Government scraps Balik-Probinsya grants

The government has stopped the implementation of the "P50,000 Balik-Probinsya" incentive and grant for families affected by the construction of the North Rail project after most of the beneficiaries went back to squatting at different locations instead of going back to their home provinces.

Vice President Noli de Castro, chairman of the Housing and Urban Development Coordinating Council (HUDCC), said the government had spent P300 million for the "Balik-Probinsya" grants given to squatters whose houses were demolished to give way tothe construction of the North Rail, but government housing agencies found out that the funds were not used for their resettlement in provinces.

De Castro said the P300 million allocated for the resettlement program, which came from taxes collected by the government, is non-recoverable "and these are not loans, but outright grants."

"This is not a solution at all since most of the families just went back to squatting at a different location instead of going back to the province," De Castro said.

He explained that the P50,000 housing material grant is released to beneficiaries in four tranches, with each succeeding tranche being released only upon presentation of receipts for the previous amount they received.

The release of grants in four tranches was to ensure that the funds would be used for housing construction, to prevent the piling up of materials at the relocation sites and to comply with Commission on Audit (COA) requirements.

De Castro said the National Housing Authority (NHA) will soon coordinate with the Local Inter Agency Committee (LIAC) to speed up the release of a master list of qualified beneficiaries.

The HUDCC is working closely with the Presidential Commission on the Urban Poor (PCUP) to ensure compliance with all the requirements for demolitions and relocation.

In the case of Marilao, Bulacan settlers, De Castro said concerned LIAC has decided on the Barangay Lambakin relocation site instead of the one in Barangay Loma de Gato, which is being pushed by one group.

He cited various problems identified by the NHA on the latter, which was believed to be detrimental to the relocatees themselves.

He said the LIAC’s decision should be respected.

"We have to follow the procedure, otherwise we’ll be disorganized," he said.

De Castro has received complaints from relocatees along the North Rail line in Malolos and other parts of Bulacan regarding the price of lots at the relocation site, financial assistance for those who opted not to transfer to the sites, the release of a master list of qualified beneficiaries, issuance of a Certificate of Compliance prior to demolitions, the processing of loans for construction materials, and the selection of a relocation site for the affected families from Marilao.

They complained that the lots being awarded to them were too expensive. At P2,500 per square meter, the beneficiaries will have to pay a total of P100,000 for their 40-square-meter lots.

The Vice President said, however, the lot price includes the cost of developments at the site, which include concrete roads, drainage systems, electricity and water services.

"You’ll be paying the total amount in 30 years at an interest rate of only three percent. You’ll need only P10 per day to pay your amortizations. That’s a small obligation in exchange for your shelter security, and progress of the province of Bulacan once the modern railway system becomes operational," he said.