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Bringing closure to the 1996 final peace agreement (gph perspective)

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Presentation of Atty. Naguib Sinarimbo at the Institute for Autonomy & Governance round table on May 28, 2012

Presentation of Atty. Naguib Sinarimbo at the Institute for Autonomy & Governance round table on May 28, 2012


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  • 1. BRINGING CLOSURE TO THE 1996 FINAL PEACE AGREEMENT Presented by : ATTY. NAGUIB G. SINARIMBO IAG Conference Room, Cotabato City May 28, 2012
  • 2. 1. Areas of Review and Consensus Points2. Agreements in Solo and Bandung3. Areas of Disagreement/ No Consensus i. Provisional Government ii. Territory/Expansion iii. Strategic Minerals
  • 3. SOLO AGREEMENTI. The Parties agreed to develop a workable Partnership in the ARMM in nine (9) areas, to wit: I. Participation of the MNLF in the ARMM governance reforms II. Hasten the completion of the drafting of a bill to amend RA 9054, the Organic Act of the ARMM, to comply with the FPA III. Complete the devolution of National Agencies to the ARMM in accordance with RA 9054
  • 4. SOLO AGREEMENT iv. Facilitate the implementation of the provisions on representation in the National Government and in all Organs of the State in accordance with items Nos. 63 to 67 of the FPA and Sections 4, 5, 6, and 7 of Article V of RA 9054 v. Improve capacity of ARMM to ensure delivery of basic services, including infrastructure development vi. Enhance resource generation to support delivery of basic services to the ARMM’s constituents vii. Improvement of the peace and order condition on the ground and protect human rights viii. Jointly advocate for the ARMM to: a. Implement a transparent and accountable governance b. Establish mechanism on effective delivery of basic services
  • 5. SOLO AGREEMENT a. Legislate the following: Establishment of Darul Iftah (Advisory Council) and Shari’ah Courts in accordance with the FPA, Amend the ARMM Local Government Code, ARMM Administrative Code, Establishment of ARMM Human Rights Commission, Special Regional Security Force/PNP Regional Command for the Autonomous Region and other priority legislations. viii. Identify and recommend other measures that national government will undertake for the full implementation of the FPA. The GPH considers the MNLF as the principal partner to effect all of the foregoing in the context of the full implementation of the 1996 FPA.
  • 6. SOLO AGREEMENTThe Parties agree to an interim co-management arrangement on the strategic minerals.To wit: Autonomous Regional National Government Government (ARG)Acceptance, processing, evaluation, and Approval of application for permitassessment of application for permit to to explore and/or utilizationexplore, utilization contracts, to impose contract duly recommended by theadministrative charges and fees, ARG. No application shall be approved without the favorable recommendation of the ARG. lf, after the lapse of 30 working days upon receipt of the recommended application, no action is taken by the national government, the application is deemed approved.
  • 7. SOLO AGREEMENT Autonomous Regional Government (ARG) National GovernmentRecommends approval of Permits, contract Approval of the permits, contractsupon endorsement of all the respective recommended by ARGSanggunian (Local Government Councils)and after securing the free and priorinformed consent in accordance with thelndigenous Peoples Rights Act.Co-signatory together with the GPH, of any Co-signatory together with the ARG, of anypermit, contract permit, contractTasked to be primarily responsible for the May at its option, monitor compliance tomonitoring of compliance to the duly the duly approved exploration permits andapproved exploration permits and utilization contractsutilization Contracts
  • 8. BANDUNG AGREEMENT The Meeting of the Technical Working Group on Strategic Minerals has arrived at the following consensus points:1. Issuance of an Executive Order by the Office of the President on the Interim Co-Management Arrangement, as agreed during the 1st Formal Meeting of the Ad Hoc High Level Group held June 2011, Solo City, Indonesia. The complete staff work shall be done by the Department of Environment and Natural Resources (DENR), with inputs from the Department of Energy by 30 June 2012. The draft Executive Order shall be furnished to the MNLF, for their review prior to submission to the Office of the President
  • 9. BANDUNG AGREEMENT2. To operationalize the Co-Management Arrangement for strategic minerals under the DOE jurisdiction, the ARMM shall create an office on energy concerns3. Definition of and new sharing arrangement on Strategic Minerals
  • 10. BANDUNG AGREEMENT4. The Parties discussed the matter of expansion of the area of autonomy through a plebiscite in accordance with the Philippine Constitution.5. The Parties agreed to consult with each other before the end of March 2012 to discuss the details of the partnership for ARMM Governance Reform, including the proposed mechanism for communication and consultation.
