BBL IN SENATE | Briefing on the BBL, Sept. 23, 2014

Republic of the Philippines CONGRESS OF THE PHILIPPINES

S E N A T E Pasay City

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE

COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION

DATE : Tuesday, September 23, 2014 TIME : 10:00 a.m. VENUE : Session Hall 2nd Floor, Senate of the Philippines Financial Center, Roxas Boulevard

Pasay City AGENDA: BRIEFING ON SENATE BILL NO. 2408 AN ACT

PROVIDING FOR THE BASIC LAW FOR THE BANGSAMORO AND ABOLISHING THE AUTONOMOUS REGION IN MUSLIM MINDANAO, REPEALING FOR THE PURPOSE REPUBLIC ACT NO. 9054, ENTITLED 'AN ACT TO STRENGTHEN AND EXPAND THE ORGANIC ACT FOR THE AUTONOMOUS REGION IN MUSLIM MINDANAO,' AND REPUBLIC ACT NO. 6734, ENTITLED 'AN ACT PROVIDING FOR AN ORGANIC ACT FOR THE AUTONOMOUS REGION IN MUSLIM MINDANAO,' AND FOR OTHER PURPOSES (by: Senators Drilon, Sotto, A. Cayetano, Legarda, Ejercito, Binay, Escudero, Aquino, Angara, P. Cayetano, Honasan and Guingona)

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Committee on Local Government joint with the Committee on Peace, Unification and Reconciliation Tuesday, September 23, 2014 Page 2 x ------------------------------------------------------------------------------- x

A T T E N D A N C E

SENATORS PRESENT: HON. FERDINAND R. MARCOS JR. - Chairman HON. AQUILINO KOKO PIMENTEL III HON. PIA S. CAYETANO HON. JOSEPH VICTOR G. EJERCITO GUESTS/RESOURCE PERSONS: Hon. Teresita Quintos-Deles - Secretary Presidential Adviser on the Peace Process Atty. Mohagher Iqbal - Chairman Bangsamoro Transition Commission (BTC) Mr. Akmad Sakkam - Commissioner, BTC Mr. Timuay Melanio Ulama - Commissioner, BTC Mr. Ibrahim Ali - Commissioner, BTC Mr. Abdulla Camlian - Commissioner, BTC Atty. Sha Elija Dumama-Alba - Commissioner, BTC Atty. Lanang Ali Jr. - Commissioner, BTC Prof. Miriam Coronel-Ferrer - Government of the Philippines (GPH)

- Panel Chair Mr. Senen Bacani - GPH Panel Member Atty. Anna Tarhata Basman - GPH Legal Head

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Committee on Local Government joint with the Committee on Peace, Unification and Reconciliation Tuesday, September 23, 2014 Page 3 x ------------------------------------------------------------------------------- x SENATORS STAFF: Atty. Jose S. Cadiz Jr. - O/S Marcos Atty. Minda D. Lavarias - O/S Marcos Mr. Julius Palamos - O/S Marcos Ms. Zheanne Aeson M. Dantis- O/S P. Cayetano Atty. Deegee Uy-Anastacio - O/S P. Cayetano Ms. Fritzie Rose Selda - O/S P. Cayetano Mr. Jason Co - O/S A. Cayetano Atty. Katrina Bianca T. Tamayao- O/S Villar Ms. Elaiza Balajadia - O/S Lapid Atty. Harold Ian Bartolome - O/S Pimentel Atty. Paisalin P. Tago - O/S Pimentel Mr. Ryan Martin Macalatan - O/S Pimentel Atty. Elbert Cruz - O/S Pimentel Ms. Vira Panes - O/S Osmea Mr. Doni Capuyan - O/S Osmea Mr. Brian See - O/S Legarda Atty. Mark Robert Dy - O/S Guingona Ms. Judith Lee - O/S Guingona Ms. Kristela Castronuevo - O/S Recto Ms. Jeng Rondal - O/S Ejercito Atty. Placido O. Garcia III - O/S Poe Ms. Maila Carandang - O/S Trillanes Ms. Maji Marlunas - O/S Angara Mr. Ricardo Calimay - O/S Binay Atty. Jun Almalbis - O/S Honasan SECRETARIAT: Ms. Assumption Ingrid B. Reyes - Committee Secretary Committee on Local Government Mr. Elpidio Calica - Committee Secretary Committee on Peace, Unification and Reconciliation Ms. Norma G. Dizon - Committee Stenographer Ms. Cindell B. Gealan - Committee Stenographer Ms. Jocelyn A. Dela Cruz - Committee Stenographer

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Committee on Local Government joint with the Committee on Peace, Unification and Reconciliation Tuesday, September 23, 2014 Page 4 x ------------------------------------------------------------------------------- x

Ms. Marivic H. Ulep - Committee Stenographer Ms. Jeanne M. Baisa - Committee Stenographer Ms. Cristina D.C. Astrero - Committee Stenographer

Ms. Anna Leah C. Catimbang - Committee Stenographer Mr. Rommel P. Alger - Committee Stenographer Ms. Avigail G. Andaya - Assisting Staff Ms. Mylene R. Palino - Assisting Staff Mr. Felipe A. Dahino - Assisting Staff Ms. Ana Marie F. Deplomo - Assisting Staff Mr. Daniel D. Diamzon - Assisting Staff Mr. Randy Estur - Committee Legislative Page Mr. Rolando Tancioco - Committee Legislative Page Mr. Raul Balansag - Committee Legislative Page [FOR COMPLETE LIST, PLEASE SEE ATTACHED ATTENDANCE SHEET.]

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-1 September 23, 2014 10:18 a.m. 1

AT 10:18 A.M., HON. FERDINAND R. MARCOS JR., CHAIRMAN OF THE COMMITTEE ON LOCAL GOVERNMENT, CALLED THE BRIEFING TO ORDER.

THE CHAIRMAN (SEN. MARCOS). Good morning, ladies and

gentlemen.

The briefing for the Committee on Local Government joint with

the Committee on Peace, Unification and Reconciliation is called to

order.

I am informed that since this is a briefing and not a hearing, we

may not require a quorum. I was waiting for the others to join us but I

think we can get started since this could involve discussion.

So I would just like to acknowledge for the record our invited

guests: the Presidential Adviser on the Peace Process, Secretary

Teresita Quintos-Deles; the chairman of the Bangsamoro Transition

Commission, Chairman Mohagher Iqbal; and members of the

Commission, Commissioner Akmad Sakkam, Commissioner Timuay

Melanio Ulama, Commissioner Ibrahim Ali, Commissioner Abdulla

Camlian, also together with Atty. Sha Elija Dumama-Alba and Atty.

Lanang Ali Jr.

For the panel chair for peace negotiations with the MILF,

Professor Miriam Coronel-Ferrer, together with Secretary Senen

Bacani.

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-1 September 23, 2014 10:18 a.m. 2 Ladies and gentlemen, thank you for coming and welcome to the

Senate.

I had requested for this briefing for those of us who have not

been able to receive copies of the Organic Law as it has been proposed

or has been drafted for the information and enlightenment of not only

the members of the Committee but, of course, also that of the general

public. This is so important a measure that I believe the discussions

should not be limited to those of us in the Senate or in the House of

Representatives who are directly involved in the drafting of this bill,

but I think the discussion and debate should go out to the general

populace seeing as any results, any success that we garner here by

passing this measure will be of a beneficial effect not only to ARMM,

not only to the proposed Bangsamoro but also to all of the Filipino

populace. And that is why again it pays to be very well-informed.

So without further ado, we can proceed with the briefing. I will

yield the floor to Secretary Deles.

Secretary Deles, if you would like to proceed?

MS. QUINTOS-DELES. Good morning to the Chair and the

honorable members of the Committee. Again, we thank the Senate

that they have allowed time for the discussion of the bill on the

Bangsamoro Basic Law even though budget hearing is happening.

That indicates to us how important this is and that indicates to us the

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-1 September 23, 2014 10:18 a.m. 3 intent of the Senate as well as the House of Representatives to not

waste time on examining this bill or discussing this bill.

As I have informed the Committee Chair, what will happen in this

briefing will, in a way, be a milestone also because as we had

communicated and Mr. Iqbal will also put forward in his opening

remarks that it isThere will only be one presentation because it is

very clear to the two parties that we are on the same platform. We

work together very hard on the completion of the draft Bangsamoro

Basic Law. And, therefore, the presentation that will be done by Mr.

