October 27, 2010

DAR MEMORANDUM CIRCULAR NO. 08-10

SUBJECT    :     Guidelines in the Treatment, Use, and Updating of the PARC Execom-Approved Carper Land Acquisition and Distribution (LAD) Balance

I.          Prefatory Statements

The PARC Executive Committee officially adopted the CARPER LAD balance of the Department of Agrarian Reform through the issuance of Resolution No. SP-2010-04. The established LAD balance for acquisition and distribution over a period of five years from July 1, 2009 to June 30, 2014 stood at 1,281,003.8895 hectares (gross area) with the distribution area net of retention estimated to reach 1,034,661.4563 hectares. These figures came from the duly signed commitments of the PAROs and attested by their respective PARCCOMs through the issuance of the appropriate Resolutions. Fifteen DAR Regional Directors as well as the DAR-ARMM Secretary certified the correctness of the data with the DAR Executive Committee finally approving the adoption of these figures.    cSaADC

It is recognized that there is a need to update this PARC ExeCom-approved LAD balance in view of perceived addition and deduction as well as acquisition and distribution of agricultural landholdings in the said list/database and other adjustments arising from the movements of agricultural landholdings across the LAD pipeline. Such updating is necessary to ensure that the annual planning exercises shall lead to more accurate targets/commitments.

In cognizance of these situations, there is a need to come up with a set of guidelines which shall lay down a framework and the standard procedures in the use, treatment, and updating of the said LAD balance. This Memorandum Circular addresses such imperative by redefining the manner of derivation of the LAD balance from the reference (baseline) mark — that is, the PARC ExeCom-approved CARPER balance, and taking stock as well of the by-products (landowners' retention areas, non-CARPable areas, etc.) of the land acquisition process for development planning at the local level (ARC/ARC clusters).

II.         Definition of Terms

GROSS CARPER LAD Balance refers to the gross area of agricultural landholdings validated by the DAR through the Inventory of CARP Scope (ICS) Project (MC 13 s. 2006) and approved by the PARC ExeCom per its Resolution No. SP-2010-04. These are the aggregated areas gathered from the Certified True Copy of Titles (CTCTs) and Approved Survey Plans (ASPs) and encoded into the ICS LAD balance national database to be subjected to the acquisition process by the DAR in accordance with the phasing provisions of RA 9700.    TcSaHC

CARPER LAD Balance Net of Retention refers to the GROSS CARPER LAD balance less the projected retention areas of the agricultural landowners. This is also known as the land distribution balance of the Department to be accomplished during the five-year extension period per RA 9700.

Updating of the CARPER LAD Balance is the annual process of determining the beginning LAD balance at the start of every fiscal year by taking into consideration: (1) the probable additional and deductible agricultural landholdings, and (2) the main products and by-products of land acquisition and distribution (distributed, retained, and non-CARPable areas), thereby making available a more accurate baseline LAD balance data for planning and programming, and policy-making purposes.

Additional landholdings refer to the agricultural landholdings which were not included in the PARC ExeCom-approved CARPER LAD balance but whose landownership documents have been secured and validated after the approval of the said LAD balance to merit its inclusion in the said balance through the updating procedures described herein. These can be categorized into three: (1) distributed LHs from July 1, 2009 until the effectivity of this MC, (2) targeted for distribution during the remaining period of the current year, and (3) those for acquisition and distribution in the succeeding year/s.

Deductible Landholdings refers to the agricultural landholdings which were included in the PARC ExeCom-approved CARPER LAD balance but have been found to be deductible during the Pre-OCI conducted by DARMO. The MARO shall issue official document to this effect.    CDEaAI

Landholdings for deduction are those agricultural landholdings which are listed in the PARC ExeCom-approved CARPER LAD balance but have been found to be entirely excluded/exempted from the LAD component of the CARP as evidenced by final and executory decisions/orders from the appropriate government entity.

Non-CARPable areas are part or portions of the acquired area which cannot be distributed to qualified beneficiaries as they are found to be (1) used for roads, easements, schools, etc., (2) traversed by creeks/tributaries, or (3) above 18 percent slope and undeveloped.

III.       Coverage

This Memorandum Circular shall cover the following:

A.        Agricultural landholdings which were not included in the PARC ExeCom-approved CARPER LAD balance but whose landownership documents have been secured and validated after the approval of the said LAD balance to merit its inclusion in the said balance. These can be categorized into three: (1) distributed LHs from July 1, 2009 until the effectivity of this MC, (2) targeted for distribution during the remaining period of the current year, and (3) those for acquisition and distribution in the succeeding year/s;    HAICET

B.        Main products and by-products of land acquisition and distribution (distributed, retained, and non-CARPable areas) resulting from the coverage of the PARC ExeCom-approved CARPER LAD balance;

C.        Agricultural landholdings which are listed in the PARC ExeCom-approved CARPER LAD balance but have been found later to be distributed/excluded/exempted from the LAD component of the CARP before July 1, 2009 as evidenced by final and executory decisions/orders from the appropriate government entity;

D.        Landholdings which were found to be included in the master list twice or more. These are categorized as duplicates and have to be tagged as such to avoid erroneous processing;

E.         Landholdings which are found to be deductible as a result of pre-OCI conducted by the Municipal Office and subsequently were recommended for deduction by the PARCOMM;

F.         All other agricultural landholdings not included in the above categories but affect the magnitude of the CARPER LAD balance to be used for planning and programming.

