PICHOA-2 Appoints a Collector


Pag-ibig Citihome Phase 2 Homeowners’ Association (PICHOA-2) engages the services of collector for its drive to collect monthly membership dues as stated in the association’s By-Laws.

The move is in support of the previous Board Resolution condoning the collection of previous years’ monthly dues collectibles from its membership. PICHOA-2 will collect all outstanding monthly dues starting January 2012 from members.

For those housing units taken out only this year, 2012, monthly dues will start on the preceding month the unit is actually taken out.

The Collector

Director David Lozano had accepted the Board’s call for him to be ascribed collector of the association. He will received a meager amount of honorarium worth P1,000.00 per month. The association’s elected directors and appointed officers do not have an honorarium. Works of these officers are on a pro-bono basis.

Though Director Lozano is assigned as the official collector, payment of monthly dues and membership fee can still be made at the treasurer’s residence located at Block 4 Lot 2.

Director Lozano will be roving and conduct house-to-house collection.

The association through its By-Laws is authorized to hire a collector or association’s officers. These officers may not be part of the Board and will be properly compensated.

Currently, PICHOA-2 is financial constrained to hire a regular collector.

Issuance of Official Receipt

Director Lozano is authorized to issue an Official Receipt for all payments received from members. Members are obliged to ask for the association Official Receipt.

Financial Reports

The challenge now for PICHOA-2 is to provide a regular report on the financial condition of the association to the members. The responsibility to provide members with financial information is inherent to the any association drive to collect money from its members.

PICHOA-2 shall submit an updated monthly collection report preferably stating also the amount of monthly dues and membership fee outstanding collectibles from the members.

A report on the Financial Condition (Balance Sheet) and Statement of Operation (Income Statement) shall be submitted to the members, the most, on a quarterly basis.

These financial reports can be posted on designated bulletin board and on-line/web-based avenues for facile access of the members.

Monthly Dues and Membership Fee

PICHOA-2 By-Laws provides for monthly dues collectible from members amounting to P60.00 per month. The monthly dues will be utilized by the association for its operation.

While it also provides for a one-time membership fee of P500.00 imposable to all homeowners under its turf. The membership fee serves as the seed capital of the association and can be used for well-meaning projects or programs of the association i.e. purchase of emergency equipment, emergency operation, and the like.

Deadline of payment of the monthly dues is on the 5th day of the succeeding month.

The Subdivision Developer’s

Unfortunately, the subdivision developer, Johndorf Ventures Corporation (JVC), notwithstanding the existence of the duly organized association collected the membership fee and monthly dues from homeowners during the take-out of housing units.

Today, JVC has only remitted portion of the membership fee collected to the association. It has not remitted a single centavo of the collected monthly dues. It still collects these fees from home-takers.

The developer very well knew that homeowners’ association exist for they have been summoned by the Housing and Land Use Regulatory Board (HLURB) – Region 10 for complaints filed by the three homeowners’ associations of Pag-ibig Citihomes Subdivision.

The developer is still to provide an updated list of housing units buyers. They have only provided the association the list, as of October 31, 2011, in March 2012.

The inability of the developer to provide an updated list as of the end of a particular month keeps both homeowners and officers wondering and forming conjectures for they have an automated or computerized database.

Bakit kaya? Ano kaya ang kanilang tinatago?

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PICHOA-2 Proposed Financial Bible


The proposed Financial Bible for Pag-ibig Citihomes Phase 2 Homeowners’ Association (PICHOA-2) will help meet the following objectives: the exercise of prudence in all PICHOA-2 financial transactions, maintain a healthy financial condition of the association, set up checks and balances in all financial transactions, and protect the general membership from unscrupulous practices of the Board and Officers of the association.

The Funds

The Financial Management Policy or Financial Transaction Manual provides for the setting up of three separate funds – the Petty Cash Fund, General Reserve Fund, and the Special Reserve Fund. These funds will have their own means and procedures of disbursement and have specific uses.

