Solon backs filing of case versus BCDA

Rep. Mauricio G. Domogan fully supports the intention of the local government to file the appropriate case against the State-owned Bases Conversion and Development Authority (BCDA) to ensure that the city will be able to benefit from the 247-hectare John hay Special Economic Zone (JHSEZ).

Earlier, Mayor Benjamin B. Magalong announced that the city will be filing the appropriate case against the BCDA in relation to the latter’s failure to comply with a number of conditions under Resolution No. 362, series of 1994 that prescribed the 19 conditionalities for the proposed development of the former American military base in the city.

However, Domogan suggested that the local government should anchor the case that will be filed on Condition No. 16 that mandates the BCDA to effect the transfer of ownership of the land and its build up and improved structures within the zone from the State corporation to the local government upon the expiration of the lease agreement between the BCDA and its designated developer pursuant to the policy and procedures provided by law.

He claimed that the Supreme Court (SC) already ruled on the termination of the lease agreement between BCDA and the Camp John Hay Development Corporation (CJHDevCo) that is why it is imperative for the city to invoke the said condition in the filing of the case against BCDA.According to him, BCDA was able to partially comply with the prescribed conditions during the lease period but it has yet to comply with Condition No. 14 that mandates the segregation of the 14 barangays within the Camp John Hay reservation and Condition No. 16 now that the lease agreement is considered to have expired pursuant to the previous SC ruling.

The city plans to file a case against BCDA based on Condition No. 9 that requires BCDA to provide for an equitable sharing arrangement for the local government from the gross income of operations within the zone, subject to presidential or congressional authorization, if warranted, under the proposed income apportionment; 3 percent for the national government, 3 percent for the local government and 1 percent for the community development fund jointly administered by the city and the BCDA and Condition No. 10 that stated that in addition to the aforesaid provision, the BCDA shall allocate 25 percent from John Hay Poro Point Development Corporation’s lease rentals, or 30 percent from the corporation’s net income from all operations within the zone, whichever is higher, at any given time during the lease period to be used for development projects such as basic infrastructure, socialized housing, peace and order measures and environmental preservation under the joint management of the JPDC and the city.

Domogan assured that he will closely work with the city’s legal team to iron out an air tight case that will be filed against the BCDA to compel the same to already turnover the zone to the city. – Dexter A. See