You are on page 1of 19

ZPG & ASSOCIATES(Zambales.Pablo.

Gonzales)

1

LAW ON PUBLIC CORPORATIONS
A. General Principles 1. CORPORATION—an artificial being created by operation of law, having the right of succession and the powers, attributes and properties expressly authorized by law or incident to its existence. a. PUBLIC CORPORATION—one formed and organized for the government of a portion of the State. 2. Classes of Corporation: a. Public or Municipal—a body politic and corporate constituted by incorporation of inhabitants of city or town for purposes of local government thereof or as agency of State to assist in civil government of the country; one formed and organized for the government of a portion of the State. b. Private—one formed for some private purpose, benefit, aim or end. c. Quasi-Public—a private corporation that renders public service or supplies public wants. d. Quasi-corporation—public corporations created as agencies of State for narrow and limited purpose. 3. Elements of Municipal Corporation a. Legal creation or incorporation b. Corporate name c. Inhabitants d. Territory 4. Dual Nature of Municipal Corporation ●Every local government unit created or organized is a body politic and corporate endowed with powers to be exercised by it in conformity with law. As such, it shall exercise powers as political subdivision of the National Government and as a corporate entity representing the inhabitants of its territory. a. Public/Governmental—it acts as an agent of the State for the government of the territory and the inhabitants within the municipal limits; it exercises by delegation a part of the sovereignty of the State. b. Private/Proprietary—it acts in a similar category as a business corporation, performing functions not strictly governmental or political; it stands for the community in the administration of local affairs. It acts as a separate entity for its own purposes and not as a subdivision of the State. 5. Criterion to determine whether corporation is public: The relationship of the corporation to the State, i.e., if created by the State as its own agency to help the State in carrying out its governmental functions, then it is public, otherwise, it is private. 6. De Facto Municipal Corporation

--a corporation that may exist in fact although not point of law because of certain defects in some essential features of its incorporation. 7. Elements of De Facto Municipal Corporation: a. A valid law authorizing incorporation b. An attempt in good faith to organize under it c. A colorable compliance with the law d. An assumption of corporate powers 8. Three forms of decentralization: a. Devolution- is the transfer of power and authority from the national government to LGUs as the territorial and political subdivisions of the State. The nature of power transfer is political and the approach is territorial or areal. Deconcentration- is the transfer of power, authority or responsibility, or the discretion to plan, decide and manage from central point or local levels, but within the central or national government itself. The nature of the transfer is administrative and the approach is sectoral. Debureaucratization- is the transfer of some public functions and responsibilities, which the government may perform, to private entities or non-governmental organizations; it is people’s empowerment or participation in local governance.

b.

c.

●Decentralization of Administration- the central government delegates administrative powers to political subdivisions in order to broaden the base of government power. ●Decentralization of Power (Political Decentralization)- involves abdication of political power in favor of LGU’s declared autonomous. (Limbonas vs. Mangelin, 170 SCRA 786) NOTE: ●Local Autonomy- is self-governing. It is the granting of more powers, authority, responsibilities and resources to the lower or local levels of a government system. The principle of local autonomy under the 1987 Constitution simply means decentralization. It does not make the local government sovereign within the state or an “imperium in imperio.

Among the regulatory powers of the National Government Agencies transferred or devolved to the LGUs include the following: 1. 2. 3. 4. 5. The reclassification of agricultural lands- DAR to cities and municipalities Enforcement of environmental laws- DENR to all LGUs Inspection of food products and quarantine- DOH to cities and municipalities The enforcement of the National Building CodeDPWH to cities and municipalities The processing and approval of subdivision plansHLURB to cities and municipalities

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
6. 7. The operation of tricycles- LTFRB to cities and municipalities The establishment of cockpits and holding of cockfights- Philippine Gamefowl Commission to cities and municipalities

