1. The Subic Clark Alliance for Development and the SCAD Corridor
A Presentation to the
SPECIAL COMMITTEE ON BASES CONVERSION By
Linda B. Pamintuan
Executive Director, SCAD
5 February 2014
Congress of the Philippines
House of Representatives

2. Outline
Agreements and Issuances Creating and Defining Subic-Clark Alliance for Development Council
Composition of the SCAD Council
Vision/Mission
Projects from
Projects from 2011-present
Current Role of SCAD
Gaps and Challenges

3. Agreements and Issuances Creating and Defining SCADC
19 June 2001
Memorandum of Understanding between Department of Trade and Industry (DTI), Bases Conversion and Development Authority (BCDA), Subic Bay Metropolitan Authority (SBMA) and Clark Development Corporation (CDC) creating SCAD Program.
27 September 2004
EO 365 was issued defining the functions of the President Adviser for the
Subic-Clark Area Development.
1 February 2006
The SCADC evolved from the Subic-Clark Alliance for Development Task Force created by virtue of a Memorandum of Understanding among the BCDA, CDC, SBMA and DTI in 2001.
The MOU was an expression of a common desire for an integrated development of the Subic Special Economic Zone and the Clark Special Economic Zone and the corridor between them, as a unified government mega-project.
Three years later, in 2004, EO 365 was issued by then President Gloria Macapagal Arroyo, assigning and defining the functions of the Presidential Adviser for the Subic-Clark Area Development. SBMA Chairman Francisco Licuanan was appointed Presidential Adviser for the Subic-Clark Area Development
In 2006, EO 504 was issued , creating the Subic-Clark Alliance for Development Council. Atty. Edgardo Pamintuan was appointed chairman of SCADC, with Cabinet Rank.
in 2008, EO 504-A was issued defining the powers and functions of SCADC amending EO 504.
These powers and functions are embodied in Congresswoman Arroyo’s HB 2242.
EO 504 created the Subic-Clark Alliance for Development Council (SCADC).
10 April 2008
EO 504-A defined the powers and functions of SCADC amending EO 504.

4. The SCAD Council
Chairman - concurrent Chairman of the Bases Conversion and Development Authority
Vice Chairman - concurrent Chairman of Clark Development Corporation
Chairman and Administrator of the Subic Bay Metropolitan Authority
Alternate Chairman of the Clark International Airport Corporation – concurrent Secretary of the Department of Transportation and Communications
President of Bases Conversion and Development Authority
President of Clark Development Corporation
President of Clark International Airport Corporation
President of North Luzon Railways Corporation

5. Vision
A world-class Mega Logistics Hub that provides seamless delivery of goods, services, people and information to and from the production, manufacturing and trading centers of the country, which will serve the Asia-Pacific Supply Chain.

6. Mission
To enable the integrated and sustainable development of the Subic-Clark-Tarlac Corridor as the Philippines' main gateway, bringing in investments and generating employment, thus improving the quality of life in the Corridor and its environs, in line with the principles of good governance, accountability and transparency, and public-private partnerships set by the national leadership. 

7. 2006 Projects Benchmarking missions to other logistics hubs
Consultations with logistics industry players
Coordination with international agencies and firms that could provide grants in the development of a master plan and a business plan for the Subic-Clark Corridor.
Lobbying for the granting of Freeport Status to Clark Special Economic Zone
Development options for the DMIA Gateway Project
Registration of SCAD Corporation with SEC
In 2006, SCAD hit the ground running.
Went on benchmarking missions to logistics hubs in Asia and the USA
Held consultations with the logistics industry players
Coordinated with international agencies and firms that could possible assist in the development of a master plan and a business plan for the Subic-Clark Corridor
SCAD joined the lobby group seeking the granting of Freeport Status to Clark Special Economic Zone
Looked into development options for the DMIA Gateway Project
In order to attract investments, and to be able to implement its plans and projects, the Council pursued the registration of its corporate vehicle, the SCAD Corporation.

