municipal Mayors League Presidents
    - Administrator of the Southern Philippines Development Authority (SPDA)
    - Head of the Office on Muslim Affairs (OMA)
    - Three representatives from the private sector appointed by the President (one each from the Mindanao Business Sector, Academic Sector, and NGO Sector)
- Board members receive a per diem of not more than P5,000 for every Board meeting, but not exceeding the equivalent of 4 meetings per month.

Executing Committee and BIMP-EAGA Advisory Board (Sections 10 and 11):
- The Board constitutes an Executive Committee (ExeCom) to act on urgent matters when the Board is not in session.
- The ExeCom is composed of the MinDA Chairperson, Chairpersons of the RDCs and REDPB, and representatives from the Mindanao Business Sector and NGO Sector.
- A BIMP-EAGA Advisory Board is constituted to discuss issues and recommend policies and programs to ensure the widest participation of Mindanao and Palawan in the BIMP-EAGA.
- The BIMP-EAGA Advisory Board is composed of the MinDA Chairperson as Head, Chairpersons of the RDCs and REDPB, a Senator, Chairperson of the Special Committee on East ASEAN Growth Area of the House of Representatives, Mayor of Puerto Princesa City, Provincial Governor of Palawan, and two Philippine Country Representatives to the BIMP-EAGA Business Council.

Organizational Structure, Merit System and Transitory Provisions (Sections 12, 13 and 14):
- The Chairperson determines the organizational structure, staffing pattern and pay scales of MinDA, subject to civil service and compensation laws.
- All officials and employees of MinDA are selected and appointed based on merit and fitness in accordance with civil service law, rules and regulations.
- The Mindanao Economic Development Council (MEDCo) is abolished, and all its budgetary appropriations, finances, properties, records, equipment, rights, assets and liabilities are transferred to MinDA.
- Incumbent officers and employees of MEDCo continue in office as officers and personnel of MinDA without demotion in rank or diminution in pay and fringe benefits.
- MinDA continues to hold office in Davao City until a permanent structure is established in Maramag, Bukidnon.

Appropriations and Implementing Rules and Regulations (Sections 15 and 16):
- The amount necessary to finance the initial implementation of the Act is charged against the current year's appropriations of MEDCo.
- Thereafter, the current budget is increased by 100%, which is included in the annual General Appropriations Act (GAA) for continued implementation.
- The current appropriations of MEDCo are transferred to MinDA to commence its activities.
- MinDA adopts rules and regulations to implement the provisions of the Act within 60 days from the date of approval.

Repealing Clause, Separability Clause and Effectivity (Sections 17, 18 and 19):
- All laws, decrees, executive orders, rules and regulations inconsistent with or contrary to the provisions of the Act are repealed or modified accordingly.
- If any part or provision of the Act is held unconstitutional or invalid, other parts or provisions not affected remain in full force and effect.
- The Act takes effect 15 days following completion of its publication in at least two newspapers of general circulation.