TWENTIETH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
S. No.
)
SENATE
937
■; ■
. X’iIt;'af i’l: f ■'
25 AUG-5 P3 57
UIXnVED BY;
Introduced by Senator Jinggoy Ejercito Estrada
AN ACT
ESTABLISHING AN ON-SITE, IN-CITY OR NEAR-CITY, OR OFF-CITY 
GOVERNMENT RESETTLEMENT PROGRAM FOR INFORMAL SETTLER 
FAMILIES IN ACCORDANCE WITH A PEOPLE'S PLAN AND MANDATING THE 
IMPLEMENTING LOCAL GOVERNMENT UNIT, JOINTLY WITH THE 
DEPARTMENT OF HUMAN SETTLEMENTS AND URBAN DEVELOPMENT, IN 
CASES OF NEAR-CITY OR OFF-CITY RESETTLEMENT, TO PROVIDE OTHER 
BASIC SERVICES AND LIVELIHOOD COMPONENTS IN FAVOR OF THE 
RECIPIENT LOCAL GOVERNMENT UNIT, AMENDING FOR THE PURPOSE 
REPUBLIC ACT NO. 7279, AS AMENDED, OTHERWISE KNOWN AS THE 
"URBAN DEVELOPMENT AND HOUSING ACT OF 1992"
EXPLANATORY NOTE
Article XIII, Section 9 of the 1987 Constitution provides 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 resettlement areas".
In line with this Constitutional mandate. Republic Act No. 7279, otherwise 
known as the "Urban Development and Housing Act of 1992," was signed into law 
on 24 March 1992. RA 7279 sought to address issues concerning urban development 
and to allow for people's participation with regard to housing. More than thirty (30) 
years since, however, the country still faces widespread issues with regard to urban 
development as evidenced by the growing number of housing backlogs and of
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Informal Settler Families (ISFs). According to an article published in February 2025, 
the number of "informal settler families is estimated at 3.7 million, half a million of 
which are living in slums and high-risk areas in Metro Manila or the National Capital 
Region". Further, it cited a report of the UN-Flabitat that the housing need of the 
country is "projected to increase from 6.5 million to 22 million by 2040.
Many of the government's housing programs are located far from urban areas 
where access to livelihood opportunities are scarce and basic services and facilities 
are not guaranteed. This has resulted in low occupancy rates in a number of housing 
programs of the National Housing Authority (NHA). According to the 2016 
Commission on Audit Report on the NHA, three housing projects namely: 
AFP/PNP/BJMP/BFP/BuCor Housing, the Resettlement Program for ISFs living along 
danger areas in Metro Manila, and the Typhoon Yolanda Housing Program, had low 
occupancy rates. Of the 190,413 units completed for the three projects, only 76,004 
units or 40% were occupied. The reasons cited by COA for the low occupancy rate 
include the lack of basic facilities and access road, lack of consultation with 
beneficiaries, and the lack of coordination with the local government units (LGUs) 
concerned. The 2023 Annual Audit Report of the COA on NHA stated that, "after a 
decade of the Yolanda Permanent Housing Projects' (YPHP) implementation, only 
171,230 housing units (Hus) representing 84.75 per cent of the revised target of 
202,036 Hus have been completed."2
This bill seeks to amend Republic Act No. 7279 and to strengthen the 
government's housing program by prioritizing on-site or in-city resettlement for ISFs 
and by ensuring their access to employment and basic facilities. This bill also 
mandates the People's Plan which will require adequate dialogue that not only 
empowers the community, but will also enhance the sustainability and success of the 
government's housing programs.
1 Phi’s worsening housing backlog I Philstar.com
22 AAR Government-Owned and/or Controlled Corporations | Commission on Audit


Hence, the immediate passage of this bill is earnestly requested.
^------
^^NGfiOY EJERCITO ESTRADA


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TWENTIETH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
S. No.
)
SENATE
937
r ;.f'rr a! i1;' 
•
25 AUG-5 P3:57
m;covLi> BY.
