CHAPTER IX.—Classification and concession of public lands
SEC. 55. Any tract of land of the public domain which, being neither timber nor mineral land, shall be classified as suitable for residential purposes or for commercial, industrial, or other productive purposes other than agricultural purposes, and shall be open to disposition or concession, shall be disposed of under the provisions of this chapter, and not otherwise.
SEC. 56. The lands disposable under this title shall be classified as follows:
(a) Lands reclaimed by the Government by dredging, filling, or other means;
(b) Foreshore;
(c) Marshy lands or lands covered with water bordering upon the shores or banks of navigable lakes or rivers;
(d) Lands not included in any of the foregoing classes.
SEC. 57. Any tract of land comprised under this title may be leased or sold, as the case may be, to any person, corporation, or association authorized to purchase or lease public lands for agricultural purposes. The area of the land so leased or sold shall be such as shall, in the judgment of the Secretary of Agriculture and Natural Resources, be reasonably necessary for the purposes, for which, such sale or lease is requested, and shall in no case exceed ten hectares: Provided, however, That this limitation shall not apply to grants, donations, or transfers made to a province, municipality or branch or subdivision of the Government for the purposes deemed by said entities conducive to the public interest; but the land so granted, donated, or transferred to a province, municipality, or branch or subdivision of the Government shall not be alienated, encumbered, or otherwise disposed of in a manner affecting its title, except when authorized by the Legislature; Provided further, That any person, corporation, association, or partnership disqualified from purchasing public land for agricultural purposes under the provisions of this Act, may purchase or lease land included under this title suitable for industrial or residence purposes, but the title or lease granted shall only be valid while such land is used for the purposes referred to.
SEC. 58. The lands comprised in classes (a), (b), and (c) of section fifty-six shall be disposed of to private parties by lease only and not otherwise, as soon as the Governor-General, upon recommendation by the Secretary of Agriculture and Natural Resources, shall declare that the same are not necessary for the public service and are open to disposition under this chapter. The lands included in class (d) may be disposed of by sale or lease under the provisions of this Act.
SEC. 59. The lands reclaimed by the Government by dredging filling, or otherwise shall be surveyed and may, with the approval of the Secretary of Agriculture and Natural Resources, be divided by the Director of Lands into lots and blocks, with the necessary streets and alleyways between them, and the Secretary of Agriculture and Natural Resources shall give notice to the public, by publication in the Official Gazette or by other means, that the lots or blocks not needed for public purposes shall be leased for Commercial or industrial or other similar purposes.
SEC. 60. If, upon receipt of applications for the lease or purchase of any of the lands covered by this chapter, the Secretary of Agriculture and Natural Resources shall decide that the lots or blocks so applied for are suited to the purposes for which they are requested and are not needed for public purposes, he shall give notice by public advertisement that such applications have been made and that the Government will lease or sell, as the case may be, the lots or blocks specified in the advertisement, for the purpose for which they have been applied for and subject to the conditions specified in this chapter.
SEC. 61. The leases executed under this chapter by the conditions. Secretary of Agriculture and Natural Resources shall, among other conditions, contain the following:
(a) The rental shall not be less than three per centum of the appraised and reappraised value of the lands and improvements, except in the case of foreshore, marshes, and lands covered with water, in which the rental shall not be less than one per centum of the appraised or reappraised value of the improvements.
(b) The land rented, or the improvements thereon, as the case may be, shall be reappraised every ten years if the term of the lease is in excess of that period.
(c) The term of the lease shall be as prescribed by section thirty-seven of this Act.
(d) The lessee shall construct permanent improvements appropriate for the purpose for which the lease is applied for and shall commence the construction thereof within six months from the date of the execution of the contract.
(e) At the expiration of the lease or of any extension of the same, all improvements made by the lessee, his heirs, executors, administrators, successors, or assigns shall become the property of the Government.
(f) The regulations of all rates and fees charged to the and public, and the annual submission to the Government for approval of all tariffs of such rates and fees.
(g) The continuance of the easements of the coast police and other easements reserved by existing law or by any laws hereafter enacted by the Legislature.
(h) Subjection to all easements and other rights acquired by the owners of lands bordering upon the foreshore or marshy land.
The violation of one or any of the conditions specified in the contract shall give rise to the rescission of said contract.
The Secretary of Agriculture and Natural Resources may, however, upon recommendation by the Secretary of Commerce and Communications, and subject to such conditions is he may prescribe, waive the rescission arising from a violation of the conditions of subsection (d), or extend the time within which the construction of the improvements shall be commenced' and completed.
SEC. 62. The sale of the lands comprised in class (d) of section fifty-six shall, among others, comprise the following conditions:
(a) The purchaser shall make improvements of a permanent character appropriate for the purpose for which the land is purchased, and shall commence work thereon within six months from the date of the purchase; otherwise the Secretary of Agriculture and Natural Resources may, upon recommendation by the Secretary of Commerce and Communications, rescind the contract.
(b) The purchase price shall be paid cash down.
The contract of sale may contain other conditions not inconsistent with the provisions of this Act.
SEC. 63. The kind of improvements to be made by the lessee or the purchaser, and the plans thereof, shall be approved by the Secretary of Commerce and Communications, in case they are constructions or improvements which, if made by the Government, would properly have to be executed under the supervision of the Bureau of Public Works.
SEC. 64. The lease or sale shall be adjudicated to the highest bidder; and if there is no bidder besides the applicant, it shall be adjudicated to him. The provisions of section twenty-seven of this Act shall be applied wherever applicable. If all or part of the lots remain unleased or unsold, the Director of Lands shall from time to time announce in the Official Gazette or otherwise the lease or sale of those lots, if necessary.
SEC. 65. The Secretary of Agriculture and Natural Resources may grant permission, upon payment of a reasonable charge, for the use of any portion of the foreshore or marshy lands for any lawful private purpose, subject to revocation by the Secretary of Agriculture and Natural Resources at any time when, in his judgment, the public interest shall require it.
Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).