‘The agency already approached Congress to subsidize the interest of the mortgage, which means that the people availing the house will only pay the principal fee.’
Department of Human Settlements and Urban Development’s Undersecretary for Administrative and Finance Services Randy Escolango said the public housing program now focuses on setting up projects where the beneficiaries are located.
Photograph courtesy of DHSUD
In a few years, Filipinos would no longer have to worry about where to live, as the government is now working on building subsidized housing.
To address the country’s housing deficit, the Department of Human Settlements and Urban Development’s (DHSUD) Undersecretary for Administrative and Finance Services Randy Escolango said that the government is maintaining a target of 3.2 million housing units before the end of the current administration’s term under the Pambansang Pabahay Para sa Pilipino Program (4PH).
At a recent episode of Straight Talk, Daily Tribune’s online show, Escolango said the location of housing projects is carefully chosen as it needs to be near the basic facilities and services people need.
Unlike other previous housing programs, he said, the agency now chooses a location suitable for the construction of the houses, as per Secretary Jose Rizalino Acuzar’s instructions.
“Kasi po sa mga nakaraan, alam niyo naman, ang mga pabahay natin ay naitatayo sa medyo malayo, walang kuryente, walang tubig. Basta ma-relocate lang (Previously, relocation projects are far from the places where the informal settlers vacated and most of the time these lack either electricity or water),” he said.
“Bago po matayuan ‘yan ng pabahay ang isang lugar, ‘yan po yung mga kondisyon namin: malapit sa daan, sa paaralan, sa trabaho, atsaka sa siguridad (Now, we set criteria for shelter projects which are that these should be near roads, schools, place of work and we ensure the security of the environment).”
Idle lands for shelter
Under Executive Order 34, governments and offices were tasked to submit an inventory of idle lands where the houses could be built. Idle lands are government-owned lands that have no built structures.
This is to lower the mortgage of the houses, as using idle land would not add to the construction cost.
While the housing program is not free, Escolango highlighted that the agency is thinking of more ways to make it “affordable” to the people.
He said that the agency already approached Congress to subsidize the interest of the mortgage, which means that the people availing the house will only pay the principal fee.
Escolango added that they also approached the National Economic and Development Authority to declare the 4PH as Socialized Housing to exempt it from tax and further lower the cost.
As the program is for people who could not afford to buy a house, the undersecretary said that people could pay by graduated amortization or the process of paying the installments in gradually increasing amounts over time.
Meanwhile, as informal settlers are usually chief beneficiaries of housing programs, Escolango said DHSUD would be glad to take lands that are occupied by informal settlers as they are the program’s beneficiaries.
“Sila po kasi ang target talaga ng ating secretary na makinabang sa pabahay na ito. Sila kasi talaga yung walang mga bahay (The informal settlers are the priority in 4PH),” Escolango said.
“So, ang gagawin, kung nandun sila sa isang lupa, baka bibigyan muna sila ng staging area or pansamantalang matitirahan [habang ginagawa ang pabahay doon] (So what will be done is that they will be provided with temporary housing while the 4PH project is being set up near their area).”
The housing units, which are revealed to be condominium type, will be built in various parts of Metro Manila and will most likely cost around P1.5 million, a cut of at least one-fifth from the original P5 million.
Disaster effects mitigated
Recognizing the people’s need for assistance during disasters, the DHSUD also offers assistance to victims of disasters, natural or man-made, under the Integrated Disaster Shelter Assistance Program (IDSAP).
A family with a partially broken house will receive P10,000, while those with a totally destroyed house will receive P30,000, once they have submitted the requirements.
“Kapag nagkaroon ng sunog, nagkaroon ng lindol, nagkaroon ng pagbaha, nagkaroon ng iba pang sakuna. Basta nasira ang bahay mo, partially or totally, makatatanggap ka ho ng tulong sa DHSUD (When fire or severe typhoon hit or other disaster happens and houses are destroyed, partially or totally, you can seek help from DHSUD),” the undersecretary said.
