ADAMSON UNIVERSITY

COLLEGE OF ARCHITECTURE

Submitted by:
201011158
Submitted to:
Professor

Presidential Decree No. 957 otherwise known as Subdivision and Condominium

Buyers Protective Decree was initiated by the late President Ferdinand Marcos on July
12, 1976 and applied with the latest revised implementing rules and regulations in 2009.
The primary purpose of this decree is to protect the buyers of condominium
projects and subdivision developments against misrepresentations and fraudulent
activities of developers, sellers and operators.
Nowadays, real estate competition among developers, agents and operators is
becoming more stiff. Some of these people would do anything just to close the deal with
their clients. And the idea of doing just anything to close the deal is a double edged
sword.
To do anything good to benefit both parties (the client and the seller) is whats ideal
and just. However, what if only one party benefits more in the transaction? In this case, it
is usually the seller.
This happens when sellers (property developers, operators, brokers and
salespersons) over-promise something to clients but under-deliver, deceive the client by
fraudulent presentation or by simply feeding the client with information which are not true,
incomplete or incomprehensive.
There were (and still are) numerous complaints against these unscrupulous
activities of property developers, operators, brokers and salespersons reported to
different government agencies such as the Housing and Land Use Regulatory Board
(HLURB) and National Housing Authority (NHA).

An act authorizing the ministry of human settlements to establish and promulgate

different levels of standards and technical requirements for economic and socialized
housing projects in urban and rural areas from those provided under Presidential Decrees
Numbered Nine Hundred fifty-seven, Twelve hundred sixteen, Ten hunderd ninety-six
and Eleven hundred eighty-five.

MALACAANG
Manila
PRESIDENTIAL DECREE No. 737
EXTENDING THE EFFECTIVITY OF THE PRICE CONTROL LAW TO JUNE 30, 1977
WHEREAS, Section 11 of Republic Act No. 6361, otherwise known as the Price
Control Law, as amended by Presidential Decree No. 234, provides that this law shall
expire on June 30, 1975; and
WHEREAS, there is an urgent need to extend the effectivity of the law in line with
the policy to prevent monopoly, hoarding, injurious speculation, manipulation and
profiteering with respect to the supply, distribution and marketing of prime commodities;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution and pursuant to the economic
and social development programs of the Government, do hereby extend the effectivity of
Republic Act No. 6361, otherwise known as the Price Control Law, up to June 30, 1977.
Any provision of law, executive order or regulation inconsistent herewith is hereby
repealed or modified accordingly.
This Decree is hereby made part of the law of the land and shall take effect
immediately.
Done in the City of Manila, this 30th day of June, in the year of Our Lord, nineteen
hundred and seventy-five.
(Sgd.) FERDINAND E. MARCOS
By the President:
(Sgd.) ALEJANDRO MELCHOR
Executive Secretary
Source: Malacaang Records Office

Defining "open space" in residential subdivisions and amending section 31 of

Presidential Decree No. 957 requiring subdivision owners to provide roads, alleys,
sidewalks and reserved open space for parks or recreational use.
Presidential Decree No. 1216, a law created during the time of President
Ferdinand Marcos, which mandated that all developers and owners of subdivisions and
commercial areas turn over 30 percent of the entire developed property to the city
government.
PD 1216 was an amendment of a previous law, PD 957, which gave the developers
an option to donate the roads and open spaces located within their developed property
to the local government.
Under PD 1216, the donation is now mandated and is no longer at the option of
the developer.

MALACAANG
Manila
PRESIDENTIAL DECREE No. 1216
DEFINING "OPEN SPACE" IN RESIDENTIAL SUBDIVISIONS AND AMENDING
SECTION 31 OF PRESIDENTIAL DECREE NO. 957 REQUIRING SUBDIVISION
OWNERS TO PROVIDE ROADS, ALLEYS, SIDEWALKS AND RESERVE OPEN
SPACE FOR PARKS OR RECREATIONAL USE
WHEREAS, there is a compelling need to create and maintain a healthy
environment in human settlements by providing open spaces, roads, alleys and sidewalks
as may be deemed suitable to enhance the quality of life of the residents therein;
WHEREAS, such open spaces, roads, alleys and sidewalks in residential
subdivision are for public use and are, therefore, beyond the commerce of men;
WHEREAS, pursuant to Presidential Decree No. 953 at least thirty percent (30%)
of the total area of a subdivision must be reserved, developed and maintained as open
space for parks and recreational areas, the cost of which will ultimately be borne by the
lot buyers which thereby increase the acquisition price of subdivision lots beyond the
reach of the common mass;
WHEREAS, thirty percent (30%) required open space can be reduced to a level
that will make the subdivision industry viable and the price of residential lots within the
means of the low income group and at the same time preserve the environmental and
ecological balance through rational control of land use and proper design of space and
facilities;
WHEREAS, pursuant to Presidential Decree No. 757, government efforts in
housing, including resources, functions and activities to maximize results have been
concentrated into one single agency, namely, the National Housing Authority;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution, do hereby order and decree:

