Título VI. Disposiciones derogatorias, transitorias y finales

Within the State budget of income and expenditures, the corresponding budget line items for addressing housing programs and projects shall be included. The budgetary resources allocated for the operation and investment of FOPAVI and UDEVIPO shall be included within the budget of the governing entity.

All public-sector executing units that are currently carrying out housing and human settlements programs and projects shall coordinate their actions with the governing body.

For the implementation of this Law, Government Agreement Number 286-98 shall continue to operate, until the effective entry into force of the applicable regulations, which shall be issued within a period of no more than 180 days.

FOPAVI shall commence its operations within a time limit of six months counted from the entry into force of this Law.

For reasons of social interest, and taking into account what is established in the preceding paragraph, the Guatemalan Fund for Housing -FOGUAVI- shall continue its operations until the effective functioning of FOPAVI.

Immovables whose title is registered in favor of the State or its autonomous, decentralized entities or the municipalities, which are being occupied by families in a situation of economic poverty, may be adjudicated or readjudicated, provided that they are intended exclusively for housing.

The occupations referred to in the preceding paragraph are those carried out before thirty-one December two thousand seven, and must be proven by the applicants. The governing entity, through the Unit for the Development of Low-Income Housing -UDEVIPO-, shall be the competent body to decide and grant the adjudication, readjudication, sales or usufructs of estates or fractions of estates owned by the State of Guatemala, in accordance with the provisions of this Law. In these cases, the following sale prices shall apply:

INCOME SQUARE METER VALUE

Up to Q. 500.00 Q.5.00 Q.500.01 to Q. 1000.00 Q.10.00 Q.1000.01 to Q. 1500.00 Q.15.00 Q.1500.01 to Q.2000.00 Q.20.00 Q.2000.01 to Q.3000.00 Q.30.00

For cases of higher income, the sale price shall be in accordance with the appraisal of the immovable conducted by the Directorate of Cadastre and Appraisal of Immovable Property of the Ministry of Public Finance.

When dealing with immovables or fractions owned by the municipalities, the corresponding municipal council shall be competent to process and decide the adjudication, sale or readjudication, empowering the municipal mayor to appear to execute the deed transferring ownership. Likewise, when the immovables or fractions are owned by autonomous and decentralized entities, the corresponding superior authority shall be the competent authority to hear and decide requests for adjudication, sale or readjudication. In the case of autonomous or decentralized entities, the corresponding superior authority shall be the competent authority to hear and decide requests for adjudication and readjudication.

In order to avoid costs that increase the price of the sales and usufructs granted pursuant to this Law, compliance with the following requirements is excluded or exempted:

a)From the public-auction procedure, public offering or other procedures in which offerors may submit offers referred to in articles 89 and 90 of Decree Number 57-92 of the Congress of the Republic, State Contracting Law and its regulations;

b)From the issuance and publication of the bases for the adjudication of sale or usufructs of the immovables in the Diario de Centroamérica;

c)From the issuance and publication of the bases for adjudication, readjudication, sale or usufruct of immovables and the governmental agreements established in articles 89 and 90 of Decree Number 57-92 of the Congress of the Republic, State Contracting Law and its regulations;

d)From obtaining a municipal license or authorization to partition fractions of immovables.

In the event of non-compliance with the established requirements and provided that the deed transferring ownership has not been executed, UDEVIPO shall proceed to the administrative recovery of the adjudicated immovable property, revoking for such purpose the corresponding adjudication decision on its own initiative, and must personally notify the original awardee; if he cannot be located, it shall notify through a publication in the Diario de Centro América.

The time limit for the adjudication and readjudication proceedings described in this article shall expire on 31 December 2013, date on which the net assets derived from the loan portfolios administered by the Unit for the Development of Low-Income Housing -UDEVIPO- shall become part of FOPAVI.

From the entry into force of the Housing Fund -FOPAVI-, any reference relating to the Guatemalan Housing Fund -FOGUAVI- made in general legislation, in contracts executed in the country, regulations, documents, proceedings, decisions, manuals, forms or any other type of operation, act or event, as well as in the rights and obligations acquired by said entity, shall be understood as referring to the Housing Fund -FOPAVI-.

This Law governs the cases regulated by special laws and norms on housing matters, which are deemed repealed when they are inconsistent with this Law.

All laws and regulations in force on housing matters are of suppletory application in relation to this Law, in all that has not been modified by this Law.

Numeral 12 of Article 7 of the Value Added Tax Law, Decree Number 27-92 of the Congress of the Republic, is amended, to read as follows: “12) The sale of housing with a maximum of eighty (80) square meters of construction whose value does not exceed two hundred fifty thousand quetzales (Q.250,000.00) and that of developed lots that include basic services, with a maximum area of one hundred twenty (120) square meters, whose value does not exceed one hundred twenty thousand quetzales (Q. 120,000.00). In addition, the purchaser shall prove that he and his family unit lack their own housing or other real property. All of the foregoing shall be recorded in the respective public deed.

With the exception of the housing indicated in the preceding paragraph, the second and subsequent transfers of ownership of housing under any title shall be taxed in accordance with the Law on the Fiscal Stamp Tax and Special Bonded Paper for Protocols.”

Decree Number 120-96 of the Congress of the Republic, Housing and Human Settlements Law, is repealed.

This Decree shall enter into force eight days after its publication in the Official Gazette.