Agrarian Reform History: Reference

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AGRARIAN REFORM HISTORY

REFERENCE: http://www.dar.gov.ph/about-us/agrarian-reform-history/

Pre-Spanish Period

“This land is Ours God gave this land to us”

Before the Spaniards came to the Philippines, Filipinos lived in villages or barangays ruled by chiefs
or datus. The datus comprised the nobility. Then came the maharlikas (freemen), followed by the
aliping mamamahay (serfs) and aliping saguiguilid (slaves).

However, despite the existence of different classes in the social structure, practically everyone had
access to the fruits of the soil. Money was unknown, and rice served as the medium of exchange.

Spanish Period

“United we stand, divided we fall”

When the Spaniards came to the Philippines, the concept of encomienda (Royal Land Grants) was
introduced. This system grants that Encomienderos must defend his encomienda from external attack,
maintain peace and order within, and support the missionaries. In turn, the encomiendero acquired
the right to collect tribute from the indios (native).

The system, however, degenerated into abuse of power by the encomienderos. The tribute soon
became land rents to a few powerful landlords. And the natives who once cultivated the lands in
freedom were transformed into mere share tenants.

First Philippine Republic

“The yoke has finally broken”

When the First Philippine Republic was established in 1899, Gen. Emilio Aguinaldo declared in the
Malolos Constitution his intention to confiscate large estates, especially the so-called Friar lands.

However, as the Republic was short-lived, Aguinaldo’s plan was never implemented.

American Period

“Long live America”

Significant legislation enacted during the American Period:

• Philippine Bill of 1902 – Set the ceilings on the hectarage of private individuals and
corporations may acquire: 16 has. for private individuals and 1,024 has. for corporations.
• Land Registration Act of 1902 (Act No. 496) – Provided for a comprehensive registration
of land titles under the Torrens system.
• Public Land Act of 1903 – introduced the homestead system in the Philippines.
• Tenancy Act of 1933 (Act No. 4054 and 4113) – regulated relationships between
landowners and tenants of rice (50-50 sharing) and sugar cane lands.

The Torrens system, which the Americans instituted for the registration of lands, did not solve the
problem completely. Either they were not aware of the law or if they did, they could not pay the
survey cost and other fees required in applying for a Torrens title.

Commonwealth Period

“Government for the Filipinos”

President Manuel L. Quezon espoused the "Social Justice" program to arrest the increasing social
unrest in Central Luzon.

Significant legislation enacted during Commonwealth Period:

• 1935 Constitution – "The promotion of social justice to ensure the well-being and economic
security of all people should be the concern of the State"
• Commonwealth Act No. 178 (An Amendment to Rice Tenancy Act No. 4045), Nov. 13,
1936 – Provided for certain controls in the landlord-tenant relationships
• National Rice and Corn Corporation (NARIC), 1936 – Established the price of rice and
corn thereby help the poor tenants as well as consumers.
• Commonwealth Act. No. 461, 1937 – Specified reasons for the dismissal of tenants and
only with the approval of the Tenancy Division of the Department of Justice.
• Rural Program Administration, created March 2, 1939 – Provided the purchase and lease
of haciendas and their sale and lease to the tenants.
Commonwealth Act No. 441 enacted on June 3, 1939 – Created the National Settlement
Administration with a capital stock of P20,000,000.

Japanese Occupation

“The Era of Hukbalahap”

The Second World War II started in Europe in 1939 and in the Pacific in 1941.

Hukbalahap controlled whole areas of Central Luzon; landlords who supported the Japanese lost
their lands to peasants while those who supported the Huks earned fixed rentals in favor of the
tenants.

Unfortunately, the end of war also signaled the end of gains acquired by the peasants.

Upon the arrival of the Japanese in the Philippines in 1942, peasants and workers organizations
grew strength. Many peasants took up arms and identified themselves with the anti-Japanese
group, the HUKBALAHAP (Hukbo ng Bayan Laban sa Hapon).
Philippine Republic

“The New Republic”

After the establishment of the Philippine Independence in 1946, the problems of land tenure
remained. These became worst in certain areas. Thus the Congress of the Philippines revised the
tenancy law.

PRESIDENT MANUEL A. ROXAS (1946-1948) enacted the following laws:

• Republic Act No. 34 -- Established the 70-30 sharing arrangements and regulating share-
tenancy contracts.
• Republic Act No. 55 -- Provided for a more effective safeguard against arbitrary
ejectment of tenants.

ELPIDIO R. QUIRINO (1948-1953) enacted the following law:

Executive Order No. 355 issued on October 23, 1950 -- Replaced the National Land Settlement
Administration with Land Settlement Development Corporation (LASEDECO) which takes over the
responsibilities of the Agricultural Machinery Equipment Corporation and the Rice and Corn
Production Administration.

RAMON MAGSAYSAY (1953-1957) enacted the following laws:

• Republic Act No. 1160 of 1954 -- Abolished the LASEDECO and established the National
Resettlement and Rehabilitation Administration (NARRA) to resettle dissidents and landless
farmers. It was particularly aimed at rebel returnees providing home lots and farmlands in
Palawan and Mindanao.
• Republic Act No. 1199 (Agricultural Tenancy Act of 1954) -- governed the relationship
between landowners and tenant farmers by organizing share-tenancy and leasehold
system. The law provided the security of tenure of tenants. It also created the Court of
Agrarian Relations.
• Republic Act No. 1400 (Land Reform Act of 1955) -- Created the Land Tenure
Administration (LTA) which was responsible for the acquisition and distribution of large
tenanted rice and corn lands over 200 hectares for individuals and 600 hectares for
corporations.
• Republic Act No. 821 (Creation of Agricultural Credit Cooperative Financing
Administration) -- Provided small farmers and share tenants’ loans with low interest rates
of six to eight percent.

PRESIDENT CARLOS P. GARCIA (1957-1961)

Continued the program of President Ramon Magsaysay. No new legislation passed.

PRESIDENT DIOSDADO P. MACAPAGAL (1961-1965) enacted the following law:

Republic Act No. 3844 of August 8, 1963 (Agricultural Land Reform Code) -- Abolished share
tenancy, institutionalized leasehold, set retention limit at 75 hectares, invested rights of preemption
and redemption for tenant farmers, provided for an administrative machinery for implementation,
institutionalized a judicial system of agrarian cases, incorporated extension, marketing and
supervised credit system of services of farmer beneficiaries.

The RA was hailed as one that would emancipate Filipino farmers from the bondage of tenancy.

PRESIDENT FERDINAND E. MARCOS (1965-1986)

Proclamation No. 1081 on September 21, 1972 ushered the Period of the New Society. Five days
after the proclamation of Martial Law, the entire country was proclaimed a land reform area and
simultaneously the Agrarian Reform Program was decreed.

President Marcos enacted the following laws:

• Republic Act No. 6389, (Code of Agrarian Reform) and RA No. 6390 of 1971 -- Created
the Department of Agrarian Reform and the Agrarian Reform Special Account Fund. It
strengthen the position of farmers and expanded the scope of agrarian reform.
• Presidential Decree No. 2, September 26, 1972 -- Declared the country under land reform
program. It enjoined all agencies and offices of the government to extend full cooperation
and assistance to the DAR. It also activated the Agrarian Reform Coordinating Council.
• Presidential Decree No. 27, October 21, 1972 -- Restricted land reform scope to tenanted
rice and corn lands and set the retention limit at 7 hectares.

PRESIDENT CORAZON C. AQUINO (1986-1992)

The Constitution ratified by the Filipino people during the administration of President Corazon C.
Aquino provides under Section 21 under Article II that “The State shall promote comprehensive rural
development and agrarian reform.”

On June 10, 1988, former President Corazon C. Aquino signed into law Republic Act No. 6657 or
otherwise known as the Comprehensive Agrarian Reform Law (CARL). The law became effective
on June 15, 1988.

Subsequently, four Presidential issuances were released in July 1987 after 48 nationwide
consultations before the actual law was enacted.

