4293: building for housing microfinance final report€¦ · ta 4293: philippines capacity building...

TA 4293: PHILIPPINES CAPACITY BUILDING FOR HOUSING MICROFINANCE FINAL REPORT

VOLUME 1: MAIN REPORT APPENDIX 14

December 2009 PAGE 27

Appendix 15BSP Circular on Housing

Microfinance

Appendix 15BSP Circular on Housing

Appendix 15

MicrofinanceBSP Circular on Housing


VOLUME 1: MAIN REPORT APPENDIX 15 December 2009 PAGE 1

Appendix 15

BSP Memorandum Circular on Housing Microfinance

Appendix 16Memorandum of Agreement between

HUDCC and BSP

Appendix 16Memorandum of Agreement between Memorandum of Agreement between

Appendix 16

HUDCC and BSPMemorandum of Agreement between

TA 4293: PHILIPPINES CAPACITY BUILDING FOR HOUSING MICROFINANCE

FINAL REPORT


Appendix 16

Memorandum of Agreement between HUDCC and BSP


FINAL REPORT


Appendix 17Draft EBI Housing Microfinance

Product Manual

Appendix 17Draft EBI Housing Microfinance Draft EBI Housing Microfinance

Appendix 17

Product Manual Draft EBI Housing Microfinance



Appendix 17

Draft EBI Housing Microfinance Product Manual

Appendix 18Memorandum of Agreement between

RBAP, DBP, and HUDCC

Appendix 18Memorandum of Agreement between Memorandum of Agreement between

Appendix 18

RBAP, DBP, and HUDCCMemorandum of Agreement between Memorandum of Agreement between




Appendix 18

Memorandum of Agreement between RBAP, DBP, and HUDCC

Appendix 19Omnibus Guidelines on Land

Proclamation

Appendix 19Omnibus Guidelines on Land Omnibus Guidelines on Land

Appendix 19

ProclamationOmnibus Guidelines on Land



Appendix 19

Omnibus Guidelines on Land Proclamation

Appendix 20Primer on Land Conversion

Appendix 20Primer on Land ConversionPrimer on Land Conversion

Appendix 20



Appendix 20

Primer on Land Conversion

PRIMER ON LAND CONVERSION FOR DPUCSP SUBPROJECTS (Based on 2002 Comprehensive Rules on Land Use Conversion –

DAR Administrative Order No. 01, Series of 2002, as amended)

1. What is land use conversion?

Land use conversion is the act or process of changing the current physical use of a piece of agricultural land into some other use, as approved by DAR.

2. Why is land use conversion necessary?

Land conversion from agricultural to non-agricultural use is necessary to remove or exempt the land from the general coverage or application of the Comprehensive Agrarian Reform Law (CARL) of 1988. The CARL covers all public and private agricultural lands including other lands of the public domain suitable for agriculture.

3. What are the key criteria for conversion?

Conversion may be allowed if the land is not among those considered non-negotiable for conversion. Also, conversion is permissible if the land has ceased to be economically feasible and sound for agricultural purposes or the locality has become urbanized and the land will have a greater economic value for residential, commercial, industrial or other non-agricultural purposes. Conversion of land use may also be allowed if it is consistent with the natural expansion of the city/ municipality as contained in the approved physical framework or land use plan.

4. Is land conversion the same as land reclassification?

Conversion is different from reclassification. Conversion is the act of changing the current use of a piece of agricultural land into some other use as approved by DAR. Reclassification, on the other hand, is the act of specifying how agricultural land shall be utilized for non-agricultural uses such as residential, industrial, commercial, as embodied in the land use plan, subject to the requirements and procedure for land use conversion. Thus, a mere reclassification of agricultural land does not automatically allow a landowner to change its use. It has to undergo the process of conversion before the land may be used for other purposes.

5. What lands do not require conversion clearance?

All lands that are already classified as commercial, industrial or residential before 15 June 1988 – the date of effectivity of CARL or RA 6657 – no longer need any conversion clearance.



6. What lands are not subject to conversion?

The following areas shall not be subject to conversion (even if some portions are eligible):

National Integrated Protected Areas System (NIPAS) designated areas All irrigated lands All irrigable lands already covered by irrigation projects with firm funding

commitments All agricultural lands with irrigation facilities.