8. 2006 Activities Monitored the development of: SCTEX
New Subic Container Ports 1 and 2
Resolved issues and concerns
Monitored the development of infra projects
Resolved issues and concerns

9. Harmonization of Policies and Procedures
Projects
Harmonization of Policies and Procedures
for Subic and Clark
Major Successes in:
Immigration
Customs
Quarantine
Business Registration
From 2007 – 2010
We have had major successes in the harmonization of policies and procedures for Subic and Clark, particularly in:
Customs
Immigration
Quarantine
Business Registration

10. Harmonization of Policies and Procedures
Projects –
Harmonization of Policies and Procedures
Customs
Implemented the electronic Transit Admission Permit (e-TAPS) in December 2008
Bureau of Custom’s (BOC) approval of importer/ exporter on-line accreditation by mere CDC/SBMA endorsement
Migration of BOC’ import permitting system to electronic to mobile (e2M) system
Electronic Export Declaration System (EEDS).
Agreement for Clark and Subic to pilot study the electronic Certificate of Origin (eCO)

11. Electronic Transit and Admission Permit System (ETAPS)
BEFORE
PRESENT
Procedures/Steps 6 1
Signatures
Time
Average 96 hours/4 days
2 minutes
Form/s to be presented to Bureau of Customs (BOC) upon arrival of cargo 4
1 (for Direct Discharge Subic/Clark)
2 (for Discharge Manila)
Cost of delivery of documents to SBMA/CDC and Port of Discharge
Php175/set of documents
Php55 for VASP charges
Underguarding (BOC to accompany cargo to Clark/Subic)
Php1,500/container
Choice between underguarding and
General Transportation Surety Bond (GTSB)

12. Harmonization of Policies and Procedures
Projects –
Harmonization of Policies and Procedures
Immigration
Implementation of new Subic-Clark Immigration System in October 2009
Establishment of One-Stop-Shop (Immigration Center) in Clark and Subic, October 2009.

13. Subic-Clark Immigration System
BEFORE
PRESENT
Documentary Requirements
Average 12
Average 4
Processing Time
Average 7
2 days
(Endorsement: 8 hours; Issuance: 8 hours)
Cost
Average US$ 150
Average US$ 75
Processing Office
4 Offices
(Freeport, DOLE, BI Region III, BI Central)
1 Office
(One-Stop Shop)
I-Card Issuance
Central Office
(Manual Processing)
One Stop Shop
(Automated
Processing)
The Quarantine Permitting process has also been automated.

14. Harmonization of Policies and Procedures
Projects –
Harmonization of Policies and Procedures
Harmonized Business Registration System
in Subic and Clark

15. 2007-2010 Projects SCAD Mega Logistics Forum Series
Inbound and Outbound Trade Missions
Benchmarking Missions
Advocacy for the Open Skies Policy for Clark
Communications program to inform the public about SCAD, Logistics and the Corridor
Also from 2007 – 2010
Went on Forum Series in Tarlac, Pampanga, Bataan and Zambales to inform the stakeholders about the opportunities that the logistics hub will offer, the value of the Clark Airport and the Subic Port, as well as our plans and programs.

16. Projects
One of the objectives of SCAD then was to develop a Master Plan for the SCAD Corridor (Tarlac, Pampanga, Bataan and Zambales). Terms of Reference- completed. But because of the lack of funds, the SCAD Council decided on developing it by phase.
One of the objectives of SCAD was to prepare a SCAD Corridor Master Plan, which would encompass Tarlac, Pampanga Bataan and Zambales.
The TOR was completed.
There was no funding for the project, but in order to direct the Corridor development and activities, and to give a face to the Corridor, the Council decided to come up with projects, preliminary to the Master Plan.

17. 2007-2010 Projects Subic-Clark Conceptual Land Use Plan (SCOLUP)
Metro Clark Area (MCA) Framework Plan
Metro Subic Area (MSA) Framework Plan
These were:
The Subic-Clark Conceptual Land Use Plan (SCOLUP)
The Metro Clark Area Framework Plan (MCA)
The Metro Subic Area Framework Plan (MSA)

18. Subic-Clark Conceptual Land Use Plan (SCOLUP)
Projects –
Subic-Clark Conceptual Land Use Plan (SCOLUP)
Tarlac - Land Hub
Clark - Air Hub
Subic - Sea Hub
With the opening of the SCTEX, there needed to be a plan for the areas flanking the expressway.
The Subic-Clark Conceptual Land Use Plan was developed .
Architects Armando Alli, Oscar Molina and Michael Tomeldan.
The SCOLUP coverage was placed at a distance of 5 kilometers from both sidesof the SCTEX, including 3 cities, (Tarlac, Angeles and Olongapo); ten municipalities (Subic, Dinalupihan, Hermosa, Floridablanca, Porac, Mabalacat, Bampan, La Paz , Concepcion and Capas).
All the stakeholders were consulted, and apprised of the plans.
The SCOLUP proposes the development of production-oriented Corridor with three equidistant hubs (the land hub in Tarlac, Air Hub in Clark and Sea Hub in Subic, and parallel service centers ( Metro Tarlac Area, Metro Clark Area and Metro Subic Area).

