PART I.

National Laws and Policies Relating to the Creation and the

Powers and Functions of the Local Housing Board

BASIS FOR CREATION

1987 Constitution

Article XIII, Sections 9 and 10 are provisions dealing with urban land
reform and housing. It mandates that the state, in cooperation with the
private sector, shall undertake a continuing program for urban and reform
and housing which will make available at affordable cost, decent housing
and basic services to under-privileged and homeless citizens in urban
centers and resettlement areas. It also provides that urban or rural poor
dwellers shall not be evicted nor their dwelling demolished, except in
accordance with law and in a just and humane manner.

Local Government Code of 1991

Section 2 declares as a policy of the State that the territorial and

political subdivisions of the State shall enjoy genuine and meaningful local
autonomy to enable them to attain their fullest development as self-reliant
communities and make them more effective partners in the attainment of
national goals.

Section 3(b) provides for the operative principles of decentralization

stating that there shall be established in every local government unit an
accountable, efficient, and dynamic organizational structure and operating
mechanism that will meet the priority needs and service requirements of its
communities.

Section 17(a) on basic services and facilities provides that Local

government units shall exercise such other powers and discharge such other
functions and responsibilities as are necessary, appropriate, or incidental to
efficient and effective provisions of the basic services and facilities. The basic
services and facilities include programs and projects for low-cost housing
and other mass dwellings, among others.
 Section 18 provides that local government units shall have the power
and authority to establish an organization that shall be responsible for the
efficient and effective implementation of their development plans, program
objectives and priorities.

Urban Housing and Development Act of 1992

Section 39 devolved to the Local Government Units the task of

implementing UDHA within their territorial jurisdiction. One of the objectives
of UDHA is to provide socialized housing programs/projects.

Executive Order no. 708, s. 2008

This Executive Order effectively devolved the clearinghouse function

of PCUP to Local Government Units.

Section 2 mandates the Local Government Units to create their own

Local Housing Boards or any similar body through an appropriate ordinance
before conducting clearinghouse functions granted to them.

DILG Memorandum Circular No. 2008-143

Pursuant to E.O. No. 708, DILG issued a Memorandum Circular

providing the guidelines for the creation of the Local Housing Board. The
guidelines provided for the composition as well as powers and functions,
among others.

COMPOSITION

DILG Memorandum Circular No. 2008-143

This M.C. provided the guidelines for the creation of LHB. Accordingly,
it provided that LHB shall be headed by the City of Municipal Mayor and with
the following as members:

a. The Chairperson of the Sangguniang Panglungsod/Bayan Committee

on Housing and Urban Development or its equivalent;
b. The City/Municipal Planning and Development Coordinator;
c. The City/Municipal Engineer;
 d. A duly designated representative of the Presidential Commission for
the Urban Poor (PCUP);
e. A representative from peoples’ organizations operating in the city or
municipality. Provided, that a PO which is already represented in Local
Development Council may be concurrently represented in the Board;
and
f. A representative of a SEC-registered and duly accredited Non-
Governmental Organization and operating in the city or municipality.
Provided, that an NGO which is already represented in Local
Development Council may be concurrently represented in the Board.

Note however that representation of POs and NGOs should be

substantial as such as the provisions provided by the Local
Government Code for substantial representation in local special
bodies. (Section 98 and 107 of LGC)

POWERS AND FUNCTIONS

Urban Development and Housing Act of 1992

UDHA did not clearly state the creation as well as the powers and
functions of LHB. It did, however, provide for the tasks of Local Government
Units to attain the objectives of UDHA, including socialized housing, to wit:

1. Prepare a comprehensive land use plan aimed at achieving the

objectives of UDHA; (Sec 6 and 39)

2. Conduct an inventory of all lands and improvements thereon within

their respective localities in coordination with the Housing and Land
Use Regulatory Board (HLURB) and with the assistance of the
appropriate government agencies; (Sec. 7)

Update the inventory every three (3) years and furnish the Housing and
Urban Development Coordinating Council (HUDCC) a copy of its
inventory including updated ones for planning purposes; (Sec. 7)

3. Identify, in coordination with the National Housing Authority (NHA), the

HLURB, the National Mapping and Resources Information Authority
(NAMRIA), and the Land Management Bureau (LMB) of the
Department of Environment and Natural Resources (DENR) lands for
 socialized housing and resettlement areas for the immediate and future
needs of the underprivileged and homeless in urban areas; (Sec. 8)
4. Certify as to the blighted status of lands, which shall be considered as
one of the factors in the evaluation of the market value of land for
socialized housing; (Sec. 13)

5. Identify and register all qualified socialized housing beneficiaries within

their respective localities; (Sec. 17)

6. In pursuit of balanced housing development, enter into joint venture

projects with private developers; (Sec. 18)

7. Provide basic services and facilities (potable water, power/electricity

and an adequate power distribution system, sewerage facilities and an
adequate solid waste disposal system, and access to primary roads
and transportation facilities) in the socialized housing or resettlement
areas in cooperation with the private sector and concerned agencies;
(Sec. 21)

8. Provide the program beneficiaries or their duly designated

representatives, in coordination with the Presidential Commission for
the Urban Poor (PCUP) and concerned agencies, the opportunity to be
heard and to participate in the decision making process over matters
involving the protection and promotion of their legitimate collective
interests; (Sec. 23)

9. In cooperation with the Philippine National Police (PNP), the PCUP-

accredited urban poor organizations in the area, adopt measures to
identify effectively curtail the illegal operation of squatting and
squatting syndicates; (Sec. 27)

10. Implement, in coordination with the NHA, the prescribed procedures

and guidelines on the execution of eviction and demolition orders
involving homeless and underprivileged citizens, including the
provision of adequate relocation. Should relocation be not possible
within the prescribed period, to provide financial assistance in the
amount equivalent to the prevailing minimum daily wage multiplied by
sixty days; (Sec. 28)