The Petty Cash Fund (PCF) as we all know will fund the day-to-day expenditures of the association. This will, of course, be funded by the General Reserve Fund.

The General Reserve Fund shall finance the regular or routine activities of the association and be used for the following purposes: to finance Administrative Cost, Maintenance Cost, Project/Program Cost, and Miscellaneous Expenses of the association.

While the Special Reserve Fund shall finance the association special projects and programs. The association shall only use the Special Reserve Fund for the following purposes: to fund rescue and emergency programs or activities, to purchase rescue and emergency tools and equipments, and to provide seed capital for income-generating projects.

The Financial Bible of PICHOA-2 also provides for the distribution of the Annual Net Surplus to the General Reserve Fund (60%) and Special Reserve Fund (40%). This distribution will allow the association to become sustainable.

The Financial Reports, Budget and Audit

The policy also emphasizes the use of Budget and the relevance of audit. The association is compelled to present and pass an annual budget during the annual general assembly. This budget will then be used as the basis for the next year’s financial transactions of the association.

The scope of audit activities are also provided in the proposal. The audit activities will determine the following areas: Cash Position of the association, Adherences to and/or deviations from the association’s rules and procedures, Physical audit of properties, accountable forms/documents of the association, and Effectiveness of the association’s financial control systems.

Nonetheless, the frequencies of the preparation of financial reports and the type of financial reports to be presented are also stipulated.

The Bank Account

The proposal expressly recommends that a Checking or Current Account will be used instead of a Savings Account. It would be easier for the members and officers to monitor disbursement or withdrawal of the bank deposits with a check since checks are returned by the bank. The used check can then be used as attachment to expenses or authorized withdrawal or payment.

The Membership Fee

Membership Fee shall be automatically allocated to the Special Reserve Fund. The association officers shall exercise extra care that the collected Membership Fee, since it is reflected in the income statement of the association, will not be used for the other expenditures, except those authorized for Special Reserve Fund.

The Financial Bible Relevance

The financial bible will serve as the starting ground for audit activities. Currently, audit activities are merely concentrated on the issue of whether the money received by the association is accounted for and its disbursement is authorized by the approving authority. Or whether the amount disbursed is equal to the supposed expenditures. It will now include audit of procedures and whether there are enough safety nets that protect the financial resources of the association.

The financial bible also protects the members and the financial resources of the association. Officers of the association are prohibited to use the previous years’ funds to finance the present operation. Present operation shall be funded only by revenues generated for the year.

Without the Financial Bible, officers of the association can pass Resolutions authorizing disbursement of funds and that would make their transactions legal.

The Approval and Amendment

The Financial Bible of the PICHOA-2 can only be amended by the BOARD and 10% of the members in good standing but must be approved by the majority of the members in good standing in a general assembly.

Collection Of Monthly Dues To Start In January 2012


Pag-ibig Citihomes Phase 2 Homeowners Association (PICHOA-2) Board of Directors has approved on their 1st Regular Meeting held on January 15, 2012 the regular collection of Membership/Association Dues, commonly known as Monthly Dues, starting January 2012.

Mindful of the financial situation of the members, the Board has also approved to condone the previous years uncollected monthly dues to give relief to the members of PICHOA-2. The condonation is only applicable to PICHOA-2’s monthly dues collectibles as of December 31, 2011.

The Board decisions are incorporated in Board Resolution No. 003, Series of 2012.

Members of PICHOA-2 are enjoined to pay promptly their monthly dues on/before the 5th day of the succeeding month.

Members are also encouraged to always ask for the Official Receipt (OR) from the treasurer.

The monthly dues can be paid only to our treasurer, Ms. Gladys B. Adajar, at Phase 2, Block 4, Lot 11.

A letter on this regard will be distributed in the subdivision. Members who are not yet residing in the subdivision are also enjoined to pay their contribution to PICHOA-2.