Section 1. For purposes of this Decree, the term "open space" shall mean an area
reserved exclusively for parks, playgrounds, recreational uses, schools, roads, places of
worship, hospitals, health centers, barangay centers and other similar facilities and
amenities.
Section 2. Section 31 of Presidential Decree No. 957 is hereby amended to read
as follows:

"Sec. 31.
Roads, Alleys, Sidewalks and Open spaces. The owner as developer
of a subdivision shall provide adequate roads, alleys and sidewalks. For subdivision
projects one (1) hectare or more, the owner or developer shall reserve thirty percent
(30%) of the gross area for open space. such open space shall have the following
standards allocated exclusively for parks, playgrounds and recreational use:
(a) 9% of gross area for high density or social housing (66 to 100 family lot per gross
hectare).
(b) 7% of gross area for medium-density or economic housing (21 to 65 family lot per
gross hectare).
(c) 3.5 % of gross area low-density or open market housing (20 family lots and below per
gross hectare).
These areas reserved for parks, playgrounds and recreational use shall be nonalienable public lands, and non-buildable. The plans of the subdivision project shall
include tree planting on such parts of the subdivision as may be designated by the
Authority.
Upon their completion as certified to by the Authority, the roads, alleys, sidewalks
and playgrounds shall be donated by the owner or developer to the city or municipality
and it shall be mandatory for the local governments to accept provided, however, that the
parks and playgrounds may be donated to the Homeowners Association of the project
with the consent of the city or municipality concerned. No portion of the parks and
playgrounds donated thereafter shall be converted to any other purpose or purposes.
Section 3. Sections 2 and 5 of Presidential Decree No. 953 are hereby repealed
and other laws, decrees, executive orders, institutions, rules and regulations or parts
thereof inconsistent with these provisions are also repealed or amended accordingly.
Section 4. This Decree shall take effect immediately.

DONE in the City of Manila, this 14th day of October, in the year of Our Lord, nineteen
hundred and seventy-seven.

Squatting is a huge social and economic problem in the Philippines, more so

because squatters are protected by laws that make it difficult to remove them from
properties they infest. Presidential Decree 772 (PD 772) effected by former President
Ferdinand Marcos in 1975 made prosecuting squatting and other criminal acts relatively
easy.
And so, under Marcoss administration, thousands of squatters were successfully
evicted from land they illegally inhabited and jailed for their offense.
Unfortunately PD 772 was repealed when Republic Act No. 8368, the Anti Squatting Law Repeal Act of 1997 took effect. RA 8368 also authorized dismissal of all
pending cases that drew upon the provisions of the now repealed PD 772.
RA 7279 however explicitly excludes from the definition individuals or groups who
simply rent land and housing from professional squatters or squatting syndicates. These
laws, in effect, make the process of removing squatters from ones property a long and
convoluted one.
Unfortunately for the hapless landowner, the Philippines is a society that likes to
play the humanitarian card when it comes to squatters. Even the use of the word
squatter has for some time been routinely dropped in polite conversation in favour of
the euphemism informal settler. Indeed, human rights activists have been quick to side
with Duterte, in the process becoming apologists for a mayor who, in front of TV cameras,
launched into an unprovoked assault against Andres, an officer of the Judiciary who,
apparently, was just out to implement a court order. That, plus the convenient
downplaying of what was clearly criminal behaviour on the part of the informal settlers
affected by the demolition order who were throwing rocks and sharp objects at Andress
team and the police officers who were escorting them, is typical of a society where
impunity rules.
Bottom line is that the issue of evicting squatters from land they have no right to
inhabit will not have been muddled into idiotic debates that invoke humanitarian appeal
had laws on squatting and legal use of both public and private property been observed
from the very start. The problem with the way things are done in the Philippines is that
small misdemeanors get routinely tolerated. And then more and more of them get
tolerated until the pile of little misdemeanors gets bigger and bigger. We no longer see
the small misdemeanors but behold the big pile of impunity looming tall before us and
wonder, how this came to be.