President Corazon C. Aquino enacted the following laws:

• Executive Order No. 228, July 16, 1987 – Declared full ownership to qualified farmer-
beneficiaries covered by PD 27. It also determined the value remaining unvalued rice and
corn lands subject of PD 27 and provided for the manner of payment by the FBs and mode
of compensation to landowners.
• Executive Order No. 229, July 22, 1987 – Provided mechanism for the implementation of
the Comprehensive Agrarian Reform Program (CARP).
• Proclamation No. 131, July 22, 1987 – Instituted the CARP as a major program of the
government. It provided for a special fund known as the Agrarian Reform Fund (ARF), with
an initial amount of Php50 billion to cover the estimated cost of the program from 1987-
1992.
• Executive Order No. 129-A, July 26, 1987 – streamlined and expanded the power and
operations of the DAR.
• Republic Act No. 6657, June 10, 1988 (Comprehensive Agrarian Reform Law) – An act
which became effective June 15, 1988 and instituted a comprehensive agrarian reform
program to promote social justice and industrialization providing the mechanism for its
implementation and for other purposes. This law is still the one being implemented at
present.
• Executive Order No. 405, June 14, 1990 – Vested in the Land Bank of the Philippines the
responsibility to determine land valuation and compensation for all lands covered by CARP.
• Executive Order No. 407, June 14, 1990 – Accelerated the acquisition and distribution of
agricultural lands, pasture lands, fishponds, agro-forestry lands and other lands of the
public domain suitable for agriculture.

PRESIDENT FIDEL V. RAMOS (1992-1998)

When President Fidel V. Ramos formally took over in 1992, his administration came face to face
with publics who have lost confidence in the agrarian reform program. His administration committed
to the vision “Fairer, faster and more meaningful implementation of the Agrarian Reform Program.

President Fidel V. Ramos enacted the following laws:

• Republic Act No. 7881, 1995 – Amended certain provisions of RA 6657 and exempted
fishponds and prawns from the coverage of CARP.
• Republic Act No. 7905, 1995 – Strengthened the implementation of the CARP.
• Executive Order No. 363, 1997 – Limits the type of lands that may be converted by setting
conditions under which limits the type of lands that may be converted by setting conditions
under which specific categories of agricultural land are either absolutely non-negotiable
for conversion or highly restricted for conversion.
• Republic Act No. 8435, 1997 (Agriculture and Fisheries Modernization Act AFMA) –
Plugged the legal loopholes in land use conversion.
• Republic Act 8532, 1998 (Agrarian Reform Fund Bill) – Provided an additional Php50
billion for CARP and extended its implementation for another 10 years.

PRESIDENT JOSEPH E. ESTRADA (1998-2000)

“ERAP PARA SA MAHIRAP’. This was the battle cry that endeared President Joseph Estrada and
made him very popular during the 1998 presidential election.

President Joseph E. Estrada initiated the enactment of the following law:

Executive Order N0. 151, September 1999 (Farmer’s Trust Fund) – Allowed the voluntary
consolidation of small farm operation into medium and large scale integrated enterprise that can
access long-term capital.

During his administration, President Estrada launched the Magkabalikat Para sa Kaunlarang
Agraryo or MAGKASAKA. The DAR forged into joint ventures with private investors into agrarian
sector to make FBs competitive.
However, the Estrada Administration was short lived. The masses who put him into office demanded
for his ouster.

PRESIDENT GLORIA MACAPACAL-ARROYO (2000-2010)

The agrarian reform program under the Arroyo administration is anchored on the vision “To make
the countryside economically viable for the Filipino family by building partnership and promoting
social equity and new economic opportunities towards lasting peace and sustainable rural
development.”

Land Tenure Improvement - DAR will remain vigorous in implementing land acquisition and
distribution component of CARP. The DAR will improve land tenure system through land distribution
and leasehold.

Provision of Support Services - CARP not only involves the distribution of lands but also included
package of support services which includes: credit assistance, extension services, irrigation facilities,
roads and bridges, marketing facilities and training and technical support programs.

Infrastrucre Projects - DAR will transform the agrarian reform communities (ARCs), an area focused
and integrated delivery of support services, into rural economic zones that will help in the creation
of job opportunities in the countryside.

KALAHI ARZone - The KALAHI Agrarian Reform (KAR) Zones were also launched. These zones
consists of one or more municipalities with concentration of ARC population to achieve greater agro-
productivity.

Agrarian Justice - To help clear the backlog of agrarian cases, DAR will hire more paralegal
officers to support undermanned adjudicatory boards and introduce quota system to compel
adjudicators to work faster on agrarian reform cases. DAR will respect the rights of both farmers
and landowners.

PRESIDENT BENIGNO AQUINO III (2010-2016)

President Benigno Aquino III vowed during his 2012 State of the Nation Address that he would
complete before the end of his term the Comprehensive Agrarian Reform Program (CARP), the
centerpiece program of the administration of his mother, President Corazon Aquino.

The younger Aquino distributed their family-owned Hacienda Luisita in Tarlac. Apart from the said
farm lots, he also promised to complete the distribution of privately-owned lands of productive
agricultural estates in the country that have escaped the coverage of the program.

Under his administration, the Agrarian Reform Community Connectivity and Economic Support
Services (ARCCESS) project was created to contribute to the overall goal of rural poverty reduction
especially in agrarian reform areas.

Agrarian Production Credit Program (APCP) provided credit support for crop production to newly
organized and existing agrarian reform beneficiaries’ organizations (ARBOs) and farmers’
organizations not qualified to avail themselves of loans under the regular credit windows of banks.
The legal case monitoring system (LCMS), a web-based legal system for recording and monitoring
various kinds of agrarian cases at the provincial, regional and central offices of the
DAR to ensure faster resolution and close monitoring of agrarian-related cases, was also launched.

Aside from these initiatives, Aquino also enacted Executive Order No. 26, Series of 2011, to
mandate the Department of Agriculture-Department of Environment and Natural Resources-
Department of Agrarian Reform Convergence Initiative to develop a National Greening Program
in cooperation with other government agencies.

PRESIDENT RODRIGO ROA DUTERTE (2016 – PRESENT)

Under his leadership, the President wants to pursue an “aggressive” land reform program that
would help alleviate the life of poor Filipino farmers by prioritizing the provision of support services
alongside land distribution.

The President directed the DAR to launch the 2nd phase of agrarian reform where landless farmers
would be awarded with undistributed lands under the Comprehensive Agrarian Reform Program
(CARP).

Duterte plans to place almost all public lands, including military reserves, under agrarian reform.

The President also placed 400 hectares of agricultural lands in Boracay under CARP.

Under his administration the DAR created an anti-corruption task force to investigate and handle
reports on alleged anomalous activities by officials and employees of the department.

The Department also pursues an “Oplan Zero Backlog” in the resolution of cases in relation to
agrarian justice delivery of the agrarian reform program to fast-track the implementation of CARP.
COMPREHENSIVE AGRARIAN REFORM EXTENSION WITH REFORMS
Reference: https://www.lawphil.net/statutes/repacts/ra2009/ra_9700_2009.html

Fourteenth Congress
Third Regular Session

Begun and held in Metro Manila, on Monday, the twenty-seventh day of July, two thousand nine.

REPUBLIC ACT No. 9700


August 7, 2009

AN ACT STRENGTHENING THE COMPREHENSIVE AGRARIAN REFORM PROGRAM (CARP),


EXTENDING THE ACQUISITION AND DISTRIBUTION OF ALL AGRICULTURAL LANDS, INSTITUTING
NECESSARY REFORMS, AMENDING FOR THE PURPOSE CERTAIN PROVISIONS OF REPUBLIC ACT NO.
6657, OTHERWISE KNOWN AS THE COMPREHENSIVE AGRARIAN REFORM LAW OF 1988, AS
AMENDED, AND APPROPRIATING FUNDS THEREFOR

Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled::

Section1. Section 2 of Republic Act No. 6657, as amended, otherwise known as the Comprehensive Agrarian
Reform Law of 1988, is hereby further amended to read as follows:

"SEC. 2. Declaration of Principles and Policies. - It is the policy of the State to pursue a Comprehensive
Agrarian Reform Program (CARP). The welfare of the landless farmers and farmworkers will receive the
highest consideration to promote social justice and to move the nation toward sound rural development and
industrialization, and the establishment of owner cultivatorship of economic-size farms as the basis of
Philippine agriculture.

"The State shall promote industrialization and full employment based on sound agricultural development and
agrarian reform, through industries that make full and efficient use of human and natural resources, and
which are competitive in both domestic and foreign markets: Provided, That the conversion of agricultural
lands into industrial, commercial or residential lands shall take into account, tillers' rights and national food
security. Further, the State shall protect Filipino enterprises against unfair foreign competition and trade
practices.

