Agrarian Reform Program of the Autonomous Region in Muslim Mindanao

RLA BILL NO. 69 F:epubl ic of t.he Philippines REGIONAL LEGISLATIVE ASSEMBLY Autonomous Region in Muslim Mindanao Cotabato City SECOND LEGISLATIVE ASSEMBLY <THIRD REGULAR SESSION) Begun and held in Cotabato City, on Monday, the twenty-fourth day of April, Nineteen Hundred and Ninety Five. o□o [ MUSLIM MINDANAO AUTONOMY ACT NO. 43 J AN ACT PROVIDING FOR A REGIONAL AGRARIAN REFORM PROGRAM FOR THE AUTONOMOUS REGION IN MUSLIM MINDANAO, CREATING THE DEPARTMENT OF AGRARIAN REFORM FOR THE PURPOSE, AND APPROPRIATING FUNDS THEREFOR Be it enacted by the Regional Legislative Assembly in session assembled: CHAPTER I Preliminary Provisions Section 1. Short Title- - This Act shall be known as the "Agrarian Reform Program of the Autonomous Region in Muslim Mindanao" 1 Sec. 2. Declaration of Policies. - It is the declared policy of the Autonomous Region in Muslim Mindanao to pursue a regional agrarian reform program suitable to the special cir-cumstances prevailing in the area o·f autonomy!' :i.n accordance ,,..ith the Constitution!< Republic Act No. 6734, 2-.nd other existing national laws and policies. The welfare of landless farmers and farmworkers will receive the highest consideration to promote social justice and to move the region toi.,1<:"1.rds sound rural de<-✓elopmen t and indus tFi-3-1 i za tion and the establishment of owner- cul tivatorship of fa.mily economic-size fa1rm as the basis foir the 1region 's agr:i. cul tur-e. To this end, a more systematic equitable dist1r:i but ion and owne1-shi p of land, with due n:?.c]ard to the rights of the landowners to just compensation is essential. The need to pt'"eserve ecological balance in the region shall be given serious consideration to provide farmers and far-mworke1-s the opportunities to enhance their dignity and improve the quality of their lives through greater productivity in agriculture~ The agrarian reform pr-ogram is founded on the rights of landless farmers and farmworkers to own directly or collectively the land they till or in case of other farmworkers!< to receive a just share of the fruits then,~of .. The Autonomous Regional Government shall facilitate and accelerate the equitable dist.i-ibution of all alienable and dispo-s.able lands and other government agricultural lands that are in excess to what are really needed for development for public use, subject to the priorities and limitations set forth in this Act. Autonomous Regional Government shall The undertake ancestral measures to protect the ancestral domain and lands of the indigenous cultural communi t:i.es., 1 2 The Autonomous Regional Government shall respect the rights of small landowners and shall provide incentives for voluntary offered land for sale/distribution in accordance with the provision of law on just compensation The autonomous government shall be guided by the principle that i• is its concern and responsibility to lift the economic and social status of the landless farmers and farmworkers ■ Likewise, it shall also be guided by the principle that land has a social function and landownership has corresponding social obligations and responsibilities. Landowners are encouraged not to leave their lands idle and abandoned but instead make them available for productive purposes to benefit not only themselves but ethers who need to use them, thereby helping the less fortunate segments of society to become self-reliant and self-sufficient in life. The autonomous government shall principle on collective ownership and/or whenever applicable in accordance with apply the stewardship, law in the disposition and utili2ation of other natural resources, including lands of the public domain, under lease or concession, suitable to agricultural production, subject to the prior rights, homestead rights of small settlers and the ancestral rights of the indigenous cultural communities The autonomous government shall recognize the rights of farmers~ farmworkers, and landowners as well as cooperatives and other independent farmers" organizations, to participate in the planning, organization and management of the program and shall provide support to agricultt1re through the provision of appropriate and adaptable technology transfer as a result of intensive research and adequate financial assistance for production, marketing and other support services. 3 The autonomous government may resettle landless farmers and farmworkers belonging to the indigenous cultL1ral commun1ties and othe1- groups living and residing 1n the area of autonomy, in its own agricultural land/estate, proclaim resettlement areas and or resettlement reservations which shall be distributed to them i~ a manner provided by law and to rehabilitate and develop such areas to become better communities that. are peaceful and conducive for living- By means of appropriate incentive, the autonomous government shall encourage the formation and maintenance of economic family-size farm to be constituted by individual benef1c1aries and small landowners. The autonomous government shal 1 pi-otect the rights Di subsistence fishermen found in the local communities in their prefe~ential use of commural ma, ine and f1sh1ng resources, both inldnd and offshore- It- shall provide suppo1··t to such f1she1-men through appropriate technology and research, adequate financial assistance for producti~n and marketing and for other basic services necessary for their development. The autonomous government shall protect, develop and conserve such resources f □ i- continuous utilization by its people and shall also protect offshore fishing grounds of subsistence fishermen against intrusions. Fishworkers shall ~ece1ve a just sh~re from their labor 1n the utili:ation of marine and fishing resources. The autonomous government shall provide incentives to landowners affected by the program to invest the proceeds of their landholdings to promote and accelerate industrialization, employment and privatization of public sector enterprises- Fina11c1al inst.v-ument.s used as payment of land shall cont~in features that shall enhance negotiab1l1ty and ~cceptab1lity in the market place ■ The alltonomous gove1nment may lease undeveloped lands o-f the publi~ domain, and/or all acquired, sequestered or the foreclosed properties development of capital and pioneering cop export subject to the under thi:::; Act. to qualified enti t.1es for int~ns1ve fa1ms and traditional production esp c1a ly those ~o. prior rights cf the baneficia--.e= Sec ■ 3. Definition of Terms ■ - As use~ in this Act, t:-e meaning of e e--y te ~ enwnLrated hr ev.,,der is provided: al Agrarian Reform - means the redistribution of a ~s ~o farmers, farmworkers and subsistence fishermen who are landless, irrespective of tenurial arrangement, to include the tL,a .• ty of factors ar~ s~pport services desig~ed to uplift the economic status o-f the en~f 1ciaries and l ct.her arrangement vis-a-vis physical redistribution of lands, such as production and profit sharing scheme, labor administration and tre distribution of shares of stocks under t~e corpor~~e stock sharing scheme which a lows benefic1ar1es to rece1 ve a just share of the f ,-ui t .. Jf the1 r labor b > Agr1cul ture, Agricul tLtral Enterprise or Agricultural Activity - m s cult ,2e1on of soil, plar•1ng of :r~ s, crowing of fruit trees, raising of 11,es~ocks, poultry or fish including the have~ ing of such farm products and other farm activities and practices pet o- ed by a farmer in conjunction with such farming operations done by a p ~s n 1he, er natural or juridical ■ c) Agricultural Lands refer to the lands de, ted to agricultural activity as defined in this Act and not c ss fied as minerals, f forest, residential, industrial commercial and/or d > Agrarian Disput.e - 1-efers to any controve,-sy relating to tenurial arrangement whether leasehold, tenancy, stewardship or otherwise, over lands devoted to agriculture, including disputes concerning farmers, farmworkers~ landowners, farmer/ farmworkers• associations or any 1epresentation of persons in negotiating~ fixing, maintaining, changing or seeking to arrange terms or conditions ot such tenurial arrangement. It includes any controversy relating tc, c:ompensat1 on of lwnds acqui n:>d under tln s Act and other terms and considerations of transfer of ownership from landowners to farmers, farm~orkers, tenants and other agrarian reform beneficiaries, whether the disputants stand in the proximate relations of farm operator and beneficiary, landowner and tenant, or lessor and lessee ■ e) Idle or Abandoned Land nafers t.o any agriculLural lands lett behind unattended, not cultivated, tilled or developed to produce ary crop 11ot devot.ed to ar>y spec1f1c economic purpose continuously from the t.1me the property was acquired not due to any force majeure or any man - made calamity immediately prior to the receipt of Notice of AcqL1isi tion .o1 tile C!ut.onomous Government as provided under this Act, but does not include lands which ha\ie become permanently or regul•rly devoted to non­ agricultural purposes f) Farmer - refers to any person whose primary livelihood is cultivation of lands or the production of agricultural crops either by C i himself or primarily 1,,,ith the assist.a.nee of his immediate farm household, whether the land is owned by him or by another person under o leasehold or share of tenancv agreement or any arrangement with the owner thereof~ g) Farmworker is a natural person who i ) . \ J I k ) renders services for value as an employee or laborer in an agricultural entefprise or ·fi::n~m i~egard less of 1-'!het.her his compensation is paid on a daily~ weekly, monthly or upaf•::yawu i~a.si~." The terrn. includes an individual whose work has ceased as a consequence Df, or- in connection with a pending agrarian dispute and who has not Dl:.1tained a subst.antially f:quivalent and requ J. i::, r ·farm emp 1 oymen t ~ Regular Farmworker ~= a natural person by an who is employed on a permanent basis agricultural enterprise or farm. Seasonal Farmworker - is a who is employed on a recurrent, periodic or intermittent or non-permanent laborer, such as "dumaan", sacada ancl the like . Other Farmworkers - refer to do not fal 1 under- let:t-£1i-·<.::. h and i respectively t..o Cooper-at.i ves composed p r·odLicer·s, subsistence primarily of small ·fa 1-me 1-·s,, or·gan i Zclt. ions agricul tu,-al fa 1~mv,od; ers ~ f ishr::?nnen O ;-. other agra1-ic1.n refonn organ i :ze pooling financial benef iciar-ies themselves for who voluntarily land, human, operc:1te on and duties or other economic the as 7 .2, juridical f th~ purpose of technal<..,gical" nesou i~ces and one's right:s pers 0r1 .. Said cooperatives must be registered with the Autonomous Region in Muslim Mindanau ■ m) Indigenous Cultural Communities refer to a homogenous society identified by se!f­ ascription and ascri~tion by others, who have continuously lived as community on tommunally bounded and defined t.erri tory, sharing com1non bonds of language, customs, traditions and other dist:inctive CL1lt.ural traits, and who, through resistance to the political, social and cultural inroads of colonization, became historically differentiated from the maJor1ty of Filipinos such as, b~t not limited to, the Maguindanaons, lranons, Maranaos, Tausogs, Yakans, Samals, Badjaos, Tirurays, Bilaans, Bagobos, Manobos and other tribal gro~ps covered by the definition of the Bangsa Moro defined 1n Republit Act Number 6734 CHAPTER II Coverage Sec. 4. Scope- - The Ag1-arian Reform La~J of the Autonomous Region 1n Muslim Mindanao shall cover, regardless of tenurial arrangement and commodity p1·odL ced,, al 1 pub 1 ic and private agricultural lc.<nds including other lands of public domain, ancestral doma~n and ancestral lands suitable for agricult~~al productions within tte area of the autonomy. More specifically, the following lards are covered by the Autonomous Regioral Agrarian Reform program, to wit: a) All alienable public domain and disposable lands of de oted or suitable the for agriculture ■ No reclassification of forest or minercll lands shall be undertaken after the appro ai of this Act, ntil ~he R~gicnal Legislative Assembly, taking into accc:.