May 12, 1994
DAR OPINION NO. 30-94
Hon. Jesus F . Diaz
Executive Vice President
Agrarian Sector
Land Bank of the Philippines
319 Sen. Gil J. Puyat Ave. Ext.
Makati, Metro Manila
Sir:
This has reference to Resolution No. 23 Series of 1992 of the Barangay Council of Salvacion, Tigaon, Camarines Sur requesting LBP assistance for the donation of the farmlot of FB Danilo G. Buela covered by EP No. A-071331 in favor of said Barangay to be used for school site purposes.
The last sentence of paragraph 6 of E.O. 228 provides that ownership of lands acquired by farmer-beneficiaries may be transferred after full payment of amortizations. Hence, if per LBP Certification, Danilo Buela has fully paid his amortizations on the farmlot, said donation is allowed. The following should, however, be noted:
1. No conversion of the farmholding for purposes other than agricultural shall be undertaken without a DAR Order of Conversion; and
2. Under Administrative Order No. 20, Series of 1992 of the Office of the President, all irrigated and economically irrigable lands covered by irrigation projects with firm funding commitments shall be non-negotiable for conversion.
Once it has been ascertained that full payment has been made, and the property does not fall under A.O. 20, the transfer may be effected. However, the transferee must file an application for conversion with DAR.
We hope we have clarified our position on the matter.
Very truly yours,
(SGD.) HECTOR D. SOLIMAN
Assistant Secretary
Legal Affairs Office