ACQUISITION AND MANAGEMENT OF PHILIPPINE NATIONAL POLICE (PNP) REAL ESTATE PROPERTIES AND RESERVATIONS

1.         Administrative Code of 1987;

2.         Government Accounting and Auditing Manual;

3.         Joint Circular No. 1 dated 30 Sept 89 bet. DENR, DBM, and DPWH;

4.         Letter of Instruction (LOI) “TITULO”

5.         Logistics Circular No. 002-02

6.         Civil Code of the Philippines

SECTION II.   Purpose and Scope.

This
circular sets forth the policies, guidelines and procedures in the
acquisition, administration, management and disposition of all PNP
owned, occupied, possessed, administered, managed or controlled real
properties and reservations.

SECTION III.  Definition of Terms.

1.         PNP/Police Reservation.
— any real estate property which has been reserved/allocated for police
functions/purposes by the President of the Republic of the Philippines through Presidential Proclamations/Executive Orders or Decrees, by Acts of Congress or any other competent authority.

2.         Real Property.
— estate/land/building or any man-made structure, more or less
permanently attached to the land of immovable character and fixed in
such a way that the same cannot be separated from the soil without
damage or deterioration of the object.

3.         PNP Real Property. —
both land and structures as described in Nos.1 & 2 above, as well
as those acquired through continuous occupation or possession and its
prescription and exercise of ownership are governed by operation of law.  Likewise,
included are real properties now or in the future declared under the
name of or acquired by whatever title in the name of the Philippine
National Police (PNP).

4.         Unit(s).
— Regional Police Officers; PNP National Service Support Unit(s);
Provincial, District, City and Municipal Police Offices/Task Forces or
any PNP group organized by competent authority in charge with the
administration, use, occupancy or actual possession of any real
property.

5.         Head of Office. — anyone who is designated Chief or Head of a PNP Office or unit.

SECTION IV. General Guidelines.

1.         Only
the Chief, Philippine National Police has the final authority to decide
on transactions over all PNP real properties or modes of acquiring
private properties.

2.         All
heads of offices of PNP Units are authorized to undertake preliminary
steps in all transactions appurtenant to acquisition and management of
PNP real property. Said preliminary steps shall include; among others,
gathering of pertinent documents, initial communication with owner(s)
and other essential matters.

3.         Head
of office can only enter into contracts involving any PNP real property
upon prior written approval of the Chief, Philippine National Police.

4.         In the conduct of any mode of acquisition of private real estate/property for the PNP, the following must be avoided, to wit:

4a.       Dealing with unregistered properties;

4b.       Properties with notice of lis pendens, liens, attachments and encumbrances like Mortgages/Lease/Tenancy agreements, etc;

4c.       Donations with conditional terms/obligations. Absolute donations that impose no burden on the PNP are preferred; and

4d.       Properties that are occupied by squatters, tenants, lessees and the likes.

5.         Heads
of units/offices must at their level consult their respective PNP
Regional Legal Officers, or if possible, local lawyers sympathetic to
the PNP prior to formally proceeding to any real property transaction.

6.         Heads of units/offices shall review their existing records on properties acquired and donated to their units.  Emphasis
should be laid on those terms and conditions, or other burdens imposed
on the PNP which may result in reversion of ownership to the donor(s)
especially so if the PNP has already occupied the property or has
initiated improvement.

7.         In
cases where such terms and conditions were not implemented, the head of
the unit or office shall effect immediate remedial steps to overcome
such oversights.

8.         Where
the donor, the heir, or successor in interest is re-claiming the
donated property informally (no formal complaint filed in court) or
where judicial proceedings had commenced, immediate notice/information
must be relayed to C, PNP (Attn” ODL).

9.         Heads
of units/offices must not allow, either verbally or in any formal
document, the entry, use, occupation or alienation of any PNP real
property/reservations by any individual including PNP members, whether
uniformed personnel or NUP, for their personal use.  Serious administrative sanctions will be imposed on violators of this provision.  Likewise,
said heads of units/offices shall cause the removal, relocation, or
transfer of individuals illegally or unlawfully occupying or using PNP
real estate properties in their respective areas. Said heads of
units/offices shall be liable under the doctrine of command
responsibility.

