FOURTEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES 
) 
Second Regular Session 
S.B. No. 
1 
Introduced by Senator Loren Legarda 
EXPLANATORYNOTE 
A common attribute of Philippine urban areas is the proliferation of illegal settlers, 
more commonly called "squatters," in danger areas such as esteros, garbage dumps, 
riverbanks, waterways, other public places such as sidewalks, roads, parks and 
playgrounds, and private lands. For the owners of the private lands they occupy, 
these tenacious settlers are a menace. For the rest of the citizenry, they are an 
eyesore and an urban blight. 
What the citizens and their leaders fail to see is that the homeless who inhabit 
these danger places put their lives and limbs at risk every minute they stay in 
danger areas not because they want to but because they are deprived of 
opportunities and are left with no choice. Indeed, inequality, the apathy of the 
citizenry, and government neglect have pushed them to these danger areas. 
Removing settlers from these areas and demolishing their homes are often 
characterized with violence resulting in damages and injuries to settlers who fight 
nail and tooth to resist demolition or evacuation orders. There is always a dilemma: 
should they be deprived of their homes or should they be left at the mercy of 
violence, accidents and disasters? A simple solution is to provide habitable housing 
for the homeless. 
This Act will benefit poor and homeless Filipinos who suffered damages and injuries 
to their persons and properties while being removed from danger areas. Victims of 
disasters and calamities and those affected by government infrastructure projects 
are also covered by this Act. Resettlement centers, home sites or town sites will be 
established for the immediate relief of the displaced underprivileged families and 
homeless citizens in urban areas. 
In view of the foregoing, the passage of this bill is earnestly sought. 


FOURTEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES 
) 
Second Regular Session 
S.B. No. 
Introduced by Senator Loren Legarda 
AN ACT PROVIDING FOR THE RESETTLEMENT, AID AND REHABILITATION 
SERVICES FOR 
THE UNDERPRIVILEGED 
AND HOMELESS CITIZENS 
AFFECTED BY THE DEMOLITION OF HOUSES/DWELLINGS ALONG DANGER 
AREAS SUCH AS ESTEROS, GARBAGE DUMPS, RIVERBANKS, SHORELINES, 
WATERWAYS AND OTHER PUBLIC PLACES SUCH AS SIDEWALKS, ROADS, 
PARKS AND PLAYGROUNDS AS WELL AS THE VICTIMS OF DISASTERS AND 
CALAMITIES AND THOSE AFFECTED BY GOVERNMENT INFRASTRUCTURE 
PROJECTS IN URBAN AREAS AND FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assern bled: 
SECTION 1. Declaration of Policy. - It is hereby declared the policy of the State to 
assist the underprivileged and homeless citizens in urban areas adversely affected by 
the demolition of houses/dwellings along danger areas such as esteros, garbage dumps, 
riverbanks, shorelines, waterways and other public places such as sidewalks, roads, 
parks and playgrounds as well as the victims of disasters and calamities and those 
affected by government infrastructure projects. 
SEC. 2. Statement of Objectives and Guidelines. - This Act is intended to help the 
underprivileged and homeless citizens who suffered damages resulting from the 
demolition in or the clearing up of the danger areas such as esteros, garbage dumps, 
riverbanks, shorelines, waterways and other public places such as sidewalks, roads, 
parks and playgrounds as well as the victims of disasters and calamities and those 
affected by government infrastructure projects in urban areas. It aims to provide funds 
for the immediate relief of the displaced underprivileged families and homeless citizens 
through the establishment of resettlement centers, home sites or town sites under local 
and national housing programs or under the other socialized housing programs of other 
agencies. 
SEC. 3. Guidelines in the Allocation of Funds. - Government funds and resources 
shall be spent effectively in consonance with the principle of providing the greatest 
good for the greatest number. Accordingly, the following guidelines shall be observed 
in allocating the funds made available for the implementation of this Act: 
(a) Funds shall be allocated exclusively for the underprivileged and homeless 
citizens affected by the demolition of their housesjdwellings in urban areas; 


(b) Funds shall be exclusively for relocation or resettlement sites under local and 
national housing programs or under the other socialized housing programs of 
other agencies; 
(c) Funds shall be, when necessary, for the construction of basic services and 
facilities such as schools and health centers as well as roads or access to 
employments and livelihood opportunities sufficient to meet the basic needs 
of the affected families; and 
(d)In no case shall any portion of the sum herein appropriated be used in 
payment of any subsisting obligation contracted before the passage of this 
Act. 
SEC. 4. Appropriations. - The amount necessary for the implementation of this Act 
shall be included the annual General Appropriations Act until such time that the total 
requirements for this purpose shall have been fully implemented. 
SEC. 5. Determination of Beneficiaries and Projects. - City mayors, in consultation 
with national and local government agencies, shall assist in the resettlement of 
beneficiaries under local and national housing programs or under the other socialized 
housing programs of other agencies. The Presidential Commission for the Urban Poor, 
in coordination with the LGU concerned, shall take the census of beneficiaries and 
cross-check the same with the census of the National Housing Authority (NHA). 
Sec. 6 Alpha Listing of Beneficiaries. - The Housing and Urban Development 
Coordinating Council (HUDCC), in coordination with local government units, shall 
produce an alpha listing of the beneficiaries covered under this Act. 
SEC. 7. Rules and Regulations. - The HUDCC, in coordination with local 
government units, shall within thirty (30) days from the approval of this Act, issue the 
necessary rules and regulations for the effective implementation of this Act. 
SEC. 8. Penalty Clause. - Any person or persons who shall take advantage f the 
situation for undue personal and private gain by committing an act of profiteering in 
the purchase of lots or materials, or by committing an act of misrepresentation in the 
documentation, or by falsifying reports shall be imposed the penalty of not more than 
six (6) years of imprisonment or a fine of not less than Five thousand pesos (P5,OOO.OO) 
but not more than One hundred thousand pesos (P100,000.00). Any other illegal act that 
may be committed in relation thereto shall be prosecuted to the full extent of the law. 
SEC. 9. Separability Clause. - If any provisions of this Act shall be held 
unconstitutional or invalid, the other provisions not otherwise affected shall remain in 
full force and effect. 
SEC. 10. Repealing Clause. - Any law, decree, rules and regulations which are 
inconsistent with or contrary to the provisions of this Act are hereby amended or 
repealed accordingly. 
SEC. 11. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
publication in at least two (2) national newspapers of general circulation. 
Approved,