11. Implement, in coordination with the NHA, the relocation and

 resettlement of persons living in danger areas such as esteros, railroad
tracks, garbage dumps, riverbanks, shorelines, waterways and in other
public places such as sidewalks, roads, parks and playgrounds;
(Sec.29)

Provide, in coordination with the NHA, relocation or resettlement sites

with basic services and facilities, and access to employment and
livelihood opportunities sufficient to meet the basic needs of affected
families; (Sec. 29)

12. Prevent the construction of any kind of illegal dwelling units or

structures within their respective localities; (Sec. 30);

13. Assist the National Home Mortgage Finance Corporation (NHMFC) in

initiating the organization of Community Mortgage Program (CMP)
beneficiaries; (Sec. 33)

14. Promote, in coordination with the HUDCC, NHA, the Technology

Livelihood Resource Center (TLRC); Department of Science and
Technology (DOST) and other concerned agencies in the production
and use of indigenous, alternative, and low-cost construction materials
and technologies for socialized housing; (Sec. 34)

15. Submit a detailed annual report, with respect to the implementation of

the Act, to the President and House of Representatives; (Sec. 41)

16. May impose an additional one-half percent (0.5%) tax on the assessed
value of all lands in urban areas in excess of Fifty Thousand Pesos
(P50.000.00). (Sec. 43)

DILG Memorandum Circular No. 2008-143

The guidelines provided for the following powers and functions of

LHB:

a. Monitor all evictions and demolitions, whether voluntary, extra-

judicial, summary or court-ordered;
b. Require proponents to first secure from the Board the Checklist,
Guidelines and Eviction and Demolition Compliance Certificate prior
 to actual implementation thereof and, thereafter, to submit to the
Board the completed Checklist, attested to under oath by the
proponent and indicating that:
1. Adequate consultations with the affected families were
undertaken;
2. Adequate resettlement site and relocation facilities are made
available; and
3. The provisions of Section 3, paragraph 1 of the IRR of Section
28 of UDHA (Pre-relocation) have been complied with; and
c. Based on the completed Checklist, and subject to further verification,
issue Certificates of Compliance (CoCs) on proposed eviction and
demolition activities;

Balanced Housing Development Program Amendments of 2015 (R.A.

10884)

To further increase the low-cost housing stock available to

underprivileged families and homebuyers, Section 18 of Republic Act No.
7279 (Balanced Housing Development) was amended to include the
residential condominium projects in complying with the balanced housing
requirement.

Section 18 of RA 7279, as amended by Republic Act No. 10884,

requires that owners and/or developers of proposed subdivision and
condominium projects develop an area for socialized housing, at the option
of the developer, equivalent to:

• At least fifteen percent (15%) of the total subdivision area or

subdivision project cost
• At least five percent (5%) of condominium area or project cost.

The balanced housing requirement should be accomplished within the

same city or municipality, whenever feasible, and in accordance with the
standards set by the Housing and Land Use Regulatory Board (HLURB) and
other existing laws.

LHB as the special body devoted to addressing shelter concerns in the

formulation, development, and implementation of a comprehensive and
integrated housing and land development program, may be tasked to
monitor compliance with this law.

SUMMARY

Accordingly, functions that should be delegated to LHBs can be classified as

follows:

1) Policy-Making. The boards should prepare local shelter plans which

shall form part of, and are consistent with, their respective
corresponding city/municipal development plans. These shelter plans
shall be the general framework which effectively provides a step-by-
step procedure by which cities and municipalities could formulate
solutions to its housing problems.

2) Representation. The boards should delegate at least one

representative to their respective local development councils.

3) Technical Assistance. The boards should assist city/municipal

development councils in the formulation of their respective
comprehensive land use plans.

4) Regulatory. The boards should approve preliminary and final

subdivision schemes and development plans of subdivisions in
accordance with the Subdivision and Condominium Buyers’ Protective
Decree and Batas Pambansa 220 and its implementing rules and
regulations.

As part of its regulatory powers clearly delegated to it, the boards shall
act as demolition clearinghouse and also require the submission of and
approve Compliance Reports prior to the undertaking of an eviction
and demolition of underprivileged and homeless citizens, pursuant to
Section 28 of the UDHA.

5) Ministerial. The boards should: a) conduct and inventory all lands

within their respective localities; and b) identify sites for socialized
housing; and c) register UDHA beneficiaries.
 6) Monitoring. The boards should: a) monitor the nature and progress of
land development projects it has approved; and b) ensure compliance
with the Balanced Housing Requirement under R.A. 10884.

7) Advisory/Recommendatory. The boards should advise the

Sanggunian on matters of local taxation which may affect the local
government socialized housing program.

The boards should also recommend formulated schemes for the

acquisition and disposition of lands within their localities for socialized
housing purposes. For approval of LCEs.

The boards should recommend partnership arrangements with the

national government on housing for the underprivileged and homeless.
For approval of LCEs.

The boards should also act as the primary entity tasked to advise LCEs
on matters of sourcing of funds for socialized housing.

8) Coordination. The boards should coordinate with government

agencies and instrumentalities performing functions which may affect
housing and urban development.

9) Reportorial. The boards should submit to the President, Congress,

and the DILG an annual report on its implementation of the UDHA.

Other Functions that may be Delegated to LHB

• Identify and recommend housing-related projects to the SB/SP or to

the LCE;
• Recommend to the Sanggunian the imposition of socialized housing
tax [Sec. 42(e) of UDHA]; and
• Recommend to the LCE the allocation and/or utilization of the
socialized housing tax and the idle lands tax (Sec. 236 of LGC) to fund
its urban development and housing programs.