PROCEDURES PRIOR TO ACQUISITION

SECTION V.   Registered Property.

Any PNP unit planning to acquire a registered property for police use shall determine the existence of the following documents.

1.         Original Transfer Certificate of Title

The
unit or officer charged with the administration of real properties in
his jurisdiction will verify the existence of an original copy of
OCT/TCT at the Register of Deeds of the province/city where the property
is situated.  A certified true copy of the
Owner’s Duplicate Copy shall be secured from the Register of Deeds to
include any liens, encumbrances, mortgage, lease, notice of lis pendens,
etc.

2.         Tax Declaration and Realty Tax payment

The tax declaration of the prospective land shall be verified with the Municipal/City/Provincial Assessors Office.  Proof of tax payment or tax certificate shall be secured from the City or Municipal Treasurer’s office.

3.         Lot Survey Plan

A
certified copy of survey plan with technical description of the lot
shall be secured from the Regional Office of DENR or from the local
Bureau of Lands. Actual inspection of the site shall be undertaken to
determine location of boundary monuments and the general condition of
the area.

4.         Tenants/Squatters

Certification from the local government units (LGUs) that the prospective lot is free from any claimant.  Likewise, clearance from DAR/DA/DENR must be secured to ascertain the status of the said real property.

SECTION VI. Unregistered Property.

1.         Documents of Ownership

The
unit in charge with the administration of land in the Regional Commands
and National Support Units shall examine the authenticity of the
supporting documents to ascertain ownership of the land.  Verification shall be made with the Register of Deeds of the province or city where the property is situated.  Such
action will determine whether the land is registered under Act 496
better known as Spanish Mortgage Law or found in the books of
unregistered lands.

2.         Tax Declaration

The owner’s copy of the latest tax declaration shall be scrutinized.  The
original of the tax declaration shall be verified on the file with the
Municipal/City/Provincial Assessor’s Office and certificate of tax
payment shall be obtained from the Treasurer of the municipality/city
where the land is situated.

3.         Lot Plan (Survey of Land)

A
certified copy of survey plan with complete technical description of
the lot shall be secured from the Regional Office of DENR.  Actual
location/relocation survey of the lot shall be conducted to establish
the boundaries, location of monuments and the general condition of the
area.

4.         Tenants/Squatters

The
Heads of PNP units or offices shall conduct site inspection to
ascertain that the land to be acquired is free from any squatter, tenant
and the like.

SECTION VII.            Public/Private Domain.

1.         Public Domain

Public
domain planned to be acquired shall be surveyed and the plan submitted
to the Department of Environment and Natural Resources for processing
and approval.

2.         Private Domain

The status of the land shall be verified with the agencies of the government administering the property.  Actual survey shall be undertaken. Location plan of the prospective land shall be approved by duly authorized offices.

SECTION VIII.           Funds.

All expenses necessary to secure the data mentioned in the preceding paragraphs shall be defrayed by the PNP.

MODE OF ACQUISITION AND PROCEDURES

SECTION IX. Donation.

1.         Properties
are donated to the Government either directly in exchange for direct
benefits such as consideration for certain concessions or indirectly
such as the promotion of peace and order in the locality.  Procedure for a Donation is shown (Annex A)^[1]

2.         Whenever
property is offered to the government for use of the PNP, the Head of
unit/office to whom the property is offered shall undertake preliminary
negotiation with the owner. Subsequently, and after activity report
shall be submitted to the Chief, PNP through the Director for Logistics
with the following data:

2a.       Name and address of the prospective donor;

2b.       Technical description of the property and vicinity plan of the area;

2c.       Terms and conditions of the donated land, if any.

2d.       A Statement as to its future or proposed utilization.

3.         Preparation of Deed of Donation.  The
Head of unit/office to whom the property was offered shall prepare the
Deed of Donation. (Annex “B”)^[2] which shall be signed by the donor
before a duly acknowledged Notary Public. After due execution of the
donation by the donor, the same shall be transmitted to the Chief, PNP
(Attn: Director for Logistics, PNP) in eight (8) copies with the
following supporting papers:

3a.       Transfer Certificate of Title;

3b.       Lot location plan of the property duly certified by a Registered Geodetic Engineer;

3c.       Tax Declaration (current);

3d.       Real Estate Tax Receipt;

3e.       Board/Sangguniang
Bayan/Lungsod/Panlalawigan resolution confirming the act of the Donor.
Included in the resolution is the juridical personality of the donor
whether a corporation, LGU or individual.