7. What lands are highly restricted for conversion?

Irrigable lands not covered by irrigation projects with firm funding commitment Agro-industrial croplands or lands presently planted to industrial crops that support

the economic viability of existing agricultural infrastructure and agro-based enterprises

Highlands or areas located in elevations of five hundred (500) meters or above and which have the potential for growing semi- temperate or high value crops

Lands issued with notice of land valuation and acquisition, or subject of a perfected agreement between the landowner and beneficiaries under Voluntary Land Transfer (VLT)/ Direct Payment Scheme (DPS) under the CARP

Lands within an Environmentally Critical Area (ECA) or those involving the establishment of an Environmentally Critical Project (ECP).

8. Is housing a priority development area for conversion?

Yes, housing projects are priority development projects for land conversion that shall follow the fast-tracking scheme prescribed under EO No. 45, series of 2001.

9. Who may apply for land use conversion?

The following persons may apply for conversion:

Owners of private agricultural lands or other persons duly authorized by the

landowner; Beneficiaries of the agrarian reform program; and Government agencies, GOCCs, and LGUs, which own agricultural lands as their

patrimonial property.

10. Who approves land use conversion?

The DAR Regional Director approves only applications involving less than or equal to 5 hectares or a fraction above 5 hectares. When an application involving lands with an area larger than 5 hectares, the approving authority is the DAR Secretary upon the recommendation of the Center for Land Use Policy Planning and Implementation (CLUPPI).



11. Is land conversion for DPUCSP s ubprojects, as a government socialized housing program, given any special privileges?

Yes, as a socialized housing program of the National Government, DPUCSP subprojects are entitled to the following:

Fast-track and one-stop processing in accordance with EO 45 (2001) Deferred submission of certain requirements and entitlement to issuance of a

Provisional Conversion Order Exemption from the posting of a cash or surety bond to guarantee against premature

conversion.

12. What are the application requirements for land use conversion?

The applicant shall submit in 6 copies (one original and 5 photocopies) in separate bound folders the following documentary requirements:

Official receipt showing proof of payment of filing fee and inspection cost (between

Php11,000 to Php22,000) Official receipt showing proof of posting of bond (not applicable to socialized housing

projects) Duly accomplished sworn application True copy of TCT/OCT True copy of tax declaration Project feasibility study Joint venture agreement between landowner and the developer, if applicable Narrative description of the development plan Proof of financial and organizational capacity of the developer For socialized housing projects, sanggunian resolution appropriating funds for the

project and authorizing the LGU to undertake the same Socio-economic benefit-cost study Colored photographs of the property, size 5R Affidavit/ Undertaking on actual tillers, payment of disturbance compensation,

erection of billboards, premature development, etc. Municipal Agrarian Reform Officer (MARO) certification HLURB regional officer certification on actual zoning or classification DA certification on the classification of the property under the NPAAAD/SAFDZ DENR certification ECC Endorsement as a priority development area or project from the concerned

government agency (HUDCC, etc.) Maps – vicinity map, directional sketch map, map of the development plan (for

socialized housing projects, blueprint copy of the development plan submitted and certified by HLURB as basis for its certification that it conforms with the minimum standards of BP 220), topographic map.

13. What are the steps for land conversion?

The steps for processing of land conversion applications involving priority development areas and housing projects are: Step 1 – Secure application form from RCLUPPI/CLUPPI



Step 2 – Fill up application form and install public notice billboards Step 3 – Prepare original application and 3 photocopies for RCLUPPI/CLUPPI. Submit 2 advanced copies to MARO. Step 4 – MARO checks CARP status, conducts inspection, and issues certification Step 5 – Submit the application to the RCLUPPI/CLUPPI (submission of HLURB, DA and DENR certifications may be deferred) Step 6 – If the application is complete, pay filing fee and inspection cost. The date of acceptance of the application by RCLUPPI/CLUPPI will be the “Filing Date.” Step 7 – RCLUPPI/CLUPPI issues Notice of Conduct of Ocular Inspection Step 8 – Transmit Notice to MARO and indicate inspection date on billboards Step 9 – RCLUPPI/CLUPPI conducts ocular inspection and dialogues with farmers/tillers, and prepares Investigation Report Step 10 – RCLUPPI/CLUPPI deliberates on application and submits recommendation to the approving authority, within 30 days from issuance of MARO certification but not later than 40 days from Filing Date Step 11 – Approving authority renders decision within 30 days from submission of the recommendation. Issues Conversion Order. Step 12 – Applicant posts performance bond within 5 days from receipt of copy of Conversion Order. Applicant also reimburses government investment in SAFDZ areas and pays disturbance compensation, if applicable.

