NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
SENATE
s. no.2108
Senate
o' Hi? ^ccretarj)
23 hay -3 AH 34
Introduced by Senator Christopher Lawrence "Bong" T. Go
AN ACT
INSTITUTIONALIZING THE PAMBANSANG PABAHAY PARA SA 
PILIPINO PROGRAM
EXPLANATORY NOTE
Article XIII, Section 9 of the 1987 Constitution states that "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." 
Pursuant to the mandate, the Department of Human Settlements and Urban 
Development (DHSUD) outlines the strategies to attain the objective of uplifting 
the living conditions of poor, marginalized, underprivileged, and homeless people 
in urban and resettlement areas including providing decent housing at a 
reasonable price.
According to the National Housing Authority (NHA) and the National 
Economic Development Authority (NEDA), in 2017, more than 1.5 million families 
were regarded as informal settlers.1 About half a million informal settler families 
in the National Capital Region (NCR) are living in poor conditions, including in 
high-risk areas, which is made worse by the parallel effects of the COVID-19
1 https://www.cnnphilippines.eom/news/2017/03/27/NHA-calls-off-KADAMAY-housing- 
eviction.html
2 https://www.philstar.eom/nation/2022/09/04/2207223/500k-families-ncr-living-poor-conditions


pandemic and other disasters.2 Furthermore, the DHSUD warned that the 
housing backlog of 6.5 million units, from 2017 to 2022, may eventually grow to 
22 million units by 2040 if unaddressed.3 These predicaments could hamper the 
goal of sustainable housing development and the elimination of housing poverty.
The administration of President Ferdinand Marcos Jr. initiated the 
Pambansang Pabahay para sa Pilipino Program (4PH) through the DHSUD which 
establishes housing programs in partnership with local government units and the 
private sector, and implements an interest subsidy on mortgage payment of 
housing beneficiaries. This proposed measure institutionalizes the program to 
further elevate it as a national priority with sustainable funding and clear set of 
guidelines and standards for its proper and successful implementation. This will 
create a holistic initiative that can provide adequate and affordable housing to 
several families who lack decent housing.
In view of the foregoing, the approval of this measure is earnestly sought
SENATOR CHRISTOPHER LAWRENCE “BONG" T. GO
2 https://www.philstar.eom/nation/2022/09/04/2207223/500k-families-ncr-living-poor-conditions
3 https://businessmirror.com.ph/2020/06/12/citing-22-million-backlog-forecast-government-
steps-up-housing-projects/


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NINETEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
SENATE
s. No. 2108
23 may -3 All '•34
Introduced by Senator Christopher Lawrence "Bong" T. Go
AN ACT
INSTITUTIONALIZING THE PAMBANSANG PABAHAY PARA SA PILIPINO 
PROGRAM
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
1 
SECTION 1. Tide. - This Act shall be known as the " Pambansang Pabahay para sa
2 
Pilipino Program Act of 2023.
3 
SEC. 2. Declaration of Policy. - It is hereby declared a policy of the state to pursue
4 
a continuing program of housing and urban development which shall make available at
5 
affordable cost, decent housing and basic services especially the underprivileged and
6 
homeless citizens by establishing a housing interest subsidy program with particular
7 
focus on assisting informal settler families (ISFs) acquire their own decent housing.
8 
SEC. 3. The Pambansang Pabahay para sa Pilipino Program - The Department of
9 
Human Settlements and Urban Development (DHSUD) shall implement the Pambansang
10 
Pabahay para sa Pilipino Program, hereinafter referred as the "Program", which shall
11 
have the following objectives:
12 
(a) Develop one million housing units every year;
13 
(b) Prioritize the lowest 30% income decile of the population and low wage earners
14 
as primary beneficiaries of the Program:


1 
(c) Pursue innovative strategies to make housing finance accessible and housing
2 
units affordable to the target beneficiaries, through but not limited to the
3 
following:
4 
(1) Allocate government funds for the payment of housing interest support to
5 
lower the monthly 
interest 
rate payment of qualified program
6 
beneficiaries:
7 
(2) Utilize vacant, idle, blighted and/or under-utilized government and private-
8 
owned lands for housing and mixed-use development:
9 
(3) Tap government financing institutions (GFIs) and private banks to provide
10 
development loans & end-user financing: and
11 
(4) Promote varied forms of modalities in implementing housing and mixed-
12 
use development.
13 
(d) Capacitate and support the local government units (LGUs) as one of the main
14 
project proponents in implementing housing projects: and
15 
(e) Encourage and incentivize the private sector to participate in the program
16 
implementation.
17 
SEC. 4. Program components. —
18 
(a) Site identification. - As the main project proponents, the LGUs shall, in
19 
coordination with the DHSUD, be responsible for project site identification and
20 
the development of their respective residential project/s. LGUs may engage
21 
and/or enter into a joint venture with government entities or private developers
22 
or builders, to undertake and construct housing projects using DHSUD-guided
23 
housing parameters.
24 
The following lands may be used for the housing projects:
25 
(1) LGU-owned property. The property identified for the project should have a
26 
"clean" or a "near-clean" title. For this purpose, a "clean title" shall be
27 
defined as one that is registered in the name of the LGU and is entirely free
28 
of any lien or encumbrance. On the other hand, a "near-clean title" shall be
29 
defined as one that is affected 
by a lien or encumbrance including any
30 
adverse claim or interest or any 
issue, complication or obstacle that can be
2