Introduced by Senator Jinggoy Ejercito Estrada
AN ACT
ESTABLISHING AN ON-SITE, IN-CITY OR NEAR-CITY, OR OFF-CITY 
GOVERNMENT RESETTLEMENT PROGRAM FOR INFORMAL SETTLER 
FAMILIES IN ACCORDANCE WITH A PEOPLE'S PLAN AND MANDATING THE 
IMPLEMENTING LOCAL GOVERNMENT UNIT, JOINTLY WITH THE 
DEPARTMENT OF HUMAN SETTLEMENTS AND URBAN DEVELOPMENT, IN 
CASES OF NEAR-CITY OR OFF-CITY RESETTLEMENT, TO PROVIDE OTHER 
BASIC SERVICES AND LIVELIHOOD COMPONENTS IN FAVOR OF THE 
RECIPIENT LOCAL GOVERNMENT UNIT, AMENDING FOR THE PURPOSE 
REPUBLIC ACT NO. 7279, AS AMENDED, OTHERWISE KNOWN AS THE 
"URBAN DEVELOPMENT AND HOUSING ACT OF 1992"
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
Section 1. Section 3 of Republic Act No. 7279, otherwise known as the 
"Urban Development and Housing Act of 1992," is hereby amended as follows:
"Sec. 3. Definition of Terms. - For purpose of this Act:
"(a)
"xxx
"(w) xxx; [af>d]
"(x) Zonal Improvement Program or ZIP refers to the 
program of the National Housing Authority of upgrading and 
improving INFORMAL SETTLEMENTS within the cities and 
municipalities of Metro Manila pursuant to existing statutes 
and pertinent executive issuances^];
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"(Y) ADEQUATE AND RESPONSIVE 
CONSULTATION REFERS TO THE STANDARD OF 
DIALOGUE TO BE CONDUCTED BY THE 
IMPLEMENTING LOCAL GOVERNMENT UNIT (LGU) 
OR THE PROJECT PROPONENT AGENCY WITH THE 
AFFECTED INFORMAL SETTLER FAMILIES (ISFs) 
WHICH SHALL REQUIRE THE FOLLOWING:
"(1) EFFECTIVE DISSEMINATION OF RELEVANT 
INFORMATION AND DOCUMENTS INCLUDING BUT 
NOT LIMITED TO, LAND RECORDS, HOUSING 
BUDGETS, THE PROPOSED PLAN OR PROJECT, 
ALTERNATIVE HOUSING OPTIONS, AND 
COMPREHENSIVE RESETTLEMENT PLANS;
"(2) PROVISION BY THE GOVERNMENT OR 
NONGOVERNMENTAL ORGANIZATIONS OF LEGAL, 
TECHNICAL, AND OTHER ADVICE TO AFFECTED ISFs 
ON THEIR RIGHTS AND OPTIONS;
"(3) CONDUCT OF PUBLIC HEARINGS THAT 
SHALL PROVIDE AFFECTED ISFs AND THEIR 
ADVOCATES WITH OPPORTUNITIES TO COMMENT 
ON THE PROPOSED RESETTLEMENT ACTION PLAN, 
OR PRESENT ALTERNATIVE PROPOSALS AND TO 
ARTICULATE THEIR DEMANDS AND DEVELOPMENT 
PRIORITIES; AND,
"(4) PARTICIPATION IN LOCAL OR POJECT 
INTER-AGENCY COMMITTEES, OR ANY OTHER 
MULTI-SECTORAL MECHANISMS, FORMED BY 
IMPLEMENTING AGENCIES FOR THE PURPOSE OF 
COORDINATION REGARDING RESETTLEMENT OF 
AFFECTED ISFs; AND,
"(5) MEDIATION, ARBITRATION, OR 
ADJUDICATION BY AN INDEPENDENT BODY VESTED


