RESOLUTION NO. R-660, APPROVING THE PURCHASE OF SOCIALIZED HOUSING BONDS AS A MODE OF COMPLIANCE TO THE TWENTY PERCENT (20%) SOCIALIZED HOUSING DEVELOPMENT REQUIREMENT UNDER SEC…

“WHEREAS, the Board, in its efforts to facilitate the production
of socialized as well as open market housing units continually strives
to find means by which the private sector could, in accordance with the
law, comply with the twenty percent (20%) balanced housing development
requirement under Section 18 of Republic Act No. 7279, otherwise known
as the Urban Development and Housing Act (UDHA) of 1992;

WHEREAS, the Department of Justice, upon HLURB’s request, has
issued an opinion finding no legal objection to the proposed inclusion
of the purchase of socialized housing bonds to be floated by local
government units or any housing agency as one of the modes of compliance
to said section of UDHA, the same being germane to the objects and
purpose of the law and within the scope of the term joint venture as
defined in the same law;

WHEREFORE, be it resolved as it is hereby resolved that the
pertinent portions of Section 3, Mode of Compliance, of the Rules and
Regulations Implementing Section 18 of Republic Act No. 7279, be
AMENDED, as the same are HEREBY AMENDED, to read as follows (amendments
in all capital letters):

“Section 3, Mode of Compliance.

xxx                      xxx                      xxx

(d)     The socialized housing project equivalent to twenty
percent (20%) of total subdivision project cost may also be complied
with in any of the following manner feasible in the municipality or
city:

xxx                      xxx                      xxx

(4)     Joint Venture Projects. The developer may enter into a
joint project or agreement with the concerned local government unit, or
any of the housing agencies to develop a socialized housing project.

His participation shall be equivalent to 20% of the project area
or 20% of the cost of the main subdivision project. The developer shall
be required to submit to the HLURB a copy of the joint venture contract
as proof of participation in a joint venture project.

In case the joint venture does not prosper or materialize, the
sole responsibility for project implementation shall be on the developer
of the main subdivision project.

The developer shall abide by the implementing guidelines on joint
venture programs of the local government units, Section 6.c of the
implementing rules that governs Section 18 of R.A. 7279, or any of the
housing agencies who shall in turn certify the developer’s compliance to
the 20% requirement.

THE JOINT VENTURE MAY CONSIST IN OR INCLUDE THE PURCHASE OF
SOCIALIZED HOUSING BONDS BY THE OWNER-DEVELOPER OF A MAIN PROJECT FROM
THE LOCAL GOVERNMENT UNIT WHERE THE MAIN PROJECT IS LOCATED OR FROM ANY
OF THE HOUSING AGENCIES, EQUIVALENT TO 20% OF THE COST OF THE MAIN
SUBDIVISION PROJECT.

PROOF OF SUCH PURCHASE SHALL BE SUBMITTED TO THE BOARD TOGETHER
WITH A CERTIFICATION BY THE BOND ISSUER CONFIRMING THE NATURE AND
CHARACTER OF THE BOND FOR SOCIALIZED HOUSING.

APPROVED, 12 January 2000, Quezon City, Metro Manila.”

2.         The above Resolution was published in the 16 February
issue of Ang Malaya and, in accordance with the provisions of law, shall
take effect 15 days after such publication or on 02 March 2000.

Please be guided accordingly.

Adopted: 18 Feb. 2000

(SGD.) ROMULO Q.M. FABUL
Commissioner and Chief Executive Officer