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AR 533A: HOUSING

LESSON and ACTIVITY PLAN: Week No. 5 and 6


Preliminary
Specific Learning Objectives:
1. Describe the basic background on housing organizations.
Topics and Activities
1. Housing and Urban Development Coordinating Council (HUDCC)
2. The National Shelter Program
Housing and Urban Development Council (HUDCC)
Brief History

The Housing and Urban Development Coordinating Council (HUDCC) was created by then President Corazon C. Aquino by virtue
of Executive Order no. 90 dated 17, December 1986. The EO, which also abolished the Ministry of Human Settlements, placed HUDCC
under the direct supervision of the Office of the President to serve as the highest policy making body for housing and coordinate the
activities of the government housing agencies to ensure the accomplishment of the National Shelter Program.

Housing and Urban Development Council, Executive Order No. 90. Urban Development and Housing Act of 1992, republic Act 7279.

Executive Brief
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Sec.2. Declaration of State Policy and Program Objectives. It shall be the policy of the State to undertake, in cooperation with
the private sector, a comprehensive continuing Urban Development and Housing Program.

Background
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Signed into Law on March 24, 1992 by President Corazon C. Aquino
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Published, March 28, 1992, on two (2) newspapers, the Malaya and Manila Chronicle
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Effectivity, March 29, 1992, immediately after publication
Vision

As the highest policy making and coordinating body on housing and urban development, HUDCC shall facilitate access to a variety of
housing options that are decent, affordable and responsive to the diverse and changing needs of homeless and underprivileged Filipino
families.
Objectives
1.
Provide decent shelter to the underprivileged and homeless citizens in urban areas and resettlement areas whose lives are
generally marked by economic insecurities and whose occupancy on the land is uncertain;
2.
Provide for the rational use and development of urban land;
3.
Adopt workable policies to regulate and direct urban growth and expansion towards a dispersed urban net and a more balanced
urban-rural interdependence;
4.
Provide for an equitable land tenure system that shall guarantee security of tenure to socialized housing beneficiaries but also shall
respect the rights of small property owners and ensure the payment of just compensation;
5.
Encourage a more effective peoples participation in urban development process; and
6.
Improve the capability of local government units in undertaking urban development and housing programs and projects.
Mission

We envision HUDCC to provide overall direction for the promotion of decent and affordable housing opportunities and sustainable
human settlements for families belonging to the lowest income strata of our society.

The Council is composed of the following:

The heads of four (4) Key Shelter Agencies (KSAs), namely: the National Housing Authority (NHA), the Home Guaranty
Corporation (HGC), the National Home Mortgage Finance Corporation (NHMFC), and the Housing and Land Use Regulatory Board
(HLURB).

The Heads of three (3) funding agencies, namely; the Social Security System (SSS), the Government Service Insurance System
(GSIS) and the Home Development Mutual Fund (HDMF);

The heads of seven (7) government support agencies, which include the Presidential Management Staff (PMS), the Department of
Finance (DOF), the Department of Budget and Management (DBM), the National Economic Development Authority (NEDA), the
Development Bank of the Philippines (DBP), the Metropolitan Manila Development Authority (MMDA); and

Two (2) private sector representatives from Non-Government Organizations (NGOs) and private developers.
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AR 563: HOUSING
LESSON and ACTIVITY PLAN: Week No. 5 and 6
Preliminary

