QuestionsQuestions (ADMINISTRATIVE ORDER NO. 363)
To prescribe guidelines for protecting areas non-negotiable for conversion and for monitoring compliance with Section 20 of the Local Government Code regarding the reclassification/conversion of agricultural lands into non-agricultural uses.
The State must prioritize rational and sustainable use of land resources; protect prime agricultural lands and complete CARP; ensure food self-sufficiency and food security; promote dispersal of industries nationwide; encourage economic and socialized housing; and institutionalize participation of people’s organizations, NGOs, and local communities in national land use planning.
Non-negotiable areas include: (a) protected areas under NIPAS (including watershed and recharge areas of aquifers) as determined by DENR under RA 7586; (b) all irrigated lands as delineated by DA/NIA and approved by the President, and certain areas programmed for irrigation rehabilitation under PAO 20 (1992); and (c) all irrigable lands already covered by irrigation projects with firm funding commitments as delineated by DA/NIA and approved by the President.
The NPAA (as of 1991) serves as a guide in determining non-negotiable areas; the Network may only be revised upon Presidential approval upon favorable recommendation by the Cabinet Cluster on Agro-Industrial Development.
In all cases, applications for conversion involving lands protected from and non-negotiable for conversion shall not be given due course by the DAR.
Highly restricted areas include: (a) highly restricted lands in the NPAA such as irrigable lands not covered by irrigation projects with firm funding commitments, agro-industrial croplands/industrial-crop lands supporting infrastructure, and highlands at elevations of 500 meters or above; (b) lands issued a Notice of Acquisition/Valuation under agrarian reform or subject of perfected VLT/VOS agreements; and (c) areas environmentally critical under DENR determinations pursuant to PD 1586. Conversion is allowed only upon compliance with existing laws/rules/regulations, plus an additional social benefit-cost analysis approved by the DA; environmentally critical areas also require EIA and/or ECC.
Yes, conversion may be allowed if the area falls within the specific priority areas under EO 124 (identified in Annexes A and B or LGU socialized housing sites), and the social benefit-cost analysis may be waived. However, EIC/ECC requirements (via DENR) must still be met, and conversion can never be allowed if the sites are classified as non-negotiable areas.
Affected farmers/prospective beneficiaries must be paid sufficient disturbance compensation, and owners/developers are encouraged to provide capital for affected farmers to shift livelihood, skills training, relocation sites, and employment priority. Investment arrangements giving farmers/stakeholders a stake (e.g., joint ventures/partnerships) are encouraged.
No application for reclassification by LGUs shall be given due course by HLURB without an approved Comprehensive Land Use Plan approved by HLURB (for provinces/HUCs/component cities and MM-related cities/municipalities) or the Sangguniang Panlalawigan (for component cities/municipalities) after 1 January 1989. Also, certifications from HLURB, NIA, DAR, and DENR (alienable/disposable/public lands not needed for forestry) must be submitted.
DAR must require: (1) DA certification of viability/non-viability of agricultural land and whether it is non-negotiable or highly restricted; (2) DENR certification that land is not part of NIPAS or not environmentally critical; if environmentally critical, DAR may issue an order of conversion subject to DENR ECC. (3) NIA certification that land is not covered under PAO 20 (1992); and (4) HLURB certification that land has been reclassified and is within/outside maximum allowable legal limits.
The decision of the DAR Secretary is appealable to the Office of the President.
President may allow conversion only upon favorable recommendation of the Cabinet Cluster on Agro-Industrial Development. If the lands are irrigated, the owner/developer must replace affected areas with an equal area of irrigated lands (whether within or outside locality) and conversion must not adversely affect the irrigation system.
It defines them as areas declared by law including natural parks, watershed reserves, wildlife sanctuaries, aesthetic tourist spots, habitats of endangered/threatened species, unique historic/archeological/scientific interests, traditionally occupied tribal/cultural communities, critical slopes, frequently visited/hard-hit calamity areas, prime agricultural lands, recharge areas of aquifers, water bodies, mangroves, coral reefs, mossy/virgin forests, river banks, and swamp forests/marshlands.
Implementation of Sec. 20 allowing cities/municipalities to reclassify agricultural lands into non-agricultural uses must observe the guidelines in the Joint HLURB-DAR-DA-DILG Memorandum Circular (s. 1995), pursuant to OP M.C. 54 (s. 1993).
It lists prohibited acts and provides that penalties in related laws/issuances apply, including: conversion intended to avoid RA 6657 and dispossess tenants; sale/transfer/change of nature after RA 6657; squatting/illegal occupation in protected areas; constructing businesses/structures without permits in protected areas; failure to comply with socialized housing undertakings; misrepresentation/concealment in conversion applications and CEC/ECC processes; knowingly converting without DAR approval; environmental projects operating without ECC or violating ECC/EMP/EIS rules; and misrepresentations in EIS/IEE documents.