Land Acquisition, Resettlement, Rehabilitation and Indigenous Peoples’ Policy, 3rd edition (2007) b. Marginal – the impact is only partial and the remaining portion of the property or asset is still viable for continued use. Compensation will be on the affected portion only. 4. Compensation per category of assets affected. The classifications or categories of assets to be compensated include Land, Structures, other Improvements and Crops, Trees and Perennials. Described below are the compensation and entitlements provisions for which the PAFs are eligible, per classification of assets affected. a. Compensation for Structures i. Compensation in cash for the affected portion of the structure, including the cost of restoring the remaining structure, as determined by the concerned Appraisal Committee, with no deduction for salvaged building materials. b. Compensation for Other Improvements i. Compensation in cash at replacement cost for the affected portion of public structures to government or non-government agencies or to the community in case of a donated structure by agencies that constructed the structure. ii. Compensation to cover the cost of reconnecting the facilities such as water, power and telephone. c. Compensation For Crops, Trees and Perennials i. Cash compensation for perennials of commercial value as determined by the DENR or the concerned Appraisal Committee ii. PAFs will be given sufficient time to harvest crops on the subject land iii. Compensation for damaged crops (palay and corn) at market value at the time of taking. The compensation will be based on the cost of production per ha. pro-rata to the affected area. iv. Entitlement for fruit-bearing trees will be based on the assessment of the Provincial or the Municipal Assessors where the project is located. Environmental and Social Services OfficeDepartment of Public Works and Highways February 2007 12

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