2021 Revised Implementing Rules and Regulations of

Republic Act No. 9904

Building Adequate, Livable, Affordable and Inclusive Filipino Communities

 Association

“Association” refers to a homeowners association which is a non-stock,

nonprofit association registered with the Department of Human Settlements and
Urban Development (DHSUD), or one previously registered with the Housing
and Land Use Regulatory Board (HLURB), the Home Insurance Guarantee
Corporation (now Home Guaranty Corporation) or the Securities and Exchange
Commission (SEC), organized by and/or is primarily composed of:
• Owners or purchasers of a lot in a subdivision/village or other residential real property

• An awardees, usufructuaries, or legal occupants of a unit, house and/or lot in a

government or nongovernment socialized or economic housing or relocation project and
other urban estates;

• Underprivileged and homeless citizens in the process of being accredited as beneficiary

or awardee of ownership rights under the CMP, LTAP, and other similar programs;

• Potential public housing beneficiaries living in contiguous areas, identified and

accredited or recognized by, or organized with the assistance of the LGU, PCUP, NUPSC
for the purpose of availing of the housing/resettlement housing programs implemented
by the LGU/NGA.
Sec. 30 of Presidential Decree No. 957:

Organization of Homeowners Association. The owner or developer of a

subdivision project or condominium project shall initiate the organization of a
homeowners association among the buyers and residents of the projects for the
purpose of promoting and protecting their mutual interest and assist in their
community development.
 Mandatory Registration

All associations, except:

 Associations that registered with HLURB

 Associations previously registered with the SEC or HIGC that have

re-registered with HLURB.
 Registration requirements

 Articles of Incorporation
 Bylaws
 General Information Sheet
 List of members
 Certification
 Undertaking
 Code of Ethics
 Authorization
 Proof of payment
 Additional requirements
Regular subdivision -

Approved subdivision plan

CMP, LTAP and other similar programs

Letter of intent to sell/buy, DOAS, MOA

Title
Locational plan or schematic plan
Certification from existing HOA, if any
For off-site or LGU Resettlement Project, proposed subdivision plan

NHA Housing programs

Certification
Schematic plan

NA
LGU Certification
 Organization/Registration of associations
initiated by subdivision owner/developer

In addition to the basic requirements, the applicant-association shall submit:

 Certification that the subdivision lot buyers have neither constructed their
homes, nor have on-going constructions nor occupied their lots. Otherwise, the
applicant shall certify that 50% of the saleable houses and lots have not yet been
sold.

 Certification under oath that the buyers and/or existing residents have been duly
informed and they consent to the organization and registration of the
homeowners association by the subdivision owner/developer.

 Names of the buyers and/or existing residents of the project.

 Turnover of the management of the
association by the subdivision developer

 When occupancy of the lots or housing units have reached twenty five
percent (25%), or

 After two (2) years from the date of registration, whichever comes first.

UNLESS, homeowners demand for earlier turnover.

 Term of existence of the association

For newly registered associations –

Unless otherwise provided in the Articles of Incorporation, associations shall have

perpetual existence.

Previously registered associations –

The term of existence of the association indicated in its Articles of Incorporation shall
continue or be respected.
 Amendment of Articles of Incorporation
and/or Bylaws by Initiative

• The petition to amend signed by at least thirty percent (30%) of the members
in good standing submitted to the Elecom. If no Elecom, submit to the Regional Office
for the creation of an Elecom.

• Notarized Certificate of the Election Committee attesting that the amendments were
approved by majority vote of all members of the association, and stating therein
the date of the special general assembly meeting called for the purpose, and the fact of
quorum and approval of the proposed amendments; and

• Minutes of the special general assembly meeting, and the attendance sheet signed by
the members present and their corresponding votes.
 Grounds for the Revocation of
Certificate of Incorporation

a. Fraud or misrepresentation in procuring its certificate of registration;

b. Serious misrepresentation on the purposes and on what the association can

validly do or is doing;

c. Non-submission of annual reports for five (5) consecutive years;

d. For CMP projects, failure file to submit an application to the SHFC within five
(5) years from the date of registration;

e. For off-site CMP projects, failure to file its loan application within six (6)
months from registration, or failure to file an application for DP within six (6)
moths from grant of loan, or failure to file an application for CR and LS
within six (6) months from issuance of DP.
 Voting rights

Unless otherwise provided in the bylaws, each member shall be entitled to one
(1) vote regardless of the number of properties owned. A member may exercise
his/her/its voting rights in person or by proxy.
 Lessees

Except members of associations organized to avail of the benefits of the

CMP, NHA projects and similar tenurial arrangements, a lessee of a member under

a contract with a term of at least one (1) year may qualify to be a member and shall

have the rights of a member upon procurement of a written consent/authorization from

the owner of the lot and/or housing unit, and upon complying with the requirements of

membership under the bylaws, and the law.