14. How long will the conversion process take?

For housing projects, the RCLUPPI/CLUPPI must process the application and submit a recommendation not later than 30 days from MARO certification or 40 days from Filing Date. The approving authority must render a decision within 30 days from submission of the recommendation. The total expected processing time after certification by the MARO is therefore a maximum of 70 days.

15. What is contained in the conversion order?

A valid Land Use Conversion Order contains the following information:

Conversion case number OCT/TCT numbers and corresponding lot numbers. In case of untitled lands, the lot

numbers and corresponding survey plan numbers. Names of all registered landowners for each parcel of land Name of applicant or representative, if the applicant is not the landowner Name of developer Proposed use of the land Total area applied for conversion Total area approved for conversion Date of approval of the order, and



Conditions for conversion.

16. Is there a moratorium on land use conversion?

There is a moratorium on the conversion of rice lands. Under Administrative Order No. 226-A (2008), the processing and approval of land use conversion applications affecting rice lands identified in the Agriculture and Fisheries Modernization Act (Rep. Act No. 8453) as part of the Network of Protected Areas for Agricultural and Agro-Industrial Development (NPAAD) which covers all irrigated areas and irrigable lands already covered by irrigation projects, shall be temporarily suspended for two (2) years (that is, up to July 2010).

PLEASE CONSULT YOUR MARO AND REGIONAL DAR OFFICES FOR ASSISTANCE AND MORE INFORMATION

Appendix 21Draft Ordinance for the Creation of a

Local Housing Board

Appendix 21Draft Ordinance for the Creation of a Draft Ordinance for the Creation of a

Appendix 21

Local Housing BoardDraft Ordinance for the Creation of a



Appendix 21

Draft Ordinance for the Creation of a Local Housing Board

Republic of the Philippines __________CITY

City Council

ORDINANCE NO. ___ Series of 2006

AN ORD INANCE ESTABLISHING THE URBAN DEVELOPMEN T A ND H OUSING B OARD AND PROVIDING FOR A SUSTAI NABLE AND COMPREHENSIVE URBAN DEVELOPMENT AND HOUSING PROGRAM FOR THE CITY OF BAGO

BE IT ORDAINED by the Sangguniang Panglungsod of the City of Bago, Negros Occidental,

in regular session assembled:

ARTICLE I - TITLE AND SCOPE

SECTION 1. TITLE – This ordinance shall be known as “The Bago City Comprehensive Urban Development and Housing Program Ordinance of 2006.”

SECTION 2. SCOPE – This ordinance shall apply to all public and private programs, projects and activities designed to uplift the conditions of the underprivileged and homeless citizens of Bago City through the provision of decent and affordable housing, shelter finance, basic services and employment opportunities, and to carry out rational and sustainable urban renewal and development strategies intended for the benefit of the City and its citizens and stakeholders.

ARTICLE II - DEFINITION OF TERMS

SECTION 3. DEFINITIONS – As used in this ordinance:

a. BOARD – shall refer to the Bago City Urban Development and Housing Board; b. DEPENDENT – shall refer to the spouse, legitimate or not, an ancestor, a legitimate, illegitimate

or adopted child, or a relative within the fourth civil degree of consanguinity or affinity, who is below eighteen (18) years of age or over eighteen (18) years of age but is not regularly employed or otherwise permanently incapable of self-support due to age, illness and/or physical or mental incapacity, living with a head of a family and depending upon him or her for support;

c. FAMILY or HOUSEHOLD INCOME – shall refer to the total regular wage, salary, income,

compensation and/or benefits derived by the head of the family and his or her dependents from employment, business or enterprise, lease of property, or services rendered, within or outside the city;

d. HEAD OF A FAMILY or HOUSEHOLD – shall refer to a natural person who supports and