"The State recognizes that there is not enough agricultural land to be divided and distributed to each farmer
and regular farmworker so that each one can own his/her economic-size family farm. This being the case, a
meaningful agrarian reform program to uplift the lives and economic status of the farmer and his/her
children can only be achieved through simultaneous industrialization aimed at developing a self-reliant and
independent national economy effectively controlled by Filipinos.

"To this end, the State may, in the interest of national welfare or defense, establish and operate vital
industries.

"A more equitable distribution and ownership of land, with due regard to the rights of landowners to just
compensation, retention rights under Section 6 of Republic Act No. 6657, as amended, and to the ecological
needs of the nation, shall be undertaken to provide farmers and farmworkers with the opportunity to enhance
their dignity and improve the quality of their lives through greater productivity of agricultural lands.
"The agrarian reform program is founded on the right of farmers and regular farmworkers, who are landless,
to own directly or collectively the lands they till or, in the case of other farmworkers, to receive a just share
of the fruits thereof. To this end, the State shall encourage and undertake the just distribution of all
agricultural lands, subject to the priorities and retention limits set forth in this Act, taking into account
ecological, developmental, and equity considerations, and subject to the payment of just compensation. The
State shall respect the right of small landowners, and shall provide incentive for voluntary land-sharing.

"As much as practicable, the implementation of the program shall be community-based to assure, among
others, that the farmers shall have greater control of farmgate prices, and easier access to credit.

"The State shall recognize the right of farmers, farmworkers and landowners, as well as cooperatives and
other independent farmers’ organizations, to participate in the planning, organization, and management of
the program, and shall provide support to agriculture through appropriate technology and research, and
adequate financial, production, marketing and other support services.

"The State shall recognize and enforce, consistent with existing laws, the rights of rural women to own and
control land, taking into consideration the substantive equality between men and women as qualified
beneficiaries, to receive a just share of the fruits thereof, and to be represented in advisory or appropriate
decision-making bodies. These rights shall be independent of their male relatives and of their civil status.

"The State shall apply the principles of agrarian reform, or stewardship, whenever applicable, in accordance
with law, in the disposition or utilization of other natural resources, including lands of the public domain,
under lease or concession, suitable to agriculture, subject to prior rights, homestead rights of small settlers
and the rights of indigenous communities to their ancestral lands.

"The State may resettle landless farmers and farm workers in its own agricultural estates, which shall be
distributed to them in the manner provided by law.

"By means of appropriate incentives, the State shall encourage the formation and maintenance of economic-
size family farms to be constituted by individual beneficiaries and small landowners.

"The State shall protect the rights of subsistence fishermen, especially of local communities, to the preferential
use of communal marine and fishing resources, both inland and offshore. It shall provide support to such
fishermen through appropriate technology and research, adequate financial, production and marketing
assistance and other services. The State shall also protect, develop and conserve such resources. The
protection shall extend to offshore fishing grounds of subsistence fishermen against foreign intrusion.
Fishworkers shall receive a just share from their labor in the utilization of marine and fishing resources.

"The State shall be guided by the principles that land has a social function and land ownership has a social
responsibility. Owners of agricultural land have the obligation to cultivate directly or through labor
administration the lands they own and thereby make the land productive.

"The State shall provide incentives to landowners to invest the proceeds of the agrarian reform program to
promote industrialization, employment and privatization of public sector enterprises. Financial instruments
used as payment for lands shall contain features that shall enhance negotiability and acceptability in the
marketplace.

"The State may lease undeveloped lands of the public domain to qualified entities for the development of
capital-intensive farms, and traditional and pioneering crops especially those for exports subject to the prior
rights of the beneficiaries under this Act."

Section 2. Section 3 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:
"SEC. 3. Definitions. - For the purpose of this Act, unless the context indicates otherwise:

"x x x

"(f) Farmer refers to a natural person whose primary livelihood is cultivation of land or the production of
agricultural crops, livestock and/or fisheries either by himself/herself, or primarily with the assistance of
his/her immediate farm household, whether the land is owned by him/her, or by another person under a
leasehold or share tenancy agreement or arrangement with the owner thereof.

"x x x

"(1) Rural women refer to women who are engaged directly or indirectly in farming and/or fishing as their
source of livelihood, whether paid or unpaid, regular or seasonal, or in food preparation, managing the
household, caring for the children, and other similar activities."

Section 3. Section 4 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 4.Scope. -The Comprehensive Agrarian Reform Law of 1988 shall cover, regardless of tenurial
arrangement and commodity produced, all public and private agricultural lands as provided in Proclamation
No. 131 and Executive Order No. 229, including other lands of the public domain suitable for
agriculture: Provided, That landholdings of landowners with a total area of five (5) hectares and below shall
not be covered for acquisition and distribution to qualified beneficiaries.

"More specifically, the following lands are covered by the CARP:

"(a) All alienable and disposable lands of the public domain devoted to or suitable for agriculture. No
reclassification of forest or mineral lands to agricultural lands shall be undertaken after the approval of this
Act until Congress, taking into account ecological, developmental and equity considerations, shall have
determined by law, the specific limits of the public domain;

"(b) All lands of the public domain in excess of the specific limits as determined by Congress in the preceding
paragraph;

"(c) All other lands owned by the Government devoted to or suitable for agriculture; and

"(d) All private lands devoted to or suitable for agriculture regardless of the agricultural products raised or
that can be raised thereon.

"A comprehensive inventory system in consonance with the national land use plan shall be instituted by the
Department of Agrarian Reform (DAR), in accordance with the Local Government Code, for the purpose of
properly identifying and classifying farmlands within one (1)year from effectivity of this Act, without
prejudice to the implementation of the land acquisition and distribution."

Section 4. There shall be incorporated after Section 6 of Republic Act No. 6657, as amended, new sections
to read as follows:

"SEC. 6-A. Exception to Retention Limits. - Provincial, city and municipal government ,units acquiring private
agricultural lands by expropriation or other modes of acquisition to be used for actual, direct and exclusive
public purposes, such as roads and bridges, public markets, school sites, resettlement sites, local government
facilities, public parks and barangay plazas or squares, consistent with the approved local comprehensive
land use plan, shall not be subject to the five (5)-hectare retention limit under this Section and Sections 70
and 73(a) of Republic Act No. 6657, as amended: Provided, That lands subject to CARP shall first undergo
the land acquisition and distribution process of the program: Provided, further, That when these lands have
been subjected to expropriation, the agrarian reform beneficiaries therein shall be paid just compensation."

"SEC. 6-B. Review of Limits of Land Size. - Within six (6) months from the effectivity of this Act, the DAR shall
submit a comprehensive study on the land size appropriate for each type of crop to Congress for a possible
review of limits of land sizes provided in this Act."

Section 5. Section 7 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 7. Priorities. - The DAR, in coordination with the Presidential Agrarian Reform Council (PARC) shall
plan and program the final acquisition and distribution of all remaining unacquired and undistributed
agricultural lands from the effectivity of this Act until June 30, 2014. Lands shall be acquired and distributed
as follows:

"Phase One: During the five (5)-year extension period hereafter all remaining lands above fifty (50)
hectares shall be covered for purposes of agrarian reform upon the effectivity of this Act. All private
agricultural lands of landowners with aggregate landholdings in excess of fifty (50) hectares which have
already been subjected to a notice of coverage issued on or before December 10, 2008; rice and corn
lands under Presidential Decree No. 27; all idle or abandoned lands; all private lands voluntarily offered
by the owners for agrarian reform: Provided, That with respect to voluntary land transfer, only those
submitted by June 30, 2009 shall be allowed Provided, further, That after June 30, 2009, the modes of
acquisition shall be limited to voluntary offer to sell and compulsory acquisition: Provided, furthermore, That
all previously acquired lands wherein valuation is subject to challenge by landowners shall be completed
and finally resolved pursuant to Section 17 of Republic Act No. 6657, as amended: Provided, finally, as
mandated by the Constitution, Republic Act No. 6657, as amended, and Republic Act No. 3844,as amended,
only farmers (tenants or lessees) and regular farmworkers actually tilling the lands, as certified under oath
by the Barangay Agrarian Reform Council (BARC) and attested under oath by the landowners, are the
qualified beneficiaries. The intended beneficiary shall state under oath before the judge of the city or
municipal court that he/she is willing to work on the land to make it productive and to assume the obligation
of paying the amortization for the compensation of the land and the land taxes thereon; all lands foreclosed
by government financial institutions; all lands acquired by the Presidential Commission on Good Government
(PCGG); and all other lands owned by the government devoted to or suitable for agriculture, which shall be
acquired and distributed immediately upon the effectivity of this Act, with the implementation to be
completed by June 30, 2012;