4.         The
Chief, PNP upon the joint recommendation of the Director for Logistics,
Director, Legal Service, and Director, Engineering Service shall
hereafter approve/disapprove the donation.  Approved Deed of Donation shall be kept at ODL.

5.         The
Director, PNP Engineering Service shall cause the registration of the
donated lot in the name of the Philippine National Police.  The Directorate for Logistics shall provide funds for this purpose.

6.         The donor shall be notified of the acceptance and consummation of the donation.

7.         Immediate
compliance shall be taken by the Donee on the terms and conditions
provided for in the Deed of Donation, However, if said terms and
conditions were not complied with within the specified period, the Donor
shall be informed immediately stating the reasons/causes of delay.

8.         In case the land is unregistered in the Register of Deeds, cancel the proposed execution of Deed of Donation.

9.         The
Office of the Director, PNP Engineering Service shall be the depository
of the TCT of the donated property, a copy of which shall be furnished
the Director for Logistics.

SECTION X.   Lease.

1.         Preliminary Negotiations.  The
head of unit/office desiring to lease a private property shall
ascertain the willingness of the owner to lease the property and the
rental rate of the same.

2.         Subsequently,
the head of unit/office concerned shall forward the request to the
Chief, PNP (Attn: Director of Logistics, PNP) to include the following
data or documents:

Land and/or Building:

2a.       The PNP unit which needs the property;

2b.       Location
plan, approved plan and a brief description of the land with existing
improvement/building plan duly approved by the Provincial/City/Municipal
Engineer;

2c.       Proposed utilization of the property;

2d.       Estimated area of land/building;

2e.       Expected date of occupancy;

2f.        Name and address of the owner;

2g.       Documentary evidence of ownership such as OCT or TCT, Tax Declaration and Real Estate Tax Receipts;

2h.       Commitment in writing that the owner is willing to lease the property at a certain rental rate;

2i.        Certificate of occupancy; and

2j.        Accomplished Lease Contract and supporting documents.

3.         Preparation of Lease Contract utilizing RE Form No. 3 (Annex “D).^[3]

3a.       Parties.
— Contracting parties shall be the Chief, PNP as the lessee, and the
owner of the property or somebody who was officially appointed by a
corporation, LGU or individual shall be considered as the lessor.

3b.       Terms and Conditions of the Lease Contract:

3b.1.    Contract shall contain the technical description of the property to be leased copied verbatim from the title thereof;

3b.2     The period of the lease shall be specified subject to renewal at the option of the PNP;

3b.3     In
case the property is not registered under the Spanish Mortgage Law or
under RA No. 456, no lease contract shall be entered into;

3b.4     The parties concerned shall sign the Contract of Lease which shall be notarized by a Notary Public;

4.         Flow Chart for Lease (Annex “C)^[4]

5.         The
Lease Contract shall bear the amount which the Lessee shall pay the
Lessor in words and in figures duly approved by the Chief, PNP.  The amount of rental shall be certified as reasonable by the Department of Public Works and Highways.

6.         Documents and other supporting papers to be attached to the Lease Contract:

6.a       Floor Plan/Sketch of the building with measurements:

6b.       For buildings outside of Metro Manila

6b.1     Certificate
by the City/Municipal Mayor or Provincial Governor, as the case may be,
that there are no available spaces within the City/Provincial Capitol
Building;

6b.2     Certification
as to the reasonableness of the stipulated monthly rental by the
City/Provincial Auditor, as the case may be, and the Regional Chief of
Cities or Provinces where there is a Regional Office/Provincial/City
Office of the Department of Public Highways;

6c.       Certificate of Occupancy by the head of the PNP occupying unit;

6d.       Certified
copies of the title and/or evidence of ownership in eight (8) copies to
include tax declaration and tax receipt for the current year; and

6e.       Area of the property to be leased.

