By authority of the United States, be it enacted by the Philippine Commission, that:
Section 1. Forest Law. Section eighteen hundred and thirty-eight of Act Numbered Twenty-seven hundred and eleven, known as the Administrative Code, is hereby amended to read as follows: Forest Law;
“Sec. 1838. Leasing of Forest Land for Special Purposes. The Director of Forestry, with the approval of the Secretary of Agriculture and Natural Resources, may upon such terms as he may deem reasonable, lease or grant permits for the use of forest land or vacant public lands not declared agricultural land, for the establishment of sawmills or lumber yards, and for the construction of hotels, sanatoria, bathing establishments, residences, or for camps, fishponds, nipa and bacauan plantations, pastures for large or small cattle, or other lawful purposes, as herein provided, to any person or association of persons duly incorporated, for a period not to exceed twenty years and not more than ten hectares in area, except so far as fishponds, nipa and bacauan plantations, pastures, and sawmill sites or lumber yards to concerned, for which the maximum area shall be two hundred hectares for fishponds, nipa and bacauan plantations or pastures, and twenty-four hectares for every sawmill site or lumber yard as may be required in the development of a licensed area.”
Section 2. This Act shall take effect on its approval.