by Ven rebo Arigo

Subdivision and housing developers who have business ventures in Tagbilaran City will be required to allocate 15% of their respective total project land areas or costs for socialized but decent housing that will benefit the urban poor folks.

Kags. Augustinus Gonzaga, Philipp Besas and Fausto Budlong pushed for the new measure via a Sangguniang Panlungsod (SP) ordinance that is welcomed by the city residents who are homeless, underprivileged or informal settlers.

The new measure provides an avenue for social justice by shelter while implementing and pursuing the intent of Republic Act 7279 or the Urban Development and Housing Act, as amended by RA 10884 or the Balanced Housing Program.

Gonzaga said there are developers doing business here in the province who claim having complied with the national law but allocated the 15% of their project area for socialized housing in other places, even places outside Bohol.

Developers of subdivisions, town houses and the likes for purposes other than socialized housing are required to develop an area for socialized housing equivalent to at least 15% of the total subdivision area or project cost at the option of the developer.

On the other hand, a condominium project is required to allocate 5% of its total floor area or project cost to be earmarked for socialized housing to benefit the urban poor.

Under the city legislation, socialized housing beneficiaries generally refer to the homeless and underprivileged constituents whose household income falls under the poverty threshold.

Based on the census by the City Planning and Development Office (CPDO) in 2017, Tagbilaran City has about 2,700 informal settler families (ISFs).

About 400 ISFs are situated along danger zones such as the coastal areas in barangays Manga, Ubujan, Booy, Cogon, Poblacion I, Poblacion II, Mansasa and Bool, as well as the flood-prone areas in Tiptip and Poblacion III.

With the future construction of an additional bridge that connects Bohol mainland via Tagbilaran City to Panglao island, some 50 ISFs are expected to be relocated, according to sources.

Gonzaga said the balanced housing ordinance will “promptly and relevantly address the requirements for socialized or low-cost housing for the homeless and underprivileged.”

“Tagbilaran City must now seriously and boldly introduce to its legislative and executive agenda housing initiatives and reforms,” the councilor added.

OPTIONS

Owners and/or developers of the housing ventures covered by the ordinance shall have the following options:

* For main subdivision which is limited only to sale of lots:

1) Land equivalent to 15% of the total land area of the main subdivision project shall be developed for socialized housing; 

2) A socialized housing project equivalent to 15% of the subdivision project total cost; and

3) Land equivalent to 5% of the total of condominoum area or project cost shall be developed for socialized housing.

* Subdivision project which ventures into house and lot packages:

1) Develop a land area equivalent to 15% of the total land area of the project; and

2) A socialized housing project equivalent to 15% of the subdivision project cost.

* For townhouse development, a socialized housing project equivalent to 

15% of the total townhouse development project cost.

EXEMPTIONS

Those exempted from the 15% or 5% allocation requirement are:

a.) Development projects for the underpriviledged and homeless which selling price does not exceed P480,000 to P580,000 for horizontal socialized housing projects and P600,000-P650,000 for socialized condominium projects;

b.) Residential subdivision, residential codominium and townhouse projects of co-heirs or members of one and the same family and not for commercial or business purposes, unless such heir had previously constructed projects; and

c.) Development projects intended for purposes other than residential or housing like industrial and commercial zones or estates.

TRUST FUND

The city government will set up a socialized housing trust fund where all revenues generated by virtue of the ordinance will be deposited.

This is especially if a subdivision developer opts to just allocate fund according to the mandated percentage and have the city itself undertaking the socialized housing. 

The city shall give incentives to the developers with no intention to recover their 15% balanced housing compliance like discounted rate or purchasing housing credit of high value to the developers but not disadvantageous to the government.

A city housing board will be created to set implementing rules and regulations for the use and release of the trust fund.

The locations of the socialized housing projects will be within the zones designated in the city land use plan or zoning map.

If the socialized housing is not within the designated zone, the city, on recommendation of the CPDO, shall grant clearance for the project in accordance with the rules and regulations.

AFFORDABLE

The CPDO shall study the kind of system of financing that is affordable to the beneficiaries who are willing to avail of the 15% socialized housing undertaken by no less than the subdivision developer.

After approval of the subdivision permit and when compliance with the ordinance has been ensured, the city, as its own assurance to the developer, shall issue a letter of guaranty (LOG) to the latter.

The LOG shall state, among others, that the city government guarantees payment by the beneficiaries based on the financing system agreed and assists the developer in facilitating return of the latter’s investment.

To encourage compliance, the developer of the 15% socialized housing shall enjoy certain exemptions and incentives apart from the tax and regulation incentives and benefits under existing laws.

CLEARER INTENTS

Gonzaga more clearly articulated the intents of the important act of the city council led by Vice Mayor Jose Antonio Veloso which will ultimately be another legacy of the administration of Mayor John Geesnell Yap II:

a.) Make available to the underpriviledged and homeless citizens decent housing at affordable cost;

b.) Provide for rational use and development of urban land;

c.) Regulate and direct urban growth and expansion towards a dispersed urban net and more balanced urban-rural interdependence;

d.) Provide for an equitable land tenure system that shall guarantee security of tenure to the program beneficiaries but respect the rights of small property owners and ensure just compensation;

e.) Encourage more effective people’s participation in urban development process; and

f.) Improve the capability of the local government to undertake urban development and housing programs and projects.