maintains in his or her household one or more dependents; e. IDLE LANDS – refer to non-agricultural lands which are uninhabited by the owner and have not

been developed or devoted for any useful purpose, or appear unutilized or without improvements as herein defined for a period of three (3) years;



f. JOINT VENTURE – shall refer to the agreement by two or more persons, natural or juridical, to

carry out a specific or single business enterprise for their mutual benefit, for which purpose they combine their funds, resources, facilities and services with the expectation of sharing profits and losses;

g. LAND CONSOLIDATION – shall refer to the acquisition of lots of varying ownership through

purchase or expropriation for the purpose of planned and rational development and socialized housing programs without individual property boundary restrictions;

h. LAND BANKING – shall refer to the acquisition of land at values based on existing use in

advance of actual need to promote planned development and socialized housing programs; i. LAND SWAPPING – shall refer to the process of land acquisition by exchanging land for another

piece of land of equal value, or based on the agreement of the local government and the private landowner;

j. PROFESSIONAL SQUATTERS – shall refer to individuals or groups who occupy lands without

the express consent of the landowner and who have sufficient income for legitimate housing. The term shall also apply to persons who have previously been awarded homelots or housing units by the government but who sold, leased or transferred the same to settle illegally in the same place or in another urban area and non-bona fide occupants and intruders of lands reserved for socialized housing. The term shall not apply to individuals or groups who simply rent land and housing from the professional squatters or squatting syndicates;

k. SECURITY OF TENURE – shall refer to the degree of protection afforded to qualified program

beneficiaries against infringement or unjust, unreasonable, forced and arbitrary eviction, by virtue of the right of ownership, lease agreement, usufruct and other contractual arrangements;

l. SITE UPGRADING or ON-SITE DEVELOPMENT – shall refer to the process of upgrading

blighted and slum urban areas with a view of minimizing displacement of dwellers in said areas and with the provision of basic services;

m. SOCIALIZED HOUSING – shall refer to the housing programs and projects covering house and

lot or serviced plots undertaken by the government or the private sector for the urban poor which shall include sites and services development, financing, and such other benefits in accordance with the provisions of this ordinance, the maximum loanable amount of which shall be that prescribed by the Housing and Urban Development Coordinating Council;

n. SQUATTING SYNDICATES – shall refer to groups of persons engaged in the business of

squatter housing for profit or gain; o. URBAN POOR – shall refer to those citizens of Bago City who have irregular sources of income,

no security of tenure, living in poor quality housing and/or in blighted communities, and belong to the lowest five income deciles in the household income distribution;

p. URBAN POOR COMMUNITY –shall refer to ten (10) or more urban poor households or families

occupying an area for residential purposes.

All other defined, special or capitalized terms used in this ordinance shall have the meanings ascribed to them under Republic Act No. 7279, unless the context otherwise requires.

ARTICLE III - DECLARATION OF POLICIES AND PRINCIPLES

SECTION 4 . BASIC PRINCIPLES AND POLICIES – It shall be the policy of the City Government to undertake, in active cooperation or partnership with concerned government agencies, the private sector including non-government, community and people’s organizations, and the urban poor sector, a comprehensive and continuing urban development and housing development program, which shall:



a. Uplift the social and economic conditions of the urban poor sector as an indispensable partner

to and principal beneficiary of urban renewal and development;

b. Provide for the rational use and development of urban land in order to bring about the following:

1. Equitable utilization and disposition of residential lands, with particular attention to the

needs and requirements of the urban poor sector and not merely on the basis of market forces;

2. Optimization of the use and productivity of land and urban resources;

3. Development of urban areas conducive to commercial and industrial activities which

can generate more economic opportunities for the people; without the unjust displacement of occupant urban poor families;

4. Reduction in urban dysfunction, particularly those that adversely affect public health

and safety and the environment; and

5. Access to land, housing, employment and basic services by the urban poor sector;

c. Adopt workable policies to regulate and direct urban development, growth and expansion towards a dispersed urban net and a more balanced urban-rural interdependence, and a healthy environment;

d. Provide for an equitable land tenure system that shall guarantee security of tenure but shall

respect the private rights of property owners and ensure the payment of just compensation; and

e. Encourage wider and more effective people’ participation in the urban planning and

development process.