2

Among the basic services and facilities devolved to LGUs include: 1. Agricultural extension and on-site research of the Department of Agriculture; 2. Community-based forestry project of the DENR; 3. Field health and hospital services and other tertiary health services of the DOH; 4. Public works and infrastructure projects funded out of local funds of the DPWH; 5. The school building program of the DECS; 6. Social welfare services of the DSWD; 7. Tourism facilities and tourism promotion and development of the DOT; 8. Telecommunications services for provinces and cities of the DOTC; 9. Housing projects for provinces and cities; and 10. Other services such as investment support. 9. How local autonomy enhances governmental and corporate powers of LGUs: a. Every local government unit shall have: i. Full autonomy in their exercise of proprietary rights and management of economic enterprises. ii. Full authority to secure domestic or foreign grants without the approval of the NGAs concerned, unless these are projects with national security implications, and iii. Financial undertakings for LGUs for mutual advantage thru loans and assistance to calamitystricken LGUs. B. R.A. 7160—Policy and Application; Constitutional Provisions 1. 2. Effectivity—January 1, 1992 Scope of Application (Sec. 4, RA 7160) Applicable to: a. all provinces b. cities c. municipalities d. barangays e. and other political bodies as may be created by law, and f. to the extent provided in the LGC (i.e. devolution of powers): -officials -offices, or -agencies of the National Government Rules of Interpretation (Sec. 5, RA 7160) a. Any provision on a local government unit shall be liberally interpreted its favor, and in case of doubt, any question thereon shall be resolved in favor of devolution of powers and of the lower local government unit. Any fair and reasonable doubt as to the existence of the power shall be interpreted in favor of the local government unit concerned;

b. In case of doubt, any tax ordinance or revenue measure shall be construed strictly against the local gov’t unit enacting it, and liberally in favor of the taxpayer. Any tax exemption, incentive or relief granted by any local gov’t unit pursuant to the provisions of this Code shall be construed strictly against the person claiming it; c. The general welfare provisions in this Code shall be liberally interpreted to give more powers to local gov’t units in accelerating economic development and upgrading the quality of life for the people in the community. Rights and obligations existing on the date of effectivity of this Code and arising out of contracts or any other source of prestation involving a local gov’t unit shall be governed by the original terms and conditions of said contracts or the law in force at the time such rights were vested. In the resolution of controversies arising under this Code where no legal provision or jurisprudence applies, resort may be had to the customs and traditions in the place where the controversies take place.

d.

e.

4.

Declaration of State Policy over LGU’s (Sec. 2, RA 7160) a. The territorial and political subdivisions of the State shall enjoy genuine and meaningful local autonomy to enable them to attain their fullest development as self-reliant communications and make them more effective partners in the attainment of national goals. To ensure the accountability of local gov’t units through the institution of effective mechanisms of recall, initiative and referendum. To require all national agencies and offices to conduct periodic consultations with appropriate local gov’t units, nongovernmental and people’s organizations and other concerned sectors of the community before any project or program is implemented in their respective jurisdictions.

b.

c.

3.

II. INTER-GOVERNMENTAL RELATIONS 1. National Government and Local Government Units a. The President shall exercise general supervision over LGUs. i. The President shall exercise supervisory authority directly over provinces, highly urbanized cities and independent component cities.

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
ii. The President shall exercise supervision over component cities and municipalities, through province, and over barangays through city and municipality. (Sec. 25) The President’s power of general supervision over LGUs includes the authority to investigate and impose disciplinary measures (suspension or removal) upon elective local officials. Power of General Supervision Executive President assisted by the DILG Secretary

3

Basis A. as to nature of power B. as to who exercises the power

Power of Control Legislative Congress -creation, conversion of LGUs and alteration of its boundaries; -allocate powers, responsibilities and resources among LGUs; -provide for qualifications, election, appointment, removal, term, salaries and functions and duties of local officials; -provide other matters relating to the organization and operation of LGUs; -amendment of charters of LGUs.

b. General responsibilities of the National Government towards LGUs: i. formulate policies and set standards and guidelines ii. provide funding support iii. augment basic services assigned to LGUs iv. provide technical and other forms of assistance and coordinate on the discharge of NGA functions v. ensure the participation of LGUs in planning and implementing national projects vi. conduct mandatory consultations with LGUs NOTE: ●No project shall be implemented by government authorities without consultation with the local government units and prior approval of the Sanggunian concerned. (Sec.27) ●The requirement of prior consultation applies only to national projects and/or programs which are to be implemented in a particular local community. Although sanctioned by the national government, the operation of lotto is neither a program nor project of the national government but of charitable institution, the Philippine Charity Sweepstakes Office. The projects and programs mentioned in Sec. 27 should be interpreted to mean projects and programs whose environmental and ecological effects are among those mentioned in Sec. 26 and 27 of the LGC (Lina vs. Pano, G.R. No. 129093, August 30, 2001). c. Extent of the LCE’s authority over NGAs and their functionaries: i. The LCE can call upon any employee stationed or assigned in his locality to advise him on matters affecting the LGU as well as coordinate with said officials, plans, programs and projects. The LCE can enlist the attendance of the national official stationed in the LGU on a meeting of elective and appointed officials of the LGU treating matters in the promotion of the general welfare of the residents. The LCE can also initiate proper administrative or judicial action against national government official or employee who may have committed an offense while stationed or assigned in the LGU.