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WITH CONSTITUTIONAL AUTHORITY SUCH AS A 
COURT OF LAW, AS MAY BE APPROPRIATE, IN CASE 
NO AGREEMENT IS REACHED ON THE PROPOSALS OF 
THE CONCERNED PARTIES, EXCEPT WHEN THE 
RESETTLEMENT IS DUE TO EVICTION OR 
DEMOLITION IN AREAS COVERED UNDER SECTION 
28 (A) AND (B);
"(Z) CIVIL SOCIETY ORGANIZATION OR CSO 
REFERS TO A NONGOVERNMENT ORGANIZATION 
(NGO), PEOPLE'S ORGANIZATION (PO), 
COOPERATIVES, TRADE UNION, PROFESSIONAL 
ASSOCIATION, FAITH-BASED ORGANIZATION, 
MEDIA GROUP, INDIGENOUS PEOPLES MOVEMENT, 
FOUNDATION, AND OTHER CITIZEN'S GROUP 
FORMED PRIMARILY FOR SOCIAL AND ECONOMIC 
DEVELOPMENT CONCERNS TO PLAN PROGRAMS AND 
PROJECTS AND MONITOR THEIR DEVELOMENT, 
ENGAGE IN POLICY DISCUSSIONS, AND ACTIVELY 
PARTICIPATE IN COLLABORATIVE ACTIVITIES WITH 
THE GOVERNMENT;
"(AA) COMPREHENSIVE LAND USE PLAN 
(CLUP) REFERS TO THE DOCUMENT, FORMULATED 
BY THE LGU IN CONSULTATION WITH ITS 
STAKEHOLDERS, THAT DEFINES OR PROVIDES 
GUIDELINES ON THE ALLOCATION, UTILIZATION, 
DEVELOPMENT, AND MANAGEMENT OF ALL LANDS 
WITHIN A GIVEN TERRITORY OR JURISDICTION 
ACCORDING TO THE INHERENT QUALITIES OF THE 
LAND ITSELF AND SUPPORTIVE ECONOMIC, 
DEMOGRAPHIC, 
SOCIO-CULTURAL, 
AND
ENVIRONMENTAL OBJECTIVES AS DEFINED IN 
SECTION 3(B) OF REPUBLIC ACT NO. 11201,


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OTHERWISE KNOWN AS THE DEPARTMENT OF 
HUMAN SETTLEMENTS AND URBAN DEVELOPMENT 
ACT;
"(BB) IMPLEMENTING LOCAL GOVERNMENT 
UNIT (LGU) REFERS TO THE CITY OR MUNICIPALITY 
THAT WILL CARRY OUT THE RESETTLEMENT 
PROGRAM AND HAS JURISDICTION OVER THE AREA 
WHERE THE ISFs ARE SITUATED;
"(CC) IN-CITY RESETTLEMENT REFERS TO A 
RELOCATION SITE WITHIN THE JURISDICTION OF 
AN LGU WHERE THE AFFECTED ISFs ARE LIVING;
"(DD) INFORMAL SETTLEMENTREFERS TO:
"(1) AN AREA WHERE HOUSING UNITS HAVE 
BEEN CONSTRUCTED BY SETTLERS ON LAND 
WHICH THEY OCCUPY WITHOUT THE 
CONSENT OF THE OWNER; OR,
"(2) AN UNPLANNED SETTLEMENT AND AREA 
WHERE HOUSING IS NOT IN COMPLIANCE 
WITH EXISTING PLANNING AND BUILDING 
REGULATIONS;
"(EE) INFORMAL SETTLER FAMILIES (ISFs) 
REFER TO HOUSEHOLDS LIVING IN A LOT, WHETHER 
PUBLIC OR PRIVATE, WITHOUT THE CONSENT OF 
THE PROPERTY OWNER; OR THOSE WITHOUT LEGAL 
CLAIM OVER THE PROPERTY THEY ARE OCCUPYING; 
OR THOSE LIVING IN DANGER AEAS SUCH AS 
ESTEROS, RAILROAD TRACKS, GARBAGE DUMPS, 
RIVERBANKS, SHORELINES, AND WATERWAYS, AS 
DEFINED IN SECTION 3(E) OF REPUBLIC ACT NO. 
