TWENTIETH CONGRESS OF THE )
REPUBLIC OF THE PHILIPPINES )
First Regular Session )

HOUSE OF REPRESENTATIVES

HOUSE BILL No. 255

Introduced by REPRESENTATIVES LANI MERCADO-REVILLA,
BRYAN B. REVILLA and RAMON JOLO B. REVILLA Ill

ANACT
ESTABLISHING A RENTAL HOUSING SUBSIDY PROGRAM FOR INFORMAL
SETTLER FAMILIES AND APPROPRIATING FUNDS THEREFOR

EXPLANATORY NOTE

Filipino families, particularly the informal settlers sector would be greatly helped
by the establishment of financial assistance intended for rental payments for decent
temporary shelter. This is specially intended to assist ISFs who are dislocated due to
resettlement of their communities which are affected by being categorized as danger
zone, or directly affected by government infrastructure projects, or was hit by a
calamity or unforeseen event such having been razed by fire or by extreme flooding
or typhoon which destroyed their shelters.

The national government has estimated that approximately six (6) million
backlog low-cost housing units will need to be constructed during the term of
President Ferdinand Marcos Jr. in order to address the shelter needs of our fast-
growing Filipino population. Or what was termed as “One-million-units-a-year”
promised by the former Secretary of the Department of Human Settlements and
Urban Development (DHSUD) under the Pambansang Pabahay Para sa Pilipino
Program (4PH), or 6 million units by 2028. The target was factual and quite true, but
the capacity to deliver was another story.

While the government is still in the process of groundbreaking and launching
the 4PH projects that would be initially ready by 2028, the Filipino families need
decent shelter today. The private sector housing developers has been catching up to
what the government has scarcely achieved in terms of housing production. Thus,
there are low-cost housing units in the private sector market that can be rented out
by our homeless families who will need to be subsized during their period of
dislocation crisis. Afterall, the crises initially mentioned would not wait until the 4PH
program delivers on the housing units for the poor.

The author visited the Disiplina Villages (DVs) of Valenzuela City which are
very good models of an LGU- initiated rental housing program. These are “township”


projects complete with community-driven livelihood programs and amenities like
police precincts to maintain peace and order, fire stations, health care centers,
schools and sports facilities to keep the youth away from vices. A total of 16,189
ISFs, who formerly lived along waterways in the city, were the targeted beneficiaries
of these DVs. Most of them are now living as productive citizens in decent and
functioning communities. And as their lives improve they are later on able to transfer
to more decent shelter which they can own on installment basis.

This measure was already approved on Third and Final Reading by the House of
Representatives during the Nineteenth Congress.

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

REP. LANI MER‘ 0 - REVILLA , MSLG, DM (hc)

Representative
2 District of Cavite

REVILLA REP. RAMON JOLO REVILLA III
Representative Representative
AGIMAT Partylist 15 District of Cavite



TWENTIETH CONGRESS OF THE )
REPUBLIC OF THE PHILIPPINES )
First Regular Session )

HOUSE OF REPRESENTATIVES

HOUSE BILL No. 255

Introduced by REPRESENTATIVES LANI MERCADO-REVILLA, BRYAN B.
REVILLA and RAMON JOLO B. REVILLA III

ANACT
ESTABLISHING A RENTAL HOUSING SUBSIDY PROGRAM FOR INFORMAL
SETTLER FAMILIES AND APPROPRIATING FUNDS THEREFOR

Be it enacted by the Senate and 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. Declaration of Policy. — \t is hereby declared 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 that makes available affordable,
livable, and decent housing, as well as access to basic social services,
especially for the underprivileged;

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

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

SEC. 3. Definition of Terms. — As used in this Act:

a. Dislocation refers to the state of being displaced from one place to
another due to causes such as eviction and demolition;


b. Informal settler families refer to households living on a lot, whether
private or public, without the consent of the property owner; or those
without legal claim over the property they are occupying; or those living in
danger areas such as esteros, railroad tracks, garbage dumps,
riverbanks, shorelines, and waterways, as defined in Section 3(e) of
Republic Act No. 11201, otherwise known as the “Department of Human
Settlements and Urban Development Act”; and

c. Rental housing subsidy refers to the financial assistance provided by
the government to pay for the temporary use or occupancy of a
residential unit in the public and private rental housing market.