MALACAANG
Manila

PRESIDENTIAL DECREE No. 772 August 20, 1975

PENALIZING SQUATTING AND OTHER SIMILAR ACTS
WHEREAS, it came to my knowledge that despite the issuance of Letter of
Instructions No. 19 dated October 2, 1972, directing the Secretaries of National Defense,
Public Works and Communications, Social Welfare and the Director of Public Works, the
PHHC General Manager, the Presidential Assistant on Housing and Rehabilitation
Agency, Governors, City and Municipal Mayors, and City and District Engineers, "to
remove all illegal constructions including buildings on and along esteros and river banks,
those along railroad tracks and those built without permits on public and private property,
"squatting is still a major problem in urban communities all over the country;
WHEREAS, many persons or entities found to have been unlawfully occupying
public and private lands belong to the affluent class;
WHEREAS, there is a need to further intensity the government's drive against this
illegal and nefarious practice;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution, do hereby decree and order:
Section 1. Any person who, with the use of force, intimidation or threat, or taking
advantage of the absence or tolerance of the landowner, succeeds in occupying or
possessing the property of the latter against his will for residential commercial or any
other purposes, shall be punished by an imprisonment ranging from six months to one
year or a fine of not less than one thousand nor more than five thousand pesos at the
discretion of the court, with subsidiary imprisonment in case of insolvency.
If the offender is a corporation or association, the maximum penalty of five years and the
fine of five thousand pesos shall be imposed upon the president, director, manager or
managing partners thereof.
Section 2. This decree shall take effect immediately.
Done in the City of Manila, this 20th day of August, in the year of Our Lord, nineteen
hundred and seventy-five.

Renamed the HSRC as the Housing and Land Use Regulatory Board (HLURB)
and was designated as the regulatory body for housing and land development under the
Housing and Urban Development Coordinating Council (HUDCC).
The Housing and Urban Development Coordinating Council (HUDCC) was created by
then President Corazon C. Aquino by virtue of Executive Order No. 90 dated 17
December 1986. The EO, which also abolished the Ministry of Human Settlements,
placed HUDCC under the direct supervision of the Office of the President to serve as the
highest policy making body for housing and coordinate the activities of the key housing
agencies to ensure the accomplishment of the Government Shelter Program.
On 25 May 1989 and May 28, 2001 , Executive Order No. 357 and Executive
Order No. 20 were issued respectively, to strengthen HUDCC into department level
organization by conferring it with the power to exercise overall administrative supervision
over the key housing agencies; set and ensure the attainment of targets and objectives
for the housing sector; review the organization, programs and projects of the key housing
agencies; decentralize its operations and enlist the assistance of the Department of
Budget and Management in securing continuing funding support to the National Shelter
program.
In 1992, the Urban Development and Housing Act (RA 7279) mandated the
HUDCC to direct the formulation of a National Urban Development and Housing
Framework in coordination with the Local Government Units and other public and private
sector agencies; design of a system for the registration qualified socialized housing
beneficiaries and inventory of land suitable for socialized housing; and provide, through
its attached housing agencies, the LGUs with support for the preparation of town and
land use plans, data for forward planning and investment programming, and assistance
in obtaining funds and other resources for housing and urban development.
From 1986 to present, there are several executive and legislative issuances
including the three laws mentioned above, that provide or authorize HUDCC with specific
functions and/or require it to undertake certain tasks related to housing and urban
development. These legal and legislative fiats assigned duties and responsibilities to
HUDCC that are related to its original mandate as the lead agency in housing and urban
development.