The Chairman of the HUDCC sits as Chairman of the Board of the Key Shelter Agencies and exercises supervision over the
operation of the NHA, HGC, HLURB and the NHMFC and its subsidiary, the Social Housing Finance Corporation (SHFC).
President Aquino redirected the mandate of the government housing sector as an enabler or facilitator in assisting homeless Filipino
people in their quest for a roof over their heads.
Chairman Teodoro Katigbak, coordinated the formulation and implementation of the Unified Home Lending Program (UHLP) to revive the
home financing institutions and rationalize the mortgage financing systems
Mandates
Section 3. Executive Order No. 90 Series of 1986
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The Housing and Urban Development Coordinating Council (HUDCC), under the immediate control and supervision of the
President of the Philippines, is charged with main function of coordinating the activities of the government housing agencies to
ensure the accomplishment of the National Shelter Program;
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Formulate national objectives for housing and urban development and to design broad strategies for accomplishment of these
objectives;
o
Determine the participation and coordinate the activities of the key government housing agencies in the national housing
program;
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Monitor, review and evaluate the effective exercise by these agencies of their assigned functions;
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Assist in the maximum participation of the private sector in all aspects of housing and urban development;
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Recommend new legislation and amendments to existing laws as may be necessary for the attainment of governments
objective in housing;
o
Formulate the basic policies, guidelines and implementing mechanisms for the disposal or development of acquired or existing
assets of the key housing agencies;
o
Exercise or perform other powers and functions as may be deemed necessary, proper or incidental to the attainment of its
purpose and objectives.
Executive Order No. 20 Series of 2001
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Reaffirming mass housing as a centerpiece program in the poverty alleviation efforts of the government and further
strengthening the Housing and Urban Development Coordinating Council;
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Serves as the lead agency to in formulating the national objectives, policies and strategies for housing and urban development;
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Coordinate and monitor the activities of all government agencies undertaking housing projects, including those of Local
Government Units (LGUs), to ensure the accomplishment of the goals of the governments housing program
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Encourage the maximum participation of the private sector in all aspects of housing and urban development
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Formulate the basic policies, guidelines and implementing mechanisms for the disposal or development of acquired or existing
assets of the key housing agencies which are not required for the accomplishment of their basic mandates;
o
Identify, plan and secure local and foreign funding for housing program and projects;
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Provide directions to the Housing and Land Use Regulatory Board (HLURB) to ensure rational land use for the equitable
distribution and enjoyment of development benefits;
o
Recommend new legislation and amendments to existing laws as may be necessary for the attainment of governments
objective in housing;
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Undertake other functions as provided by existing laws that are not contrary to the above-mentioned.
The Ramos Administration
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The HUDCC remained to be the primary coordinating agency on housing when the Ramos Administration adopted and
eight-point policy thrust namely:
1.
Housing as a means of social intervention and catalyst for economic activity;
2.
People-centered and aided self-help approach to housing;
3.
Maximum multi-sectoral participation;
4.
Easier land access for housing;
5.
Development of regional growth poles;
6.
Sustainability and matching of housing finance with beneficiaries affordability;
7.
Maintenance of ecological balance in urban development and housing; and
8.
Improvement of housing delivery system.
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At the helm of HUDCC, the Ramos Administrations approach in addressing the problem of homelessness was fleshed out.
o
First, it boldly committed itself to providing 1.2 million families with housing assistance and ensured that its shelter
agencies operated effectively and focused its efforts on socialized housing.

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AR 563: HOUSING
LESSON and ACTIVITY PLAN: Week No. 5 and 6
Preliminary
Second, it made concrete efforts to secure more funding for housing to support its bold targets by passing legislations that
would ensure funding for housing and adopting innovative approaches.
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Third, it ensured that the provisions of Republic Act 7279 on addressing urban development and homelessness were
translated into specific actions for the implementation of the Local Government Units and other concerned agencies.
o
Fourth, it formulated and implemented the Social Reform Agenda (SRA), which abolished repressive laws and addressed the
concerns of the urban poor. The SRA for the urban poor also reinforced the participation of non-government organizations,
the private sector, and the people themselves in projects/programs and in crafting policies on housing and urban development.
o
Finally, it implemented concrete projects that improved the environment of cities like urban renewal, studies for solid waste
management and capacity building for LGUs in urban Administration.

The Estrada Administration


o
When the Estrada Administration assumed the presidency in July 1988, the housing sector was beset with a multitude of
serious problems;
1.
The housing backlog estimated at 3.36 million households of which only 941,600 families could afford housing priced at P
181,000 and below.
2.
The government housing program had come to a stand still because funds had dried up, the UHLP had been
discontinued due to lack of funds.
3.
The administration inherited a total of 100,000 unoccupied housing units.
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The situation prompted the Estrada Administration to conduct a thorough review of the sector, and took courageous stance to
reform the housing sector through rationalization of housing policy and use of governments funds and subsidy.
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To revitalize the housing sector, President Estrada issued Executive Order No. 159 on 12, October 1999, declaring mass
housing as the centerpiece of the Administration.
o
The President, likewise created the Presidential Commission for Mass Housing (PCMH), targeted the provision of 350,000
shelter security per annum for the next four years which requires funding of about P 90 billion per year.
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To ensure the attainment of these targets, President Estrada with HUDCC as its workhorse, formulated a two-pronged
program, a sustainable private sector-led and government-led housing program.
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The Sustainable Private Sector-Led Program sought to operate market mechanisms to ensure efficient utilization of resources
and provision of quality housing units.
o
By exercising the powers of the Presidency through the issuance of Presidential Proclamations designating specific
government lands for socialized housing, President Estrada was initially able to address the tenure of many informal settlers in
government lands.

