De-Activation of BCDA Management Holdings, Inc. (BMHI)

July 1, 2015 GCG MEMORANDUM ORDER NO. 006-15 DE-ACTIVATION OF BCDA MANAGEMENT HOLDINGS, INC. (BMHI) WHEREAS, BCDA Management Holdings, Inc. (BMHI) was organized and incorporated by virtue of Securities and Exchange Commission Registration No. AS095 003749 on 15 September 1998; WHEREAS, BMHI is a wholly-owned subsidiary of the Bases Conversion and Development Authority (BCDA) tasked to manage and/or provide technical support services to critical projects and activities of BCDA; WHEREAS, the BCDA Governing Board, in its Board Resolution No. 2014-12-186, approved the wrapping-up of BMHI's current operations, the transfer of BMHI's contractual obligations to BCDA, the grant of severance pay to all its employees consistent with the prevailing Labor Laws; WHEREAS, Section 5 (a) of the " GOCC Governance Act of 2011 " (R.A. No. 10149) empowers the GCG to: "[e]valuate the performance and determine the relevance of the GOCC, to ascertain whether such GOCC should be reorganized, merged, streamlined, abolished or privatized, in consultation with the department or agency to which a GOCC is attached;" WHEREAS, Section 5 (b) of R.A. No. 10149 authorizes the GCG to "classify GOCCs into any other classification based on parameters as it may find relevant or material," which shall "guide the GCG in exercising its powers and functions;" WHEREAS, BMHI meets the standards for de-activation under GCG MC No. 2015-02; NOW, BE IT RESOLVED, the BCDA MANAGEMENT HOLDINGS, INC. (BMHI) is hereby DEACTIVATED and reclassified from the Trade, Tourism and Area Development Sector to In-active under ANNEX A CLASSIFICATION OF GOCCs BY SECTORS; RESOLVED FURTHER, BCDA shall perform the following as part of the transitional plan to deactivate the current operation of BMHI: (a) Act as successor-in-interest of BMHI's obligations, assets and liabilities; (b) Assume the functions of BMHI; (c) Implement the plan of action for the affected employees of BMHI as follows: BCDA will directly manage and supervise the project-based employees and daily wage earners employed in the project sites of BCDA; Absorption of qualified employees and officers from BMHI; Separation pay to affected employees in accordance with the Reorganization Plan of BCDA. (d) Resolve all audit findings by the Commission on Audit (COA) against BMHI. RESOLVED FURTHER, a Technical Working Group shall be formed consisting of representatives from GCG, BCDA and BMHI, which will monitor the implementation of the de-activation and winding down of BMHI's operations and provide quarterly reports to the Governance Commission until the same is completed. CHTAIc RESOLVED FINALLY, BCDA shall seek prior approval from the GCG in the event that the corporation will be re-activated and be used for new purpose. DONE, in the City of Makati, this 1st day of July, Two Thousand and Fifteen. BY AUTHORITY OF THE COMMISSION: (SGD.) CESAR L. VILLANUEVA Chairman (SGD.) MA. ANGELA E. IGNACIO Commissioner (SGD.) RAINIER B. BUTALID Commissioner