Abstract

Bali is one of the national cultural heritages, which is endlessly praised in various essays and research results, then becomes a reference and promotion as an exotic island that inspires the rise of world tourism. Tourism encourages investment in hospitality, restaurants, transportation, trade, property, the creative economy sector and others. Investment, changing the function of agriculture into hospitality and transforming the work of farmers into services. Major changes in the mind-set of rural farmers to urban services. This change is not accompanied by a significant expansion of public participation, because tourism is concentrated in capital due to legal limitations that favoring on investors. The government is trying to make corrections, through the following steps, namely: (1) through ASEAN economic cooperation, Indonesia-Australia bilateral cooperation (IA-CEPA) and other countries, (2) deregulation in the fields of investment, land by granting usufructuary rights over land; and (3) encourage community participation through agrarian reform. These steps are important means, as a trigger for the awakening of the awareness of the basis of national economic development which Article 33 paragraph (1) of the 1945 Constitution of the Republic of Indonesia, determines that "The economy is organized as a joint effort based on the principle of kinship". The constitution requires collective ownership of a company, mutual benefit. The national economy is designed as a joint effort based on the "family principle", in the form of cooperatives, which put the emphasize on the element of participation rather than the concentration of capital. Article 2 of the Bacis Agrarian Law (BAL) constitutes the implementing regulation of Article 33 paragraph (3) of the 1945 Constitution, explaining the control of natural resources by the state, namely "Earth and water and the natural resources contained therein are controlled by the state and used for the greatest prosperity of the people Article 33 paragraph (4) The national economy is organized based on a democratic economy based on the principle of togetherness, so conceptually it can be formulated that community participation in provision of Foreigner Housing is a form of empowerment, recognition of community rights in efforts to improve community welfare and as mandates for the implementation of the 1945 Constitution of the Republic of Indonesia, Articles 42 and 45 of the BAL in granting usufructuary rights to foreigners/ Foreign Legal Entity.

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