>ttnt ecological~ environmental development and 8 b) c) equity considerations, shall have determined by law the specific limits of the public domain; All lands of public domEtin the specific limits as may by the Regional Legislative preceding paragraph; All othei­ Government agricul t-u1-e; lands owned by devoted tc 01 in e>:cess of be det.ei-mined A~.sembl y in the the RegionEil suitable for ci) All lands of ancestral domain devoted to or suitable for agriculture subject to the provisions on ancestral rights set forth in this Act.; and e) All private lands devoted to or suitable for agriculture regardless of the agricultural pi-oducts i-aised m- that can be raised thereon. Sec. c:: w• Schedule of Implement.at.ion. The identification and distribution of lands covered by this Act shall be implemented immediately and to be completed within the period of fifteen (15) years thereof, subject to the provisions of the succeeding sections of this Act. Sec. pn:>vided di n?ctly in 6- Retention Limits- - Except this Act, no person may own as ot.hen•;ise or 0 , c. ' agricultural acco1-d i ng t.o farm such the Regional indirectly~ any public or private lands, the size of which shall vary factors governing arable family size as commodity produced, terrain, and soil fertility as determined by Agi-arian Refonn Council (F:?)RC) created hereunder, but 1n no case shall retention by landowner exceed seven (7) hectares- Five (5) hectares may be awarded to each child of the landowner subject to the fallowing conditions: '----' 1) Th<=1.t he <=1.ge;; and is at least fifteen (15) years o-f 2j Th<=1.t he is a.c-tually tilling the land or directly managing the farm; Provided, that landcn,mers unde1- Presidential Decree Noa L..."7 and other pertinent a.grarian refo1rm laws promulgated by the national government shall be allowed to keep the arei:'J ot-iginally ,~etained by them thereunder. Tr.-e original homestead g1r.antees oir di1rect compu.lsor·y heirs who still o~JJn the orig:i.nal Act. shall cultivate homestead at the time of the app1rovi:>.l of this t-etain same areas as long .as ·they continue to and/cw manage the said homestead m The right to choose the are.a to be retained~ "'1hich shall be compact and contiguous, shall pertain to the J.andm,..ner:: Provided~ however, th.at in case the area selected for retention by the landowner is i.:enanted, the tenant shall have the option to choose whe·ther to remain therein as tenant or be a beneficia.Fy in the same or anot.he1r agricultural land 1 .. ,d.-th simil.ar or compa.r-a.ble features. In case the tenant choose to remain in the 1ret-!3.ined a.rea, he shall he considered a leaseholder and shall lose his right as an ~ner-cultivator under this Act. In case the tenant choo·2;es to be a beneficia.ry in another .agric:ul htFi:>.l land, he loses his right .e..s a leaseholder to the .-stained .a,ea of the landowner~ The tenant must exercise his option within a pel'"iod of one (1) year ·fr-om the time ·the landowner manifests his choice~ of the area for retention~ In a.J.l cases, the secLn-ity of tenun-? of the farmeFs and farmworkers on the l-3.nd j:wior t.o the appFoval of this Acti, shall be respected. Upon effectivity of this Act, any sale, disposi t:i.on, lease, management contract or tra.nsfe1r o-t-= possessions of private lands executed by the 01rig:i.n.al landoi..<JneFs in violation of this Act shall be null and void;; PFovided !' however, Th.at those e>:ecu ted p1rio1-~ to J. t..} this Act shall be valid onl'),' ,•,hen 1-egist.ered with t.he Register of Deeds within the period of three ( 3) rr:o'1t:hs after the e·f-fect.ivity of this Ac:t.. Thei-·eaft.e1-~ all Register of Deeds shall inform t-he Regional Department of Agrarian Reform in Muslim Mindanao within thirty {30) days of any transact.ion involving agricultL,ral land ir e>:cess of seven (7) hectares Sec- 7. Priorities- - The Regional Department of Agra-1-ian Refoi-m in Muslim Mindanao (RDARMM) as herein created~ 1n coordinatior with the Regional Agra~ian Reform Council (RARC>~ shall plan and program t.he acquisition and distribution of all agricultural land and ances~ral land suitable for agriculture within a period of fifteen (15) years upon the effectivity of this Act- Lands shall be acquired and distributed as follows: PHASE I PHASE II All alienable and disposable public agricultural lands, all arable public lands under agro-forest, pasture and agricultural leases already cultivctted -': d plant.ed to crops 1n accordance with Section 6, Article XIII of the Constitution; all public agr icu 1 t.ural lands which a1-e t.o be opened for new development and resettlement and all private agricultural lands in g:cess of fifty (50) hect..:1res~ in so far as t.ne excess hectarage 1s concerned, to implement principally the rights of the farmers illld ·fai-m~•mrkers who are actually tillers of the land but landless, to own direLtly or collectively the lands they till- They shall be distributed immediately upon the effectivity of this Act, with the implementation to be completed within the pei-iod of foLtl (4) years Rice and corn lands under President-ial Decree No ■ 27 and all private lands voluntarily offered by the owners for agrarian reform; all lands foreclosed by government financial institutions~ and all lands acquired and sequestered by the Presi dent.ia l Cammi ss.ion on Good Government (PCGG) within the area of autonomy; all lands classified as idle and abandoned areas and all other lands owned by the government that are arable and suited for agricultural production ~•Jhich shal}. be acquired and distributed upon the effectivity of this Act, Tne implementation of which shall be completed within a period of not more than foui- ( 4) years, PHASE III- All other private commencing with large following schedule: agricultural lands landholdings under the a) b) PHASE IV Landholdings above twenty-four hectares up to fifty (50) hectares to begin from the effectivity of this Act and to be completed within three (3) years; and Landholdings ti,--ien t y-f our f ;--om (24) the retention t1ec-t:2res, t.o the effectivity of this Act completed within four (4) years. limit Ltp to begin f i-om and t.o be ancestral domain and ance=.t-ral lands the in S:-Lt it.able p r·o·v i ~-ion th is Act. for agriculture subject on anc~stral rights set t.o The schedule of acquisition and redistribution of all ancestral agricultural lands covered by this program shall be made in accordance with the above order of priority~ which shall be provided in the implementing guidelines/rules to be prepared by the Regional Agrarian Reform Council (El:)EC), taking into considerat.ion the following: the need to distribute lands to the tillers at the earliest practicable time; enhance a.gricultural 1:woductivity the need to to hasten a.vai 1-::,bi 1 i ty implement and economic n?covery; and the of funds and resources to support the program. In ,:1.n y c.::1. s;e , the f;;(.'.1l=<C 1, u pcm the t~ecommendation of the Provincial f".1grar·ian Re·form Coordinating Commi·ttee (PARCCOM), may declan: certain p1rovinces or municipalities as pr·:i.ori ty land n,~form aTeas,. in which case the acquisition and dist1ribu·tion of private agr-i cul tLural lands therein m.::,y be implemen terl ahead of the above schedules~ In effecting the transfer within these gu1aei1nes, priority must be given to lands th<3.t are within Phase I and Phase II and subsequently, Phase III and Phase IV should come next in that orde1r of priori ties= The F<:AHC shall e-::d.abl:i.sh gu:i.clel:i.nes to impleroen t the above order of priori ties c1.nd distribution scheme, including the determination of who are qualified beneficic1.1ries; Provided, that an owner i:illf::-r may be bene·fici<:,ry ol'' the land he does no·t own but is actually cultivating as 1.ong as the total number of his landholdings does not exceed f:i.ve (5) hect-::-u-·es SECa 8. - Multinational Corporations. All lands of the public domain le<:1.sed, held or possessed by multinational corporations or associations and other lands 0',1..!ned by govern-men t. or by gover-nmen t-owned and cont,~olled corpor-ai:.ions!' associations, institutions or en-ti ties, devoted to existing cl.nd ope1rational .::1.gri­ business OF agro-industr-ial enterprises~ operated by mul ttnational corpo1~ations and associations shall be pr-og,~ammed for· acquisition Emd distribution immediately upon -the effectivity of this Act v . .lith imp1ementation to be completed within three ( 3) yeai--"i:; unless a new contr.;;~ct :i.s entered into by and between the Autonomous Regional Government with majority of the affected qualified beneficiaries associat.ion or entities. the conc:urrenct 1 of the progr m bene ,ci ries and/~r 1n such corporation, Lands covered by the 1mmedia~~l• p1eced1ng paragraph under lease, management, grL er or serv1co contracts and the like shall be disposed of ~s follows: a) Lease 1 management, growe Jr service contracts covering an aggrr ga ~ area in excess of one Lhousand (1000 hectares~ leased er held by foreign i1 iv1dual ~n excess of five hundred (500) nectares arQ deemed amended to conform wi t.h the l 1mi t.s set forth in Section 3 of Article X11 of the Cons Lei tut.ion. b) Contracts covering areas not 1n excess of one thousand ( 1000) hectares in t e - se of such corporations and associatiu~s and f1ve hundred (500) hectares in the Cdse of such 1nd1vidual sh~ll be allowed to continue under their original terms and conditions but not beyond December 31, 2000 or their Vdlid t.erminat.ion, whichever com2s sooner, aft-er wh.1ch $Uch agreement. $ha! 1 =ont.inue only when confi,med by the Autonomous Government and/or concerned parties- Such contracts shall likewise continue even after the land has been L,ansferred to benef1ciar1es or awardees thereof, the transfer of wh1~h sh~ll be immediately started or implemented and completed within the period of three (3) years mentioned in paragraph 1 hereof. c) In no case will such leases and othe agre~ment now being implemented c~tend beyond December 31~ 2000 when all lands EUbject hereof shall have been distributed completely to qualified ben 1c ries or awardees. Land under leased!' held or possessed by multinational corporations owned by private individuals and private non governmental corpora·tions, associations, institutions and en ti ties, shall be subjected to immediate compulsory acquisition and distribution upon expiration of the applicable lease, management, grower or service contracts in effect as of January 1!1 1996 or otherwise upon its termination, whichever comes sooner, but not later than fifteen (15) years following the e-ffectivity of this Act, subject to vested rights; However, during the 5-<:\id pe,.-iod of effectivity, the Autonomous Gove,.-nment shall take steps to acquil'"e these Lands for immediate distribution thereafter& In gene1ral, lands shall be dist,.-ibuted directly to the individual worker­ beneficiaries. In case it is not economically feasible and sound to divide ·the land, then they shall form a workers coope,.