  • 11. BANDUNG AGREEMENT6. The Meeting of the Technical Working Group on Strategic Minerals has arrived at the following consensus points: a. Issuance of an Executive Order by the Office of the President on the Interim Co-Management Arrangement, as agreed during the 1st Formal Meeting of the Ad Hoc High Level Group held June 2011, Solo City, Indonesia. The complete staff work shall be done by the Department of Environment and Natural Resources (DENR), with inputs from the Department of Energy by 30 June 2012. The draft Executive Order shall be furnished to the MNLF, for their review prior to submission to the Office of the President b. To operationalize the Co-Management Arrangement for strategic minerals under the DOE jurisdiction, the ARMM shall create an office on energy concerns
  • 12. BANDUNG AGREEMENT c. Definition of and new sharing arrangement on Strategic Minerals i. The Parties are not foreclosing the possibility of congressional redefinition and sharing arrangement; if no consensus is reached; separate recommendations may be submitted to Congress ii. The MNLF does not waive its right to assert that strategic minerals shall be limited to uranium only and other minerals of the same class
  • 13. BANDUNG AGREEMENT d. Studies in aid of legislation and execution action at the regional and local level i. NAPOCOR (OPAPP) ii. Lake Lanao hydroenergy (NEDA) iii. Preferential Rights (ARMM-TWG) iv. Telecom Revenues (OPAPP) e. Review of regulatory and revenue collection frameworks, in order to enhance the fiscal and financial management of the ARMM: i. Joint DBM-DOF Circular 2004-1 as against Sec. 9 Art 9 of RA 9054 retention clause on revenue collection
  • 14. ii. Harmonization of the provisions of RA 7646 (An Act authorizing the Commissioner of the BIR to prescribe the place of payment for large taxpayers operating in the ARMM are correspondingly recorded in the account of the ARG iii. Electricity Power Industry Reform Act (EPIRA) guideline on the share of host communities from power generationf. Jointly advocate and lobby for enactment of bills in the Regional Legislative Assembly and Congress: on direct remittance of the region’s share on the excise tax from mining, RLA bills on the Regional Development Corporation and Investment Code g. The monitoring of the agreed points shall be undertaken by the Tripartite Implementation Monitoring Committee
  • 15. 4. CLOSURE ? A. Submit to the President the Draft Bill containing the consensus points B. Submit to RLA the areas where there is no consensus for enactment or recommendation to Congress C. Provide temporary mechanism in the interim to address the consensus with the MNLF (Agreement on the Strategic Minerals)
  • 16. 5. WAY FORWARD A. A comprehensive review to evolve a viable and enhanced Autonomous Region B. Executive Doables i. Completion of ARMM Devolution  20 Agencies for devolution  10 other agencies partially devolved ii. Convene the Oversight Committee as against EO 273  Article 18, Sec 3 complete Devolution in 6 years
  • 17. 5. WAY FORWARD B. Executive Doables (continuation) iii. National Representation of ARMM (items 65 to 68 of the FPA and Article 5, Sec. 4 of RA 9054) iv. Extension of the 5 year period of Allotment of Central Government Share to ARMM Article 9, Sec 15 v. Policy Review and Change
  • 18. 5. WAY FORWARD C. Understanding RA 9054 Provisions a) Self-Executing Provisions b) Provisions mandating the RLA to create offices c) Provisions mandating the RLA to operationalize created offices, i.e. Article 3 Sec. 16. Human Rights Commission. – there is hereby created a Regional Human Rights Commission. The chair and two commissioners of the commission shall be appointed by the President upon recommendation of the Regional Governor. The composition of the commission shall reflect the ethnic distribution of the population of the region. The chair shall be a lawyer and shall be a resident of the autonomous region. The two commissioners shall, preferably, be lawyers or, at least, holders of bachelor degrees from collages and universities recognized by the Department of Education, Culture and Sports of the central government or national government.
  • 19. 5. WAY FORWARD Article 8 Sec. 19 Tribal Courts. There is hereby created a system of tribal courts, which may include a Tribal Appelate Court, for the indigenous cultural communities in the autonomous region. This court shall determine, settle, and deside controversies and enforce decisions involving personal and family and property rights of members of the indigenous cultural community concerned in accordance with the tribal codes of these communities. XXXXX C. Areas of Improvement i. Self-governance ii. Fiscal Autonomy - Resource Generation and Resource Allocation/Expenditure iii. Control and Management of Resources iv. Territory
  • 20. 6. IMPORTANT PROVISIONS FOR REVIEWA. On Budget and Resource Allocation Article XI Sec. 2. Fiscal Autonomy. — The Regional Government shall enjoy fiscal autonomy in generating and budgeting its own sources of revenue, its share of the internal revenue taxes and block grants and subsidies remitted to it by the central government or national government or any donor. The utilization of its share of the internal revenue taxes and block grants or subsidies from the central government or national government shall be subject to a semi-annual and annual audits by the Commission on Audit and to the rules and regulations of the Department of Budget and Management. All accountable officials of the Regional Government shall, upon demand, furnish the Commission on Audit all documents, papers, and effects necessary for the completion of the audit. Failure to do so shall empower the President or the Secretary of Finance to reduce, suspend, or cancel the release of funds intended for the autonomous region to the extent of the amounts that cannot be audited for reasons attributable to the officials of the autonomous region or are unaccounted for after audit. If more than half of the funds released to the autonomous region by the central government or national government remain unaccounted for six (6) months after the audit mentioned above, the Secretary of Finance may also suspend or cancel the release of any or all funds allocated by the central government or national government for the autonomous region. Officials of the Regional Government who fail to submit the documents, papers and effects demanded by the Commission on Audit within the period specified herein may be suspended or removed from office by the President upon recommendation of the Secretary of Finance. The utilization of the revenue generated by the Regional Government and block grants or subsidies remitted to it by foreign or domestic donors shall be subject to the rules and regulations of the Regional Government Department of the Budget and Management if any, and to audit by regional government auditors. In the absence of such rules and regulations, the audit of the said funds, block grants or subsidies shall be done by the Commission on Audit and the use thereof shall be in accordance with the rules and regulations of the Department of the Budget and Management of the central government or national government. The results of the audit mentioned in this Sec. shall be published in national newspapers of general circulation and in newspapers of regional circulation. The results shall also be announced over government-owned radio and television stations.
