June 23, 1995
DAR OPINION NO. 26-95
MARK AMOR
Legal Officer III
Department of Agrarian Reform
Provincial Office
Sagun St., Pagadian City
Zamboanga del Sur
Dear Mr. Amor:
This has reference to your query on whether or not SARBEMCO, (a duly registered cooperative of about 400 CARP beneficiaries who are the awardees of a collective CLOA covering 996.5595 hectares of rubber plantation formerly owned by the Mindanao Company Inc.), can validly donate a portion of the awarded land in favor of the Department of Education, Culture and Sports (DECS) to serve as a school site, without violating Sections 27 and 65 of R. A. 6657.
It is submitted that the segregation of a portion of the 996.5596-hectare plantation for donation to DECS as a school site will not contravene the provisions of Sections 27 and 65 of R.A. 6657.
As expressly provided, one of the exceptions to the prohibition against the transfer of lands acquired under R.A. 6657 within the 10-year period from award is the transfer made in favor of the government. Hence, the contemplated transfer to the DAR for donation to the DECS to be used as a school site to serve the students in the community may legally be undertaken.
As regards Section 65 of CARL, it is believed that the prohibition against conversion found in said Section applies only to awarded lands, and not to lands transferred to the government as in this case, as said lands would no longer be awarded lands within the contemplation of Section 65.
Please be further informed that per our initial consultation on the matter, the Land Bank of the Philippines interposes no objection to said transfer, provided that the valuation and amortization of the property remain unchanged. It goes without saying that LBP's official conformity to the transfer must first be obtained.
Finally, it is observed that the area intended to be transferred is four (4) hectares. In this regard, there must be a showing that the entire area proposed to be transferred is necessary for the school site in order for DAR approval to be granted.
We hope that this opinion will help facilitate the establishment of the school in the area.
Very truly yours,
(SGD.) HECTOR D. SOLIMAN
Assistant Secretary Legal Affairs Office