7.         Funding.
— The fund chargeability shall be stamped at the back of the original
of the Contract of Lease by the Accounting/Budget/Fiscal Officer of the
unit concerned. In case of insufficiency of funds, a certification that
funds will be programmed for the purpose shall be attached to the
Contract of Lease (RE Form No. 5) Annex E^[5].

8.         Actions of Director of Logistics, PNP.
— Upon receipt of the proposed Contract of Lease. The Director for
Logistics, PNP shall refer the contract to Director, PNP Engineering
Service for recording and processing, and to the Director, Legal Service
for legal sufficiency which, after determination, will be returned to
DL for further recommendation to the C, PNP for approval.

9.         Approval of the Lease Contract.
— The final arbiter of the reasonableness of rental rate is the
Department of Public Works and Highways subject to the approval of the
Secretary of the Department of the Interior and Local government upon
recommendation by the C, PNP.

10.       Whenever
the PNP intends to rent/lease privately owned buildings or spaces for
private use, the PNP must adhere to the provisions of Sec. 524 of the
GAAM and Sec. 65 Chapter 13, Book IV of the Revised Administrative Code
of 1987.

11.       Payment
of Rental. — Payment of rentals shall be made upon receipt of the
accomplished voucher by the Disbursing Officer of the unit concerned.

12.       The Director for Logistics shall program funds for payment of rentals.

SECTION XI. Purchase.

1.         Private Property (Flow Chart in the Purchased of Private Property-Annex F)^[6]

1a.       The
head of unit/office charged with the acquisition of the land shall
secure a certified copy of the tax declaration from the Provincial or
City Assessor to determine the fair market value of the property sought
to be acquired pursuant to Presidential Decree No. 76, S – 72.
Preliminary coordination shall be made with the property owner with the
end in view of having the property acquired by the government at a price
not to exceed the fair market value as declared by the owner or the
assessor as shown in the tax declaration whichever is lower.

1b.       If the negotiation mentioned above fails, the head of unit/office concerned shall make a formal offer to buy.  The
price set forth in the offer to buy shall in no way exceed the fair
market value as determined by the Provincial/City Assessor or as
declared by the owner whichever is lower;

1c.       The formal request for the purchase of the land shall be accompanied by the following documents:

1c.1     Documentary
evidence showing ownership of the property, such as Original
Certificate of Title or Transfer Certificate of Title, tax declaration,
tax receipt, approved lot survey plan, tax clearance as may be necessary
(photocopy or certified true copy will suffice);

1c.2     A brief description of the land, together with existing improvements, if any.  The
proposed utilization and development, to include time frame of the
development, financing aspect, due of expected occupancy and certificate
that no suitable police reservation is available for the purpose
intended;

1d.       The
PNP Engineering Service upon receipt of the request, substantially
complying the preceding paragraphs, processes the supporting papers and
verifies the contents thereof.  Said Service shall
then prepare the necessary Deed of Sale, to be signed by the Vendor and
the Chief, PNP or his duly authorized representative which shall be
subsequently notarized;

1e.       Fund
Requirement. — The fund requirement for the acquisition of the property
shall come from the National Headquarters and the certification of fund
availability shall be stamped by the Chief, Accounting Division at the
back of the original of the Deed of Absolute Sale;

1f.        Registration of Deed of Absolute Sale.
— The Director, PNP Engineering Service or head of unit or office
initiating the purchase of the lot shall cause the registration of the
Deed of Absolute Sale with the end in view of consolidating the title to
the property in the name of the Philippine National Police; and

1g.       The
Office of the Director, PNP Engineering Service shall be the final
depository of the title and the original copy of the Deed of Absolute
Sale of the purchased Property, a copy of which shall be furnished to
the Director for Logistics and units concerned.

2.         Property owned by Political Subdivision, and/or Agencies of the Government.

2a.       In
case the property is owned by the Provincial, City or Municipal
Government and/or agencies of the government, negotiation shall be made
with the Governor, City Mayor and Municipal Mayor or the Head of the
agency as applicable.

2b.       A resolution authorizing the Governor, the Mayor or the Head of the Agencies to dispose/sell the property must be secured; and

2c.       The procedure prescribed in the acquisition of private property shall then be followed.