-ative or association which shall deal with the corpor·ation or business association or any other proper party for the purpose of entering into a lease or growers agreement and for all other legitimate purposes. Until a new agreement is entered into by and between the workers cooperative or association and the corporation or business corporation OI'" any other proper party, any agreement existing at the time this Act takes effect between the former and the previous landowner shall be respected by both the ...orkers' cooperative or association and the corporation, business association or such other party. In no cctse shal 1 the implementation or application of this Act 15 justify or result in the reduction of sta~us or diminution of any benefits received or enjoyed by the worker beneficiaries or in which they may have vested rights at the ~ime this Act becomes effective The provisions of Section Act, as regards to production sharing and corporate stock option sharing apply to farms multinational corporations ■ t.h1s and profit distribution operated by During the transition period, the new owners shall be assist8d in their effort to learn moder~ technology 1n production­ Enterp1-ises which s11ow i,•illingness and commitment in good faith in exeiting effort to impart voluntarily such advanced technology ~ill be gi en preferential treatment where feasible, but in no case shall a foreign crn··po1-at.ion, association j entity or 1~dividual enjoy an~ right or p~ivilege bet.t.er than those enjoyed by a domestic corporation, a5sociat1on, ent.ty or indi-.idual Sec- 9 ■ Exemption and Exclusion- Lands actually, directly and e~clusively used and found to be necessary for parks, vJildlife:~ foi-est. reserves, reforestation, fish sanctuories and breeding g-ound, watershed and mangroves, national defense, school sites, and campuses including e~perimental farm st~tions operateu by pub.ic or pri.ate schools for educational purposes~ seeds and ~eedl1ngs researcn and pi lot production centers, churclt sites and convents, mosquL sites and Islamic Ce-ters appurte,ant t1ereto, communal burial grounds and cemeteries, penal co!on1es and penal farms actually worku~ by the inmates, government and p 1vate rese, rch and quarantine centers and ~11 lclnds with e1ghte~n percent (18¼, slope a~d over shall be e~empted from the operation of th~s ~ct. 16 Sec ■ 10 ■ Commercial Farming- - Commercial farms which are private agricultural lands devoted to commen:: i al salt.beds, orchards:i coffE·e; sub j ec t.E~d 1 i '-/es tock , fishponds vegetables coconut and poultry and aquaculture including and prawn ponds; fruit farms~ and cut-flowers farms and cacao, rubber plantations shall be to immediate compulsory acq~isition and cl i st.t-i bu ti on IA! i th in f if teen ( 15} years from t.he effectivity of this Act. In case of the new farms, the fifteen (15) year period shall begin from the first year of commercial farming/production and operations as determined by the Regional Department of Agrarian Reform (HDARMM). During the 15th yec:n- pei-iod, the Autonomous Govei-nm:=nt shall ini tiat.e t.he steps necest';;i..'H"Y to acqui r·e these lands upon the payment of just compensation for the land and improvement thereon, preferably in favor of organized cooperatives or associations which shall thereafter, manage the said lands for the workers benef i c i en- i es= The provision of Section 42 of this Act, v:i th regards !=-tock to production and profit sharing and distribution option sharing shall cci-porat.e apply t.o Act,. CHAPTER III Ancestral Domain, Ancestral Lands and Indigenous Cultural Communities Sec- 11 ■ Definition of Terms- - As used in this the meaning of every term enumerated hereunder is provided: {4ncest:ral Domain - refers to all lands and resources possessed by indigenous by themselves or communally oh1ned; occLtpied or cultural communities, through their or individually, in ar,ces tor·s fi acco1-dcl.nce t.hei r customs and 1? b) C: ) d) traditions since time immemorial continuously to the present except when interrupted by war, force majeure, or displacement by force or deceit, which shall include pasture, residential, agricultural and other lands individually-owned, whether alienable/disposable or otherwise, hunting grounds, worship area, burial grounds, bodies of water, air space, mineral and other natural resources defined in paragraph 2, Section 1, Article XI of R ■ A• No ■ 6734 ■ Ance:=-tral Lands - refer- to t.hose real pr·oper-t.ies t<'Jit.hin the ancee.t.ral domain which are communally-owned either by the whole community or by a clan/group thereof and to lands inherited by members of the indigenous cultural communities trJho an? in actual, open, notorious and uninterrupted possession and occupatim, therein by themselves or their predecessors f01- at lec~st t.hirt:y (30) years. Customary/Indigenous Laws - i-efer- to a body of customs, traditions, practices, and usages traditionally observed, accepted, ancl recognized by the indigenous cultural communities Time Immemorial refers to a period of time, as far back as memory can reach where members of indigenous cultural communities are known to have occupied, possessed ~nd utilized a cie-f:i.nit.e territc:n--y inhe,-ited f1-om their ancestors in accordance with customs and traditions ■ Sec ■ 12- All ancestral domain and ancestral of the indigenous cultural communities shall alienated and disposed of to non-mEmbers lands not be the of indigenous cultural communities ■ 18 Sec a 13. All public lands wi ·thin the Autonomous Region are deemed par-t of the ancestral domc1.in ,::1.nd shall be progr~.mmed for dcquisi t.ion and disposition within the period of fifteen (15) years from the effect:i.vity o-f this Act. However,. in no C-::\S-e shall quali·fied indiqenous cultural community be gi•-,.>en or awa,·ded Sl.tcl1 land in excess of five { 5) i1ect.;:1.1res. Secu 14. r~ncestn,d. Dom,,d.n and -i: Cest1r,,\l ]..;: ds shall retain its original status jxrespective of the manner of its ~.cquisi tion ~.nd disposition. i:my t.i tle her-eto acquin~d by the effectivi·ty of RnAn l--loG 6734 or in v:i.,::,lation of this Act sh.all be null and void without prejudice to his rights to n?cover the reasonable amount leg.al J.y paid thereto and ot- the reasonable value or just compensation of the imp1rovements introduced ther·E-1 in & Sec. 15. Al 1 p1-·:i.vate lanch su:i. table-? ·for agricultural purposes titled or m~med by members of :indigenous cultur-al communities may be disposed of by i +<; owner only to the member-·s of the indigenous cul tura.l community OF to the Au·tonomous Regional Gover·nment in nu.slim Mindanc1.o~ Sec. 16. 1'iembi:-:-~r·s oi-: the ind :i.qenous cul tui-al communities may m~n or retc1.in di1rec-tly or indirectly any of -their ancestral lands, irrespective of c:rop-s or fruits produced therein but in no case retention by the owne1-· sha.!..L exceed seven (7) hectare=-· Five (5) hectares may be awarded to each child of the landowe, provided he meets the condi tion:s set for·th under Section 6 9 Chapter II of this Act. Sec. 17. ~~ portion of the ancestral domain shall be opened ·to resettlement of non-members of the i.ndi(.: ienous cul turaJ. communi ·t:ies. Seen abar1doned, .najeu.1re a.nd dist,~ibuted 18. Ancestral lands that remained idle and the C<="l.uses of which are not due to fo,·ce man made ca la.mi ties sh.all be c1.cqui1red and to the 1-=mdless ID!2'mbers of said cul tur-:ll c:ommuni ties 1.1pon proper appl;1cat.ion with the RDARMM t•!hic.., shall provide guidelines herein and supe1-vise it.s imp I emen tat ion . Sec- 19 ■ Unless authorized by the Assembly, lands of ar.cest.ral domain tit.led to by an indigenous cultural community shall disposed or to non-members thereof ■ Regional or o:·med not be Sec- 20- In line with the principles of se1f dete m~ration ar,u au .onu y, .re syster of landowner-sl1ip, land use and the mode af t.hresh1ng 0L1t land disputes among the indigenous cultural communities not inconsistent with this Act shall be ,ecognized and respected. Sec ■ 21- The HDARMM in close coordination with the DE JR-, ,kM,1 and i.:I ,e L.:tus af-"ected by the i-)ro~ram shall completely identify and delineate the ancestral domain and ancestral lands within the pEriod of fifteen (15) years from the effect1v1ty of t~is ~ct CHAPTER IV Improvement. of Tenurial and Labo1- Relations Sec- 22- Determination of Lease Rentals- In order to p~otec:t end .mp,·ove the c.enl 1-1c1l ar,d economic status of the farme1s in tne tenanted lands under the retention !imit ad !a~ds ~o~ yet acquired under this AcL, the RDARMM, is mandclted to determine and fix immediately the lease er~als .-ht:: eof \-:h1ch shall not be more than t.~-Jenty--five percent t25¼) of the normal harvest during the three (3) dgricultural years immediately preceding the established date of the leasehold after deducting the amount used for the seeds ard thct ha, vestim,;. ..hresh1r4, haul1.ng ci.nd. pn:::1~ecz~ing wh :i ch ever arc app ... icab le• Provided. t.ttat. if t.he land has b~en cultivat~d ,or the. e, ~od of ~ ~ee (3) years, the inJLial consideration shall be based on the average 2n 1 normal harvest during the preceding years when t.he land was actually cultivated, or on the har·vest of the first year in ~ase of newly cultivated lands if ~he hc:nvest. of thc: first. yeai 1s r,ormal• Provided, further, That aite1 the lapse of the first three (3) normal rarve~ts, the final consideration shall be based on the average no1inal harvest during t.hese preceding agricultura 1 ye rs ProJide, finally, tbat in the absence of any agreement between the parties as to rentals, the RDARMM shall fi): the rent.al, t.akir,g ... nto cons1derat1on t.he p1 act.ices cbse, ved in the co11muni t.y whichever is acceptable and aoaptable~ in accordance, if possible, with Islamic roncept Sec- 23 ■ Production Sharing Plan- An enterprise adopling t~e scheme p-ov1ded for 1n Section 42 or ope-ating u .der a production venture, lease, management. con trc1c l- or ar,ot.l12r similar arrar,gement and any form covered by Sec~1ons 8 and 10 hereof is hereby mancatec; tc.. be e>:ecL,t.ed ;,•it-hir thirty (30) days from the effectivity of this Act, unde1 a pi eduction-sharing plan prescribed by the approp11ate government agency ■ Not.hi11g l1e1 ein shall be const.ruec.l to sanction the dim1nut1on of ~·t.atcver bencfit.s such as salaries, bonuse~~ 11.=aves ar,..; worki.1y condition gra,t.ed to the employee-beneficiaries under existing laws, agreement and ✓olunt .. ·--y p actices by tri: erte.-prise, nor shall W,a ~nterprise and its employee-beneficiaries be prevenlPd from entering into any agreement. with terms more favorable t~ tr~ latter CHAPTER V Registration Sec- 24- ~-!ithin one hu~dred eighty (180) days from t.he e-i'tect.ivity of t.llis {kt, all pei-sons, natu,-al or ju:-i 'ical, inclL,ding yovci-nmenl:. ent.it-ies that own or claim to own agric ltL1al lands/ancestral 21 domain/anco5tral lands whether 1n their names or name of others~ shall file a StJor stat.emcmt P1ovincial/Mun1c1pal Asse~so,s Offic& within the autonomy 1n the form to be pres~ 1-•d by the ststing the following information: in t.he 1n the area of RDARMM a) The description and area of tha p1operty~ b) The average gross 1ncom~ from the property for at least three (3) ye~rs; c) The nomes of all ten~nts and farmworkers therein; d) e) lhe crops planted in tha properhy area cove,ed by each crop= as effect1vity of th1s Act; and of ·t:he the The terms, mortgages, leases and contrac s ;s t c effectivi~ management this Act; and f) The lates~ declared market value of the land as det rmined by the City or . • 1nc1a I /Municipal Assc:>sscr; g) Cultivated or idle land Sec. 25- Registration of Beneficiaries- The RDARMt in coo ui t.1on with the Barang y Agrarian Reform Committee <BARC) as organized 1n this Act, shall r~ ister all agricultu1al lessees, tenants, and -f'a-rnwoi-1.ers whc are qL1al1f1ed to be beneficiaries of the eg1onal g~dr1an Reform Program <RARP). These potential benef1c1a ies, w1th the as~istance of the Barangdy Agrarian Reform Committee and the RDARMM shall provide the f□llow1ng data: a) Names and membe--s a, their immediate fa,m household; b) C) Owners or administrator of the work on and the length of relationship; Ci-c::,ps pl anted; and lands they tenurial d) Their share in the harvest or amount of rental paid or wages received. A copy of the registry list of all potential RARP beneficiaries in the barangay shall be posted in the municipal hall or barangay hall, school or other public buildings in the barangay where the public for inspection at any :i.t. shall be open reasonable time. t.o CHAPTER VI Land Ac qui sit.ion Sec- 26- Procedures for Acquisition of Private Lands- - For purposes of acquisition of private lands, the following p·,-ocedure shall be follo~,;ed; a) b) havinn -::, identified the land, the landowners and the beneficiaries, the RDARMM shall send its notice to acquire the land to the landowner thereof, by personal delivery, and post the same in a conspicuous place in the municipal building and barangay hall of the place where the property is located. Said notice shall contain the offer of the RDARMM to pay a corresponding value in accordance with valuation set forth in Sections 27 and 28 and other pertinent provisions hereof. Within n.::•ceipt (30) thirty of w,-i tten notice t-he l andcwmer administrator or representative the by and shall date of personal or his inform c) d) e) ..... ,, thc2 RDP1~:MM of his acceptance or 1-ejection of the offei-. landowner accepts the offer of the the Land Bank of the Philippines If the RDARMM, (LBF') shal 1 pay the landowner of the purchase price of the land within thirty (30) d=y~ after the execution of the deed of conveyance and delivers a deed of transfer in favor of the Autonomous Regional Government and surrenders the Certificate of Title and other documents evidencing title thereto. In case of rejection or failure to reply, the RDARMM shall conduct summary administ·;-ative proceedings to determine the compensation for the land by requiring the landowner, the Land Bank of the Philippines and other interested parties to submit evidence as to the just compensation for the land~ within fifteen (15) days from the receipt of the notice- After the expiration of the above period, the matter is deemed submitted for decision ■ The RDARMM shall decide the case within thirty after it is submitted for expressing therein clearly and the facts and the law on which it (30) days decision, distinctly is b-ased. Upon by the pa.)