"Phase Two: (a) Lands twenty-four (24) hectares up to fifty (50) hectares shall likewise be covered for
purposes of agrarian reform upon the effectivity of this Act. All alienable and disposable public agricultural
lands; all arable public agricultural lands under agro-forest, pasture and agricultural leases already
cultivated and planted to crops in accordance with Section 6, Article XIII of the Constitution; all public
agricultural lands which are to be opened for new development and resettlement: and all private agricultural
lands of landowners with aggregate landholdings above twenty-four (24) hectares up to fifty (50) hectares
which have already been subjected to a notice of coverage issued on or before December 1O, 2008, to
implement principally the rights of farmers and regular farmworkers, who are landless, to own directly or
collectively the lands they till, which shall be distributed immediately upon the effectivity of this Act, with the
implementation to be completed by June 30, 2012; and

"(b) All remaining private agricultural lands of landowners with aggregate landholdings in excess of
twenty-four (24) hectares, regardless as to whether these have been subjected to notices of coverage or
not, with the implementation to begin on July 1, 2012 and to be completed by June 30, 2013;
"Phase Three: All other private agricultural lands commencing with large landholdings and proceeding
to medium and small landholdings under the following schedule:

"(a) Lands of landowners with aggregate landholdings above ten (10) hectares up to twenty- four
(24)hectares, insofar as the excess hectarage above ten (10) hectares is concerned, to begin on July 1,2012
and to be completed by June 30, 2013; and

"(b) Lands of landowners with aggregate landholdings from the retention limit up to ten (10) hectares,
to begin on July 1, 2013 and to be completed by June 30, 2014; to implement principally the right of
farmers and regular farmworkers who are landless, to own directly or collectively the lands they till.

"The schedule of acquisition and redistribution of all agricultural lands covered by this program shall be
made in accordance with the above order o f priority, which shall be provided in the implementing rules to
be prepared by the PARC, taking into consideration the following: the landholdings wherein the farmers are
organized and understand ,the meaning and obligations of farmland ownership; the distribution of lands to
the tillers at the earliest practicable time; the enhancement of agricultural productivity; and the availability
of funds and resources to implement and support the program: Provided, That the PARC shall design and
conduct seminars, symposia, information campaigns, and other similar programs for farmers who are not
organized or not covered by any landholdings. Completion by these farmers of the aforementioned
seminars, symposia, and other similar programs shall be encouraged in the implementation of this Act
particularly the provisions of this Section.

"Land acquisition and distribution shall be completed by June 30, 2014 on a province-by- province
basis. In any case, the PARC or the PARC Executive Committee (PARC EXCOM), upon recommendation by
the Provincial Agrarian Reform Coordinating Committee (PARCCOM), may declare certain provinces as
priority land reform areas, in which case the acquisition and distribution of private agricultural lands therein
under advanced phases may be implemented ahead of the above schedules on the condition that prior
phases in these provinces have been completed: Provided, That notwithstanding the above schedules, phase
three (b) shall not be implemented in a particular province until at least ninety percent (90%) of the provincial
balance of that particular province as of January 1, 2009 under Phase One, Phase Two (a), Phase Two
(b),,and Phase Three (a), excluding lands under the jurisdiction of the Department of Environment and Natural
Resources (DENR), have been successfully completed.

"The PARC shall establish guidelines to implement the above priorities and distribution scheme, including
the determination of who are qualified beneficiaries: Provided, That an owner-tiller may be a beneficiary
of the land he/she does not own but is actually cultivating to the extent of the difference between the area
of the land he/she owns and the award ceiling of three (3) hectares: Provided, further, That collective
ownership by the farmer beneficiaries shall be subject to Section 25 of Republic Act No. 6657, as amended:
Provided, furthermore, That rural women shall be given the opportunity t o participate in the development
planning and implementation of this Act: Provided, finally, That in no case should the agrarian reform
beneficiaries' sex, economic, religious, social, cultural and political attributes adversely affect the distribution
of lands."

Section 6. The title of Section 16of Republic Act No. 6657, as amended, is hereby further amended to read
as follows:

"SEC. 16. Procedure for Acquisition and Distribution of Private Lands."

Section 7. Section 17of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 17. Determination of Just Compensation. - In determining just compensation, the cost of acquisition
of the land, the value of the standing crop, the current: value of like properties, its nature, actual use and
income, the sworn valuation by the owner, the tax declarations, the assessment made by government
assessors, and seventy percent (70%) of the zonal valuation of the Bureau of Internal Revenue (BIR),
translated into a basic formula by the DAR shall be considered, subject to the final decision of the proper
court. The social and economic benefits contributed by the farmers and the farmworkers and by the
Government to the property as well as the nonpayment of taxes or loans secured from any government
financing institution on the said land shall be considered as additional factors to determine its valuation."

Section 8. There shall be incorporated after Section 22 of Republic Act No. 6657, as amended, a new
section to read as follows:

"SEC. 22-A. Order of Priority. - A landholding of a landowner shall be distributed first to qualified
beneficiaries under Section 22, subparagraphs (a) and (b) of that same landholding up to a maximum of
three (3) hectares each. Only when these beneficiaries have all received three (3) hectares each, shall the
remaining portion of the landholding, if any, be distributed to other beneficiaries under Section 22,
subparagraphs (c), (d), (e), (f), and (g)."

Section 9. Section 24 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 24. Award to Beneficiaries. - The rights and responsibilities of the beneficiaries shall commence
from their receipt of a duly registered emancipation patent or certificate of land ownership award and their
actual physical possession of the awarded land. Such award shall be completed in not more than one hundred
eighty (180) days from the date of registration of the title in the name of the Republic of the
Philippines: Provided, That the emancipation patents, the certificates of land ownership award, and other
titles issued under any agrarian reform program shall be indefeasible and imprescriptible after one (1) year
from its registration with the Office of the Registry of Deeds, subject to the conditions, limitations and
qualifications of this Act, the property registration decree, and other pertinent laws. The emancipation
patents or the certificates of land ownership award being titles brought under the operation of the torrens
system, are conferred with the same indefeasibility and security afforded to all titles under the said system,
as provided for by Presidential Decree No. 1529, as amended by Republic Act No. 6732.

"It is the ministerial duty of the Registry of Deeds to register the title of the land in the name of the
Republic of the Philippines, after the Land Bank of the Philippines (LBP) has certified that the necessary
deposit in the name of the landowner constituting full payment in cash or in bond with due notice to the
landowner and the registration of the certificate of land ownership award issued to the beneficiaries, and
to cancel previous titles pertaining thereto.

"Identified and qualified agrarian reform beneficiaries, based on Section 22 of Republic Act No.
6657, as, amended, shall have usufructuary rights over the awarded land as soon as the DAR takes
possession of such land, and such right shall not be diminished even pending the awarding of the
emancipation patent or the certificate of land ownership award.

"All cases involving the cancellation of registered emancipation patents, certificates of land ownership
award, and other titles issued under any agrarian reform program are within the exclusive and original
jurisdiction of the Secretary of the DAR."

Section 10. Section 25 of Republic Act So. 6657, as amended, is hereby further amended to read as follows:

"SEC.25. Award Ceilings for Beneficiaries. - Beneficiaries shall be awarded an area not exceeding three (3)
hectares, which may cover a contiguous tract of land or several parcels of land cumulated up to the
prescribed award limits. The determination of the size of the land for distribution shall consider crop type,
,soil type, weather patterns and other pertinent variables or factors which are deemed critical for the success
of the beneficiaries.
"For purposes of this Act, a landless beneficiary is one who owns less than three (3) hectares of agricultural
land.

