BAGUIO, Philippines – The Baguio City Council on August 29 established a task force to address disputes with the Bases Conversion and Development Authority (BCDA) surrounding Camp John Hay (CJH), particularly the decades-old, unfulfilled 19 conditionalities, a revenue-sharing agreement, and the segregation of 13 barangays.
Together with the BCDA and the John Hay Management Corporation (JHMC), the council aims to draft a comprehensive action plan to resolve these issues, many of which have remained unresolved due to perceived inaction from the BCDA.
The 19 conditionalities were first introduced through City Council Resolution 362 in 1994 to guide the CJH Master Development Plan. Two key provisions, Conditions 9 and 10, set the terms for revenue-sharing between the BCDA and the city government. Condition 9 mandates that 3% of gross income from operations within the John Hay Special Economic Zone (JHSEZ) be allocated to the city government, and an additional 1% to a community development fund.
Condition 10 requires the BCDA to pay either 25% of lease rentals or 30% of net income from JHSEZ operations to the city, whichever is higher. As of 2024, the BCDA owes Baguio City P56.8 million under Condition 9 and P168.6 million under Condition 10. These figures could rise to as much as P930 million according to updated calculations from the City Treasurer’s Office.
Despite these requirements, no payments have been made.
“Some of the conditionalities have been complied with, but full implementation is still under review due to pending legal cases,” said BCDA legal counsel Maria Celine Erika Labrador.
However, during the council session, Labrador could not specify which conditionalities had been fulfilled.
City Councilor Betty Lourdes Tabanda, who questioned BCDA’s failure to comply, referenced a 2020 Supreme Court decision that implicitly recognized Conditions 9 and 10, and called for the BCDA to accept the entire set of conditionalities.
“The Supreme Court ruling on business permits for CJH locators referenced two of the 19 conditionalities, which suggests an implicit acknowledgment by the Court,” said Tabanda.
The Supreme Court ruling, which sided with the city government, affirmed that businesses operating within the JHSEZ must obtain mayor’s permits and pay regulatory fees under the city’s tax ordinance. The Court clarified that the mayor’s permit fee is not a local tax, as the BCDA had argued.
Segregation of barangays, other contentious issues
The segregation of the 13 barangays within CJH has also been a point of contention. Councilor Peter Fianza pointed out that BCDA’s segregation efforts have only focused on residential home lots, contrary to the broader intention outlined in Condition 14, which calls for the segregation of entire barangay areas.
Councilor Jose Molintas criticized the BCDA’s approach, calling it a “divide-and-rule” tactic. He added, “You [BCDA] will get all the sales out of the lands but you will leave all the problems to the city.”
Molintas also questioned the transparency of the negotiations between the BCDA and barangay residents, claiming that city officials, including the mayor, were excluded from key discussions. He recommended suspending further land sales until a clear agreement on the allocation of proceeds is reached.
The frustrations over the delayed segregation process were echoed by Hillside Barangay Captain Allan Bandoy, who lamented, “We have been waiting for decades, with some residents passing away while waiting for this opportunity.”
House Bill No. 9428 and indigenous rights
A key factor in the ongoing land disputes is House Bill No. 9428, authored by Baguio City Representative Mark Go. The bill aims to declare certain parcels of land within the CJH reservation as alienable and disposable, allowing qualified residents to secure legal titles to their lands. This bill could impact the 13 barangays, including Camp 7, Happy Hollow, Scout Barrio, and others.
The bill’s significance lies in its potential to provide long-sought land titles to indigenous communities within the area, many of whom have ancestral claims to the land. Indigenous leaders and advocates have long called for the government to honor their rights, as CJH was originally part of ancestral domains prior to its conversion into a military reservation.
The city council, however, has expressed reservations about the bill, with Councilor Fred Bagbagen advising caution. He noted that the bill’s implementation could negatively affect some barangays if not carefully studied. “While the bill offers a legal avenue for land ownership, we must ensure that it doesn’t disadvantage residents or disrupt their rights,” Bagbagen said.
Future directions
The formation of the task force marks a renewed effort by the city council to resolve these issues. Bagbagen underscored the importance of transparency, saying, “While discussions with barangay officials are ongoing, any decisions related to the segregation of barangays must be approved by the city government.”
Councilor Tabanda also stressed the need for the BCDA to fulfill its commitments under the conditionalities. She requested a formal commitment from the BCDA to include the 19 conditionalities in the CJH Master Development Plan, which BCDA officials promised to review.
While JHMC Board of Directors member Kristoffer Dance explained that the BCDA and JHMC boards must first approve any commitment to the conditionalities, he assured the council that the request would be relayed to the proper authorities.
Despite the long-standing tensions, some city officials remain optimistic. Councilor Molintas noted that a partnership between the city government and the BCDA/JHMC is possible, provided that transparency and community participation are prioritized.
“We can work together, but only if the voices of our barangays are heard, and their rights are protected,” Molintas said.
The formation of the task force provides hope that Baguio’s leadership can finally secure the city’s rights over CJH and bring long-awaited relief to the affected communities.
Mayor Benjamin Magalong added that the city has been actively engaging with the BCDA to help barangays develop their master development plans, a condition set by the BCDA for segregation, though some city councilors, such as Fianza, argue that such a requirement is unnecessary. – with reports from Jordan Habbiling/Rappler.com