  • 21. 6. IMPORTANT PROVISIONS FOR REVIEWB. Ecozone and Freeport operation concerns on customs and tariff and quarantine for its effective operation. Article XII Sec. 2. Economic Zones, Centers and Ports. — The Regional Government shall encourage, promote, and support the establishment of economic zones, industrial centers, ports in strategic areas, and growth centers to attract local and foreign investments and business enterprises. Sec. 4. Regional Economic Zone Authority; Freeports. — The Regional Government may establish a regional economic zone authority in the autonomous region. The Regional Economic Zone Authority shall have similar powers as the Philippine Economic Zone Authority and consistent with the Special Economic Zone Act of 1995. The Regional Assembly may provide such additional powers and functions to the Regional Economic Zone Authority as may be necessary to meet the special circumstances of the autonomous region. Once the Regional Economic Zone Authority is created by a Regional Assembly legislation, the Philippine Export Zone Authority shall no longer authorize any other economic zone within the autonomous region. Any corporation, firm, or entity established within the autonomous region, by authority of the Philippine Export Zone Authority, shall be placed under the jurisdiction of the Regional Economic Zone Authority and shall continue to enjoy the benefits granted to it by the Philippine Export Zone Authority.
  • 22. 6. IMPORTANT PROVISIONS FOR REVIEWC. Taxes and Revenue collection and Retention by the Regional Government. Sec. 9. Sharing of Internal Revenue, Natural Resources Taxes, Fees and Charges. — The collections of a province or city from national internal revenue taxes, fees and charges, and taxes imposed on natural resources, shall be distributed as follows: XXXX The remittances of the share of the central government or national government of the internal revenue taxes, fees and charges and on the taxes, fees, and charges on the use, development, and operation of the natural resources within the autonomous region shall be governed by the rules and regulations promulgated by the Department of Finance of the central government or national government.
  • 23. 6. IMPORTANT PROVISIONS FOR REVIEWD. On grants and access to foreign funds, no need for NEDA. Article IX Sec. 10. Treasury Bills, Notes and Other Debt Papers. — The Regional Government may issue treasury bills, bonds, promissory notes, and other debt papers or documents pursuant to law enacted by the Regional Assembly. Sec. 14. Foreign or Domestic Loans. — The Regional Governor may be authorized by the Regional Assembly to contract foreign or domestic loans in accordance with the provisions of the Constitution. The loans so contracted may take effect upon approval by a majority of all the members of the Regional Assembly.D. On franchises for air, sea and land transportation and communications.
  • 24. 6. IMPORTANT PROVISIONS FOR REVIEWE. Establishment of Islamic Banks and or allow the operation of Islamic Banks in ARMM. Article XII Sec. 29. Islamic Banks. — The Bangko Sentral ng Pilipinas shall establish an Islamic Bank and authorize the establishment of its branches in the autonomous region. The members of the board of directors or trustees of the Islamic Bank shall be appointed by the President upon recommendation of the Regional Governor. The persons recommended by the Regional Governor shall possess educational qualifications and sufficient experience in the management and operation of Islamic banking and shall be subject to confirmation by the Regional Assembly before they are recommended to the President. The board of directors or trustees of the bank shall elect from among their members the chair, the vice chair and the president of the bank. Other bank officials and employees shall be appointed by the president of the bank.F. GSIS, SSS and Pag-Ibig Article XVIII Sec. 5. Notwithstanding the provisions of the preceding Sec., the Government Service Insurance System (GSIS), the Social Security System (SSS), the Pagtutulungan-Ikaw, Bangko, Industriyat Gobyerno (PAG- IBIG), and other funds of similar trust or fiduciary nature shall be exempt from the coverage of this Organic Act.
  • 25. Areas of Review and Consensus Points