In previous article, we discussed how Brazil successfully transformed its housing and urban development program. I know some of you admired or impressed with Brazil’s transformation.
This time, we will talk about how the opportunities and challenges for the urban renewal and housing development for Metro Manila.
Presently, the nation’s capital is plagued by many critical problems that hinder its development. Rapid population growth due to urban migration has brought so many problems to the city, especially illegal settlers and high poverty incidence. Because of illegal settlers, there’s need for a decent housing and availability of basic needs for the urban poor.
And worse, poor urban planning has resulted in damages from calamities such as the floods of Ondoy and habagat.
There’s need for a strong linkage between the national and local government as far as the housing and urban development needs are concerned.
About 1.5 million households is being targeted by HUDCC & its KSAs to be assisted for the period 2011-2016. Currently, they have a project in partnership with LGUs- Pabahay Caravan. It aims to raise awareness on the programs and services of the housing agencies and help LGUs perform their functions in the delivery of housing services, and increase the production base for housing.
The provisions of housing assistance includes expansion of scope of the National Housing Authority (NHA) programs to Visayas and Mindanao after several years of focus on rail resettlement; increase in target of Community Mortgage Program (CMP) to include beneficiaries outside Metro Manila; and promotion of local government unit-led housing initiatives.
For SHFC, they have a Localized CMP wherein SHFC assists partner LGUs in addressing the social housing concerns of their constituents. So far, 6 LGUs have been accredited and a total of P19,220,606.42 Million was provided for 14 LCMP Projects benefiting 1,120 ISFs. More and more LGUs are lined up to accredited next.
PAGIBIG Fund has its Affordable Housing Program wherein minimum wage earners can avail of lower interest rates. PAGIBIG also has an alternative approaches available to LGUs/project proponents to fast-track loan takeouts and has enter into a joint venture with the landowner and a developer too.
For NHMFC, it have Housing Loan Receivables Purchase Program (HLRPP) , which aims to liquefy asset portfolio of private developers as well as generate capital for the housing sector, and Bahay Bonds worth P600 million, the first retail asset backed securities.
The HLURB plans to have a Zero Backlog Program for the formulation or updating of Comprehensive Land Use Plans of LGUs by 2013. With this plan, it Integrates climate change adaptation actions as well as disaster risk reduction and management (DRR) measures. HLURB also Revised the IRR governing Section 18 of the UDHA or RA 7279. Under this section, the construction of socialized housing project equivalent to 20% of the total main subdivision is no longer limited within the same city or municipality but can be allowed elsewhere in the Philippines, subject to HLURB approval.
HUDCC is in COLLABORATION WITH PRIVATE SECTOR AND NGOS on the following:
- Continued inclusion of mass housing in the Investment Priorities Plan (IPP)
- Encouraged real estate associations to liquefy their housing loan receivables through the NHMFC Housing Loan Receivables Purchase Program.
- Engages private developers in policy and decision-making processes through their representation in the HUDCC Council and Housing Policy Working Committee (HPWC).
- Included the basic sectors in the 2012 budget preparation, consistent with DBM National Budget Memorandum No. 109 (which advocates partnership with NGOs in the preparation of budget proposals for 2012), the housing agencies that deal with informal settlers, such as the NHA and SHFC,
- Included the construction of socialized housing projects by accredited NGOs as a mode of compliance for balanced housing requirement, and by exempting them from the requirements of License to Sell.
HUDCC also has initiated the formulation of a National Informal Settlements Upgrading Strategy (NISUS) towards a Comprehensive Shelter Plan for Informal Settler Families. This will be complemented by an enhanced Resettlement Policy Framework that identifies common resettlement procedures and guidelines among all infrastructure agencies, housing agencies and local government units.
The housing and urban development sector has been actively pursuing the call for the passing of the bill that will create the Department of Housing and Urban Development. Once the bill becomes a law, this will become as one of the greatest achievement of the present administration because this department will enable a comprehensive, integrated, inclusive and sustainable management of the housing and urban development sector has been there for more than decades now.
The DHUD will have accountability for the following critical areas for physical planning and sustainable communities’ development:
- Plans, policies, programs, and monitoring, that will link the plans and programs of international, national, and local agencies;
- Alignment of environmental, land use, and urban and development plans and implementation;
- Housing and real estate development regulation; and
- Homeowners/community empowerment and participation.
Aside from the projects of HUDCC and its KSAs, the following next steps should be done:
- Completion and adoption of the NISUS and National Resettlement Framework.
- Implementation of the program under the Php 50 billion fund for some 104,000 ISFs in danger areas in Metro Manila. To date, the bidding for the design and construction of two in-city medium-rise building (MRB) projects is ongoing which will benefit about 1,450 families.
- Implementation of reforms in housing finance. A strategic plan for housing finance reform is being developed to better serve those who are already being served, and to reach those who are either underserved or not being served at all.
- Provision of guaranties to housing loan accounts of rural banks and microfinance institutions which have shown capacity to service housing loans responsibly. Private banks shall be encouraged to assume a larger role through government guaranties that make housing loans practically risk-free.
- Updating and upscaling of climate-proofed spatial plans and national and local shelter plans.
- Advocacy for the passage of the DHUD bill, which shall provide a holistic approach to housing and sustainable urban development
- Pro-active application of Public-Private Participation (PPP) in the housing sector programs and projects (e.g. creation of a Special Purpose Vehicle model for Big Ticket Projects such as the development of the North and East Triangles in Quezon City under the Urban Triangle Development Commission or Tridev). Private sector shall be encouraged to participate in housing projects through tax incentives and the streamlining of processes for loans and issuances.
- Partnership with LGUs in housing projects, especially in relocating ISFs from geohazard and other danger areas, shall be intensified. In coordination with DENR, the issuance of Proclamations for certain public lands as relocation sites will be pursued.
With sources from:
DIR. MYLENE A. RIVERA
Housing and Urban Development Coordinating Council
THIS BLOG OR ARTICLE IS OWNED BY MR. RAMON C.F. CUERVO AND MAY CONTAIN LEGAL PROPERTY WHICH IS RIGHTS-PROTECTED. IT IS INTENDED FOR PUBLIC READING ONLY. COPYING, DISTRIBUTING, OR RE-PUBLISHING THE ARTICLE OR BLOG WITHOUT THE APPROVED CONSENT OF THE WRITER IS PROHIBITED. ANY ENTITIES WHO WANT TO SHARE THIS BLOG OR ARTICLE, PLEASE CONTACT THE WRITER AND ACKNOWLEDGE THE SOURCE: www.cuervopropertyadvisory.wordpress.com AND WRITER: MR. RAMON C.F. CUERVO, WITH MR. RAPHAEL D. TORRALBA