"Whenever appropriate, the DAR shall encourage the agrarian reform beneficiaries to form or join farmers'
cooperatives for purposes of affiliating with existing cooperative banks in their respective provinces or
localities, as well as forming blocs of agrarian reform beneficiaries, corporations, and partnerships and
joining other farmers' collective organizations, including irrigators' associations: Provided, That the agrarian
reform beneficiaries shall be assured of corresponding shares in the corporation, seats in the board of
directors, and an equitable share in the profit.

"In general, the land awarded to a farmer- beneficiary should be in the form of an individual title, covering
one (1)contiguous tract or several parcels of land cumulated up to a maximum of three (3) hectares.

"The beneficiaries may opt for collective ownership, such as co-workers or farmers cooperative or some other
form of collective organization and for the issuance of collective ownership titles: Provided, That the total
area that may be awarded shall not exceed the total number of co-owners or members of the cooperative
or collective organization multiplied by the award limit above prescribed, except in meritorious cases as
determined by the PARC.

"The conditions for the issuance of collective titles are as follows:

"(a) The current farm management system of the land covered by CARP will not be appropriate for individual
farming of farm parcels;

"(b) The farm labor system is specialized, where the farmworkers are organized by functions and not by
specific parcels such as spraying, weeding, packing and other similar functions;

"(c) The potential beneficiaries are currently not farming individual parcels hut collectively work on large
contiguous areas; and

"(d) The farm consists of multiple crops being farmed in an integrated manner or includes non- crop
production areas that are necessary for the viability of farm operations, such as packing plants, storage
areas, dikes, and other similar facilities that cannot be subdivided or assigned to individual farmers.

"For idle and abandoned lands or underdeveloped agricultural lands to be covered by CARP, collective
ownership shall be allowed only if the beneficiaries opt for it and there is a clear development plan that
would require collective farming or integrated farm operations exhibiting the conditions described above.
Otherwise, the land awarded to a farmer-beneficiary should be in the form of a n individual title, covering
one (1) contiguous tract or several parcels of land cumulated up to a maximum of three (3) hectares.

"In case of collective ownership, title to the property shall be issued in the name of the co- owners or the
cooperative or collective organization as the case may be. If the certificates of land ownership award are
given to cooperatives then the names of the beneficiaries must also be listed in the same certificate of land
ownership award.

"With regard to existing collective certificates of land ownership award, the DAR should immediately
undertake the parcelization of said certificates of land ownership award, particularly those that do not
exhibit the conditions for collective ownership outlined above. The DAR shall conduct a review and
redocumentation of all the collective certificates of land ownership award. The DAR shall prepare a
prioritized list of certificates of land ownership award to be parcelized. The parcelization shall commence
immediately upon approval of this Act and shall not exceed a period of three (3) years. Only those existing
certificates of land ownership award that are collectively farmed or are operated in an integrated manner
shall remain as collective."

Section 11. Section 26 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 26. Payment by Beneficiaries. - Lands awarded pursuant to this Act shall be paid for by the
beneficiaries to the LBP in thirty (30) annual amortizations at six percent (6%) interest per annum. The annual
amortization shall start one (1) year from the date of the certificate of land ownership award registration.
However, if the occupancy took place after the certificate of land ownership award registration, the
amortization shall start one (1) year from actual occupancy. The payments for the first three (3) years after
the award shall be at reduced amounts as established by the PARC: Provided, That the first five (5) annual
payments may not be more than five percent (5%) of the value of the annual gross production as established
by the DAR. Should the scheduled annual payments after the fifth (5th) year exceed ten percent (10%) of
the annual gross production and the failure to produce accordingly is not due to the beneficiary's fault, the
LBP shall reduce the interest rate and/or reduce the principal obligation to make the repayment affordable.

"The LBP shall have a lien by way of mortgage on the land awarded to the beneficiary; and this
mortgage may be foreclosed by the LBP for non-payment of an aggregate of three (3) annual amortizations.
The LBP shall advise the DAR of such proceedings and the latter shall subsequently award the forfeited
landholding to other qualified beneficiaries. A beneficiary whose land, as provided herein, has been
foreclosed shall thereafter be permanently disqualified from becoming a beneficiary under this Act."

Section 12. Section 27 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 27. Transferability of Awarded Lands. - Lands acquired by beneficiaries under this Act or other
agrarian reform laws shall not be sold, transferred or conveyed except through hereditary succession, or to
the government, or to the LBP, or to other qualified beneficiaries through the DAR for a period of ten (10)
years: Provided, however, That the children or the spouse of the transferor shall have a right to repurchase
the land from the government or LBP within a period of two (2) years. Due notice of the availability of the
land shall be given by the LBP to the BARC of the barangay where the land is situated. The PARCCOM, as
herein provided, shall, in turn, be given due notice thereof by the BARC.

"The title of the land awarded under the agrarian reform must indicate that it is an emancipation
patent or a certificate of land ownership award and the subsequent transfer title must also indicate that it is
an emancipation patent or a certificate of land ownership award.

"If the land has not yet been fully paid by the beneficiary, the rights to the land may be transferred
or conveyed, with prior approval of the DAR, to any heir of the beneficiary or to any other beneficiary who,
as a condition for such transfer or conveyance, shall cultivate the land himself/herself. Failing compliance
herewith, the land shall be transferred to the LBP which shall give due notice of the availability of the land
in the manner specified in the immediately preceding paragraph.

"In the event of such transfer to the LBP, the latter shall compensate the beneficiary in one lump sump
for the amounts the latter has already paid, together with the value of improvements he/she has made on
the land."

Section 13. Section 36 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 36. Funding for Support Services. - In order to cover the expenses and cost of support services,
at least forty percent (40%) of all appropriations for agrarian reform during the five (5) year extension
period shall be immediately set aside and made available for this purpose: Provided, That the DAR shall
pursue integrated land acquisition and distribution and support services strategy requiring a plan to be
developed parallel to the land acquisition and distribution process. The planning and implementation for
land acquisition and distribution shall be hand-in-hand with support services delivery: Provided, further, That
for the next five (5) years, as far as practicable, a minimum of two (2) Agrarian Reform Communities (ARCs)
shall be established by the DAR, in coordination with the local government units, non-governmental
organizations, 'community-based cooperatives and people's organizations in each legislative district with a
predominant agricultural population: Provided, furthermore, That the areas in which the ARCS are to be
established shall have been substantially covered under the provisions of this Act and other agrarian or land
reform laws: Provided, finally, That a complementary support services delivery strategy for existing agrarian
reform beneficiaries that are not in barangays within the ARCs shall be adopted by the DAR.

"For this purpose, an Agrarian Reform Community is composed and managed by agrarian reform
beneficiaries who shall be willing to be organized and to undertake the integrated development of an area
and/or their organizations/ cooperatives. In each community, the DAR, together with the agencies and
organizations abovementioned, shall identify the farmers' association, cooperative or their respective
federations approved by the farmers- beneficiaries that shall take the lead in the agricultural development
of the area. In addition, the DAR, in close coordination with the congressional oversight committee created
herein, with due notice to the concerned representative of the legislative district prior to implementation shall
be authorized to package proposals and receive grants, aids and other forms of financial assistance from
any source"

Section 14. Section 37 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 37. Support Services for the Agrarian Reform Beneficiaries. - The State shall adopt the integrated
policy of support services delivery to agrarian reform beneficiaries. To this end, the DAR, the Department
of Finance, and the Bangko Sentral ng Pilipinas (BSP) shall institute reforms to liberalize access to credit by
agrarian reform beneficiaries. The PARC shall ensure that support services for agrarian reform beneficiaries
are provided, such as:

"(a) Land surveys and titling;

"(b) Socialized terms on agricultural credit facilities;

"Thirty percent (30%) of all appropriations for support services referred to in Section 36 of Republic
Act No. 6657, as amended, shall be immediately set aside and made available for agricultural credit
facilities: Provided, That one-third (1/3) of this segregated appropriation shall be specifically allocated for
subsidies to support the initial capitalization for agricultural production to new agrarian reform beneficiaries
upon the awarding of the emancipation patent or the certificate of land ownership award and the remaining
two-thirds (2/3) shall be allocated to provide access to socialized credit to existing agrarian reform
beneficiaries, including the leaseholders: Provided, further, the LBP and other concerned government financial
institutions, accredited savings and credit cooperatives, financial service cooperatives and accredited
cooperative banks shall provide the delivery system for disbursement of the above financial assistance to
individual agrarian reform beneficiaries, holders of collective titles and cooperatives.