C. as to what the power includes

-oversee whether LGUs are performing their duties in accordance with law; -investigate and impose disciplinary measures upon erring elective local government officials

ii.

iii.

Power of Control and Power of General Supervision distinguished: 2. Inter-Local Government Relations a. The province, through the governor, shall ensure that every component city and municipality acts within its powers. b. The city or municipality, through the mayor, shall ensure that barangays act within the scope of their powers.

c. The governor shall review all executive orders promulgated by the mayor. The mayor shall review orders promulgated by the punong barangay.

The Sangguniang Panlalawigan of a province reviews all ordinances enacted by the Sangguniang Panlungsod of component cities and Sangguniang Bayan of municipalities under their jurisdiction. In turn, the Sangguniang Panlungsod

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
and Sangguniang Bayan review all ordinances passed by the Sannguniang Barangay under the jurisdiction. Likewise, the Sangguniang Panlalawigan of a province exercises the quasi-judicial function (administrative disciplinary authority) of hearing and deciding administrative cases involving elective municipal and component city officials under their jurisdiction. In turn, the Sangguniang Panlungsod and Sangguniang Bayan exercise disciplinary authority over elective barangay officials within their jurisdiction. 3. Relations with People’s Organizations and NonGovernment Organizations a. Private Sector Participation in Local Governance Purpose: to ensure the viability of local autonomy as an alternative strategy for sustainable development. LGUs shall encourage private-sector participation in the delivery of basic services. Role of POs, NGOs in the LGUs: ●LGUs shall promote the establishment and operation of people’s and non-governmental organizations as active partners.

4

A local government unit may be created, divided, merged, abolished, or its boundaries substantially altered by law enacted by Congress in the case of a province, city, municipality, or other political subdivisions, or by Sanggunian Panlalawigan or Sanggunian Panlungsod ordinance in the case of a barangay. (Sec.6) NOTE: ●nature of the power to create: LEGISLATIVE 1. While the power to create barangays has been delegated to Sanggunian Panlalawigan and Sangguniang Panlungsod, Congress, in order to enhance the delivery of basic services in indigenous cultural communities, may create barangays in such communities notwithstanding the requirements set forth by law. (Sec.385a, LGC) 2. The creation or conversion of a local government unit to another level shall be based on the following verifiable indicators of viability and projected capacity to provide services: a. Sufficient income and b. Population and/or c. Land area NOTE: Compliance with the above-cited indicators shall be attested by the Department of Finance, the National Statistics Office and the Land Management Bureau of the DENR, respectively. 3. Necessity of Fixing Corporate Limits: As a matter of general rule, municipal corporations cannot, without legal authorization, exercise its powers beyond its own corporate limits. It is necessary that it must have its boundaries fixed, definite and certain, in order that may be identified and that all may know the exact scope or section of territory or geographical division embraced within the corporate limits and over which the municipal corporation has jurisdiction. A description of the boundaries of a municipal corporation is said to be an essential part of its charter and necessary to corporate existence. An incorporation is void where the boundaries of the municipal corporation are not described with certainty. 4. Manner of Creation 1. Creation of Barangays: a. Role: serves as the primary planning and implementing unit of government policies, plans programs, projects and activities in the community, and as a forum wherein the collective views of the people may be expressed, crystallized and considered, and where disputes may be amicably settled. b. Who creates: a barangay may be created, divided, merged, abolished or its boundary substantially altered by law or by an ordinance of the Sangguniang Panlalawigan or Sangguniang Panlungsod. Where a barangay is created by an ordinance of the Sangguniang Panlalawigan, the recommendation of the Sangguniang Bayan concerned shall be necessary. c. Substantive Requisites: 1. Population- at least 2000 inhabitants ●Except in cities and municipalities within Metro Manila or in highly urbanized cities—must be at least 5000 inhabitants 2. Income- no minimum income requirement

b.