The Arroyo Administration


o
Supported the global campaign on Secure Tenure and good Urban Governance and embarked on an Asset Reform
Program that would benefit the poor. Under the leadership of Secretary Michael Defensor, the President tasked HUDCC to
identify idle government lands suitable for housing for possible disposition to qualified beneficiaries.
o
Vice President Noli de Castro as the Chairman of the HUDCC in 2004 in his first order of business was to put housing
bureaucracy in order; making each Key Shelter Agency (KSA) understand the overarching goal of the sector and directing
them to focus on their core functions. This removed distortions, overlaps and duplications in the KSA tasks and paved the
way for a more efficient and effective system of addressing the housing problems.
o
To achieve the Presidents agenda of decongesting Metro Manila by developing infrastructure projects and housing centers in
other regions, the Vice President took on the daunting task of implementing the most massive relocation program ever
undertaken by the government: the Northrail and Southrail Resettlement Program. This paved the way for the
development of the mass rail transport system connecting Metro Manila and provinces in Luzon.
Secure Tenure

Land Proclamations. Upon assumption to Office as President of the Republic of the Philippines, Her Excellency Gloria MacapagalArroyo issued Executive Order No. 20 dated 28 May 2001, which reaffirmed the governments commitment to mass housing as a
centerpiece program in its poverty alleviation efforts.

In order to address the housing problem, particularly the bottom 40% of urban households, the Administration pursued the regularization
of tenure of the informal settler families through the issuance of Presidential Proclamations declaring parcels of public lands open for
disposition to qualified beneficiaries.

The government targeted the conversion of government idle or vacant lands into housing sites that shall benefit bonafide occupants, as
well as low-salaried government employees including the soldiers and policeman. This initiative manifests the governments thrust to
o

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AR 563: HOUSING
LESSON and ACTIVITY PLAN: Week No. 5 and 6
Preliminary
redistribute the physical assets in favor of the poor.
Since 2001, HUDCC has been instrumental in orchestrating the issuance of 102 Presidential Issuances (Proclamations, Executive
Orders, etc.). These issuances, which provided security of tenure to 195,475 informal settler families, have an aggregate area of 26,367
hectares spread out across various regions of the country.
Resettlement and Relocation Programs

A program administered by the National Housing Authority (NHA), this involves the acquisition and development of large tracts of raw
land into serviced home lots or core housing units for families displaced from sites earmarked for government infrastructure projects and
those occupying danger areas such as waterways, esteros and railroad tracks.
Housing Finance

Home Development and Mutual Fund Lending Programs (HDMF) or Pag-IBIG Fund has several programs to address the housing
requirements not only of its members but of private developers as well. These include:

Credit Facility for Individual Members

Facilities for Private Developers

Developmental Housing Loan Program for Local Government Units

Group Land Acquisition and Development (GLAD) Program

Community Mortgage Program (CMP) utilizes and innovative system of mortgage financing whereby beneficiaries, through the concept
of community ownership, may acquire a privately-owned undivided tract of land.

Development of Poor Urban Communities Sector Project (DPUCSP) was envisioned to contribute to the Governments overarching goal
of poverty alleviation and address the underlying deficiencies in the shelter sector.

Abot-Kaya Pabahay Program Fund was created pursuant to Republic Act No. 6846 or the Social Housing Support Fund Act, with the
objectives of enhancing the affordability of low-cost housing by low-income families and providing developmental financing for low-cost
housing projects.

Amortization Support

Developmental Financing

Home Guaranty Corporation (HGC) provides guaranty cover to investments and credits for housing through its guaranty facilities to
encourage banks and other financial institutions to channel their resources into home building and ownership.

Retail Loan Guaranty

Developmental Guaranty

Guaranty for Securitization Schemes


Capability Building

IMPACT-Cities Alliance. The Integrated Approaches to Poverty Reduction at Neighborhood Levels-A Cities Alliance is a two-year
technical assistance project implemented by HUDCC with funding assistance from the Cities Alliance and UN-Habitat.

Technical Assistance to LGUs. As part of the HLURB mandate, provides technical assistance to local government units in the
formulation and review of their Comprehensive Land Use Plan (CLUPs).
Housing Regulation

Compliance to 20% Balanced Housing Requirement. Section 18 of RA 7279 or the Urban Development and Housing Act of 1992
requires every developer of subdivision projects to develop an area for socialized housing equivalent to 20% of the total subdivision area
within the same city or municipality.
Special Projects

New Bilibid Prison. Conversion of some portion of the land intended for the safekeeping of prisoners to housing for the employees of the
Department of Justice, now known as Katarungan Village.

