In a 17-page decision penned by Associate Justice Japar Dimaampao, the CAs special 13th Division found merit in the petition for review filed by BCDA against the Commission for the Settlement of Land Problems (Coslap), which has issued a resolution entitling the respondents Philippine Air Force (PAF) enlisted personnel to the lots they were occupying.
The CA said Coslap, which was created through Executive Order 561 in 1979, has no jurisdiction over the case since it is a privately titled land owned by the BCDA.
In ruling in favor of the BCDA, the CA gave weight to a memorandum of agreement signed by the BCDA with the National Housing Authority (NHA), Department of National Defense (DND) and the Pasay City government on Jan. 23, 1995 whereby the BCDA agreed to the execution of a conditional deed of assignment transferring its properties at the Villamor Airmens Village (VAV) to the NHA for its eventual disposition to the beneficiaries.
The CA also cited that PAFs occupation of the property is subject to the terms of a contract of occupancy, which provides that they must "vacate the quarters immediately upon their retirement, separation, reversion, discharge from service or as otherwise prescribed in the PAF regulations."
"It is erroneous for Coslap to conclude that all existing residents and occupants of the VAV inside the Airbase are entitled to the lots. The right of respondents to own land in the dispute is subject to specific conditions provided for under the policy guidelines, which classify residents into first priority and second priority beneficiaries," the CA noted.
The PAF enlisted personnel, who are merely occupying the PAF on-base apartments/quarters for a fee, belonged to the second group.
On the other hand, the Appellate Court said the first priority beneficiaries are families of active or retired PAF personnel who own housing structures inside the Villamor Airbase prior to March 28, 1992.
"As renters of structures inside the VAV, the respondents are not automatically entitled to own their present quarters.
It remains to be seen whether the lots exceed the preferred first priority beneficiaries," the Appellate Court said.
The residents stand to lose their homes once the BCDA sells the property pursuant to its mandate.
The BCDA is a government-owned and controlled corporation which was created through Republic Act 7227 and tasked to work for the conversion of military reservations like Clark and Subic and their extensions.
To provide the BCDA with resources required to develop these camps, section 8 of RA 7227 transfers to the BCDA some Metro Manila military camps, including the Villamor Air Base, which will be put up for sale.