Iqbal is also the presentation that is being put forward by government.

So we will not say very much more, Your Honor. I think the

importance of this bill and the law to be passed to this government as

an important pillar of the reformed agenda has been made clear over

and over again. This is on the top of the list that was given to both

houses of Congress of the legislative measures that the Executive

was turned over to the Legislature. And it is in this light that we again

convey our commitment and our readiness to be present to the

Senate, to the Committee in every way that the Committee will want

to happen.

So, Your Honor, it is the Bangsamoro Transition Commission with

the Chair, Mr. Iqbal, that will be doing the presentation.

THE CHAIRMAN (SEN. MARCOS). Thank you, Secretary Deles.

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Yes, Chairman Iqbal, if you would.

MR. IQBAL. Thank you very much, Your Honor, Senator

Ferdinand Marcos Jr., head of the Committee on Local Government, for

allowing me to make a short message.

Before the formal presentation on the Bangsamoro Basic Law, I

would like to make an opening statement here, a very brief one. Of

course, my courtesy to Secretary Teresita Ging Deles; my esteemed

colleagues in the government peace panel, Professor Miriam Coronel-

Ferrer; my fellow commissioners of the Bangsamoro Transition

Commission especially Ambassador Sakaam; former Secretary Senen

Bacani of the GPH Peace Panel; other guests; members of the media;

ladies and gentlemen, good morning.

Thank you for this opportunity to address the esteemed

members of the Senate and talk about what is very important to us

establishment of the Bangsamoro. Why does the establishment of the

Bangsamoro matter? Why should we build the Bangsamoro? This is

important because establishment of the Bangsamoro will end the long-

standing conflict that has been the scourge of our people. The conflict

has caused untold pain and misery. It has brought poverty and

insecurity to our people. It has cost thousands of lives. Let us end this

situation. Let peace be our lasting legacy. Every person has a right to

live a happy and meaningful life. Let us grant this right to our peoples

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-1 September 23, 2014 10:18 a.m. 5 in the Bangsamoro. Life is meant to be lived in freedom and in pursuit

of meaning and significance. Instead, the conflict has caused our

people to live in fear and in want. Today, we have a singular

opportunity to end suffering, poverty, illiteracy, impunity and

lawlessness. Let us work hard to make this happen. Let this be our

lasting legacy.

Now, there is more. The Bangsamoro will not only liberate the

Bangsamoro people from insecurity and poverty. It will also build a

country. It will make the Philippines whole. For the longest time, the

Bangsamoro had been kept at the margins of Philippine national life.

The Bangsamoro will grant us the opportunity to participate as real

active citizens of this country. The Bangsamoro will also strengthen

the stability of this country and will be our best antidote against rising

radicalism as it will show that there is space for the Bangsamoro in

the Philippines.

The Bangsamoro will also spur this countrys development as it

will become an economic hub in an area adjacent to Malaysia,

Indonesia and Brunei. With these that the Bangsamoro will bring,

there will be more investment, more jobs, more education and more

opportunities not just for the Bangsamoro but for the whole country

as well.

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Lastly, the Bangsamoro will also strengthen our geopolitical

status in Asia. Whereas before, our country was divided; now we are

one. Those opposed to the peace in the Bangsamoro will claim that the

Bangsamoro Basic Law is unconstitutional, will divide the country and

is merely a ploy for independence on the part of the MILF.

The Constitution, among others, is a toolkit for solving

intractable social problems. There is enough flexibility in the

Constitution that will accommodate real solutions to ending the conflict

in Mindanao. As long as /ngdizon

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION CBGealan II-1 September 23, 2014 10:28 a.m. 1

MR. IQBAL. As long as there are men and women of goodwill

that seek peace, the Constitution will never be a hindrance. Instead of

dividing the country, the Bangsamoro will unite the country. What

divides the country is neglect, lack of respect, and lack of appreciation

of diversity. What unites a country is respect and celebration of the

richness of our different histories, cultures and faiths. This is what the

Bangsamoro brings.

The Bangsamoro is our best insurance against independence. If

the Bangsamoro works to bring peace, development and security to

the people, then independence becomes less attractive. People will

only leave a relationship when they are treated badly. But if they are

treated well, there will be no reason to aspire to be independent. Look

at the result of the referendum in Scotland where the no vote for

independence outvoted the yes for independence. The same applies

to the Bangsamoro.

Once again, we would like to say that we have given the best

years of our lives to securing a better future for our children. A future

that is peaceful, secure and prosperous. Given the circumstances, we

would gladly do it all over again. This is our solemn commitment. But

now we have a chance where our children need not make that kind of

sacrifice again. Help us make that happen. Let us build a future

where our children will spend the best years of their lives pursuing

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their highest dreams of peace and prosperity. Let peace be our lasting

legacy.

Finally, I trust the collective wisdom of the members of

Congress, both in the Senate and the Lower House, to pass a good

legislation in the form of this proposed Bangsamoro Basic Law.

Thank you very much.

THE CHAIRMAN (SEN. MARCOS). Thank you, Chairman, for

your opening statement. If you would like to proceed now with the

briefing.

MR. IQBAL. Thank you very much, Your Honor.

I would request Atty. Eli Dumama to make the actual

presentation.

THE CHAIRMAN (SEN. MARCOS). Before we proceed, I would

just like to recognizeI failed to recognize her earlierAtty. Anna

Tarhata Basman, the GPH Legal Head.

Chairman, please go ahead.

MS. ALBA. Bismillah hirrahman nirahim, assalamu alaikum and

good morning, Senator Marcos.

We are here to present a brief outline of the Bangsamoro Basic

Law.

Next slide, please.

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The first slide has been duly elaborated on by Chairman

Mohagher Iqbal, the Chairman of the Bangsamoro Transition

Commission.

What is in it for us? Why do we need to pass the Bangsamoro

Basic Law?

The first is it will end the long-standing suffering of the

Bangsamoro people. A lot of conflicts and hatred, and animosity had

built up across time between these people, the Bangsamoro people,

and the government.

We need a Bangsamoro Basic Law to make the Bangsamoro

people feel that they are part of this country. This will enable us to

foster unity and harmony, and integrate the Bangsamoro into the

Philippine society.

It will also usher in economic development, bring jobs, give jobs

to people, make them educated and contribute to the progress of our

country. And it will act as a shield against rising radicalism, because

we need a lovely and peaceful place where people feel safe and

important.

Next slide, please.

Now the Bangsamoro Basic Law has 18 articles, and 242

sections. As you can see, these are the articles, the contents of the

Bangsamoro Basic Law.

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Next, please.

The Preamble of the Bangsamoro, as you can see, it reflects that

it is within the bounds of the Constitution, in consonance with the

Constitution and the universally accepted principles of human rights,

liberty, justice, democracy and the norms and standards of

international law reflective of our system of life prescribed by our faith

and in harmony with our customary laws, cultures and traditions.

Why do we need to establish a Bangsamoro political entity?

The purpose is to establish a political entity that will provide for

the basic structure of government in recognition of justness and

legitimacy of the cause of the Bangsamoro people and their aspiration

to chart their political future through a democratic process that will

secure their identity and posterity and allow for meaningful self-

governance. This embodies right to self-determination and self-

governance.

Next, please.

We go on to the key issues in the proposed Bangsamoro Basic

Law. First is about the territory; second is inclusiveness; third,

security; fourth is revenue generation and wealth sharing; the fifth is

the role of the indigenous peoples; and sixth is Shariah law.

The Bangsamoro government adopts a ministerial or

parliamentary form of government. Under Article IV, Section 2, the

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Bangsamoro government shall be parliamentary. Its political system is

democratic, allowing its people to freely participate in the political

processes within its territory.

Legislative authority is vested in 60 members of the parliament,

50 percent of whom are representatives of political parties elected

through a system of proportional representation, 40 percent are

district representatives, and 10 percent reserve seats and sectoral

representatives. They will serve on a three-year term with no more

than three consecutive terms. The titular head will be the wali, who

will only perform ceremonial functions.

Executive authority is vested in the Bangsamoro Cabinet. The

executive function and authority shall be exercised by the Cabinet

ministers who shall be headed by a chief minister. The composition

are chief minister, the deputy chief minister and other ministers.

