John Hay Special Economic Zone

THE ZONE

Camp John Hay was named after John Hay Milton Hay, the U.S. Secretary of State who played a considerable role in the development of American Policy in the Philippines.

In October 1903, US President Theodore Roosevelt signed a presidential order designating 523 hectares of the campsite as a military reservation for American soldiers to recuperate from the heat of the lowlands. During the Second World War, it has served as an interment camp for Americans and other nationals at war with the Japanese.

Opened to the public in 1991, the BCDA, through its implementing arm-the John Hay Management Corporation- successfully transformed the erstwhile military camp into a premier tourist destination in Northern Luzon, in keeping with its mandate of transforming the John Hay Sepcial Economic Zone (JHSEZ) into an international eco-tourism destination. Through Presidential Proclamation No. 420, series of 1994, the JHSEZ was declared a Special Economic Zone.

Getting There

Nestled 5,000 feet above sea level in Northern Luzon, Camp John Hay has an approximate land area of 695 hectares. It can be reached a 6-hour drive from Manila or 45-minutes by air travel. It is a gateway to the scenic beaches of La Union, the historic landmarks of Ilocos Sur, among other popular tourist destinations.

Locator's Haven

Realizing the need for more revenue-generating opportunities, JHMC revised its five-year Business Plan to incorporate the lease of the existing structures inside the Camp. The revised Plan also integrates a new strategy to gain additional revenues through the enhancement and operation of the Historical Core and the disposition of Camp 6.

A major accomplishment for the year is the issuance of Proclamation No. 1191 which assigns the 301.86-hectare zone under PEZA renaming it-John Hay Special Tourism Economic Zone (JHSTEZ). This is pursuant to Republic Act No. 7916 or the "Special Economic Zone Act of 1995" as amended by Republic Act No. 8748. The PEZA issued a Certificate of Registration to JHMC as Operator/Developer of the JHSTEZ on 22 December.

Responding to the needs of locators, the Camp houses a One-Stop Action-Center (OSAC) that will assure convenience in transactions and ensure quick processing of permits and other documents. The main developer of the Camp is the Camp John Hay Development Corporation (CJHDevCo), a consortium formed by Fil-Estate Management, Inc., College Assurance Plan Philippines, Inc. and Penta Capital Holdings.

Tourism Opportunities

Among the much loved places in the Camp are the world-class Manor, a hotel that offers five-star service and a magnificent view of the Cordillera Mountain range; the Camp John Hay Historical Core, a living museum which showcases the colorful history of John Hay and features the classic Bell House Museum and Bell Amphitheater; the History Trail, a two-kilometer path which cuts through a lush pine forest and leads to the Butterfly Garden; the Honeymoon Cottage, a "favorite" for newlyweds which used to be the home of nurses assigned to the Camp; and the Cemetery of Negativism, which is believed to serve as a burial ground for negative thoughts.

Locators' Incentives

Investors who wish to put up can enjoy the following benefits: For Existing Registered Enterprises ( RA7227 ) To be Administered by JHMC For Future Registered Enterprises ( RA7916 ) To be Administered by PEZA Exemption from national internal revenue taxes and customs and import duties Exemption from taxes under the National Internal Revenue Code [NIRC] Exemption from local taxes Exemption from local taxes except real property taxes Exemption from value added tax Transactions are Zero-rated Preferential income tax treatment on income earned/derived from business operations within the JHSEZ which is five percent (5%) of the gross income earned in the following percentages: To the National Government 3% To the Local Government Unit 2% Preferential income tax treatment on gross income earned within the economic zone which is five percent [5%] of the gross income earned in the following percentages: To the National Government 3% To the Local Government Unit 2% Invest in Camp John Hay Step 1. Investors submit a Letter of Intent and other Required Documents Step 2. JHMC identifies site(s) and provides prospective investor with the Terms of Contract Step 3. If proposal is approved, Lease Agreement is signed and Certificate of Registration is issued THE ESTATE MANAGER On June 29, 1993, former President Fidel Ramos issued Executive Order No. 103 establishing John Hay Development Corporation as a subsidiary and implementing arm of the BCDA for Camp John Hay and Poro Point in La Union. On October 2002, President Gloria Macapagal-Arroyo issued Executive Order No. 132 which divided the John Hay-Poro Point Development Corporation to John Hay Management Corporation (JHMC), which is tasked to manage the John Hay Special Economic Zone and the Poro Point Management Corporation (PPMC) to oversee operations of the Poro Point Freeport Zone. Pursuant to the vision of transforming the former American recreation and vacation camp into a premier tourist gateway in Northern Luzon, the JHMC initiated projects designed to upgrade the facilities inside the special economic zone and to initiate robust economic activities, while ensuring the protection and sustainability of the environment. For 2005, JHMC implemented a mix of environment-friendly projects and implemented measures, guidelines and procedures that would enhance the efficiency of operation inside the John Hay Special Economic Zone (JHSEZ). Vision DEVELOP CAMP JOHN HAY AS A TOURISM AND HUMAN RESOURCE DEVELOPMENT CENTER AND ECOLOGICALLY BALANCED FOREST RESERVATION FOR THE BENEFIT OF SOCIETY Mission As administrator of the John Hay Special economic zone and steward of its forest reservation, JHMC binds itself to: . Convert and develop investment opportunities in Camp John Hay to maintain its viability, sustainability and competitiveness while keeping its historical value; . Preserve and conserve its forest watershed and environment; and . Develop a professional and efficient workforce. Officers and Board of Directors Maria Cristina R. Corona - OIC-Chairman & President Directors: Narciso L. Abaya Asuncion Balingit-Santos Marissa O. Bondoc Corazon M. Espino Carlos Honorio B. Estepa, Jr. Armando P. Galimba Loreto M. Pangilinan Alberto M. Villalon Contact John Hay Management Corporation John Hay Special Economic Zone Camp John Hay, Baguio City 2600, Benguet, Philippines Telephone: (63)(074) 4445823-24 Fax: (63) (074) 4448981 Email: jhmgmtcorp@yahoo.com