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  • Ato says it wasn’t remiss on
    Caap; Mendoza takes helm
     
    By Recto Mercene and Mia Gonzalez
    Reporters

     THE Air Transportation Office (Ato) on Thursday defended itself from criticisms that it has done nothing to prevent the aviation body from being downgraded by the US Federal Aviation Administration (Faa) to Category 2, even as Malacañang designated the transportation secretary as concurrent Ato chief for three months.

                    “The Ato has filed House Bill 1602, then known as the Philippine Civil Aviation Authority [Pcaa] bill, during the 10th Congress in 1977, but it remained  a bill until now,” according to Ato sources.

                    They said the bill’s name was eventually changed to Civil Aviation Authority of the Philippines (Caap) so that it would not be in conflict with the initials that had been adopted by Pakistan.

                    Acting ATO Assistant Secretary Daniel Dimagiba refused to comment on the matter, saying that he was appointed only last December and was not fully informed of the development in Congress.

                    At the Palace, President Arroyo designated Transportation Secretary Leandro Mendoza as concurrent officer in charge of the Ato and gave him three months to work on the  requirements for the Philippines to regain its Category 1 rating from the US FAA.

                    Press Secretary Ignacio Bunye told reporters in a phone-patch interview that Mendoza’s designation is part of government efforts to hasten the country’s recovery from the FAA downgrade, which will hurt local carriers eyeing expansion programs.

                    “The President gave him a three-month deadline to comply with FAA/International Civil Aviation Organization (Icao) requirements which are mostly administrative in nature. The issues involved here are merely technicalities and documentation and do not concern issues on safety,” Bunye said.

                    Mendoza’s appointment as concurrent ATO chief and the forthcoming passage of the bill creating the Civil Aviation Authority are expected, he said, to “remedy whatever technical deficiencies there are” in the country’s aviation system.

                    Mendoza takes over the job held in an acting capacity by Dimagiba since October last year, when he replaced then-ATO chief Nilo Jatico.

                    Bunye clarified that the downgrade of the Philippines to Category 2 is “more an administrative and technical requirement issue rather than one of [safety of Philippine carriers].”

                    “I don’t think they are questioning the safety of our planes. We have a very high safety record and I believe that the administrative and technical aspects will be addressed by the Ato,” he said.

                    Philippine officials believe that once the CAA is created by law, the Philippines can adhere to Icao standards as there will be more funds available for the upgrade and maintenance of the country’s 85 airports.

                    Under the proposed CAA Act, the CAA will have fiscal autonomy that would enable it to spend its estimated P3-billion annual revenues.

                    The Ato, which will be abolished once the CAA is in place, has an annual budget of only P1 billion.

                    It has come under fire from legislators for failing to inform the Senate that it is in danger of losing its Category 1 status if the Caap bill is not immediately signed into law.

                    The Ato downgrading has embarrassed the country before the world’s aviation community, aside from affecting the expansion plans of flag carrier Philippine Airlines to the US East Coast.

                    According to Ato sources, the Caap bill was with the 11th, 13th and 14th Congresses. The 13th Congress stopped discussing the bill because of the impeachment case lodged against President Arroyo and was completely forgotten during the 12th Congress, when Edsa Dos ousted President Joseph Estrada.

                    The Ato officials said the Caap bill was even mentioned by President Arroyo in her State of the Nation Address in July 2007, when she asked the legislators to have it immediately approved.

                    Malacañang had certified the Caap bill urgent but it had yet to hurdle the bicameral conference committee.

                    The Ato allayed fears of legislators that once approved, the Caap would lead to abuse by whoever would lead it, since the Ato has a yearly income of P3 billion and a capitalization of P75 billion with powers to level charges and fees.

                    “Although the Caap has been granted fiscal autonomy to dispose its income, it is still subject to audit, similar to the audit being done with the Manila International Airport Authority [Miaa] with a yearly income of about P6.7 billion,” the Ato sources said.

                    Sen. Joker Arroyo has accused the Department of Transportation and Communications  (Dotc), which has jurisdiction over the Ato, of stampeding the senators into passing the bill to create the Caa as a way to stave off the Faa downgrade.

                    The Ato officials said that the bottom line is for Congress to pass the Caap bill so that once it has access to funds, the Ato, by then renamed Caap, would be able to finance its upgrading program and return the aviation body to Category 1 status.

                    “Let us stop the blame game, the Ato has not been remiss in its duty, and it is now in the hands of Congress to do their part,” the Ato official said.

                    He added that the problems besetting the Ato is systemic, meaning that it has been under financial constraints and bureaucratic red tape for so long that only legislation could solve its problems.

                    Still, DOTC chief Mendoza welcomes a Senate investigation into the downgrading.

       He said DOTC “and its agencies will actively participate in the inquiry because this will enable the DOTC to push for the enactment” of the bill creating Caap, and “other bills pending in Congress related to  transportation safety and security.”

                    According to Mendoza,  the Philippines, a member of Icao, is one of the very few countries which  still has a regulator that does not have independence and fiscal autonomy.  The ATO is still governed by Republic Act 776, otherwise known as the Civil Aeronautics Act of the Philippines, which is now outdated, Mendoza asserted.

                    RA 776 reorganized the Civil Aeronautics Board and the Civil Aeronautics Administration. It defined the powers and duties of both agencies, including the funding, personnel and the regulations of civil aviation, the DOTC chief said.

           With the enactment into law of the CAAP bill, the ATO can get exemption from the government salary-standardization program and can provide competitive pay for civil-aviation technical inspectors and personnel, Mendoza said, confirming figures earlier cited in BusinessMirror on the uncompetitive pay for check-pilots and other vital technical staff.

                    Besides the Caap bill, other pertinent bills pending in Congress include the bill creating the Philippine Transportation and Security Administration, which is a requirement of Icao and the International Maritime Organization (IMO). The bill has not yet been passed  despite its  filing and refiling  in Congress.

                    “Right now, we only have an interim organization that addresses transportation security, the Office for Transportation Security [OTS], which was created through Executive Order 311,” Mendoza declared.      

                     “The Philippine Coast Guard bill, which is required by the IMO,  has also been filed and refiled in Congress, but remains pending,” he added.

                    The DOTC has also drafted for filing with Congress a bill creating the  National Transportation Safety Board (NTSB)—an independent transportation-accident investigation organization. It also aims to adopt recommended standards and measures to  prevent the occurrence of transportation-related accidents. Other major countries in the world have this independent investigative body, Mendoza said.

                    A Philippine Merchant Shipping bill that will cover maritime shipping (domestic and international), seafarers, and shipbuilding and other maritime-transportation concerns was also proposed. 

          Mendoza saidRepublic Act 4136, enacted in June 1964, otherwise known as the Land Transportation and Traffic Code, is already antiquated and needs amendment.

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