1 
resolved within the timeframe needed for its utilization and the completion of
2 
the project.
3 
(2) NGA-owned property, LGUs who intend to use the properties of National
4 
Government Agencies (NGAs) for their housing projects shall be mainly
5 
responsible for securing the issuance of authority to use such land and/or the
6 
disposal/transfer thereof to them from the NGAs concerned.
7 
(3) Privately-owned property. Private landowners of blighted areas or land
8 
occupied by ISFs are encouraged to participate in the 4PH Program by (a)
9 
donating their land, or (b) selling their properties at a reduced/discounted
10 
price. Subject to the cap on the proposed selling price of the planned
11 
housing units, the LGUs may consider purchasing such land or entering into
12 
a joint venture agreement with the owner, subject to compliance with
13 
appropriate government laws and regulations.
14 
(b) Housing design. - LGUs shall be responsible for preparing the parameters of their
15 
proposed housing projects, in accordance with existing government-prescribed
16 
laws and standards, and the following DHSUD design and proposed price ceiling
17 
parameters for projects to be accredited under the Program.
18 
(c) Housing construction. - LGUs shall procure or select qualified developers and/or
19 
contractors to construct the proposed housing project/s in accordance with
20 
applicable government rules and regulations. Notwithstanding the entry of new
21 
developers and contractors, the LGUs are encouraged to invite housing
22 
developers who are known to have good standing and have already undertaken
23 
projects within their areas of jurisdiction and need to develop corresponding
24 
socialized housing projects in compliance with the balanced housing development
25 
program requirement.
26 
(d) Financing for the housing project. - The Pag-IBIG Fund (HDMF), as well as other
27 
GFIs and private banks, shall make their funds available for the LGUs' housing
28 
projects through their respective developmental loan programs. They shall also
29 
participate by providing end-user financing to homebuyers;


1 
(e) Beneficiaries. - LGUs shall set the eligibility criteria for, and identify, the project
2 
beneficiaries. In formulating such criteria, they shall coordinate with GFIs and
3 
private banks that will provide end-user financing to ensure alignment of all their
4 
selection criteria particularly as regards the credit- worthiness and amortization
5 
capacity of potential buyer-beneficiaries.
6 
Beneficiaries must be capable of and committed to paying the monthly housing
7 
loan amortization over the 30-year loan term, to the GFIs or private banks. The
8 
above notwithstanding, LGUs and their development partners are not prohibited
9 
from developing housing projects that incorporate or provide cross subsidies
10 
between different income classes so as to benefit more ISFs and lower- bracket
11 
wage earners.
12 
(f) Subsidy on amortization and interest. - The DFISUD shall, directly or through its
13 
attached corporations, provide amortization support payable to the end-user
14 
finance providers for the account of the buyer-beneficiaries' units, using funds
15 
that will be made available through the General Appropriations Act (GAA), and/or
16 
other identified funding sources. LGUs are also encouraged to provide monthly
17 
amortization support to buyer- beneficiaries of the units, if needed to enable
18 
them to meet their monthly amortization obligations.
19 
SEC. 5. Roles and Responsibilities. The implementing agencies shall, at the
20 
minimum, undertake the following roles, functions, and responsibilities:
21 
(a) Department of Human Settlements and Urban Development (DHSUD)
22 
(1) Act as the overall initiator, coordinator, and facilitator, of the Program;
23 
(2) Facilitate the provision of funds through the GAA, Key Shelter Agencies (KSAs),
24 
GFIs and private banks, for use as: (a) development loans, (b) interest support
25 
for the program's project beneficiaries, (c) end-user financing, (d) guarantee
26 
financing, and (e) purchase of loan accounts:
27 
(3) Oversee and monitor the implementation of the Program, including the project
28 
implementation and performance of all participants:
29 
(4) Provide parameters/specifications, extend support and technical assistance to
30 
LGUs, developers, and other program partners including facilitating the issuance
4


