Republic of the Philippines

Province of Misamis Oriental

CITY OF EL SALVADOR
-oOo-

SANGGUNIANG PANLUNGSOD

Authored by Councilor _____________

On Motion of Hon. _________, duly Seconded by _______, it was

RESOLVED, as the City Council of El Salvador hereby resolves, to adopt, the following:

ORDINANCE NO. ______

“AN ORDINANCE ESTABLISHING THE GUIDELINES IN THE ADMINISTRATION

AND IMPLEMENTATION OF ALL RESETTLEMENT AND SOCIALIZED HOUSING
PROGRAM FOR THE INFORMAL SETTLER FAMILIES OF THE CITY OF EL
SALVADOR, PROVINCE OF MISAMIS ORIENTAL AND FOR OTHER PURPOSES”

WHEREAS, Section 9, Article XIII of 1987 Constitution provides that the

“State shall by law, and for the common good undertake, in cooperation with the private
sector, continuing program of urban land reform and housing which will make
available at affordable cost decent housing and basic services to underprivileged and
homeless citizens in urban centers and resettlement areas”;

WHEREAS, Section 17, Republic Act 7160, otherwise known as the Local
Government Code of 1991 provides that “LGUs shall endeavor to be self-reliant and shall
continue exercising the powers and discharging the duties and functions currently vested
upon them. xxx as are necessary, appropriate or incidental to efficient and effective
provision of basic services and facilities enumerated herein xxx (viii) Programs and projects
for low-cost housing and other mass dwelling, except those funded by the SSS, GSIS and
the HMDF; Provided that national funds for these programs and projects shall be equitably
allocated among the regions in proportion to the ration of the homeless to the population
xxx)”;

WHEREAS, RA 9435 otherwise known as the Charter of the City of El Salvador the
“Sangguniang Panlungsod, as the legislative body of the City, shall enact Ordinances,
approve resolutions and appropriate funds for the general welfare of the City and its
inhabitants pursuant to Section 16 of the Local Government Code and in the proper exercise
of the corporate powers of the City as provided under Section 22 of the Local Government
Code, and shall (1) Approve Ordinances and pass resolutions necessary for an efficient and
effective City Government xxx”;

WHEREAS, in response to RA 7279 also known as Urban Development and Housing

Act of 1992, an “Act to provide for a comprehensive and continuing urban development and
housing program, establish the mechanism for its implementation, the city government
undertake land banking for housing programs”;
 WHEREAS, lots at Cayam, Brgy Molugan; La Fortuna, Brgy Amoros; Linabo, Brgy
Cogon(Phase 1 & 2) , Sto. Niño, Brgy Poblacion; Tigkawayan, Brgy Sinaloc; Brgy Himaya
and BLISS, Brgy Poblacion with a total area of 105,642 square meters have been declared
as sites for resettlement and socialized housing projects of the city.

NOW, THEREFORE:

BE IT ORDAINED, by the Sangguniang Panlungsod of the City of El Salvador in

session assembled that:

SECTION 1. Declaration of Policy. – It is hereby the policy of the City

Government of El Salvador to undertake a comprehensive and continuing program which
shall uplift the conditions of the underprivileged and homeless citizens in urban, rural and
in public lands by making available to them decent housing and basic services at affordable
cost.

SECTION 2. Definition of Terms. - For purposes of understanding and

guidance, the terms herein used shall be defined as follows:

1. Beneficiary - Any person/persons who meet the requirements set forth in this
Ordinance or as provided for in the RA 7279 is qualified or entitled to acquire either
a house and lot or lot only.

2. Surveyed Household – Any household who is included in the profiling of the would-
be beneficiaries as determined by the Selection Committee.

3. Household - A group of persons who lives in the same dwelling unit and have a
common arrangement for the preparation and consumption of food.

4. Household Head – The legitimate and head of the family with at least one dependent
entitled to a support within a structure.

5. Resettlement Areas – Refer to areas identified by the appropriate national agency

or by local government unit with respect to areas within its territorial jurisdiction,
which shall be used for the relocation of the would-be beneficiaries.

6. Socialized Housing – Refers to the housing program and projects covering house
and lot or home lot only undertaken by the government or the private sector for
the underprivileged and homeless citizens which shall include sites and services
development, long term financing, flexible terms on interest payments, and such
other benefits in accordance with the provisions of R.A. 7279.

7. Underprivileged and Homeless Citizens – Refer to the beneficiaries of the R.A 7279
and to individuals or families residing in urban and rural areas, whose income or
combined household income fails within the poverty threshold as defined by the
National Economic and Development Authority (NEDA) and who do not own
housing facilities. This shall include those who live on makeshift dwelling units and
do not enjoy security of tenure.
 8. Affordable Price - Refers to the most reasonable price of land and shelter based on
the needs and financial capability of would-be beneficiaries and appropriate financing
schemes.

9. Joint Venture - Refers to the commitment or agreement entered into by and between
two (2) or more persons to carry out a specific or single business enterprises for
their mutual benefit to which purpose they combine their funds, land resources,
facilities and services.

10. Amortization Payments – A regular installment to be collected by the City Treasury

Office from the beneficiary-awardee of the housing program.

11. Infrastructure Cost/Development Cost – The expenses incurred in the construction of

roads, footpaths, alleys, drainage, bridges, public utilities and other physical
horizontal facilities in the project site.

