March 18, 1993
DAR ADMINISTRATIVE ORDER NO. 01-93
SUBJECT : An Order Amending Certain Provision of Administrative Order No. 9, Series of 1990 Entitled "Revised Rules and Procedures Governing the Acquisition of Agricultural Lands Subject of Voluntary Offer to Sell and Compulsory Acquisition Pursuant to RA 6657"
I. PREFATORY STATEMENT
For more effective and expeditious documentation and processing of claims of landowner whose properties are covered under the Comprehensive Agrarian Reform Program (CARP) pursuant to Republic Act No. 6657, these Rules are hereby prescribed.
II. COVERAGE
These Rules shall cover Voluntary Offer to Sell (VOS) and Compulsory Acquisition (CA) transactions involving lands enumerated under Section 7 of RA 6657, and those acquired under Executive Order No. 407 or RA 6657, and those acquired under Executive Order No. 407 dated June 14, 1990, as amended.
A. VOLUNTARY OFFER TO SELL (VOS)
• All private agricultural lands voluntarily offered by landowner for sale to the government.
B. COMPULSORY ACQUISITION (CA)
• All idle and/or abandoned agricultural lands regardless of size.
• All other private agricultural lands falling under the coverage of the Compulsory Acquisition mode according to the schedule and priorities defined in Section 7 of RA 6657.
C. EO 407 ACQUISITION
• All other agricultural lands transferred to the DAR pursuant to Executive Order No. 407 dated June 14, 1990, as amended.
III. POLICY
A. All landowners whose lands are subject for coverage under RA 6657 may voluntarily offer their lands for sale to the government. However, lands upon which notices of coverage have already been sent by the government and received by the landowner shall no longer be considered as voluntary offered lands.
B. If the land is tenanted, the ARBs shall continue to pay lease rentals based on existing guidelines on leasehold operation until such time as the landowner signs the Deed of Transfer, or the Land Bank of the Philippines establishes a Trust Account in the landowner's name, as the case may be. In case, there is any standing crop on the land at the time of its acquisition, the landowner shall retain his share of the harvest thereof pursuant to Section 28 of RA 6657 and other related laws.
C. The compensation for the land shall be the amount agreed upon by the DAR, LBP and the landowner in accordance with the criteria provided for in Section 17 and 18, and other pertinent provisions of RA 6657 and existing guidelines, or the value set under summary administrative proceedings conducted by DAR pursuant to Section 16(d) of RA 6657 and the DAR Adjudication Board Revised Rules of Procedures, or as may be finally determined by a competent court.
D. Landowners, other than banks and financial institutions, who voluntarily offer their lands for sale shall be entitled to an additional five percent (5%) cash payment pursuant to Section 19 of RA 6657.
IV. OPERATING PROCEDURES
Step Responsible Activity Forms/Document
Agency/ (Requirements)
Unit
A. Identification and
Documentation
1 LO Accomplishes letter CARP Form No. 1
offer and files same Certified copy of
together with the basic OCT/TCT Certified
ownership documents in copy of Tax
any office of DAR (For Declaration Copy of the
VOS only). The DAR approved survey plan
office which received or sketch plan of the
the aforesaid documents property
forwards same to DAR
Municipal Office where
the subject property is
located
2 DARMO Receives and reviews Refer to List of Do-
duly accomplished cuments Required
CARP Form No. 1 with Pursuant to RA 6657
the attached documents; Under Different
gathers and completes the Situations (Annex "A")
documents required as may
be applicable to a particular
situation.
3 DARMO Informs LO on how his Refer to Annex "A"
claim will be routed
and processed and furnishes
him with checklist
of requirements under
applicable situation.
4 DARMO Prepares the corresponding
VOCF/CACF
per landowner/landholding.
5 DARMO Issues Notice of Coverage CARP Form No. 2
to LO by personal delivery
with proof of service,
or by registered mail with
return card, informing
him that his property
is now under CARP
coverage and for LO to
select his retention area,
if he desires to avail
of his right of retention;
and at the same time
invites him to join the
field investigation to be
conducted on his property
which should be scheduled
at least two weeks in advance
of said notice.
A copy of said Notice CARP Form No. 17
shall be posted for at
least one week on the
bulletin board of the
municipal and barangay
halls where the property
is located. LGU office
concerned notifies DAR
about compliance with
posting requirement thru
return indorsement on
CARP Form No. 17.
6 DARMO Sends notice to the LBP, CARP Form No. 3
BARC, DENR representatives
and prospective ARBs of the
schedule of the field investigation
to be conducted on the
subject property.