MALACAANG
Manila

EXECUTIVE ORDER NO. 90

December 17, 1986

IDENTIFYING THE GOVERNMENT AGENCIES ESSENTIAL FOR THE NATIONAL

SHELTER PROGRAM AND DEFINING THEIR MANDATES, CREATING THE
HOUSING AND URBAN DEVELOPMENT COORDINATING COUNCIL,
RATIONALIZING FUNDING SOURCES AND LENDING MECHANISMS FOR HOME
MORTGAGES AND FOR OTHER PURPOSES
WHEREAS, Government recognizes that shelter is a basic need for which low and
middle income families, particularly in urbanized areas, require assistance;
WHEREAS, Government has approved a six-year National Shelter Program which
aims at providing increased levels of such assistance on a nation-wide basis;
WHEREAS, there is a need to define the mandates of government agencies
involved in housing and to better coordinate and monitor their activities;
WHEREAS, there is also a need to establish a system that will provide the funds
required for long-term housing loans on continuous, self-sustaining basis;
WHEREAS, there is likewise a need to encourage private sector participation in
low-cost housing and finance;
NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, do
hereby order:
Title I
HOUSING AGENCIES AND MANDATES
Sec. 1. Key Agencies. To ensure the accomplishment of the National Shelter
Program, the following primary government housing agencies, any provision of existing
laws and their respective charters to contrary notwithstanding, are hereby mandated to:
a) National Housing Authority - The National Housing Authority shall be the sole
government agency engaged in direct shelter production. It shall focus its efforts in
providing housing, assistance to the lowest 30% of urban income-earners through slum
upgrading, squatter relocation, development of sites and services and construction of
core-housing units. In addition, it shall undertake programs for the improvement of
blighted urban areas and provide technical assistance for private developers undertaking

low-cost housing projects. Development of its existing properties for housing projects for
income-earners above the lowest 30% may be continued provided that funds generated
thereon are utilized for the attainment of its primary mandate.
b) National Home Mortgage Finance Corporation - The National Home Mortgage
Finance Corporation shall be the major government home mortgage institution. Its initial
main function is to operate a viable home mortgage market, utilizing long term funds
principally provided by the Social Security System, the Government Service Insurance
System and the Home Development Mutual Fund to purchase mortgages originated by
both private and public institutions that are within government approved guidelines. It also
charged with the development of a system that will attract private institutional funds into
long-term housing mortgages.
c) Human Settlements Regulatory Commission - The Human Settlements Regulatory
Commission; renamed as the Housing and Land Use Regulatory Board, shall be the sole
regulatory body for housing and land development. It is charged with encouraging greater
private sector participation in low-cost housing through liberalization of development
standards, simplification of regulations and decentralization of approvals for permits and
licenses.
d) Home Financing Corporation - The Home Financing Corporation, renamed as the
Home Insurance and Guaranty Corporation, shall assist private developers to undertake
low and middle income mass housing production and encourage private institutional
funds and commercial lenders to finance such housing development and long-term
mortgages through a viable system of guarantees, loan insurance and other incentives.
Sec. 2. Support Agencies. To ensure that the funds required for long-term
housing loans are available on a continuous and self-sustaining basis, the following
support agencies, any provision of existing laws and their respective charters to the
contrary notwithstanding, are hereby mandated to:
a) Home Development Mutual Fund- The Home Development Mutual Fund will continue
to administer provident fund contributions collected from member employees and
employers, utilizing funds not required for provident benefits for housing loans for
members, and, in addition, will be charged with the development of saving schemes for
home acquisition by private and government employees.
b) Social Security System - The Social Security System shall be the primary provider of
funds long-term housing mortgages for low and middle-income private sector employees.
c) Government Service Insurance System - The Government Service Insurance
System shall be the primary provider of funds for long-term housing mortgages for low
and middle-income government employees.

Title II
THE HOUSING AND URBAN DEVELOPMENT COORDINATING COUNCIL
Sec. 3. Creation; Main Function; Principal Office. There is hereby created a
Housing and Urban Development Coordinating Council, hereinafter referred to as the
Council, under the immediate control and supervision of the President of the Philippines,
charged with the main function of coordinating the activities of the government housing
agencies to ensure the accomplishment of the National Shelter Program. The Council
shall have its principal office in Metropolitan Manila.
Sec. 4. Composition. The Council shall be composed of the following:
a. A Chairman, who shall be appointed by the President of the Philippines;
b. The Head of the primary government agencies and the support agencies for funding
for housing enumerated above;
c. One representative each from the National Economic and Development Authority, the
Ministry of Finance, the Ministry of Budget and Management, the Ministry of Public Works
and Highways and the Development Bank of the Philippines; and
d. Two representatives from the private sector to be selected by the Council.
Sec. 5. Powers and Functions of the Council. The Council shall have the
following powers and functions:
a. To formulate national objectives for housing and urban development and to design
broad strategies for the accomplishment of these objectives;
b. To determine the participation and coordinate the activities of the key government
housing agencies in the national housing program;
c. To monitor, review and evaluate the effective exercise by these agencies of their
assigned functions;
d. To assist in the maximum participation of the private sector in all aspects of housing
and urban developments;
e. To recommend new legislation and amendments to existing laws as may be necessary
for the attainment of government's objectives in housing;
f. To formulate the basic policies, guidelines and implementing mechanisms for the
disposal or development of acquired or existing assets of the key housing agencies which
are not required for the accomplishment of their basic mandates;

