Chap6 (tourism act of 2009)

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Chap6 (tourism act of 2009)

  1. 1. Chapter 6 TOURISM ACT OF 2009
  2. 2. Learning Objectives • Understand the importance and benefits of Department of Tourism’s reorganization through R.A. 9593 (Tourism Act of 2009) to the country; • Analyze the changes that has occurred in the department especially to its attached agencies after the implementation of the new law; and • Check the country’s status after this law’s implementation.
  3. 3. Presentation Outline • Tourism Act of 2009 – background • What is R. A. 9593 (Tourism Policy Act of 2009)? • DOT changes after the law implementation (structure, attached agencies, funding, functions/duties and policies) • Status of program implementation
  4. 4. R.A. 9593 (Background) • Approved by former President Gloria Macapagal- Arroyo on May 12, 2009 and published in the Official Gazette on July 13, 2009; • Approved by Congress as SENATE BILL 2213/HOUSE BILL 5229, entitled: “AN ACT DECLARING A NATIONAL POLICY FOR TOURISM AS AN ENGINE OF INVESTMENT, EMPLOYMENT, GROWTH AND NATIONAL DEVELOPMENT AND STRENGTHENING THE DOT, ITS ATTACHED AGENCIES, TO EFFECTIVELY IMPLEMENT THAT POLICY…”
  5. 5. R.A. 9593 (Background) • IRR was signed on November 10, 2009 and published November 12, 2009; • Signed by the former President during the “One Visayas Summit on Climate Change” at Imperial Palace, Cebu City;
  6. 6. Tourism Act of 2009 DECLARED POLICY: Tourism is an indispensable element of the national economy and an industry of national interest and importance; harnessed as an engine of socio-economic growth/cultural affirmation, to generate investment, foreign exchange, employment and to mold national pride. • Strengthens the Department of Tourism (DOT) and its attached agencies to effectively and efficiently implement that policy, and appropriates funds therefore.”
  7. 7. The Department of Tourism (DOT) • Primary planning, programming, coordinating and implementing/regulatory agency in the development and promotion of the tourism industry.
  8. 8. CHANGES AFTER THE IMPLEMENTATION OF R.A. 9593
  9. 9.  Click to edit the outline text format − Second Outline Level  Third Outline Level − Fourth Outline Level  Fifth Outline Level  Sixth Outline Level  Seventh  Eighth Outline Level Ninth Outline LevelClick to edit Master text styles  Click to edit the outline text format − Second Outline Level  Third Outline Level − Fourth Outline Level  Fifth Outline Level  Sixth Outline Level  Seventh DOT Structure
  10. 10. After R.A. 9593, DOT will be… • empowered to strengthen the different agencies attached to it in order to more efficiently and effectively coordinate the functions and resources of government for tourism promotions and development programs, as well as eliminate overlaps of functions. • given a bigger jet engine to make our tourism industry very globally competitive” as the law allows the setting up of a system of accreditation, standards-setting and classification to make the tourism industry globally competitive (former Secretary Ace Durano).
  11. 11.  Click to edit the outline text format − Second Outline Level  Third Outline Level − Fourth Outline Level  Fifth Outline Level  Sixth Outline Level  Seventh  Eighth Outline Level Ninth Outline LevelClick to edit Master text styles  Click to edit the outline text format − Second Outline Level  Third Outline Level − Fourth Outline Level  Fifth Outline Level  Sixth Outline Level  Seventh Attached Agencies • Before • Philippine Tourism Authority • Philippine Convention and Visitors Corporation • Intramuros Administration • Nayong Pilipino Foundation, Inc. • National Parks Development Committee • After • Tourism Infrastructure and Enterprise Zone Authority • Tourism Promotions Board • Intramuros Administration • Nayong Pilipino Foundation, Inc. • National Parks Development Committee • Duty Free Philippines Corporation • Philippine Retirement Authority • Philippine Commission on Sports Scuba Diving
  12. 12. Attached Agencies • From PTA to TIEZA • From PCVC to TPB • From DFP to DFPC
  13. 13. TIEZA • a corporate body, to regulate and supervise TEZs as well as develop, manage and supervise tourism infrastructure projects in the country.
  14. 14. TIEZA Funding: • 50% of the proceeds of travel taxes • Reasonable share from the collections of the Office of Resource Generation • Income from TIEZA projects • At least 5% from the travel tax collection in the TIEZA share shall be earmarked for historic, cultural, religious and heritage sites and prime tourist destination
