Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRESS
First Regular Session

HOUSE BILL No. _1012

Introduced by HON. FLORENCIO C. GARAY

EXPLANATORY NOTE

This bill seeks to increase the cash payment given to landowners
as compensation for lands covered by Republic Act No. 6657, as
amended, otherwise known as the Comprehensive Agrarian Reform Act of
1988.

Republic Act No. 6657 declares that:

“It is the policy of the State to pursue a
Comprehensive Agrarian Reform Program (CARP).
The welfare of the landless farmers and farm
workers will receive the highest consideration to
promote social justice and to move the nation
towards sound rural development and
industrialization, and the establishment of owner
cultivatorship of economic-sized farms as the
basis of Philippine agriculture.

To this end, a more equitable distribution
and ownership of land, with due regard to the
rights of landowners to just compensation and to

the ecological needs of the nation, shall be
undertaken to provide farmers and farm workers
with the opportunity to enhance their dignity and
improve the quality of their lives through greater
productivity of agricultural lands.” (Underscoring
supplied.)


Under Section 18 of the same law, it appears that only a small
portion of the compensation for lands surrendered to the farmers is paid
in cash, to wit: 25% for lands above 50 hectares, 30% for lands above 24
hectares up to 50 hectares, and 35% for lands 24 hectares and below.
As proposed, this bill increases the cash portion to 40%, 50% and 60%,
respectively, so as to give the landowners a moré equitable compensation
for what may have been the product of his decades of hard work and
savings.

In view of its national and local importance, the approval of this
bill is earnestly sought.

C Dan“.

tienes ya Aine


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRESS
First Regular Session

1012
HOUSE BILL NO.

Introduced by HON. FLORENCIO C. GARAY

AN ACT
INCREASING THE CASH PAYMENT GIVEN TO LANDOWNERS AS
COMPENSATION FOR LANDS COVERED BY THE COMPREHENSIVE
AGRARIAN REFORM PROGRAM, AMENDING FOR THE PURPOSE
REPUBLIC ACT NO. 6657, AS AMENDED, OTHERWISE KNOWN AS
“THE COMPREHENSIVE AGRARIAN REFORM ACT OF 1988"

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

SECTION 1. Section 18 of Republic Act No. 6657, otherwise
known as the Comprehensive Agrarian Reform Act, as amended, is
hereby further amended to read as follows:

“Section 18, Valuation and Mode of
Compensation. The LBP shall compensate the
landowner in such amount as may be agreed
upon by the landowner and the DAR and LBP or
as may be finally determined by the court as just
compensation for the land.

The compensation shall be paid in one of the
following modes at the option of the landowners:

1. Cash payment, under the
following terms and conditions:

(a) For lands above fifty (50)
hectares, insofar as the excess
hectarage is concerned -


(Twenty-five percent (25%)]
FORTY PERCENT (40%) cash,
the balance to be paid in

government financial
instruments negotiable at any
time;

() For lands above twenty-four
(24) hectares and up’to fifty
(50) hectares ~ {Thirty percent
(30%)] FIFTY PERCENT (50%)
cash, the balance to be paid in

government financial
instruments negotiable at any
time;

(©) For lands twenty-four (24)
hectares and below - [Thirty-
five percent (35%)] SIXTY
PERCENT (60%) cash, the
balance to be paid in
government financial
instruments negotiable at any
time.

SECTION 2. This Act shall take effect fifteen (15) days after
its publication in at least two (2) national newspapers of general
circulation.

Approved,