"For this purpose, all financing institutions may accept as collateral for loans the purchase orders,
marketing agreements or expected harvests: Provided, That loans obtained shall be used in the improvement
or development of the farm holding of the agrarian reform beneficiary or the establishment of facilities
which shall enhance production or marketing of agricultural products of increase farm income
therefrom: Provided, further, That of the remaining seventy percent (70%) for the support services, fifteen
percent (15%) shall be earmarked for farm inputs as requested by the duly accredited agrarian reform
beneficiaries' organizations, such as, but not limited to: (1) seeds, seedlings and/or planting materials; (2)
organic fertilizers; (3) pesticides; (4)herbicides; and (5) farm animals, implements/'machineries; and five
percent (5%) for seminars, trainings and the like to help empower agrarian reform beneficiaries.
"(c) Extension services by way of planting, cropping, production and post-harvest technology transfer,
as well as marketing and management assistance and support to cooperatives and farmers' organizations;

"(d) Infrastructure such as, but not limited to, access trails, mini-dams, public utilities, marketing and
storage facilities;

"(e) Research, production and use of organic fertilizers and other local substances necessary in farming
and cultivation; and

"(f) Direct and active DAR assistance in the education and organization of actual and potential
agrarian reform beneficiaries, at the barangay, municipal, city, provincial, and national levels, towards
helping them understand their rights and responsibilities as owner-cultivators developing farm- related trust
relationships among themselves and their neighbors, and increasing farm production and profitability with
the ultimate end of empowering them to chart their own destiny. The representatives of the agrarian reform
beneficiaries to the PARC shall be chosen from the 'nominees of the duly accredited agrarian reform
beneficiaries' organizations, or in its absence, from organizations of actual and potential agrarian reform
beneficiaries as forwarded to and processed by the PARC EXCOM.

"The PARC shall formulate policies to ensure that support services for agrarian reform beneficiaries
shall be provided at all stages of the program implementation with the concurrence of the concerned
agrarian reform beneficiaries.

"The PARC shall likewise adopt, implement, and monitor policies and programs to ensure the
fundamental equality of women and men in the agrarian reform program as well as respect for the human
rights, social protection, and decent working conditions of both paid and unpaid men and women farmer-
beneficiaries.

"The Bagong Kilusang Kabuhayan sa Kaunlaran (BKKK) Secretariat shall be transferred and attached
t o the LBP, for its supervision including all its applicable and existing funds, personnel, properties, equipment
and records.

"Misuse or diversion of the financial and support services herein provided shall result in sanctions
against the beneficiary guilty thereof, including the forfeiture of the land transferred to him/her or lesser
sanctions as may be provided by the PARC, without prejudice to criminal prosecution."

Section 15. There shall be incorporated after Section 37 of Republic Act No. 6657, as amended, a new
section to read as follows:

"SEC. 37-A. Equal Support Services for Rural Women. - Support services shall be extended equally to
women and men agrarian reform beneficiaries.

"The PARC shall ensure that these support services, as provided for in this Act, integrate the specific
needs and well-being of women farmer- beneficiaries taking into account the specific requirements of female
family members of farmer- beneficiaries.

"The PARC shall also ensure that rural women will be able to participate in all community activities. To
this effect, rural women are entitled to self-organization in order to obtain equal access to economic
opportunities and to have access to agricultural credit and loans, marketing facilities and technology, and
other support services, and equal treatment in land reform and resettlement schemes.

"The DAR shall establish and maintain a women's desk, which will be primarily responsible for
formulating and implementing programs and activities related to the protection and promotion of women's
rights, as well as providing an avenue where women can register their complaints and grievances principally
related t o their rural activities."

Section 16. Section 38 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 38. Support Services for Landowners. - The PARC, with the assistance of such other government
agencies and instrumentalities as it may direct, shall provide landowners affected by the CARP and prior
agrarian reform programs with the following services:

"(a) Investment information, financial and counseling assistance, particularly investment information on
government-owned and/or -controlled corporations and disposable assets of the government in pursuit of
national industrialization and economic independence:

"(b) Facilities, programs and schemes for the conversion or exchange of bonds issued for payment of
the lands acquired with stocks and bonds issued by the National Government, the BSP and other government
institutions and instrumentalities;

"(c) Marketing of agrarian reform bonds, as well as promoting the marketability of said bonds in
traditional and non-traditional financial markets and stock exchanges: and/or

"(d) Other services designed t o utilize productively the proceeds of the sale of such lands for rural
industrialization.

"A landowner who invests in rural-based industries shall be entitled to the incentives granted to a
registered enterprise engaged in a pioneer or preferred area of investment as provided for in the Omnibus
Investment Code of 1987,or to such other incentives as the PARC, the LBP, or other government financial
institutions shall provide.

"The LBP shall redeem a landowner's agrarian reform bonds at face value as an incentive: Provided,
That at least fifty percent (50%) of the proceeds thereof shall be invested in a Board of Investments (BOI)-
registered company or in any agri-business or agro-industrial enterprise in the region where the CARP-
covered landholding is located. An additional incentive of two percent (2%) in cash shall be paid to a
landowner who maintains his/her enterprise as a going concern for five (5) years or keeps his/her investments
in a BOI- registered firm for the same period: Provided, further, That the rights of the agrarian reform
beneficiaries are not, in any way, prejudiced or impaired thereby.

"The DAR, the LBP and the Department of Trade and Industry shall jointly formulate the program to
carry out these provisions under the supervision of the PARC: Provided, That in no case shall the landowners'
sex, economic, religious, social, cultural and political attributes exclude them from accessing these support
services."

Section 17. Section 41 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 41. The Presidential Agrarian Reform Council. - The Presidential Agrarian Reform Council (PARC)
shall be composed of the President of the Philippines as Chairperson, the Secretary of Agrarian Reform as
Vice-Chairperson and the following as members: Secretaries of the Departments of Agriculture; Environment
and Natural Resources; Budget and Management; Interior and Local Government; Public Works and
Highways; Trade and Industry; Finance; and Labor and Employment; Director-General of the National
Economic and Development Authority; President, Land Bank of the Philippines; Administrator, National
Irrigation Administration; Administrator, Land Registration Authority; and six (6) representatives of affected
landowners to represent Luzon, Visayas and Mindanao; six (6) representatives of agrarian reform
beneficiaries, two (2) each from Luzon, Visayas and Mindanao: Provided, That at least one (1) of them shall
be from the indigenous peoples: Provided, further, That at least one (1)of them shall come from a duly
recognized national organization of rural women or a national organization of agrarian reform beneficiaries
with a substantial number of women members: Provided, finally, That at least twenty percent (20%) of the
members of the PARC shall be women but in no case shall they be less than two (Z)."

Section 18. Section 50 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 50. Quasi-Judicial Powers of the DAR. - The DAR is hereby vested with primary jurisdiction to
determine and adjudicate agrarian reform matters and shall have exclusive original jurisdiction over all
matters involving the implementation of agrarian reform, except those falling under the exclusive jurisdiction
of the Department of Agriculture (DA) and the DENR.

"It shall not be bound by technical rules of procedure and evidence but shall proceed to hear and
decide all cases, disputes or controversies in a most expeditious manner, employing all reasonable means to
ascertain the facts of every case in accordance with justice and equity and the merits of the case. Toward
this end, it shall adopt a uniform rule of procedure to achieve a just, expeditious and inexpensive
determination of every action or proceeding before it.

"It shall have the power to summon witnesses, administer oaths, take testimony, require submission of
reports, compel the production of books and documents and answers to interrogatories and issue subpoena,
and subpoena duces tecum and to enforce its writs through sheriffs or other duly deputized officers. It shall
likewise have the power to punish direct and indirect contempts in the same manner and subject to the same
penalties as provided in the Rules of Court.

"Responsible farmer leaders shall be allowed to represent themselves, their fellow farmers, or their
organizations in any proceedings before the DAR Provided, however, That when there are two or more
representatives for any individual or group, the representatives should choose only one among themselves
to represent such party or group before any DAB proceedings.

"Notwithstanding an appeal to the Court of Appeals, the decision of the DAR shall be immediately
executory except a decision or a portion thereof involving solely the issue of just compensation."

