Title
Revised DAR Rules for Voluntary Land Sale
Law
Dar Administrative Order No. 19
Decision Date
Nov 6, 1989
Landowners under the Comprehensive Agrarian Reform Law are granted a four-year period to voluntarily sell their lands to the government, with specific procedures and requirements established for processing these transactions and ensuring timely compensation.

Legal basis and purpose under CARP

  • DAR Administrative Order No. 19 is issued in light of the “new thrust” in implementing the Comprehensive Agrarian Reform Program (CARP).
  • The rules apply to landowners covered by Republic Act No. 6657, the Comprehensive Agrarian Reform Law (CARL).
  • The revised framework implements the CARL mechanism where lands may be offered voluntarily for sale to the government within the statutory period.
  • Phase One consequences for VOS lands are tied to R.A. 6657, Section 7.

VOS filing deadline and withdrawal limits

  • Landowners covered by R.A. No. 6657 must have four (4) years from the date of effectivity of the CARL on 15 June 1988, or until 15 June 1992, to voluntarily offer lands for sale to the government.
  • Lands for which the government has already sent and the landowner has received notices of coverage for compulsory acquisition may no longer be voluntarily offered for sale.
  • Once lands are voluntarily offered for sale to the government, the offer may no longer be withdrawn.
  • Voluntarily offered lands immediately fall under Phase One as provided in R.A. 6657, Section 7.

Pending VOS cases and applicable hearing rules

  • Pending VOS transactions before the DAR for which no payment has been made are subject to notice and hearing requirements under Administrative Order No. 12, Series of 1989, Section II, Subsection A, paragraph 3.
  • VOS filed before 15 June 1988 must be heard and processed under Executive Order No. 229 procedures.
  • VOS filed after 15 June 1988 must be heard and processed under the procedures in DAR Administrative Order No. 19, with an additional transmission rule:
    • VOS folders transmitted by regional offices to the central office before the order’s effectivity must be processed under Administrative Order No. 12, Section II, Subsection C, paragraphs 1, 2 and 3 and DAR Administrative Order No. 19, Section III, Subsections F and G, insofar as applicable.

MARO role in filing and case build-up

  • The landowner or duly designated representative must accomplish CARP VOS Forms Nos. 1 and 1.a and submit them to the Municipal Agrarian Reform Officer (MARO) of the municipality where the land is located.
  • Upon receipt of the duly accomplished forms and supporting documents, the MARO must prepare the Voluntary Offer Claim Folder (VOCF) and require submission of documents unless already submitted.
  • For titled property, the required documents include:
    • A certified photocopy of the Certificate of Title; if not yet in the landowner’s name, instruments of acquisition (e.g., Deed of Sale, Deed of Donation) must establish ownership through the series of documents submitted.
    • Certified photocopy of the latest tax declaration.
    • Copy of survey/sketch plan, if any.
    • Photocopy of Sworn Statement on Landowners Registration (Listasaka I and II).
  • For untitled property, the required documents include:
    • Certified copy of Deed of Sale/Transfer and pertinent documents proving ownership for at least 10 years.
    • Certified photocopy of the latest tax declaration, including a history of tax assessments and/or a listing of declared owners for the last ten (10) years immediately preceding the VOS.
    • Copy of survey/sketch plan.
  • The MARO must accomplish the MARO Investigation Report (CARP VOS Form No. 2) and Summary Investigation Report of Findings and Evaluation (CARP VOS Form No. 3) based on ocular inspection and submitted documents, and must ensure that Applicant’s Information Sheet (Form No. 4), Beneficiaries Undertaking (Form No. 5), and Transmittal Report (Form No. 6) are in order.
  • The MARO, the BARC representative, and the LBP Field Representative must certify that the information in the forms is examined, verified, and true and correct.
  • The MARO must conduct the preliminary conference/meeting using CARP VOS Form No. 7 in accordance with Administrative Order No. 12, Section II, Subsection A, paragraph 3.
  • The MARO must submit the completed case folder to the Provincial Agrarian Reform Officer (PARO) and must complete paragraphs 1, 2, 3, 4 and 5 within thirty (30) days from submission of all required documents.

PARO processing timeline and valuation guidance

  • Upon receipt of the case folder from the MARO, the PARO must proceed under Administrative Order No. 12, Section II, Subsection B, paragraphs 1, 2, 3 and 4.
  • Lands voluntarily offered for sale before 15 June 1988 have valuation computed in accordance with Administrative Order No. 5, Series of 1988, titled Simplified Guidelines in the Processing of Voluntary Offer to Sell Involving Landholdings Covered by Executive Order No. 229.
  • The PARO must complete processing and transmit the case folder within ten (10) working days from receipt from the MARO.
  • Transmission is made to the DAR Central Office through the Bureau of Land Acquisition and Distribution (BLAD), or for lands with areas not exceeding ten (10) hectares, to the Regional Director (RD).

