Republic of the Philippines
HOUSE. OF REPRESENTATIVES,
Quezon Yetro Manila

FIFTEENTH CONGRESS
First Regular Sessi

HOUSE BILLNO.

Introduced by Rep. BERNADETTE HERRERA-DY

EXPLANATORY NOTE

It is the policy of the state to provide intervention for affordable housing
program for the public, especially for the poor, marginalized and homeless Filipinos
No less than the 1987 Philippine Constitution, under Section 9, Article XIII provides:
“The State shall, by law, and for the common good, undertake, in cooperation with
the private sector, a continuing program of urban land reform and housing which
will make available at affordable cost decent housing and basic services. to
underprivileged and homeless citizens in urban centres and resettlement areas.”

With the housing trends in the metropolitan and urban areas in the country,
most housing developers choose, nowadays, vertical housing, projects such as
condominium projects to answer for the scarcity and lack of available lots suitable
for housing, projects, Past housing programs have enabled non-poor households to
have access to the formal housing markets. However, socialized housing is still
inaccessible to the poor, especially those in urban areas. The bottom 40 percent of
urban households had to resort to informal housing or informal settlements
characterized by congestion and very poor living conditions, In fact, under Chapter 4
of the Medium-Term Philippine Development Plan (MTPDP) for the year 2004-2010
on Housing Construction, one of the key challenges set forth therein is expanding
private sector participation in socialized housing financing and construction, and
with the thrust of the government to shift towards a market-oriented housing

finance system, a level playing field for both public and private housing programs
will be ensured

Demand for housing continues to grow as the Philippine population
continues to grow rapidly. Government resources are, however, limited and most
public programs tend to produce complete shelter packages largely unaffordable to
the poor. Annual population growth is estimated at 2.36 percent while urbanization
rate_is 52 percent. For the period 2005-2010 according to the NEDA, the housing
need is projected to be 3.75 million units. In terms of geographical location, more
than half of the total housing needs (56%) is in Southern Tagalog, the Metropolitan
Manila and Central Luzon, 21 percent in the Visayas and the remaining 23 percent in



Mindanao (Chapter 4 - Housing, Construction MTPD!? 2004-2010). With the vertical
housing development trend nowadays plus the bigge percentage of housing needs
in the urban areas, the share and participation of the private sector in socialized
housing has to be reassessed and restructured ‘o include vertical housing
developments, such as condominium projects, to help mitigate, if not eradicate this
backlog, of housing needs in the country.

This proposed measure amends the Repulvic Act 7279 entilted, “Urban
Development and Housing Act of 1992" by requiring developers of proposed
condomimium projects to develop an area for socialized housing which is equivalent
to twenty-percent (20%) of the total project area or total condominium project cost, at
the option of the developer, ‘he area for such socialized housing, component shall be
done within the same city or municipality, whenever Jeasible, and in accordance

with the standards set by the Housing and Land Use Regulatory Board and other
existing laws

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

BERNADETTE PPRRE RA-DY



Republic of the
HOUSE OF REP:
Quezon City, M

fippine +
NTAT IVES.
Manil «

FIFTEENTH CONGRESS
First Regular Sess‘on

HOUSE BILLNO. 3189

Introduced by Rep. BERNADI

AN ACT REQUIRING DEVELOPERS OF PROPOSYD CONDOMINIUM

PROJECTS TO DEVELOP AN AREA FOR SOCIALIZED HOUSING,

AMENDING FOR THAT PURPOSE REPUBLIC ACT NO. 7279 ENTITLED
“URBAN DEVELOPMENT AND HOUSING ACT OF 1992”

Be it enacted by the Senate and House of Representatives of thy {°'s!inpines in Congress
Assembled:

ection 1, Section 18 of Republic Act Numbered Seventy-Two Hundred and
Seventy-Nine entitled “Urban Development and Hou of 1999” is hereby
amended to read as follow

‘SECTION 18. Balanced Housing Development. — The Program shall include a
system to be specified in the Framework plan whereby developers of
proposed subdivision and condominium projects shall be required to develop
an area for socialized housing equivalent to at least twenty percent (20%) of
the total CONDOMINIUM AREA, subdivision area or total subdivision
project or condominium project cost, at the option of the developer, within the
same city or municipality, whenever feasible, and in accordance with the
standards set by the Housing and Land Use Regulatory Board and other
existing laws. The balanced housing development as herein required may also
be complied with by the developers concerned in any of the following
manner

(a) Development of new settlement;
(b) Slum upgrading or renewal of areas for priority development either

through zonal improvement programs or slum improvement and
resettlement programs;

(6) Joint-venture projects with either the local government units or any of
the housing agencies; or

(4) Participation in the community mortgage program.”


Section 2. Separability Clause. W any part, section cr provi sion of this Act shall be
held invalid or unconstitutional, the validity of !1e remaining provisions thereof
shall be in full force and effect.

Section 3. Repealing Clause. Any law, presidential decree or issuance, executive
order, rules or regulation contrary to or inconsistent with the provisions of this Act is
hereby repealed, modified or amended accordingly.

Section 4. _Effectivity. This Act shall take effect fifteert (2°) days after its
publication in the Offi! Gazette or in at least two new papers of general circulation.

Approved,