/ment 1 andoi"iner­ or, in of case t.he of rej2ction or no response from the landowner~ the corresponding payment shall be deposited with an accessible bank designated by the RDARMM of the compensation in cash or in bonds in accordance with this Act, and the RDARMM shall take immediate possession of the land and shall request the proper Register of Deeds to issue a Transfer Certificate of Title (TCT> in the name of the AutonomoLlS Regional Government in Muslim Mindanao ■ The \. ..I RDARMM shall the1eafter proceed redistributior of the lend to the beneficiaries. t'li th the qual 1 f ied f) Any party who disagrees with t.he decision may bring the matt.er t.o t:re c<:>Ltrt of proper ju, isd1ct1on for final determination of just compensation. ARTICLE VII Compensation Sec- 27- Determination of Just Compensation. - In determ1n1ng the just compensatim, the cost of acqu1sitior of the land, ~h~ current va:Je of like p1-ope1 t.ies, its nat.ure, ac.tual us1:• and income, the sworn va.uation o the iandowner. the tax declarat.ion, and the assessn,ent. made by t.he government asses""ors shall be considered; the social alicl economic benefit.~ cortr1but.!a:!d LY the fa1mer and farmworkers and by the government to the property as we:: 1 2s the nor.-payment of ta,-es or ~ oans seci..tred f n:im an, go-1e;-nment f inancirrg inst-1 t-uti ons on t.he said land sh~ll be considered as add .. iw al -~act."J.-s to determine its valuat.ion. Sec. 28- Valuation and Mode of Compensation- - The Land Bank of the Philipp~nes shaJl ~omp~nsate the la'"'c.0~'1Er in such amount as m~/ be agreed upo .. oy the landowner, the RDARMM and the LBP in accordance with t.he criteria provided ~o, in Section- 26 aid 27 and othe1 pe1~inent provision hereof, or as may be f1nally determined by the court as just LCmpensation for the land The compensat~o,-, sha.l be pdid 1n one of the following modes, at the option of the landowne1s: 2!.. '-../ 1) Co.sh payment under the foll0t1Jing tenns and cond :i. t:i.ons :: .a) For lands .:."-'lbove fifty (50)---Tt>1enty-five (25:r~) pen:ent hectares, insofar as cash, the balance to be "l:.ne exce·ss hectarage pc1.id in government :is concerned.:: financial instrument negotiable at any time. b) For lands above twenty four (24) hectares and up to fifty (50) hectaires. Thirty percent (30%) cash, the balance to be paid in government financial instruments negotiable at any time. c) For lands twenty four Thirty five (35:;~) petrcent cash, the balance to be (24) hectares -::\.nd belOl•Ja paid in government financial instn.lment negotiable at any ·time~ 2) Shares of Stock in governm,?n t-owned or control led corpc.wations, Land Bank of the Philippines (LBP) preferr-ed shan~s, physical assets or other qualified investment in accor-dance with gu:i.de1ine-s set by the Regional Agrarian Reform Council (RARC); 3) 4) Tax credits which can be used against. any tax li.ab:i.lity;i Land Bank bonds which shall i'ea tu n-=s:: have the ·fol los,,..1ing .a) !Tl-,."'l.1rJ,:.et inten;-,:;;.t ratC-=S aliqnecl l,\li·th 91-clay treasury bill rates. Ten (10%) per-c(0nt of the face value of the bonds shall ma.tun-? every year from the date of issua.nce until the tenth (10th) year. Provided, tha.t,. should the l.ando\!-mer choose to forego the cash portion, whet.heir in full OF in p-i:\rt,. he shall be p-aid correspondingly in LBP bonds; b} Transferability and negotiability. Such LBP bonds may be Ltsed by the lando~mer~ his successors in interest or his assignees, ~p to the amount. of thei,- face valLte, for an' of the follow1ng: 1) Acquisitior of ~and or other rea~ properties of the government including assets urider the AssGts P1-iva'i:.1.:at1on P1-ogra.1n a'lu other foreclose:d properties by the governmerit financial ~nst.i tutions in the 3arre po-ovir1..E or municipalities Hhere the lands for which the bonds were paid a e situated; 2) Acquisition of shares of stock of government-own~d or controlled corporat1ons or shares owned by the government in private corporations; 3} SubstitLtio,s for surety or ba~l bonds for the p1-o.-1s1onal n?!ease of accused persons, or fL~ porformance bonds; 4) Secu,-ity for luans v:it.h any government f 11,anc i al 1nsti t.Lttions: Provided~ That the p,uceeds of the loans shall be invested in an economic enterpr.~e, preferably in a small and medium scale 1ndust1y, in ~1~ province and mLtrdcipal1ty ..ihe~e the land 1s locat.ed for which the bonds are paid; 51 Payment fc- rioLs laxes and fees to government.: Provided, That. t.ne Ltse of these bo ds fL'•- t.res'"' ;:>L po:.::,eS • ill .:ie limited t.o a cer·t.a in pen:ent.age of t.he out.st.and 1ng balance of t.he fir>a, cial ·.-.st uments: P~ov1Jed~ further. That ~,e RARC shall det~rmine the percentage mentioned above; tuition members of 6) Payment for immed1o~e family bondholdei- in gov1;;rn111ent fees of t.he the oriyina un1versit1es co1 leges, trade schools and institul:ions; 7) Payment for fee of the member of the family of the bondholder in government hospitals; other immediate original and 8) Such other uses as the RARC may from time to time allow ■ In case of extraordinary inflation, the RARC shall take appropriate measures to protect the economy. Sec ■ 29- Incentives for Voluntary Offer for Sale ■ Landuwners, othe~ than oank= and ot~e1 f inane ia l inst1 i;utions, ~iho volunt.ari l y offer tl-tE::i r lands for sale shall be entitl~d to an additional five pe,cent (5¼) cash payment. Sec- 30- Voluntary Land Transfer- - Landowners of agricul tui-al ... ands suuject to acquisition Linder t.his Act may enter into a voluntary arra gement. fer direct transfer of Lhelr lands to qual fied beneficiaries, subject to the following guidelines: a> All notices for voluntary land transfer must be s1.tbm1 t. t.ed t.o t.he RDARMM wi t.111n t,he first. year of implementation of ~le RARP­ Negotiations bet.~een the landowners and qualified beneficiaries covering any voluntary land tr~nsfer which remain unresolved after ~ne (1) year shall not be recognized ~nd such shall instead be acquired by the Autonomous Regional Government and transferred pursuant to t~is Act. b) The terms and c..oi1di t.::.ons of such tr.:insfer shall not be less favorable to the tran~feree than those of the govGrnment's standing offer to pun:hase ·fi-om tl'le lan<.:1011mer and to rese:!.l to the benefic:1ar1es, 1f such offer have • een made and .are fully kno1,-m to bot-h parties C) The voluntary agreement sanctions for non-compliance and be duly recorded and its monitored by the RDARMM. shall include by either party implement.at.ion Sec ■ 31 ■ Payment of Compensation by the Beneficiaries under Voluntary Land Transfer- Direct payment in cash or 1n kind may be made by the farmer beneficiaries to the landowner under a term to be mutually agreed upon by both parties which shall be binding upon them, upon registration with and approval by the RDARMM. Said approval shall be considered given, unless notice of disapproval is received by the farmer-beneficiaries within thirty (30) days from the date of registration. In the event they cannot agree nn the price of the land, the procedure for land acquisition as provided in Section 26 shall apply. The LBP shall extend financial assistance to the beneficiaries for purposes of acquiring t.he land~ CHAPTER VIII Land Distribution Sec ■ 32 ■ Qualified Beneficiaries. The lands covered by the Regional Agrarian Reform Program CRARP, shall be distributed as much as possible to landless 1-esident.s of the same barangay, Dl- in the absence thereof" landless residents of the same municipality in the following order of priority: a) Agricultural lessees and share tenants; b) Regular far~~orkers; c) Seasonal farmworkers; d) Other farmworker~; 29 e) Actual tillers or occupants of public lands; f) Collective organizations or cooperatives of the above beneficiarie~; and g) Others directly working on the land ■ Provided, however~ That the children of landowners who are qualified under Sect1.on 6 of this Act sr1all be given prefei·ence in the dist:ribut.ion of the land oft.heir parents. And l--'rov1ded; further, That act.ual tenant-tillers in the landholding shall not. be ejected or removed without just cause to ue determined by the RARC Beneficiaries under Pres1de11t1al .uecree tlo ■ 27 1r:ho cL1lpc3bly sold, disposed of, or abandoned their land are disqualified t.o become bcme?f1ciar1es under this program A basic qualiTicati~n of a beneficiary shall be his willingness, attitJde and ab1l1ty to cultivate and maki;, the land as productive as possible- The RDARNM =-hall c1dopt a system of monitoring the record or p~rformance of each beneficiary, so that any benefic.1a1-y guilty of negligence or mi~wse of t-he l~nd or any support extended to him shall fo-feit his ,ight t.o Lorii:,inue as suc·1 benef ic1ary Th.;:, RDARMM shal 1 submit- periodic reports on the performance of the beneticiaries to the RARC. If, due to i.,t-e lan..:lm,ine, retention rights or i:o tlie numbei- of ten.:1nt.s~ lessees or ~-iurl~ei-s on 1;he land, t.l1ere is no enc.iLtgl1 land to ac:commoJate any or some of them, they may be granted ownership of oth~r lands available for distribut.:ion under t.his Act, at. the opt.ion of the beneficiaries Fia\rme1-s accommodatec.l lands will distribLtt.1on already in place and those in the disti ibution of privately be gi,·en pre-ferential rights in of lands ·from t.he public domain not owned the Sec- 33 ■ Distribution Limit- - No quali~ ed benetic1art may own more ~han f1 ✓e (5) hec~ares o: agricLtltural upland and more than ·t.hree (3) hect.ares of irrigated lowl~nd Sec- 34 ■ Award to Beneficiaries. - The r1ghts and responsibilities of the benefiLlary shall commence from the timE'> the RDARMM mal,es an award of t.he land to him, 1hich award shall be completed within onE hun~red eighty (180) days from the time the RDARMM take actua possession of t,ht= land ■ Ownership of the bencc>fic·ar, shall be evidenLed by a Certificate of Land Owners.ip Award CCLOA) and Certificate o Ances~ral Landownership (CALO> in the case of ownership ot ancest. al domain/ancestral lands 1-1hict s, all cont..3in the rest.~iLtiors and conditions provided for in this Act and shall be recorded in the Register of Ueeds concerned and annotated on the Certificate of ,itle Sec. 35. Award Ceiling Benef1Li2.r1es shall be awarded •ive (5) hect~1~s ~h1c1 cover a or several p 1ce1s of land prescribed award limit5. For purposes of this Act, is o.-,c ~Jho m-;ns less than agr 1cu1tural land for Beneficiaries. an area not exceeding cont.iguous t-1·1:H:t of land cumula~ed up to the a landless three (3) benef1ciary hectares of The beneficiaries may opt foi collective ownership such as co-ownership 01· farmers cooperat-1 ves or some other ~orm uf collective organikat on: Provided, Thi::,t- t!·1e tot.al ai-ea that may be awaycied shall not exceed the total number of co-owners or memb~rs of the coc,perat;ives or collective organi:::at.ion mult1pl1ed by the award limit above prescribed~ e>:cept. in meritorious ca~es as determin€d by the RARC ■ Tit.le to the prope1 t1 shall be issued in the name of the co-owners of the cooperat.ives or collective organi=at:ion ::is t.he case may be ... 1 Sec- 36- Payment of Beneficiaries- Land$ awarded pursJant to thi5 Act shall be p~id ~or by the benef1ciar1es to the Land Bank ot the Philippines (LBP, in th1 rt <30) n,tnL1a1 amort-1:::ations at six perc:er.t (6¼) service fee per annum. The payments for the first three (3) years after the award, may be at a reduced amount as established by the RARC, provided, that the first five (5) annual gross production payment for the first. t.,,re?L ,3) yea1-s payment may be mo,-e than the five (5) percent: of the value of the annual g1-oss p1oduction as esta~lished by the nDARN~- Should th~ scheduled annual payments after the fifth {5th) year e,:ceed ten (10¼) percent 01 ,he annLtal g oss produ~~ion an~ the fa~lure to produce ac:cording~y is not due to benefictary•s fault, the Land Bank of the Philippines me../ rE.duce a,ht! service fee rate er reduce tl1e pr-incipal obligation t.o make i.:he payment. affoy-dable The Land Bank o-F 1.