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2002 Comprehensive Rules on Land Use Conversion
DAR Administrative Order No. 1 Series of 2002
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Land use conversion is the act or process of changing the current physical use of a piece of agricultural land into some other use or for another agricultural use other than the cultivation of soil, planting of crops, growing of trees, including harvesting of produce therefrom, as approved by DAR.
LAND CONVERSION
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refers to the act of specifying how agricultural lands shall be utilized for non-agricultural uses such as, residential, industrial, commercial, as embodied in the land use plan, subject to the requirements and procedure for land use conversion.
RECLASSIFICATION OF AGRICULTURAL LANDS
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land displaying marked characteristic justifying the operation of irrigation system.
IRRIGABLE LAND
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land serviced by natural irrigation or irrigation facilities. This includes lands where water is not readily available because existing irrigation facilities need rehabilitation or upgrading or where irrigation water is not available year-around.
IRRIGATED LAND
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refers to the policy enunciated in RA 8435 which prohibits the conversion of irrigated lands, irrigable lands already covered by irrigation projects with firm funding commitments, and lands with existing or having the potential for growing high value crops so delineated and included within the Strategic Agriculture and Fisheries Development Zones(SAFDZ) for the period starting February 1988 to Feb 09, 2003.
CONVERSION MORATORIUM
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refers to the undertaking of any development activity, the result of which may modify or alter the physical characteristics of the agricultural land into non-agricultural purposes without an approved conversion order from the DAR.
PREMATURE CONVERSION OF LAND
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conversion by any landowner of his agricultural land into any non-agricultural use with intent to avoid the application of RA 6657 to his landholding and to dispossess his tenant farmers of the land tilled by them;
ILLEGAL CONVERSION
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ENVIRONMENTALLY CRITICAL AREA
areas that are ecologically, socially or geologically sensitive as declared by law.
´NATIONAL PARKS
´WATERSHED RESERVES
´WILDLIFE PRESERVES
´SANCTUARIES
´POTENTIAL TOURIST SPOTS
´HABITAT OF ENDANGERED OR THREATENED PHILIPPINE PLANTS AND ANIMALS
´UNIQUES HISTORIC, ARCHEOLOGICAL OR SCIENTIFIC INTEREST
´TRADITIONALLY OCCUPIED BY INDIGENEOUS PEOPLE OR CULTURAL COMMUNITIES
´AREAS FREQUENTLY HIT NATURAL CALAMITIES(GEOLOGIC HAZARDS, FLOODS, TYPHOONS AND VOLCANIC ACTIVITY
´AEAS WITH CRITICAL SLOPES OF 18% AND ABOVE
´PRIME AGRICULTURAL LANDS RECHARGED AREAS OF AQUIFER.
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ENVIRONMENTALLY CRITICAL PROJECT
´Heavy industry project involving
´ ferrous metals
´Iron or steel mills
´Petroleum or petro-chemicals
´Oil
´Gas
´Smelting plants
´Major mining and quarrying projects
´Forestry lodging project
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ENVIRONMENTALLY CRITICAL PROJECT
´Major wood processing
´Introduction of fauna or exotic animals in public or private forests
´Forest occupancy
´Extraction of mangroves products
´Grazing
´Fishery dikes
´Fishpond development
´Major infrastructure project such as dam, power plant(utilizing fossil-fuel, hydro-electric, geothermal, or nuclear power), reclamation, bridge, major road
´Golf course project
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BASIS
RA 6657 – Comprehensive Agrarian Reform Law
RA 8435 – Agriculture & Fisheries Modernization Act
EXECUTIVE ORDER NO. 45 (October 24, 2001)- Prescribing Time Periods for Issuance of Housing-Related Certifications, Clearances and Permits, and Imposing Sanctions for Failure to Observe the Same
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COVERAGE
- Agricultural lands to be converted to non-agricultural uses
- Agricultural lands to be devoted to another type of agricultural activities such as livestock, poultry & fishpond
- Agricultural lands to be converted to non-agricultural uses other than that previously authorized
- Agricultural lands reclassified to non-agricultural uses by the LGU after June 15, 1988
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The Presidential Agrarian Reform Council (PARC) land use technical committee shall participate in the deliberation when the application involves land that is highly-restricted from conversion and with an area
larger that five (5) hectares, except housing projects covered by EO-45-2001.
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Lands within Strategic Agriculture and Fisheries Development Zones(SAFDZ) with sec 9 of RA 8435, the ff rules shall govern conversion of land.
1.All irrigated lands , irrigable lands already covered by irrigation projects with firm funding commitments, and lands with existing or having the potential for growing high-value crops included within the SAFDZ shall be subject to a conversion moratorium for a period of 5 years from FEB 10, 1998 to FEB 2003.
2.During the effectivity of the moratorium, conversion may be allowed with respect to only 5% of aid lands within SAFDZ upon compliance with existing laws, rules and regulations.
3.The maximum of five (5%) of lands eligible for conversion to non-agricultural use from the total SAFDZ are shall be jointly determined by the DA and the DAR upon the recommendation of the Regional and National SAFDZ Committees pursuant to Rule 9.5.2 of DA-AO-6-1998, or the implementing rules and regulations of RA 8435.