g. To exercise or perform such other powers and functions as may be deemed necessary,
proper or incidental to the attainment of its purpose and objectives.
Sec. 6. Powers and Functions of the Chairman. The Chairman of the Council
shall serve as ex officio Chairman of the governing Boards of the key housing agencies.
To assist him in the fulfillment of his duties, the Chairman is hereby authorized to create
a Council Secretariat with a staff of qualified personnel.
Sec. 7. Council Secretariat. The Secretariat shall be headed by a SecretaryGeneral to be appointed by the Chairman of the Council. The Secretary-General shall be
an ex officio member of the Council and shall be responsible for the execution and
administration of its approved policies and measures.
Sec. 8. Appropriations. To cover initially the expenses of the Council and the
Secretariat, the unappropriated funds of the Ministry of Human Settlements for the Shelter
Secretariat shall be utilized together with proportionate contributions of the key
government housing agencies which is set at TEN MILLION PESOS (P10,000.00).
Thereafter, the necessary funds shall be appropriated every Fiscal Year in the General
Appropriations Act.
Title III
RATIONALIZING THE FUNDING SOURCES AND LENDING MECHANISM FOR
HOME MORTGAGES
Sec. 9. Funding Sources. To enable the Social Security System, the Government
Service Insurance System and the Home Development Mutual Fund to provide improved
benefits to their members and to generate the necessary long-term funds for housing, a
rationalization of all employer and employee contributions for all social insurance and
provident fund benefits is hereby directed to include the following:
a. Raising the Social Security System maximum compensation, inclusive of the Cost
of Living Allowances, as a basis for contributions from P1,000.00 to P3,000.00
b. Making contributions to the Home Development Mutual Fund voluntary on the
parts of both employees and employers;
c. Instituting a single mandatory contribution rate for employees and employers for
all social insurance programs.
Sec. 10. Home Development Mutual Fund as Voluntary Fund. In the
implementation of the above rationalization program, the following shall govern the
operations of the Home Development Mutual Fund:

a. All existing contributions together with their accumulated earnings shall be retained
in the Home Development Mutual Fund until their maturity in accordance with
existing rules and regulations.
b. Membership in the funds for new private and government employees and their
respective employees shall be voluntary after December 31, 1986.
c. After December 31, 1986, existing members, both employees and employers, shall
have the option to continue or discontinue new Fund contributions.
d. To encourage provident fund savings for home acquisition, all government
instrumentalities, agencies and corporations shall match the voluntary
contributions made by government employees in accordance with existing ratios.
Private employers are urged to match the contributions of their employees who opt
to continue their membership in the Fund.
Sec. 11. Implementing Rules. The Presidential Commission on Government
Reorganization (PCGR) is hereby instructed to draft implementing rules for the
rationalization of the Home Mortgage Financing System and for the new Home
Development Mutual Fund guidelines to take effect on January 1, 1987. The National
Economic and Development Authority is hereby instructed to coordinate the drafting of
the implementing rules for the rationalization of all social insurance programs to take
effect not later than March 31, 1987.
Sec. 12. Home Mortgage Financing Corporation. Complementary to the
rationalization of the Funding Sources as above provided, an integrated home mortgage
financing system is hereby adopted with the following features:
a) Landing Guidelines Amounts financed, interest rates, and terms on home
mortgages to be purchased by the National Home Mortgage Finance Corporation
shall be determined by the Council on recommendation by its technical staff which
shall include representatives of the funding institutions.
b) Allocation of Fund Contributions For 1987, the total amount to be made available
for long term mortgages under the National Shelter Program will be P4.2 billion.
The Social Security System, the Government Service Insurance System, and the
Home Development Mutual Fund will contribute a total of P3.4 Billion, to be
allocated by the National Economic and Development Authority among the
agencies in an equitable manner. The National Government shall contribute the
balance of funds required. Thereafter, each institution, on recommendation of the
Council, shall set a fixed percentage of their annual investible funds for long-term
home mortgages. These funds shall be made available to the National Home
Mortgage Finance Corporation under terms which ensure their repayment.