Provided, that when the lot and/or housing unit is leased to two (2) or more lessees,

the written consent or authorization required herein shall be issued to only one (1) of

them.
 Delinquent member or
member not in good standing

Additional grounds:

• Commission of conduct inimical to the interest of the association and/or the

community as provided in the bylaws;

• Failure to attend membership meetings in person or by proxy without any

justifiable reason for at least three (3) consecutive general membership meetings
despite receipt of notice;

• In case of CMP, LTAP or other similar programs, failure to pay at least three (3)
monthly amortizations, or as provided in the Lease Purchase Agreement or other
contracts governing their transaction.
 Delinquent member

A member who has been declared delinquent or not in good standing is not
entitled to exercise the rights of a member, but is nevertheless obliged to pay all
fees and dues assessed a member in good standing.
 Declaration and reinstatement of
delinquent member

Declaration - majority of all members of the Board

Reinstatement - majority of those present at a meeting at

which there is a quorum

If the Board fails to reinstate after the lapse of 10 days from the receipt of
payment through no fault of the delinquent member, his/her membership is
deemed reinstated.
 Delisting or expulsion and
substitution of members in LTAP
Enforceability –

Expulsion - submit within 10 days from adoption:

 Board resolution expelling the member;

 Proof of receipt by the expelled member, or proof of service to the last known
address; and

 Proof of receipt of a copy by the LGU housing or settlements unit, or the

agency administering or managing the housing project.

Substitution shall only be enforceable upon the approval of the agency administering
and/or managing the housing project.
 Qualifications of Trustees or
Directors and/or Officers

a. Must be a Filipino citizen;

b. Must be of legal age;

c. Must be a member in good standing as of three (3) months prior to the date of
the election;

d. Must be an actual resident of the subdivision/village or community;

e. Has not been convicted by final judgment of an offense involving moral

turpitude;
 Qualifications of Trustees or
Directors and/or Officers

f. For CMP, NHA and other similar tenurial arrangements, must be the identified
and recognized awardee of the housing project, must have updated monthly lot
amortizations, and compliant with the Project occupancy rules and regulations.

The legitimate spouse of a qualified member, when qualified in his/her own right
and not disqualified by his/her own account, may be a candidate in lieu of the member.
 Disqualifications of Trustees or
Directors and Officers

a. Those found guilty of having committed fraud, falsification, defalcation, or any other
act inimical to the interests of the association;

b. Former officers and/or directors or trustees of the association who have not turned
over the books, funds, records and properties of the association established to be in
their custody during their term;

c. Former or incumbent Board who unjustifiably refused to call an election;

d. Those who unreasonably failed and/or refused to comply with the orders of HLURB,
DHSUD and/or HSAC;
 Disqualifications of Trustees or
Directors and Officers

e. Members who are trustees or directors and/or officers of another registered

homeowners association;

f. Those who have been declared or found by HSAC in an adversarial case to have
instigated, incited or initiated the conduct of an unauthorized election, and
those who have actively participated therein, either as members of the Elecom
or as candidates;

g. Those imposed with penalty of disqualification in any case filed before the
HLURB and/or HSAC.
 Term of Office

• Remaining term is more than 50% of the term provided in the bylaws, they shall
serve only the unexpired portion of the current term.

• Remaining term is less than 50% of the term, they shall serve the unexpired
portion of the current term plus the full incoming term.

• Where the subdivision owners/developers initiated the organization and

registration of the association, the interim trustees or directors and/or officers
shall hold office until the first regular election among homeowners shall have
been held. Such election shall be called and conducted not later than two (2)
years from the incorporation of the association.
 Calling of an Election

Only the incumbent Board of Trustees or Directors and/or through the president or
vice president based on the records on file with the Regional Office are authorized to call
the election in accordance with the association’s bylaws.
 Unauthorized Conduct of Election

Conducted or called by any member or group of members regardless of standing

other than by the incumbent Board of Trustees or Directors on record with the
DHSUD.

• The results of unauthorized elections shall not be recognized by DHSUD and

shall be deemed null and void.

