Memorandum Order No. 178 Establishing the Panglao Tourism Special Infrastructure Program

July 4, 2005

MEMORANDUM ORDER NO. 178

ESTABLISHING THE PANGLAO TOURISM SPECIAL INFRASTRUCTURE PROGRAM AND DIRECTING THE SECRETARY OF TOURISM TO EXERCISE PRIMARY OVERSIGHT FUNCTIONS

WHEREAS, Proclamation No. 1801, series of 1978, declared Panglao Island, Panglao, Bohol as a tourist zone and marine reserve, placing it under the administration and control of the Philippine Tourism Authority (PTA), an entity attached to the Department of Tourism, and serves as the implementing arm of the policies and programs pertaining to tourism development projects in the country; DcSACE

WHEREAS, Panglao is emerging as a prime tourist destination with equal potential and paramount impact as that of Boracay to the country's tourism efforts;

WHEREAS, to ensure and sustain the competitiveness and marketability of Panglao as a premier and world-class destination, necessary financial and infrastructure support must be provided by the government to respond to the growing needs, particularly in the development of the airport in Panglao;

NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the Republic of the Philippines, by virtue of the powers vested in me by law, do hereby order:

SECTION 1. Panglao Tourism Special Infrastructure Program. — The Panglao Tourism Special Infrastructure Program (PTSIP) is hereby established to ensure and sustain the competitiveness and marketability of Panglao, Bohol, as a premier and world-class tourist destination. The PTSIP shall include:

(a) The conversion and upgrading of the Panglao Airport consistent with international standards; and

(b) Other related infrastructure and equipment complementing the intended transport system in the area.

SECTION 2. Primary Oversight Functions. — The Secretary of Tourism is hereby directed to exercise primary oversight functions over the PTSIP to oversee and monitor the effective and efficient implementation of the Program.

SECTION 3. PTSIP Project Office. — A PTSIP Office shall be established pursuant to this order. The PTSIP Project Management Office shall be composed of a Project Manager represented by the General Manager/Chief Executive Officer of the Philippine Tourism Authority (PTA) and a Deputy Project Manager represented by an Assistant Secretary of the Department of Transportation and Communications (DOTC).

The PTSIP Office shall have the following functions:

a. Plan, implement and oversee the operational details and administrative arrangement necessary for the effective and efficient implementation of the PTSIP consistent with the principles of transparency and accountability;

b. Prepare and finalize details and administrative arrangements, and secure appropriate clearances, permits and licenses necessary for the implementation of the Panglao Airport development;

c. Implement and/or coordinate with various components of the development program, including financing, physical implementation and supervision thereof; cDCSET

d. Conduct meetings, coordination and request for support and assistance from concerned agencies, government-owned or controlled corporations, local government units, regional development councils, private organizations and individuals for the attainment of the Program's objectives;

e. Prepare monthly accomplishment reports to the Office of the President (OP), the Department of Tourism (DOT), and the DOTC on the status of the projects under the PTSIP; and

f. Perform and executive such other duties as the President or the Secretary of Tourism may direct from time to time.

SECTION 4. Assistance. — The Secretary of Tourism and the PTSIP Project Office may call upon the Department of Transportation and Communications (DOTC), the Department of Finance (DOF), the Department of Budget and Management (DBM), the Department of Environment and Natural Resources (DENR), the National Economic and Development Authority (NEDA), the Air Transportation Office (ATO), the Philippine Ports Authority (PPA), and any other agency of the government for such assistance as may be necessary in the performance of their functions. All heads of departments, agencies, bureaus, offices, including government-owned or controlled corporations, are hereby enjoined to render full assistance and cooperation to the Secretary of Tourism and the PTSIP Project Office and provide such information and data as may be required to carry out their functions pursuant to this Order.

SECTION 5. Liaison with Regional and Local Governments. — The Project Manager shall name a liaison officer to undertake coordination activities with concerned local government units in connection with the implementation of the PTSIP.

SECTION 6. Funding. — The DBM Secretary shall regularly release the allotments and disbursement authority intended for projects under the PTSIP, as authorized in the General Appropriations Act, covering both loan proceeds and local fund counterparts, and from the budgets of PTA, DOTC, ATO and PPA.

SECTION 7. Internal Audits. — An internal auditor for PTSIP shall be designated by the Office of the President. Such internal auditor shall have a duty, among others, of reviewing and checking the disbursements made from the proceeds of applicable loan agreements, the Philippine government counterpart funds and the various agency funds. The internal auditor shall report to and shall be under the supervision of the DBM Secretary. DEICaA

SECTION 8. Repealing Clause. — All executive issuances, directives, rules and regulations or parts thereof, which are inconsistent with this Memorandum Order, are hereby repealed, amended, or modified accordingly.

SECTION 9. Effectivity. — This Memorandum Order shall take effect immediately.

DONE in the City of Manila, this 4th day of July in the year of Our Lord, Two Thousand and Five.