Department of Agrarian Reform (DAR)

I. On the validity of the Congressional Joint Resolution:

1. Does the Congressional Joint Resolution have the effect of a law?

The Congressional Joint Resolution will have an effect of a law when signed by President Gloria Macapagal-Arrroyo. If not signed, it automatically becomes a law after the lapse of 30 days by Presidential inaction. In this case, it takes effect on January 23, 2009.

2. If the joint resolution will still take effect on January 23, 2009, what is DAR's legal basis for its existence and fund allocation from January 1-22, 2009 since based on a DOJ Memorandum Opinion dated 10 December 2008, CARP funding has expired on December 31, 2008?

The DAR's existence cannot be questioned since it was existent even before CARP. There is no legal vacuum for the period Jan.1-22, 2009 since the Joint Resolution explicitly provides that the period of coverage of CARP shall be extended for six months beginning Jan. 1, 2009 to June 30, 2009.

Furthermore, based on the re-enacted budget (with the same level as 2008 approved budget) the

DAR has the authority to obligate until such time that the 2009 budget is approved by the President.

For January to June 2009, the DAR's work plan shall be based on provisions of the Congressional

Joint Resolution.

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II. Issues relative to Land Tenure Improvement (LTI)

1.Will the coverage of the OLT/PD No. 27 lands be under Compulsory Acquisition? If such, these landholdings cannot be distributed from January to June 2009.

There are two things to consider: First, landholdings under the Operation Land Transfer (OLT) which can be covered from January to June are those PD No. 27 landholdings that are tenanted as of October 21, 1972, and those tenanted after Oct. 21, 1972 with Order of Placement as of August 17, 1987. The tenants in these landholdings are deemed owners as provided under PD No. 27. Hence, these are not under Compulsory Acquisition.

Second, OLT lands under EO 229 are considered under the Compulsory Acquisition and shall not be

distributed from January to June 2009. These are the rice and corn landholdings with

undocumented tenancy (i.e. No Final Notice to the Landowner/No Order of Placement) prior to Aug.

18, 1987. This is pursuant to AO No. 2, series of 1987 and MC No. 10, series 2008.

The Field Operations Office (FOO) is hereby directed to determine how many hectares out of the

current balance of 31,494 hectares are still under PD No. 27 and can be distributed in the next

six (6) months; and those under EO 229 which will be under compulsory acquisition and cannot

be distributed from January to June 2009.

2. Based on the Congressional Joint Resolution where it appears that DAR is mandated to only distribute lands under Voluntary Offer to Sell (VOS) and Voluntary Land Transfer (VLT), can it cover government-owned lands (GOL) and non-private agricultural lands (non-PAL)?

Yes, the DAR can distribute these lands from January to June 2009. The Congressional Joint Resolution does not contemplate the prohibition of the coverage of GOL and non-PAL. DAR believes that "What the law does not include, it excludes".

3. Can the FOO still fast track the subdivision and re-documentation of collective CLOA, documentation of distributed but not yet documented lands (DNYD) and leasehold operations considering that these are not covered in the Congressional Joint Resolution?

Yes, the DAR can undertake the above-mentioned activities for the next six (6) months. The Joint Resolution does not contemplate the prohibition of said activities (subdivision of collective CLOA, documentation of DNYD and leasehold operations). The DAR reiterate the rule that "What the law does not include, it excludes".

4. The DAR's main deliverable based on the Congressional Joint Resolution is the distribution of lands under VOS and VLT. However, how can DAR accomplish its VOS and VLT targets when there is a possibility that landowners can withdraw or retract their intent for VOS and VLT?

The grounds for withdrawal of landowners under VOS are stipulated in AO No. 6 series of 1997. The landowners can also reject the Notice of Land Valuation, if they are not agreeable to the value of the lands offered to sell. In these cases, DAR is constrained and can not do much since it is not allowed to do compulsory acquisition. Under the said resolution, DAR cannot do automatic shifting from VOS to CA.

Hence, the directive is to process workable VLT and VOS up to the Provincial Processing Unit (PPU)

and up to the Regional level only, except those truly demanded by farmers.