1 
of Development Permits and Licenses to Sell within its areas of responsibilities:
2 
and
3 
(5) Perform such other roles, functions and acts which it may deem proper and
4 
necessary for the effective and full implementation of the Program;
5 
(b) Local Government Units (LGUs)
6 
(1) Act as the main proponent and major player in the planning, implementation
7 
and management of their respective housing projects:
8 
(2) Have the primary responsibility of identifying lands for potential project
9 
locations as well as making it available for their proposed housing projects;
10 
(3) Determine and prepare the project concept to be used for their housing
11 
projects;
12 
(4) Determine the implementation modalities for each of their envisioned housing
13 
projects, including which project to undertake on its own, through joint venture,
14 
or using other options:
15 
(5) Identify the project proponent that would undertake the development of each
16 
project, whether solely or in joint venture with third parties:
17 
(6) Identify, select and enter into agreements with qualified developers and/or
18 
contractors to implement their proposed housing projects, in accordance with
19 
applicable government laws, rules and regulations:
20 
(7) Provide support to their priority housing projects and beneficiaries, either
21 
through monthly amortization support and/or other commitments or
22 
forms/modes of assistance, such as land donation and site development, to
23 
make the units affordable to target buyer-beneficiaries:
24 
(8) Issue the appropriate resolutions and/or ordinances needed for the proposed
25 
projects, including the allocation of land, funds and other necessary support for
26 
the successful implementation of the projects:
27 
(9) Establish an office and provide qualified personnel to implement their housing
28 
program:
29 
(10) Conduct social preparation activities for target beneficiaries in coordination
30 
with the DHSUD and its pertinent KSAs;


1 
(11) 
Facilitate the expeditious issuance of local permits and clearances for their
2 
projects:
3 
(12) 
Take charge, to the extent possible and applicable, of all documentation
4 
necessary for the full implementation of their housing program;
5 
(13) 
Undertake estate/property management responsibilities for their projects
6 
and ensure the availability of funds for the purpose;
7 
(c) National Housing Authority and Social Housing Finance Corporation
8 
(1) As landowners, enter into appropriate partnership agreements with the
9 
concerned partner LGUs;
10 
(2) As a developer and/or project manager, implement the project/s in coordination
11 
with LGUs and other entities in accordance with the roles and responsibilities as
12 
may be agreed upon by the parties involved;
13 
(3) Provide support to LGUs in social preparation, project development, and such
14 
other assistance needed for the successful implementation of the LGUs' housing
15 
program and projects under the Program;
16 
(d) Home Development Mutual Fund (HDMF), participating Government Financial
17 
Institutions (GFIs) and Private Banks
18 
(1) Establish special lending programs with simplified, streamlined and expedited
19 
guidelines, requirements, and processes, and allocate exclusive funds for the
20 
Program, such as those needed for developmental loans to developers, and
21 
end-user financing to project buyer-beneficiaries to allow the latter to purchase
22 
their housing units;
23 
(e) National Home Mortgage Finance Corporation (NHMFC)
24 
(1) Provide liquidity to GFIs and private banks to ensure the sustainability of the
25 
Program by purchasing eligible Real Estate Mortgage (REM) accounts from them,
26 
securitizing such loan portfolios, and issuing asset-backed securities to attract
27 
more funds for housing.
28 
SEC. 6. Annual Report of the Program. - The DHSUD shall annually publish a full
29 
report of the Program covering the implementation of the previous fiscal year. The said
30 
report shall include financial disclosures, number of clients or beneficiaries served, and
6


1 
recommendations to the President and to both chambers of Congress on how to further
2 
enhance the program.
SEC. 7. Program Transparency. - The DSHUD shall regularly and timely post and 
update on its website a report of financial disclosures and information about 
beneficiaries based on geographical area, social, economic, and cultural circumstances.
SEC. 8. Joint Congressional Oversight Committee. - Upon effectivity of this Act, a 
Congressional Oversight Committee, hereafter referred to as the Pambansang Pabahay 
Oversight Committee is hereby constituted. This Committee shall set the overall 
framework to review the implementation of this Act. It shall likewise determine inherent
10 gaps in the law and recommend necessary remedial legislation or executive measures.
11
13
17
18
20
SEC. 9. Appropriation. - The amount necessary to implement this Act shall be
12 included in the annual General Appropriations Act.
SEC 10. Separability Clause. - Any portion or provision of this Act that is
14 
declared unconstitutional shall not have the effect of nullifying other portions or
15 
provisions hereof as long as such remaining portions can still subsist and be given effect
16 
in their entirety.
SEC 11. Repealing Clause. - All laws, ordinances, rules, regulations, other 
issuances or parts thereof, which are inconsistent with this Act, are hereby repealed or
19 modified accordingly.
SEC 12. Effectivity. - This Act shall take effect fifteen (15) days after its
21 publication in the Official Gazette or in a newspaper of general circulation.
Approved
1