12. Land Acquisition Cost – The expenses incurred in the purchase of lots to be
developed as housing sites.

13. Transfer of Rights Through Succession – Means that in case of death of beneficiary -
awardee, the surviving spouse shall succeed both the rights and obligations of the
deceased spouse. However, in case of death or permanent incapacity of both
parents, the legal successor in interests of both parents shall be considered as
successor.

SECTION 3. Beneficiary Selection and Lot Allocation. – Any qualified beneficiary

shall only be entitled to one lot.

In the awarding and allocation of residential lots, the beneficiaries are as follows:

1. Households affected by the implementation of infrastructure and development effort

of the City.
2. Those affected by natural and man-made calamities, and those provided under RA
7279.
3. Households who are living in Environmentally Critical Areas (ECA) such as but not
limited to esteros, landslide prone, garbage dump, riverbanks, shorelines,
waterways, sidewalks, roads, parks, playgrounds and other public places.
4. Households issued with court ejectment orders for demolition and those qualified
under RA 7279.
5. Landless City Hall employees.
6. Must not be a professional squatter or a member of squatting syndicates.

SECTION 4. Priority in the Awarding of Housing Unit or Home Lot. – In awarding

the Housing Unit or Home Lot, or both, the following shall be given preference:
 a. First Priority – Paragraphs 1 and 2, Section 3 of this Ordinance shall apply.
b. Second Priority – Paragraphs 3 and 4, Section 3 of this Ordinance shall apply.
c. Third Priority – Paragraph 5, Section 3 of this Ordinance shall apply.

SECTION 5. Basic Qualification of a Beneficiary. -

To qualify as beneficiary, he or she must have the following qualifications:

1. A Filipino citizen of legal age;

2. Head of the family with at least one (1) dependent living within a structure;
3. Must be an underprivileged and homeless citizen, as defined in Section 3 of R.A.
7279;
4. Must not be a beneficiary of any housing project and/or lot acquisition program from
the government or any private entity;
5. Must not be a professional squatter or a member of squatting syndicates;
6. Is a bonafide citizen or has permanent residence of El Salvador City;
7. Those occupants under existing resettlement project are not covered by the above
qualifications.

SECTION 6. Prohibitions and Limitations:

1. House and lot or lots awarded including improvements therein shall not be
transferable except on the following circumstances:
a. Succession.
b. After five (5) years upon full payment of the amortization, such lot may be
transferred to the next beneficiary.
c. Execution of final transfer of ownership shall only be made after full payment of
purchase price.
2. No transfer by onerous or gratuitous manner shall be allowed within the prohibition
period. Any transfer or assignment made is null and void.
3. Sell, transfer or dispose of beneficiary’s right is hereby strictly prohibited.

SECTION 7. Project Cost. - Awardee or beneficiary shall be charged for project cost
from which they derived specific benefits.

Costs shall include the following:

1. Cost of land.

2. Land development cost to include the onsite infrastructure like construction of

roads, footpaths, alleys, drainage, bridges, public utilities, technical supervision,
administrative/management cost and collection charges of the total cost and the
like.

SECTION 8. Unit Cost. - The actual price per square meter shall be determined by
dividing the recoverable investment by the total saleable area for the lot only, while for the
housing component, it shall be determined by the total house cost without inflation rate.
The detailed total cost and monthly amortization to be paid by the beneficiary shall be
indicated in the contract agreement between the City Government of El Salvador and the
identified beneficiary.

SECTION 9. Construction. – The type of unit construction will be determined by the City
Housing Board.

SECTION 10. Collection and Default. – The City Treasurer has the sole responsibility for
the collection of amortization payments and other revenue which may be generated under
this project, and as per Updated Local Revenue Code.

A qualified awardee/beneficiary shall pay to the City Treasury a down payment of

at least Three Percent (3%) of the total selling price upon the execution of the contract
and immediately thereafter. The amortization shall be paid within the first five (5) days
upon due date.

A penalty of Two Percent (2%) per month shall be imposed for late payment.
Failure to pay three (3) consecutive monthly amortization. Including the surcharges thereof
shall make the whole amount and demandable which shall be paid within one (1) month
from the time of demand.

SECTION 11. Priorities in the Acquisition of Land – Lands for socialized housing shall be
acquired in the following order:

a. Those owned by the Government or any of its subdivision, instrumentalities, or agencies,

including government-owned or controlled corporations and their subsidiaries;

b. Alienable lands of the public domain;

c. Unregistered or abandoned and idle lands;

d. Those within the declared Areas for Priority Development, Zonal Improvement Program
sites, and Slum Improvement and Resettlement Program sites which have not yet been
acquired;

e. Bagong Lipunan Improvement Sites and Services or BLISS sites which have not yet been
acquired; and

f. Privately owned lands.

SECTION 12. Implementation. - The City of El Salvador Housing and Urban

Development Office (CESHUDO) shall be primarily responsible for the effective
implementation of the provisions of this Ordinance.

SECTION 13. Effectivity. –This Ordinance shall take effect upon its approval.

APPROVED:

Done in the City of El Salvador, this ____ day of ____________, 2019

 ENDORSED BY:

COUNCILOR ____________________

APPROVED: ________________

Hon. EDGAR S. LIGNES

City Mayor

Date:__________________