Rental Housing Subsidy Program Act of 2025

TWENTIETH CONGRESS OF THE 25 JUL 10 P4:46 REPUBLIC OF THE PHILIPPINES First Regular Session RECLIVED &. SENATE S. No. Introduced by Senator Christopher Lawrence "Bong" T. Go AN ACT ESTABLISHING THE RENTAL HOUSING SUBSIDY PROGRAM AND PROVIDING FUNDS THEREFOR AND FOR OTHER PURPOSES EXPLANATORY NOTE Article XIII, Section 9 of the 1987 Constitution provides that the State shall, by law, and for the common good, undertake, in cooperation with the private sector, a continuing program of urban land reform and housing which will make available at affordable cost decent housing and basic services to underprivileged and homeless citizens in urban centers and resettlement areas. It shall also promote adequate employment opportunities to such citizens. In the implementation of such program, the State shall respect the rights of small property owners. Further, as provided under Republic Act No. 7279, also known as the Urban Development and Housing Act of 1992, the State is mandated to undertake, in cooperation with the private sector, a continuing program of urban land reform and housing which will make available at affordable cost descent housing and basic services to underprivileged and homeless citizens in urban centers and resettlement areas. Data from the Philippine Statistics Authority (PSA) shows that the poverty incidence among the population increased to 23.7% during the first half of 2021 from

21.1% in 2018. This translates to 3.9 million Filipino people living in poverty. Moreover, according to a survey conducted by the Social Weather Stations (SWS) in December 2024, 63% of Filipino families considered themselves poor, marking a 4-percentage point increase from 59% in September 2024. This figure represents the highest proportion of Self-Rated Poor families in over two decades, surpassing the 64% recorded in November 2003. The research organization further observed that the number of families perceiving themselves as poor has been steadily increasing for the third consecutive quarter, following a significant 12-point surge from 46% in March 2024 to 58% in June 2024.2 As an archipelagic State, the Philippines is highly vulnerable to natural disasters, experiencing frequent seismic activity and an average of 20 typhoons annually. These hazards routinely inflict widespread devastation-claiming lives, displacing communities, and destroying homes. In 2013, Super Typhoon Yolanda (Haiyan), one of the most powerful storms ever recorded, ravaged the country and left thousands of families homeless. In 2019, the Commission on Audit (COA) flagged the National Housing Authority (NHA) for its failure to complete housing projects intended for Yolanda survivors. Many of the affected families remain in temporary shelters or, in more dire cases, have been forced to live on the streets. Such outcomes highlight significant gaps in the government's post-disaster housing response gaps that could have been mitigated or even prevented through timely and well-funded interventions such as rental housing subsidies. Despite circumstances in social housing over the past years, it's not yet too late for the State to fulfill its mandate of providing adequate, sustainable, and habitable shelter for its people. https://neda.gov.ph/statement-on-the-2021-first-semester-official-poverty-statistics/ 2 https://www.abs-cbn.com/news/business/2025/1/8/more-filipinos-poor-as-self-rated-poverty-hits-highest-level-in- 21-years-sws-1629

Under the proposed measure, a housing and social protection program will be developed that will provide disaster victims better and more affordable access to the formal housing market through the provision of rental subsidies provided by the government. Thus, this bill seeks to address the plight of displaced families caused by various crises and calamities whether natural or man-made disasters, as well as those families who cannot afford or build their own homes. In view of the foregoing, the immediate passage of this measure is earnestly sought. SENATOR CHRISTOPHER LAWRENCE "BONG" T. GO

For dusta TWENTIETH CONGRESS OF THE ) 25 JUL 10 P4:46 REPUBLIC OF THE PHILIPPINES ) First Regular Session SENATE RECEIVEU DI S. No. 115 Introduced by Senator Christopher Lawrence "Bong" T. Go AN ACT ESTABLISHING THE RENTAL HOUSING SUBSIDY PROGRAM AND PROVIDING FUNDS THEREFOR AND FOR OTHER PURPOSES Be it enacted by the Senate and the House of Representatives of the Philippines in Congress assembled:

Section 1. Short Title. - This Act shall be known as the "Rental Housing Subsidy

2 Program Act of 2025."

Sec. 2. Declaration of Policy. - It is hereby declared the policy of the State to:

(a) Promote a just, equitable, and inclusive urban development through programs providing adequate social services, broader housing options, livelihood and employment, and an improved quality of life for the Filipino people, especially the underprivileged; (b) Provide an innovative housing program providing affordable, livable, and decent housing, as well as access to basic social services, especially for the underprivileged; (c) Protect the urban poor from the impact of immediate dislocation due to eviction and demolition arising from government projects; and

(d) Provide for options for interim housing for dislocated families due to natural and man-made disasters.

Sec. 3. Definition of Terms. - For purposes of this Act, the following terms or words

4 and phrases shall be understood to mean as follows: (a) Dislocation - refers to the state of being displaced from one place to another due to causes such as but not limited to eviction and demolition; (b) Informal Settler Beneficiary (ISB) - refers to individuals or households living under any of the following conditions: 1) Where the individual or household is living in a danger area as determined by the Department of Human Settlements and Urban Development (DHSUD); 2) Where the individual or household is living in an area reserved or used for government infrastructure projects; 3) Where the individual or household is living in an area which is classified as a protected or forest area, except indigenous peoples; 4) Where the individual or household is living in an area declared as a priority development area under Proclamation No. 1967, series of 1980, as applicable; or 5) Where the individual or household is living on public lands, structures, or facilities not intended for human habitation. (c) Rental Housing Subsidy - refers to the financial assistance provided by the government to rent accommodation in the private rental market, the amount which

shall not exceed the rates as regulated under Republic Act No. 9653, otherwise known as the "Rent Control Act."

Sec. 4. Rental Housing Subsidy Program. - A Rental Housing Subsidy Program,

hereinafter referred to as the "Program," shall be established as a housing and social 5 protection program with the end view of enabling ISBs and displaced families to lead 6 decent lives, and supporting them in accessing the formal housing market. The program 7 shall also be made an option to address the temporary relocation of displaced families 8 due to natural and man-made disasters. Eligible beneficiaries shall receive a rental subsidy, the amount of which shall be determined by the DHSUD taking into consideration, among others, the prevailing rental rates in the concerned locality and the economic standing and potential of the family. The subsidy shall be a percentage of the total amount of rentals as determined by the rental or lease contract between the eligible beneficiary and the lessor, provided that for those eligible beneficiaries below the poverty threshold as determined by the Philippine Statistics Authority, the subsidy shall be at least 50% of the total amount of rentals. Notwithstanding any provisions to the contrary, at any time but not more than once every two (2) years, subsidies given under the program shall be reviewed or revised to conform to prevailing economic conditions. Rental subsidy shall be granted to eligible beneficiaries for a maximum of five (5) 20 years or upon their availment or acquisition of permanent housing, whichever comes first.

Sec. 5. Eligibility. To be an eligible beneficiary under this Act, an individual or

household must: (a) For informal settler beneficiaries: 1) Live under any of the conditions under Sec. 3, paragraph b, of this Act;

2) Have a source of livelihood or have at least one (1) member of the household gainfully employed; and 3) Vacate the informal settlement area in which they are presently living and transfer or relocate to a safer area. (b) For victims of natural or man-made disasters: 1) Low-income households whose homes were partially or totally damaged by disasters; and 2) Have a source of livelihood or have at least one (1) member of the household gainfully employed.

Sec. 6. Conditions for Continued Entitlement or Eligibility. - All eligible beneficiaries

shall comply with the following conditions for continued availment of the benefits under this Act: (a) The beneficiaries shall not move or relocate back to the area in which they were originally living in unless such move or relocation has been permitted by the proper government authorities taking into consideration the purpose of the program; and (b) The beneficiaries shall pay that portion of the rentals not subsidized under the program to the lessor. Beneficiaries who maintain good payment standings shall be prioritized as beneficiaries in government housing programs.