11201;
"(FF) KEY SHELTER AGENCIES REFER TO THE 
CORPORATIONS ATTACHED TO THE DEPARTMENT OF


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HUMAN SETTLEMENTS AND URBAND DEVELOPMENT 
(DHSUD), NAMELY: NATIONAL HOUSING AUTHORITY 
(NHA), NATIONAL HOME MORTGAGE FINANCE 
CORPORATION (NHMFC), HOME DEVELOPMENT 
MUTUAL FUND (HDMF), AND SOCIAL HOUSING 
FINANCE CORPORATION (SHFC), AND OVER WHICH 
IT EXERCISES ADMINISTRATIVE SUPERVISION IN 
ACCORDANCE WITH SECTION 22 OF REPUBLIC ACT 
NO. 11201;
"(GG) NEAR-CITY RESETTLEMENT REFERS TO A 
RELOCATION SITE CLOSE TO THE ORIGINAL 
SETTLEMENT OF THE AFFECTED ISFs, BUT WITHIN 
THE JURISDICTION OF ANOTHER LGU THAT IS 
ADJACENT TO THE IMPLMENTING LGU;
"(HH) NONGOVERNMENT ORGANIZATION 
(NGO) REFERS TO A DULY REGISTERED NON-STOCK, 
NON-PROFIT ORGANIZATION FOCUSING ON THE 
UPLIFTMENT OF THE BASIC OR DISADVANTAGED 
SECTORS OF SOCIETY BY PROVIDING ADVOCACY, 
TRAINING, COMMUNITY ORGANIZING, RESEARCH, 
ACCESS TO RESOURCES, AND OTHER SIMILAR 
ACTIVITIES, AS DEFINED UNDER REPUBLIC ACT NO. 
8425, OTHERWISE KNOWN AS THE 'SOCIAL REFORM 
AND POVERTY ALLEVIATION ACT' AND ORGANIZED 
AND OPERATED EXCLUSIVELY FOR SCIENTIFIC, 
RESEARCH, EDUCATIONAL, CHARACTER-BUILDING 
AND YOUTH AND SPORTS DEVELOPMENT, HEALTH, 
SOCIAL WELFARE, CULTURAL AND CHARITABLE 
PURPOSES, OR A COMBINATION THEREOF, AND NO 
PART OF THE NET INCOME OF WHICH INURES TO 
THE BENEFIT OF ANY PRIVATE INDIVIDUAL 
PURSUANT TO SECTION 34(H)(2)(c)(l) OF REPUBLIC


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ACT NO. 8424, AS AMENDED, OTHERWISE KNOWN 
AS THE TAX REFORM ACT OF 1997';
"(II) OFF-CITY RESETTLEMENT REFERS TO A 
RELOCATION SITE DEVELOPED OUTSIDE AND NOT 
ADJACENT TO THE LGU WHERE THE AFFECTED ISFs 
HAVE THEIR SETTLEMENT;
"(JJ) PEOPLE'S PLAN REFERS TO THE PLAN 
FORMULATED BY THE BENEFICIARY-ASSOCIATION 
IN COORDINATION WITH THE IMPLEMENTING LGU 
WHICH SHALL CONTAIN A SITE DEVELOPMENT PLAN 
THAT CONFORMS TO THE CLUP OF THE LGU UNDER 
WHOSE JURISDICTION THE PROJECT SITE IS 
PROPOSED TO BE LOCATED, INCLUDING: 
COMMUNITY HEALTH, SANITATION, AND SECURITY 
PLANS; 
NON-PHYSICAL 
DEVELOPMENT
COMPONENTS SUCH AS SELF-HELP HOUSING 
COOPERATIVE, 
LIVELIHOOD, 
SELF-HELP
DEVELOPMENT, CAPABILITY BUILDING; AND A 
SYSTEM OF ALLOCATION OF SOCIALIZED HOUSING 
UNITS THAT SHALL PROMOTE AND PROTECT THE 
WELFARE OF THE ELDERLY, PERSONS WITH 
DISABILITY, AND CHILDREN AS DEFINED IN 
