January 2, 1972
MEMORANDUM
TO : All Regional Directors, District Officers, Team Leaders and Fieldmen and All Concerned.
SUBJECT : Operation Land Transfer
Pursuant to the Presidential Letter of Instruction No. 46 and Memorandum dated November 25, 1972, the following instructions with respect to OPERATION LAND TRANSFER are hereby published for the guidance of all concerned:
1. In the expansion of the operations the priorities embodied in the Presidential Letter of Instruction No. 46 should be followed. However, it is suggested that we start with the large estates, those with 100 hectares or more. It is, therefore, necessary to pinpoint these areas and start gathering data and sketching in pursuant to the Presidential directives. Leave the small landholdings first and concentrate on the large estate (100 hectares or more) in the issuance of land transfer certificates. However, continue gathering data throughout including small andholdings.
2. In the gathering of data, please include the ages of the landowners and the tenants including their children. This data is required by the Central Bank for actuarial studies. The survey form shall be modified accordingly.
3. In the information drive, please include the following:
a. Responsibilities of the new owners as to taxes and management of the farm so that it will be productive and insure payment of production credit and amortization and still leave sufficient amount for the farmer's family.
b. Plans to assist the small landowners to ease their financial condition and assuage their feeling about the loss of their land. These plans are embodied in Letter of Instruction No. 46 and Presidential Decree No. 85. Among these proposals are:
(i) Financing of acquisition of lands under any of the following modes of settlement:
a. Cash payment, subject to availability of funds, for small landholdings;
b. Exchange arrangement for government stock in government-owned or controlled corporations or private corporations where the government has holdings;
c. Payment through the establishment of annuities or pensions with guarantee against inflation and/or medical insurance;
d. Full guarantee on the payment of the fifteen (15) equal annual amortizations to be made by the tenant-farmers; and
e. Such other modes of settlement as may be adopted by the Agrarian Reform Fund Commission.
(ii) Financing agricultural production and/or commodity loans through banking institutions and/or issuance of guarantee of losses up to eighty-five (85%) percent of the amount of the production loan under such terms and conditions as the Agrarian Reform Fund commission may prescribe.
c. In the absence of the rules and regulations implementing Presidential Decree No. 27, there should be status quo in the relationship of the landowner and the tenant. This means that there shall be no ejectment of tenants and that the tenants should pay the landowners their lease rentals. The relationship shall continue until the implementing rules and regulations shall have been issued. Absolutely there shall be no share tenancy. It is illegal.
There will be some revisions in some forms to be used in Operations Land Transfers and we will inform you about the revisions as soon as we finish them.
(SGD.) CONRADO F. ESTRELLA
Secretary