Republic of the Philippines
House of Representatives
Quezon City, Metro Manila

19 Congress
First Regular Session
House Bill No. 2842

Introduced by Representative Salvador A. Pleyto, Sr.

An Act to Rehabilitate and Upgrade Existing Resettlement Areas, Providing
Employment Opportunities for and Uplifting the Living Conditions of the
Residents, Providing Funds Therefore, Amending for the Purpose Republic
Act No. 7835, and For Other Purposes.

EXPLANATORY NOTE

Housing, especially for millions of underprivileged and homeless citizens, continues
to be a major problem that government must urgently address. It is mandated under
Sections 9 under Article 13 on Social Justice and Human Rights of the 1987

Constitution, particularly on Urban Land Reform and Housing, as follows:

“Section 9. The State shall, by law, and for the common
good, undertake, in cooperation with the private 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. It shall also promote adequate employment



opportunities to such citizens. In the implementation of such
program the State shail respect the rights of small property owners.

RA 7279, otherwise known as the “Urban Development and Housing Act of 1992”,
implements the foregoing constitutional state policy.

In the aspect resettlement of underprivileged and homeless citizens, however, the
law has been found to be inadequate. Complaints about lack of intermittent water
supply, electricity, internet, poor or no health facilities, no job opportunities.
continue to be experienced in the various resettlement areas all over the country. All
these fall short of the constitutional requirement of basic services and adequate
employment opportunities for those informal settlers transferred to resettlement
areas.

In a nutshell, this proposed bill aims to establish a National Resettlement
Rehabilitation Fund of P1 billion pesos for five years to be included in the General
Appropriations Act starting year 2023 where funds can be drawn from for the
rehabilitation and upgrading of resettlement areas.

The bill also seeks to encourage local governments to create Special Economic
Zones near the resettlement areas so that jobs become accessible to the relocatees
who lost their jobs when they were resettled.

In view of the foregoing considerations, approval of this bill is earnestly requested.

Salvador A hievt, Sr.

C-



Republic of the Philippines
House of Representatives
Quezon City, Metro Manila

19th Congress
First Regular Session.
House Bill No. _¢

Introduced by Representative Salvador A. Pleyto, Sr.

An Act to Rehabilitate and Upgrade Existing Resettlement Areas, Providing
Employment Opportunities for and Uplifting the Living Conditions of the
Residents, Providing Funds Therefore, Amending for the Purpose Republic
Act No. 7835, and For Other Purposes.

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

Section 1: Short Title. — This Act shall be known as the “Rehabilitation of
Resettlement Areas Act of 2022.”

Section 2: Declaration of Policy. — The State shall, by law, and for the common
good, undertake in cooperation with the private 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, It shall also promote adequate employment
opportunities to such citizens.


Section 3: Definition of Terms. ~ As used in this Act:

(a) “Resettlement Areas” are those which were used to resettle informal
settlers as of December 31, 2021 coming or originating from other local
government units undertaken by the National Housing Authority, with or
without the assistance of the originating or the receiving local
government unit.

(b) National Housing Authority (NHA) created under P.D. 757 which serves
as the national government’s agency that handles resettlement of
informal settlers.

(c) Originating local government unit ~ the local government where the
informal settlers came from or transferred from.

(d)Receiving local government unit — the local government unit where the
informal settlers were transferred to.

(c) Comprehensive and Integrated Shelter and Urban Development
Financing Program (CISPA) under Republic Act No. 7835.

Section 4; Resettlement Rehabilitation Fund. The local government unit where a
resettlement area is located may apply for financial grant from a Resettlement
Rehabilitation Fund (RRF) that is hereby created with a yearly budgetary
allocation of 1 billion pesos (PHP 1,000,000,000) a year for five years starting
2023, to be administered and managed by the NHA.

‘The financial grant shall be for the rehabilitation and upgrading of the resettlement
areas.
A rehabilitation program for the resettlement area may include:

(a) road widening and improvement, construction of drainage and flood
control
(b)construction and installation of water and electrical system


(c) installation or upgrading of internet connections
(d)other additional basic services or improvement of existing ones

Section 5: The application for financial grant from the RRF shall be filed with the
NHA which shall evaluate and determine whether the proposed rehabilitation and
upgrading of the particular resettlement area is necessary and justified. The NHA_
shall, if warranted, recommend approval of the application with the Department of
Human Settlement and Urban Development (DHSUD). The DHSUD shall then
issue an order to NHA to release the financial grant to the LGU concerned.

The NHA shall implement the rehabilitation program and issue the terms and
conditions on the release of the financial grant.

Section 6: In the event that the RRF is insufficient, the DHSUD shall include the
additional funding in its budget proposal on rehabilitation and upgrading of
resettlement areas to the Office of the President.

Section 7: Establishment of Special Economic Zones. To create job opportunities
for residents of resettlement areas, the local government shall initiate the
establishment of special economic zone within 10 kilometer radius or nearer from
the resettlement areas in accordance with the provisions of Republic Act No. 7916,
the law creating the Philippine Economic Zone Authority (PEZA). The special
economic zone can either be initiated, organized and managed by the local
government alone or in partnership with the private sector.

Section 8: Section 4 (a) of Republic Act No. 7835 is hereby amended to read as.
follows:

“This program shall involve rehabilitation and upgrading of resettlement areas
undertaken by the National Housing Authority, as of December 31, 2021, and land
acquisition and site development by the National Housing Authority to generate


serviced homelots for families displaced from sites earmarked for government
infrastructure projects, those occupying danger areas such as water ways, esteros,
railroad tracks and those qualified for relocation and resettlement assistance under
Republic Act No. 7279. To sustain this program, the NHA shall engage in land
banking activities to ensure availability of land.”

Section 9: Separability Clause - If for any reason, any part or section of this Act
shall be declared unconstitutional or invalid, other sections or provisions hereof
which are not affected thereby shall continue to be in full force and effect.

Section 10: Effectivity Clause - This Act shall take effect upon completion of its
publication in at least two (2) national newspapers of general circulation.

Approved.