SECTION 3(F) OF REPUBLIC ACT NO. 11201;
"(KK) RECEIVING LOCAL GOVERNMENT UNIT 
(LGU) REFERS TO THE CITY OR MUNICIPALITY, 
OTHER THAN THE IMPLEMENTING LGU, THAT HAS 
JURISDICTION OVER THE AREA WHERE THE 
QUALIFIED ISFs ARE RELOCATING OR RESETTLING;
"(LL) RESETTLEMENT ACTION PLAN (RAP) 
REFERS TO THE PLAN PREPARED BY THE 
IMPLEMENTING LGU OR THE PROJECT PROPONENT 
AGENCY, IN CONSULTATION WITH THE AFFECTED


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ISFs WHICH SHALL, IN THE CASE OF NEAR-CITY OR 
OFF-CITY RELOCATION, BE CONCURRED WITH BY 
THE RECEIVING LGU, AND IN ALL CASES SHALL:
"(1) SPECIFY DETAILS ON THE 
IMPLEMENTATION OF RELOCATION;
"(2) INCLUDE OR PRIORITIZE, TO THE EXTENT 
FEASIBLE, AND IN DESCENDING ORDER, ON­
SITE, IN-CITY, NEAR-CITY, AND OFF-CITY 
OPTIONS; AND
"(3) INCLUDE THE BASIC SERVICES AND 
FACILITIES RELATIVE TO THE HEALTH, 
EDUCATION, COMMUNICATION, SECURITY, 
RECREATION, RELIEF AND WELFARE, 
LIVELIHOOD, AND TRANSFORATION NEEDS OF 
THE RELOCATEES; AND,
"(MM) SOCIAL PREPARATION REFERS TO THE 
PROCESS OF ESTABLISHING SOCIAL, 
ORGANIZATIONAL, AND INSTITUTIONAL NORMS 
AND MECHANISMS THAT SHALL:
"(1) ENABLE THE BENEFICIARIES TO COPE 
WITH CHANGES; AND,
"(2) IN PARTNERSHIP WITH CONCERNED 
INSTITUTIONS AND STAKEHOLDERS, 
ENCOURAGE THEM NOT ONLY TO WORK 
AMONG THEMSELVES FOR THE PURPOSE OF 
DRAWING UP AND UNDERTAKING THEIR 
HOUSING PROJECT PROPOSALS, BUT ALSO TO 
ACTIVELY AND MEANINGFULLY PARTICIPATE 
IN HOUSING PROJECTS UNDERTAKEN IN 
THEIR BEHALF, RESOLVING PROBLEMS AMONG 
COMMUNITY MEMBERS AND COORDINATION


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ISSUES WITH GOVERNMENT AND OTHER 
ENTITIES."
Sec. 2. Section 22 of Republic Act No. 7279 is hereby amended as follows: 
"Sec. 22. Livelihood Component. - To the extent feasible, 
socialized housing and resettlement projects shall be located 
near areas where employment opportunities are accessible.
The government agencies dealing with the PROVISION OF 
SKILLS AND LIVELIHOOD TRAINING, development of 
livelihood programs, and grant of livelihood loans, NAMELY:
THE DEPARTMENT OF LABOR AND EMPLOYMENT 
(DOLE), THE DEPARTMENT OF SOCIAL WELFARE AND 
DEVELOPMENT (DSWD), THE DEPARTMENT OF 
SCIENCE AND TECHNOLOGY (DOST), THE TECHNICAL 
EDUCATION AND SKILLS DEVELOPMENT AUTHORITY 
(TESDA), AND THE PHILIPPINE TRADE AND 
TRAINING CENTER (PTTC) shall give priority to the 
beneficiaries of the Program."