Sec. 7. Form of Payment. - The rental subsidy shall be distributed by the DSHUD

in such form as may be identified by the DHSUD to be most beneficial and appropriate 24 for the beneficiaries.

Sec. 8. Roles of Government Agencies. - The program shall involve the national

2 government agencies and instrumentalities with the following roles: (a) The DHSUD shall: 1) Coordinate with housing agencies to formulate program targets and integrate these to the national housing policy; 2) Promulgate appropriate housing policies among the attached corporations of the DHSUD in line with the implementation of this program; 3) Enlist beneficiaries and their lessors for the program; 4) Set up monitoring and evaluation system, tools, exit strategy, and methodologies on compliance with conditions, implementation, output, and impact assessments together with its attached agencies, the Department of Social Welfare and Development (DSWD), the Presidential Commission on the Urban Poor (PCUP), and the local government units; and 5) Recommend to Congress measures for the proper and responsive implementation of this Act. (b) The National Housing Authority (NHA) shall: 1) Coordinate with infrastructure program implementing agencies, including but not limited to the Department of Public Works and Highways (DPWH) and the Department of Transportation (DOTr) for the identification of areas housing persons who are in need of immediate resettlement;

2) Update the alphalist and socio-economic profiles of beneficiaries to be resettled as part of the National Resettlement Program; and 3) Design and conduct appropriate monitoring and evaluation of the implementation of this program, which shall include a grievance and redress system. (c) The Home Development Mutual Fund (HDMF) shall enroll the beneficiaries to the HDMF system so as to facilitate their entry into the formal housing market. (d) The DSWD shall: 1) Design the social preparation activities and form and conduct workshops and training programs to ensure that beneficiaries are aware of the benefits under the program, including the parameters and conditions for eligibility. (e) The PCUP shall: 1) Assist the DSWD in the design of social preparation activities, workshops, and training programs for beneficiaries; 2) Conduct social preparation activities with the local government units. (f) The Technical Education and Skills Development Authority (TESDA) shall provide skills training to beneficiaries. (g) The local government units shall: 1) Certify the eligibility of the beneficiaries under the program; 2) Maintain a publicly accessible register of lessors in their respective areas of jurisdiction;

3) Assist the NHA in conducting census and tagging of ISBs in need of immediate resettlement; 4) Assist the DSWD and PCUP in conducting social preparation activities; 5) Contain the vacated areas of ISBs to help achieve the objectives of this program; 6) Assist the DSWD in monitoring and evaluating the implementation of this program; and 7) Conduct field valuation of beneficiaries and their respective lessors with DSWD in the rental housing units.

Sec. 9. Additional Positions and Personnel for the DHSUD. - For purposes of this

Act, the DHSUD shall, in accordance with pertinent civil service rules, create positions and enlist additional personnel to ensure the proper and appropriate implementation of the 13 program under this Act.

Sec. 10. Appropriations. - The amount necessary for the effective implementation

of this Act shall be charged against the current appropriations for the DHSUD. Thereafter, such amounts as necessary for its continued implementation shall be included in the General Appropriations Act.

Sec. 11. Implementing Rules and Regulations. - The DHSUD, in coordination with

relevant government agencies, shall issue rules, regulations, and guidelines necessary to carry out the intent and purposes of this Act within six (6) months from date of effectivity.

Sec. 12. Mandatory Review on the Implementation of this Act. - The DHSUD shall

2 submit to the Congress a report on the implementation of this program at the end of the 3 second (2nd) year from date of effectivity and every two (2) years thereafter.

Sec. 13. Separability Clause. - If any portion or provision of this Act is held

5 unconstitutional or invalid, the remaining provisions not affected thereby shall continue 6 to be in full force and effect.

Sec. 14. Repealing Clause. - All laws, executive orders, proclamations, rules,

8 regulations, and other issuances or parts thereof inconsistent with the provisions of this 9 Act are hereby repealed, amended, or modified accordingly.

Sec. 15. Effectivity. - This Act shall take effect fifteen (15) days following its

11 publication in the Official Gazette or in at least two (2) newspapers of general circulation. Approved,