BCDA remits PHP3.3B to AFP for modernization program

By Kris Crismundo

June 19, 2023, 4:04 pm

MANILA – The Bases Conversion and Development Authority (BCDA) on Monday said it contributed PHP3.31 billion to Armed Forces of the Philippines (AFP) Modernization Program.

This amount came from BCDA’s disposition proceeds in 2022 and was remitted this year.

The remittance to the AFP this year was lower by 54 percent from 2022’s remittance amounting to PHP7.21 billion “due to the delay in the clearing and turnover to the developer of a portion of the Bonifacio South Pointe property caused by the Covid-19 (coronavirus disease 2019) pandemic”.

For the past three decades, the government-owned and controlled corporation’s (GOCC) contribution to the AFP reached PHP59.71 billion, or sharing 44.34 percent of BCDA’s disposition proceeds from 1992 to 2022.

“Recognizing the AFP as our major stakeholder, the BCDA always ensures that our Armed Forces receive the biggest chunk from our gross disposition income every year. Our consistent contribution to the military is possible through great efforts to sustain our robust financial standing, bolstered by excellent collection efforts and sound management,” BCDA acting president and chief executive officer Joshua Bingcang said in a statement.

The BCDA was authorized to generate income by partnering with the private sector in developing former military camps through Republic Act 7227.

Proceeds from the sale, lease, or joint venture agreements of these former military bases were remitted to the Bureau of the Treasury, and then funds are allocated by the Department of Budget and Management to the AFP and other beneficiary agencies.

AFP shares the largest proceeds from the development of former military camps to be used in its modernization program and replication of military facilities.

Meanwhile, other beneficiary agencies received a total of PHP235.08 million from the disposition proceeds.

These beneficiary agencies include the National Housing Authority, National Home Mortgage Finance Corp., Home Insurance and Guaranty Corp., Department of Public Works and Highways, Department of Transportation, Philippine Health Insurance Corp., Department of Science and Technology, Department of Social Welfare and Development, and Department of Labor and Employment, among others.

About PHP4.79 million were also remitted by BCDA to the local government units of Makati, Taguig, and Pateros this year. (PNA)