c) Lending rates Chargeable to the National Home Mortgage Finance Corporation

Funds shall be used by the National Home Mortgage Finance Corporation
principally to extend mortgage loans for the members of the funding agencies. For
this, the agencies will charge the National Home Mortgage Finance Corporation
annual interest equivalent to the average interest rate charged to members under
terms approved by the council less a reasonable spread to cover the National
Home Mortgage Finance Corporation's administration costs as well as adequate
provisions for loans losses. The funding agencies may also make direct loans or
purchase securities from the National House Mortgage Finance Corporation. In
this event, interest rates and terms shall be as agreed between the National Home
Mortgage Finance Corporation and the funding Institution.
Sec. 13. Interim Arrangement. A phasing-in process for the implementation of
the Home Mortgage Financing System as above provided shall be determined and
implemented by the Council over a period not to exceed six months. In the interim, the
Social Security System, the Government Security Insurance System and the Home
Development Mutual Fund shall continue with their home mortgage lending activities
provided that the beneficiaries, lending packages, rates, terms and procedures shall be
made uniform and in accord with the National Shelter Program not later than December
31, 1986. Such loans shall be considered as partial compliance with each agency's
funding commitments for the year.
Title IV
OTHER PROVISIONS
Sec. 14. Special Provisions. To further assist the housing agencies in the
fulfillment of their primary objectives, the following are directed to be undertaken:
a. The Metropolitan Waterworks and Sewerage System, within its area of jurisdiction,
shall immediately take over water and sewerage systems completed by the
National Housing Authority.
b. The direct housing development activities of the Human Settlement Development
Corporation's housing and construction materials subsidiaries as well as the Land
Investment Trust administered by the Home Financing Corporation shall be
phased out within a period of three (3) years from the effectivity of this Executive
Order. All concerned agencies shall, not later than March 31, 1987, submit to the
Council their respective phasing-out programs. Whatever net proceeds realized
therefrom shall be turned over to the National Government.
c. The Social Security System and the Government Service Insurance System shall
be allowed to engage in bridge development financing of low and middle income
mass housing projects; The National Home Mortgage Finance Corporation shall
be recapitalized so that its unimpaired capital after realistic provisions for losses
amounts to P500 million.

d. The Home Financing Corporation shall be recapitalized to enable it to fulfill

objectives.
Sec. 15. Separability. The provisions of this Executive Order are declared to be
separable and if any provision or the application thereof is held invalid or unconstitutional,
the validity of other provisions shall not be affected.
Sec. 16. Repealing Clause. All laws, orders, issuances, corporate charters, rules
and regulations or parts thereof inconsistent with this Executive Order are hereby
repealed or modified accordingly.
Sec. 17. Effectivity. This Executive Order shall take effect immediately.
lawphi1.net
Done in the City of Manila, this 17th day of December, in the year of Our Lord,
nineteen hundred eighty-six.

In the Philippines, the Lina Law, otherwise known as Republic Act No. 7279 or the
Urban Development Housing Act of 1992 (UDHA), provides that certain lands owned by
the government may be disposed of or utilized for socialized housing purposes. It was
signed into law to address the housing shortage of the country.
It was considered a landmark legislation and was filed by Senator Jose "Joey" D.
Lina, Jr. who was the youngest member of the Philippines Senate from 1987 to 1992. The
Act lays down the groundwork for a comprehensive and continuing urban development
and housing program. It addresses the right to housing of the homeless and
underprivileged Filipino people. This law seeks to provide social housing to the
marginalized sector by addressing their access to land and housing, relocation,
demolitions, and promoting private sector participation in housing.
The law also mandates local government units to provide shelter to qualified
beneficiaries and to undertake measures to curtail the activities of professional squatters
and squatting syndicates. In addition, the Act also mandates the formulation of a National
Urban Development and Housing Framework to guide policymakers in the determination
of areas for urbanization and development of concomitant programs to address the
urbanization problems.
The Department of Interior and Local Government (DILG) and the Housing and
Urban Development Coordinating Council (HUDCC) developed the Implementing Rules
and Regulations (IRR) of the UDHA to ensure the observance of proper and humane
relocation and resettlement procedures mandated by the UDHA of 1992.