SECTION XII.            Barter/Exchange.

Barter
or Exchange. — The word connotes exchange of real properties between
the PNP and private individual or other government agencies or entities.  In
this kind of contract like any other contracts where there is a
conveyance of real properties, the authority to execute for in behalf of
the PNP is vested on the C, PNP or any officer expressly designated by
him.

Basis
for Barter. — The basis for the barter or the exchange of PNP property
with private or government property shall be the fair market value of
the property involved to be determined pursuant to the provisions of
Presidential Decree No. 76, s. 72.

SECTION XIII.           Permit.

1.         The
unit interested in acquiring/utilizing land on a temporary basis which
is owned by a private individual, a political subdivision or
instrumentality or the government, shall apply in writing to the owner
concerned.

2.         Written Report

After
negotiations have been undertaken and the owner has signified his/her
willingness to let the PNP unit use the property for free, the unit
concerned shall submit a report to the Director for Logistics, PNP
citing the terms and conditions of the permit (RE Form No. 4) Annex II^[7]

3.         Procedure before occupancy

Before
occupancy of the property, the head of the using unit shall survey the
premises describing in every detail the nature, condition, and
improvement found therein.  The report shall be incorporated in RE Form No. 1 Annex 1.  The result of the survey shall be included in the request as required by paragraph E2.  Under
no circumstances will the property be occupied without the written
approval of the Chief, PNP. Should necessity demand, the permit shall be
transmitted in the most expeditious manner.

SECTION XIV.           Expropriation.

1.         Expropriation
of private property shall be resolved only after all modes of
acquisition of private property through purchase, barter or exchange
have been exhausted by the government.

2.         Procedure

2a.       Expropriation
of private property and all interest therein for PNP use shall be
resorted to where acquisition by any other mode fails and the property
is still needed by the PNP.

2b.       The
heads of the interested units shall forward a request to the Chief, PNP
(Attn: Director for Logistics, PNP) for the acquisition of the land.  The request shall include the following documents in eight (8) copies to support the action on expropriation:

2b.1     The plan or sketch of the property showing the definite boundary and improvement thereon, if any;

2b.2     Certificate of occupancy or expected date of occupancy by the concerned;

2b.3     Certified copy of title, tax declaration and tax receipt for the current year and/or any evidence of ownership, if any;

2b.4     A
certification from the Fiscal and Accounting Officer that the amount
for the provisional value is available and shall be deposited with the
appropriate Provincial/City Treasurer upon order of the court.

2b.5     Copies
of resolution or certification from the Provincial/City appraisal
committee showing the fair market value and tax declaration per
Presidential Decree No. 76, s. 72;

2b.6     Condition Survey of the premises immediately before occupancy (RE Form No. 1); Annex 1 and

2b.7     A
summary report of the negotiation with the owner to include
circumstance under which appropriation of the property is deemed
justifiable.

2c.       The
Chief, PNP upon the recommendation of the Director for Logistics, the
Director, Legal Service and the Director, PNP Engineering Service shall
request authority from the President for the acquisition of the land
through expropriation.

2d.       Entity
to initiate expropriation proceedings — Upon receipt of the authority
granted by the President to the Chief, PNP to expropriate the private
property, the latter shall request the office of the Solicitor General
to file with the proper court an action to expropriate the private
property.  The Solicitor General shall be furnished the following documents:

2d.1     Presidential authority to expropriate;

2d.2     Technical description of the property;

2d.3     A list of names and addresses of the owners concerned to include persons having interest on the land;

2d.4     A map/plan of the property duly approved by the Bureau of Lands;

2d.5     Separate
evaluation of the property if it consists of several parcels of lands
to include the improvements therein per Presidential Decree No. 76,
s-72; and

2d.6     Certification
by the respective Fiscal and Accounting Officer to the effect that the
fund for the provisional value is available.

2e.       The
Solicitor General shall file expropriation proceedings with the
Regional Trial Court of the Province or City where the property is
located.

2f.        Writ
of Entry. — as soon as the Writ of Entry and the order to deposit the
amount corresponding to the provisional value of the property is
promulgated, the equivalent amount shall be deposited with the
corresponding Provincial/City Treasurer.

