Republic Act No. 6766/Article XII

by Congress of the Philippines

Layout 2

Article XII

PATRIMONY, ECONOMY AND DEVELOPMENT

Section 1. The Regional Government shall initiate, stimulate, facilitate, support and catalyze development in the region.

Sec. 2. Development in the Autonomous Region shall be people-oriented. Under the peculiar circumstances of their respective environments, the people of the Cordilleras shall be empowered through their government's programs to participate actively and substantially in their own development.

Sec. 3. The formulation and implementation of development programs in the Cordilleras shall, among other things, address the following concerns:

(a) Delineation, protection and development of watersheds, parks, and other reservations that are declared by competent authorities as critical to the survival of the Cordillera communities and declaration of such areas as inalienable;

(b) Respect for indigenous concepts, processes and institutions as bases of development;

(c) The need for development strategies to meet disparities in natural resource endowments among communities. These include the need for programs that enhance physical, economic, and social mobility of the people of the Cordilleras;

(d) The need for cooperative organizations and similar institutions as instruments for democratizing ownership and management of public utilities;

(e) Urban land reform to minimize the problem of inadequate housing and congestion with its attendant social problems;

(f) Development and use of appropriate technology based on indigenous conservation practices; and

(g) Diffusion of the ownership of enterprises and the benefits of development.

Sec. 4. Except for strategic minerals such as uranium and others as may be defined by national law, the control and supervision over the exploration, utilization and development of the natural resources of the Autonomous Region is hereby delegated to the Regional Government in accordance with the Constitution and national laws.

The Cordillera Assembly shall have the authority to grant franchises and concessions, however, the Cordillera Governor may, by regional law, be authorized to grant leases, permits and licenses: Provided, That any lease permit, franchise or concession shall cover an area not exceeding the limits allowed by the Constitution and shall subsist for a period not exceeding twenty-five (25) years: Provided, further, That existing leases, permits, licenses, franchises and concessions shall be respected until their expiration unless legally terminated as provided by law: and Provided, finally, That when the natural resources are located within the ancestral domain, the permit, license, franchise or concession, shall be approved by the Cordillera Assembly after consultation with the cultural community concerned.

Sec. 5. Consistent with the Constitution, national laws and national policies, the Autonomous Region may enact laws pertaining to the natural resources of the region. Such legislative authority may relate to mineral, energy and forestry resources management.

Nothing herein, however, shall be construed as authorizing the Regional Government to require lesser standards concerning the protection, conservation, enhancement, fiscal and regulatory licensing of the natural resources than those required by the National Government.

Sec. 6. Subject to Section 5 hereof, the Cordillera Assembly shall, as a matter of priority, regulate the extraction and processing of mineral and non-mineral resources in the region to protect the ecosystem, including setting limitations on open pit mining and similar methods.

Sec. 7. The exploration, development and utilization of natural resources, except those enumerated in the first paragraph of Section 4 hereof, shall be allowed to all Filipinos and to private enterprises, including corporations, associations, cooperatives and such other similar collective organizations with at least sixty percent (60%) of their capital investment or capital stocks directly controlled or owned by Filipinos who are preferably residents of the region.

Sec. 8. Small-scale mining shall receive support from and be regulated by the Autonomous Region, taking into consideration ecological balance and the interest of the communities where such operations are conducted.

Sec. 9. The Regional Government shall actively and immediately pursue reforestation measures to ensure that at least fifty percent (50%) of the land surface of the Autonomous Region shall be covered with trees, giving priority to land strips along the edges of rivers and streams and shorelines of lakes. The Regional Government shall adopt measures for the development of lands eighteen percent (18%) in slope or over by providing infrastructure, financial and technical support to upland communities especially the tribal peoples.

Sec. 10. There is hereby created a Regional Planning and Development Board which shall be composed of the Cordillera Governor as ex officio Chairman, all the provincial governors and city mayors or their representatives, two (2) Members of the Cordillera Assembly to be designated by the Speaker, and such other members to represent the private sector as may be prescribed by the Assembly.

The Board shall serve as the planning, monitoring and coordinating agency for the Autonomous Region. It shall identify, evaluate, recommend and submit the annual work programs and comprehensive development plans to the Cordillera Governor for proper implementation.

Sec. 11. The Regional Government shall establish and capitalize a Regional Development Bank which shall administer its own funds. The bank shall be under the supervision of the Central Bank.

Sec. 12. The Regional Government shall, in coordination with the National Government, plan, construct and maintain a system of roads interconnecting the various areas of the region to other regions adjacent to the Cordilleras and shall establish a regionwide telecommunications system to enable all municipalities within the region to be equipped with telephone, telegraph or radio facilities.

Sec. 13. Subject to ecological considerations, the Regional Government shall adopt and implement a comprehensive urban land reform and land use program consistent with the Constitution and national and regional laws and policies to ensure the just utilization of land within their jurisdiction.