Sec. 3. Section 23 of Republic Act No. 7279 is hereby amended as follows: 
"Sec. 23. Participation of PROGRAM Beneficiaries OR 
AFFECTED ISFs, FORMATION OF BENEFICIARY- 
ASSOCIATION, MAINSTREAMING SOCIAL 
PREPARATION, AND FORMULATION AND 
IMPLEMENTATION OF A PEOPLE'S PLAN. - The local 
government units, in coordination with the Presidential 
Commission of the Urban Poor and concerned government 
agencies, shall afford Program beneficiaries OR AFFECTED 
ISFs or their duly designated representatives an opportunity 
to be heard and to participate in the decision-making 
process over matters involving the protection and promotion 
of their legitimate collective interests which shall include 
appropriate documentation and feedback mechanisms. They 
shall also be encouraged to organize themselves [and
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undGitoke self-help coopemtive housing and other livelihood
activitiGG] INTO AN ASSOCIATION FOR 
ACCREDITATION AS BENEFICIARIES OR AWARDEES 
OF OWNERSHP RIGHTS UNDER THE RESETTLEMENT 
PROGRAM, COMMUNITY MORTGAGE PROGRAM, 
LAND TENURE ASSISTANCE PROGRAM, AND OTHER 
SIMILAR PROGRAMS IN RELATION TO A SOCIALIZED 
HOUSING PROJECT ACTUALLY BEING IMPLMENTED 
BY THE NATIONAL GOVERNMENT OR BY THE LGUs. 
They shall assist the government in preventing the 
incursions of professional squatters and members of 
squatting syndicates into their communities.
"In instances when the affected beneficiaries OR 
ISFs have failed to organize themselves or form an 
[alliance] ASSOCIATION within a reasonable period prior 
to the implementation of the program or projects affecting 
them, consultation between the implementing LGU OR 
agency and the affected [beneficiaricG] ISFs shall be 
conducted with the assistance of the Presidential 
Commission for the Urban Poor and the concerned 
[nongovernment—organization] CSOs UNTIL AN 
ASSOCIATION IS FORMED.
"THE ASSOCIATION, IN CONSOLATION WITH 
THE PRESIDENTIAL COMMISSION FOR THE URBAN 
POOR (PCUP) AND IN COORDINATION WITH THE 
IMPLEMENTING LGU SHALL, WITH OR WITHOUT THE 
SUPPORT OF CSOs, FORMULATE A PEOPLE'S PLAN.
"THE ASSOCIATION, WITH THE ASSISTANCE 
OF CSOs AND CONCERNED GOVERNMENT AGENCIES, 
INCLUDING THE NATIONAL ANTI-POVERTY 
COMMISSION (NAPC), PCUP, NHA, CITY OR 
MUNICIPAL SOCIAL WELFARE AND DEVELOPMENT


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OFFICE, SHFC, AND LGUs SHALL AGREE ON, 
DEVELOP, AND IMPLEMENT THE PEOPLE'S PLAN.
"IN ACCORDANCE WITH THE PROTECTION 
GUIDELINES PROVIDED UNDER SECTION 28 OF THIS 
ACT, A RAP SHALL BE AN INDISPENSABLE 
COMPONENT OF THE PEOPLE'S PLAN. THE RAP SHALL 
ENUNCIATE THE FOLLOWING:
"(A) A SAFE, AFFORDABLE, DECENT, AND 
HUMANE CONDITION OF RELOCATION, 
INCORPORATING THEREIN APPROPRIATE DISASTER 
RISK REDUCTION MANAGEMENT AND CLIMATE 
CHANGE ADAPTATION STANDARDS;
"(B) PROVISION OF ADEQUATE SOCIAL 
PREPARATION; AND,
"(C) PREVENTION OF FORCED EVICTION: 
PROVIDED, THAT PRIMARY CONSIDERATION SHALL 
BE GIVEN TO THE HOUSING FINANCIAL SCHEME 
SUGGESTED IN THE PEOPLE'S PLAN."
