EIGHTEENTH CONGRESS ) 2 UATE: Aus 04 20% |
REPUBLIC OF THE PHILIPPINES ) Le ory ‘BBtpn t
Second Regular Session ) ge Saeco PAs

HOUSE OF REPRESENTATIVES (Ge

Introduced by Representative Rufus B. Rodriguez _

House Bill No, 7269
EXPLANATORY NOTE

Section 9 of Article XIII of the Constitution provides:

“The State shall, by law, and for the common good, undertake, in
cooperation with the public 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 centers and resettlements areas. It shall
also promote adequate employment opportunities to such citizens.
In the implementation of such program the State shall respect the
rights of small property owners.”

Unfortunately, this provision of the Constitution has not been implemented properly with data
from the Philippine Statistics Authority (PSA) showing that there are around 4.5 million
homeless people in our country, three million of which are in Metro Manila.

There are many reasons for homelessness. The National Economic Development Authority
(NEDA) has recognized this problem and has already proposed plans to address it. in the
Philippine Development Plan (PDP) 2017-2022, the NEDA identified housing as one of the
nine priority sectors with the greatest potential’ to help the government realize its goals
under the Ambisyon 2040.

This bill aims to give Informal Settler Beneficiaries access to the formal housing market. It shall
be made an option to address the temporary relocation of displaced families due to natural
and man-made disasters. Eligible beneficiaries shall receive a rental subsidy to help them
have decent iiving conditions.

In view of the foregoing, immediate approval of this measure is earnestly requested.

RUS B. Rt IGUEZ


EIGHTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
Second Regular Session )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez

7269

House Bill No.

AN ACT
ESTABLISHING THE RENTAL HOUSING SUBSIDY PROGRAM, PROVIDING FUNDS
THEREFOR AND FOR OTHER PURPOSES

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

Section 1. Short Title. — This Act shall be known as the "Rental Housing Subsidy Program
Act.”

Sec. 2. Deciaration of Policy. — It is hereby deciared the policy of the State to:

a. Promote a just, equitable, and inclusive urban development through programs
providing adequate social services, broader housing options, livelihood and
employment, and an improved quality of life for the Filipino people, especially the
underprivileged;

b. Provide an innovative housing program providing affordable, livable, and decent
housing, as well as access to basic social services, especially for the underprivileged;

¢. Protect the urban poor from the impact of immediate dislocation due to eviction and
demolition arising from government projects; and

d. Provide for options for interim housing for dislocated families due to natural and man-
made disasters.

Sec. 3. Definition of Terms. For purposes of this Act, the following terms or words and phrases
shall be understood to mean as follows

a. Dislocation refers to the state of being displaced from one place to another due to causes
such as but not limited to eviction and demolition;

b. Informal Settler Beneficiary (ISB) refers to individuals or households living under any of the
following conditions:
1. Where the individual or household is living in a lot or dwelling unit without the consent
of the legal owner of such lot or dwelling unit;
2. Where the individual or household is living in a danger area as determined by the
Department of Human Settlements and Urban Development (DHSUD),
3. Where the individual or household is living in an area reserved or used for government
infrastructure projects;
4. Where the individual or household is living in an area which is classified as a protected
or forest area, except indigenous peoples;
5. Where the individual or household is living in an area declared as a priority
development area under Proclamation No. 1967, series of 1980, as applicable; or



6. Where the individual or household is living on public lands, structures, or facilities not
intended for human habitation.

c. Rental Housing Subsidy refers to the financial assistance provided by the government to
rent accommodation in the private rental market, the amount which shall not exceed the rates
as regulated under Republic Act No. 9653, otherwise known as the "Rent Control Act."

Sec. 4, Rental Housing Subsidy Program. — A Rental Housing Subsidy Program, hereinafter
referred to as the "Program," shall be established as a housing and social protection program
with the end view of enabling ISBs to lead decent lives and supporting them in accessing the
formal housing market. It shall be made an option to address the temporary relocation of
dispiaced families due to natural and man-made disasters.

Eligible beneficiaries shall receive a rental subsidy, the amount of which shall be
determined by the DHSUD taking into consideration, among others, the prevailing rental rates
in the concerned locality and the economic standing and potential of the family. The subsidy
shall be a percentage of the total amount of rentals as determined by the rental or lease
contract between the eligible beneficiary and the lessor, provided that for those eligible
beneficiaries below the poverty threshold as determined by the Philippine Statistics Authority
the subsidy shall be at least 50% of the total amount of rentals.

Notwithstanding any provisions to the contrary, at any time but not more than once
‘every two (2) years, subsidies given under the program shall be reviewed or revised to conform
to prevailing economic conditions.