  15. 15. TPB • To formulate and implement an integrated domestic and international promotions and marketing program, market the Philippines as a major convention destination, ensure regular advertisement abroad.
  16. 16. TPB Funding: • 70% of the 50% income of the DFPC • At least 25% of the 50% share of the NG in PAGCOR remittance • At least 25% of the NG share in the remittances from airports/seaports • Special contingency fund- 10% of the allocation for promotions shall be set aside for emergencies
  17. 17. Mandatory Accreditation • DOT shall prescribe and regulate standards for the operation of tourism business. Primary tourism enterprises shall be required to periodically obtain accreditation. • Accreditation for Secondary tourism Enterprises shall be voluntary.
  18. 18. LOCALTOURISM DEVELOPMENT PLANS/TOURISM OFFICERS  LGU’s shall prepare local tourism development plans, land use, infrastructure development and standards for tourism enterprises.  Every province, city or municipality which has a significant tourism industry shall have a permanent position for a tourism officer and must also establish a tourist information and assistance centre.
  19. 19. Other Feature • PNP to create a Tourism Security Force within areas of high tourism traffic.
  20. 20. CURRENT STATUS Projects/Programs
  21. 21. Key Issues • Transition to RA 9593 (Tourism Act) − Industry conflicts on IRR − Organizational structure, staffing and funding • Major Industry Concerns − Blacklisting • Key Hurdles to Increased Arrivals − Limited access and interconnections to source markets − Lack of, or inadequate, infrastructure and tourist facilities • Bottlenecks to Investment Generation − Unfriendly business environment − Inconsistent regulations
  22. 22. Immediate actions taken to address key issues • Ongoing review of IRR, in consultation with industry stakeholders; • Coordinate and fast-track implementation of RA 9593; • Work with Economic Managers to address nagging industry concerns.
  23. 23. Status of Infrastructure Projects in Central Philippines Project Type Project Cost (in Pesos) Status Government 72.14B Bicol International Airport Development Project 3.44B On-Going Tacloban Airport Development Project 1.21 B Completed Panglao Island International Airport Development Project 7.540 B On-Going Siargao Airport Development Project 0.058 B Completed Dumaguete Airport Development Project 0.290 B Completed Puerto Princesa Airport Development Project 3.347 B Completed Busuanga Airport Development Project 224.80 M Completed Kalibo Airport Development Project 179.0 M Completed Cebu North Coastal Road Project 2.696 B Completed Bohol Circumferential Road Project 2.200 B Completed Boracay Island Circumferential Road Project 60.0 M On-Going Tubigon Port Development Project 20.00 M Completed Balbagon Port Project 75.27 M Completed South Rail Project 50.89 B On-Going Private Boracay Water Utility Project 1.169 B On-Going Caticlan International Airport Development Project 2.507 B On-Going TOTAL 75.817 B
  24. 24. International airlines have already announced new regular and charter flights not only to Manila but also to key tourist destinations. New Iloilo Airport New Bacolod (Silay) Airport
  25. 25. TOURISM ECONOMIC ZONES (TEZ) APPROVED INVESTMENTS NAME OF APPROVED TEZ LOCATION SIZE (HA.) Boracay Eco-Village Resort Tourism Economic Zone Boracay Island 79.21 Eastbay Arts, Recreational and Tourism Zone (Thunderbird Fiesta Resort & Casino) San Roque, Angono Binangonan, Rizal 26.88 Fort Ilocandia Tourism Economic Zone Laoag, Ilocos Norte 77.47 John Hay Social Tourism Economic Zone Baguio City 301.86 Misibis Resorts and Estates Bacacay, Albay 19.67 Newport City CyberTourism Zone (Megaworld development in Villamor Airbase) Pasay City 25.34 Pamalican Island Tourism Ecozone (Joint venture of Aboitiz and Andres Soriano groups) Cuyo, Palawan 89.75 Phil. BXT Corp. Tourism Economic Zone (Imperial Palace Waterpark & Spa) Lapu – Lapu City 7.50 San Lazaro Tourism and Business Park (Manila Jockey Club) Sta. Cruz, Manila 7.42
  26. 26. Tourism Sector LevelValue Chain Awareness and Perception of the Philippines Tour Package Acquisition Transpor- tation/ Air Flight Accom- modation Delivery and Tourist Satisfaction • Awareness and perception of the Philippines • Sales channels • Travel agents • Air accessibility and airports • Hotel capacity and utilization • Tourist satisfaction levels • Quality and value of tourist products and services All elements to be tracked and measured by the DOT

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