• All actions taken by the members who acted as trustees or directors and/or
officers arising from the illegal election shall be void ab initio and shall be a
ground for disqualification for succeeding elections without prejudice to any
further administrative and criminal liability of the said members.
 Failure to call an election

If the Board and/or through the president or vice president fails to call an election
within thirty (30) days from the date fixed in the bylaws,

a. Any member in good standing may petition the incumbent Board to conduct
an election, copy furnished the Regional Office.

b. Failure to take action thereon within one (1) month from the receipt of the
petition, the member in good standing shall report the same to the Regional
Office.

c. The Regional Office shall direct the incumbent Board to call an election and
constitute an Election Committee.
 Failure to call an election

d. Failure of the incumbent Board to call an election and/or constitute an Election

Committee as directed, the Regional Office shall create an Election Committee
which shall conduct the election under the supervision of the Regional Office.

e. The election authorized and recognized by the Regional Office shall be deemed
the official conduct of election of the association.
 Quorum in Elections

At all elections, there must be present or votes cast by a majority of the

association members in good standing, either in person or by proxy.
 Hold-over

Where there is a justified failure to elect a new set of trustees or directors

and/or officers and the causes for such failure persist after a second
election is called, the incumbent directors or trustees and/or officers shall be
allowed to continue in a hold-over capacity until their successors are elected
and qualified for the next term.
 Conduct of Election by the
DHSUD

 Dissolution of the Board of Trustees or Directors

 Directive or order of the HSAC, the Court of Appeals or the Supreme

Court, or

 Whenever circumstances so warrant.

 Election Contests

 File before the Election Committee within five (5) days after the proclamation of
the winning candidates, except in issues of qualification or disqualification of
candidates and/or voters, in which case it may be filed within three (3) days from
the discovery thereof;

 The Election Committee shall decide on the controversy within the non-extendible
period of five (5) days from the receipt of the protest.

 If dissatisfied with the decision of the Election Committee, he/she may file an
election protest or complaint before the proper Regional Adjudication Branch of
the HSAC pursuant to its Rules of Procedure.
 Prohibited acts

• To implement association policies, rules and regulations, and deed of restrictions which
have not been ratified by the members of the association;

• To require the driver of any vehicle entering the subdivision/village or community to

surrender his/her driver’s license;

• To collect fees, toll, or any amount from any person for passage through the
subdivision roads except when it is the association that maintains the roads and/or pays
for the real property taxes thereon;

• To prevent access or entry to, or collect gate fees, toll or any amount for such purpose

from, any utility service or delivery provider in order to enter the subdivision/village

or community to deliver goods or services ordered by the members or residents;

 Prohibited acts

• To prevent access or restrict the entry of utility service providers to the subdivision,

village or community in order to install their equipment, system or facilities pursuant to

a contract with or approved application by a resident;

• To prevent access to or restrict the entry of utility service providers to the subdivision,

village or community in order to disconnect services due to violations of the contract

by the resident-customer/consumer;

• To impose any fees, including parking fees, usage fees and other similarly purposed

charges, in the use of roads, streets, and other open spaces within the subdivision

except to impose reasonable regulations to insure free and unhampered access thereto;
 Prohibited Acts

• To require a buyer prior to purchasing a property within the subdivision/ village, or a

subsequent homeowner to pay the dues and other charges left unpaid by the
former homeowner/member unless there is a written agreement for the purpose
between the former homeowner and buyer/new homeowner exists;

• To knowingly enact resolutions in contravention of existing laws, rules, regulations

and ordinances; and

• To commit other acts prohibited by existing laws, rules and regulations promulgated
by duly constituted authorities, and the association’s bylaws.
 Appeal from an order or issuance of the
Regional Director

 File appeal memorandum before the Regional Office within fifteen (15) days
from the receipt of the assailed order

 Proof of payment of the appeal fee

 Within five (5) days from receipt of the appeal memorandum, elevate to the
DHSUD Legal Service records relevant to the issues involved.
THANK YOU.

Building Adequate, Livable, Affordable and Inclusive

Filipino Communities
 Revised JMC No. 01, S. 2021
11 Jun 2021
ARTA, DICT, DILG, DPWH, DOH, DHSUD, FDA, CAA, NTC, BFP

“Revising and Expanding Joint Memorandum Circular No. 01, S. 2020 or the

‘Streamlined Guidelines for the Issuance of Permits, Licenses, and

Certificates for the Construction of Shared Passive Telecommunications
Tower Infrastructure (PTTIs)’”
With duly registered HOA, consent must be secured by the applicant.

 10 days – refer to members

 30 days – notify applicant of action taken

 If disapproved, state reasons and remedial measures that may be taken by
the requesting party.

Without registered HOA,

 Certification issued by the property owner that there is no existing HOA in the
proposed project site;

 Undertaking to conduct social preparation or endeavor to educate affected

homeowners.
 JMC No. 01, S. 2021
25 Oct 2021
ARTA, DICT, DILG, DPWH, DOH, DHSUD, FDA, CAA, NTC, BFP

“Streamlined Guidelines for the Issuance of Permits and Clearances for the
Erection of Poles, Construction of Underground Fiber Ducts and Installation of
Aerial and Underground Cables and Facilities to Accelerate the Rollout of
Telecommunications

and Internet Infrastructure”

Private roads

 HOA Consent

Public roads

 LGU Clearance

 HOA Consent