7 DARMO With the participation of CARP Form No. 4
BARC the LO, representatives Land Use Map
LBP of the LBP, BARC,
DENR DENR and prospective
Local ARBs, conducts the
Finance field investigation on
subject property to identify
the landholding, determines its
suitability and productivity; and
jointly prepares the Field
Investigation Report (FIR) and
Investigation shall proceed
even if the LO, the representatives
of DENR or prospective ARBs
are not available provided, they were
given due notice of the
time and date of the investigation
to be conducted.
Similarly, if the LBP representative
is not available or could not come
on the scheduled date, the field
investigation shall also be
conducted, after which the
duly accomplished Part I
of CARP Form No. 4
shall be forwarded to the
LBP representative for the
validation. If he agrees to
the ocular inspection report
of DAR, he signs the FIR
(Part I) and accomplishes Part
II thereof.
In the event that there is
a difference or variance
between the findings of
the DAR and the LBP as
to the propriety of
covering the land under CARP,
whether in whole or in
part, on the issue of
suitability to agriculture,
degree of development
or slope, and on issues
affecting idle lands, the
conflict shall be resolved
by a composite team of
DAR, LBP, DENR and
DA which shall be binding
to both DAR and LBP
pursuant to Joint
Memorandum Circular of the
DAR, LBP, DENR and DA
dated 27 January 1992.
8 DARMO Screens prospective ARBs CARP Form No. 5
BARC and causes the signing of the
Application to Purchase and
Farmers' Undertaking (APFU).
9 DARMO Furnishes a copy of the duly CARP Form No. 4
accomplished FIR to the
landowner by personal
delivery with proof of
service or registered mail
with return card and posts
a copy thereof for at least
one week on the bulletin
board of the municipal
and barangay halls where
the property is located
LGU office concerned CARP Form No. 17
notifies DAR about
compliance with posting
requirement thru return
indorsement CARP Form No. 17.
B. Land Survey
10 DARMO Conducts perimeter or Perimeter on
and/or segregation survey Segregation Survey Plan
DENR delineating area covered by
Local office OLT, "uncarpable" areas
such as 18% slope and
above, unproductive/
unsuitable to agriculture,
retention, infrastructure, etc.
In case of segregation or
subdivision survey, the
plan shall be approved
by DENR-LMS.
11 DARMO Forwards VOCF/ CARP Form No. 6
CACF to DARPO
C. Review and Completion
of Data/ documents
12 DARPO Review's and evaluates VOCF/CACF
the pertinent forms and containing supporting
documents contained in documents needed
the VOCF/CACF for in claim processing
completeness and (See Annex "B")
consistency, otherwise, gathers,
lacking basic documents
to complete the requirements
for processing as
may be applicable to a
particular situation.
13 DARPO Forwards the VOCF/ VOCF/CACF CARP
CACF to LBP-LVO Form No. 7
using the DAR
Memorandum Request to
Value the subject land
including any improvements
and/or facilities
thereon.
D. Land Valuation
and Compensation
Receives and evaluates
the VOCF/CACF for
completeness, consistency
and document sufficiency.
14 LBP - Gathers data and inputs Comparable Sales
LVO needed for a more Mortgage Loan
appropriate determination of Value
valuation of subject land. Appraisal Report
Others
15 LBP Gathers data and inputs CF profile & Valuation
LVO needed for a more appropriate Summary
priate determination of (Attachment to
valuation of subject land. CARP Form No. 8)
16 LBP - Determines the land CARP Form No. 8
LVO valuation in accordance with
existing guidelines and
prepares the Claim Folder
Profile and Valuation
Summary specifying
therein lacking documents
to be submitted by the LO
which are required in the
payment of his claim
Note :VOCF/CACF
where the land valuation
amounts to more than
P3 million shall be forwarded
to LBP Head Office.
17 LBP - Notifies the DAR through CARP Form No. 8
LVO the PARO of the computed
LBP-HO land valuation using the
Memorandum of Valuation
Form.
18 DARPO Prepares/issues the Notice CARP Form No. 9
of Land Valuation and attaching Memo of
Acquisition to the LO Land Valuation and
attaching a copy of the CF Profile and
LBP's Memorandum of Valuation
Valuation, Claim Folder Summary.
Profile and Valuation Summary.
19 DARPO Posts a copy of the Notice CARP Form No. 9
of Land Valuation and
Acquisition for at least
one week on the bulletin
board at the provin-
cial capitol, municipal
hall and barangay hall
where the property is located.
LGU office concerned CARP Form No. 17
notifies DAR about
compliance with posting
requirement thru
return indorsement on
CARP Form No. 17
D.1. Where LO Accepts
the Land Valuation
20 DARPO If the LO accepts the CARP Form No. 10
LO offered price, sends CARP Form No. 11
Memorandum to LBP
to prepare the Deed of
Transfer (DOT) and to
Pay the Landowner
attaching thereto the
LO's letter of acceptance
including the
submitted documents
necessary in LO's
compensation.