- rt Philippines (LBP) shall have a lie, 1-:i f way of mo, tgage on t.he 1.,,nd awa,ded to t.he benefic1a, 1; and thi~ mo,tgage may be foreclosed by the LBr fo non-payment of an aggre,..,at.e of three (3) annLtal amort1zations. The LBP shall advise the RDARMM of ~~~•1 proceedings and the la~1.e shall subsequently oi,1a1·d t.he for·feit.ed landhold.11,g to other qLtalif:ied benef1ciar1es- 1 benef~ iary whose land, ~s ~~o ided herein, has bee~ fo,eclosed shall th~ eaf~er be permanently disqualjfied from becoming a ~e~~-i=~ary unde1- this Act.. Sec. 37- Transferability of Awarded Lands- - Lands acqui ·ed by uen~ficiari&s under this A~~ may not b sold, trar>sfe ·red or conveyed e>:cept throL.g1 hereditary su~ces'"'ion or tot.he Autonomous Regil..ida Government or to the Land Bank of the Philippines o, to other qualified bencfic:1ar1es for a period of ten ( 10) years. In the event. of ·cpossession cf th2 land be !T's=:.d~,. p1-efe1-ential rights snc:ll be given to ,,em...,ers of t.he indigenous C::L1ltur,:1l communities- Provided, hm c. "'e ;- , That t.he chi 1 d ren or the spouse of the t..ra1sferor shall have the 1·1ght- to iedeem or 2 repLir-chase the land from t.he P1ut.onomous Regional Goven~-men t. or -from the Land Bank of t.he Fh i l i pp i ne-s ~ within the period of five t5) years: Provided~ further, that if the same is transferred, sold or conveyed, it shall not be disposed again to non-members cf the indigenous cultural community. Due notice of the availability crf the le.nd shall be given by the LBP to the BAF:C of the bci.i-angay v1her1= the land is situated ■ The Provincial Agrarian Reform Coordinating Commit.tee {P?-'iRCCOM) as hei-ein provided shall in retL1rn, be given due notice thereof by the BARC If the land has not yet been fully paid by the beneficiary, the rights to the land may be transferred or conveyed with prior approval of the RDARMM, to any heirs of the beneficiary or to any other beneficiary who, as a condition for such transfer or conveyance, shall cultivate the land himself- For non cc:,mpliance herewith, th.e land shall to the LBP which shall give due availability of the land in the manner immediate preceding paragi-a.ph. be transferred notice of t.he spe-cif1ed in the In the event of such transfer to the LBP, the latter shall compensate the beneficiary in one for the amount the latter has already paid, with the just compensation of the improvement ma.de on the land. Sec- 38- Standing Crops at the lump sum t:oget.hel­ he has Time of Acquisition- - The landowner shall any standing crop unharvested at hF:MM shal 1 take possession of the retain his share of the ti me t.he RDAH 1 and under Sect.ion 26 of this Act. and shall be given to harvest the same time CHAPTER IX Corporate Farms Sec- 39- Farms Owned or Operated by Corporation or other Business Association• - In the case of farms owned b·)l coi-poi--:::,tions or othei- bus~iness asso-ciat.ions, the following rules shall be ob5erved by the RARC; lands shall be distributed to the individual worker-beneficiaries directly In case it is net economically feasible and sound to divide the land, then it shall be owned collectively by the wo,·k~.-r-bene-/'iciai-ies t~hc shall form a workers~ cooperative or­ corporation or is e:-:isting at the former and be respected as~:;ociat.icH1 association .,-\Jhich ~•Jill deal tAJith the business associci.tion. If ne\a'i agi-eement. the time this Act takes effect between the previous landowner, the same shall by both the workers' cooperative or and corporation or business Sec- 40 ■ Homelots and Farmlots for Members of Cooperative• Members of the coopei-ati ve or corporation mentioned in the preceding Section shail be provided with homelots and small farmlots for their family use, to be taken from the land owned by the cooperative or corporation Sec- 41 ■ Corporate Landowners ■ Corporate landowners may voluAtarily transfer ownership over their agricultural landholdings to the Autonomous Government pursuant to E.1e.ction 30 heni?of or- t.o qualified beneficiaries, who are members of the indigenous cultural commun 1 ·t 1.es undei- such tei-ms and cond it.ions consistent. ,,;ith this Act., as they may agi-ee upon, subject to confirmation by the RDARMM, Provided, that in case such transfer is made to t.he AL1t.cnc:,mous Regional Government, it can only be disposed again to member-s of t.hf? indigenous cul t.ural communities. Upon certification of the RDARMM~ corporations owning agricultural lands may give their qualifted benefici,;:n·ies who are members of the indigenotts cultural community, the right to purchase such propo1-tion of the capital st.oc1~ of t.he corporation r.ha t: the agricultural land, actually devoted to agricultural act.ivit.ies, be.a,-s in relation to the company"s tot.al assets~ under such terms and conditions as may be agreed upon by them. In no case shall the compensation received by the wcd~ers at. the ti me shares of stocks are distributed be reduced. The same principles shall be applied to associations, with respect to their equity or participation ■ Corporations or associations which voluntarily di vest p1 oportion o-f their capital stock or equity in favor of their workers or other qualified beneficiaries under this Section shall be deemed to have complied with the provisions of this Act~ Provided, that the following conditions are complied with: a) In order to safeguard the right of beneficiaries who own shares of stocks and dividend and other financial benefi~s, the books of the corporations or associations shall be subjected t.D periodic audit by cert.ified public account.ants chosen by t.he benef1ci.aries ■ b) Ii-respective of the value of their equity in the coi-poratio11 or association, the­ beneficiaries shall be assured of at least one {1) representative in the boa1J of director·s, or in management or e::ecL\'l'-ive committee~ if one e>:is·t, of the corporation or association; c) Any shares acqLL.i. red by t.1-ie i~orkers and beneficiaries shall have the same rights and features as all other shares; and d) Any transfer ot shares of st.eek by the or g1~al berefiL1aries shall be void uab initio" unless said transact.ion is in favor of a qu"" ... ifie-d and registe:red beneficiary within the same corporation If within two (2) years from the approval of this Act, the land or stock transfer env1siored abo e 1s not made or reali::ed ...,.--the plan fo,- such stocl. dist.1· ibution is not approved by the RARC within the same period, the agricultu-a~ land of the corporate owner~ ~ corporation shall be subjected to the compulsorv coverc1ge of this ~ct .• Sec- 42- Production-Sharing ■ - Pending final iand transfer~ individuals or ent.ities operating under Jea$e or managf:!ment contract an.=· hereby mandated to e,:ecute a production sharing plan based en the prof.1 ... o loss sharing system 01- any o-t.hei· system not contrary t.o Islamic Law to be computed e ery agricultural i~~-. Sec. 43- Payment of Shares of Cooperatives or Associations. Sh'"'res 0·1 t.he c.ooperat.ives or assoc at.1ors ~cqu1red by farmer beneficiaries or worker­ beneficia- es shall be full' oa1ec in an amount. corresponding to the valuation as determined in the succeeding Sect.ion. The andmme am .. the LBP sr-a .. assist the farmer-beneficiaries and ~•,or!(er­ beneficiaries in the ~ay,ent for said share by providing credit-financi~~~ Sec. 44- Valuation of Lands ■ - A valuat.ion scheme for tire land shall be foi-mulat.1...d by t.he RARC, taking inl:o acLount the fact.or~ e L,le ctt.eu ir Sec• io 27, in c1ddit.jon t:o t.he need to st1mulat-e the growth of caoperat1ves and the ubjGCtl' es of ~ost.ering responsible part1cipat1on of the worJ,er-b1::1,e iciaries in the cre~t1on of wealth In t-he determ.inat.1on of pi-ice that. is just., not only to the individual but to society as well, the RARC .:i shall consult closely with worker-beneficiaries t.he landowner and the In case of disagreement, the price as determined by t.he Hf.:)RC, if accepted by the ~vorkers--beneficiai-ies, shall be followed without prejudice to the landowner's right. to pet.it.ion the Special Agr-arian Court t.o resolve the issue of valuation CHAPTER X Regional Department. of Ag1-ai-ian Reform Sec- 45- Creation- In order to implement this Regional Agrarian Reform Law in the Autonomous Region~ there is hereby created a Regional Department of i~grc:u-ian Reform in Muslim Mindanao her·einafter r-e-fern::d to ais t.he RDARMM This Department shall have the following powers, functions and responsibilities! 1) Implement all agrarian laws and for this 2) purpose, issue subpoena, subpoena duces tecum~ writ of execution of its decision, cite any person for contempt under penalty of law~ such other legal processes as may oe necessary to ensure the success and expeditious implementation of the Agrarian Reform Program; Undertake ancestral measLtre~. lands of communi tie~=-; to pi-otect. and suppoi-t. the the indigenous cultural 3) Declai-e all lends and natur-al i-esour·ces that have been possessed or occupied by the indigenous cultural communities since time immemorial as a part of the ancestral domain, subject to the exemption unde;- R-A· No. 67::!"Lq 37 5) Formulate and promulgate operational guidelines, rules and regulations, priorities fer Agrarian Reform Program suitable to the special circumstances prevailing in the area of autonomy; Land Coordinate program implementation Bank of the Ph1lippines, and other agencies, to hasten the Refot-m Pr·ogram; including the implementation of military, the Agrarian 6) Acquire, administer~ distribute and develop agricultural land for the Agrarian Reform Program; 7) Undertake surveys of lands covered by the Agrarian Refoi-m Pi-ogram; 8) Issue emanc:i.pation r.:.iatents to fanners .and 9) l O) farmworkers covered by the Agrarian Reform for both private and public lands, and when necessai-y, make administ.i-at.1ve corrections of t.he same; Where applicable, stewardship and set implement the principle of retention limits for lands owned and acquired by any individual of what is allowed under the law; to in e:-:cess Reform Provide legal beneficiaries and service n~solve agrarian conflicts; l1) Declare land in the actual, open, and uninterrupted possession and occupation by the indigenous cultural communities for at least thirty (30) years as ancestral lands; 12) Conduct continuing education and promotion programs of the Agrarian Reform beneficiaries, landnv·,mers and r.:ignai-ian F:eform advocates~ government personnel, and the general public; 1.3) Institutionalize the par~1c1pa~1on of farmworkers, farmers' cooperatives and fai-mers, 1'a1-mers? association~ in Agrarian Reforms formulation and program implementation; 14) Exercise eAclusive authority to approve and d1sapp1-ove c..onver!::ion of agric.ul tural lands .into residential, commercial and industrial purposes; 15) 16) Promote and protect farmworkers and farmers' Qssociation of farmers beneficiaries; and the riqhts ~i farmers, cooperative= and other and Agn.,rian Reform Call upon agencies of the government to full ass1s 1 .anc:eJ support and cooperation success of the Agrarian Reform Programs. e:{ tend for t.he 17) Perform such other functions as may be provided by law. The Department shall b~ headed by a Regional Secretary who shall ue a~pointed by the Regional Governor subject to coniitmation by ~he Regional Commission on Appointments. He shall be assisted by one (1) Regional Assistant Secretary. The Regional Secreta~y 5 shall ace as the chief e;-:ecut1ve ot 'tile Department.. 