2g.       Payment
of Property. — any withdrawal from the provisional value deposited with
the treasurer not otherwise covered by a court order shall be opened.
Payment to the owners shall be made only after the judgment rendered by a
competent court shall have become final and executory.

2h.       Progress
report shall be rendered once a month during the pendency of the
expropriation proceedings until such time that final judgment has been
rendered therein.

2i.        Titling.
— upon issuance of the decision by the court and payment on the lot has
been made as ordered, issuance of title(s) to the lot shall be worked
out with the Register of Deeds of the Province or City where the land is
located.

SECTION XV.            Executive Proclamation.

1.         Before
any portion of public or private domain shall be proclaimed for PNP use
by the President, the area shall be clearly delineated and a boundary
survey conducted subject to the approval of the Bureau of Lands.  The area shall be marked by distinctive concrete monuments for proper identification.

2.         After
the survey is approved by the Bureau of Lands, the head of the unit
shall forward a request to the C, PNP for the proclamation of the area
to include:

2a.       List of adverse claims or private rights existing within the property, if any;

2b.       Location of each claim as reflected in the overall plan/map; and

2c.       Proposed development plan of the area.

3.         The
C, PNP upon receipt of the request and upon recommendation of the
Director for Logistics, PNP shall cause the preparation of the draft of
the proposed proclamation.  The recommendation
shall be to the Secretary of the DILG, attaching thereto the
data/documents mentioned in the paragraph immediately preceding.

4.         Upon issuance of the proclamation, the head of the unit shall be duly informed and the development shall start.

5.         If,
for any reason, the contemplated project is not pushed through, steps
shall be taken to vacate the area with the end in view of giving other
government agencies a chance to utilize the property.

SECTION XVI.           Emergency Occupation of Private Property.

Except
when exigencies of PNP services so require, under no circumstance shall
private property be occupied or construction started therein by any PNP
Unit prior to the issuance of a written permit from the Director for
Logistics, and the execution or perfection of the proper contract of
lease with the owner.  The exigencies of PNP
service referred to herein are those which could not allow delay in the
occupancy of the property in question without involving the loss of
life, destruction of government property or serious detriment to the
service.  Immediately thereafter, the head of the
occupying PNP unit shall report to the Director for Logistics in
writing, stating the circumstances surrounding the occupancy.  If
necessary, a confirmatory Contract of Lease shall therefore be
initiated by the head of the unit concerned in accordance with the
procedure outlined above, otherwise such occupancy may be settled by a
quitclaim agreement.

SECTION XVII          Right of Way (Easement).

1.         Public Use. — Request for Right of Way for use of the public shall be granted by the DILG upon recommendation of the Chief, PNP.

2.         Procedure:

2a.       Initial
Action. — Upon receipt of the request for right of way, the head of the
unit who exercises administration and control over the reservation
affected shall determine the necessity of the right of way.  He
shall forward his recommendation to the Chief, PNP to include a sketch
plan showing the duration of the right of way and a statement to justify
the granting of the request.

2b.       The
Director for Logistics shall coordinate with the Director, PNPES and
the Director, Legal Service as to the legal basis of said right of way
and the contract/agreement to be used.  The
Director for Logistics after careful study and finding the request
meritorious, may recommend favorably to the Chief, PNP who in turn shall
recommend the granting of right of way to the Secretary of the DILG.

2c.       Period.
— In all cases, no perpetual right of way shall be granted to any
person except a government agency or any of its political subdivision.

3.         Granting of Road Right of Way Permit within PNP Reservations

3a.       Permits to qualify persons or corporations for a Road Right-of-Way within PNP reservations may be granted provided that:

3a.1.    The security of the PNP property is not affected;

3a.2.    The purpose of the road right of way is legitimate;

3a.3.    Activities shall be under the supervision of the PNP units in possession of the property;

3a.4.    There is no other passage or route except through the PNP property;

3a.5.    It is only for the specific route and duration; and

3a.6.    PNP security clearance must be secured.