4.After the expiration of the moratorium, conversion may be allowed on a case to case basis, subject to existing laws, rules and regulation on land use conversion
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PRIORITY DEVELOPMENT AREAS AND PROJECTS FOR LAND CONVERSION
- Specific sites in Regional and Agri-Industrial Centers/Regional Industrial Centers (RAIC/RIC) identified by DTI and DA
- Tourism development areas(TDA) identified by DOT
- Areas intended for eco-zone projects, endorsed by PEZA
- Government-owned lands to be converted for projects of national interest
- Proposed to be developed as sites for processing plants f agri products, certified by DA
- Sites intended for telecommunication facilities endorsed by the NTC
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CRITERIA FOR CONVERSION
- Land has ceased to be economically feasible an sound for agricultural purposes or the locality has become urbanized and the land will have a greater economic value for residential, commercial, industrial, or other non-agricultural purposes
- Lands within SAFDZ
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WHO MAY APPLY FOR CONVERSION?
1.Owner of private agricultural land or duly authorized by the landowner
2.Beneficiaries of the agrarian reform program (CLOA ) after the lapse of 5 years reckoned from the date of issuance.
3.Government agencies, including government-owned or controlled corporations, ad LGUs, which own agricultural lands as their patrimonial property
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WHERE TO SECURE APPLICATION FORMS
- DAR Central Office (CLUPPI)
- Center for Land use Policy, Planning and Implementation
- DAR Regional Office (RCLUPPI)
- DAR Provincial Agrarian Reform Office (PARO)
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WHERE TO FILE APPLICATION FOR LAND USE CONVERSION
CLUPPI- above 5 hectares RCLUPPI - 5 hectares and below
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APPROVING AUTHORITIES
- DAR Regional Office (RCLUPPI) Regional Director
- -Less than or equal to 5 hectares
- DAR Central Office (CLUPPI) Secretary
- -5 hectares and above
- Secretary upon the recommendation of CLUPPI
- -If the land application concerns a parcel of land that is adjacent to another parcel of land that was previously granted a conversion order,
- -And the sum of the areas of both adjoining parcels of the land exceeds 5 has
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DOCUMENTARY REQUIREMENTS
- Proof of payment of necessary fees & posting of bonds
- Notarized Application
- Copy of OCT or TCT
- If untitled, DENR Certification on A & D status of land
- DENR/Court Certification that titling has began; and absence of adverse claimants
- True Copy of TCTs/OCTs of all subject land as of 15 June 1998, and all successor titles until present
- True Copy of current Tax Declaration
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DOCUMENTARY REQUIREMENTS
- Project Feasibility Study
- JVA or Business arrangement on the use of land between the landowner (or EP/CLOA holders) and developer
- Narrative description of development plan with detailed activities, program components, phasing, work schedule and financial plan duly certified by a licensed engineer, architect or land use planner
- Proof of financial and organizational capability of the developer to develop land
- Socio-economic benefit-cost study of the proposed project
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DOCUMENTARY REQUIREMENTS
´Recent 5R photos of the property
´SPA or Board Resolution
´Concurrence letter of the mortgagee; if land is encumbered
Certification from the MARO
1.Status of CARP coverage on & around the subject land
2.Condition of the posting of billboards
3.Presence of farmers, agricultural lessee, etc.
4.Posting of notices of application in conspicuous places
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DOCUMENTARY REQUIREMENTS
Affidavit/ Undertaking of the applicant stating:
List of tenants, farmworkers, bonafide occupants to be affected by conversion affected by conversion payment of or shall pay disturbance compensation required billboard has been erected not to undertake premature development authorizing DAR to forfeit bond in case of premature development has not commenced any action or filed any claim involving the same land in any court
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Certifications From:
- Housing and Land Use Regulatory Board (HLURB)
- Department of Agriculture (DA)
- Department of Environment and Natural Resources (DENR)
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Grounds for Revocation of Conversion Order
- Lack of jurisdiction by approving authority Misrepresentation of facts
- Non-compliance with the conditions
- Non-compliance with the agreement on payment of disturbance compensation
- Conversion to other use other than that authorized in the Conversion Order.
- Any other serious violation of agrarian laws
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Public Notice
- 4 Feet by 8 feet billboard made of strong weather- resistant material
- One billboard for every 20 hectares
- Located on visible points within the landholding applied, preferably along the road
- Written in local dialect
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Public Notice
- -Information includes
- Statement that the applicant is proposing to convert the subject landholding from agricultural to non – agricultural use
- Name of the landowner representative and developer
- Are and location
- Filing date
- Date of posting of billboard
- Schedule of ocular inspection
- Deadline for filing protest
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Public Notice
- Address of the CLUPPI and RCUPPI and
- PARO where oppositors may formally file their protest
- Address of the approving authority
- Date of approval or denial of the application
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Bond to Guarantee Against Premature Conversion
- To guarantee that the applicant shall not undertake premature conversion pending consideration of the application, and ensure faithful compliance with the conditions of the Co version Order, cash surety bonds shall be required
- Upon filing application, post a cash bond equivalent to at least (2.5%) of the zonal value of the land
- Surety bond issued by the GSIS, equivalent to at least to at (15%) of the total zonal value of the land
- The DAR shall forfeit the bond in favor of the Agrarian Reform Fund when it finds the applicant carrying out any premature conversion activity.
- Validity of bond shall be for a period of 1 year, renewable by not more than 1 year when necessary.
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Exemption of Bond to Guarantee Against Premature Conversion
- Socialized housing projects (HLURB)
- Resettlement projects for families displaced by development of government projects by National Housing Authority (NHA)
- Community Mortgage Program projects by National Home Mortgage Finance Corporation (NHMFC)
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LAND USE CONVERSION PROCEDURES
´File application
´Conduct of filed Investigation (10 days)
´Committee deliberation/ Recommendation (30 days)
´EFFECT OF PROTEST Interrupt running for processing
´Maximum Processing Period:
Regular - 130 days
Priority areas - 110 days
Housing - 70 days
´Issue Order of Conversion (30 days)
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