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 July 26, 1989




Prefatory Statement

          To hasten the implementation of the Comprehensive Agrarian Reform Program, compulsory acquisition shall be the priority mode of land acquisition.


Operating Procedures

          A.        The Municipal Agrarian Reform Officer with the assistance of the pertinent Barangay Agrarian Reform Committee (BARC) shall:

1.         Update the masterlist of all agricultural lands covered under the CARP in his area of responsibility. The masterlist shall include such information as required under the attached CARP Masterlist Form which shall include the name of the landowner, landholding, area, TCT/OCT number, and tax declaration number.

2.         Prepare a Compulsory Acquisition Case Folder (CACF) for each title (OCT/TCT) or landholding covered under Phase I and II of the CARP except those for which the landowners have already filed applications to avail of other modes of land acquisition. A cast folder shall contain the following duly accomplished forms:

a.         CARP CA Form 1 — MARO Investigation Report

b.         CARP CA Form 2 — Summary Investigation Report of Findings and Evaluation

c.         CARP CA Form 3 — Applicant s Information Sheet

d.         CARP CA Form 4 — Beneficiaries Undertaking

e.         CARP CA Form 5 — Transmittal Report to the PARO

The MARO/BARC shall certify that all information contained in the above mentioned forms have been examined and verified by him and that the same are true and correct.

3.         Send a Notice of Coverage and a letter of invitation to a conference/meeting to the landowner covered by the Compulsory Acquisition Case Folder. Invitations to the said conference/meeting shall also be sent to the prospective farmer-beneficiaries the BARC representative(s), the Land Bank of the Philippines (LBP) representative, and other interested parties to discuss the inputs to the valuation of the property. He shall discuss the MARO/BARC investigation report and solicit the views, objections, agreements or suggestions of the participants thereon. The landowner shall also be asked to indicate his retention area. The minutes of the meeting shall be signed by all participants in the conference and shall form an integral part of the CACF.

B.        The PARO shall:

1.         Ensure that the individual case folders are forwarded to him by his MAROs.

2.         Immediately upon receipt of a case folder, compute the valuation of the land in accordance with AO No. 6, Series of 1988. The valuation worksheet and the related CACF valuation forms shall be duly certified correct by the PARO and all the personnel who participated in the accomplishment of these forms.

3.         In all cases the PARO may validate the report of the MARO through ocular inspection and verification of the property. This ocular inspection and verification shall be mandatory when the computed value exceeds P500,000 per estate.

4.         Upon determination of the valuation forward the case folder, together with the duly accomplished valuation forms and his recommendations, to the Central Office. The LBP representative and the MARO concerned shall be furnished a copy each of his report.

C.        DAR Central Office, specifically through the Bureau of Land Acquisition and Distribution (BLAD). shall:

1.         Within three (3) days from receipt of the case folder from the PARO, review, evaluate and determine the final land valuation of the property covered by the case folder. A summary review and evaluation report shall be prepared and duly certified by the BLAD Director and the personnel directly participating in the review and final valuation.

2.         Prepare, for the signature of the Secretary or her duly authorized representative, a Notice of Acquisition (CARP CA Form 8) for the subject property. Serve the Notice to the landowner personally or through registered mail within three (3) days from its approval. The Notice shall include, among others, the area subject of compulsory acquisition, and the amount of just compensation offered by DAR.

3.         Should the landowner accept the DAR's offered value, the BLAD shall prepare and submit to the Secretary for approval the Order of Acquisition. However, in case of rejection or non-reply, the DAR Adjudication Board (DARAB) shall conduct a summary administrative hearing to determine just compensation in accordance with the procedures provided under Administrative Order No. 13, Series of 1989. Immediately upon receipt of the DARAB's decision on just compensation, the BLAD shall prepare and submit to the Secretary for approval the required Order of Acquisition.

4.         Upon the landowner's receipt of payment, in case of acceptance, or upon deposit of payment in the designated bank, in case of rejection or non-response, the Secretary shall immediately direct the pertinent Register of Deeds to issue the corresponding Transfer Certificate of Title (TCT) in the name of the Republic of the Philippines. Once the property is transferred, the DAR, through the PARO, shall take possession of the land for redistribution to qualified beneficiaries.


Repealing Clause

          Administrative Order No. 2, Series of 1989, is hereby repealed. All other Orders, issuances, rules and regulations inconsistent herewith are hereby repealed amended or modified accordingly.

          Further implementing instructions pertaining to this Administrative Order shall be issued through Memorandum Orders.



          This Administrative Order shall take effect ten (10) days after its publication in two (2) newspapers of general circulation pursuant to Section 49 of R.A. 6657.

          Adopted: 26 July 1989




Department of Agrarian Reform
Elliptical Road, Diliman
Quezon City, Philippines
Tel. No.: (632) 928-7031 to 39

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