SEVENTEENTH CONGRESS OF THE )
REPUBLIC OF THE PHILIPPINES —_)
Third Regular Session )

vary

SENATE 18 UBT PT 34

s.B.No._1899
8 & .

INTRODUCED BY: SENATOR EMMANUEL D. PACQUIAO,

AN ACT TO FURTHER STRENGTHEN THE SAFETY NETS IN ACQUISITION OF THE
RIGHT OF WAY FOR NATIONAL GOVERNMENT INFRASTRUCTURE PROJECTS,
AMENDING FOR THE PURPOSE SECTION 5 OF REPUBLIC ACT NO. 10752,
OTHERWISE KNOWN AS THE RIGHT OF WAY ACT

EXPLANATORY NOTE

Section 9, Article III of the Constitution provides that “Private property shall not be
taken for public use without just compensation.”

In conformity with the said Constitutional mandate, Republic Act No. 10752, also
known as “The Right-of-Way Act” was passed in 2016, amending Republic Act. No. 8974.
The law provides in detail the procedures which the government must observe in facilitating
acquisition of right-of-way (ROW) sites for public infrastructure projects. It also provides for
guidelines in the appraisal values and time frames for resolution of expropriation disputes to
address the delays in acquisition process.

Despite the laudable measures and safety nets provided under R.A. No. 10752, the
controversial “General Santos Road Right of Way scam,” which spawned in 2017, revealed
that there is an immediate need for the procedures under the law to be fortified.

One of the contentious issues remain in the delays of acquisition of ROW. The
bottleneck in the current procedure is mostly attributed to the appraisal of the compensation
price in a negotiated sale. In particular, the Bureau of Internal Revenue (BIR) zonal value is
not taken into account in the determination of the compensation.

Furthermore, the series of Senate Blue Ribbon Committee hearings on the
controversy, bared, among others, the existence of syndicates that facilitate fraudulent claims
of just compensation through spurious land titles to the prejudice of the rightful private
property owners and of the State. As a result, government funds amounting to billions of
pesos fell into the hands of the syndicates. All involved implementing government agencies
in the hearing, however, denied responsibility over the irregularities.

To halt such anomalies and maintain the dignity of a public office being a public trust,
this bill seeks to strengthen the procedure in acquisition of ROW by making concemed



SEVENTEENTH CONGRESS OF THE )
REPUBLIC OF THE PHILIPPINES —_)
Third Regular Session )

SENATE

S.B. No.

INTRODUCED BY: SENATOR EMMANUEL D. PACQUIAO

AN ACT TO FURTHER STRENGTHEN THE SAFETY NETS IN ACQUISITION OF THE
RIGHT OF WAY FOR NATIONAL GOVERNMENT INFRASTRUCTURE PROJECTS,
AMENDING FOR THE PURPOSE SECTION 5 OF REPUBLIC ACT NO. 10752,
OTHERWISE KNOWN AS THE RIGHT OF WAY ACT

EXPLANATORY NOTE

government agencies accountable for the veracity of claims and the legitimacy of identity of
the claimants and the representatives of the latter under special power of attorney.

‘Acknowledging that the efficiency and expediency in acquisition of ROW is best
addressed through negotiated sales, this bill seeks to promote a more mutually beneficial
solution between the government and the property owners by providing more judicious
compensation for the property owners to lead them to settle with the government during
negotiated sales. This bill also aims to further tighten the safety nets under R.A. 10752
against corruption and misappropriation of public funds by increasing vigilance among public
officials and employees in processing the right of way claims.

In view of the foregoing, approval of this bill is eamestly sought.

EMI PACQUIAO



SEVENTEENTH CONGRESS OF THE )
REPUBLIC OF THE PHILIPPINES )
Third Regular Session ) S Soe tee

SENATE "3
s.B.No._1899

INTRODUCED BY: SENATOR EMMANUEL D. PACQUIAO

AN ACT TO FURTHER STRENGTHEN SAFETY NETS IN THE ACQUISITION OF THE

RIGHT OF WAY FOR NATIONAL GOVERNMENT INFRASTRUCTURE PROJECTS, .

AMENDING FOR THE PURPOSE SECTION 5 OF REPUBLIC ACT NO. 10752,
OTHERWISE KNOWN AS THE RIGHT OF WAY ACT

| Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

Section 1. Section 5 (a) and (e) of Republic Act No. 10752 are hereby amended to read as
follows:

1
2
3
4 SEC. 5. Rules on Negotiated Sale. — The implementing agency may offer to acquire,
5 through negotiated sale, the right-of-way site or location for a national government
6 infrastructure project, under the following rules.

7

8

(a) The implementing agency shall offer to the property owner concerned, as

9 compensation price, the sum of:
10 |
11 (1) The current market value of the land OR ITS ZONAL VALUATION |
12 ‘WHICHEVER IS HIGHER; |
B
4 (2) The replacement cost of structures and improvements therein; and
15
16 (3) The current market value of crops and trees therein,
7
18 XXX XK XXX
19
20 (©) The property owner and the implementing agency shall execute a deed of absolute
21 sale: Provided, That the property owner has submitted to the implementing
22 agency the Transfer of Certificate of Title, Tax Declaration, Real Property Tax
23 Certificate, and other documents necessary to transfer the title to the Republic of
24 the Philippines; AND PROVIDED FURTHER, THAT THE
25 IMPLEMENTING AGENCY MUST HAVE VALIDATED FROM
26 APPROPRIATE OFFICES OR AGENCIES THE AUTHENTICITY AND
27 VERACITY OF ALL THE CLAIMS, AS WELL AS THE LEGITIMACY

28 OF THE IDENTITY OF THE CLAIMANT OR THE REPRESENTATIVE



OF THE LATTER BY VIRTUE OF A SPECIAL POWER OF
ATTORNEY.

Section . INTER-AGENCY COORDINATION. - IMPLEMENTING AGENCIES
INVOLVED IN THE PROCESS MUST HAVE VALIDATED TO APPROPRIATE
OFFICES OR AGENCIES THE AUTHENTICITY AND VERACITY OF THE
CLAIMS, THE DOCUMENTS SUBMITTED REQUIRED FOR SUCH CLAIMS, AS
WELL AS THE LEGITIMACY OF THE IDENTITY OF THE CLAIMANT OR THE
REPRESENTATIVE OF THE LATTER BY VIRTUE OF A SPECIAL POWER OF
ATTORNEY.

Section 2. Implementing Rules and Regulations (IRR) ~ The Committee for the
issuance of Implementing Rules and Regulations as stated in Section 13 of R.A. 10752 is
hereby directed to incorporate the changes stated herein in the IRR within thirty (30) days
from the approval of this Act.

Section 3. Separability Clause. - If, for any reason or reasons, any part of the
provision of this Act shall be held to be unconstitutional or invalid, other parts or provisions
hereof which are not affected thereby shall continue to be in full force and effect.

Section 4. Effectivity. - This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation. The publication
shall not be later than seven (7) days after the approval hereof.

Approved,