BLAD/RD review, valuation, and notice of acquisition

  • Upon receipt from the PARO, the DAR Central Office through BLAD, or the RD for lands not exceeding ten (10) hectares, must review, evaluate, and determine valuation within five (5) working days.
  • A Summary Review and Evaluation Report (CARP VOS Form No. 8) must be prepared and certified by the BLAD Director (or the RD) and participating personnel, stating:
    • the compensation amount,
    • factors considered, and
    • the actual computation used.
  • BLAD or the RD must submit the Summary Review and Evaluation Report and the complete VOCF to the President of the Land Bank of the Philippines (LBP).
  • The LBP President must review and evaluate the VOCF for a sound basis of compensation and may recommend a higher or lower valuation to the DAR Secretary.
  • If the LBP President agrees, he signs and transmits the report to BLAD, furnishing a copy to the RD.
  • If the LBP President disagrees, he notifies the DAR Secretary with reasons and the proposed compensation amount.
  • A DAR-LBP Committee composed of representatives of the DAR Secretary and the LBP President meets on the last week of every month to take up VOCFs where LBP proposed a different compensation and to arrive at consensus.
  • After the DAR Secretary and the LBP President approve consensus, the Committee advises BLAD of the agreed compensation.
  • Upon receipt of the signed CARP VOS Form No. 8 (signed by the LBP President) or the Committee’s agreed amount, BLAD prepares the Notice of Acquisition for the signature of the DAR Secretary or her duly authorized representative.
  • BLAD must serve the Notice of Acquisition on the landowner by personal delivery or by registered mail, and must post copies in conspicuous places in the municipal building and the barangay hall where the property is located (CARP VOS Form No. 9).
  • The Notice of Acquisition must contain the DAR valuation.
  • If the DAR valuation in the notice is lower than the selling price indicated in the VOS, BLAD must ask whether the landowner accepts the offered price.
  • If the landowner rejects the offered price or fails to reply within thirty (30) days from receipt of notice, the property is subjected to compulsory acquisition and processed under Section III, Subsection E, paragraph 4 of the order, consistent with R.A. 6657, Section 7, Phase One.
  • If the landowner accepts DAR’s offered price, BLAD prepares the Order of Acquisition (CARP VOS Form No. 10) and Deed of Transfer (CARP VOS Form No. 11) for signatures of the landowner, DAR Secretary, and LBP President, and forwards them to the Office of the Secretary of Agrarian Reform for approval and signature.
  • If the landowner rejects or fails to reply, the DAR Adjudication Board (DARAB) conducts a summary administrative hearing to determine just compensation in accordance with Administrative Order No. 13, Series of 1989, and BLAD prepares the Order of Acquisition and Deed of Transfer upon receipt of the DARAB decision, for signatures of the LBP President and the DAR Secretary.

DAR Secretary approvals and possession turnover

  • Upon receipt of the Order of Acquisition and Deed of Transfer, the Office of the DAR Secretary approves the final land value and signs the Order and Deed.
  • The signed Order must include directives including:
    • the DAR’s decision to acquire the land;
    • the amount of compensation to be paid;
    • a directive to the LBP to pay the landowner or deposit the compensation in his name, with the bank most accessible to the landowner designated in the order;
    • a directive to the landowner to turn over physical possession of the land to DAR for redistribution to farmer-beneficiaries;
    • a directive requiring the Land Bank to issue certification that compensation has been paid or deposited with the bank in the landowner’s name;
    • a directive to the Register of Deeds (ROD) to cancel the landowner’s title and issue a TCT in the name of the Republic of the Philippines;
    • a directive to the PARO to take physical possession and redistribute to identified beneficiaries.
  • After the DAR Secretary signs, the Office of the DAR Secretary transmits the documents so that the LBP handles registration in the name of the Republic of the Philippines and payment to the landowners.

LBP registration/payment and valuation method

  • The LBP President causes signing of the Deed of Transfer (DOT), forwards the DOT with the landowner’s title to the LBP region concerned, and the receiving LBP regional/provincial office transmits the DOT to the ROD with the owner’s duplicate Certificate of Title to request issuance of the TCT in the name of the Republic of the Philippines.
  • The ROD registers the DOT, issues the TCT in the name of the Republic of the Philippines, and forwards the registered DOT to the LBP regional/provincial office together with the TCT.
  • The LBP regional/provincial office transmits the TCT and registered DOT to the LBP head office.
  • The LBP head office pays the landowner the value of land compensation or deposits the amount in the landowner’s name with the bank designated by DAR.
  • If the land is encumbered, LBP pays the mortgage creditor or establishes a trust account in its name.
  • After compensation is paid to the landowner, LBP furnishes BLAD a copy of the DOT together with the TCT in the name of the Republic of the Philippines.
  • The LBP President ensures payment or deposit in a trust account in the landowner’s name is effected within twenty (20) working days from receipt of the Order of Acquisition and Deed of Transfer.
  • Land valuation is computed in accordance with DAR Administrative Order No. 17, Series of 1989, dated December 4, 1989, subject to amendments embodied in succeeding Administrative Orders.

Repeals and implementing procedures

  • Administrative Order No. 3, Series of 1989 is repealed.
  • All other orders, issuances, rules, and regulations inconsistent with DAR Administrative Order No. 19 are repealed, amended, or modified accordingly.
  • Further implementing procedures for DAR Administrative Order No. 19 are issued through DAR Memorandum Orders.

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