1r11lo shall e:-:ercise all the basic powers and .:1uthoril.y inhet-ent. to h1s office a11d responsibility. includ1ny ~ppo1ntment of p~r~onnel below Direct.or level, suspension or -·emoval of personnel for cause, a?pl-oval o-f disbLrsement as e:l as administration of personnel and fiscdl pol1c1e~, and such other matte1s relate~ to the functions of t~e Department .. He shall port.folio and pleasure of the serve as a memDe of the his t.e -m of ot" ce shall Regional Governor ■ Cabinet be at No person may be appointed as Reyional Secretary or Regional Assistcmt. Secretary, unless he be of g~oc! moral character and unquestionable integrity, a holder of at bachelor degree with competence in mancigement. and administt·at.ion, a native resident and registered voter in the Autonomous Region in Muslim Mindanao for at least five (5) years immediately preceding his appointment ■ The ap ~! c:.1 in tn1en t. shall be in of the accordance Regional Assistant with civil service rules and regulations ■ Sec- 46 ■ Salary and Other Benefits ■ The Regional Secretary and the Regional Assistant Secretary shall receive compensa~1on and such other allowances as may be authorized by law according to their respective levels Sec- 4/• Agrarian Reform Adjudication Board ■ - The Department shall have an Agrarian Reform Adjudication Board, which shall serve as a special body with functions similar to its national counterpart- The Board shall be organized and constituted by the fleg ion al Secretai-y for the purpoS:-e o-f a.d jud icating agrarian reform cases ■ Sec ■ 48 ■ Bureaus. The Department shall be supported and assisted by four (4) bureaus: (a) ~ureau of Land Acquisition, Distribution and Development; (b) Bureau of Agrarian Legal Assistance; (c} Bureau of F=lanning, F:olicy, Resea.rct+J and Manageffii=nt Information; and (d) Bureau of Beneficiaries~ Education and Community Development. Each o-f t.hes€i? Director who shall be according to Civil bu r-eat.1::- sh al 1 appointed by the Servic-e Law, be headed by a Regional Governor The Department and its bureaus shall be provided with appropriate personnel relevant to their functions and responsibilities with a staffing pattern and plantilla of personnel, which shall be appropriated with funds in the annual appropriations of the DepE11-tment.~ 4tJ The Depart:ment shal 1 be provided i,1i th administraLive support services, such as the Administiative Management Office and Finance, Budget and Manag2,-nen t. Off ice, and SLtch technical off ices as may be necessary to include 1ts provincial and mun1c1pal offices to carry out its functions and responsibilities- The provincic1l and municipal of-fices shall be headed by provincial agrarian ,eform officers and municipal agra,-1,tn ,-eform officers respectively. The provided may be discharge bureaus a~d prov1Gcial offices shall be with ~ecessary staff support services as required to eTfici~ntly and effective!~ thei,- functions and 1~espons1b1l1t1es Sec. 49. W1th1n thirty (30) days after the approval of t.11is Act., the organ1zat.1on of t..he Department shall be instituted, complete with a staffing pattern and plantilla of personnel, which shall be approved by the appropriate office of the Department of Budget. and Management .. Sec. 50- Appointment of Personnel ■ ttll appoint:ni:,,r ts in the Lai-eer se,-\- ... ce c.,f the Depart.ment sl1all be attest-ed by the Civil Service Comm1ss1on Sec- 51- Stat.Lis of Personnel of the Interim Department. All pet sonr1c..l appoirited to c.areer positions during the Interim Depa1-tment of Agrar a,. Reforms, or its equivalent., snall be accorded w1t.h securit-y of t.enu1e and shall be given priority fo,­ promoti□n to new positions in the new department subject to C1v1l Serv:ce Law Sec- 52- Audit- The financial account of expend i t.ur es 01 the? Deµ""' .t:.ine., t. shall be .;wd 1 ted by the ~ommission on Audit. CHAPTER XI SL1pport Services Sec. 53 ■ Creation of Support Services Office ■ There is hereby created the office of Support Services which shall provide general support and coordinative servicGs in the implementation of the prog~am, partiLularly in carrying out the provision of the following services to farmer-beneficiaries and affected landowners: 1) Irrigation facilities, especially second crop or dry season irrigation facilities; 2} Infrastructure development and public works projects in areas and set.tlements that come under agrarian i-eform; and for this pui-pose, the preparation of the physical development plan of such settlement providing suitable barangay sites, potable water and power resources, irrigation systems and other facilities f □r sound agr1cu!tural development plan; 3) 4) Government subsidies irrigation facilities; Price support and agricultural produce; for the Lise of for all 5) Extending to small landowners, farmers and farmworkers organizations the necessary credit, like concessional and collateral free loans, foi- agro-indust.1-ializat.ion based on social collaterals like the guarantee of farmers or·gan i ::at.ions; 6) Promoting, financial industries developing and extending assistance to small medium scale in agrarian reform areas; f 7) Assigning sufficient numbers of agricultural extension workers to farmer"s organizations; 8) Undertake research, development. and dissemination of information on agrarian i-eform and 10 1,; cos-t and ecologically sound farm inputs 2nd technologies to minimize reliance on expensive and imported agricultural inputs; 9) Development. of -coopei-atives mana-gement skills through intensive trainings; 10} Assist-:::mce in the identification of ready markets for agricultural produce and training in other various aspects of marketing; and 11) Administration, operation management and funding of support services programs and pn:,jects including pi 10-t p,-oject.s and models n:?lat.ed t.o agrai-ian re-form as developed by t.rJe F~D;::lRf1!7 1 2f Sec ■ 54 ■ Funding for Support Services ■ - In order t.o cover· ec:penses 2.nd t.he cost of support services, at least h'.!ent.y--·f i ve percent. ( 25¼) of al 1 appropi-i at.icns fo,- agrai-ian refoi-m shail be immediately set. aside and made available for this purpose, In addition, the RDARMM shall be authorized to package proposals and receive grants, aid and other forms of financial assistance from any source. Sec ■ 55 ■ Support Services to Beneficiaries­ ensure that support. services to are provided, such as: FffliHC !=-ha 11 beneficiaries a) Land surveys and tit.lings; The farrner b) t.erms product.icin loans; on credit facilities ~nd c) Extension services by way of planting, cropping, production and post harvest technology transfer, as well as marketing and management assistance and support to cooperatives and farmers' organizations; d) Inf rastruc t:ures such as access trai 1, mir> i e) d ams, public utilities~ marketing and storage facilities; and Research, fei-ti 1 izers production and use and other local of organic subst-.ances necessary in farming and cultivation, The RARC shall formulate policies to ensure that support services to farmer beneficiaries shall be provided at all stages of land reform ■ Mjsuse or diversion of the financial and support services herein provided shall result to sanction against the beneficiaries guilty thereof, including the forfeiture of the land transferred to him ~r lesser sanctions as may be provided by the RARC~ wi~hout prejudice to criminal prosecution ■ Sec- 56. Support Services to the Landown~rs. The RARC, with the assistance of such at.her gove1nment. agencies and ins.trumental i ti es as it. may di rec:.. t, shall provide the affected landowners of the agrarian reform program with the following services: a) b) . Investment~ information~ financial and counselling assist~nce; Facilities, program and schemes for t.f,e conversion or exchange of bonds issued for payment of the land acquired with stocks and bonds issued by W1e Autonomous Governmer t, the LBP and other government inst.i tut.ions and instrumentalities; c) Mar~'et.i~g of LBP bones~ as well as pi-onoting the marketability of said bonds in traditional and ~o~-traditional financial market., and stock e;-:changes; and d) Other services designated to ut1~i~e product~v1ty of the p~oceeds of the sale cf such market for ru, al indust.rial ization A las dc.Mner who invests in rural-based indust-rie= shall be entitled to the incentives granted to a registert?d enterprise engaged in a p10. e<.Cr 01 preferred area of 1nvestment as provided i the Omnibus In-1estmE:nt Code of 1987, or to suc11 other incentives as the RARC, ~e LBP, or other g~•ernment financial institutions may provide The LF:<P shal 1 redeem a landm"Jner 's LBP bonos r"t face va1L1e, pl ovided t-hat t.he proceeds thereof sh~\l .. oe 1 !"Ives t:ed in RBOI-ARMM :-eg 1 s;t.er ed company or in ar y ac;,-1-busU,€.S=> or agro-1ndust.1-1al ent.erprise in the n;;gion wt>ere t.hc landovrner h-c:1s previously naoe invest.ments, to the e:tent of th,rt:-f pe cent (3(J¼J "->f the face value of said LBP bonds, subject to ~, e guidelines that shall be issued by ~he LBP Sec. 57. Land Consolidation- - The RDARMM st- all e4~al 1,eeded carry out land co~~o~idation project to promote distribution of l~nJhol□ing, to provide the infrastructure 1n acr1c~lture. and to conserve fert,i l i t:.y and prevent. erosion. .. 50.l! CHAPTER XII Special Areas of Concerns and External Affairs Sec- 58- Special Areas of Concerns and External Reg H.1n<>,. fol lmnng concern and Affairs- As sn ~ntugra, pa~ of ~h~ Ag'-arian Reform P1-og1·ain (R?,RP> ~ the princ~ples 1n these speLial areas of exterral affa.rs shall be observ : 4.., a) b) Subsistence Fishing Small including seaweed of greater access water resources ■ i" a 1-me 1-s, to t.he shall be assured utilization of Logging and Mining Concessions - Subject to the requirement of a balance ecology and conservation of water resources, suitable areas as determined by the Regional Department of Environment and Natural Resources <RDENR>, in logging, mining and pasture areas, shall be opened up for agrarian settlements of the members of the indigeneous cultural communities, Provided, however, that beneficiaries shall be required to undertake production methods in areas where lands are fitted for crop prodt.tci:.ion. Subject. t.o e,, isting laws, 1-ules and i-egulc1t.ions, ·t.he indigenous cultural communities shall be given privileges to enjoy and exploit the products of the forest other than timber especially within the logging concessions ■ c) Sparsely Occupied Public Agi-icLtltural Lands Sparsely occupied agricultural lands of the public domain shall be surveyed, proclaimed and be developed as farm settlements for qualified landless member of the indigenous cultural communities based on an organized program to ensure their orderly and early development.. Agi··icLtl tui-cd land a.I locations shall be made for ideal family size farm as determined by the RARC ■ The indigenous cultural communities shall be given preference in this respect Subject to the prior rights of qualified lands of the public domain, the same shall be macJe available on a le~se basi5 to interested and qualified parties, be!org1ng to the indigenous cL1lt-ui-a! r:::om.'TlLtrn ties. Parties who will engage in the development of capital intensive, t. ad, tional or- ... ioneerinCJ crops shall be given priority. The 1ea~e period, whic~ sh~ll not be more than a total of fifty (50) vears shall be pi-oportio,-,ate to the amour,t of .. 1vestment and production goals of the lessee- A system o 4 evaluation ~nd audit shall ~e £nst1tuted. d) Idle, Abandoned, Foreclosed and Sequestered Lands ldle, aoandone~, foreclosed ad sequestered lands shall be plan .ed for d1str1but1on ~s homelots and 4 am~ly-sized farmlots to actual occupants- lt land area permits, ottL- land-es~~~ ~lies shall be accommodated in tllese lands el Rural Women - 1 11 qualified women members of the agricultural labor force must be guaranteed a1 d assLtred equal ,-iqr1ts t.o ownership of the land~ equal shares of the fa-ns prodLced .and represent.c1~ion in advisory o,- app,-opr1ate decision-making bodies t > Veterans and Retirees - Landless 1-:ar veterans and vet.er .... ns of 11.iliLary campaicms, their surviving spouses and orphans, retirees of the Armed Forced of the Philippines CAFP> and thE Philippine National Police CPNP), returnees, surrencierees and simi!ar benef1~iaries who are mGmbers of the Bangsamoro Mujahideen shall be giver. pre•e-ence in the disposition of agricultural lands of the public domain g) Agricultural agricultural Graduates Gradua1.