Buyers/homeowners of Phase 2 housing units are discouraged to pay their Membership Fee and Monthly Dues at the office of the developer, Johndorf Ventures Corporation (JVC). JVC is totally a separate entity from PICHOA-2. The developer is also prohibited to collect any fee in behalf of the homeowners’ association as prescribed in Section 27 of The Subdivision and Condominium Buyers Protective Decreee or PD # 957.

Membership Fee and Monthly Dues should be paid only to PICHOA-2, not to the developer.

Still Personal


You might be wondering if this site, blog, on-line journal or whatever we call this is an official web address of the Pag-ibig Citihomes Phase 2 Homeowners’ Association (PICHOA-2). Honestly, it is not. This is a personal blog of a person who happens to be a member of the current Board of Directors of PICHOA-2.

Being personal, however, does not mean we can’t discuss things, concerns, etc that affects directly or indirectly our subdivision and the people that dwell within it. Being personal does not prohibit us to publish documents that are official and public records i.e. Financial Reports, Board Resolutions, Policies, Rules and Regulations, Minutes of the Meeting that are adopted by the PICHOA-2.

PICHOA-2, particularly the people delegated to manage its businesses, which are the elected directors of the Association’s Board, should be bounded by the principle of prudence, transparency and accountability. It is one of their duties to rightfully and speedily inform the General Assembly (members of PICHOA-2) of any or of all developments, in whatever possible, convenient and cost-effective means.

The successes of PICHOA-2 do not solely rest on the resolves of the elected officials. Of course, they are expected to lead the organization in whatever undertakings the General Membership would desire. Members of PICHOA-2 are also expected to make good of their commitments for the organization and take part in all the programs presently being or would be implemented by the group.

During the days of the organization of PICHOA-2, we have dreamt of a coming up with a Newsletter for Phase 2 homeowners. This was some sort of a literary and news organ. The main purpose, actually, was to have a means for keeping the member-homeowners well-informed. Well-informed members are the greatest assets PICHOA-2 can ever have.

The idea remains but was not concretized due to financial constraints. We don’t have the money to sustain the circulation of the conceptualized PICHOA-2 paper. We can possible print the master copy but distribution expense is costly. Moreover, the P60.00 monthly dues are too meager to keep the PICHOA-2 floating. Allocating the publication and distribution expenses from this is not a good idea at all. Nonetheless, membership and association fees were collected by Johndorf Ventures Corporation (JVC) and were not yet remitted to PICHOA-2.

I personally thought having an on-line journal, where members of my community can share ideas, opinions, etc about the happenings in the community, would be wiser. I also thought that the Board can make use of the site to keep PICHOA-2 members abreast with the latest happenings without spending a single centavo. Hence, the birth of this site.

I would like to emphasize that there are NO promulgations or resolutions passed by PICHOA-2 Board or General Assembly adopting this site as the official on-line venue for PICHOA-2. Irregardless if this will be adopted or not, this will remain to exist for the very purpose of informing the public and make the Board accountable and transparent in all its dealings.

HLURB Agrees with HOAs


In a letter to Pag-ibig Citihomes Homeowners’ Associations (PICHOAs) dated February 2, 2012, Housing and Land Use Regulatory Board (HLURB) – Region 10 agrees with PICHOAs’ stand on the membership fee and association dues collected by the developer, Johndorf Ventures Corporation.

PICHOAs asked HLURB to issue a ruling for the developer to turn-over the fund to the respective homeowners’ associations of the subdivision, emphasizing that the developer is a totally separate entity from the association and, therefore, has no right to spend the money in their behalf.

HLURB pointed out in its response-letter that under PD 957, developers are obliged to “initiate” the organization of a Homeowners’ Association, but are not allowed to levy and collect association dues.

It also cited Section 27 of PD 957, otherwise known as The Subdivision and Condominium Buyers’ Protective Decree, which states that, “No owner or developer shall levy upon any lot or buyer a fee for an alleged community benefit. Fees to finance services for common comfort, security and sanitation may be collected only by a properly organized homeowners’ association and only with the consent of a majority of the lot or unit buyers actually residing in the subdivision or condominium project.”