5. Considering that only VOS and VLT will be covered from January to June 2009, what will happen to the landholdings in the pipeline under Compulsory Acquisition (i.e. LHs issued with notice of coverage, in the documentation stage, in the valuation stage and for processing by LBP, and those with certificates of deposit)?

The processing of landholdings under CA will be suspended until June 2009 even those in the pipeline. However, those landholdings with Certificates of Deposit as of end of December 2008 are considered paid and may therefore be distributed to the ARBs pursuant to Sec. 16(e) of RA 6657.

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III. Issues Related to Agrarian Justice Delivery (AJD)

1. Is DAR allowed to continue to resolve/dispose agrarian-related cases despite the suspension of compulsory acquisition coverage as provided for in the Congressional Joint Resolution?

Yes. The Congressional Joint Resolution does not prohibit the continuing resolution/disposition of agrarian-related cases. Moreover, the Department's directive is to fast track the resolution of cases. It bears noting also the provision of Sec 62 of RA 6657, which provides and contemplates that AJD cases shall continue to be heard, tried and decided into their finality.

2.Can DAR still resolve ALI cases on exemption and conversion applications in the next 6 months?

In view of and in relation to the preceding issue, DAR shall continue to resolve these cases.

3. Given that CA is being suspended in the next six (6) months, it is expected that there will be landowners who will file ejectment cases against the tenants. How will DAR assist the affected ARBs?

Despite the suspension of CA coverage in the next six (6) months, the tenants cannot be ejected without cause since they enjoy security of tenure as provided and guaranteed in Sections 7 and 36 of RA 3844 as amended.

The DAR shall continue to fix lease rentals and assist in the immediate execution of leasehold

contracts in all tenanted landholdings to ensure protection of ARBs' security of tenure.

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IV. Issues related to Exemption and Conversion Applications

1. Can DAR continue to accept new applications on conversions and exemptions of agricultural lands?

The DAR shall continue to exercise its regulatory function to preserve prime agricultural lands for agricultural uses. Hence, the DAR shall continue to process exemption and conversion applications subject to the provisions of EO 226 as amended by EO 226-A issued by the Office of the President .

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V. Issues related to Program Beneficiaries Development (PBD):

1. How can the Support Services Office (SSO) intensify PBD activities/support services to ARBs when Agrarian Reform Beneficiaries Development (ARBD) fund is only PhP100 M?

ARBD funds shall be augmented once the 2009 CARP budget is approved by the President and the DAR portion of the CARP funds is finalized. It shall also be noted that, aside from the PhP100 M ARBD fund, the funds of the Foreign-assisted Programs (FAPs) are intended for PBD to increase productivity and income of the ARBs. Hence, conduct of FAPs activities shall be synchronized and harmonized with SSO.

2. How can the PBD respond to the productivity and income issues of the ARBs, strengthening of cooperatives and credit availment?

The SSO are directed to integrate and harmonize various agribusiness programs within DAR (those implemented by AREDP, convergence initiatives, enterprise development programs within FAPs) based on MC No. 9, series of 2007.

The five-year PBD strategic plan, prepared by SSO, aims to address the productivity issues of ARBs

and these defined activities shall be implemented accordingly starting January 2009.

With respect to ARBs credit availment, the SSO shall introduce new micro/agri credit programs and

intensify existing credit and microfinance programs implemented by DAR and other partner

agencies.

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VI. Issues related to Data and Information Management

1. Can DAR come up with a CARP Integrated Database System in the next six(6) months?

The Department shall exhaust all means to come up with the CARP Integrated Database System since this is required by Congress as a requisite for the passage of the CARP Bill before end of June 2009. The Management Information Service is directed to spearhead the establishment and operationalization of the said integrated system. The required funds for this activity is being proposed under the Special Provision.

Relatedly, the following activities should be undertaken within the next six months:

>>> Firm up the LAD Balance categorized according to land size, mode of acquisition, crop type,

etc.;

>>> Full operationalization of the Field Operations File;

>>> Continue the inventory of Approved Survey Plans of previously acquired and distributed lands;

>>> Reconcile the data in the EP/CLOA IS with the official reported data on LAD (with Field

Operations Office and Planning Service);

>>> Continue the profiling of ARBs ; and

>>> Full operation of Legal Case Monitoring System