The chief minister shall be elected by a majority of votes from

among the members of the parliament. And the deputy chief minister

is appointed by the chief minister from among the elected members of

the parliament and the other ministers shall be from majority of the

members of the parliament.

We move on to the intergovernmental relations mechanism.

The intergovernmental relations mechanism or IGR is established

at the highest levels that will coordinate and harmonize the

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relationship between the central government and the Bangsamoro

government to resolve issues and disputes on intergovernmental

relations through regular consultations and continuing negotiations in a

non-adversarial manner, and all issues that are unresolved in the

intergovernmental relations mechanism shall be elevated to the

President through the chief minister.

It is also worth noting that there is a Bangsamoro parliament and

Philippine Congress Forum that will meet regularly to tackle issues on

legislation.

THE CHAIRMAN (SEN. MARCOS). Could you expand on that

because that is a feature thats not well understood?

What exactly will be the function of that body? And because it

to some quartersit sounds that, again, the question of sovereignty

immediately comes up because if both the Bangsamoro government

and the Republic of the Philippines are treated on an equal standing,

then of course we are saying it might be interpreted as a state within a

state. So, perhaps, what you just mentioned, if you could expand on

that just for our understanding. Please, Attorney.

MS. ALBA. Well ask Atty. Basman/cbg

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION JADela Cruz III-1 September 23, 2014 10:38 a.m. 1

MS. ALBA. We will ask Atty. Basman to elaborate.

MS. BASMAN. With your permission, Senator Marcos.

THE CHAIRMAN (SEN. MARCOS). Yes. Yes, of course. Please

go ahead.

MS. BASMAN. We are one family, Mr. Senator.

THE CHAIRMAN (SEN. MARCOS). All right. I leave it to you to

decide who will answer any questions.

MS. BASMAN. Yes, Senator. The Bangsamoro parliament and

the Philippine Congress forum is meant to provide a venue for both the

legislative bodies, not necessarily equating the two, one being a

national legislative body and the other being of regional status, to

enable them to harmonize legislations that they may enact. So one

clear example is the devolved power for the Bangsamoro parliament to

create, abolish, merge local government units and we know from

Supreme Court decisions and the Constitution that only Congress can

expand its membership and any enactment of the Bangsamoro

parliament that might have an effect on the powers of the national

Congress will have this forum for discussion.

THE CHAIRMAN (SEN. MARCOS). I think the direction that

the questions will be--if there are contradictory, as you call them

enactments by the Bangsamoro legislature and the Philippine

Congress, this is to be negotiated or what law will be followed?

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MS. BASMAN. I think, sir, the forum provides the venue to

prevent contradiction because even before the passage of

THE CHAIRMAN (SEN. MARCOS). But there will be instances

where the Philippine Congress will simplyI hearken it to a situation

between an LGU, for example, and the national government. Any

ordinance that is passed by any sanggunian at any point which is in

conflict with any laws passed by Congress, immediately it is well-

recognized that any ordinances passed by an LGU cannot be

contradicting to any laws passed by Congress. How will that

mechanism work when it comes to the enactments of the Bangsamoro

legislation?

MS. BASMAN. I think, Your Honor, the regular mechanisms to

determine the validity of the enactment of the Bangsamoro parliament

government if, in fact, it goes beyond the legislative powers granted

under the BBL will apply. What is being provided in this forum, the

legislative branches to enable them to, at the first instance, prevent

that kind of a contradiction to the regular mechanism to, should we

say, harmonize or remove the contradiction between a national

legislation and the legislation enacted by the Bangsamoro parliament

will still apply.

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THE CHAIRMAN (SEN. MARCOS). Again, how if the conflict

cannot be resolved? How will it then be treated and how it will be

handled?

Yes, Professor.

MS. CORONEL-FERRER. Your Honor, just a little background

on the history of that provision which can also be found in the

comprehensive agreement on the Bangsamoro and has now being

translated as a provision in the proposed law--Bangsamoro Basic Law--

one of the clear concerns was precisely, as pointed out by Atty.

Basman, was the power to create local government units including

provinces. But as we know, in the Constitution, each province is

required to have representation in Congress. So any creation of a new

province would necessitate creation of a congressional seat or a slot

representation in the national Congress. So concretely, it might work

in the manner of simultaneously setting of the process of providing for

a congressional seat for what would eventually be constituted as a

province in the Bangsamoro so that when a province is so affected by

an act of parliament of the Bangsamoro government, then there would

be that congressional seat that will be available. Some of the initial

possibilities that may arise immediately is when there are, in fact,

other areas that might join the Bangsamoro government as a result of

the plebiscite and would require an additional provincethe creation of

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION JADela Cruz III-1 September 23, 2014 10:38 a.m. 4 an additional province and correspondingly some kind ofas well as a

congressional seat. So some kind of a simultaneous action can be

precipitated through that forum.

THE CHAIRMAN (SEN. MARCOS). Very well. I am sure there

will be many more questions especially on this but as I promised our

guests, we would allow them to get from the beginning to the end of

their briefing.

So Atty. Alba, if you would like to proceed.

MS. ALBA. Okay, so the next slide is on the proposed

Bangsamoro territory. We highlighted that the proposed Bangsamoro

territory shall remain as a part of the Philippines. The present

THE CHAIRMAN (SEN. MARCOS). I would like to acknowledge

the arrival of Sen. Koko Pimentel.

MS. ALBA. The proposed Bangsamoro territory will comprise the

present geographical area of the Autonomous Region in Muslim

Mindanao, the six municipalities in the province of Lanao del Norte,

Baloi, Munai, Nunungan, Pantar, Tagoloan and Tangkal; the 39

barangays in the municipalities of Kabacan, Carmen, Aleosan,

Pigcawayan, Pikit and Midsayap in North Cotabato, who voted Yes in

the 2011 plebiscite; the cities of Cotabato and Isabela and those

qualified for inclusion in the plebiscite by way of resolution or petition.

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THE CHAIRMAN (SEN. MARCOS). Again, could we go back

one slide? You have included six municipalities, 39 barangays and two

cities, how will the administration be because they are non-contiguous,

they will be administered by the Bangsamoro government?

MS. ALBA. Yes.

THE CHAIRMAN (SEN. MARCOS). And they will not fall under,

for example, the barangays will not fall under their municipal

government or provincial government? How will that work?

MS. ALBA. The 39 barangays, sir, will form part of the

Bangsamoro government but without delegation of the authority of the

municipal government over them. So the administration will be under

the Bangsamoro government but on other matters that the

municipalities have authority over them, they will still exercise.

THE CHAIRMAN (SEN. MARCOS). Will they, for example,

have IRA share from the provincial share?

MS. ALBA. Yes, sir.

THE CHAIRMAN (SEN. MARCOS). They will?

MS. ALBA. Yes, sir.

THE CHAIRMAN (SEN. MARCOS). So they do not receive a

share from the Bangsamoro government?

MS. ALBA. There is.

THE CHAIRMAN (SEN. MARCOS). There is also?

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MS. ALBA. Yes.

THE CHAIRMAN (SEN. MARCOS). They will also receive

another form of---

MS. ALBA. Its not actually an IRA.

THE CHAIRMAN (SEN. MARCOS). No, its not called IRA when

it comes to the Bangsamoro government but weve established that

they will receive their IRA share, for example, from the national

government. Will they receive further funding from the Bangsamoro

government?

MS. ALBA. Okay.

MS. QUINTOS-DELES. Yes, Your Honor, they may certainly

because the automatic appropriation through the Bangsamoro as well

as the Social Development Fund is supposed to develop the entire

Bangsamoro area. So based on the Bangsamoro Development Plan,

they may also.

THE CHAIRMAN (SEN. MARCOS). Okay. If there is a

Bangsamoro Development Plan and there is a provincial development

plan or a regional development plan, how again do we resolve the

inevitable differences between those two plans? Because the

Bangsamoro is concerned with this particular area, the regular

provincial development and regional development councils will

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION JADela Cruz III-1 September 23, 2014 10:38 a.m. 7 presumably have an overall plan for the provinces and the cities and

the municipalities under which/jadc

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COMMITTEE LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Mhulep IV-1 September 23, 2014 10:48 a.m. 1 THE CHAIRMAN (SEN. MARCOS). ...and the municipalities

under which these other LGUs reside. So maybe just give us an idea

how the concept is--

I know that the details are not yet hammered out but the

concept on how this power--it will be a power sharing really system

which is going to function.