ARTICLE IV - THE CITY URBAN DEVELOPMENT AND HOUSING BOARD

SECTION 8. CREATION AND COMPOSITION – There is hereby created a City Urban Development and Housing Board composed of the following members:

Chairman: City Mayor Co-Chairman: Chairman, Sangguniang Committee on Housing Members: Chairman, Sangguniang Committee on Infrastructure City Planning and Development Coordinator (CPDC) City Engineer City Assessor City Social Welfare and Development Officer (CWSD) City Treasurer

City Cooperative Officer City Health Officer City Legal Officer City Environment and Natural Resources Officer (CENRO)

Local Commission on Audit (COA) The president of the Association of Barangay Councils

Three (3) representatives from National Government Key Shelter Agencies (KSAs) such as HUDCC, HDMF, NHA

Three (3) representatives of the urban poor sector coming from accredited community housing associations or any NGO/PO involved in urban poor housing related issues

Two (2) representatives from concerned private professional organizations or groups of housing development practitioners, if there is any.



The private members of the Board shall be appointed by the City Mayor for a term of not more

than three (3) years upon the favorable endorsement of the associations, federations, organizations or groups which they represent.

SECTION 9. POWERS AND FUNCTIONS – The Board shall have the following powers, functions, and responsibilities:

a. To plan and implement holistic, sustainable and rational urban development and housing

programs for the City Government; b. To undertake a review and rationalization of existing city land use plans, housing programs, and

all other projects and activities in line with the basic policies and principles enunciated and prescribed under this ordinance;

c. To recommend to the City Government a continuing inventory and identification of lands for

socialized housing and as resettlement areas for the immediate and future needs of the urban poor, underprivileged and homeless in the urban areas, taking into consideration the degree of availability of basic services and facilities, their accessibility and proximity to job sites and other economic opportunities, and the actual number of beneficiaries;

d. To draft and recommend to the City Government the terms and conditions of contracts with

landowners, beneficiaries, developers and other parties necessary for the implementation of the different housing and urban development programs under this ordinance and in accordance with all applicable laws;

e. To take an inventory of available lands for low-income or socialized housing and to recommend to

the City Government the expropriation of idle or other lands in urban and urbanizable areas including the alternative schemes and secure tenure options for the disposition of the same;

f. To design, approve and supervise the implementation of a transparent and fair system for the

application, qualification or eligibility, and registration of program beneficiaries; g. To conduct adequate consultations with all urban and housing development stakeholders

including the private sector and program beneficiaries which would promote program planning and implementation through a community-based participatory process;

h. To adopt measures to identify and effectively curtail the illegal activities of professional squatters

and squatting syndicates; i. To adopt guidelines for the lawful and humane relocation and resettlement of persons living in

danger areas and public places; j. To promote the production and use of indigenous, alternative, and low-cost construction materials

and technologies for socialized housing including the adoption of self-help mechanisms, sweat equity or voluntary labor in construction;

k. To devise incentives and investment packages to encourage and mobilize private sector

participation in urban and community development and in the provision of housing, shelter finance, basic services and livelihood opportunities particularly for the urban poor sector;

l. To plan and regulate urban activities for the conservation and protection of the environment, vital

ecosystems, scenic landscapes, historical or cultural sites, and other similar resource areas; m. To immediately develop and implement housing and development programs for all lands and

areas already identified by the City Government as suitable for government, low-income, or socialized housing;



n. To institute feasible ways and sustainable mechanisms for the recovery of costs and investments by the City Government in urban development and housing;

o. To act as the City’s implementing arm for carrying out all the responsibilities and tasks of an LGU

as defined in Republic Act No. 7279 and other applicable laws including this ordinance; p. To coordinate and cooperate with any and all national and city government agencies, offices, and

bodies in the exercise of all the foregoing powers, functions and responsibilities; q. To cause the creation and organization of the City Urban Development and Housing Office

reporting directly under the Office of the City Mayor which shall serve as the Board’s technical secretariat;

r. To recommend budgetary requirements pertinent to the urban development and housing programs contemplated in this ordinance;

s. To recommend the approval of City land use and shelter plans including all housing related permits, clearances and certifications such as but not limited to land-use reclassifications, development permits, locational clearances and other housing related licenses or permits;

t. To advise the City Government on matters of local taxation that can affect the implementation of the City’s community-based and pro-poor housing programs;

u. To acts as CMP originator, project proponent, enabler and/or catalyst of different urban development and housing projects;

v. To recommend the creation and operation of a local shelter finance trust fund to finance urban development and housing projects under this ordinance subject to applicable government auditing and accounting laws, rules and regulations; and

w. To draft and promulgate the implementing rules and regulations of this ordinance.

