DECLARING THE MINDANAO CONTAINER TERMINAL AS A SUB-PORT OF ENTRY TO BE KNOWN AS THE MINDANAO CONTAINER TERMINAL SUB-PORT, PURSUANT TO SECTION 606 OF THE TARIFF AND CUSTOMS CODE …

WHEREAS, it is the declared policy of the government to enhance
the growth and development of Northern Mindanao and ensure that the
entire Philippines remains globally competitive;

WHEREAS, the expanding economic activity as well as the increasing
needs of importers and passengers at the Mindanao Container Terminal
demand that it be placed under the jurisdiction of the Bureau of Customs
as a Sub-Port of Entry;

WHEREAS, the declaration of the Mindanao Container Terminal as a
Sub-Port of Entry pursuant to Section 606 of the Tariff and Customs
Code, as amended, will spur economic growth and development, improve the
administrative efficiency of the Bureau of Customs in the areas and
ensure that the needs of importers and passengers utilizing its
facilities are attended to;

WHEREAS, the Mindanao Federation of Shippers’ Association, Inc.
has called for the declaration of the Mindanao Container Terminal as a
sub-port of entry to be known as the Mindanao Container Terminal
Sub-Port, which is favorably endorsed by the Bureau of Customs;

NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the
Republic of the Philippines, by virtue of the powers vested in me by
law, do hereby order:

SECTION 1. Declaring the Mindanao Container Terminal as a Sub-Port
of Entry. – The Mindanao Container Terminal located inside the
Philippine Veterans Investment Development Corporation (PHIVIDEC)
Industrial Estate in Tagoloan, Misamis Oriental, is hereby declared a
Sub-Port of Entry to be known as the Mindanao Container Terminal
Sub-Port, and accordingly placed under the jurisdiction of the Bureau of
Customs, Customs Collection District No. X, with the Port of Cagayan de
Oro as Principal Port of Entry.

SECTION 2. Authority of the Commissioner of Customs to define the
jurisdictional limits of the collection districts affected. – The
Commissioner of Customs, subject to the approval of the Secretary of
Finance, is hereby authorized to redefine the jurisdictional boundaries
of the port of Cagayan de Oro (Customs Collection District No. X) and
other Customs Collection Districts affected by this Executive Order.

SECTION 3. Relationship between the PHIVIDEC Industrial Authority
and the Bureau of Customs. – To ensure the smooth operation of the
Mindanao Container Terminal Sub-Port, taking into consideration the
peculiar characteristics thereof, the Bureau of Customs and the PHIVIDEC
Industrial Authority shall, within fifteen (15) days from the
effectivity of this Order, enter into a Memorandum of Agreement defining
their working relationships and the treatment of all cargoes entering
or leaving the area including all incoming and outgoing passengers thru
the Mindanao Container Terminal Sub-Port.

SECTION 4. Authority of the Commissioner to designate the
officials of the Mindanao Container Terminal Sub-Port. – The new
Mindanao Container Terminal Sub-Port shall be headed by a Port Collector
and assisted by such other customs personnel as may be determined and
designated by the Commissioner of Customs.

SECTION 5. Implementing Authority. – Subject to the approval of
the Secretary of Finance, the Commissioner of Customs is hereby
authorized to determine the personnel requirements of the Mindanao
Container Terminal Sub-Port, taking into account the principles of
economy, efficiency, and effectiveness. For this purpose, he may,
subject to applicable Civil Service rules and regulations, issue the
needed orders to effect the transfer or movement of personnel from any
organizational unit of the Bureau to the Mindanao Container Terminal
Sub-Port.

SECTION 6. Appropriations. – Funds for the initial operations of
the Mindanao Container Terminal Sub-Port shall be drawn from the
available funds of the Bureau of Customs and subsequent appropriations
shall be incorporated into its budget proposals, subject to existing
budgetary, accounting and auditing laws and procedures.

SECTION 7. Effectivity. – This Executive Order shall take effect
fifteen (15) days following the completion of its publication in the
Official Gazette or a newspaper of general circulation.

DONE in the City of Manila, this 14th day of July in the year of Our Lord, Two Thousand and Six.

(SGD.) GLORIA MACAPAGAL-ARROYO

By the President:

(SGD.) EDUARDO R. ERMITA
Executive Secretary