IV.       Governing Principles

A.        The general equation to be used for updating the PARC ExeCom-approved CARPER LAD balance shall be as follows:    HaTDAE

        Particulars                                                Data Source

BEGINNING CARPER LAD BALANCE
(GROSS AREA) AS OF JULY 1, 2009 =
1,281,003.8895 Has.

MINUS: ESTIMATED RETENTION                      DARPOS TO DETERMINE IF LO
AREA (LANDOWNERS WHO HAVE                   HADNT ALREADY AVAILED
NOT YET EXERCISED THEIR                               OF RETENTION, IF NOT,
RETENTION RIGHTS) = 246,342.4332                 SUBTRACT 5 HECTARE
Has.                                                                          RETENTION AREA FROM
                                                                                 AGGREGATE AREA

EQUALS: BEGINNING CARPER LAD
BALANCE (NET OF RETENTION AREA)
AS OF JULY 1, 2009 = 1,034,661.4563 Has.

MINUS: LANDHOLDINGS                                    MONTHLY LAD
DISTRIBUTED AREA AND                                    ACCOMPLISHMENTS
ACCOMPANYING NON-CARPABLE
AREA

MINUS: DEDUCTIONS WITH                               FINAL DECISION ORDERS
APPROVED ORDERS AFTER JUNE 30,
2009:
                  EXCLUSION
                  EXEMPTION
                  CONVERSION

MINUS: DEDUCTIONS WITH                               DARPOS INCLUDED THESE
APPROVED ORDERS BEFORE JULY 1,              LANDHOLDINGS DURING THE
2009 BUT NOT CAPTURED IN ICS:                     LAD BALANCE FIRMING UP
                  EXCLUSION                                         BUT LATER PUSHED FOR
                  EXEMPTION                                         THEIR DELETION, FINAL
                  CONVERSION                                     DECISION ORDERS
                  RETENTION    AcHaTE

MINUS: DISTRIBUTED PRIOR TO JULY             DARPOS WERE NOT
2009 AND NOT REFLECTED IN THE                  INFORMED THAT THESE
MASTERLIST                                                          AREAS WERE ALREADY
                                                                                 DISTRIBUTED, EP AND CLOAS
                                                                                 AND/OR APPROVED
                                                                                 SUBDIVISION PLANS.

MINUS: DUPLICATES/REDUNDANT                  DOUBLE ENTRIES, TITLE
LANDHOLDINGS                                                  AND/OR ASP

MINUS: LANDHOLDINGS THAT ARE                FOR DARMO's
NOT COVERABLE BASED ON FIELD                 DETERMINATION DURING THE
REPORTS AND PARCCOM                                  PRE-OCI ACTIVITIES, MARO
RESOLUTIONS (NO APPROVED)                       SHALL ISSUE OFFICIAL
ORDERS)                                                                 DOCUMENT TO THAT EFFECT.

PLUS: INCLUDED LANDHOLDINGS                  DARPOS TO DETERMINE IF LO
NOT CAPTURED AS OF JULY 1, 2009                HAD ALREADY AVAILED OF
(NET OR RETENTION AREA)                               RETENTION

EQUALS: ENDING (NEW) CARPER LAD
BALANCE

B.        Updating shall be based on the gross area for acquisition (primary data) as the distribution area net of retention is merely an estimate based only on the projected area to be retained by the landowners.    DTEAHI

C.        Updating shall not result in the adoption of a new CARPER LAD balance but the firming up of the previously PARC ExeCom-approved balance taking into consideration the movement of landholdings across the land acquisition and distribution pipeline, exemption and exclusion proceedings, the discovery of new agricultural landholdings and residual areas of previously-acquired landholdings, and other warranted adjustments affecting the LAD balance.

D.        Updating of the CARPER LAD balance shall be on an annual basis the process of which shall be integrated with the department's year-end assessment framework with the PARC ExeCom approval of the ending LAD balance as the culminating activity.

            The PARC ExeCom-approved ending LAD balance shall be a major input to the operational work planning exercise to be done during the initial part of the year.

F.         Land distribution targets, be they indicative or work/operational in nature, shall be accompanied by a support/subsidiary listing to ensure that only landholdings covered by the CARPER LAD balance and/or its updated form shall be given funding allocation. The exemption to this provision shall be those distributed landholdings (but are not in the CARPER File I LAD balance) prior to the effectivity of this Memorandum Circular.    caITAC

V.        Updating Procedures

A.        Submission of the List of Additional LHs, List of LHs for Deductibles and List of LHs for Deduction

•           The DARMO shall submit a memorandum to DARPO requesting for addition of landholdings to the LAD Balance with corresponding justifications. The applicable supporting ownership documents (Copy of Title or Approved Survey Plan) shall be attached. These landholdings shall be categorized according to Section III, Coverage — Item A of this MC.

