March 22, 1999
DAR OPINION NO. 26-99
ANTONIO M . TILLADA
President
Camanava Producers Cooperative
Phase 7-C Pkg. XI, Block 16 Lot 26
Bagong Silang, Kalookan City
Dear Mr. Tillada:
This refers to your letter dated 03 February 1999 requesting for clarification and/or information relative to the pasture land of the Muertigue family under the names of Pepe Garcia, Mercedes Larrazabal and Casabangan Farm Corporation.
You believe that the area of the said agricultural land exceeds the limit set forth in Section 3 of Article XII of the Philippine Constitution which provides for the limitation on the area of public land which may be acquired by a private individual or entity. Furthermore, it is your contention that the total aggregate area of the subject agricultural land owned by the Muertigue family is not authorized under the maximum limit provided for under Section 22 of the Public Land Act.
The issues raised in your query are summarized as follows:
1. Whether or not these farms can be subjected under the Comprehensive Agrarian Reform Program; and
2. Whether or not these farms may be the subject of reversion.
A verification of the records on file at the Office of the Undersecretary for Field Operations and Support Services Office (FOSSO) of this Department, reveals that these farms are located in the municipalities of Pio V. Corpus and Esperanza, province of Masbate under the names of Casabangan Farm Corporation and Mercedes Larrazabal with a total aggregate area of 2,326.8617 hectares. The said property is indeed devoted to cattle raising in commercial scale with the presence of several structures used in cattle raising. There are around 700 heads of cattle in said farms.
DAR Administrative Order No. 09, Series of 1998 defines Commercial Farms as private agricultural lands devoted to salt beds, fruit farms, orchard, vegetables and cut-flower farms, cacao, coffee and rubber plantations (Section 11, R.A. No. 6657, as amended by Section 3, R.A. No. 7881). This definition is limited to these commodities produced. In other words, other farms although commercial in nature are not covered by the definition. Actually, lands devoted to commercial livestock, poultry and swine raising used to be included in the list. However, the Supreme Court in the landmark case of Luz Farms vs. The Secretary of Agrarian Reform (128 SCRA 568) has removed these farms from the coverage of the Comprehensive Agrarian Reform Program (CARP).
Following said ruling, DAR Administrative Order No. 9, Series of 1993 came into effect purposely to provide rules and regulations governing the exclusion of agricultural lands used for livestock, poultry and swine raising from the coverage of CARP. The pertinent provision of which. reads as follows:
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III. POLICY STATEMENT
A. Private agricultural lands or portions thereof exclusively, directly and actually used for livestock, poultry and swine raising as of 15 June 1988 shall be excluded from the coverage of CARP.
B. In determining the areas qualified for exclusion under this Administrative Order, the following ratios of land, livestock, poultry and swine raising shall be adopted
1.0 Grazing
1.1 Cattle, Carabao and Horse Raising
— cattle, carabao and horses (regardless of age) — the maximum ratio is one (1) head to one (1) hectare.
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It must be clarified at the outset that not all agricultural lands devoted to livestock, poultry and swine raising are automatically excluded from CARP coverage. To qualify for exclusion, the following requirements must be met:
1. The land or portions thereof must have been exclusively, directly and actually used for livestock, poultry and swine raising as of 15 June 1988.
2. The farm devoted to the above purposes must satisfy the animal/land ratio as well as animal/infrastructure ratio as enumerated above.
Based on the foregoing, if the subject farms conform with the requirements just stated, then it shall be exempted from the coverage of the CARP. However, the landowner must first apply for exemption and the same shall be adjudicated on the merits thereof if the land is indeed exempt from CARP coverage.
The Office of the Undersecretary for Field Operations is tasked to monitor properties which are exempted and makes the necessary recommendation to the Secretary who shall declare that the subject land is no longer used for the purpose, thereby reverting the subject land or portion thereof to the category of agricultural land that may be covered by CARP. As intimated to us by the FOSSO, the subject farms are being monitored as per attached communication to Mr. Andres Yoro of Camarin Village Association dated 20 January 1999.
Anent the observation that said agricultural lands exceed the limit which a private individual may acquire, the Supreme Court in Director of Lands vs. Intermediate Appellate Court, 146 SCRA 509, has ruled that the validity of acquisition is determined as of the time the land was acquired. Under the 1935 Constitution, the limit on the area of public land which may be acquired by private individuals was 144 hectares. The 1973 Constitution, however, set the limit at 24 hectares. This in effect amends Section 122 of the Public Land Act which reduced the allowance area from 144 to 24 hectares (Guiang v. Kintanar, 106 SCRA 49). The 1987 Constitution has further reduced this to 12 hectares. Therefore, the validity of the acquisition of the subject farms depend on the period the land was acquired.
Anent your last query, the reversion contemplated in Section 122 of the Public Land Act is not automatic. The government has to take action to cancel the patent and the certificate of title in order that the land involved may be reverted to it (Villacorta vs. Ulanday, 73 Phil. 655). Hence, until the government has taken steps towards reverting such land to the public domain, the ownership thereof by the registered owner must perforce still be recognized.
Thank you for communicating with us and we hope to have clarified the matters with you.
Very truly yours,
(SGD.) DANILO T. LARA
Undersecretary for Legal Affairs, and Policy and Planning
Copy furnished:
Conrado S. Navarro
Undersecretary for Field Operations Group
This Department
The Municipal Agrarian Reform Officer
DAR-Municipal Office
Pio V. Corpuz, Masbate
The Municipal Agrarian Reform Officer
DAR-Municipal Office
Esperanza, Masbate