THE NATIONAL SHELTER PROGRAM

Republic Act No. 7835 other wise known as the the Comprehensive and Integrated Shelter Financing Act of 1994.

By Executive Order No. 90, identifying the Government Agencies essential for the National Shelter Program.

That Section 4 of Republic Act no. 7835 states: National Shelter Program Implementation; consistent with the aforementioned policy and
objectives, the Housing and Urban Development Coordinating Council through the respective agencies, shall intensify the
implementation of the National Shelter Program government budgetary assistance as follows:

Resettlement Program. This program shall involve land requisition and site development by the National Housing Authority to
generate serviced home lots for families displaced from sites earmarked for government infrastructure projects, those occupying
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AR 563: HOUSING
LESSON and ACTIVITY PLAN: Week No. 5 and 6
Preliminary

Danger areas and those qualified for relocation and resettlement assistance under Republic Act No.7279. To sustain this program,
the NHA shall engage in land and banking activities to ensure availability of land.
Medium-Rise Public & Private Housing. This shall entail the construction of medium-rise residential buildings by the government
and/or private developers in all high-density urban areas of the country to maximize the utilization of scarce, high-cost urban land,
except in areas where there are existing arrangements on housing and/or land utilization prior to the effectivity of this Act.
Community Mortgage Program. Under RA 7279, this program through the National Home Mortgage Finance Corporation
(NHMFC), shall assist organized community associations to acquire tenure and ownership of the land they are presently occupying
adverse against the interests of the landowners. Financing at very low interest rate is granted to beneficiaries to purchase the land
as a whole and to improve the sites.
Cost Recoverable Programs. These programs shall involve the development of sites with housing component and the provision
of serviced home lots through joint-venture schemes with the private sector or local government units. Program beneficiaries shall
fully repay on installment basis the financial assistance granted for the purchase of the housing units.
o
Local Housing. To ensure the equitable distribution of housing benefits across the country, the NHA is hereby tasked to
implement cost-recoverable socialized housing projects in selected urban and urbanizable areas in all congressional districts.
Criteria for the selection of sites shall be formulated by the HUDCC and NHA pursuant to Republic Act no. 7279.
The National Housing Authority (NHA). The NHA is hereby mandated to formulate policies and guidelines pertinent to the
implementation of the Medium-Rise Public and Private Housing Programs. It shall likewise take over portion of military lands in
Metro Manila and other urban areas, except those previously identified and segregated for specific purposes pursuant to pertinent
legal issuances for the development of Medium-Rise Housing.
It shall be the sole government agency engaged in direct shelter production. It shall focus its efforts in providing housing assistance
to the lowest 30% of urban income earners through slum upgrading, squatter relocation, development of sites and services and
construction of core-housing unit. In addition, it shall undertake programs for the improvement of blighted urban areas and provide
technical assistance for private developers undertaking low-cost housing projects.
The National Home Mortgage Finance Corporation (NHMFC). The NHMFC is hereby mandated to provide home buyers
financing, to formulate and implement a schedule of amortization payments for the Medium-Rise housing facilities and implement
schemes that would ensure an effective and efficient recovery and collection of government investments in the Program.
It shall be the major government home mortgage institution. Its initial main function is to operate a viable home mortgage market,
utilizing long-term funds principally provided by the Social Security System, the Government Service Insurance System and the
Home Development Mutual Fund to purchase mortgages originated by both private and public institutions that are within
government-approved guidelines.
The Local Government Unit (LGU) or the Public Estates Authority (PEA). Upon completion of all public rental housing facilities
constructed under this Program, the LGU or PEA shall assume the administration of the said facilities to include the implementation
of the Estate Management Policies and to ensure the efficient and effective recovery and collection of rental and other fees due the
government from the beneficiaries of the public housing Program.
The Presidential Commission for the Urban Poor (PCUP). The PCUO is hereby mandated to coordinate with the NHA, and the
concerned LGU or the PEA in the identification and processing of qualified beneficiaries of public rental housing facilities provided
for in this Act. The PCUP shall likewise formulate and implement preoccupancy educational programs to enable the beneficiaries
of the Program to adapt to medium-rise living conditions, and shall organize them to homeowners associations which would ensure
proper day-to-day maintenance of said facilities.
Human Settlements Regulatory Commission. The Human Settlements Regulatory Commission, renamed as the Housing and
Land Use Regulatory Board (HLURB), shall be the sole regulatory body for housing and land development. It is charged with
encouraging greater private sector participation in low-cost housing through liberalization of development standards, simplification
of regulations and decentralization of approval for permits and licenses.

Architect Dennis C. de Villa, uap, csp


July 16, 2008
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