Rental subsidy shall be granted to eligible beneficiaries for a maximum of five (5) years
‘or upon their avaiiment or acquisition of permanent housing, whichever comes first

Sec. 5. Eligibility - To be an eligible beneficiary under this Act, an individual or household
must
a. Live under any of the conditions under Sec. 3, paragraph b, of this Act,
b. Have a source of livelihood or have at least one (1) member of the household gainfully
employed; and
¢. Vacate the informal settlement area in which they are presently living and transfer or
relocate to a safer area,

Sec. 6. Conditions for Continued Entitlement or Eligibility. - All eligible beneficiaries shall
comply with the following conditions for continued availment of the benefits under this Act:

a. The beneficiaries shall not move or relocate back to the area in which they were
originally living in unless such move or relocation has been permitted by the proper
government authorities taking into consideration the purpose of the program; and

b. The beneficiaries shall pay that portion of the rentals not subsidized under the program
to the lessor.

Beneficiaries who maintain good payment standings shall be prioritized as
beneficiaries in government housing programs

Sec. 7. Form of Payment. — The rental subsidy shall be distributed by the DHSUD in such
form as may be identified by the DHSUD to be most beneficial and appropriate for the
beneficiaries

Sec. 8. Roles of Government Agencies. — The program shall involve the national government
agencies and instrumentalities with the following roles:
a. The DHSUD shall:
4. Coordinate with housing agencies to formulate program targets and integrate these to
the national housing policy;


2. Promulgate appropriate housing policies among the attached corporations of the
DHSUD in line with the implementation of this program:

3. Enlist beneficiaries and their lessors for the program:

4. Set up monitoring and evaluation system, tools, exit strategy, and methodologies on
‘compliance with conditions, implementation, output, and impact assessments together
with its attached agencies, the Department of Social Welfare and Development
(DSWD), the Presidential Commission on the Urban Poor (PCUP), and the local
government units; and

5, Recommend to Congress measures for the proper and responsive implementation of
this Act.

b. The National Housing Authority (NHA) shall

1. Certify the eligibility of the beneficiaries under the program;

2. Coordinate with infrastructure program implementing agencies, including but not
limited to the Department of Public Works and Highways (DPWH) and the Department
of Transportation (DOT?) for the identification of areas housing persons who need
immediate resettlement;

3. Update the list and socio-economic profiles of beneficiaries to be resettled as part of
the National Resettlement Program; and

4. Design and conduct appropriate monitoring and evaluation of the implementation of
this program, which shall include a grievance and redress system.

c. The Home Development Mutual Fund (HDMF) shall enroll the beneficiaries to the HDMF
system so as to facilitate their entry into the formal housing market.

d. The DSWD shall design the social preparation activities and form and conduct workshops
and training programs to ensure that beneficiaries are aware of the benefits under the
program, including the parameters and conditions for eligibility

e. The PCUP shall:
1. Assist the DSWD in the design of social preparation activities, workshops, and training
programs for beneficiaries;
2. Conduct social preparation activities with the local government units.

f. The Technical Education and Skills Development Authority (TESDA) shall provide skills
training to beneficiaries.

g. The local government units shall:

1. Maintain a publicly accessible register of lessors in their respective areas of

jurisdiction;

2. Assist the NHA in conducting census and tagging of ISBs in need of immediate
resettlement,
Assist the DSWD and PCUP in conducting social preparation activities;
Contain the vacated areas of ISBs to help achieve the objectives of this program;
Assist the DSWD in monitoring and evaluating the implementation of this program: and
Conduct field vaiuation of beneficiaries and their respective lessors with DSWD in the
rental housing units.

Pare

Sec. 9. Additional Positions and Personnel for the DHSUD. ~ For purposes of this Act, the
DHSUD shall, in accordance with pertinent civil service rules, create positions and enlist
additional personnel to ensure the proper and appropriate implementation of the program
under this Act.

Sec. 10. Appropriations. - The amount necessary for the effective implementation of this Act
shall be charged against the current appropriations for the DHSUD. Thereafter, such amounts


as necessary for its continued implementation shall be included in the General Appropriations
Act.

Sec. 11. Implementing Rules and Regulations. — The DHSUD, in coordination with relevant
government agencies, shall issue rules, regulations, and guidelines necessary to carry out the
intent and purposes of this Act within six (6) months from the date of effectivity of this Act.

‘Sec.12. Mandatory Review on the Implementation of this Act. - The DHSUD shail submit to
Congress a report on the implementation of this program at the end of the second (2") year
from the date of effectivity and every two (2) years thereafter.

Sec. 13. Separability Clause. — If any portion or provision of this Act is held unconstitutional
or invalid, the remaining provisions not affected thereby shall continue to be in full force and
effect.

Sec. 14. Repealing Clause. — All laws, executive orders, proclamations, rules, regulations,
and other issuances or parts thereof inconsistent with the provisions of this Act are hereby
repealed, amended, or modified accordingly.

Sec. 15. Effectivity. — This Act shall take effect fifteen (15) days following its publication in the
Official Gazette or in at least two (2) newspapers of general circulation.

Approved,