Section 19. Section 50 of Republic Act No. 6657, as amended, is hereby further amended by adding Section
50-A to read as follows:

"SEC. 50-A. Exclusive Jurisdiction on Agrarian Dispute. - No court or prosecutor's office shall take
cognizance of cases pertaining to the implementation of the CARP except those provided under Section 57
of Republic Act No. 6657, as amended. If there is an allegation from any of the parties that the case is
agrarian in nature and one of the parties is a farmer, farmworker, or tenant, the case shall be automatically
referred by the judge or the prosecutor to the DAR which shall determine and certify within fifteen (15) days
from referral whether an agrarian dispute exists: Provided, That from the determination of the DAR, an
aggrieved party shall have judicial recourse. In cases referred by the municipal trial court and the
prosecutor's office, the appeal shall be with the proper regional trial court, and in cases referred by the
regional trial court, the appeal shall be to the Court of Appeals.

"In cases where regular courts or quasi-judicial bodies have competent jurisdiction, agrarian reform
beneficiaries or identified beneficiaries and/or their associations shall have legal standing and interest to
intervene concerning their individual or collective rights and/or interests under the CARP.

"The fact of non-registration of such associations with the Securities and Exchange Commission, or
Cooperative Development Authority, or any concerned government agency shall not be used against them
to deny the existence of their legal standing and interest in a case filed before such courts and quasi-judicial
bodies."

Section 20. Section 55 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 55. No Restraining Order or Preliminary Injunction. -Except for the Supreme Court, no court in the
Philippines shall have jurisdiction to issue any restraining order or writ of preliminary injunction against the
PARC, the DAR, or any of its duly authorized or designated agencies in any case, dispute or controversy
arising from, necessary to, or in connection with the application, implementation, enforcement, or
interpretation of this Act and other pertinent laws on agrarian reform."

Section 21. Section 63 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 63. Funding Source. - The amount needed to further implement the CARP as provided in this Act, until
June 30, 2014, upon expiration of funding under Republic Act No. 8532 and other pertinent laws, shall be
funded from the Agrarian Reform Fund and other funding sources in the amount of at least One hundred
fifty billion pesos (P150,000,000,000.00).

"Additional amounts are hereby authorized to be appropriated as and when needed to augment the
Agrarian Reform Fund in order to fully implement the provisions of this Act during the five (5)-year extension
period.

"Sources of funding or appropriations shall include the following:

"(a) Proceeds of the sales of the Privatization and Management Office (PMO);

"e)All receipts from assets recovered and from sales of ill-gotten wealth recovered through the PCGG
excluding the amount appropriated for compensation to victims of human rights violations under the
applicable law;

"(c) Proceeds of the disposition and development of the properties of the Government in foreign countries,
for the specific purposes of financing production credits, infrastructure and other support services required
by this Act;

"(d) All income and, collections of whatever form and nature arising from the agrarian reform operations,
projects and programs of the DAR and other CARP implementing agencies;

"(e) Portion of amounts accruing to the Philippines from all sources of official foreign. aid grants and
concessional financing from all countries, to be used for the specific purposes of financing productions, credits,
infrastructures, and other support services required by this Act:

"(f) Yearly appropriations of no less than Five billion pesos (P5,000,000,000.00) from the General
Appropriations Act;

"(g) Gratuitous financial assistance from legitimate sources; and

"(h) Other government funds not otherwise appropriated.

"All funds appropriated to implement the provisions of this Act shall be considered continuing appropriations
during the period of its implementation: Provided, That if the need arises, specific amounts for bond
redemptions, interest payments and other existing obligations arising from the implementation of the
program shall be included in the annual General Appropriations Act: Provided, further, That all just
compensation payments to landowners, including execution of judgments therefore, shall only be sourced
from the Agrarian Reform Fund: Provided, however, That just compensation payments that cannot be covered
within the approved annual budget of the program shall be chargeable against the debt service program
of the national government, or any unprogrammed item in the General Appropriations Act: Provided, finally,
That after the completion of the land acquisition and distribution component of the CARP, the yearly
appropriation shall be allocated fully to support services, agrarian justice delivery and operational
requirements of the DAR and the other CARP implementing agencies."

Section 22. Section 65 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 65. Conversion of Lands. - After the lapse of five (5) years from its award, when the land ceases to
be economically feasible and sound for agricultural purposes, or the locality has become urbanized and the
land will have a greater economic value for residential, commercial or industrial purposes, the DAR, upon
application of the beneficiary or the landowner with respect only to his/her retained area which is tenanted,
with due notice to the affected parties, and subject to existing laws, may authorize the reclassification or
conversion of the land and its disposition: Provided, That if the applicant is a beneficiary under agrarian
laws and the land sought to be converted is the land awarded to him/her or any portion thereof, the
applicant, after the conversion is granted, shall invest at least ten percent (10%)of the proceeds coming from
the conversion in government securities: Provided, further, That the applicant upon conversion shall fully pay
the price of the land: Provided, furthermore, That irrigated and irrigable lands, shall not be subject to
conversion: Provided, finally, That the National Irrigation Administration shall submit a consolidated data on
the location nationwide of all irrigable lands within one (1)year from the effectivity of this Act.

"Failure to implement the conversion plan within five (5) years from the approval of such conversion plan or
any violation of the conditions of the conversion order due to the fault of the applicant shall cause the land
to automatically be covered by CARP."

Section 23. Section 68 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 68. Immunity of Government Agencies from Undue Interference. - In cases falling within their jurisdiction,
no injunction, restraining order, prohibition or mandamus shall be issued by the regional trial courts, municipal
trial courts, municipal circuit trial courts, and metropolitan trial courts against the DAR, the DA, the DENR, and
the Department of Justice in their implementation of the program."

Section 24. Section 73 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 73. Prohibited Acts and Omissions. - The following are prohibited:

"(a) The ownership or possession, for the purpose of circumventing the provisions of this Act, of agricultural
lands in excess of the total retention limits or award ceilings by any person, natural or juridical, except
those under collective ownership by farmer-beneficiaries;

"(b) The forcible entry or illegal detainer by persons who are not qualified beneficiaries under this Act to
avail themselves of the rights and benefits of the Agrarian Reform Program:

"(c) Any conversion by , any landowner of his/her agricultural' land into any non-agricultural use with intent
to avoid the application of this Act to his/her landholdings and to dispossess his/her bonafide tenant
farmers:

"(d) The malicious and willful prevention or obstruction by any person, association or entity of the
implementation of the CARP;
"(e) The sale, transfer, conveyance or change of the nature of lands outside of urban centers and city limits
either in whole or in part after the effectivity of this Act, except after final completion of the appropriate
conversion under Section 65 of Republic Act No. 6657, as amended. The date of the registration of the
deed of conveyance in the Register of Deeds with respect to titled lands and the date of the issuance of
the tax declaration to the transferee of the property with respect to unregistered lands, as the case may
be, shall be conclusive for the purpose of this Act;

"(f) The sale, transfer or conveyance by a beneficiary of the right to use or any other usufructuary right
over the land he/she acquired by virtue of being a beneficiary, in order to circumvent the provisions of this
Act;

"(g) The unjustified, willful, and malicious act by a responsible officer or officers of the government through
the following:

"(1) The denial of notice and/or reply to landowners;

"(2) The deprivation of retention rights;

"(3) The undue or inordinate delay in the preparation of claim folders; or

"(4) Any undue delay, refusal or failure in the payment of just compensation;

"(h) The undue delay or unjustified failure of the DAR, the LBP, the PARC, the PARCCOM, and any concerned
government agency or any government official or employee to submit the required report, data and/or
other official document involving the implementation of the provisions of this Act, as required by the parties
or the government, including the House of Representatives and the Senate of the Philippines as well as their
respective committees, and the congressional oversight committee created herein;

"(i) The undue delay in the compliance with the obligation to certify or attest and/or falsification of the
certification or attestation as required under Section 7 of Republic Act No. 6657, as amended; and

"(j) Any other culpable neglect or willful violations of the provisions of this Act.

"In the case of government officials and employees, a conviction under this Act is without prejudice to any
civil case and/or appropriate administrative proceedings under civil service law, rules and regulations.
"Any person convicted under this Act shall not be entitled to any benefit provided for in any agrarian
reform law or program."

