SUBIC BAY HISTORY

The United States would spend millions of dollars in 1951 in converting the base. On December 7, 1959, after a protracted agitation by its citizens, Olongapo was relinquished by the United States to the Philippine government and converted into a municipality. Six years later, on the first day of June 1966, Olongapo was reconverted into a chartered city.

The late sixties and early ‘70s was the height of the Vietnam War and with Subic Bay playing a key role in the deployment of U.S. military servicemen there; Olongapo became a most accommodating host to thousands of servicemen out on liberty. In fact the bay in 1968 anchored a record 47 ships.

On June 15, 1991, Mt. Pinatubo, located 32 kilometers from Subic Bay, erupted with such a magnitude covering a large area. A huge mushroom-like cloud caused darkness followed by rain and wet sand. Later in the night time, volcanic earthquakes combined with heavy rain, lightning and thunder from a passing typhoon created a spectacularly “hell-like” impact on the area.

Prior to the eruption of the volcano Mt. Pinatubo, Olongapo was already classified a highly-urbanized city. Quite a feat considering there was no industry that was developed over the years except catering to the needs of its military neighbor. The U.S. naval base drove the local economy and businesses were all geared to fully support the base. As such, Olongapo’s economy was totally dependent on the U.S. naval base and failed to develop any industry that could generate other sources of revenue for the local government. Despite this economic drawback, however, Olongapo is well regarded and often considered a model city in the country with its innovations in local governance.

With odds seemingly stacked against him – no budget coming from the national government, an airport that lacks modern equipment, a seaport that needs to attract shippers and empty warehouses, buildings, homes, and a lot more others facilities suited for military use, Gordon bravely started efforts to convert the military base into a free port similar to Hong Kong and Singapore.