Professor, if you could enlighten us.

MS. CORONEL-FERRER. Of course, Your Honor.

I think in the immediate period after the results of the plebiscite,

these new areas that are outside of the ARMM and currently belong to

provinces that are not part of the ARMM will exist for a temporary

period as geographic areas. And that kind of transition where, in fact,

they will get their IRA whether from the original province or

eventually--will probably happen until such time that they are

constituted as part of provinces of the Bangsamoro. And that will be

done by a legislative action of the Bangsamoro parliament. So until

such time that happens, then they will still effectively belong to the

provinces where they are currently located.

THE CHAIRMAN (SEN. MARCOS). In terms of administration,

if an ordinance is passed by a province in which one of the areas that

you have identified falls in, is that the local law that they need to

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COMMITTEE LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Mhulep IV-1 September 23, 2014 10:48 a.m. 2 follow? Or they only follow Bangsamoro law as enacted by the

legislature?

MS. CORONEL-FERRER. Effectively they are local governments

that are already part of the Bangsamoro Transition Authority which is

the immediate body that will be constituted until such time everything

is regularized through that act of constituting them as part of provinces

or municipalities of existing territory that is part of the current ARMM.

THE CHAIRMAN (SEN. MARCOS). I guess the non-contiguity is

where the problem arises. But again, let me--I'll just allow--please

carry on.

Thank you.

MS. ALBA. This is a picture, an illustration of the Bangsamoro

waters and the zones of joint cooperation. So the Bangsamoro waters

run from 22.224 kilometers from the nautical miles. This shall form

part of the Bangsamoro waters and the zones of joint cooperation for

the Sulu Sea and Moro Gulf.

Okay, next.

We talk about inclusiveness. How inclusive is the Bangsamoro

Basic Law?

We share our successes, as discussed by Chairman Iqbal in his

speech earlier, with all of the stakeholders whether they be

Bangsamoro or non-Bangsamoro. Just to mention that the

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COMMITTEE LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Mhulep IV-1 September 23, 2014 10:48 a.m. 3 Comprehensive Agreement on the Bangsamoro also recognizes all the

gains in the peace pacts previously entered into by the government

and the MNLF, and we reach out to all the stakeholders through public

consultations, conferences and conventions. We have civil society

organizations that we have partnered with to get our messages across

the grassroots. And as you can see, we have reached this far in this

endeavor and we hope that the people of this nation will recognize the

importance of this piece of legislation.

Next.

So, there is going to be a Bangsamoro Police who shall be still

part of the Philippine National Police. The Bangsamoro Police will take

charge of law enforcement and maintenance of peace and order in the

Bangsamoro. And as you can see, the Bangsamoro Police Board is also

still part of the National Police Commission or Napolcom and the

Napolcom shall ensure that the Bangsamoro Police Board performs its

powers and functions within the bounds of its authority.

Can you go back, please?

A section on public order and safety provides that "The

Bangsamoro government shall have primary responsibility over public

order and safety within the Bangsamoro. There shall be cooperation

and coordination between the central government and the Bangsamoro

government through the intergovernmental relations mechanism.

26

COMMITTEE LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Mhulep IV-1 September 23, 2014 10:48 a.m. 4 There is hereby created the Bangsamoro police which shall be

organized, maintained, supervised and utilized for the primary purpose

of law enforcement and maintenance of peace and order in the

Bangsamoro. It shall be part of the Philippine National Police."

"The Bangsamoro Police shall be professional, civilian in

character, regional in scope, effective and efficient in law enforcement,

fair and impartial, free from partisan political control and accountable

under the law for its actions. It shall be responsible both to the central

government and the Bangsamoro government and to the communities

it serves."

THE CHAIRMAN (SEN. MARCOS). A quick question. On the

chain of command of their police, will they be under the direct control

of the chief, PNP? How will that work? Can they be ordered, for

example, by the regional commander or the chief PNP, to carry out

some duties? Or will that have to go through the Police Board which is

a member of the Napolcom?

MS. QUINTOS-DELES. Yeah. Your Honor, the command and

structure of the Bangsamoro Police with the PNP will still be intact.

THE CHAIRMAN (SEN. MARCOS). So, under the chain of

command, their commander, their ultimate commander will be the

chief, PNP still? If an order is issued by the chief, PNP, to a member of

27

COMMITTEE LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Mhulep IV-1 September 23, 2014 10:48 a.m. 5 the Bangsamoro Police, is it their duty to follow that order? Or do they

take orders from the Bangsamoro Police Board or some other entity?

MS. CORONEL-FERRER. Your Honor, it's going to be a shared

power just like in the exercise of--which is somewhat similar to the

situation now with other local governments where local governments

actually exercise operational control and supervision as well over the

police force under its command, in this case, the provincial police

office. But the higher level of the region, certainly the regional director

is still under the chain of command of the chief police being part and

parcel of the Philippine National Police. But at the same time, the

regional government through the chief minister also exercises

operational control and supervision over the regional police force.

So, there's that kind of a power--some kind of shared powers

between--

THE CHAIRMAN (SEN. MARCOS). Okay. To use your example,

in an LGU, of course, the chain of command is very clear and the

ultimate commander is still the chief, PNP. There is no such thing as

shared power with anyone as long--it is the commander's power to

issue orders to his people. How will that be different in this sharing of

power that you conceived?

MS. CORONEL-FERRER. Your Honor, we can assume that when

police matters that have implications beyond the Bangsamoro,

28

COMMITTEE LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Mhulep IV-1 September 23, 2014 10:48 a.m. 6 certainly that kind of chain of command will be exercised by the chief

of police as it will now involve other provincial police and regional

police offices. For instance, a criminal element that is moving from

Zamboanga City to inside the Bangsamoro like Basilan or

Maguindanao, then there will be that kind of an imperative on the part

of the chief of police to directly order the regional police chief of the

Bangsamoro. But we can assume for most parts on matters of public

order and safety that is within the Bangsamoro, the chief minister will

be exercising significant operational control and supervision over the

police.

THE CHAIRMAN (SEN. MARCOS). Well, not only in terms of

the law enforcement but also in terms of the adoption of policy. For

example, we are hearing about so-called "lifestyle checks," let's say,

for the PNP. Let's say, that that's approved. Will that apply, for

example, also to the Bangsamoro Police? Its policy rather than the--

that's a chain of command.../mhu

29

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Jmbaisa V-1 September 23, 2014 10:58 a.m. 1

THE CHAIRMAN (SEN. MARCOS). ... chain of command that

the power sharing... But in the adoption of policy, will they wear the

same uniform; will they have the same armaments; will they follow the

same procedures as laid out in the standard operating procedures of

the Philippine National Police?

Im just trying to clarify exactly because power sharing for such

an important issue is rather vague in terms of the uniformed services.

It is not something that the uniformed services are accustomed to do

and because the chain of command is generally very, very clear. So

how will this work? Because it is a different concept.

MS. CORONEL-FERRER. Well, the relevant national agency,

say, dealing with firearms, explosives, acquisition of firearms and so

on, this will be within the single organization of the PNP. The same

national laws will apply. The same firearms law will apply in the

Bangsamoro.

Senator, youve pointed out as for operational control and

supervision for addressing law enforcement issues, thats where the

chief minister will be exercising more direct powers over the regional

police. But otherwise, on the matter of uniform, it is very possible that

they can have a special insignia to represent that they are part of the

Bangsamoro Regional Police Force, otherwisethe badge, I think, its

30


only one badge that is being provided for, for all members of the

Philippine National Police.

THE CHAIRMAN (SEN. MARCOS). Well, that is common

practice. To designate the unit that you belong to is I dont think

thats terribly unusual.

Correct me if Im wrong, but Im hearing that on operational

matters, it would be the chief minister who will ultimately decide.

MS. CORONEL-FERRER. Deployment of forces, say, when

there is a critical situation in one province, the chief minister can ask

the police to deploy people to go to these areas. So these are really

operational aspects that will require that kind ofin keeping with the

powers of the chief minister also to be primarily responsible for the

public order and safety of...

THE CHAIRMAN (SEN. MARCOS). So the chief minister is

operationally the commander of the Bangsamoro Police?