21 LBP - Opens trust account in CARP Form No. 13
LVO the name of LO. However,
LBP-HO the actual release CARP Form No. 15
of full payment shall
only be effected upon CARP Form No. 16
LO's compliance of all
the requirements. Should
the LO fails to submit
the required documents
within 30 days from
receipt of the Letter of
Acceptance of the offered
price, notifies DAR of
such failure by the LO and
also issues to DAR the
certification or proof of
the opening of a trust
account.
22 LBP - Prepares and executes CARP Form No. 12
LVO DOT together with LO
LBP- and transmits the same
HO to the ROD, including
the owner's duplicate
certificate of title,
approved segregation
plan, if partially covered.
23 ROD Registers DOT and Registered DOT
issues Transfer Certificates and TCT in the
of Title in the name name of the RP
of the Republic of the
Philippines.
24 ROD Forwards owner's dup- Owner's duplicate
licate copy of title issued certificate of title/ RP
in the name of RP to
LBP-LVO/ LBP-HO.
25 LBP - Prepares payment release Claims Processing
LVO order for the payment and Payment Release
LBP-HO to the LO of the value Form (LBP) State-
of the compensation. In ment of Accounts
case the land is encum-
bered, pays the mortgage
bank/creditor upon the
LO's request, and the
balance of the proceeds
payable to the LO.
D.2 Where LO Rejects
the Land Valuation
26 DARPO If the LO reject the CARP Form No. 14
offered price or fails to
reply within 30 days
from receipt of the No-
tice of Land Valuation
and Acquisition, sends
Memorandum to LBP
to open a trust account
in the name of the LO
27 DARPO Request the DARAB/
RARAD/PARAD to
conduct administration
proceedings pursuant to
DARAB guidelines, as
the case may be, furni-
shing therein a copy of
each of the LO's letter
of rejection Notice of
Land Valuation and
Acquisition, and LBP's
Memorandum of Valuation.
28 LBP- Opens trust account in CARP Form No. 15
LVO the name of LO and
send proof of the ope-
ning of a trust account
or certification to the
DAR through the PARO,
copy furnished the LO.
29 DARPO Upon receipt of the proof CARP Form No. 16
of the opening of a trust Approved segregation/
account or certification subdivision plan
by LBP, transmits the
same to the ROD
concerned, including the
approved segregation/
subdivision of subject
property if partially covered.
30 ROD Issues new TCT in the New TCT in the name
name of RP and forwards of RP and owner's
owner's duplicate certificate duplicate of title in
cate of title in the name the name of RP
of RP to BLP-LVO which
furnishes the PARO a
certified xerox copy of the same.
31 DARAB/ Simultaneously with Activity
RARAD/ Nos. 22 to 24 above,
PARAD/ the DARAB conducts
summary administrative
proceedings; renders
decision and informs parties
concerned of the same.
32 DARPO Within fifteen (15) days CARP Form No. 11
after receipt of the decision
of the DARAB, requests
the LBP to prepare
for the signature of the
LO if he so accepts,
otherwise, requests the LBP
to adjust the trust account
in accordance with the
DARAB decision and
accordingly informs the
LO. In the event the LO
signs the DOT, the LBP
shall transmit a copy of
the same to the ROD as
additional support to the
transfer of title in favor of
the RP and follows Step
25 under D.1.
E. Land Distribution
DARPO Forwards to DARMO Certified copy of TCT
the certified copy of the in the name of RP
TCT in the name of RP
with the instruction to
take over physical possession
of the land proceed
with the distribution of
the same in favor of
qualified ARBs.
V. REPORTING AND MONITORING
For monitoring and evaluation purposes, monthly report on the status of VOS/CA transactions shall be submitted to the Office of the Undersecretary for field Operations through the Regional Office, copy furnished BLAD and MIS. All landowners concerned shall be periodically advised on the status of their claims.
VI. TRANSITORY PROVISIONS
In order to prevent delays in the processing of claim folders, all VOCFs/CACFs already forwarded to or pending in the DARRO shall continue to be processed under the old procedure. However, all VOCFs/CACFs still pending in the DARPO's and DARMOs concerned shall be governed by this Administrative Order.
VII. REPEALING CLAUSE
All orders, circulars and other issuances inconsistent herewith are deemed repealed, amended and/or modified accordingly.
VIII. EFFECTIVITY
This Order shall take effect ten (10) days after its publication in two (2) newspapers of general circulation pursuant to Section 49 of RA 6657.
Quezon City, Metro Manila, March 18, 1993.
(SGD.) ERNESTO D. GARILAO
Secretary