A reorganization at the Subic Bay Metropolitan Authority looms after the House of Representatives questioned the legality of Executive Order 340 which separated the power and functions of the SBMA administrator and chairman.
Speaking during a meeting at SBMA of the special committee on bases conversion, Speaker Pantaleon Alvarez said that a mere EO cannot supersede Republic Act 7227, or the Bases Conversion and Development Act of 1992.
RA 7227 provides that the President “shall appoint a professional manager as administrator of the Subic Authority with the compensation to be determined by the Board subject to the approval of the Secretary of Budget, who shall be the ex-officio Chairman of the Board and who shall serve as Chief Executive Officer of the Subic Authority.”
Alvarez said the law is clear that there will be only one position for the SBMA chairman and administrator, contrary to EO 340 which was signed by then President and Pampanga Rep. Gloria Macapagal Arroyo in 2004.
Alvarez acknowledged that the separation of the chairman and administrator positions has resulted to a power struggle at the SBMA last year after chairman Martin Diño refused to recognize an OIC-administrator appointed by Malacañang.
Last week, Diño issued Administrative Order 01-2017, which created a task force under his office ostensibly to “inspect, monitor and faithfully implement the laws in the conduct of business and financial operations and collections” of the SBMA.
Diño filled up the task force with personnel mostly from his personal staff.
Other members of the SBMA Board of Directors decried Diño’s move, saying the creation of the task force will effectively remove their oversight duties as directors of the agency.
“This is a duplication of function. We were not consulted about the creation of that task force,” said SBMA Director Benny Antiporda, who sits as chairman of the Audit and Risk Committee.
“We are a collegial body and it wouldn’t look right if the board would be headed by a dictator,” Antiporda added.
The House has scheduled a congressional hearing on the issue where Arroyo, Executive
Secretary Salvador Medialdea and former Executive Secretary Alberto Romulo were invited as resource persons. The initial hearing was set on June 8.