-es of schoo .ls ttJllo a 1 e 1 and 1 ess and native inhabitants of the area of shall be assisted by the Government. through t.he RDARMM in to own and till the agricultural CHAPTER XIII Program Implementation aut.onomy Autonomous t.hei 1- des1 re lands Sec- 59 ■ The Regional Agrarian Reform Council <RARC). The Regional Agrarian Reform Council created by virtue of Executive Order No ■ 1, Series of 1994 issued by the Regional Governor is composed of the RegionaJ. Governor as Chairman; the Regional Secretaries of Ag 1·a r i an Reform, Ag 1· i cu 1 tLl re and Fi sher ies and Environment and Natural Resources as Vice-Chairmen; and the E>:ecutive Secretary,. Cabinet Secretary, Regional Secretaries of Labor and Employment, Interior and Local Government, Public !,Jerks and Highways, Trade and Industry, and the Executive Directors of Regionc3l Planning and Development Office of So. 1thern Culturdl Communities, and of Housing Land Use and Regulatory Board, as members ■ The different agencies found in the ARMM whose membership are very vital in the effective performarce of the Regional Agrarian Reform Council (RARC), and t.hose whose membership are propc?r 1 y ·,-epresent.ed in t.he PARC such as the Secretary of Budget and Management, the Di rector Gene1-al of National Economic and DPvelopment Au~hority and the President of the Land Bank of the Philippines are likewise members of the RARC wherein the participation of their Regional Head in t.he RARC shall be coordinated by t.fie Regional Governor as the RARC Chairman with their respective Department. 8f2ci-eta1-:ies and/en- Heads of Offices. The Regioncu Governor shall also appoint two (2) representati~es from t.t·.c agra.i-iar1 ,eform beneficiaries and affect.ec. landowners pel- prov1nce in the a1-ea of autonomy as members of the RnRc. Sec a 60. Executive Committee. - There shci.11 b01 an Executive Committee (EXCOM) of the RARC as spelled out in Executive Order No. 1, Series of 1994, Section 2 wherein the Regional Secretary of RDAl:;:Mt'i as Chai noan; and the Reg ionc,l Sec1retaries of the RDAF, RDENR:r RDPWH,, the Executive Secretary, and the Cabinet Secretary of the Autonomous Region in Muslim l'lindanao c>.re members. Unless otherwise directed by the RARC, the EXCOM may meet and decide on any matters in bet\11een meetings of the RARC: Provided :r ho\lJever,, that its deci::-ion must be reported to the RARC immediately and not later than the next meeting. Sec.. 61. Secretariat. A RARC Secr-etariat is hereby established to provide general support and coordinative services such as inter-agency linkages; pro~wam c1.nd pr-oject appraisal and evaluations <: d general operations moni taring for- the Rt-iRC. The Secr-etariat shall be headed by the Regional Secretary of Agrarian F~eform t-Jho shall be assisted by the Assistant Regional Secretary and supported by a staf·f whose compensation shall be cha,.-gea.ble against Local Funds, Lumps.um Appropriations under the Office of the Regional Governor and the (-1grarian Reform Fund to be sha.red by the Presidential Agrarian Re·form Crn.mcil (PARC) out of the Agr-a1rian Reform Fund as prcA.,ided by law to finance the National Comprehensive Ag..-i;>.lrian Reform Pr·ogra.ma r-111 officers and employees of the Secretariat shall be appointed by the Regional Secretary of the Regional Depa.r·tment of Agr.::1.rian Reform (RDARMM) in Muslim Mindanao. Sec. 62. Provincial Agrarian Reform Coordinating Com,ni ttee (PARCCOM). A Provincial Agra1ria.n Reform Coordinating Committee (PARCCOM) is hereby created in each province in the a,.-ea of autonomy:- composed of a Chai nna.n ~ who s ha 11 be appointed by the Region a 1 Gove1rnor upon r-ecommendation of the EXCOl"I, the DAR Provincial Agrarian Reform Officer II of a ce,.-tain province as Executive Officer and one (1) repn~sentative each from the Regional Depa,.-tmenti;; of Agriculture and Fisheries and of Environment and Natural Resources and from the Land Bank of the Philippines~ agrarian reform beneficiaries, cooperatives and non­ government orqanizations in the provinces, two (2) representatives from lando1rJners, at. least. one (1) of whom shall □ea producer representing the principal crop of the province, and two (2) representatives from farmers and farmworker -beneficiaries, at least one of whom shall be a farmer and farmworker representing the principal crop of the province, as members~ Provided, That in areas where ti1ere are Christian minorities, the latter shall likewise have one (1) representative. The PARCCOM shall coordinate and monitor the implementation of the Regional Agrarian Reform Program (RARP) in the province- It shall provide information on T-ne provisions of the RARP guidelines issued by -the PARC and on the progress of the RARP in the province Sec ■ 63, Province by Province Implementation ■ The RAF(C sh,::;ll pi-ovir.:ie t.he guidelines of the F:egion.al Agrarian Reform Program CRARP> ■ The fifteen (15} year i:n-ogram fi-om the effect.ivity of this Act, in t.he distribution of public and private lands in each province shall be adjusted from year to year by the province's PARCC□M in accordance with the level of operations previously established by the PARC, in every case ensuring that support services are available or have been programmed before actual distribution is effect~ed .. Sec- 64 ■ Barangay Agrarian (BARC). Unless otherwise provided Reform in this Commit.tae Ac-t., t.he p1-ovision of organization (BAHC) shall o-f be Executive Order No ■ 229 the Barangay Agrarian regarding the Reform Commii::t.ee .. ,c .- • lr1 el Teet. a Sec- 65 ■ Functions of the Barangay Agrarian Reform Committee- - In addition to those provided in E>: f:cut.i ve Orde-;- No. 229, the Bai-angay Agra1-ian Reform Committee shall have the following functions: 50 a) b) c) d) e) f) g) h) 11ed iat.e involved matters and conciliate in an n?lated arrangements; agrarian dispute to t.enurial and parties inclLiding financi.;d Assist. in the identification arrd 1 ando,~iners of qualified 1-vit.hin t-he barangayF At.test to the accuracy of the t.he initial parcel lary tillage; mapp-ing of Assist. qualified beneficiaries in obtaining credit from lending institutions; f1-ss1st in -t.he ini t.ial determ1nat-ion value of the land; Assist the HDARMM rep re sen t:a ti ve of the in prepa1·at.ion of periodic 1-eport.s Regional Agrarian Reform Program on t.he (RAFF} implementation for submission to t-he RDARMM. [:oordin2-.t.e the =:.er.,.,lices to beneficiaries; and Pe1-fonn such other functions as may assigned by the RDARMM be ( 1} The Barangay Ag ,-.3ri an Ref arm Commit.tee shall endeavor to mediate, conciliate and settle agrarian disputes lodged before it within thirty (30) days from its taking cognizance thereof. If after period, the lapse it. is of the t.hi rty { 30 i unable to settle dispute, it shall issue certification of its proceedings shall furnish a copy thereof upon 51 d.ay the a and the parties w1 thin seven ~7} days a·fte1- t.he expiration of the b1irty <30) day period, Sec. 66- Legal Assistance- - The Ba,angay Agrarian Refo-m Committee or an~ member t~ereby may whenever necessa~y, in the exercise of any of its functions hereunder, seek the legal assiscance of the Regional Solicitor General and\or the prov1n.::1al/city/municipal government p1osecutors or legal officers. Sec- 67- Rules and Regulations ■ - Th~ Regional Agrarian Reform Council and the RE:'g1onal Department: of Agrarian Reform shall have the pone - t..o issue rules and regulations, Hhether su!.:lstant.1ve or procedural !J to carry out t-hE;> objective and pui-poses of t.his Act, Said rules shall take effect ten (10) day~ after its publication in tt·.10 (2) newspapers of regional circulation. CHAPTER XIV Administrative Adjudication Sec- 68- Quasi-Judicial Powers of the Regional Department of Agrarian Reform- - lhe Reg:oncl ~eµa-tment of Agrarian Re-ronn ir, ,·it..t~lim Mindanao is hereby vested with primary jurisdiction to determ1ne and aojLtdicate agrarian 1-eform and ancestral domain matters and shall have exclusive jurisdlct1on of the Reg1onal Department. cf Ag1-icult.ure and Fisheries and the Regional Department o·f Environment and Natural Resources on matters relat.ed to regional agrarian reform dispLttes It shall not be bound by the technical rules of procedure and/or evidence but ~hall proceed to hear and decide all cases, disputes or cont~oversies in the most exped1t1ous manner, employing all 1easonable means to ascertain ~he facts of every case in accordance with justice and eq~it 7 and the merits of t.he case. Tov-iard this end, it. shall adopt a u,iiform rule of procedure to achieve a just, expeditious and inexpensive determination of every action or proceedings before it, but every decision shall express therein clearly and distinctly the facts and the law on which it. is based. It shall have the power to summon administer oaths, take testimony, require of reports, compel the production of documents and answers to interrogatories SLtbpoeni.i :1 and subpoena duces tecum and to writ through sheriffs or other duly officers ■ It shall likewise have the power d:i.sciplinai-,1 act-ion and may punis.h offendei-s and\or indirect contempt and subject the penalties as may be provided in the Rules which is hereby adopted in suppletory fort.he purpose witnesses, submission books and and issue enf □i-ce its dE:•put.ized to impose for direct. same to Responsible farmer leaders shall be allowed to represent themselvesj their fellow farmers, or their organizEd:.ion in any pi-oceedinqs before t.he F;egional Dep3rtment of Agrarian Reform; Provided, however, t.hat. when then-= are t:No or more ,t':?-presentat.ives for any individual or group, the representatives should choose only one among themselves to represent such party or group before any RDARMM proceedings Notwithstanding an appeal to the Court of Appeals, the decision of the RDARMM shall be immediately executory after the lapse of fifteen (15) days from receipt of the decision unless restrained by the Court of Appeals or the Supreme Court. Sec. 69. Finality of Determination- - Any case or controversy shall be decided within thirty (30) days after it is submitted for resolution- Only one (1} motion for 1-econs:i.de1-ation sha 11 be al lo~,.ied. Any or-der, r-uling or decision -shall be final a-ft.er the lapse of fifteen (15) days from receipt of a copy thereof unless restrained as above stated Sec. 70. Frivolous Appeals- - To discourage frivolous o,- dilat.01-y appeals from t.he decisions er order on the local or provincial levels, the Regional Department of Agrarian Reform may impose reasonable penalties, including but not limited to fines and censures upon erring parties. Sec- 71- Certification of the Barangay Agrarian F<eform Commit.tee- -- The Regional Depar-trr-rent of Agrarian Reform shall not take cognizance of any agrarian disput.e or· conti-oversy unless a cei-t.ificat.icm from t.ite Barat-:gay P:gra.r-i~tn Reforrr; Cammi t:t.ee t.hat. t:rie dispute has been submitted to it fen- mediation and conciliation without any success □f settlement is pi-esented: F'i-ovided~ howevei-,. that if no certification is issued by the BARC within thirty (30) days aft.er a m21tt2r or issue is subm:it.ted to j·!- for medi,?-.tion ci-· conciliation, the ca':':.e or dispute may he brought befon:·= the Regic,nal Agrarian R.efoi-m Counci 1. CHAPTER XV Judicial Review Sec. 72- Cert.io1-a1-i- - Any decision~ oi-der~ aw.an:f o, ruling 01' the Reg:i.onal Department. cf Agrarian Reform on any ;agrai-ian dispute or on any matt.el- pei-t.aining to the application, implementation, enforcement or interpretation of this Act and other pertinent laws on agrarian reform may be brought to the Court of Appeals or the Supreme Court by way of certiorari except as ot.herw:i. se p1"ovi ded in this (-kt ~'Ji th in f if t,2en ( 1~j) days from receipt of a copy thereof. The -finding cd' facts of the Regional Department cf Agrarian Reform shall be final and conclusive if based ~, substantial evidence Sec ■ 73 ■ No Restraining Order or Injunction ■ No court in the Philippines Preliminary e;.: cep t t.he Court of Appeals and the Supreme Court shall have jurisdiction to issue any restraining order or writ of preliminary injuncc1on against the Regional Agrarian Reform Council or any of its duly authorized or designated cont.1-oversy connection enfo,·cement pE.;r•ti n,,:nt agencie!.s. 2n-ising ~-Ji th the in any c:ase, ·f r·om, nc::~s::~:-:ry 2pplicat.ion, or interpretation of this laws on agrarian r-efor·m~ Sec ■ 74- Special Agrarian Court. Court shall designate at least one (1) Regional Trial Court <RTC) within each as Special Agrarian Court. dispute t.o, implementation, Act and ct.her The Supreme b1-anch of t.lie p1-ov ince t.c act The Supn2me Cow··t. may designate more br-cmches t.o constitute such additional Special Agrai-ian Courts as may be necessary to cope with the number of agrarian cases in each province. In the designation~ the Supreme Court shall give preference to the Regional Trial Courts which have been assigned to handle agrarian cases or whose presiding judges were former judges of the defunct Court of Agrarian Relations ■ The F{egicmal Trial Coui-t. (RTC) judges des-ignc:1t.ed to act as Special Agrarian Courts shall exercise said special jurisdiction in addition to the regular jurisdiction of their respective courts. The Special Agrarian Courts shall have the powers and prerogat.i\..,es i11herent in or belonging t.o t.he Regional Trial Courts. Sec. 75. Special Jurisdiction- The Special Agrarian Courts shall have the original and exclusive jurisdiction over all petitions for the determination of just compensa~ion to landowners, and the prose~ution of all criminal offenses under this Act. The Rules of Court shall apply to all proceedings before the Special Agrarian Courts, unless modified b'/ this Act. r The Special Agrarian Courts appropriate case under their special thirty (30} days from submission decision. shall decide al] jurisd1ct on w1th1n of t.t,e case for Sec- 76- Appointment of Commissioners- The Spec.Lal Agrarian Cou- s, ~•pon their own 11,:::.tiat.1ve or at the instance uf a"y of the parties~ may appoint one or moi-e Comm1s.sioners to e>:am1ne~ 1nv12sLigaue and ascertain facts rele~ant to the dispute, includi~g the v~luation of proparties and to file a written report thereof w1th1n t.he cou,t. Sec- 77. Orders of the Special Agrarian Courts.