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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
SIXTEENTH CONGRESS
First Regular

House Bill No.__ 35.15

Introduced by: Representatives Rodolfo G. Biazon, Agapito H. Guanlao, Joseph Gilbert F
Violago, Amado S. Bagatsing, Christopher S. Co, Eric D. Singson, Winston “Winnie” Castelo,
Rodel M. Batocabe, Xavier Jesus “XJ” D. Romualdo and Anthony G. Del Rosario

* AN ACT
PRESCRIBING THE MECHANISMS TO FACILITATE ‘THE DISPOSITION OF IDLE
GOVERNMENT-OWNED LANDS FOR SOCIALIZED HOUSING

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

assembled:

SECTION 1. Short Title. - This Act shall be known as the “Idle Government-Owned
Lands Disposition Act of 2013”.

SEC. 2. Declaration of Policy. - It is hereby declared the policy of the State to ensure
availability of sufficient lands for socialized housing purposes and to improve the capability of
local government units (LGUs) in undertaking housing and urban development programs and
projects

SEC. 3. Inventory of Lands. -To catry out the provisions of this Act, an inventory ofall
‘dle government-ovined lands shall be conducted within one (1) year from the effectivity of this
Act.

The Housing and Urban Development Coordinating Council (HUDCC) through the
National Housing Authority (NHEA), in cgordination with the Department of Environment and
Natural Resources (DENR) through the Land Management Bureau (MB), shall conduct an

inventory of all lands owned by the national government or any of its subdivisions,

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instrumentalities or agencies, including government-owned or -controlled corporations and their
subsidiaries which have not been used for the purpose for which they have been reserved for the
past ten (10) years.

The Department of Interior and Local Government (DILG) through the Local
Government Units (LGUs) shall conduct an inventory of all local government-owned lands
within their respective localities which have remained idle. For monitoring purposes, the DILG
shall furnish the HUDCC a copy of its inventory.

The inventories stated in the preceeding paragraphs shall be updated every three (3)
years.

SEC. 4. Identification and Setting Aside of Lands for Socialized Housing.—After the
conduct of the inventory:

(a) all LGUs are hereby directed to identify and set aside idle local government-
owned lands which are suitable for socialized housing: Provided, That the Housing and Land
Use Regulatory Board (HLURB) shall provide technical assistance to the LGUs in the
identification thereof and their eventual setting aside for and disposition as socialized housing
sites; Provided, further, That identified lands for socialized housing shall be integrated in the
Comprehensive Land Use Plan (CLUP) of LGUs. ‘

(b) the NHA, in coordination with the LMB, is likewise directed to identify idle lands

“ owned by the national government or any of its subdivisions, instramentalities or agencies,

including government-owned or -controlled corporations and their subsidiaries, which have not
been used for the purpose for which they have been reserved for the past ten (10) years to be set
aside for socialized housing: Provided, That such lands have been declared open for disposition
whether through an act of Congress or other related laws.

Except for local government-owned lands, all lands owned by the national government or
any of its subdivisions, instrumentalities or agencies, including government-owned or -controlled
corporations and their subsidiaries identified for socialized housing, shall immediately be
transferred to the NHA to be set aside for the purpose subject to the approval of the President of
the Philippines: Provided, That lands comprising the acquired assets of the government-owned

+ or -controlled corporations and government financial institutions engaged in shelter financing

that are taken possession of in their ordinary conduct of business are not covered under this Act

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SEC. 5. Sale, Alienation or Encumbrance of Other Government-owned. Lands Not Set

“Aside for Socialized Housing. - Whenever a government-owned land not set aside for socialized

housing, whether owned by the LGUs or the national government or any of its subdivisions,
instrumentalities or agencies, including govermment-owned or -controlled corporations, is sold,
alienated or otherwise encumbered in favor of private individuals or entities for its development
into industrial, commercial or other similar estates, there shall be set aside, as may be necessary,
at least ten percent (10%) of the proceeds thereof for the development of socialized housing
Projects within, adjacent to the affected areas or in nearby areas within the city or municipality in
accordance with the local development land-use plan: Provided, That lands comprising the
acquired assets of government-owned or -controlled corporations and government financial
institutions engaged in shelter financing that are taken possession of in their ordinary conduct of

« business are not covered under this Act; Provided, further, That low-salaried employees of the

government agency that sold, alienated, or otherwise encumbered such idle land shall be given
first priority as beneficiaries of the socialized housing projects to be developed.

SEC. 6. Conveyance of Segregated Land or Fund. - For a land owned by the national
government or any of its subdivisions, instrumentalities or agencies, including government-
‘owned or -controlled corporations and their subsidiaries, the segregated land or fund shall be
conveyed at no cost to the NHA which shall be directly responsible for the development of
socialized housing projects: Provided, however, That for a land owned by an LGU, the
segregated land or fund shall be retained by the LGU concerned to be utilized exclusively for its
socialized housing projects. :

SEC. 7. Implementation of Socialized Housing Projects. - For purposes of

implementing socialized housing projects on lands set aside for socialized housing and of

utilizing the funds set aside from the sale, alienation and encumbrance of other lands not set
aside for socialized housing:

(a) the LGU concerned shall undertake or cause the undertaking of the development of
socialized housing projects for lands or funds set aside for socialized housing pursuant to
Sections 4(a), 5, and 6 of this Act; and

(b) the NHA shall undertake the provision of socialized housing for the underprivileged
and homeless citizens for such lands or fiinds set aside for socialized housing pursuant to

Sections 4(b), 5, and 6 of this Act.

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Toward this end, the NHA and the LGU concerned are hereby authorized to enter into
joint venture. agreements, or other» similar arrangements with private developers. or
nongovernmental organizations (NGOs) engaged in housing production: Provided, That the cost
of housing unit, if constructed within the affected area of locality pursuant to Section $ hereof,
shall exclude the cost of land

{m both cases, the NHA and the LGU concemed shall coordinate with each other in the
development of socialized housing projects in the areas mentioned in Section 5 of this Act

SEC. 8 Incentives for Private Developers and NGOs. - To encourage private sector and
NGO participation in the socialized housing projects described in Section 6 hereof. the incentives
Provided in Section 20,on Incentives for Private Sector Participating in Socialized Housing of
Republic Act No, 7279, otherwise known as the “Urban Development and Housing Act of
1992”, shall apply,

SEC. 9. Implementing Rules and Regulations. - Within six (6) months afer the
effectivity of this Act, the HUDCC and’ the DENR are hereby directed to promulgate the
necessary rules and regulations, including the mechanisms and procedures on the conduct of
inventory and identification of lands suitable for socialized housing, to effectively implement the
Provisions of this Act, In drafting the implementing rules and regulations, the National Urban
Development and Housing Framework described in Republic Act No. 7279 shall be taken into
consideration :

SEC. 10. Separability Clause. - If any part or provision of this Act is declared invalid for
any reason, thé remainder of this Act not affected thereby shall remain valid and effective,

SEC. 11. Repeating Clause. - All laws, decrees, executive orders, letters of instruction,
rules and regulations or parts thereof inconsistent with any of the provisions of this Act are
hereby repealed, modified, superseded or amended accordingly

SEC. 12. Effectivity Clause. - This Act shall take effect fifteen (15) days after its
complete publication in the Official Gazente or-in at least two (2) newspapers of general
circulation

Approved,

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