Areas Non-Negotiable for Conversion

1. The following areas shall not be subject to or non-negotiable for conversion :
   • Agricultural lands within protected areas designated under the National Integrated Protected Areas System (NIPAS), including watershed and recharged areas for acquifiers, as determined by DENR.
   • All irrigated lands, as delineated by the Department of Agriculture (DA) and/or the National Irrigation Administration (NIA), where water is available to support rice and other crop production, and all irrigated lands where water is not available but are within areas programmed for irrigation facility rehabilitation by the DAR and/or NIA.
   • All irrigable lands already covered by irrigation projects with firm funding commitments, as delineated by DA and/or NIA.
   • All agricultural lands with irrigation facilities operated by private organizations.
2. Areas Highly Restricted for Conversion - The following areas shall be classified as highly restricted for conversion :
   • Irrigable lands not covered by irrigation projects with firm funding commitment.
   • Agro-industrial croplands or lands presently planted to industrial crops that support the economic viability of existing agricultural infrastructure and agro-based enterprises.
   • Highlands or areas located in elevations of 500 meters or above and have the potential for growing semi-temperate and usually high value crops.
   • Environmentally critical areas (ECAs) as determined by the DENR.
   • Lands issued with notice of valuation and acquisition, or subject of a perfected agreement between the landowner and the beneficiaries under voluntary land transfer/direct payment scheme (VLT/DPS) under the Comprehensive Agrarian Reform Program

   Applications for conversion involving areas highly restricted from conversion shall require, apart from the standard requirements, a project feasibility study and environmental compliance certificate (ECC) if within ECAs.

3. Priority Development Areas - The following are considered prior development areas for conversion :
   • Specific areas in regional agri-industrial centers/regional industrial centers (RAICs/RICs) identified by the Department of Trade and Industry (DTI) and the DA.
   • Tourism development areas (TDAs) identified by the Department of Tourism (DOT) as indicated in the current Medium Term Philippine Development Plan.
   • Sites identified and proposed to be developed by local government units into socialized housing projects which are presently used for agricultural purposes.
   • Agricultural areas intended for ECOZONE Projects pursuant to R.A. 7916.

   In priority development areas, an ECC shall not be a pre-condition to the approval of the conversion application; instead, it shall form part of the conditions thereof where applicable.

4. Standard Documentary Requirements for Conversion Application.
   • Notarized application for conversion.
   • Special power of attorney if applicant is not the registered owner, or board resolution authorizing applicant if the owner is a corporation.
   • True copy of OCT/TCT as certified by the Register of Deeds not later than thirty days prior to filing. In case of unfilled land, the following shall be submitted in lieu of title :
     • Certification from the DENR Community Environment and Natural Resources Officer (CENRO) that the landholding has been classified as alienable ad disposable; and
     • Certification from the DENR CENTRO (for administrative confirmation of imperfect title) or the Clerk of Court (for judicial confirmation of imperfect title) that the titling process has been commenced and there are no adverse claimants)
     • Recent 5R photographs of the property duly certified by the photographer/ applicant.
     • Socio-economic benefit cost study inclusive of detailed site development and work and financial plan.
     • Proof of financial and organizational capability to develop land, including developer’s profile, financial statement authenticated by a certified public accountant, and articles of incorporation or partnership if applicant is a corporation or partnership.
     • List of tenants/farm workers/bona fide occupants who will be affected by the land use conversion, and proof of payment or agreement to pay disturbance compensation duly attested to by the MARO.
     • Certification from the HLURB Regional Officer or the Deputized Zoning Administrator of the actual zoning classification of the land, citing the Municipal or City Zoning Ordinance and the date of its approval by the HLURB or the Sangguniang Panlalawigan, as the case may be.
     • Certification from the authorized DA official stating, among others, the classification of the land, its convertibility status whether non-negotiable or highly restricted from conversion and its irrigation coverage and suitability for agriculture.
     • Certification from the DENR Regional Executive Director that the area subject of application for conversion is not within the NIPAs, not within environmentally critical areas, and will not involve the establishment of an environmentally critical project.
5. Special Documentary Requirements for Conversion Application :
   • If applicant is beneficiary of agrarian reform program :
     • Certification from Provincial Agrarian Reform Officer (PARO) that at least five years have lapsed since the award of the land.
     • Certification from the Land Bank that the beneficiary has fully paid his obligations.
     • Joint venture agreement or any other business arrangement between tile beneficiary and the developer.
   • If application involves priority development areas - Endorsement from the government agencies in case of priority development areas; Provided, that an endorsement from the HLURB is needed if the project is for socialized housing; Provided, further, that a board resolution approving the project from Philippine Economic Zone Authority (PEZA) shall be required if the area is intended for ECOZONE projects.
   • If area is highly restricted from conversion - Project feasibility study.
   • If application involves ECAs or ECPs - Environmental Compliance Certificate.
6. Disturbance Compensation :
   • Disturbance compensation in cash or in kind or both shall be paid by the landowner or developer as may be appropriate to tenants, farmworkers, or bona fide occupants such amounts or under such terms as may be mutually agreed upon, but which shall not be less than five times the average gross harvests on their landholding during the last five preceding calendar years.
   • Compensation in kind may consist of   free housing, homelots, employment, and other benefits. The DAR shall approve the terms of any agreement for the disturbance compensation and monitor compliance therewith. In no case shall compliance with the terms of the agreement extend beyond sixty days from date of approval of conversion application.
   • In case of disagreement between the parties on the disturbance compensation, the issue may be brought by either of them before the DAR Adjudication Board.
7. Officials authorized to Approve/Disapprove Conversions :
   • The DAR Regional Director for areas of not more than five hectares.
   • The duly authorized DAR Undersecretary for areas above five hectares but not more than fifty hectares.
   • The DAR Secretary for areas of more than fifty hectares, except for those highly restricted from conversion which shall be subject to his approval regardless of the area.

 

Posted June 16, 2008 at 1:35 pm
Labels: Real Estate Basics