Title
IRR of RA 10752 on ROW Acquisition
Law
Irr Of Republic Act No. 10752
Decision Date
Jul 22, 2016
The Implementing Rules and Regulations of Republic Act No. 10752 streamline the acquisition of right-of-way for national government infrastructure projects, ensuring just compensation for affected property owners while outlining various modes of property acquisition, including donation, negotiated sale, and expropriation.

Law Summary

Declaration of Policy

  • Upholds constitutional policy: private property cannot be taken for public use without just compensation.
  • State must ensure prompt payment of just compensation for affected property owners.
  • Aligns with RA No. 7160 enabling LGUs to adopt similar provisions.

Definitions

  • "Act": RA No. 10752, facilitating ROW acquisition for national projects.
  • Implementing Agency (IA): Any national government agency or related entity authorized to undertake projects.
  • National Government Projects: Includes highways, railways, ports, airports, power, telecom, IT, irrigation, water, industrial estates, public buildings, and other related works.
  • Replacement Cost: Cost to replace affected structures with similar assets at current market prices.
  • ROW: Defined portion of property used or needed for national projects.

Modes of Acquiring Real Property

  • Regular modes: Donation, Negotiated Sale, Expropriation.
  • Other modes: Acquisition under CA No. 141, Exchange or Barter, Easement of ROW, Acquisition of Subsurface ROW, other legal modes.

Donation Mode

  • Property owner may donate property for ROW.
  • Deed of donation must be simple, unconditional, and accepted by IA.
  • IA pays documentary taxes; donor pays unpaid property taxes.

Negotiated Sale

  • Compensation includes current market value of land, replacement cost of structures, and market value of crops/trees.
  • IA may engage Government Financial Institutions (GFI) or Independent Property Appraisers (IPA) accredited by BSP for price determination.
  • Terms of Reference (TOR) prepared by IA for appraisal services, covering project background, desired outputs, standards, timeline, and qualifications.
  • Engagement of GFIs via MOA; IPAs procured per Government Procurement Reform Act (RA 9184).
  • Replacement Cost guidelines detailed, covering direct and indirect costs, including labor, materials, equipment, overheads, contingencies, profit, and VAT.
  • Property owners have 30 days to accept offer; refusal leads to expropriation.
  • Owners of structures without land rights may receive replacement cost compensation if Filipino citizens not falling under squatter definitions.
  • IA pays Capital Gains Tax (CGT), documentary stamp tax, transfer tax, registration fees; owner pays unpaid real property taxes.
  • Payment terms specify partial payments upon execution of Deed of Sale and remaining payments upon clearing and title transfer.
  • Special provisions for untitled lands with proof of possession and DENR certification.

Expropriation Process

  • Initiated if negotiated sale fails or is not feasible.
  • IA deposits estimated compensation equivalents into court, including BIR zonal value, replacement cost, and crops/trees value.
  • Court issues writ of possession within 7 working days; IA may take possession and implement project.
  • If ownership disputed or owner unknown, funds held in court pending adjudication.
  • BIR and local assessors mandated to conduct timely valuation and classification.
  • IA pays documentary duties; owner pays CGT and unpaid taxes.

Acquisition Under Commonwealth Act No. 141

  • Special rules apply when land ownership is by original patent holder or gratuitous transfer.
  • ROW strip reserved by government for public use, with compensation only for damages to improvements.
  • Government may take possession upon notice; quit claim execution required.
  • Temporary use allowed for project personnel buildings.

Exchange or Barter

  • Owner may request exchange of private property for government property of equivalent value.
  • Conditions apply, including verification of government property title and ensuring owner access rights.
  • Subject to tax regulations on exchanges.

Easement of Right-of-Way

  • Used when portion needed is minimal and survey costs disproportionate.
  • Easement agreement grants use rights without transferring ownership.
  • Compensation based on zonal valuation plus replacement cost of improvements.
  • Registration of easement agreements required.

Acquisition of Subsurface ROW

  • Allows use of subterranean portions beyond 50 meters from surface without affecting surface ownership.
  • For underground works within 50 meters, IA may negotiate easement or purchase affected land.
  • Compensation for easements equals 20% of market value of land.

Standards for Assessment

  • Consider land classification, current use, development cost, owner-declared values, selling prices, improvements, size/shape, tax declarations, and local zoning.
  • Increase in value due to project not included in compensation.

Ecological and Environmental Concerns

  • IA must consider environmental laws and land use regulations.
  • Environmental Compliance Certificate (ECC) or Certificate of Non-Coverage (CNC) required before project initiation except PPP projects.
  • Indigenous peoples’ rights and action plans observed where applicable.

Relocation of Informal Settlers

  • HUDCC and NHA, in coordination with LGUs and IAs, responsible for establishing resettlement sites.
  • Procedure for removing unwilling informal settlers includes court writs for demolition.
  • Notification of HUDCC required upon project approval.

Appropriations

  • Government must provide adequate budget for acquisition costs including surveys, compensation, relocation, taxes, and administrative expenses.
  • PPP projects may require proponents to advance or finance ROW costs.
  • Budgeting may use BIR zonal values times factors or DPWH benchmark costs.

Developments Within ROW

  • No permitting of incompatible developments within ROW two years from notice of taking.
  • Cut-off date established for compensation eligibility.

ROW Survey Documents

  • IA submits survey and acquisition documents to LGUs for planning and taxation purposes.

Agency Manual of Procedures

  • Each IA must prepare a Manual of Procedures consistent with the Act and IRR detailing acquisition steps, documentation, budgeting, payments, litigation, and management.
  • Manual serves as guide for IAs, property owners, GFIs, and IPAs.

Transitory Clause

  • IRR applies to all new transactions; ongoing agreements at effectivity are exempt.

Sanctions

  • Violations subject responsible officials to administrative, civil, or criminal penalties including suspension, dismissal, and forfeiture of benefits.

IRR Amendments and Repeal

  • Committee may reconvene for amendments ensuring consistency with the Act.
  • RA No. 8974 and other inconsistent laws repealed.

Effectivity

  • IRR effective 15 days after publication in two newspapers of general circulation.

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