Monday, December 3, 2012

HB 6545: Railroaded land-use measure



LANDOWNERS in the country would be interested to know that the House of Representatives has passed on third reading a measure that would reallocate most of the nation’s land resources in favor of agrarian-reform beneficiaries.
This measure is House Bill 6545, also known as the National Land Use and Management Act (Nluma). It was hardly discussed or debated on, either at the committee or plenary level. Yet it was “fast-tracked” and approved on third reading in October before Congress went into recess.
The public was totally unaware that the measure was in the works until Rep. Rodolfo G. Valencia (First District, Oriental Mindoro) delivered a fully documented privilege speech on November 19 denouncing the measure. He described it as regressive piece of legislation with disastrous implications for the economy. He even called it “a mere subterfuge to perpetuate the Comprehensive Agrarian Reform Program [Carp].”
HB 6545 is supposedly the “consolidated version” of at least eight different national land-use policy bills that were all referred to the special committee on land use and the appropriations panel. For some reason, however, the two committees adopted most of the provisions of the version jointly authored by Representatives Kaka J. Bag-ao and Walden F. Bello.
It seems ironic that most of the 50 or so House members listed as the bill’s co-authors do not seem to realize the dire (or DAR) after-effects that the measure would bring once it is signed into law.
For one thing, HB 6545 grants the Department of Agrarian Reform (DAR) enormous powers to reclassify and confiscate almost any kind of land into agricultural land for the benefit of agrarian-reform beneficiaries.
(Obviously, the principal authors intended to endear themselves to the members of the farming sector, with the midterm elections only a few months away. Meanwhile, critics of the measure are saying that, as its acronym (pronounced naluma) mischievously implies, the proposed law is far behind the times. It will attempt to apply an old-fashioned concept to solve contemporary economic problems.)
It took Valencia, chairman of the House committee on housing and urban development, to denounce the apparent “railroading” of the proposed Nluma.
In his privilege speech on November 19, he told his colleagues:
“The larger interests of our country and our national economy...compel me to speak up and call the attention of this chamber to the grave, deleterious and far-reaching consequences that HB 6545, if allowed to become a law in its present form, may cause upon, not only the real estate and housing industry, but also on our national economy as a whole, and on the equilibrium of social equity and justice as enshrined in our Constitution.”
Valencia, however, made it clear at the outset that he was not questioning “the good intentions and compassionate concern for certain sectors of our citizenry that underlie this proposed measure and the earlier versions from which it has been consolidated.” He was apparently alluding to the three leading sponsors of the bill, namely, Bag-ao, Bello and Rep. Jeffrey P. Ferrer.
Valencia, by the way, is known in the private sector as a “community builder,” having been in the real estate and human settlements business since he was 16 years old. So if there is anybody who knows the property business, that person would be him.
In the same speech, Valencia enumerated the following objections to HB 6545, which he said the Senate must take up and debate upon:
• Nluma neither harmonizes nor justly allocates the country’s lands; it promotes principally the interest of the agrarian-reform beneficiaries—apparently at the expense of the rest of the nation.
• The measure is merely a subterfuge to perpetuate the CARP.
• In the proposed National Land Use Planning Council, the private-land sector will not have a representative.
• The bill pretends to promote an equitable allocation of land resources, leaving no portion of the land pie for settlements, infrastructure and other non-agricultural developments.
• It is a class legislation that violates the Constitution’s “equal protection” and “non-impairment” clauses.
• It imposes excessively severe penal sanctions.
• The non-impairment clause is made applicable only to marginalized sectors.
• It poses a big threat and disincentive to both local and foreign investments in the country.
Valencia asked: Why is implementation of the CARP given the highest priority in this proposed national land-use act? What happens to the other land uses necessary for the other sectors of society?
He pointed out that land conversion would be placed under the jurisdiction of the DAR. The proposed Nluma is supposedly meant to “harmonize” interests in land. “Why then is the DAR—whose mandate is solely to protect the interest of land-reform beneficiaries—being made the final arbiter of land allocation and planning even for the local government units, which are mandated to promote not just the interests of the peasantry but the entire local citizenry?”
Under HB 6545, Valencia said, the DAR is given exclusive authority to approve conversion of all agricultural lands. Not only that, the power of the Department of the Interior and Local Government (DILG) to reclassify land is also virtually abrogated. The DILG then must defer to the DAR as far as reclassifying land use is concerned.
Under the Nluma, priority areas for agricultural development are CARP farmlands and all nationally protected areas for agriculture and agro-industrial development. Practically all lands would be considered agricultural, since any land can be made suitable for agriculture with the use of the right technology. Thus, except for timber lands, mineral lands and national parks, everything else will be reserved for agricultural use.
Given the population growth rate and demographic trends and needs, exactly how much and at what rate can lands be released for non-agricultural uses? (By 2016, Valencia revealed, the country’s huge housing backlog would have ballooned to 5.7 million homes, increasing at the rate of 250,000 units per year.)
Under the proposed Nluma, practically all agricultural lands are “protected” from conversion to non-agricultural uses, including priority infrastructure projects, except when already in the hands of agrarian-reform beneficiaries.
“Where is equity or justice in a provision that obviously favors agrarian- reform beneficiaries while denying the rest of the citizenry [any] right to the beneficial uses of land, when out of the country’s population of 100 million only some 5.7 million are farmers and fisherfolk, as against some 23.8 million who live in slums and are homeless and 40 million are subsisting below the poverty line and, therefore, in need of a variety of services and facilities to improve their socioeconomic conditions?” Valencia asked.
According to him, the contents and the manner by which the bill is being pushed cannot sit well with the sectors that are at the forefront of the country’s current economic performance.
“Not only are they bothered by the seeming disregard and violation of the letter and spirit of the Constitution, they are also disappointed by the parochialism that is inherent in many provisions of the bill,” Valencia said.
He also said he was sure HB 6545 would send very disturbing signals to both foreign and local investors, fund managers, industrialists and business managers who are now actively participating in the country’s sustained housing boom, the dynamic growth of the BPO industry, the continuing inflow of overseas Filipino workers remittances, the resurgence of tourism and agribusiness, and all the other enterprises that are contributory to the growth of the national economy.
Investors in general are not interested in CARP lands. Therefore, no private-sector financing may be expected for land classified for protected use.
“The inescapable impression on those who have bothered to read HB 6545 closely is that the proposed Nluma partakes the nature of class legislation. Once enacted, it would surely be questioned for its constitutionality, specifically for violating the Charter’s ‘due process’ and ‘equal protection’ clauses.”

(On Friday’s Omerta: The proposed compromise)


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