●LGUs may enter into joint venture and cooperative undertakings with people’s and non-governmental organizations particularly in the following: 1. delivery of certain basic services 2. capability building and livelihood projects; and 3. developing local enterprises designed to improve productivity and income, diversifies agriculture, spur rural industrialization, and enhance the economic and social well-being of the people. c. Special Local Bodies where the private sector may participate in local governance: 1. Local Development Council -a duly constituted body which shall assist the corresponding Sanggunian in setting the direction of economic and social development, and coordinating development efforts in its territorial jurisdiction. 2. Prequalification, Bids and Awards Committee (PBAC) ●responsible for the conduct of prequalification of contractors, bidding, evaluation of bids, and the recommendation of awards concerning local infrastructure projects. ●governor or the city or municipality mayor: Chairman 3. 4. Local Peace and Order Council, pursuant to E.O. No.309, as amended, Series of 1988.

Local School Board The DECS shall consult the Board on the appointment of division superintendents, district supervisors, school principals, and other school officials. 5. 6. Local Health Board People’s Law Enforcement Board (PLEB)

III. CREATION, CONVERSION, DIVISION, MERGER AND CONSOLIDATION, AND ABOLITION OF LGUs A. Creation of LGUs:

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
3. Land Area- no minimum requirement, but it must be contiguous but it need not be contiguous if the barangay is comprised with two or more islands. 1. 2. Population- at least 200,000 inhabitants Income- at least P50 million

5

NOTE: ●The creation of the new barangay shall not however reduce the population of the original barangay to less than the minimum requirement prescribed in the Code. (Sec.386, LGC) 2. Creation of Municipalities a. Role: serves primarily as a general purpose government for the coordination and delivery of basic, regular and direct services and effective governance of the inhabitants within its territorial jurisdiction. b. Who creates: may be created, divided, merged, abolished or its boundary substantially altered only by an act of Congress subject to the criteria established by the Code. c. Substantive Requisites: 1. Population- at least 25,000 inhabitants 2. Income- average annual income of at least P2.5 million for the last two consecutive years based on the 1991 constant prices. 3. Land Area- a contiguous territory of 50 square kilometers. 3. Creation of Component Cities a. Role- serves primarily as a general purpose government for the coordination and delivery of basic, regular and direct services and effective governance of the inhabitants within its territorial jurisdiction. b. Who creates- may be created, divided, merged or abolished, or its boundary substantially altered only by an act of Congress subject to the criteria provided in the Code. c. Substantive Requisites: 1. Population- at least 150,000 inhabitants 2. Income- at least P100 million for the last two consecutive years 3. Land Area- contiguous territory of at least 100 square kilometers NOTE: ●The Internal Revenue Allotments shall be included in the computation of the average annual income of the municipality for purposes of determining whether the municipality may be validly converted into a city. Income is defined in the LGC to be all revenues and receipts collected or received forming the gross accretions of funds of the local government unit. The IRAs are regular and recurring income and not merely special funds or transfers and/or budgetary aids from the national government or non-recurring income. The IRAs regularly and automatically accrue to the local treasury without need of any further action on the part of the local government unit (Alvarez vs. Guingona, 252 SCRA 695). 4. Conversion of a Component City into a Highly Urbanized City a. If a component city shall have met the minimum requirements for a highly urbanized city, it shall be the duty of the President to declare the city as highly urbanized city upon: (1) proper application and (2) upon ratification in a plebiscite by the majority of registered voters therein. b. Substantive Requisites:

5. Creation of Provinces a. Role- as a political and corporate unit of government, it serves as a dynamic mechanism for development processes and effective governance of local government units within its territorial jurisdiction. b. Who creates- may be created, divided, merged, or abolished, or its boundary substantially altered, only by an act of Congress, subject to the satisfaction of the criteria set forth by the LGC. c. Substantive Requirements: 1. Population- not less than 250,000 inhabitants 2. Income- average annual income of at least P20 million 3. Land Area- a contiguous territory of at least 2000 square kilometers NOTE: ●BP 885, which created the Province of Negros del Norte was declared unconstitutional because it did not comply with the land area criterion prescribed under the LGC. The use of the word territory in Sec. 17 of the LGC refers only to the physical mass of land area, not to the waters comprising a political entity. It excludes the waters over which the political unit exercises control (Tan vs. Comelec, 142 SCRA 727). 6. Status of Sub-provinces Existing sub-provinces are converted into regular provinces upon the approval by a majority votes cast in a plebiscite to be held in the said sub-province and the original province directly affected. (Sec.462, LGC) 7. Autonomous Regions The Philippine Constitution mandates the creation of autonomous regions in Muslim Mindanao and in the Cordilleras consisting of provinces, cities, municipalities, and geographical areas sharing common and distinctive historical and cultural heritage, and economic and social cultures. (Sec.15, Art.10, PC) NOTE: ●RA 6734, the organic act establishing the Autonomous Regional Government of Muslim Mindanao was held valid by the Supreme Court. (Datu Firdausi Abbas vs. COMELEC, 179 SCRA 287). However, the sole Province of Ifugao which, in the plebiscite, alone voted in favor of RA 6766, cannot validly constitute the Autonomous Region of the Cordilleras. (Ordillo vs. COMELEC, 192 SCRA 100) 8. Special Metropolitan Political Subdivisions The Congress may, by law, create special metropolitan political subdivisions, but the component cities and municipalities shall retain their basic autonomy and shall be entitled to their own local executives and legislative assemblies. The jurisdiction of the metropolitan authority that will be thereby created shall be limited to basic services requiring coordination. (Sec. 11, Art. X, PC) NOTE: ●With the passage of RA 7924, Metropolitan Manila was declared as a “special development and administrative region” and the administration of “metrowide basic services affecting the region was placed under a “development authority” referred to as the Metropolitan Manila Development Authority (MMDA), whose functions were without prejudice to the autonomy of the affected local government units. The law

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
does not grant police nor legislative powers to MMDA. Even the Metro Manila Council, the governing board of the MMDA, has not been delegated any legislative power. Clearly, MMDA is not a political unit. There is no grant of authority to enact ordinances and regulations for the general welfare of the inhabitants of the metropolis. MMDA cannot open for public use a private road in a private subdivision (MMDA vs. Bel-Air Village Association, Inc., G.R. No. 135962, March 27, 2000). 9. Attack against invalidity of incorporation No collateral attack shall lie; an inquiry into the legal existence of a municipal corporation is reserved to the State in a proceeding for quo warranto or other direct proceeding. But this rule applies only when the municipal corporation is, at least, a de facto municipal corporation. 10. PLEBISCITE REQUIREMENT: Who shall participate Sec. 10 of the LGC provides that the creation, division and merger, abolition or substantial alteration of the boundaries of local government units must be approved by a majority of votes cast in a plebiscite in the political unit or units directly affected. Such plebiscite shall be conducted by the COMELEC within 120 days from the date of the effectivity of the law. The completion of the publication of the law should be the reckoning point in determining the 120-day period within which to conduct the plebiscite, not from the date of its approval when the law had not yet been published. Since publication is indispensable for the effectivity of a law, a plebiscite can be scheduled only after the law creating a city took effect. (Cawaling vs. COMELEC, Oct. 26, 2002) The plebiscite for the creation of a new province or municipality shall include the participation of the residents of the mother province or mother municipality in order to conform to the constitutional requirement. (Padilla vs. COMELEC, 214 SCRA 735) ●In the conversion of a municipality into a component city, however, only the registered voters of the municipality sought to be converted into a component city, shall participate in the plebiscite. Summary of Substantive Requirements in the Creation of LGUs LGU Created Income Population 2,000 but 5,000 for Metro Manila and highly urbanized cities 25,000, and 150,000 or 200,000 250,000 or Land area