Sec. 4. Section 26 of Republic Act No. 7279 is hereby amended as follows: 
"Sec. 26. Urban Renewal and Resettlement - [This]
URBAN RENEWAL AND RESETTLEMENT shall include 
the rehabilitation and development of blighted and slum 
areas and the resettlement of Program beneficiaries OR 
AFFECTED ISFs in accordance with the provisions of this 
Act. On-site development shall be implemented [whenever 
possible] AFTER THE CONDUCT OF ADEQUATE AND 
GENUINE CONSULTATION WITH THE AFFECTED ISFs,
AND IN ACCORDANCE WITH THE PEOPLE'S PLAN 
FORMULATED PURSUANT TO SECTION 23 OF THIS 
ACT, to ensure minimum movement of occupants of 
blighted lands and slum areas.
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"[The] WHERE DEMOLITION OR EVICTION IS 
ALLOWED IN THE AREA OCCUPIED BY THE PROGRAM 
BENEFICIARIES OR AFFECTED ISFs AND ON-SITE 
RESETTLEMENT CANNOT BE UNDERTAKEN BY 
REASON THEREOF, THE IN-CITY resettlement of the 
beneficiaries of the Program OR OF AFFECTED ISFs from 
their existing places of occupancy shall be undertaken only 
[when on-site—development is—not fcasiblG and] after 
compliance with the procedures [laid down in] PURSUANT 
TO Section 28 of this Act AND IN ACCORDANCE WITH 
THE PREFERENCE OF THE AFFECTED ISFs AS 
CONTAINED IN THE PEOPLE'S PLAN.
"SHOULD IN-CITY RESETTLEMENT NOT BE 
FEASIBLE, NEAR-CITY RESETTLEMENT SHALL BE 
CONSIDERED. OFF-CITY RESETTLEMENT SHALL ONLY 
BE RESTORED TO WHEN NEAR-CITY RESETTLEMENT 
IS NOT FEASIBLE, AND MUST SATISFY THE 
REQUIREMENTS OF ADEQUATE AND RESPONSIVE 
CONSULTATION PRIOR TO RELOCATION."
Sec. 5. Section 29 of Republic Act No. 7279 is hereby amended as follows: 
"Sec. 29. Resettlement - THE IMPLEMENTING LGUs, 
JOINTLY WITH THE DHSUD AND THE APPROPRIATE 
KEY SHELTER AGENCIES, SHALL BE CHARGED WITH 
THE PRIMARY RESPONSIBILITY OF:
"(1) IMPLEMENTING THE RESETTLEMENT OF 
AFFECTED ISFs IN THEIR RESPECTIVE LOCALITIES 
[Within two (2) years from the cffcctivity of this Act, the
local government units, in coordination with the National
Housing Authority shall implement] AND the relocation and 
resettlement of [persons] ISFs living in danger areas such 
as esteros, railroad tracks, garbage dumps, riverbanks, 
shorelines, waterways, and in other public places such as
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sidewalks, roads, parks, and playgrounds[. The—loeal 
gevernmcnt unit, in coordination with the National Housing
Authority, shall provide]; AND,
"(2) PROVIDING relocation or resettlement sites 
with basic services and facilities and access to employment 
and livelihood opportunities sufficient to meet the basic 
needs of the affected [families] ISFs. FOR THIS 
PURPOSE, THE LGU MAY PURCHASE LANDS OUTSIDE 
ITS JURISDICTION TAKING INTO CONSIDERATION 
ITS FEASIBILITY, VIABILITY, BUDGETARY 
CONCERNS, ZONING ORDINANCES, AND OTHER 
RELEVANT LAWS.
"WHERE THE LAND OCCUPIED BY THE ISFs IS 
PRIVATELY-OWNED, THE LGU SHALL, IN 
COORDINATION WITH THE APPROPRIATE KEY 
SHELTER AGENCIES, NEGOTIATE WITH THE OWNER 
FOR THE PURCHASE OF THE OCCUPIED PROPERTY. 
