A bill that seeks to address the increasing demand for urban poor housing, regulate urban growth and prevent deterioration of the environment was recently passed by the Senate, thus paving the way for the creation of the Department of Housing and Urban Development.
Approved on third and final reading last month, Senate Bill 3199 is one of the priority bills of the Legislative-Executive Development Advisory Council.
“With the continued support of Senate President Juan Ponce Enrile and Speaker Sonny Belmonte, we look forward to the bicameral conference committee to harmonize the two versions of the bill,” said Vice President Jejomar Binay.
Under Senate Bill 3199, the DHUD consolidates the functions of Housing and Urban Development Coordinating Council as well as the planning and regulatory functions of the Housing and Land Use Regulatory Board, two outfits that Binay chairs.
3.6 million units
Binay said the creation of DHUD will help government address the huge housing need estimated at 3.6 million units. If this is not addressed immediately, the steady growth of the population, would inflate this figure to 5.7 million units by 2016.
Speaking before the newly inducted officers of the Subdivision and Housing Developers Association at the Coconut Palace in Pasay City, Binay said he is optimistic that the House of Representatives’ version—House Bill 384—of the bill would be passed by August.
According to Binay, in Metro Manila alone there are about 580,000 families living in informal settlements. “Around 105,000 of these families are living in disaster-prone areas such as riverbanks, under the bridges and railroad tracks,” he noted.
Binay said a lean and highly efficient DHUD will not only ensure a speedier and more effective resolution of homelessness and squatting but also result in the wider participation and investment from the private sector.
“We should all realize that for every P1 invested by the private outfits in the housing sector, the multiplier effect is 17 times in terms of other investments. This is because the industry is interrelated to 60 other industries making it one of the country’s most labor- and capital-intensive industry,” said SHDA president Paul Tanchi.
He added that with the presence of a DHUD, private sectors like SHDA will have a one-stop shop considering that the proposed department will closely work with environmental planners, builders and community beneficiaries.
Ferdinand Marcos Jr., who chairs the Senate committee on urban planning, housing and resettlement, said the senators understood this significance, a reason Senate Bill 3199 was unanimously approved 16-0.
Address problems
Marcos said, in a statement, that the creation of DHUD will enable government to address problems through the formulation and implementation of the necessary reforms, sector policies and program interventions that will mobilize public and private resources and ensure their synchronization.
Moreover, Binay said the creation of the DHUD will not entail any additional cost to the government since the budgetary approval for the new department will be sourced from the current budget allocations of HUDCC and HLURB.
“Budget increases or decreases in succeeding years will be left to the Department of Budget and Management, just like all other departments in the government,” Binay added.
Referring to President Aquino’s “daang matuwid” policy, Binay said the accountability and responsibility of the secretary and undersecretaries are clearly defined in the DHUD bill.