MS. CORONEL-FERRER. As supervisory and management

powers over the police. But the chain of command still flows from the

PNP. The PNP still issues the command and direction comes from the

PNP. For instance, sir, when the promotion issues will arise, these are

all part and parcel of the personnel system inside the Philippine

National Police.

MR. IQBAL. Can I?

31


THE CHAIRMAN (SEN. MARCOS). Chairman Iqbal.

MR. IQBAL. I think the best way to answer the question, Your

Honor, is go to the text itself because the question has an answer in

the text itself. And if I may be permitted to read, I will read the exact

section.

SEC. 8. Powers of the Chief Minister over the Bangsamoro

Police.- The Chief Minister shall have the following powers over the

Bangsamoro Police:

To act as deputy of the National Police Commission in the

Bangsamoro and as ex officio chair of the Bangsamoro Police Board;

To select the head of the police and his deputies;

I have to take note of the use of the word select, not

appointment, but just select. It is recommendatory in character.

To exercise operational control and supervision and

disciplinary powers over the Bangsamoro Police;

To employ or deploy the elements of and assign or reassign

the Bangsamoro Police through the Bangsamoro Police director;

The Bangsamoro Police Director shall not countermand the

order of the Chief Minister unless it is in violation of the law;

To oversee the preparation and implementation of the

Integrated Bangsamoro Public Safety Plan;

32


To impose after due notice and summary hearings of the

citizens complaint administrative penalties on personnel of the

Bangsamoro Police, except those appointed by the President; and

g) Do everything necessary to promote widespread support for

the Bangsamoro Police residents of the Bangsamoro.

THE CHAIRMAN (SEN. MARCOS). There is on paragraph (d),

the statement, The Bangsamoro Police Director shall not countermand

the order of the Chief Minister unless it is in violation of the law.

Can, again, the chief PNP countermand the order of the chief

minister issued to the Bangsamoro Police? I am just trying to

determine again because the power sharingwhat exactly is that

balance of power in the power sharing?

MS. QUINTOS-DELES. Yes, Your Honor, in principle, yes.

THE CHAIRMAN (SEN. MARCOS). In principle

MS. QUINTOS-DELES. Well, yes, because the chief minister

also gets his powers as a member of the regional police board. So he

himself is subject to the Napolcom policy-making because the regional

police board is part of Napolcom.

THE CHAIRMAN (SEN. MARCOS). Yes, I understand. So,

again, to repeat the question, very simple, I think its a test of exactly

what the power sharing is, can the chief, PNP countermand an order

that the chief minister has issued to his police force?

33


MS. CORONEL-FERRER. In his appraisal of a situation, he can

actually issue such an order.

THE CHAIRMAN (SEN. MARCOS). He can.

MS. CORONEL-FERRER. There will be conflict, but that could

be settled eventually as to which order was really more appropriate for

the occasion. But otherwise

THE CHAIRMAN (SEN. MARCOS). So its not an order per se.

It will have to be resolved with the chief ministers order? How does it

work exactly?

MS. CORONEL-FERRER. The chief, PNP through his own

powers over a subordinate official can also make an assertion on

operational matters which may conflict with the powers of the chief

minister. And this has happened several times as well in other local

governments. And, of course, we would hope that the matter could be

discussed and resolved amicably. But otherwise, it can also create

some...

THE CHAIRMAN (SEN. MARCOS). Well, in the case of the

local government, its very clearthe chain of command is very clear.

Although there might be a disagreement in opinion as to the proper

deployment of forces, eventually, the order of Crame supersedes all

others.

34


So, again, maybe this will be something that we could discuss

further in the future. But to stay close to my promise, let me allow

you to go through your briefing.

Thank you.

MS. ALBA. Next slide, please.

On revenue generation and wealth sharing, 100 percent of taxes

that had been transferred to the Bangsamoro shall pertain to the

Bangsamoro. What are these taxes? Capital gains tax, donors tax,

estate tax and documentary stamp tax. One hundred percent of the

taxes already devolved to the ARMM will pertain to the Bangsamoro

and the 25 percent of the national taxes collected in the Bangsamoro

will go to the government, while 75 percent thereof shall go the

Bangsamoro government.

THE CHAIRMAN (SEN. MARCOS). Okay. So its clearly very

different from the arrangement from regular LGUs. Because the LGUs

haveIf we could go back one slide, pleasefor example, national

taxes collected in an LGU are all remitted directly to the national

government and LGUs then wait for the IRA share of each LGU. In this

case, kasi ang sharing sa IRA is 60-40 in local governments. Ito,

baligtad, 25 to the national government and 75 to the Bangsamoro

government.

35


How also will thoselike the IRA share of local governments is

calculated from three years previous and it is then downloaded to the

local government unit. Is this a direct remittance or will it go through

the same process?

MR. BACANI. Your Honor, with your permission, if I may clarify

the issue?

THE CHAIRMAN (SEN. MARCOS). Yes, Sec. Bacani.

MR. BACANI. The issue on the three years before really refers

to the manner of calculating the block grant similar with the manner...

/jmb

36

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION CDAstrero VI-1 September 23, 2014 11:08 a.m. 1

MR. BACANI. similar with the manner of calculating the 40

percent IRA share of the local government units. The benchmark of

three years before is used. In this case, were not really talking of the

same benchmark in terms of the 75 percent to be remitted to the

Bangsamoro. As they come in, for example, for last year, there will be

no time lag. In fact, what is even being foreseen is, at some point in

time, hopefully, there can be a collection office of the BIR purely for

the Bangsamoro so that whatever is collected there is already retained

rather than remitted to the central government first. But it will be on a

current basis, Your Honor. It wont be computed based on the three

years before benchmark.

THE CHAIRMAN (SEN. MARCOS). So, it will be a direct

remittance?

MR. BACANI. Yes, Your Honor.

THE CHAIRMAN (SEN. MARCOS). So, whatever taxes,

national, are collected in the Bangsamoro, 75 percent will be directly

remitted to the Bangsamoro government and 25 percent will then go

to the national government.

MR. BACANI. Yes, Your Honor. Eventually, what may even

happen is, at some point in time, hopefully, if the taxes can be

collected within the Bangsamoro, just for the Bangsamoro to retain the

75 percent and then remit the 25 percent to the central government.

37


THE CHAIRMAN (SEN. MARCOS). Thats what Im hearing,

that that is the mechanism thatHindi na nga direct remittance.

Theyll actually only forward the 25 percent to the national

government. And since the local government, the Bangsamoro

government, is doing the collection, then they will just withhold the 75

percent for the Bangsamoro government funding.

MR. BACANI. Yes, Your Honor. Thats right.

THE CHAIRMAN (SEN. MARCOS). All right.

MS. BASMAN. Your Honor, if I may just add.

THE CHAIRMAN (SEN. MARCOS). Yes, Atty. Basman.

MS. BASMAN. Yes. This arrangement for the sharing of 25

percent and 75 percent for the national taxes collected within the

Bangsamoro between the Bangsamoro government and the central

government is going to be an arrangement that will be unique in the

Bangsamoro and its actually taking off from the existing arrangement

between the autonomous regional government and the central

government whereby the Organic Act of ARMM provides for a sharing

of 70 percent and 30 percent. So, its actually an enhancement of the

existing arrangement with the ARMM regional government.

THE CHAIRMAN (SEN. MARCOS). Very well.

Thank you. Thank you for that clarification.

MS. ALBA. Next slide.

38


On the sharing in the revenues from the exploitation,

development and utilization of natural resources: for non-metallic

minerals, 100 percent shall pertain to the Bangsamoro government;

for metallic minerals such as gold, silver, copper, 75 percent shall go

to the Bangsamoro government and 25 percent to the central

government; and for fossil fuels and uranium, 50 percent to the central

government and 50 percent to the Bangsamoro government.

Other sources of funds.

Next slide.

We have the annual block grant or the share of the Bangsamoro

in the national internal revenue is equivalent to 4 percent of the

national internal revenue collection less the IRA of the LGUs. And

there shall also be a Special Development Fund as raised by Secretary

Deles. For the rehabilitation and development purposes, the amount

of 7 billion for the first year and 10 billion paid out over five years shall

be provided to the Bangsamoro government.

THE CHAIRMAN (SEN. MARCOS). To just clarify the first

paragraph, the 4 percent annual block grant will be taken from the 60

percent of the national share of the IRA. So, bale ang national share

magiging 56 percent4 percent Bangsamoro, and 40 percent all the

other LGUs of the Philippines. Okay.