SHOULD THE NEGOTIATION FAIL, THE LGU MAY 
RESORT TO EXPROPRIATION: PROVIDED, THAT ITS 
EXERCISE SHOULD BE IN ACCORDANCE WITH THE 
EPROPRIATION LAWS, RULES, REGULATIONS, AND 
PROCEDURES AND IN CONFORMITY TO EXISTING 
PROGRAMS, AND POLICIES OF THE NATIONAL 
GOVERNMENT AND LGUs TAKING INTO 
CONSIDERATION ITS FEASIBILITY, VIABILITY, 
BUDGETARY CONCERNS, ZONING ORDINANCES, AND 
OTHER RELEVANT LAWS.
"IN INSTANCES WHEN THE RELOCATION OR 
RESETTLEMENT SITE IS LOCATED IN ANOTHER LGU, 
THE IMPLEMENTING LGU AND THE CONCERNED 
NATIONAL GOVERNMENT AGENCIES SHALL, 
THROUGH A MEMORANDUM OF AGREEMENT,
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PROVIDE THE RECEIVING LGU WHERE THE
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RELOCATION OR RESETTLEMENT SITE IS LOCATED
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THE OTHER BASIC SERVICES AND FACILITIES
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ENUMERATED UNDER SECTION 21 OF THIS ACT,
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INCLUDING A LIVELIHOOD COMPONENT FOR THE
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BENEFICIAIRES BEING RELOCATED.
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"THE DHSUD AND THE DEPARTMENT OF
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FINANCE - BUREAU OF LOCAL GOVERNMENT
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FINANCE SHALL FORMULATE THE IMPLEMENTING
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RULES AND REGULATIONS ON THE COST-SHARING
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MECHANISM NECESSARY TO FULLY IMPLEMENT THE
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PROVISION OF SUCH OTHER BASIC SERVICES AND
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FACILITIES.
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"IN ADDITION TO THE FUNDING SOURCES
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PROVIDED UNDER SECTION 42 OF THIS ACT, THE
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ALLOCATION FOR THE BASIC SERVICES AND
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FACILITIES MAY BE SOURCED BY THE LGU
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IMPLEMENTING THE RELOCATION OR
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RESETTLEMENT FROM THE TWENTY PERCENT (20%)
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OF THE INTERNAL REVENUE ALLOTMENT
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APPROPRIATED FOR DEVELOPMENT PROJECTS AS
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MANDATED UNDER SECTION 287 OF REPUBLIC ACT
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NO. 7160, OTHERWISE KNOWN AS THE 'LOCAL
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GOVERNMENT CODE OF 1991'."
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Sec. 6. Implementing Rules and Regulations. - The DHSUD and Department
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of Interior and Local Government, in consultation with appropriate government
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agencies, CSOs, NGOs, representatives from the private sector, and ISFs, shall
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promulgate a new set of implementing rules and regulations (IRR) within sixty (60)
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days from the effectivity of this Act. The IRR shall include the following:
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(a) A template of a People's Plan that shall set the minimum standards and
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guide ISFs in the preparation of their own People's Plan; and
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1 
(b) A guide to the effective implementation of the People's Plan, including
2 
details on the necessity of the issuance of internal memoranda by
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concerned agencies.
4 
Sec. 7. Separability Clause. - If any provision, section, or part of this Act
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shall be declared unconstitutional or invalid, such judgement shall not affect,
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invalidate, or impair any other provisions, sections, or parts hereof.
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Sec. 8. Repealing Clause. - All laws, acts, decrees, executive orders,
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issuances, and rules and regulations or parts thereof which are contrary to and
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inconsistent with this Act are hereby repealed, amended or modified accordingly.
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Sec. 9. Effectivity. - This Act shall take effect after fifteen (15) days following
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its publication in the OfRcia! Gazette or in at least two (2) national newspapers or
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general circulation.
Approved,
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