6

The division and merger of local government units shall comply with the same requirements for their creation. The income, population or land area shall not be reduced to less than the minimum requirements. Likewise, the income classification of the original local government unit shall not fall below its current income classification prior to such division. (Sec.8, LGC) 13. Abolition of LGUs A local government unit may be abolished when its income, population or land area has been irreversibly reduced to less than the minimum standards prescribed for its creation under the LGC, as certified by the national agencies to Congress or to the Sanggunian concerned. Likewise, the law or, ordinance abolishing an LGU shall specify the province, city, municipality, or barangay with which the local government unit sought to be abolished will be incorporated or merged. (Sec.9, LGC) 14. Effects of Annexation/Consolidation of Municipal Corporations 1. On the legal existence of the territory annexed- Unless otherwise provided for by law, the annexation of one municipal corporation to another will dissolve the annexed territory. It shall become part of the annexing corporation and will fall under the jurisdiction of the latter. 2. On the laws and ordinances of the annexed corporation- In the absence of any provision of law to the contrary, when a territory is annexed to a municipal corporation, it shall become subject to all the laws and ordinances by which the annexing corporation is governed. 3. On the right of officers or employees of the annexed or consolidated territory to continue to hold their offices- Subject to what the legislature may provide upon annexation, the officers and employees of the annexed or consolidated territory shall terminate their official relation with their offices. 4. On the title to the property of the annexed territory- When a municipal corporation is annexed to another, the annexing territory shall acquire title to the property of the annexed territory at the time of annexation without compensation unless the annexing statute provides otherwise. Where the annexed territory, however, forms part of a municipality from which it is taken, the legislature may provide for the payment of compensation for the indebtedness incurred on account of the property taken. With regard to public buildings and improvements located in the annexed territory, the annexing territory is not required to pay for said buildings or improvements as they have already been paid for by the annexed territory. It would be otherwise if there exists an indebtedness on said buildings in which case, the annexing state may be required to share in the payment of said indebtedness. 5. On the debts and obligations of the annexed territory- It has been stated that debts and obligations of a municipal corporation contracted before its annexation to another territory shall be assumed by the annexing territory in the absence of any provision to the

Barangay

No minimum requirement P2.5 million P100 million P50 million P20 million

No minimum requirement 50 sq.km 100 sq.km. No minimum requirement 2,000 sq.km.

Municipality Component City Highly Urbanized City Province

11. Beginning of Corporate Existence When a new local government unit is created, its corporate existence shall commence upon the election and qualification of its chief executive and a majority members of the Sanggunian, unless some other date is fixed therefore by law or ordinance creating it. (Sec.14, LGC) 12. Division and Merger of LGUs

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
contrary. The same rule applies of consolidation where the consolidating municipal corporation is held responsible for the indebtedness and obligations incurred by the territories which are consolidated. 15. Effects of Division of LGUs On the legal existence of the original corporation: The division of municipal corporation extinguishes the corporate existence of the original municipality. On the property, powers and rights of the original corporation: Unless the law provides otherwise, when a municipal corporation is divided into two or more municipalities, each municipality acquires title to all the property, powers, rights and obligations falling within its territorial jurisdiction. IV. GENERAL POWERS AND ATTRIBUTES OF LGUs A. Powers in general 1. Sources: a. Sec. 25, Art II: Secs. 5,6 and 7, Art. X, Philippine Constitution b. Statutes, e.g., R.A. 7160 c. Charter (particularly of cities) d. Doctrine of the right of self-government, but applies only in States which adhere to the doctrine. 2. Classifications: a. Express, implied and inherent b. Public or governmental, private or proprietary c. Intramural or extramural d. Mandatory and directory, ministerial and discretionary 3. Execution of powers: a. Where the statute prescribes the manner of exercise, the procedure must be followed. b. Where the statute is silent, local government units have discretion to select reasonable means and methods of exercise. B. GOVERNMENTAL POWERS: 1. General Welfare Clause- the statutory grant of police power to local government units. ●Limitations: a. Express grant by law b. Exercisable only within the territorial limits of the LGU, except for protection of water supply c. Equal protection clause d. Due process clause e. Must not be contrary to the Constitution and the laws. NOTE: A local government unit may exercise delegated governmental powers: ●Police power (under the General Welfare Clause) ● Power of Taxation ● Power of Eminent Domain a. Requisites for the validity of a municipal ordinance: 1. Must not contravene the Constitution and any statute; 2. Must not be unfair or oppressive; 3. Must not be partial or discriminatory; 4. Must not prohibit, but may regulate trade which is not illegal per se; 5. Must not be unreasonable; and 6.

7

Must be general in application and consistent with public policy.

