DEPARTMENT OF AGRARIAN REFORM

Overview
1. DAR Introduction
2. What is CARP?
3. Legal and Constitutional Basis of CARP
4. Salient Features of CARP
5. Sectoral Updates
6. LBP ARR Status as of May 2016
7. Thrust and Policy Directions

Department of Agrarian Reform

Mandate
The Department of Agrarian Reform (DAR)
leads
the
implementation
of
the
Comprehensive Agrarian Reform Program
(CARP) through land tenure improvement,
agrarian justice, and coordinated delivery of
essential
support
services
to
client

Functions
To provide Land Tenure security to landless farmers
through land acquisition and distribution; leasehold
arrangements' implementation and other LTI services;
To provide legal intervention to Agrarian Reform
Beneficiaries (ARBs) through Adjudication of agrarian
cases and agrarian legal assistance; and
To implement, facilitate and coordinate the delivery of
support services to ARBs.

What is CARP?
CARP, or the Comprehensive Agrarian Reform
Program, is the redistribution of public and private
agricultural lands to farmers and farmworkers who
are landless, irrespective of tenurial arrangement. Its
vision is to have an equitable land ownership with
empowered agrarian reform beneficiaries who can
effectively manage their economic and social
development to have a better quality of life.

DAR Major Programs:

Land Tenure Improvement
Support Services to Agrarian Reform
Beneficiaries
Agrarian Justice Delivery

Legal Basis of CARP

Republic Act No. 6657
AN ACT INSTITUTING A COMPREHENSIVE AGRARIAN REFORM PROGRAM TO
PROMOTE SOCIAL JUSTICE AND INDUSTRIALIZATION, PROVIDING THE
MECHANISM FOR ITS IMPLEMENTATION, AND FOR OTHER PURPOSES.

Republic Act No. 9700*

AN ACT STRENGTHENING THE COMPREHENSIVE AGRARIAN REFORM
PROGRAM (CARP), EXTENDING THE ACQUISITION AND DISTRIBUTION OF
ALL
AGRICULTURAL
LANDS,
INSTITUTING NECESSARY
REFORMS,
AMENDING FOR THE PURPOSE CERTAIN PROVISIONS OF REPUBLIC ACT NO.
6657, OTHERWISE, KNOWN AS THE COMPREHENSIVE AGRARIAN REFORM
LAW OF 1988, AS AMENDED, AND APPROPRIATING FUNDS THEREFOR.
*CARPER (Comprehensive Agrarian Reform
Program Extension with Reforms)

Constitutional Basis
Article II, Section 21: The State shall promote comprehensive rural
development and agrarian reform.
Article XII, Section 1: x x x The State shall promote industrialization
and full employment based on sound agricultural development and
agrarian reform, x x x
Article XIII, Section 3: x x x The State shall regulate the relations
between workers and employers, recognizing the right of labor to its
just share in the fruits of production and the right of enterprises to
reasonable returns on investments, and to expansion and growth.

Constitutional Basis
Article XIII, Section 4: The State shall, by law, undertake an agrarian reform
program founded on the rights of farmers and regular farmworkers, who are
landless, to own directly or collectively the lands they till or, in the case of other
farmworkers, to receive a just share of the fruits thereof. To this end, the State
shall encourage and undertake the just distribution of all agricultural lands,
subject to such priorities and reasonable retention limits as the Congress may
prescribe, taking into account ecological, developmental, or equity consider
ations, and subject to the payment of just compensation. In determining
retention limits, the State shall respect the right of small landowners. The State
shall further provide incentives for voluntary land-sharing.

Salient Features of R.A. No. 6657

Coverage
Retention Limit
Beneficiaries
Mode of Acquisition
Compensation and Mode of Payment to Landowners
Payment by Beneficiaries
Agrarian Justice Delivery
Political Machinery for Agrarian Reform
Implementation

Coverage
The Comprehensive Agrarian Reform Law of 1988 shall cover,
regardless of tenurial arrangement and commodity produced, ALL
PUBLIC AND PRIVATE AGRICULTURAL LANDS as provided in
Proclamation No. 131 and Executive Order No. 229, including other
lands of the public domain suitable for agriculture: Provided, That
landholdings of landowners with a total area of five (5) hectares and
below shall not be covered for acquisition and distribution to qualified
beneficiaries. [Section 4]

a. Agricultural land refers to land devoted to agricultural activity

and not classified as mineral, forest, residential, commercial or
industrial land [Section 3(c)].

SPECIFIC LANDS COVERED BY CARP

1. All alienable and disposable lands of the public domain
devoted to or suitable for agriculture.
2. All lands of the Public domain in excess of the specific
limits as determined by Congress
3. All other lands owned by the Government devoted to or
suitable for agriculture.
4. All private lands devoted to or suitable for agriculture

regardless of the agricultural products raised or that

can be raised thereon.

Schedule of Implementation
The Distribution of all coverable under R.A. No. 6657 must
be completed within ten (10) years from the effectivity of
the Law, on 15 June 1988.
The Program was extended for another ten (10) years by
appropriating funds to implement CARP until 2008 under
R.A. No. 8532.
In June 2008 to July 2009, there was gap in the Issuance of
Notices of Coverage (NOCs) in light of the DARs mandate.
CARPER was enacted in July 2009 thru R.A. No. 9700,
extending CARP with Reforms in the implementation of the
Program. The Issuance of NOCs ended on 30 June 2014.
Section 30 of R.A. No. 9700

LANDS NOT COVERED BY CARP

Those which are not suitable for agriculture or those which
are classified as mineral, forest, residential, commercial or
industrial lands prior to June 15, 1988 (Sec. 3. , R.A. No.
6657).
Those which are devoted to poultry, swine or livestockraising as of June 15, 1988 pursuant to the Supreme Court
ruling on Luz. Farms vs. The Hon. Secretary of Agrarian
Reform (192 SCRA 51).