SEC. 4. Rental Housing Subsidy Program. — There is hereby established
the Rental Housing Subsidy Program, hereinafter referred to as the “Program”,
to provide social protection and support to informal settler families (ISFs) in
accessing the formal housing market under the Department of Human Settlements
and Urban Development (DHSUD). It shall be made an option to address the
temporary relocation of displaced families due to natural and man-made disasters.

Eligible ISFs shall receive a flat rental subsidy rate of Three thousand five
hundred pesos (PhP3,500.00) for those living in Metro Manila and a rental subsidy
rate to be determined by the DHSUD and by the Department of Economy, Planning,
and Development (DEPDev) for those living in all other regions, taking into
consideration the prevailing minimum wage and rental rates per region, but not to
exceed Three thousand five hundred pesos (PhP3,500.00): Provided, That the rental
subsidy shall not exceed the actual rent: Provided, further, That at any time, but not
more often than once every two (2) years, such subsidy may be reviewed or revised
by the DHSUD and NEDA to conform with the prevailing economic conditions.

Rental subsidy shall be granted to eligible beneficiaries until the date of
completion of the permanent housing project intended for them or upon their actual
transfer to the permanent housing project, whichever comes first: Provided, That in
case of a delay in the completion of the permanent housing project, the rental subsidy
shall be extended: Provided, further, That the agency implementing the permanent
housing project shall bear the cost of the extended rental subsidy.

SEC. 5. Eligibility. - To be eligible for rental subsidy under this Act, a
beneficiary must:

a. bean ISF as defined under Section 3(b) hereof; and

b. vacate the informal settlement area presently being occupied and transfer
to a safer and government-authorized area.

SEC. 6. Conditions for Continued Entitlement or Eligibility. — All
eligible rental subsidy beneficiaries shall comply with the following conditions to
continuously avail 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 to the lessor that portion of the rental fee not
covered by the subsidy.

Rental subsidy beneficiaries who maintain good payment standings shall be
prioritized as beneficiaries in government housing programs.

SEC. 7. Form of Payment. — The rental subsidy shail be distributed by the
DHSUD in such form as it may determine to be most beneficial and appropriate for
the beneficiaries.

SEC. 8. Roles of Government Agencies. - The various national
government agencies and instrumentalities involved in the Program shall perform
specific responsibilities.

a. The DHSUD shall:

1. 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 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 for 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 to the eligibility of the applicants of the Program;

2. Coordinate with government agencies, including the Department
of Public Works and Highways and the Department of
Transportation, on the identification of areas suitable for housing
projects and the persons who need immediate resettlement;

3. Update the masterlist of beneficiaries to be resettled as part of


the National Resettlement Program which shall include their socio-
economic profiles; and

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

The Home Development Mutual Fund shall enroll in its system at
least one household member of the applicant-beneficiaries of the
Program to facilitate their entry into the formal housing market.

|. The DSWD shall design the social preparation activities 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.

. The PCUP shall:

1. Assist the DSWD in the design of social preparation activities,
workshops, and training programs for beneficiaries; and

2. Conduct social preparation activities with the local government
units.

The Technical Education and Skills Development Authority
(TESDA) shall provide skills training to at least one household
member of the beneficiaries.

|. The local government units (LGU) shall:

1. Maintain a publicly accessible register of lessors in their
tespective areas of jurisdiction;

2. Assist the NHA in conducting census and tagging of ISFs in need of
immediate resettlement;

3. Assist the DSWD and PCUP in conducting social preparation
activities;

4. Contain the vacated areas of ISFs to help achieve the objectives of
this Program;

5. Assist the DSWD in monitoring and evaluating the
implementation of this Program; and

6. Conduct with the DSWD field valuation of beneficiaries and their


respective lessors in the rental housing units.

SEC. 9. Appropriations. — The amount necessary for the implementation of
this Act shall be included in the annual General Appropriations Act.

SEC. 10. Implementing Rules and Regulations. - The DHSUD shall, in
coordination with relevant government agencies, 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.

SEC. 11. Mandatory Review on the Implementation of this Act. - The
DHSUD shall submit to both Houses of Congress a report on the implementation of
this Program at the end of the second year from the date of effectivity of this Act and
every two (2) years thereafter.

SEC. 12. 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. 13. Repealing Clause. — All laws, executive orders, proclamations,
rules, regulations and other issuances or parts thereof which are inconsistent with
the provisions of this Act are hereby repealed, amended or modified accordingly.

SEC. 14. Effectivity. - This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation.

Approved,