Section 25. Section 74 of Republic Act No. 6657, as amended, is hereby further amended to read as follows:

"SEC. 74. Penalties. - Any person who knowingly or willfully violates the provisions of this Act shall be punished
by imprisonment of not less than one (1) month to not more than three (3) years or a fine of not less than
One thousand pesos (P1,000.00) and not more than Fifteen thousand pesos (P15,000.00), or both, at the
discretion of the court: Provided, That the following corresponding penalties shall be imposed for the specific
violations hereunder:

"(a) Imprisonment of three (3) years and one (1) day to six (6) years or a fine of not less than Fifty thousand
pesos (P50,000.00)and not more than One hundred fifty thousand pesos (P150,000.00), or both, at the
discretion of the court upon any person who violates Section 73, subparagraphs (a), (b), (f), (g), and (h) of
Republic Act No. 6657, as amended; and
"(b) Imprisonment of six (6) years and one (1) day to twelve (12) years or a fine of not less than Two hundred
thousand pesos (P200,000.00) and not more than One million pesos (P1,000,000.00), or both, at the
discretion of the court upon any person who violates Section 73, subparagraphs (c), (d), (e), and (i) of
Republic Act No. 6657, as amended.

"If the offender is a corporation or association, the officer responsible therefor shall be criminally liable."

Section 26. Congressional Oversight Committee. - A Congressional Oversight Committee on Agrarian Reform
(COCAR) is hereby created to oversee and monitor the implementation of this Act. It shall be composed of
the Chairpersons of the Committee on Agrarian Reform of both Houses of Congress, three (3) Members of
the House of Representatives, and three (3) Members of the Senate of the Philippines, to be designated
respectively by the Speaker of the House of Representatives and the President of the Senate of the
Philippines.

The Chairpersons of the Committees on Agrarian Reform of the House of Representatives and of the Senate
of the Philippines shall be the Chairpersons of the COCAR. The Members shall receive no compensation;
however, traveling and other necessary expenses shall be allowed.

In order to carry out the objectives of this Act, the COCAR shall be provided with the necessary
appropriations for its operation. An initial amount of Twenty-five million pesos (P25,000,000.00) is hereby
appropriated for the COCAR for the first year of its operation and the same amount shall be appropriated
every year thereafter.

The term of the COCAR shall end six (6) months after the expiration of the extended period of five (5) years.

Section 27. Powers and Functions of the COCAR. - The COCAR shall have the following powers and functions:

(a) Prescribe and adopt guidelines which shall govern its work;

(b) Hold hearings and consultations, receive testimonies and reports pertinent to its specified concerns;

(c) Secure from any department, bureau, office or instrumentality of the government such assistance as may
be needed, including technical information, preparation and production of reports and submission of
recommendations or plans as it may require, particularly a yearly report of the record or performance of
each agrarian reform beneficiary as provided under Section 22 of Republic Act No. 6657, as amended;

(d) Secure from the DAR or the LBP information on the amount of just compensation determined to be paid
or which has been paid to any landowner;

(e) Secure from the DAR or the LBP quarterly reports on the disbursement of funds for the agrarian reform
program;

(f) Oversee and monitor, in such a manner as it may deem necessary, the actual implementation of the
program and projects by the DAR;

(g) Summon by subpoena any public or private citizen to testify before it, or require by subpoena duces
tecum to produce before it such records, reports, or other documents as may be necessary in the performance
of its functions;
(h) Engage the services of resource persons from the public and private sectors as well as civil society
including the various agrarian reform groups or organizations in the different regions of the country as may
be needed;

(i) Approve the budget for the work of the Committee and all disbursements therefrom, including
compensation of all personnel;

(j) Organize its staff and hire and appoint such employees and personnel whether temporary, contractual
or on constancy subject to applicable rules; and

(k) Exercise all the powers necessary and incidental to attain the purposes for which it is created.

Section 28. Periodic Reports. - The COCAR shall submit to the Speaker of the House of Representatives and
to the President of the Senate of the Philippines periodic reports on its findings and recommendations on
actions to be undertaken by both Houses of Congress, the DAR, and the PARC.

Section 29. Access to Information. - Notwithstanding the provisions of Republic Act No. 1405 and other
pertinent laws, information on the amount of just compensation paid to any landowner under Republic Act
No. 6657, as amended, and other agrarian reform laws shall be deemed public information.

Section 30. Resolution of Case. - Any case and/or proceeding involving the implementation of the provisions
of Republic Act No. 6657, as amended, which may remain pending on June 30, 2014 shall be allowed to
proceed to its finality and be executed even beyond such date.

Section 31. Implementing Rules and Regulations. - The PARC and the DAR shall provide the necessary
implementing rules and regulations within thirty (30) days upon the approval of this Act. Such rules and
regulations shall take effect on July 1, 2009 and it shall be published in at least two (2) newspapers of
general circulation.

Section 32. Repealing Clause. - Section 53 of Republic Act No. 3844, otherwise known as the Agricultural
Land Reform Code, is hereby repealed and all other laws, decrees, executive orders, issuances, rules and
regulations, or parts thereof inconsistent with this Act are hereby likewise repealed or amended accordingly.

Section 33. Separability Clause. - If, for any reason, any section or provision of this Act is declared
unconstitutional or invalid, the other sections or provisions not affected thereby shall remain in full force and
effect.

Section 34. Effectivity Clause. - This Act shall take effect on July 1,2009 and it shall be published in at least
two (2) newspapers of general circulation.
PRESIDENTIAL DECREE NO. 27
Reference: https://www.lawphil.net/statutes/presdecs/pd1972/pd_27_1972.html

MALACAÑANG
Manila

PRESIDENTIAL DECREE No. 27 October 21, 1972

DECREEING THE EMANCIPATION OF TENANTS FROM THE BONDAGE OF THE SOIL, TRANSFERRING
TO THEM THE OWNERSHIP OF THE LAND THEY TILL AND PROVIDING THE INSTRUMENTS AND
MECHANISM THEREFOR

In as much as the old concept of land ownership by a few has spawned valid and legitimate grievances that
gave rise to violent conflict and social tension,

The redress of such legitimate grievances being one of the fundamental objectives of the New Society,

Since Reformation must start with the emancipation of the tiller of the soil from his bondage,

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested
in me by the Constitution as Commander-in-Chief of all the Armed Forces of the Philippines, and pursuant to
Proclamation No. 1081, dated September 21, 1972, and General Order No. 1 dated September 22, 1972,
as amended do hereby decree and order the emancipation of all tenant farmers as of this day, October
21, 1972:

This shall apply to tenant farmers of private agricultural lands primarily devoted to rice and corn under a
system of sharecrop or lease-tenancy, whether classified as landed estate or not;

The tenant farmer, whether in land classified as landed estate or not, shall be deemed owner of a portion
constituting a family-size farm of five (5) hectares if not irrigated and three (3) hectares if irrigated;

In all cases, the landowner may retain an area of not more than seven (7) hectares if such landowner is
cultivating such area or will now cultivate it;

For the purpose of determining the cost of the land to be transferred to the tenant-farmer pursuant to this
Decree, the value of the land shall be equivalent to two and one-half (2 1/2) times the average harvest of
three normal crop years immediately preceding the promulgation of this Decree;

The total cost of the land, including interest at the rate of six (6) per centum per annum, shall be paid by the
tenant in fifteen (15) years of fifteen (15) equal annual amortizations;

In case of default, the amortization due shall be paid by the farmers' cooperative in which the defaulting
tenant-farmer is a member, with the cooperative having a right of recourse against him;

The government shall guaranty such amortizations with shares of stock in government-owned and
government-controlled corporations;
No title to the land owned by the tenant-farmers under this Decree shall be actually issued to a tenant-
farmer unless and until the tenant-farmer has become a full-fledged member of a duly recognized farmer's
cooperative;

Title to land acquired pursuant to this Decree or the Land Reform Program of the Government shall not be
transferable except by hereditary succession or to the Government in accordance with the provisions of this
Decree, the Code of Agrarian Reforms and other existing laws and regulations;

The Department of Agrarian Reform through its Secretary is hereby empowered to promulgate rules and
regulations for the implementation of this Decree.

All laws, executive orders, decrees and rules and regulations, or parts thereof, inconsistent with this Decree
are hereby repealed and or modified accordingly.

Done in the City of Manila, this 21st day of October, in the year of Our Lord, nineteen hundred and seventy-
two.

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