A lawmaker has introduced a measure aimed at promoting transparency, accountability, and good governance in the management of condominiums across the Philippines.

House Bill 5869, also known as the Condominium Transparency and Socialized Housing Act, mandates that all condominium corporations and management bodies submit annual audited financial statements certified by an independent external auditor.

Representative Nathaniel Oducado of the 1Tahanan Party-list, who filed the bill, said these reports must be made accessible to all unit owners at least once a year and whenever reasonably requested.

"Any proposed increase in association dues must also be backed by a presentation of the audited statements during a general assembly," Oducado said.

Under the proposed measure, unit owners would be granted the right to inspect and obtain copies of financial and management records, ensuring full transparency in the use of association dues. Officers who fail to comply would face accountability, including administrative fines and possible suspension from office.

The Department of Human Settlements and Urban Development (DHSUD), in coordination with the Securities and Exchange Commission (SEC), would serve as the oversight agency, empowered to investigate mismanagement, issue compliance orders, and impose sanctions on non-compliant condominium corporations.

Oducado also explained that the measure seeks to address the country's housing shortage by allowing the conversion of abandoned or underutilized condominium properties into socialized housing projects. This conversion would be undertaken by the DHSUD in cooperation with the National Housing Authority (NHA) and concerned local governments, with priority beneficiaries including low-income families, informal settlers, and displaced individuals.

Violations of the Act, such as failure to submit audited reports, may result in fines ranging from P100,000 to P500,000 per year of non-compliance.

According to Oducado, the measure upholds the welfare and rights of condominium residents while advancing the government's goal of providing affordable and decent housing for all.