­ No 01-aer of the Special l':grarian Cour· ts on ariy 1 ssue, question, matter or incident raised before .;,1G1m shall be elevated to the appellate courts until the h~aring shall have been terminated and the ~ase decided en the mer1ts. Sec- 78, Appeals- th~ db~ision of the S► e~io ... petition for review with fifteen C15) dc1 ·s from decision; otherwise~ t.he An appeal may be taken from ~grarian Courts by filing a the Court of Appeal within receipt of not1c~ of the decision shall bcccm~ final ■ An appeal from the dac1s1on of the Court of Appeal or from nny order, rL1l1ng or decisi.: .. m of t..hi:..: F'1:..gional Dep~rtment of Agrarian Reform, ~s the case ffid/ be, !:>hall be appealable by 11,ay of a petition for re·✓1ew with t~ Supreme Court within a non- extendible period of fif~.een (15) days from the receipt of a copy of send dec.ision Sec. 79. Procedure on Review• - .~ e· ... ew :,y the Court. of ~ppeal o, ... he t>uprt:::m, ,. ,o.. •,-t, a;:, t.he c:a!:.e may be shall be gove1-ned !:."y t.he RLtles of Court- .,.re t.,ourt of Appeals, ho~Jever.. may n~quire the partit~s to ·file s1mu!L:aneous memor-anda Nlthin a pe1·iod of i'1ft..een (15) days from no~ice, after wh~Lh the case is deemed submitted tor deL1sion ■ Sec .. courts 1n shall give 80- Preferential Attention in Courts- - All the Philippines, both trial and appellate, pn2-ferent.ial attention t.o all cases arising connection with the implementation of the of this r'='ic t. • i' i-om All cases pending in court arising from or in connection with the implementation of this Act shall continue to be heard, tried and decided until their finality noh·Ji-t:hstanding the e>:pii-ation of the fifteen (15) year period mentioned in Section 5 hereof. CHAPTEH XVI Financing Sec ■ 81 ■ Funding Source ■ - The initial amount needed to implement this Act for the period of fifteen (15) years upon approval hereof shall be funded from the {'!grar-ian F:efoi-m Fund created under SE•ctions 20 and 21 of Executive Order No ■ 229 ■ Additional amounts are hereby authorized to be appropriated from the local funds when needed to augment t.he Agra,-ian Refoi-m FLtnd in order t.o fully implement the provisions of this Act Sources of funding or appropriations shall include the fol lowing: of Privatization Trusts; the Assets b) Portion of amounts accruing to the Philippines from all sources of official foreign aid grants and cancess1onal financing from all countries, t.o be used for the specific purpose of financing production credits, infrastructures and other support services required by this Act; c) Shared port:ion ·f-01- agrai-ian only; and of Fund 1-efoi-m 158 as a pi-ogram d) Other gove,-nmen t Al 1 funds clppi-opric't.te-d of this Act shall be app ,--op i-i at ion~:;; implementat.icm = du,-:i.ng funds nc-Jt. to implement the considered the period othen..;ise provisions continuing of :its Sec ■ 82 ■ Financial Intermediary for the Regional Agi-ai-ian Refoi-m Pro-gram. The Land Bank of 'the Philippines shall be the financial intermediary for the Regional Agrarian Reform Program~ and shall insun? that the social justice obje-ct1ves for the RARP sl'1a 1 1 enjoy 2; pno"fer·.ence among it:s CHAPTER XVI1 General Pr-ovisioris Sec- 83- Conversion of Lands. - Aftei- the lap-se of five (5) years from its aw.;;trd~ when the land ceases to be economically feasible and s□-Llnd for a;;p-icult.ural purposes, CT t.hei locality has beco1ne ui-baniz-ed .and the land will have a greater economic value for residential, commercial or industrial purposes, the Regional Department of Agrarian Reform~ upon application o'f i.-hE;' beneficiai-y or the landowner, ~·dt.h due notice to the affected. par-ties and subject t.o th2 e;:ist-ing laws, m.ay But.horize the reclassification or conversion of the land and its disposition: Provided, That the beneficiary shall have fully p;;dd his cbligat.ion 1 Sec~ Ti-ans-fer. transfer 84-• E:-:empt.ions fr-om Ta>ies and Fee!=- of Land Transactions Ltnder t.his Act involving a of 01'-/ne.'fship,,. whether from nc1t.ural or judicial persons shall be exempted from taxes arising from capital gains. These transactions shall also be e>:empted from payman:t. of regist.rat.ion fees, and all othET t.a:-:es and fees for t.he conveyance of transfer thereof~ Provided, that all arrearages in real property taxes, without penalty or interest, shall be deductible from the compensation to which the owner m;.;v be -entitled-···-·~ Sec- 85- ~ree Registration of Patents and Titles- All Register of De~~.'ds an-? her-eby directed t.o register, free from payment of all fees and other charges, patents, titles and documents required for ,.ne implementation of the Regional Agray-j ,~-;.n Reform Pi--ogram~ Sec. 86- Immunity of Govei-nment Agencies from Undue Intei-ference. No in junc t.ion 1, restraining orders, prohibition or mandamus shall be issued by the lower courts against the Regional Department of Agrarian neTorm~ the Regional Department of Agr1c:Ltl ture and Fishe,-ies 1, t.he Hegion21.l DE·par·tment of Environment and f'1i::<.tur-al Resour-ces and th-e Department of Justice in their implementation of the program Sec. 87. Assistance of Other Government Entities ■ The Regional Agrarian Reform Council, in the exei-cise of it.s functions, is hereby authorized to cal J. upon the assist.ance of other government. agenc1e-s~ bureaus and offices including government owned or controlled corporations and the Armed Forces of the Philippines as well as the Philippine National Police Sec- 88. Disposition of Private Agricultural Lands- - The sale en- disposition of agi-icult.Ln-al lands retained by a landowner as a consequence of Section o hereof shall be valid as long as the total landholdings that shall be owned by the transferee t.he-reof inclusive of the land to be acqui1-ed !=,hall not exceed the landl1olding ceilings provided for in this Act. at tei­ to t.he Any sale □r disposition of agricultural lands the effectivitj of this Act found to be contrary provision hereof shall be null and void ■ Transferee of agricultural lands shall furnish the appropriate Register of Deeds and the Barangay Agrarian Rt~-form Committee an aff ida-,.d t. attesting that his to-r.al landholdings as a result of the said acquisition do not e;-:Cf?<c~d the landholding ceiling. ThE• Register of Deeds shall not register the transfer of any agricultural land i•Jithout the submiss.iDt'1 of th:i.s sworn statement together with proof of service of a copy thereof to the Ba1-angay Agr·arian Reform Commit.tee Sec- 89- Bank Mortgages- Banks and other financial institutions allowed by law to hold mortgage rights or se;urity interest in agricultural lands to secun=c:- loans and ot.hei- obligations of borroi."1e!-s, may acquire title to these mortgaged properties~ regardless of area, subject to existing laws on compulsory transfer of foreclosed assets and acquisition as prescribed under Section 26 of this Act Sec~ Contracts, this /-kt cor1tr-acts b) 90. Lease, Management, G1-otA.1er or Sei-vice Moi-t.gage and Othei- Claims- - Land covered hy under lease, management, grower or service and t.he like shall be dispnsed as fol lows: Lease, management, grower or service continue ar-id contracts covei-ing pi-iva-te laflds. may under their original terms conditions until the e>:piration oft.he eve•n i·!' such lands h;;,ve in the meantime qualified beneficiaries; same been and mortgage and other claims registered •ith the Register of Deeds shall be assumed by the government up to an amount equivalent to the l .::;("ndowner "s cump,2nsati.on value as provided in this Act.. Sec:. 91- Prohibited Acts and Omissions. The fol lo, 1nq are proh1b1ted: a) Tl1e owncrsh ip or possession for t:he purpose of ci rcL1mvent1ng the prov1 s101,~ of this Act., of agricultural lands 1n excess of the total retention limit.s 01 award ce11l11gs by i: y pt:!rson, natu1 ~1 or· JUr:.uic:al. e>:cept. Lhose under collective ownership by farmer benefic:1aries; b) c.: ) d> e> ent.ry 01 1 l 1 egal detainer by are not qualified benef1c1ar1es Act. to avail themselves of the benefits of the Agrarian Reform rhe forcib I e pen::ons who under this rigt,t.s and Program; The convr.:rs ion by any 1 ando\•iner of h 1 s agr1c:ultu,al land into any non-~gricultural use with the intene to avoid the application of this Act to his landholdinos and to disµosGess h1s tenant ·farme,- of t,he land t,1tled by them; ·1 ho WJ l l ful p, evcmtron or ob=>trL1c t.ion by any pui·son, assoc:iat.ton or entity of the implementation of the Reg1onal Ag,aiian Rcfo;m Program; The sale, transfer, conveyance 01 change of the nature of lands outside of urban centers and ci~y limits either in whole or 1n part after the 8ffectivity of this Act- The oate of the registration of deed o1 conveyance in t.hc.> Registel- of Deeds ~.ith respect to t.itled lands and t.he d .. ,te of the 1ssuance of the ta~~ declaration t.o t.he t, ans·fei-ee of tl11= property with respec~ tc unregistered lands. as the c~se may be, shall be conclusive for the pL1:rpose of t.his Act· .. nd 1 f) The sale, transfer er conveyance by a bene·f iciar-y of t.he right. t.o use or any other usufructuary rights over the land he acquired by virtue of being a beneficiary, in order to circumvent the provision of this Act Sec ■ 92 ■ Penalties- - Any person who knowingly or willfully violate any provision of this Act shall be punished by imprisonment of not less than three (3) years to not more than six (6) years or a fine of not less thdn Ten Thousand Pesos (~10~000-00) but not more bot.h :• at. than Fifteen Thousand Pesos the dis::.c;~et.ion o·f the court. (¥'"'15,00(l.()()) or If the offender 1s a corporation or association~ the officers responsible thereof shall be criminally liable Sec. Legislation. or Rei:::<L1.b l i c Decree Nos. J\Jos Oj 228 and l avJs not 93. Suppletory Application of Existing The previsions of Republic Act No ■ 6657 Act Nu ■ 38,c;.4 a.s amended, Presidenti.:::tl 27 and 266 as amended, Executive Order E.29, both of SET i es of 1~87; and ot.he1 i ncons i sten t with this Act shall have s-uppletDi-y effect. Sec- 94- Appi-opriat.ions-- The funds allocated t.o the Int.e1-im Depar·t.ment of hgr2n~ian Re·forms, or i t.s equivalent, including its assets and liabilities, shal 1 b.,, transfei-r-ed to thE· new Depai-tment cn=at~ed by this Act. Thereafter-, thEe r-eguli::n-- appropi-iat.ions for the newly created Department shall be included i~ the ,:ilnnual budget. of the Autc:momous f:;;:egional Government. Sec. 95. F:epeal ing Clause- - Al 1 regional laws, orders, memoranda or any administrative issuances, rules and regulations, or parts thereof, inconsis.t.ent v;i t:h this Act. are her·ebv repealed~ amended or modified accordingly. this Sec, Act. 96 ■ Separability Clause- iS:- declared L,nconstitut.ional 62 If or any part. invalid, of J:.he '-" remaining part not affected thereby shall remain valid, in full force and in effect Sec. 97 ■ Date of Effectivity. - This Act shall take effect fifteen (15) days after its complete publication in a newspaper of regional circulation in the Autonomous Region in Muslim Mindanao APPROVED: Speaker This Act was passed by the ,nal Leg i slati v-e Assembly on October 26, 1 MMY A- ALA S :-etary-General APPROVED: 63