Thank you.

39


SEN. PIMENTEL. Forty percent for all LGUs including those in

the Bangsamoro. Tama iyon ano?

MS. ALBA. Okay. Next slide.

On the role of indigenous peoples, there shall be representation

in the Bangsamoro Transition Authority. And in the interim

government of the indigenous peoples affairs, there shall be two

reserved seats in the Bangsamoro parliament, a membership in the

council of leaders and the parliament shall create an appropriate office

or ministry for IPs which shall be part of the Bangsamoro Cabinet.

THE CHAIRMAN (SEN. MARCOS). On a related question

Actually, theres something I wanted to ask earlier in the definition of

the Bangsamoro peoples. Im sorry to take you back to the first part

of theIt defines the Bangsamoro peoples as those who are native to

the identified area of Bangsamoro during the colonization.

The question: First of all, how do we determine that, number

one, because its a related issue to the indigenous peoples?

And secondly, whats the status of people who moved into the

Bangsamoro area since colonization? There are many Filipinos who

have moved from other parts of the Philippines to what is now going to

be the Bangsamoro. Since then, are they defined as part of the

Bangsamoro people?

40


MR. IQBAL. Your Honor, its a long story to tell but Ill make it

very brief just to provide context to the question of Your Honor.

The word Moro was first used by the Spaniards when they

encountered Rajah Sulaiman and Rajah Lakandula in Manila. Manila

then was populated by two peoples, the Moros who are Muslims and

then thewhat do you call that termand Indios. Meaning, the term

Moro was originally used to describe the Muslims in Manila and then

throughout themore than 300 years of war between Spain and the

Moros, the term Moro was consistently used and it is basically a

religious term because when you say Moros, they are Muslims.

When the Americans came, of course, there were wars between the

Americans and the Moros and they organized the Moro Province. And

the Moro Province was composed of five districts: Zamboanga, Sulu,

Lanao, Cotabato and Davao. And more than 90 percent of the

population of the Moro Province, which was made of five districts were

Muslims or Moros and indigenous peoples.

Why did we adopt the term Bangsamoro? Was it an invention

of the Moro National Liberation Front? No, it was not an invention of

the Moro National Liberation Front. It was culled from a petition on

February 24, 1924 in Zamboanga City signed by all the major leaders

of the Moros wherein they said thatbecause the Moros at that time

were against the grant of independence but the Americans decided

41

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION CDAstrero VI-1 September 23, 2014 11:08 a.m. 6 that the Moros would be part of the Philippines in the grant of

independence in 1946. But as early as 1924, the Moros were already

protesting to be included in the future Bangsamoroin the future

Republic of the Philippines. So, they said that 50 years after this

petition which was in 1924, then the Moros would be givenjust to

determine their political status and they wanted that they would be

called a Moro nation and that is the origin of the word Bangsamoro,

Moro nation. In other words, originally, the word Bangsamoro includes

the indigenous peoples because they were the inhabitants during the

time of conquest and colonization. So, originally, they were part of the

Moros because when the Moro Province was organized, they were part

of the Moro Province, the Moros and the indigenous people.

So, as to the migrants in Mindanao, I think when we use the

term Bangsamorobecause they were not original inhabitants of

Mindanao. Because the Christian settlers in Mindanao only came there

in 1913 during the American regime, and that most of the

migrants/cda

42

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Aliccatimbang VII-1 September 23, 2014 11:18 a.m. 1 MR. IQBAL. and that most of the migrants in Mindanao came

later especially when there was an Act in the Commonwealth in 1935

when there was that act on Quirino-Recto Colonization Act. And that

was the beginning of wholesale migration of people from Luzon and

Visayas to Mindanao. But what is important here, Your Honor, is that

although by identity, the migrants are not identified as Bangsamoro

but the basic rights are extended to them.

So that is my answer to your question, Your Honor.

THE CHAIRMAN (SEN. MARCOS). So those who have since

moved to what is now being defined as Bangsamoro will not be

recognized as Bangsamoro people.

MR. IQBAL. Except if they decide to be identified. Because it is

in proposed Bangsamoro Basic Law that a Bangsamoro can be by self-

ascription or by ascription. If they want to be called as such then, I

think, they can be called a Bangsamoro.

MS. QUINTOS-DELES. Your Honor, I think the distinction that

were making is that this is identity, political rights, that everyone who

resides in the Bangsamoro get the same political rights.

THE CHAIRMAN (SEN. MARCOS). I see.

MS. QUINTOS-DELES. So they will see that in the language of

the law, it talks about the inhabitants of the Bangsamoro so as not to

discriminate those who do not trace their lineage back.

43

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Aliccatimbang VII-1 September 23, 2014 11:18 a.m. 2 THE CHAIRMAN (SEN. MARCOS). Okay. But the point is that

they are not considered Bangsamoro.

MS. QUINTOS-DELES. In identity, Your Honor. Unless they

take that identity, it cannot be forced on them.

THE CHAIRMAN (SEN. MARCOS). And how do we identify

because colonization was a long time ago--are there sufficient records

for us to be able to trace the lineage of those who are by ascription

Bangsamoro by the definition in the Organic Law that you have

presented to us?

MS. QUINTOS-DELES. I think, Your Honor, what the law

makes clear is that you do not need to produce these papers to avail of

the rights that are provided for all inhabitants. So its a separate

concept of identity from the concept of citizenship.

THE CHAIRMAN (SEN. MARCOS). Thank you, Secretary.

Atty. Alba, please be patient with this constant interruption.

MS. ALBA. Its okay, sir.

THE CHAIRMAN (SEN. MARCOS). Id like to recognize the

arrival of Senator Pia Cayetano.

SEN. PIMENTEL. Before Atty. Alba proceeds, its about the

Bangsamoro.

So an inhabitant in the territory can be a non-Bangsamoro. But

since you will allow that person to be identified as Bangsamoro, is

44

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Aliccatimbang VII-1 September 23, 2014 11:18 a.m. 3 there a procedure that he or she should follow so that he or she will be

formally identified as a Bangsamoro?

MS. CORONEL-FERRER. There is no official procedure, Your

Honor.

SEN. PIMENTEL. But is that a concept of self-ascription that if I

want to be identified as Bangsamoro, I can be identified as

Bangsamoro?

MS. CORONEL-FERRER. The other requirement is to be

descendant or a spouse of a descendant to be qualified as

Bangsamoro.

SEN. PIMENTEL. Iyon na nga. So by blood or affinity.

Because of marriage, you become Bangsamoro. Kaya nga back to the

question of the Chairman, what is now the database of those families?

MS. CORONEL-FERRER. In the same way that we have

acknowledged indigenous peoples in the IPRA, the national law on

indigenous peoples, as those who have maintained certain ways of life,

traditional ways of life, cultural practices and traced their origins in a

veryyou know, without really requiring identity papers for that, then

thats how its going to apply. Actually in other parts of the law, there

is reference to preferential rights to those indigenous peoples including

the Bangsamoro people who are actually indigenous to these areas.

And that is when this matter will become important. But otherwise,

45

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Aliccatimbang VII-1 September 23, 2014 11:18 a.m. 4 the reference points are actual communities living in these geographic

areas where their ancestors have traditionally lived.

THE CHAIRMAN (SEN. MARCOS). If a citizen or a resident in

the Bangsamoro area cannot show any lineage to the original

indigenous peoples in the Bangsamoro area, can they still self-ascribe

to being Bangsamoro?

MS. CORONEL-FERRER. Your Honor, I think they can be

honorary Bangsamoro.

THE CHAIRMAN (SEN. MARCOS). Lets say, they are second

generation residents. Ill give you an example. The Ilocano teachers

that were brought into Mindanao to start the educational system, what

happens to them, their children?

MS. CORONEL-FERRER. I think most of them still self-ascribe

as Ilocano.

THE CHAIRMAN (SEN. MARCOS). But if they would like to

self-ascribe as Bangsamoro, can they?

MS. CORONEL-FERRER. They can be honorary or they can be

accepted by the populace as just like them.

THE CHAIRMAN (SEN. MARCOS). Yes. But the formal

recognition as part of the Bangsamoro people?