The letter also suggest for PICHOAs to make a formal, written demand to the developer, for the turn-over of the fees collected by the latter.

PICHOAs and the developer had previous dialogues but the former were only presented with collected sum of money minus the expenses incurred by the latter in the subdivision.

The associations strong stand is for the 100% turn-over of funds.

A conference or meeting among PICHOAs and representative from the developer will be held on February 10, 2012 at 9:00 o’clock in the morning at HLURB’s Regional Office, 3rd Floor, Du Point Building, Velez corner Akut Streets, Cagayan de Oro City.

PICHOA-2 issues Residence Certificate


The Pag-ibig Citihomes Phase 2 Homeowners’ Association (PICHOA-2) is ready to issue certification to resident-members. PICHOA-2 certification is only a confirmation that the name mentioned in the certificate resides in Phase 2 and is of good standing.

The certification is a requirement for micro-enterprises doing business in its jurisdiction especially during the renewal of their business permit with the Local Government Unit of Opol (Misamis Oriental). It is also a pre-requisite for those who are securing Barangay Clearance. Malanang Barangay Office will not issue Barangay Clearance without the certificate from the Association.

The requirements for securing the PICHOA-2 Certification are the following:

For Homeowners:

  1. Permit to Occupy (PTO)
  2. Valid ID Card

For Tenants and Non-Homeowners. These are those who are residing in the subdivision i.e. homeowner’s siblings, parents, relatives, etc.

  1. Certification from the Homeowner certifying that the applicant is his rightful tenant, sibling, parents, etc.
  2. Photocopy of Permit to Occupy of the Homeowner
  3. Photocopy of Valid ID Card of Homeowner
  4. Applicant’s Valid ID Card

Homeowners should have an updated payment of his/her monthly association dues before a certification can be issued. Monthly association dues is only P60.00.

The certificate only cost P20.00. Please ask for the Official Receipt. Certificate without Official Receipt number is considered invalid.

You can apply for the certification from the Association’s Treasurer, Ms. Gladys Adajar, located at Phase 2, Block 4, Lot 2.

Phase 1, 2 & 3 HOAs ask HLURB’s Ruling


The Board of Directors of Pag-ibig Citihomes Phase 2 Homeowners’ Association (PCHOA-2) in their 2nd Regular Board Meeting unanimously agreed to demand the full turnover to the Association the fees collected by the developer, Johndorf Ventures Corporation (JVC). JVC collected the Membership Fee of P500.00 and 6-month advance on Membership/Association Dues, commonly known as monthly dues, worth P360.00 from homeowners during the issuance of Permit to Occupy (PTO).

PCHOA-2 in its two years of existence is still to receive the funds from the developer. Dialogues have been conducted in the past between the parties but failed to give good results.

In the joint meeting of officers of homeowners’ associations of Pag-ibig Citihomes Subdivision held in January 22, 2011, officers expressed a strong support to call for the 100% collection of money from JVC. The three (3) associations agreed to ask Housing and Land Use Regulatory Board (HLURB) to make a ruling on the issue.

A letter to HLURB signed by Phase 1, 2 & 3 Homeowners’ Associations’ Presidents was lodged with the former on January 27, 2012.

The State recognizes that developers of subdivision may help homeowners organize homeowners’ association.

“The developer may collect the Membership Fee and other dues in behalf of the Association pending its organization. But said money should be given back to the Association once it’s organized”, is the collective stand of the homeowners.

“The developer has no right to spend the collected fees or money of the Association, unless the Association authorizes them. The membership fee and monthly dues collected by the developer are Associations’ money, not of developer’s,” they further agreed.

There is no standing Memorandum of Understanding/Agreement between the JVC and the three (3) Homeowners’ Associations as to its use.