Condonation of Agrarian Reform Debt
- Condones P57.557 billion principal debt of 610,054 Agrarian Reform Beneficiaries (ARBs).
- Covers 1,173,101.57 hectares of agrarian reform lands.
- Immediate condonation of P14.5 billion principal loan and associated charges of 263,622 ARBs.
- Remaining P43.057 billion condonation contingent upon submission of detailed indebtedness by LBP and DAR.
- Loans secured under CARP or other agrarian laws condoned and written off.
- LBP and DAR required to submit detailed loan lists within three years.
- DAR to issue Certificates of Condonation annotated on Emancipation Patents (EP) or CLOAs.
- Mortgage liens in favor of the government lifted upon condonation.
Termination of Payment of Compensation under VLT and DPS
- Termination of all direct compensation payments by 10,201 ARBs to landowners under Voluntary Land Transfer (VLT) and Direct Payment Schemes (DPS).
- Remaining balances to be paid by the government through LBP from the Agrarian Reform Fund.
- Applies to ARBs indebted to landowners as of the Act's effectivity.
Coverage and Definition of ARBs
- ARBs defined as farmers or farmworkers granted lands under PDP No. 27, RA No. 6657 (as amended), and RA No. 9700.
- Includes those with outstanding loan balances payable to LBP and private landowners as of the Act's effectivity.
Mandatory Inclusion in RSBSA
- ARBs to be included in Registry System for Basic Sectors in Agriculture (RSBSA) under the Department of Agriculture (DA).
- DA mandated to provide all support services due to the ARBs.
Preference to Credit and Support for Paid ARBs
- ARBs who completed amortization and interest payments given preference for credit facilities and support services.
- Preference codified under existing agrarian laws and relevant DA programs.
Estate Tax Exemption
- Agricultural lands awarded to ARBs excluded from gross estate subject to estate tax.
- Department of the Interior and Local Government (DILG) encouraged to promote local tax amnesty on real property and transfer taxes for qualified ARBs.
Issuance of Agrarian Reform Titles
- Registry of Deeds to register EPs, CLOAs, or other agrarian titles within 60 days from issuance in ARBs' names.
- Notice of Condonation to be annotated on said titles within 60 days of DAR issuance.
Restitution of Agrarian Reform Awards Forfeited Due to Non-Payment
- Administrative cases involving forfeiture solely due to non-payment of amortizations and interest dismissed by DAR.
- DAR to move for dismissal of pending court actions on collection of unpaid loans.
- Termination of execution of forfeiture decisions; restoration of awards; reversal of forfeiture.
- Reconstitution of cancelled titles; equitable award of land if original land reallocated.
Disqualification of ARBs Due to Violations
- Final conviction of prohibited acts under RA 6657 results in disqualification from benefits.
- Disqualification also for willful neglect or abandonment of land for two consecutive years, with exceptions.
- DAR tasked with liberal investigation in favor of ARBs.
Right of Landowners to Just Compensation
- Act does not diminish landowners’ right to just compensation for agricultural lands acquired.
- Does not alter existing limitations on land transfer, ownership, and agricultural use.
Implementing Rules and Regulations
- DAR, with PARC and LBP assistance, to issue implementing rules within 60 days from effectivity.
Agency Support
- Government agencies mandated to provide prompt assistance subject to laws for Act's implementation.
Funding
- Costs charged against Agrarian Reform Fund, subject to certification and annual appropriations process.
Separability Clause
- Invalidity of any provision does not affect the validity of the rest of the Act.
Repealing Clause
- Modifies Section 21 of RA 6657.
- Amends, repeals, or modifies inconsistent laws, orders, or issuances accordingly.
Effectivity
- Takes effect 15 days after publication in the Official Gazette or a general circulation newspaper.