SECTION 10. MEETING AND QUORUM – The Board shall meet at least once a month or as often as may be necessary. The chairman or the co-chairman may call a meeting. A majority of all of its members shall constitute a quorum.

SECTION 11 . FUNDING – The Board may submit to the Sangguniang Panlungsod for approval its budgetary, operational and program investment requirements for a particular fiscal year including a schedule of reasonable honoraria or per diems for the members of the Board if deemed appropriate and subject to existing government accounting and auditing laws, rules and regulations.

ARTICLE V - HOUSING PROGRAMS

SECTION 12. HOUSING PROGRAMS – The Board shall plan, design, package, apply for, develop and implement affordable and sustainable housing programs for the benefit of the City employees and the urban poor households, low-income and homeless citizens of Bago City. Such programs shall include land acquisition and distribution of secure tenure, site upgrading, new site development, Community Mortgage Program, and other projects or programs executed, administered or funded by national government shelter agencies, multilateral or bilateral donor agencies and financing institutions, or private sector groups and housing NGOs. All programs shall conform to the basic policies and principles stated in this ordinance and shall comply with the applicable housing, development or technical standards, guidelines and procedures prescribed under pertinent laws.

SECTION 13. BENEFICIARY QUALIFICATIONS – To be an eligible beneficiary of a City housing program under this ordinance, all applicants are required to comply with the following minimum requirements: a. Must be of legal age, Filipino and a bona fide resident of Bago City for at least three (3)

consecutive years; b. Must be the head of a family or household as certified by the CWSD and the barangay; c. Must not be the owner of any real property whether urban or rural;



d. Must be a member of the urban poor, as herein defined; e. Must be registered as a socialized housing beneficiary under applicable laws and ordinances; f. Must have the capacity to pay the required amortizations and/or development costs, unless

deemed eligible to receive government subsidy; g. Must not have been previously awarded a homelot, housing unit or other property right under the

housing programs of the City or any other government or private sector housing project; h. Must not have previously availed of a housing loan from the Social Security System (SSS),

Government Service Insurance System (GSIS), Pag-IBIG Fund, or other public or private financing institution.

The Board may set additional or separate qualification criteria and requirements for the

selection of beneficiaries for other housing programs of the City such as those intended for government employees or those that are donor or privately funded.

SECTION 14. PRIORITIZATION OF BENEFICIARIES – Applications for eligibility or housing assistance may be prioritized in the following cases: a. Applicants covered by court orders for eviction and demolition; b. Applicants affected by infrastructure projects of the City; c. Applicants occupying danger zones or risk prone areas such as esteros, railroad tracks, dump

sites, river banks, waterways, and other public places such as sidewalks, roads, parks and playgrounds; and

a. Applicants who wish to voluntarily vacate their present places of abode where they have no security of tenure.

SECTION 15. SITE SELECTION – To ensure the successful implementation of the City’s

housing programs, areas for renewal or development shall have, as much as possible, the following key characteristics:

a. Accessible and proximate to job sites and other economic activities; b. Suitable for residential development; c. Must be titled and/or not subject of any ownership dispute or conflicting claims; d. Safe, habitable and not identified as an environmentally critical area; and e. Acceptable to target beneficiaries and other stakeholders.

SECTION 16. CAPACITY BUILDING AND SUPPORT – The City Government shall promote linkages with and provide support to NGOs and other private sector groups to initiate and carry out transformational activities and capacity building programs for urban poor communities, which shall include activities related to the social preparation of program beneficiaries such as but not limited to community organization, microenterprise development, skills and leadership trainings, estate management, and value formation seminars.

