IMPLEMENTING RULES

AND REGULATIONS OF
R.A. 10752
(AN ACT FACILITATING THE ACQUISITION OF RIGHT-OF-WAY,
SITE OR LOCATION FOR NATIONAL GOVERNMENT
INFRASTRUCTURE PROJECTS)
 Negotiated Sale

• SALIENT FEATURES OF NEGOTIATED SALE

• New way to determine just compensation

• Shortens the negotiation process

• New payment scheme

• Taxes and other expenses

 Negotiated Sale

• WHAT ARE THE SUBJECTS OF NEGOTIATED SALE?

• Land- current market value

• Structures and improvements- replacement cost method

• Crops and trees

 Negotiated Sale

• HOW AND WHO WILL DETERMINE THE VALUE?

• Government Financial Institutions (GFI)

• Independent Property Appraiser (IPA)

 Negotiated Sale

• GOVERNMENT FINANCIAL INSTITUTIONS (GFI)

• To be selected through competitive process.

• GFI and implementing agency must enter into a MOA with

the following conditions; (A) GFI must have adequate
experience; (B) undertake the appraisal by administration
and; (C) IA shall pay appropriate fees.
 Negotiated Sale

• INDEPENDENT PROPERTY APPRAISER (IPA)

• Must be accredited by the BSP or professional association

of appraiser recognized by the BSP

• Must be procured in accordance with R.A. 9184

 Negotiated Sale
• WHAT IS REPLACEMENT COST?

• Refers to the cost necessary to replace the affected structure or

improvement with a similar asset based on current market prices.

• Includes materials, labor, equipment, contractors profit and

overhead

• If the affected structure has been damaged, then the

Replacement Cost should be based on the predamaged condition
of that structure

• May be determined by GFI or IPA.

 Acceptance or Rejection of
the Price Offer

• The property owner is given 30 days from receipt of the

written offer whether to accept or reject the offer as
payment.
 Deed of Sale
• The property owner and the IA shall execute a Deed of Absolute Sale
after the property owner has submitted to the IA the Transfer Certificate
of Title, Tax Declaration, Real Property Tax Certificate or Clearance (as
issued by the Treasurer of the concerned LGU) and other documents
necessary to transfer the title to the Republic of the Philippines.

• In case of sale of land with structures and other improvements, the

Deed of Sale shall provide a stipulation allowing the IA or its authorized
representatives to demolish and remove them. The Deed of Sale shall
also include a stipulation on the right of the IA to immediately enter the
property and implement the project.

• In case the sale pertains to structures and improvements only, as

provided in Section 5(b) of the Act, the property owner and the IA shall
execute an Agreement to Demolish and Remove Improvement (ADRI),
 Deed of Sale
• DOCUMENTS REQUIRED

• Owner’s duplicate of the Original/Transfer Certificate of Title (IO must validate

this with the Register of Deeds copy of the OCT/TCT in the IO’s possession)

• Tax Declaration of parcel land

• Tax Declaration of improvements (except for informal settler (IS)-owners)
• Subdivision Plan of the parcel
• Tax Clearance or, if the landowner requests the IO to advance the payment of
Real Property Taxes to be deducted from the payment, a Statement of Tax
Account from the Treasurer of the LGU concerned
 Deed of Sale

• Copies of two (2) valid identification cards

• Owner’s Taxpayer Identification Number (TIN)
• If applicable, where the improvement owner is different from lot
owner and is authorized to build on the land, a certification from
the lot owner that the improvement built therein is owned by the
improvement owner
 Deed of Sale
• If applicable, where the improvement owner is an informal settler, any document showing

that he is a Filipino citizen; a certification from the Land Registration Authority that there is

no property registered under his name, whether in an urban or rural area; a certification from

the Local Inter-Agency Committee (LIAC) that he is not a professional squatter or a member

of a squatting syndicate, as defined in Republic Act No. 7279, otherwise known as the

“Urban Development and Housing Act of 1992” and does not occupy an existing government

ROW.

• If applicable, Special Power of Attorney

• Other documents that may be found necessary by the IO to ensure transfer of the property to

the Republic of the Philippines

 Payment

• LANDS

• Upon execution of Deed of Sale, the implementing agency

shall pay the 50% of the negotiated price

• The remaining 50% shall be paid upon transfer of title in

the name of RP, in case the property is wholly taken. OR
annotation of Deed of sale in the title, in case of partially
affected.
 Payment

• IMPROVEMENT, STRUCTURES, CROPS AND TREES

• Payment of 70% of the replacement cost upon execution

of Agreement to Demolish and Remove Improvements

• The balance of 30% of the replacement cost shall paid

upon issuance of certification from the implementing
agency that the land is completely cleared from the
improvements, structures, crops and trees.
 Taxes and fees

• WHO WILL PAY?

IMPLEMENTING OFFICE