●An ordinance extending burial assistance of P500 to a bereaved family whose gross income does not exceed P2,000 a month, has been upheld by the Supreme Court as a valid exercise of police power. This power is organic and flexible. The care for the poor is generally recognized as a public duty. The support for the poor has long been an accepted exercise of police power in the promotion of common good. The police power of a municipal corporation is broad and commensurate with the duty to provide for the real needs of the people in their health, safety, comfort, and convenience as consistently as may be with private rights. It extends to all the great public needs and in a broad sense includes all legislation and almost every function of the municipal government. (Binay vs. Domingo, 201 SCRA 508) 2. Basic Services and Facilities: §17, LGC—(a) Local government units shall endeavor to be self-reliant and shall continue exercising the powers and discharging the duties and functions currently vested upon them. They shall also discharge the functions and responsibilities of national agencies and offices devolved to them pursuant to this Code. Local government units shall likewise exercise such other powers and discharge such other functions and responsibilities as are necessary, appropriate, or incidental to efficient and effective provision of the basic services and facilities enumerated under the Code. ●Devolution refers to the act by which the national government confers powers and authority upon the various local government units to perform specific functions and responsibilities. This includes the transfer to the local government units of the records, equipment and other assets and personnel of national agencies and offices. 3. Power to generate and apply resources (§18, LGC) The exercise by local governments of the power to tax is ordained by the present Constitution (§5, Art. X, Phil. Constitution). Only guidelines and limitations that may be established by Congress can define and limit such power of local governments. But local governments have no power to tax instrumentalities of the National Government. PAGCOR being an instrumentality of the National Government is therefore exempt from local taxes. (Basco vs. PAGCOR, 197 SCRA 52) ●Main Sources of Revenues of LGUs A. Under the Constitution 1. taxes, fees and charges (§5, Art. X) 2. share in the national taxes- Internal Revenue Allotment 3. share in the proceeds of the utilization and development of the national wealth within their areas (§7, Art. X) B. Under the Local Government Code 1. floating of bonds 2. grants/aids ●All LGUs are empowered to create their own sources of revenue and to levy taxes, fees and charges subject to the provisions on local taxation consistent with the basic policy of local autonomy. The Sanggunian concerned through an ordinance has the power to impose a tax, fee or charge. The procedural requirements of public hearing and publication must be observed for purposes of compliance with the requirements of due process.

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
C. Fundamental Principles on Local taxation 1. Taxation shall be uniform in each local government unit; 2. Taxes, fees, charges and other impositions shall: a. be equitable and based as far as practicable on the taxpayer’s ability to pay; b. be levied and collected only for public purposes; c. not be unjust, excessive, oppressive or confiscatory; d. not be contrary to law, public policy, national economic policy, or in restraint of trade. 3. The collection of taxes, fees, charges and other impositions shall in no case be let to any private persons; 4. The revenue collected pursuant to the provisions of the LGC shall inure solely to the benefit of, and be subject to disposition by, the local government unit levying the tax, fee, charge or other imposition unless otherwise specifically provided herein; and 5. Each local government unit shall, as far as practicable, evolve a progressive system of taxation. NOTES: ●Shares of LGUs in the proceeds of national taxes The share of the LGU in Internal Revenue Taxes is 40%. The 40% IRA is allocated to LGUs as follows: for provinces and cities- 23%; for municipalities- 34%; for barangays- 20%. No less than 20% of the IRA is allotted for development project by the local unit from the IRA. ●Shares in National Wealth 40% of the gross collection from mining taxes, royalties, forestry and fishery charges, and from each share in any joint effort in utilizing and developing the national wealth within the LGU’s jurisdiction and shall be remitted without need for further action to the local treasurer on a quarterly basis within five days after the end of every quarter. LGUs shall receive 1% of the gross sale or receipts of the preceding calendar year and 40% of taxes, fees or charges that GOCCs would have paid if not tax exempt, whichever is higher. ●How National Wealth is Distributed If the national wealth is located in one province, the province shall receive 20%, the component city/municipality shall receive 45% and the barangays 35%. If the national wealth is located in two or more LGUs, distribution shall be based on the following: population- 70% and land area- 30%. If the national wealth is located in highly urbanized city or independent component city, the HUC or ICC shall receive 65% and the barangays shall receive 35%. D. Fundamental Principles of Local Fiscal Administration 1. No money shall be paid out of the local treasury except in pursuance of an appropriation ordinance or law; 2. Local government funds and monies shall be spent solely for public purposes; 3. Local revenue is generated only from the sources expressly authorized by law or ordinance, and collection thereof shall at all times be acknowledged properly; 4. All monies officially received by a local government officer in any capacity or on any occasion shall be accounted for as local funds, unless otherwise provided by law;