3b.       In
no case shall a road right-of-way of an individual company be allowed
without the written approval of the Chief, PNP and/or the Secretary of
the DILG. All company personnel shall secure PNP Security Clearance from
the Director for Intelligence.

SECTION XVIII.        Administration of Properties.

1.         Active PNP Real Property. —
PNP properties in active use shall be administered by the head of the
unit/office in actual possession as administrator of the Chief, PNP.

2.         Inactive PNP Real Property.
— PNP properties not in active use for police purposes shall be
administered by the Chief, PNP through the Director for Logistics.  TDL through PNPES is empowered to appoint the Head of the PNP unit nearest the reservation as administrator of the property.  The
officer so appointed shall be directly responsible to and shall receive
from the Chief, PNP through the Director for Logistics all matters
relating to the administration of the properties entrusted to them.

3.         Responsibility of Commander/Administrator. —
Commanders or administrators shall acquaint themselves or through
responsible officers, of the limits of the reservation under their
administration.  He shall adopt measures and/or action, which shall deny any unauthorized person entry or construction into the reservation.

4.         The
Administrator of all PNP reservations shall render an annual accounting
report of all expenses and income derived there from to the Chief, PNP
through the Director for Logistics, The annual accounting report shall
be submitted on the 15th of January immediately following the current
year.

DISPOSAL OF REAL ESTATE

1.         PNP owned real estate may be disposed of by sale, donation or barter.  The
Director, Engineering Service with the concurrence of the Director,
Legal Service and other concerned Directorial Staffs may recommend to
the Chief, PNP the disposal of property under any of the means mentioned
above and Unit Commander may recommend to the Director, Engineering
Service the disposal of PNP real property under them if necessary in the
PNP.  If upon receipt of such recommendation, the
Director, Engineering Service finds that the same would adversely
affect or would not be in consonance with overall PNP plans, he shall
make proper comment to the Chief, PNP. In all cases, disposal of all PNP
owned property through any of the means indicated above shall be only
upon the recommendation of the Director, Engineering Service, the
reasons thereof shall be indicated, and subject to the approval of the
Chief, PNP.

2.         Limitations

2a.       Real
properties acquired by the PNP either by purchase or donation, reserved
by Proclamation or Executive Order of the President of the Philippines,
cannot be the subject of any form of disposition or alienation such as
sale/lease unless the President declares the same alienable.

2b.       Real
properties purchased by the PNP not reserved by Proclamation or
Executive Order may be sold or exchanged with other properties, as the
Chief, PNP may direct upon the recommendation of the Director
Engineering Service, subject to the approval of the President of the
Philippines pursuant to Section 48, Chapter 12, Book I of the Revised
Administrative Code of 1987.

2c.       Real
properties donated to the PNP may be sold or exchanged with other
properties, subject to the conditions of the donation and approval of
the President pursuant to Section 48, Chapter 12, Book I of the Revised
Administrative Code of 1987.

2d.       The
properties referred to in Sections 2 and 3 immediately proceeding may
also be leased by the Chief, PNP upon the recommendation of the
Director, Engineering Service under such terms and conditions that it
may be revoked at any time the police exigencies demand.  In
case the property was donated to the PNP, the leasing will only be
permitted provided that it will not be in conflict with the terms of the
donation.

ACCOUNTABILITY/RESPONSIBILITY

1.         Real Property Acquired by Purchase. — Accountability of the unit Accountable Officer shall commence upon payment of the said property.

2.         Real Property Acquired by Transfer from Government Agency.
— Accountability of the Unit Accountable Officer shall commence upon
receipt of the approved transfer of said property. Unit Accountable
Officer shall render an annual property report to the D, Engineering
Service and the Director for Logistics.

3.         Non-Republic Building. — Accountability for Non-Republic Building
shall commence upon receipt of the D, Engineering Service of a copy of
the Report of Property found in station from the Unit Accountable
Officer.

4.         Persons Accountable and Responsible for Real Property:

4a.       For land belonging to the PNP. — The Director, Engineering Service shall be directly and exclusively accountable and/or responsible to the Chief, PNP.

4b.       For building belonging to the PNP. — Accountability belongs to the Accountable Officer of the different Units, Camps and Stations through the Regional Engineers.  Occupants of buildings shall be directly responsible for the proper care and maintenance of the buildings.  Commanders of Camps and Stations shall also be responsible from the point of view of Command Responsibility.