MR. IQBAL. Maybe to answer that question, Your Honor

46

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Aliccatimbang VII-1 September 23, 2014 11:18 a.m. 5 THE CHAIRMAN (SEN. MARCOS). Perhaps they would like to

adopt already their chosen area, their chosen culture. They have

chosen to stay in Bangsamoro and would like, for example, to adopt

the ways, the procedures, the culture even the language, the law but

they have no blood lineage to show to those indigenous during

colonization. Can they self-ascribe to being Bangsamoro person?

MR. IQBAL. I think, Your Honor, the Bangsamoro parliament

can be mandated to pass a legislation regarding the operationalization

of that self-ascription or ascription process. The Bangsamoro

parliament, Your Honor, maybe is the one that would be tasked to do

that.

SEN. PIMENTEL. Yes, I agree with Chairman Iqbal. Maybe the

parliament can provide for a law. But as stressed by the Secretary, it

should not matter. It should not matter whether you are a

Bangsamoro or a non-Bangsamoro. In the Bangsamoro territory, it

should not matter. All rights, privileges are available to you as well as

all the duties, you also have to observe.

MS. QUINTOS-DELES. In terms of basic rights, Your Honor.

There are a few items that talks about preferential rights. But, in fact,

the preferential right to fishing, for example, in the zone also includes

native inhabitants of other areas. So when there are preferential

rights for descendants of the original inhabitants, that will include

47

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Aliccatimbang VII-1 September 23, 2014 11:18 a.m. 6 those whose ascription is by another indigenous tribe. But in terms of

voting rights, to services and all of that, to be elected, it will not

matter. As long as you are an inhabitant and you provide--mainly, it

will be a residency requirement.

THE CHAIRMAN (SEN. MARCOS). That actually is a good test.

Can they be elected to the parliament, for example, despite the fact

that they are not considered a Bangsamoro person?

MS. CORONEL-FERRER. Yes, sir. But at the same time we do

have what we call the reserve seats for indigenous peoples which

means that there will be that special arrangement

THE CHAIRMAN (SEN. MARCOS). That is the equivalent of

what we had before, sectoral representatives in the House of

Representatives.

Very well, thank you.

MS. ALBA. The Bangsamoro Justice System. The justice

system in the Bangsamoro shall consist of Shariah Law which shall

have supremacy and application over Muslims only: the traditional or

tribal justice system for the indigenous peoples in the Bangsamoro, the

local courts and the alternative dispute resolution systems.

Shariah courts shall consist of Shariah Circuit Courts or the

lower courts; the Shariah District Courts or the appellate courts; and

the Bangsamoro Shariah High Court.

48

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION Aliccatimbang VII-1 September 23, 2014 11:18 a.m. 7 THE CHAIRMAN (SEN. MARCOS). Allow me to just, for the

record, recognize the arrival of Senator JV Ejercito.

Please proceed.

MS. ALBA. The local courts in the Bangsamoro shall continue to

exercise their judicial functions as provided by law. The Bangsamoro

government may undertake measures to improve their workings,

consistent with the powers of the Supreme Court. And, of course, the

alternative dispute resolution/alicc

49

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION RPALGER VIII-1 September 23, 2014 11:28 a.m. 1

MS. ALBA. the alternative dispute resolution that has been

institutionalized nationally will still be operationalized within the

Bangsamoro. Principles of conciliation and mediation in settling

disputes will still apply in a Bangsamoro justice system.

That senators are the slides for the BTC presentation on the BBL

and, of course, the OPAPP. We hope that we are able to give you at

least an overview of what the Bangsamoro Basic Law has in store.

THE CHAIRMAN (SEN. MARCOS). Thank you very much,

Attorney.

Do you have any question?

JV, magtatanong ka? Tapos na sila. Tinapos na.

SEN. PIMENTEL. Puwede na bang magtanong?

THE CHAIRMAN (SEN. MARCOS). O sige. Go ahead.

SEN. PIMENTEL. So, to give Senator JV a time to settle down,

can I go back to Page 74 of the Senate bill, Section 8 on the Power to

Grant Tax Exemptions? What is envisioned here, tax exemption? Are

we aware of the constitutional requirement for passing a law granting

tax exemption? Can we delegate this to the parliament, to the

Bangsamoro government?

MR. BACANI. Actually, Your Honor, the issue of tax exemptions

refer more to the delegated powers of the National Board of

Investments to the Autonomous Region Board of Investments.

50


Basically, all of that has been devolved in the past. It has practically

been operationalized in the existing Autonomous Region for Muslim

Mindanao. Basically, its limited to those tax incentives which have

been previously delegated by the Board of Investments.

SEN. PIMENTEL. I am sure these are found in certain laws.

Can you mention the laws involved so we can review them? I am sure

there is a law passed in compliance with the majority requirements in

the Constitution which granted a board to extend tax exemption or to

grant tax exemption? Are you aware of the law, sir?

MR. BACANI. Its probably in the law creating the Board of

Investments. Basically, I am sure all of the powers regarding tax

incentives are enumerated in that law creating the Board of

Investments.

SEN. PIMENTEL. And that is what we want to extend to the

Bangsamoro government, the same idea, the same concept?

MR. BACANI. Yes, Your Honor. In fact, it has been

operationalized in several instances already in investments in the

Autonomous Region for Muslim Mindanao.

SEN. PIMENTEL. Well, I am informed that in the Organic Act,

its tax holiday. Thats the phrase used. Thats why this tax exemption,

I am bringing the attention of everybody to this tax exemption

concept.

51


MR. BACANI. Yes, Your Honor, basically, tax holidays.

Sometimes there are incentives even in terms of exemption from

business taxes payable to the local government units and some other

related tax incentives which are minor. But the main tax incentives

would be the income tax holiday depending on whether youre pioneer

or preferred and in some instances exemption from business taxes

payable to the local government units.

MS. QUINTOS-DELES. Your Honor, in RA 9054, the term tax

exemptions is used, the power to

SEN. PIMENTEL. What section, maam?

MS. QUINTOS-DELES. Section 13.

SEN. PIMENTEL. Section?

MS. QUINTOS-DELES. 13. Article IX, Section 13.

SEN. PIMENTEL. Well take a look at it. Article IX, Section 13.

THE CHAIRMAN (SEN. MARCOS). Senator Ejercito.

SEN. EJERCITO. Thank you, Mr. Chairman.

I just have a few questions. Anyway, this is a very significant

breakthrough in the peace process. But Id just like to ask some

skepticism or some concerns. Probably, Secretary Deles or any other

resource persons can address.

Because I have heard of reports that most of the neighboring

provinces and municipalities in the Bangsamoro geographical coverage

52


are skeptical in joining the Bangsamoro government. And there are

some local officials also in the area who have talked to, who are

concerned and are not really keen on joining the Bangsamoro

government and some LGUs also. What do you think are the reasons

for their being skeptical, these LGUs whether provinces, cities or

municipalities? What are the reasons?

MS. QUINTOS-DELES. Well, I think, Your Honor, we can

speculate that most of that fear is right now coming from the fact that

it is based on lack of information about the law because certainly some

of the questions they have asked, What about LGUs? Will they have

less devolved powers, the LGUs? Both in the agreement and in the

law that is quite clear. It is possibly the sorts of fears that they have.

So, that is why one of the things that we are doing, Your Honor,

is really undertaking massive information dissemination on the law.

And we very much welcome the indication from both the House and

the Senate to be doing consultations on the ground.

We do from the start have said that the principle of course that

will be at work here is the consent of the governed. So, that is why

this is important. But that kind of decision on their part will have to be

based on a knowledge of what is actually there and not of unconfirmed

fears or misinformation that may have come out in the period before

the draft bill was actually submitted to Congress.

53


MR. IQBAL. Your Honor, can I add?

SEN. EJERCITO. Yes, Chairman Mohagher Iqbal.

MR. IQBAL. Well, very briefly. It is human nature to fear the

unknown, thats human nature. Many people are fearful of the

proposed basic law because it is not yet discussed thoroughly. Now

that it is already open, the BBL has to be examined in its worth,

intrinsic value. And its for everybody to look at the proposed basic law

and for everybody to judge whether the proposed Bangsamoro Basic

Law is good for the Philippines, good for the Bangsamoro people.