•           The DARMO shall submit a memorandum to DARPO requesting for deductibles of landholdings from the LAD Balance determined during the Pre-OCI activities. The supporting official documents of deductibles shall be attached.

•           The DARRO shall submit a memorandum to DARPO for deduction of landholdings from the LAD Balance with the supporting evidence/s of deduction (i.e., order of retention, exemption, exclusion, conversion).

B.        Counterchecking the Existence of the Identified Additional LHs, Deductible LHs and LHs for Deduction in the CARPER File I LAD Balance.

1.         The DARPO PMEU shall verify the existence of the identified LHs in the CARPER File 1 LAD Balance database. If the identified LHs is not included on the said database, the PARO shall verify the validity of the listing that needs to be added/deducted in the LAD Balance.    TEAICc

2.         The PMEU shall encode the additional list of landholdings and tag Landholdings for deduction from CARPER system. A listing and summary report shall be generated and submitted to PARO. Subsequently, the PARO shall formulate the transmittal memorandum recommending the addition and/or deduction of landholdings with corresponding justification for submission to the concerned PARCCOM.

C.        PARCCOM Deliberation. Upon receipt of the recommendation for addition and/or deduction of landholdings with corresponding justifications, the PARCCOM shall deliberate on the request and, if necessary, conduct field verification on the landholding, and accordingly pass a Resolution based on the results of its deliberation. The Resolution shall be submitted to LAD-TRC Secretariat thru the DARPO for verification, copy furnished the PARC Secretariat.

D.        Updating of the CARPER File 1 LAD Balance at the DARCO/MIS. Upon receipt of the approved PARCCOM Resolution, the DARPO-PMEU shall forward an electronic copy of the encoded list of landholdings (interim status) for data processing at the MIS.

E.         Screening at the LAD-TRC Level.

1.         BLAD and MIS shall conduct initial screening (database verification, checking for completeness of required documents, validity of justification, etc.) of the PARCCOM Resolution. After which, it shall provide a copy together with the recommendation and summary matrix to the members of LAD-TRC for review and approval.    IHcSCA

2.         The LAD Balance Technical Review Committee (LAD-TRC) created at the DARCO shall deliberate and finally recommend through a Resolution the request for the inclusion of the additional landholdings in the LAD Balance as well as the deduction, as recommended by the PARCCOM per its Resolution.

F.         Final Updating of the CARPER Database. The MIS shall update the CARPER database using the approved Resolution passed by LAD-TRC. Thereafter, provide an electronic copy of the approved list to DARPO-PMEU for them to update their provincial CARPER database. Consequently, the CARPER database shall be used to track the additional landholdings based on the LAD process. Copy of the updated LAD Balance of the province shall also be provided to the PARCCOM.

G.        National Consolidation and Approval by the PARC ExeCom. The MIS shall generate the national consolidation for presentation and approval during the annual year-end assessment. The final update report shall then be presented to the PARC ExeCom for approval. The updated CARPER balance shall be used for operational planning and updating of the CARP Strategic Plan.

VI.       Monitoring and Reporting System

The MIS shall generate Landholding Balance Reports, accomplishment and other reports needed by the management for inclusion in the annual agency performance report.    DaHISE

VII.      Supplementary Provisions

Landholdings distributed from July 1, 2009 until the effectivity of this MC as well as those targeted for distribution during the remaining part of the current year that are OUTSIDE of the CARPER LAD balance but are already covered by duty-approved and submitted PARCCOM resolutions prior to the issuance of this MC need not be covered by new Resolutions. These LHs shall be subjected to evaluation by the LAD-TRC in addition to new PARCCOM resolutions that may be issued in accordance with this MC.

VIII.     Effectivity

This Memorandum Circular takes effect immediately and supersedes/amends other issuances inconsistent herewith.

October 27, 2010, Diliman, Quezon City.

(SGD.) VIRGILIO R. DE LOS REYES
Secretary

ATTACHMENT

Schedule of Updating Activities

                     Activity                                           Timeframe

1.      Submission of PARCCOM                    January to October*
         resolutions to DARCO and
         Evaluation by the LAD-TRC

2.      National Consolidation                           November

3.      Plenary Presentation and                        During the Year-End Assessment
         Approval by the DAR ExeCom              and Planning Conference

4.      PARC ExeCom Confirmation                 January of the ensuing year
         and Approval

5.      Operational Planning and                        1st Quarter of the ensuing year
         Updating of the CARP Strategic
         Plan

*         PARCCOM Resolution from November to December shall be submitted and evaluated by LAD-TRC on the ensuing year.    ECDHIc