ARTICLE VI – DISTRIBUTION OF SECURE TENURE AND MODES OF LAND ACQUISITION

SECTION 17. MODES OF ACQUISITION – The modes of land acquisition for purposes of

this ordinance shall include community mortgage or community land trust, land swapping, land consolidation, land banking, land sharing, donation, joint venture agreement, negotiated purchase, and expropriation. The Board shall recommend to the Sangguniang Panlungsod the appropriate mode of land acquisition and the proper terms and conditions thereof considering all relevant factors and circumstances and in consultation with the community beneficiaries concerned.

SECTION 18. DISTRIBUTION OF SECURE TENURE AND DISPOSITION OF LANDS – The City Government, upon the recommendation of the Urban Development and Housing Board, shall formulate and make available alternative schemes or options for the distribution of secure tenure and disposition of lands to the beneficiaries of the program, which shall include ownership in fee simple, contract to sell, long-term lease, lease-to-own, lease with option to purchase, usufruct, right to use or occupy, and other variants as may be deemed just and expedient considering all factors such as the



availability of land, the number of beneficiaries, and their affordability levels. Consistent with this provision, a scheme for public rental housing may be adopted and implemented.

ARTICLE VII - PROHIBITIONS

SECTIONS 19. RESTRICTIONS ON CONVEYANCES AND ENCUMBRANCES – No property or other land rights granted by the City Government to a qualified beneficiary shall be sold, donated, assigned, conveyed, leased, encumbered or mortgaged by the beneficiary within a period of ten (10) years from the full payment thereof. Mortgages and other encumbrances shall be allowed only upon the written consent of the Board and only in favor of the City Government, SSS, GSIS, Pag-IBIG Fund, other public or private social housing finance institution and under such terms and conditions as the Board may determine in accordance with the guidelines and policies set for that purpose.

Any such sale, donation, transfer, conveyance, assignment, lease, mortgage or encumbrance in violation of this provision shall be null and void. The beneficiary shall ipso facto lose his or her right to the land, forfeit in favor of the City Government the amortizations paid thereon, and he or she and the buyer or transferee of the property or any right thereto shall forever be barred from availing of any benefits under this ordinance.

The Board or the urban poor organization concerned may initiate any investigation and/or

action against those who committed the unlawful or unauthorized transfer or encumbrance of land acquired through the housing program.

In the event that the property is surrendered or the beneficiary dies before full ownership of the land is vested in him or her, his or her nearest of kin who must also be a qualified beneficiary shall be subrogated to his or her rights upon assumption of the outstanding obligations. In case of failure of said nearest of kin to assume such obligations, ownership of the land shall revert to the City Government for disposition in favor of any qualified beneficiary. The new beneficiary shall reimburse the first beneficiary or his kin the paid amortizations and shall assume any outstanding obligation.

The acquisition of land under any housing program may be required to be covered by adequate mortgage or loan redemption insurance to protect the heirs of the beneficiaries in case of death before full payment is made.

SECTION 20. ANNOTATION OF RESTRICTION – All deeds of sale or conveyance of lands acquired by the beneficiaries under this ordinance shall contain the restrictions provided above, which restrictions shall likewise be annotated on the title to the property.

SECTION 21. ILLEGAL STRUCTURES – It shall be unlawful for any person to construct any kind of illegal dwelling unit or structure within the territorial jurisdiction of the City. Persons found violating this provision of the ordinance shall be prosecuted under Republic Act No. 7279 and other applicable laws.

SECTION 22. PROFESSIONAL SQUATTERS – The Urban Development and Housing Board shall recommend to the Sangguniang Panlungsod measures intended to curtail the nefarious and illegal activities of professional squatters and squatting syndicates as herein defined. Any person or group identified as such shall be evicted and their dwelling structures demolished in accordance with existing laws, and shall be forever disqualified to avail of the benefits under this ordinance. Such person or group, and any public official who tolerates or abets their illegal acts, shall be prosecuted under the provisions of Republic Act No. 7279.

ARTICLE VIII - BASIC SERVICES

SECTION 23. BASIC SERVICES – Government or socialized housing or resettlement areas shall be provided by the City Government or other concerned agency or public utility with the following basic services and facilities:

a. Accessible and adequate potable water;

4293: building for housing microfinance final report€¦ · ta 4293: philippines capacity building...

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