Atienza orders fast tracking of disposition of A and D residential lands through MSA, turns them affordable to buyers

Publishing date: Thursday, May 7, 2009 (1:23 PM)

Environment and Natural Resources (DENR) Lito Atienza ordered a simplified and systematic procedure in the disposition of the alienable and disposable (A and D) residential lands through miscellaneous sales application (MSA) in order to fast track the process and make the parcels affordable to qualified buyers.

Atienza said the Department Administrative Order No. 2009-05 he issued on April 21, 2009 is not only aimed at providing simplified guidelines and procedures for the disposition of A and D residential lots through MSA but also ensures that the lots can be readily acquired by a qualified applicant buyers at a lowered appraised value and without passing through the public auction procedure.

"The issuance of the Administrative Order is also our way of promoting equitable sharing of our natural resources, making our country's land resources affordable to every Filipino citizen and to enhance economic growth of the country through an improved security in land tenure," Atienza said.

The Order prescribes the guidelines for the systematic disposition of A and D residential lands through MSA under Republic Act No. 730.

Republic Act No. 730 is an Act which permits the sale of the public lands for residential purposes in the Republic of the Philippines without public auction to qualified applicants under certain conditions.

Atienza said that under DAO 2009-05, the simplified procedure eliminates the tedious and complicated processing of the applications because it does not anymore require a certification from the Department of Public Works and Highways (DPWH) and that the land area is not needed for any project of the government.

"What is required under the streamlined procedure is simply a clearance from the municipal planning and development office of the local government unit concerned so that the sale of the land through MSA can be completed in just three months compared to the old procedure involving the certification from the DPWH which can even reach up to 30 years to complete," Atienza said.

The DENR chief also said that another important feature of the Order (DAO 2009-05) is the provision calling for a mass appraisal of all A and D residential lands in the locality to come up with appraised value based on the capability of the applicants to pay.

The mass appraisal according to Atienza, is aimed at coming up with an appraised value that is affordable to the buyers and already available even before they apply for an MSA for the purchased of the parcel.

"In the old procedure, the buyer/applicant becomes aware of the price of the parcel of the land he intends to buy only at the end of the process. Under the streamlined procedure, the applicant is already aware of the price of the parcel he is going to purchase even before he files his application," Atienza said.

Under the Administrative Order, "land of the public domain of the Republic of the Philippines which are non-timber or non-mineral suitable for residential purposes and are not needed for public service, and not exceeding 1,000 square meters may be acquired through private sale.

"Private sale" is defined as "sale of public lands to its actual occupants not subject to bidding".

The Order also provides that persons qualified to purchase said lands are Filipino citizens who do not own a home lot in the city or municipality where the land is located. They must also occupy the land applied for in good faith and must have constructed their houses thereon and reside therein.

The Order further provides that an appraisal committee composed of the community environment and natural resources (CENRO) or a land management officer, the local assessor and local planning officer shall be created by the DENR's Regional Executive Director to determine the price of the lands.

The Order stipulates that the capacity to pay of the prospective applicants should be given important consideration in the final determination of the cost of the land in order to make the sale affordable and attract more applicants/buyers.

"In the old procedure, the appraisal was based on market value, zonal value and last sale in the area, under the streamlined procedure the appraisal will be based largely on the capacity of the applicants to pay although other factors, such as assessed value from the local assessors's office, survey cost, administrative cost of titling and socio-economic data of the area, are also considered," Atienza said. (lmm)