Title
Supreme Court
Creation of NARRA and land distribution law
Law
Republic Act No. 1160
Decision Date
Jun 18, 1954
Republic Act No. 1160, enacted in 1954, establishes the National Resettlement and Rehabilitation Administration (NARRA) to accelerate the distribution of agricultural lands to landless tenants and farm workers in the Philippines, providing financial aid and loans to settlers while prohibiting officials from being financially interested in any contracts or privileges granted by the Corporation.

Law Summary

Creation and Supervision of NARRA

  • Establishes National Resettlement and Rehabilitation Administration (NARRA) as a corporation under the President’s control.
  • NARRA assumes duties of the Bureau of Lands per Commonwealth Act No. 691, as amended.
  • Headed by a General Manager and Assistant General Manager appointed by the President.

Organizational Structure of NARRA

  • NARRA has three divisions: Settler Selection and Screening, Translation and Supplies, and Settlement Assistance and Community Work.
  • Annual program of activities and budget must be submitted to and approved by the President every fiscal year.

General Powers of NARRA

  • Authorized to adopt a seal, own and lease properties, enter contracts, sue and be sued.
  • May promulgate necessary regulations to fulfill its functions.

Special Powers of NARRA

  • Grant agricultural land to qualified landless Filipino citizens.
  • Facilitate settlement, purchase agricultural portions of landed estates.
  • Reclaim swamps and marshes for agricultural use.
  • Promote community life and development in settlements.
  • Borrow funds from credit institutions.
  • Survey and subdivide land for farms, townsites, and public use.
  • Secure assistance from other government agencies for development projects.
  • Engage in all activities necessary to achieve its mandate.

Specific Functions and Assistance to Settlers

  • Select and screen qualified settlers prioritizing bona fide tenants, surrendered dissidents, agricultural graduates, trainees, veterans, others.
  • Provide transportation assistance and subsistence loans with specific terms.
  • Help settlers secure equipment and supplies at favorable terms.
  • Assist in housing, community organization, and coordination with government agencies for social services.
  • Submit annual reports and financial statements to President and Congress.
  • Hire, discipline, and manage subordinate personnel.

NARRA’s Board of Directors

  • Composed of a Chairman and five members appointed by the President with Commission on Appointments' consent for three-year terms.
  • Responsible for policymaking, adopting by-laws, appointing top officials, and approving budgets.
  • Board members receive per diem for meetings.

Custodianship and Administration of Lands

  • NARRA is custodian of public lands reserved for settlement and surveyed portions under Commonwealth Act No. 691.

Abolition of LASEDECO and Asset Handling

  • Land Settlement and Development Corporation (LASEDECO) abolished.
  • Obligations transferred to the Treasury and amortized over 15 years.
  • LASEDECO's assets sold, with proceeds supporting settler loans.
  • Some equipment may be transferred to settlers’ cooperatives at appraised value.

Appropriations for Settler Fund

  • Initial appropriation of 5 million pesos for 1954-55; not less than 8 million annually for 10 years thereafter.
  • Funds used as Revolving Fund for colonists under supervision of NARRA and Office of Economic Coordination.

Transfer of Public Agricultural Lands Jurisdiction

  • Public agricultural lands under certain Executive Orders are transferred to NARRA.
  • Voluntary settlers not receiving direct assistance or qualified homesteaders can still settle such lands.

Financial Assistance via ACCFA

  • Agricultural Credit and Cooperative Financing Administration (ACCFA) authorized to loan settlers and cooperatives for establishment.
  • Loans require cooperative membership as a condition.
  • Amortization terms specified with liens on produce.

Transitional Provisions for LASEDECO Personnel

  • Separated employees entitled to retirement benefits, separation pay, gratuities based on service.
  • Obligation for gratuity repayment if reinstated.

Liquidation and Transfer of LASEDECO Assets

  • President authorized to liquidate LASEDECO assets.
  • Transfer of necessary properties to NARRA enabled.

Land Titling and Transfer to NARRA

  • All surveyed public lands transferred to NARRA, with patents or deeds issued accordingly.
  • Transfers conform to Public Land Act and related regulations.

Penalties for Conflict of Interest and Land Acquisition by NARRA Officials

  • NARRA officials/employees prohibited from acquiring land in settlement projects.
  • Violation results in removal, imprisonment (1-5 years), and fines (1,000 to 5,000 pesos).
  • Using dummies to acquire land incurs same penalties.
  • Officials financially interested in contracts or privileges face dismissal, fines, and imprisonment.

Legal Provisions and Effectivity

  • Unconstitutional provisions severable without affecting the rest of the Act.
  • Prior inconsistent laws repealed.
  • The Act takes effect upon approval.

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