BCDA revenues up by 51% to P10.7B in 2015

The state-owned Bases Conversion Development Authority (BCDA) recorded cash inflows of P10.7 billion in 2015—up by Php3.6 billion from the Php7.1 billion cash recorded in 2014.
BCDA President and CEO Arnel Paciano D. Casanova said this represents a 51 percent hike in cash flow.

“BCDA has gone a long way as a development corporation and a revenue generator for national government. I am pleased to report that we were able to exceed our development targets and realize projects which will open up economic opportunities for our country and our fellowmen,” said Casanova.

The said increase in collections was primarily attributed to the Php3.5-billion upfront cash paid by the Manila North Tollways Corporation (MNTC), BCDA’s partner for the operations and maintenance of the 94-kilometer Subic-Clark-Tarlac Expressway (SCTEX), following President Benigno S. Aquino’s approval of the Supplemental Toll Operations Agreement (STOA) granting MNTC the concession to manage, operate and maintain the 94-km toll road last October.

Further, another Php1.5 billion was collected from the partial proceeds of the Fort Bonifacio Development Corporation’s sale of the NCBD parcels located north of Bonifacio Global City, Fort Bonifacio, in Taguig City.
In 2015, BCDA was able to create new businesses from the disposition of some 575.16 hectares from combined lands under its stewardship namely—within Clark Green City, within BCDA-administered special economic zones and from remaining Metro Manila Camps. This yielded a total of Php312 million in cash inflows and Php12.5 billion in investment commitments.
During the first year of the Aquino administration in 2011, BCDA’s cash flows were recorded at Php 3.5 billion, rising steadily to Php5.2 billion in 2012, Php6.0 billion in 2013, Php7.1 billion in 2014, and Php10.7 billion in 2015.

The chief executive attributes this consistent increase in operating cash to the agency’s efficient collection, successful business ventures and resolution of some problematic accounts with the private sector.
“Through good governance, we were able to focus on maximizing the value of lands under our stewardship and pursue development projects that benefit both local and national economy.” Casanova added.
Since 1993 until 2015, BCDA has already generated Php69.7 billion from its asset disposition program—the bulk of which amounting to Php30.7 billion remitted to the National Treasury for the account of the modernization of the Armed Forces of the Philippines (AFP) and the replication of military facilities.

Mr. Casanova said the Php9.548 billion in cash that it remitted to the Bureau of Treasury (BTr) for the AFP Modernization Program covering five years from July 2010 to December 2015, has surpassed the Php8.233 billion that it had remitted from the period 1993 to June of 2010.

“In the past five years of the Aquino Administration, the BCDA has remitted more for the modernization of our armed forces than the period 1993 to June 2010 or covering a span of 17 years,” Casanova said.
Under Administrative Order 236, certain government beneficiary agencies are entitled to share from said disposition proceeds, with the AFP receiving the lion’s share.

“Since the start of the Aquino Administration, the BCDA has remitted an average of close to Php2 billion yearly to the Bureau of Treasury. Last year, we remitted a total of Php3.2 billion to the National Government. This solid and consistent financial performance of the BCDA in generating billions for government is our legacy for our country,” Casanova added.

To date, BCDA has already remitted a total of Php42.8 billion to the Bureau of Treasury, covering the period 1996 to 2014.
Casanova pointed out that the shares of the AFP and the 14 government beneficiaries were directly remitted to the National Treasury. In turn, the Department of Budget and Management (DBM) is responsible for the programming and releasing the appropriation to the AFP to finance their modernization program.

The 14 government beneficiaries include the 1) National Housing Authority, National Home Mortgage Finance Corporation and Home Insurance and Guarantee Corporation; 2) Philippine Health Insurance Corporation; 3) Department of Public Works and Highways and the Department of Transportation and Communications; 4) Philippine Veterans Affairs Office; 5) Commission on Higher Education; 6) Department of Science and Technology; 7) Office of the Secretary, Department of Justice and the Ombudsman; 8) Mount Pinatubo Assistance, Rehabilitation and Development Fund; 9) Bureau of Investigation, Bureau of Corrections, Philippine National Police and the Bureau of Jail Management and Penology; 10) Supreme Court of the Philippines and Lower Courts, Sandiganbayan, Court of Appeals and Court of Tax Appeals; 11) Department of Education, Culture and Sports, Department of Social Welfare and Development; 12) Department of Labor and Employment; 12) Department of Social Welfare and Development; 13) Mount Pinatubo Assistance, Rehabilitation and Development; 14) Philippine Economic Zone Authority.