5.         Accessories and/or Parts of Buildings.
— Whether Republic or Non-Republic which have been reclaimed or
salvaged as a result of alterations, repairs or dismantling shall be
registered in the accountability of the Supply Officer thereof in the
report of Property Found in Station.

6.         Records to be maintained by Supply Officer:

6a.       For land.
— Director, Engineering Service shall maintain the records utilizing
General Form Nr. 46 (a) showing the location plan, brief description,
assessed value, and PNP reference number.  The Director, Engineering Service shall submit annually to the C, PNP complete Inventory Report of the same.

6b.       For buildings.
— The Accountable Officer shall maintain Equipment Ledger Cards,
General Form Nr. 46(a), showing the location plans or brief description
and assessed value.  All buildings and installation acquired by the PNP whether Republic or Non-Republic shall be recorded in these cards.  The
cards at the Office of the Director, Engineering Service shall reflect
all the buildings of the PNP including those accountabilities have been
transferred to units in the field.

6c.       In
both accountabilities for land and for buildings, the records of the
Accountable Officers shall be subject to the examination and audit by
the Internal Auditor, PNP or his authorized representative and by the
Auditor General or his authorized representative.

7.         Transfer of Accountability:

7a.       The accountability and/or responsibility for land including the records shall be transferred by means of General Form Nr. 30(a).

7b.       The accountability for all PNP buildings shall also be transferred by means of General Form Nr. 30(a).

8.         Relief of Accountability for Real Property:

8a.       Land.
— when the PNP loses ownership of any piece of land by sale, transfer
or other forms, the Director, Engineering Service shall be relieved of
this accountability upon notation in the Equipment Ledger Cards,
supported by papers or documents concerning the transaction or evidence
in the manner in which the PNP has lost ownership of such land.  The original and two (2) copies of these documents shall be forwarded to the Internal Auditor, PNP.

8b.       Buildings:

8b.1     Republic
Buildings. — Republic Buildings rendered unserviceable through fair
wear and tear shall be dropped from the accountability of the officer
accountable thereof by I & I Report, General Form Nr. 17(a).
Buildings, rendered unserviceable other than by fair wear and tear (such
as destroyed by fire, typhoon or other form of calamities) shall be
dropped from the accountability of the accountable officer in the manner
provided for under Logistics Circular No. 002-02 otherwise known as
“Procedures to be Followed in Requesting for Relief from Property
Accountability.

8b.2.    Non-Republic Building.
— Buildings and installation rendered unserviceable by fair wear and
tear shall be dropped from the accountability by accomplishment and
submission of the I & I.  Buildings destroyed
or damaged other than by fair wear and tear (such as fire, typhoon or
other forms of calamities) shall be dropped from the accountability of
the officer accountable thereof through the Report of Survey.

9.         Alteration, Transfer and Demolition of PNP Buildings. — No alteration or transfer of buildings belonging to the PNP shall be made without prior approval of the Chief, PNP.  Any
major or substantial alteration made on any PNP building under the
books of the accounts of the Director, Engineering Service shall be
reported to him within ten (10) days after completion of such
alteration.

10.       Liability.
— The Unit Commander or any PNP personnel entrusted with the
administration or use of a particular PNP owned real property or private
property leased or occupied by a PNP unit, shall be held directly and
primarily responsible for any violation appertaining to that particular
property.  Appropriate criminal, civil and/or administrative sanctions shall be imposed accordingly.

SECTION XIX.           Repealing Clause.

All
policies, memoranda, issuances and other circulars, or portions thereof
inconsistent with this circular are hereby rescinded/repealed or
modified accordingly.

SECTION XX.            Effectivity.

This
Circular shall take effect fifteen (15) days from the filing of a copy
hereof at the University of the Philippines Law Center in consonance
with Sections 3 and 4, Chapter 2, Book VII of Executive Order No. 292,
otherwise known as “The Revised Administrative Code of 1987”, as
amended.

Adopted: 25 March 2002

(SGD.) LEANDRO R. MENDOZA
Police Director General

Chief, PNP