Fishponds and prawn farms (R.A. No. 7881) .

Those which are retained by the landowners.

OTHER LANDS NOT COVERED BY CARP

SECTION 10 OF R.A. No. 6657, as amended.
1.

Lands actually, directly and exclusively used and found to be

necessary for parks, wildlife, forest reserves, reforestation, fish
sanctuaries and breeding grounds.

2. Watersheds and mangroves.

3. National defense.
4. School sites and campuses including experimental farm stations
operated by public or private schools for educational purposes.
5. Seeds and seedlings research and pilot production centers.

6. Church sites and convents appurtenant thereto, mosque sites and

Islamic centers appurtenant thereto.
7. Communal burial grounds and cementeries.
8. Penal colonies and penal farms actually worked by the inmates.
9. Government and private research and quarantine centers and all
lands with eighteen percent (18%) slope and over , except those
already developed shall be exempt from the coverage of this Act.

NB: That original homestead grantees or direct compulsory heirs

who still own the original homestead at the time of the approval of
this Act shall retain the same areas as long as they continue to
cultivate said homestead (Sec. 6 of R.A. No. 6657, as amended).

Retention Limits
Retention limit for landowners: Five (5) Hectares
Heirs of landowners can qualify as preferred
beneficiaries up to three (3) hectares each provided
that the heir is at least 15 years old and is actually
tilling or managing the land
Retention limit for Rice and Corn lands (under PD 27):
Seven (7) Hectares
Agrarian Reform Beneficiaries (ARBs) can cultivate

QUALIFIED BENEFICIARIES

Agricultural lessees and share tenants

Regular farmworkers
Seasonal farmworkers
Other farmworkers
Actual tillers or occupants of public lands
Collective or cooperatives of the abovebeneficiaries
Others directly working on the land.
(Section 22 of R.A. No. 6657, as amended)

Modes of Acquisition

Land Transfer Programs

1. Compulsory Acquisition (CA)
2. Voluntary Offer to Sell (VOS)
3. Voluntary Land Transfer /
Direct Payment Scheme (VLT / DPS)

Other Arrangements
Non-Land Transfer Programs
a. Agricultural Leasehold on the retained area
b. Production and Profit Sharing arrangements (AVA)
c. Stock Distribution Plan

Compensation and Mode of Payment to

Landowners
Land Valuation will be computed based on the factors under Sec. 17
of R.A. No. 6657, as amended.
Modes of Compensation:

Combination of Cash and financial instruments.

Shares of stocks in government-owned or controlled corporations, or
Land Bank of the Philippines-preferred shares, or of assets or other
qualified investments.
Tax credits which can be used against any tax liability.

Payment by Beneficiaries
The beneficiary pays the LBP in 30 annual amortizations at 6.0
percent interest rate per annum.
The beneficiary is forbidden by law to sell the land until the tenth
year and until such time that he/she has fully paid his dues.
Failure by the beneficiary to pay an aggregate of three (3) annual
amortizations will mean a foreclosure of the awarded land.
A beneficiary whose land has been foreclosed is permanently
disqualified from becoming a CARP beneficiary.

Agrarian Justice Delivery

Under R.A. No. 6657, the DAR is vested with

the primary jurisdiction to determine and
adjudicate reform matters and to extend free
legal assistance to farmer-beneficiaries affected
by agrarian cases. The delivery of agrarian
justice has two features: the Adjudication of
Cases and Agrarian Legal Assistance.

Political Machinery for Agrarian Reform Implementation

(a) Presidential Agrarian Reform Committee (PARC)

President of the Philippines Chairman
DAR Secretary Vice Chairman
Members: Secretaries of DA, DENR, DBM, Local Govt., DPWH, DTI,
DOF, DOLE, Director General of NEDA, LBP President, NIA Admin,
and 3 reps of affected LOs from LuzViMin; 6 reps of ARBs 2 each
from LuzViMin

(b)Provincial Agrarian Reform Committee (PARCCOM)

(

c) Barangay Agrarian Reform Committee (BARC)

DAR ADJUDICATION BOARD (DARAB)

ORGANIZATIONAL CHART

ADJUDICATION BOARD
Exercises
exclusive
and
original appellate jurisdiction to
review, reverse, modify, alter
or affirm resolutions, orders,
and
decisions
of
the
Adjudicators.

REGIONAL ADJUDICATOR
PROVINCIAL ADJUDICATOR

DARAB SECRETARIAT
(1) Exercises Supervision over the PARADs
and staff and monitors cases in the Region;
(2) Act in cases of inhibition; (3) JC cases
and other cases assigned by the Board; (4)
Hears application for the issuance of WPi
and/or TRO as directed by the Board; (5) LV
cases in excess of 10M but not exceeding
50M.
(1) Adjudicate agrarian disputes arising
within his territorial jurisdiction; (2) LV
cases 10M and below.

Maraming Salamat!