SEN. EJERCITO. Well, Mr. Chairman, I just would like to inform

you, Secretary Deles and Chairman Iqbal that in the few instances that

I have talked to some of these local government officials, governors,

mayor, a lot of them are really skeptical. So, I just want to inform you

that if you think that they just lack the information or they have not

read the draft, probably, you have to go to them and inform or brief

them regarding the Bangsamoro Basic Law.

And second, Mr. Chair, I would just like to ask also, considering

the basic comprehensive framework on the Bangsamoro, what will be

the role now of the central government in planning and in the

implementation of developmental programs in Mindanao?

MS. CORONEL-FERRER. Briefly, Your Honor, the Bangsamoro

will be represented in the NEDA. It will have a seat in the NEDA board.

54


SEN. EJERCITO. So, that means that the Bangsamoro

government will coordinate closely with the Mindanao Development

Authority, with NEDA. What elseano ho pa yung makakakumbinse

para masiguro nakumbaga kung ano po yung pinaka-master plan ng

national government? We are hoping that also the Bangsamoro Basic

Law will be in close coordination with that master plan.

MR. BACANI. Your Honor, there is a statement in the draft

Bangsamoro Basic Law that says that the Bangsamoro Development

Plan shall be consistent/Rommel.

55

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-2 September 23, 2014 11:38 a.m. 1 MR. BACANI. that the Bangsamoro Development Plan shall be

consistent with the national development plan.

In addition to that, as mentioned earlier, the chief minister will

also be an ex-officio member of the NEDA board just to make sure that

consistency exists between the national development plans and the

Bangsamoro Development Plan.

SEN. EJERCITO. Since, Mr. Chairman, NEDA released already

Mindanao Development Plan of 2020, is this now considered moot and

academic with the creation of the Bangsamoro government?

Secretary Bacani, he can answer.

MR. BACANI. Definitely, Your Honor, it will have to be

considered. There has to be some harmonization in all of these

development plans just to make sure that were following, more or

less, a single track.

MS. QUINTOS-DELES. If I may raise, Your Honor? The fact is

that this area has in fact not been opened to real development because

of the armed conflict that has existed there. What happens with this

agreement and the law that is going to be passed, it sets up a system

that brings about the security of the area and, therefore, you are

looking at new possibilities in terms of development. So, in fact,

planning thus become even more important. And maybe, we pinpoint

to the fact that because what the Bangsamoro will get is a block

56

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-2 September 23, 2014 11:38 a.m. 2 grant, they have to pass an appropriations act to spend that money.

Therefore, what did not use to happen before that there is a plan that

can be examined by everyone, it will be there. So the synchronization,

the harmonization of the Bangsamoro Development Plan through a

General Appropriations Act, you, in fact, have more mechanisms in

place to make sure that there is consistency here with the national

development plan.

SEN. EJERCITO. Thank you, Secretary Deles.

Mr. Chairman, I just like to ask also. I think one of the concerns

is the concept of block grant which you mentioned. What is the reason

with this concept provided to the Bangsamoro? Ano po ang pinaka

rason?

MS. QUINTOS-DELES. Well, the fact is that it is a regional

government with more powers. And the fact is that while LGUs get a

block grant, the regional government which has more powers, more

responsibilities, more accountabilities in terms of developing their area

has an inferior arrangement in terms of getting their grants. What is

being given here is a mechanism similar to what the LGUs already get.

But having a legislative assembly, then they are required to pass an

appropriations act for the spending of that block grant. It is

acknowledging, Your Honor, that the people on the ground, that the

local leaders and the regional leaders will know more about where

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-2 September 23, 2014 11:38 a.m. 3 their money should be going to the national government. So that is

acknowledged, Your Honor.

SEN. EJERCITO. Thank you.

Yes, Chairman Iqbal.

MR. IQBAL. Thank you very much. I just want to go back briefly

on the issue of Bangsamoro Development Plan.

As envisioned, the Bangsamoro Development Plan is practically a

photocopy of the national development plan. However, there are

requirementsThere are special situations in the Bangsamoro that will

be taken into account in the planning of the Bangsamoro Development

Plan. In short, I would repeat, generally, the Bangsamoro

Development Plan is a replica of the national development plan but

there are basic requirements that are peculiar to the Bangsamoro

which will be addressed in the Bangsamoro Development Plan.

SEN. EJERCITO. Thank you, Chairman Iqbal.

Mr. Chairman, also in relation to this, will this not result in an

unfair situation between the Bangsamoro and the non-Bangsamoro

areas? Hindi naman ho kayo magkaroon ng ganoong pagtanaw itong

pagkakaroon ng block grant concept?

MS. CORONEL-FERRER. I think, Your Honor, the principle here

is along the lines of affirmative action. We are pushing for the

development of a region that has been left behind by the national

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-2 September 23, 2014 11:38 a.m. 4 processes and, therefore, is being provided now with significant

financial resources until they are able to achieve their own fiscal

autonomy. Theres a provision here in the draft BBL that as soon as

the Bangsamoro government is able to generate more fiscal revenues,

specifically from natural resources and from the new taxes that have

been devolved to them, this will be deducted from the block grant that

the government provides annually to the region. So the idea is to

jump-start that development process; be able to support its

development into a self-sufficient fiscally autonomous region and

lessen eventually the subsidy that comes from national government

provided for the Bangsamoro.

THE CHAIRMAN (SEN. MARCOS). As a point of information to

those in the body and all of those who are here, precisely because

some LGUs have felt that this is not a fair arrangement because it is

not the same as what other LGUs are getting. And as a point of

information, the Cordillera congressmen yesterday all filed for an

autonomous region as well. And I guess that is the effect of what

Senator Ejercito is trying to bring up, just to inform all of those here.

MS. CORONEL-FERRER. Your Honor.

SEN. EJERCITO. Yes, please.

MS. CORONEL-FERRER. On that point, there are only two

regions in the country that are constitutionally allowed to create such

59

COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-2 September 23, 2014 11:38 a.m. 5 autonomous regions and that is indeed the Cordillera and the Muslim

Mindanao.

THE CHAIRMAN (SEN. MARCOS). And I got to go further. I

think that because of the preferential treatment that is being given to

Bangsamoro, they would like to enjoy that same preferential

treatment. But again, that is an addition to the information of the

body on what has already started to happen because of the filing of

the draft Bangsamoro Basic Law.

SEN. PIMENTEL. Mr. Chairman, an interjection.

Professor Ferrer mentioned that the block grant can have

deductions. Is that clear in the law? Can you point out where?

MS. CORONEL-FERRER. Its in the section on fiscal autonomy

which is Article XII and its provided for in

SEN. PIMENTEL. Do you have the Senate bill before you,

maam? So can you mention the page?

MS. CORONEL-FERRER. Section 19 of Article XII, page 66,

Deductions from the Block Grant. Four years from the

operationalization of the regular Bangsamoro government, the

following shall be deducted xxx.

SEN. PIMENTEL. Whats your copy?

MS. CORONEL-FERRER. Sorry, this is the House bill but in

Section 19 of Article XII

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COMMITTEE ON LOCAL GOVERNMENT JOINT WITH THE COMMITTEE ON PEACE, UNIFICATION AND RECONCILIATION NGDizon I-2 September 23, 2014 11:38 a.m. 6 THE CHAIRMAN (SEN. MARCOS). So it is page 8 sa atin.

SEN. PIMENTEL. Yes. I just want to make sure that it is clear

in the law as explained to us.

MR. IQBAL. Your Honor, can I be allowed to

THE CHAIRMAN (SEN. MARCOS). Yes, Chairman. Yes, please

go ahead.

MR. IQBAL. I just want to go back to on the previous issue

about congressmen filing congressional bill to create a sort of an

autonomy in the Cordillera. I think there are two historical

antecedents and that would show us that even during the American

regime, there were two special provinces created by the Americans.

Those were the Moro Province and the Mountain Province. It has

historical antecedent actually.

SEN. EJERCITO. Mr. Chairman. Siguro last in connection with

ito pong concept of block grant. Probably Professor Ferrer or Secretary

Deles. Anybody can answer this. What is the mechanism now for

reporting, monitoring and accountability for financial compliance and

implementation of the grant and accountability? Anybody can answer.

MR. BACANI. Your Honor, there will be a Bangsamoro auditing

body but without prejudice to the powers of the National Commission

on Audit. Basically, the Bangsamoro audit body will be more like the

internal audit in private corporations /ngdizon

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