19. Metro Clark Area (MCA) and Metro Subic Area (MSA) Framework Plans
Projects
Metro Clark Area (MCA) and Metro Subic Area (MSA) Framework Plans
The Metro Clark Area and Metro Subic Are Framework Plans
The Physical Framework Plans were designed to adopt the directions of the overall land development of the Corridor as outlined in the SCOLUP.
These were established because:
Rapid developments need immediate attention dn coordinated planning
Expansion areas for further economic activities need to be identified and defined, particularly those around the Clark and Subic Freeport Zones
The main impetus to Corridor growth will come from the metropolitan areas;
Implementable Corridor projects need to be identified and rationalized.
MCA – CFZ, Angeles City, Mabalacat, City of San Fernando, Porac, Mexico and Bacolor
MSA- SBF, Subic Bay Ecozone, Olongapo City, Castillejos, Subic, Morong, Dinalupihan and Hermosa.
Models for MSF - are the metropolitan developments in other parts of the world where large natural areas have remain preserved, as the Greenbelt of London, and the Finger Plan of Copenhagen.
While the MCA expects the further construction of circumferential and arterial roads.
Metro Clark Area (MCA) Framework Plan
Metro Subic Area (MSA) Framework Plan

20. Since 2011… Uncertainty Lack of Funding SCAD Council directive:
SCAD Council directive:
Concentrate on harmonization and coordination functions
Since 2011…..
Because of the uncertainty of the status of SCAD and the lack of funding, the Council has directed the Secretariat to focus on the harmonization and coordination functions, and to discontinue the development of any more plans.

21. Projects- 2011-present Focus is on the following projects:
Trade Facilitation - Customs, Immigration and Quarantine
Electronic Cross-Border Information Exchange
Tourism Development
Subic-Clark Tourism Roadmap
Tourism Road Infrastructure Projects under the DOT-DPWH Convergence Program
Tourism Packages
Harmonization of the Business Start-up and Registration System for the BCDA Group, AFAB and SBMA
Marketing of the Port of Subic Bay
Investment Promotions
Today….

22. Projects – Present
eZ-Biz – The Harmonized Business Start Up and Registration Systems in the BCDA Group, SBMA and AFAB
eZ-Biz has 7 steps with an estimated 20 working days or less.
It will have common:
Processing Duration
Final Documents
Registration Fees
Documentary Requirements
40-80% Improvement in processing duration (days)

23. New Business Start Up and Registration Process
Step
Activity
Duration 1
Submission of Letter of Intent (LOI)a/ and other required documents
1 day
by the Investor to the IPA: a.
Application Forma/, with Feasibility Study/Business Plan
(if and as required) b.
Project Brief/Company Profile (Resume of Principal Officers) c.
Notarized undertaking and anti-graft certificatea/ d.
Board Resolution of Duly Authorized Representative e.
SEC Registration and Articles of Incorporation f.
Proof of Financial Capability/Assets - Bank Certification of Credit Line or Deposits, Paid Up Capital, Assets g.
Audited Financial Statements for last 3 years of operation, if applicable h.
Proposed/Existing Site Development Plan/Location Map -if and as required 2
Evaluation (of Investor and Proposed Business) by the IPA
5 days
Review by Individual Evaluation Committee Members (all concerned
departments) - Background check, etc.
Evaluation Committee Meeting (Presentation/Approval of the Proposal) 3
Preparation of Evaluation Report by the appropriate IPA Department/Unit 4
Finalize Lease Agreement
Final Review by Investor 5
Board Deliberation and Approval (including securing of initials)
10 days
*Materials : Draft Contract, Evaluation Report 6
Notification of Project's Approval by IPA to the Investor
Proponent prepares to submit all other necessary documents
required before signing of Lease Agreement and processing of
Certificate of Registration and Tax Exemption 7
Signing of Contract (Lease Agreement) between IPA and Investor
Processing and Issuance of Signed Certificate of Registration and
tax Exemption (CRTE)
20 WORKING DAYS

24. Current Role of SCAD www.scadcouncil.com
CIAC
CDC
BCDA Group
SBMA
AFAB BI
DOT
NEDA
BOC
DTI
DFA
Through the years, we have established and built linkages and positive relationships with the various government agencies, LGUs, NGOs, and stakeholders of the various industries.
The role of SCAD today…
Enabler, (example TWG on Marketing of the Subic Port- data gathering)
Coordinator (inbound and outbound trade missions)
Convenor (set meetings involving different agencies – port users)
Facilitator (facilitate meetings on tourism, and other fora)
SCAD could be a lot more should it be institutionalized.

25. Gaps and Challenges Funding Uncertainty/Instability
No security of tenure for the staff

26. Thank You!