Question & AnswerQ&A (EXECUTIVE ORDER NO. 272)
The main purpose is to authorize the creation of the Social Housing Finance Corporation (SHFC) as a wholly-owned subsidiary of the National Home Mortgage Finance Corporation (NHMFC), and to transfer the Community Mortgage Program (CMP), Abot-Kaya Pabahay Fund Program (AKPF), and other social housing powers and functions from the NHMFC to the SHFC.
It was created under the constitutional mandate for the State to undertake a continuing program of urban land reform and housing, which provides affordable decent housing and basic services to underprivileged and homeless citizens in urban centers and resettlement areas.
The SHFC shall take charge of the Community Mortgage Program (CMP) and the Abot-Kaya Pabahay Fund (AKPF) Program, including both the amortization support and developmental financing programs.
The SHFC is a wholly-owned subsidiary of the NHMFC. The NHMFC is the incorporator and holding company of the SHFC and determines its capitalization, powers, and functions.
The Board includes the HUDCC Chairman as ex-officio Chairman, SHFC President as ex-officio Vice Chairman, the Secretary of the Department of Finance or representative, Secretary of the Department of the Interior and Local Government or representative, Secretary of the Department of Budget and Management or representative, a BSP representative designated by the BSP Governor, a representative from NHMFC designated by its Board of Directors, and four private sector representatives nominated by the President of the Philippines.
The President of the Philippines nominates the President of the SHFC.
All powers, functions, rights, and duties relating to the administration, management, and development of the CMP and the AKPF Program are transferred from the NHMFC to the SHFC upon its incorporation.
The Transfer Committee, composed of specific government officials, is tasked to prepare plans and measures to effect the transfer of all assets, liabilities, and records of the CMP and AKPF to the SHFC within 30 days from issuance of the order, and to ensure efficient transfer with joint reports submitted to the President.
Existing policies, guidelines, rules, and regulations will continue in effect with respect to the transferred functions until they are amended or modified accordingly.
NHMFC personnel currently performing transferred functions shall continue their duties to ensure seamless implementation. They may remain with NHMFC, retire, or be separated per their option, and shall receive benefits provided by law.