Objectives of the Law

Uplift conditions of underprivileged and homeless citizens in urban and
resettlement areas through decent housing at affordable cost, basic services and
employment opportunities
Provide rational use and development of urban lands as a means of ensuring
Equitable utilization of residential lands in urban areas, focusing on the needs and
requirements of underprivileged and homeless citizens and not simply on market forces;
Optimization of the use and productivity of land and urban resources;
Development of urban areas conducive to commercial and industrial activities
which can generate more economic opportunities for the people;
Reduction in urban dysfunctions, particularly those that adversely affect public
health, safety and ecology; and
Access to land and housing by the underprivileged and homeless citizens.

Supports Decentralization
Local government units are implementers of social housing programs. LGUs are
expected to be more responsive to the hosing needs of their Communities.

Moratorium on Eviction of Program Beneficiaries

Provides for a moratorium on the eviction of all program beneficiaries and the
demolition of their dwellings for a period of three years from the effectivity of the law.

National Urban and Housing Development Framework, 1993 1998

The Vision

Better quality of life for residents of cities/urban centers

Cities/urban centers as economic hubs and major contributors to national
productivity and industrialization
Cities and urban communities are socially and environmentally healthy places
Cities and urban communities as centers for productive and income generating
activities
Cities that house and deliver basic social services to its citizens, particularly the
poor
Cities/urban centers promote political democratization through greater people
participation in decision-making

Urban governments are capable and competent to address urban issues and
concerns

Basic Principles and Considerations

In over-all national development, urban development shall reinforce and

complement rural development

Urban growth and development to complement natural and man-made investment

Level of future growth to be sufficient in quantity, quality, and distribution to provide

opportunities (employment, housing, services, etc.) for all citizens

Cities/urban centers are valuable resources to be supported and their welfare are
linked to the countrys welfare

Urban resources will be developed to achieve multiple uses.

Land use and growth decisions are principally a local prerogative, supported by
higher levels of government

People, private sector and other institutions shall play a primary role in building the
nations cities. Principle of popular initiative and self-help shall b pursued with
government as enabler and facilitator.

Harmonious relationships between the city/urban center and its environment, rural
surroundings, and urban growth shall be assured

Enhanced urban life should allow enhanced individual welfare

Preservation and continued production of prime agricultural land shall be

paramount

How was RA7279 Received?

It was viewed as the crowning achievement of the struggles of urban poor

organizations, civic groups, non-governmental organizations and church groups.

Consultative processes in drafting the law participated in by: a) representatives of

non-governmental organizations and peoples organizations, b) National Housing
Authority (NHA), c) Presidential Commission for the Urban Poor (PCUP),
d)Department of Interior and Local Government (DILG)

It was noted that local government officials were not active participants in this
process.

MALACAANG
Manila
PRESIDENTIAL DECREE No. 757 July 31, 1975
CREATING THE NATIONAL HOUSING AUTHORITY AND DISSOLVING THE
EXISTING HOUSING AGENCIES, DEFINING ITS POWERS AND FUNCTIONS,
PROVIDING FUNDS THEREFOR, AND FOR OTHER PURPOSES
WHEREAS, the magnitude of the housing problem of the country has grown into
such proportions that only a purposeful, determined, organized mass housing
development program can meet the needs of Filipino families for decent dwellings;
WHEREAS, recognizing the urgency of this problem the new Constitution of the
Philippines has provided in Article II, Section 7 that the "State shall establish, maintain,
and ensure adequate social services in the field of . . . housing . . . to guarantee the
enjoyment of the people of a decent standard living;
WHEREAS, the attainment of this objective is highly dependent on the
conservation and rationalization of urban land use as the instrument of urban land reform
as well as on our ability to regulate housing financing and construction costs to bring
housing within the reach of the greater number of our people;
WHEREAS, government efforts in housing are now proliferated among various
agencies and there is an urgent need to concentrate such efforts, resources, functions
and activities in a national housing agency to maximize results;
WHEREAS, the effective implementation of housing programs will require the
widest participation of the private sector in terms of capital expenditures, land, expertise,
and other resources related to housing construction and land development;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers in me by the Constitution do hereby order and decree, as part of
the law of the land, the following:

Section 1. Housing Program. Pursuant to the mandate of the New Constitution,

there shall be developed a comprehensive and integrated housing program which shall
embrace, among others, housing development and resettlement, sources and schemes
of financing, and delineation of government and private sector participation. The program
shall specify the priorities and targets in accordance with the integrated national human
settlements plan prepared by the Human Settlements Commission.
In the preparation of said program, the following factors shall be considered:
(a) The management of urban development to promote the economic and social well
being and physical mobility of the people, and facilitate industrial growth and dispersal;
(b) The conservation of land for housing development as well as the regulation of land
use to achieve optimum utilization patterns;
(c) The organization of public private resources into financial intermediaries to meet the
demand for housing, including provisions for incentives and facilities to broaden the
private sector participation in housing investments; and
(d) The extensive use of building systems, which shall maximize the use of indigenous
materials and reduce building costs without sacrificing sound engineering and
environmental standards.
Section 2. Creation of the National Housing Authority. There is hereby created a
government corporation to be known as the National Housing Authority, hereinafter
referred to as the "Authority", to develop and implement the housing program abovementioned. The Authority shall have its principal office in the Greater Manila area but may
have such branch offices, agencies, or subsidiaries in other areas as it may deem proper
and necessary. The Authority shall be under the Office of the President and shall exist for
fifty (50) years but may be extended.
Section 3. Progress and Objectives. The Authority shall have the following
purposes and objectives:
(a) To provide and maintain adequate housing for the greatest possible number of people;
(b) To undertake housing, development, resettlement or other activities as would enhance
the provision of housing to every Filipino;
(c) To harness and promote private participation in housing ventures in terms of capital
expenditures, land, expertise, financing and other facilities for the sustained growth of the
housing industry.

Section 4. Capitalization. The Authority shall have an authorized capital of five

hundred million pesos which shall be fully subscribed by the Republic of the Philippines
and paid as follows:
(a) The sum of fifty million pesos upon the approval of this Decree which is hereby
appropriated out of the funds in the National Treasury not otherwise appropriated, five
million pesos of which shall be released upon the organization of the Authority and the
balances as and when needed;
(b) The sum of fifty million pesos for every subsequent fiscal year for a period of nine
years which must be included in the general appropriations act: Provided, That the assets
and balances of appropriations transferred to the Authority pursuant to the provisi ons of
Section 5, hereof, shall not be included in determining the capital of the Authori ty as
provided in this Section.
Section 5. Dissolution of Existing Housing Agencies. The People's Homesite and
Housing Corporation (PHHC), the Presidential Assistant on Housing Resettlement
Agency (PAHRA), the Tondo Foreshore Development Authority (TFDA), the Central
Institute for the Training and Relocation of Urban Squatters (CITRUS), the Presidential
Committee for Housing and Urban Resettlement (PRECHUR), Sapang Palay
Development Committee, Inter-Agency Task Force to Undertake the Relocation of
Families in Barrio Nabacaan, Villanueva, Misamis Oriental and all other existing
government housing and resettlement agencies, task forces and ad-hoc committees, are
hereby dissolved. Their powers and functions, balance of appropriations, records, assets,
rights, and choses in action, are transferred to, vested in, and assumed by the Authority:
Provided, That an inventory and evaluation of the properties, equipment, assets, rights,
choses in action, obligations and liabilities of the herein dissolved agencies shall be made
by the Commission on Audit: Provided, Further, That all urban estates acquired by the
Government, the Department of Agrarian Reform and the People's Homesite and
Housing Corporation shall be transferred to the Authority which shall administer, develop
and dispose such estates including the collection of accounts receivables therein,
payment of liabilities thereon and the enforcement of choses in action pertaining to the
same; Provided, Finally, That the transfers contemplated therein shall be on an estateto-estate basis after the corresponding liquidation of such estate have been accomplished
by the agency concerned in accordance with existing auditing and accounting rules and
regulations.
The qualified and necessary personnel of the dissolved agencies may be
transferred to and be absorbed by the Authority: Provided, That the Board of Directors of
the Authority hereinafter provided, shall make personnel movement on the basis of merit
and fitness in accordance with comprehensive and progressive merit system to be
established by the Authority upon its organization.

The Authority, through its Board, shall effect the transfer herein provided in a manner that
will insure the least disruption of on-going programs and projects: Provided, That in the
period prior to the actual assumption of duties by the Board and its functioning as such,
all officers and employees of the abolished agencies shall continue to exercise all their
functions and discharge all their duties and responsibilities until ordered otherwise by the
Board of the Authority.
The financial liabilities or obligations of the dissolved agencies shall be assumed
by the National Government and, for the payment of such liabilities or obligations, bonds
or securities may be issued by the government in such amounts sufficient to cover said
liabilities or obligations, the proceeds of which are hereby appropriated for the purpose.
Alternatively, said liabilities or obligations may be paid by direct appropriation which is
hereby authorized in such amount as may be determined by the Commission on Audit.