The cash assistance will be given directly to the hands of the people, including relief goods from DHSUD and other agencies like the Department of Social Welfare and Development.
According to Escolango, also Undersecretary for Disaster Response and Chairman of DHSUD Committee on Anti-Red Tape, the agency had used a portion of the P200 million budget in response to the disasters that occurred from the first and second halves of the year — the first for fire victims, and the second for typhoon victims.
However, as the climate cycle in the Philippines worsens and more typhoons are expected to enter the Philippines, he said that their funds might run out before the end of the year.
Should this happen, they would have to temporarily ask for funds from the National Disaster Risk Reduction and Management Council, to continue extending more help to those in need.
While the agency’s proposed P581 million budget has already been approved by the House, they will still have to defend it in the plenary budget hearing, and they look forward to a good result considering that they received an unmodified opinion from the Commission on Audit this year.
The unmodified opinion from the auditing agency is issued only “when the auditor concludes that the financial statements are prepared, in all material respects, in accordance with the applicable financial reporting framework.”
They have also recorded a 100 percent resolution rate for their 888 hotlines, where 98 percent were resolved within 72 hours or three days.
“Mahirap po yun, sa totoo lang. Lalo na po ngayon talagang, alam nyo, bukas yung pag-iisip ng ating mga kababayan na dapat ang ating gobyerno nagsisilbi sa kanila. Pag may complaint sila, ma-actionan agad. Kaya kung magawa po ito, talagang malaking bagay po para sa amin (It is really hard particularly when the citizenry demands action from public servants. If they have a complaint, the public seeks immediate action),” Escolango said.
Escolango added that DHSUD is also streamlining procedures to make regulations and processes quicker.
For financial assistance, applicants can approach their local housing office to register for the program, and they only have three requirements to submit — the disaster report, certificate of eligibility, and master list, but the agency are still thinking of more ways to make the process even simpler.
As the program is still in its early stages, the undersecretary said that they are coordinating with local government units and employing a proactive role by writing to the local government units and city halls, stating that they have this program that could assist them when they are struck by a disaster.
Escolango also takes pride in the DHSUD snatching for the first time an unmodified opinion from the Commission on Audit (CoA), attesting to the fair and transparent presentation of its financial position.
In a letter dated 30 July 2024, CoA transmitted its Annual Audit Report on DHSUD for 2023.
The report included the Independent Auditor’s Report, Audited Financial Statement, Observations and corresponding Recommendations, and the Status of Implementation of Prior Year’s Audit Recommendations.
This comprehensive report provides a detailed overview of DHSUD’s financial activities and the effectiveness of its financial management practices.
“CoA’s opinion attests to the fair and transparent presentation of the Department’s financial position, aligning with President Ferdinand Marcos Jr.’s Bagong Pilipinas brand of governance,” Escolango quoted DHSUD Secretary Jose Rizalino Acuzar as saying.
“It also underscores DHSUD’s commitment to maintaining high standards of financial integrity and transparency,” he said.
In its Independent Audit Report, CoA’s opinion read “the accompanying financial statements present fairly, in all material respects, the financial position of DHSUD as of December 31, 2023, and its financial performance, cash flows, and changes in net assets/equity for the year then ended, and notes to the financial statements, in accordance with International Public Sector Accounting Standards.”
The audit checked the accuracy and reliability of DHSUD’s financial reporting.
Last year’s audit was done to ascertain the DHSUD’s level of assurance that may be placed on the management’s assertion on the financial statements and to determine the propriety of transactions and extent of compliance to applicable laws, rules, and regulations. It also intended to recommend the agency’s improvement opportunities and to determine the extent of implementation of the prior year’s audit.
CoA has expressed its appreciation for the support and cooperation that DHSUD has extended to the audit team, as it facilitated a smooth and effective audit process.
