HLURB Conducts Consultation Workshops on Proposed Framework of Governance for Homeowners Association

19 July 2004

The Board will be conducting a series of three regional cluster consultation workshops leading to the adoption of a proposed Framework of Governance for Homeowners Associations . This was disclosed by Director Charito M. Bunagan - Lansang , Board Secretary and Project Manager of the Special Project for the Adoption of a Framework of Governance for HOA ( Special Project No. 3 ) of the HLURB, who oriented the participants as to the rationale and objectives, as well as the salient points of the said framework . during the first consultation workshop held last July 13, 2004 at the Quezon Ballroom of the Sulo Hotel in Quezon City.

The public consultations are in line with HLURB's implementation of its newest regulatory mandates consisting of the incorporation, registration, regulation and supervision of Homeowners Associations, pursuant to Section 26 of Republic Act No. 8763, in relation to Executive Order No. 535 Series of 1981 and Presidential Decree No. 902 -A.

It may be recalled that the authority to incorporate , regulate and supervise Homeowners Associations was originally a function of the Securities and Exchange Commission or SEC pursuant to Presidential Decree No. 902 -A in relation to the Corporation Code ( Batas Pambansa Blg. 68, as amended) . This was later transferred to the Home Financing Commission (later renamed as the Home Insurance and Guaranty Corporation or HIGC) pursuant to Executive Order No. 535 Series of 1981. With the reorganization of the HIGC into the Home Guaranty Corporation pursuant to its latest charter, Republic Act No. 8763 which toolk effet last March 23, 2000, the mandates of HGC over homeowners associations, which now included the Community Associations of the Community Mortgage Program (CMP) of the NHMFC, Group Land Acquisition and Development (GLAD) Program of the HDMF and the Land Tenure Assistane Program (LTAP) of the NHA were transferred to the HLURB.

In his opening remarks made during the said initial consultation workshop, Commissioner Francisco L. Dagnalan Commissioner for Legal and Homeowners Affairs of the Board, said that the formulation of the proposed Framework is in the nature of a technical assistance and capacity building project intended for the use and benefit of the homeowners associations, and was conceived with the following objectives in mind:

1. To clarify and delineate the role , policies, powers and responsibiliies of government , represented by the HLURB, as well as of homeowners associations under existing laws and regulations; with the end in view of enhancing government and association relations;
2. To promote and operationalize the principles and advocacies of the government's campaign on good governance which are applicable to and are suggested to be adopted by homeowners associations in their internal affairs, such as security from all forms of deprivation, efficiency, transparency and accountability and equity of participation in decision making, civic engagement and citizenship; and
3. To assist, enable and empower the officers and directors of homeowners associations in the management and operation of their organizations, and avoidance and settlement of association concerns and disputes, in line with the good governance principles of empowerment, subsidiarity and decentralization.