House Passes Bill to Expand Land and Funding Opportunities for Socialized Housing

Manila: Voting 205 against three and zero abstentions, the House of Representatives on Wednesday approved on third and final reading House Bill (HB) 9697, which expands the land, financing, and partnership options available for socialized housing projects. In a statement, House Majority Leader Ferdinand Alexander 'Sandro' Marcos of Ilocos Norte said the measure seeks to improve the delivery of socialized housing programs by amending Sections 10, 18, and 20 of Republic Act (RA) 7279, or the Urban Development and Housing Act of 1992, as amended by RA 10884, or the Balanced Housing Development Program Amendments.

According to Philippines News Agency, the measure would help the government turn more idle, foreclosed, and underused properties into secure communities for Filipinos who need housing the most. 'President Ferdinand 'Bongbong' R. Marcos Jr. has made housing a central part of his development agenda, and Speaker Bojie Dy III has ensured that the House responds with legislation that can actually move projects from paper to construction. HB 9697 gives government and the private sector more workable routes to provide ordinary families with safe, dignified, and affordable homes,' Marcos said.

HB 9697 expands the methods for acquiring land and creating housing projects to include community mortgages, land swapping, land consolidation, land banking, donations, joint ventures, negotiated purchases, direct purchases, and unsolicited proposals under the Public-Private Partnership Code. Government-owned and foreclosed properties may be acquired by local governments, the Department of Human Settlements and Urban Development, and national housing agencies primarily through negotiated purchase.

Properties forfeited because of unpaid real property taxes would be prioritized for socialized housing, while qualified beneficiaries already occupying the land would receive the right of first refusal. Subdivision developers would be required to provide socialized housing equivalent to at least 15 percent of the total project area or project cost, while condominium and vertical housing developers would comply at a rate of at least 5 percent.

Developers may satisfy the requirement through new settlements, joint ventures, community mortgage projects or payments dedicated to housing programs in the city or municipality where the private project is located. The resulting housing projects would prioritize informal settler families, underprivileged and homeless citizens and residents displaced by major infrastructure projects.

Local governments would receive a two-year exclusive period to use payments made by developers for their own socialized housing programs, subject to extensions during disasters, calamities, and other extraordinary circumstances. HB 9697 also provides for one-stop shops, simplified accreditation, and the issuance of complete permits, licenses, and clearances within 90 days, while extending qualified tax incentives to participating socialized housing projects.

'Under the leadership of President Marcos and Speaker Dy, we are making housing policy more responsive to the realities faced by our communities. Hindi sapat ang housing target kung mabagal ang permits, kulang ang lupa, at walang malinaw na paraan para magtulungan ang national government, LGUs at private developers (Housing targets are not enough if the issuance of permits is slow, land is scarce, and there is no clear policy for cooperation among the national government, local government units, and private developers),' Marcos said.

The measure increases penalties for violations, directs collected fines to socialized housing in the affected locality, and requires the DHSUD to issue implementing rules within 90 days and submit an evaluation and accomplishment report to Congress every two years.