8

5. Trust funds in the local treasury shall not be paid out except in fulfillment of the purpose for which the trust is created or the funds received. 6. Every officer of the local government unit whose duties permit or require the possession or custody of local funds shall be properly bonded, and such officer shall be accountable and responsible for said funds and for the safekeeping thereof in conformity with the provisions of law. 7. Local governments shall formulate sound financial plans, and the local budgets shall be based on functions, activities and projects, in terms of expected results. 8. Local budget plans and goals shall, as far as practicable, be harmonized with national development plans, goals and strategies in order to optimize the utilization of resources and to avoid duplication in the use of fiscal and physical resources. 9. Local budgets shall operationalize approved development plans. 10. Local government units shall ensure that their respective budgets incorporate the requirements of their component units and provide for equitable allocation of resources among these component units. 11. National planning shall be based on local planning to ensure that the needs and aspirations of the people as articulated by the local government units in their respective local development plans are considered in the formulation of budgets of national line agencies or offices. 12. Fiscal responsibility shall be shared by all those exercising authority over the financial affairs, transactions, and operations of the local government units. 13. The local government unit shall endeavor to have a balanced budget in each fiscal year of operation. 4. Eminent Domain (§19, LGC) The power to expropriate private property has been delegated by Congress to LGUs under §19, LGC. The exercise by LGUs of the power of eminent domain are subject to the usual constitutional limitations such as necessity, private property, taking, public use, just compensation and due process of law. The determination of whether there is genuine necessity for the exercise of the power of eminent domain is a justiciable question when exercised by the LGUs and generally a political question when exercised by Congress. NOTE: Private property already devoted to public use can still be a subject of expropriation by Congress but not by LGUs. The additional limitations on the exercise of the power of eminent domain by LGUs are, as follows: 1. Exercised only by the local chief executive, acting pursuant to a valid ordinance; 2. For public use or purpose or welfare, for the benefit of the poor and the landless; 3. Only after a valid and definite offer had been made to, and not accepted by, the owner; 4. An LGU shall file a complaint for expropriation on the strength of an ordinance and not a mere resolution passed by the Sanggunian. (Municipality of Paranaque vs. VM Realty Corp., 292 SCRA 676) ●The promulgation of the ordinance authorizing the local chief executive to exercise the power must be promulgated prior to the filing of the complaint for eminent domain with the proper court, and not after the court shall have determined the amount of just compensation to which the defendant is

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
entitled. (Heirs of Suguitan vs. City of Mandaluyong, 328 SCRA 137) NOTE: ●An LGU may immediately take possession of the property upon filing of expropriation proceedings and deposit in court of 15% of the FMV of the property. 5. Other powers a. Reclassification of lands (§20, RA 7160) A city or municipality may, through an ordinance passed after conducting public hearings for the purpose, may authorize the reclassification of agricultural lands and provide for the manner of their utilization or their disposition: i. When the land ceases to be economically feasible and sound for agricultural purposes as determined by the Department of Agriculture; ii. Where the land shall have substantially greater economic value for residential, commercial or industrial purposes as determined by the sanggunian; provided that such reclassification shall be limited to the following percentage of the total agricultural land area at the time of the passage of the ordinance: ●for highly urbanized cities and independent component cities: 15% ●for component cities and 1 st to 3rd class municipalities: 10% ●for 4th and 6th class municipalities: 5% ●Provided that agricultural land distributed to land reform beneficiaries shall not be affected by such reclassification. b. Closure and opening of roads (§21, RA 7160) A local government unit may, pursuant to an ordinance, permanent or temporarily close or open any local road, alley, park, or square falling within its jurisdiction, provided that in case of permanent closure, such ordinance must be approved by at least 2/3 of all the members of the sanggunian, and when necessary, and adequate substitute for the public facility shall be provided. NOTE: ●Additional limitations in case of permanent closure: i. Adequate provision for the maintenance of public safety must be made; ii. The property may be used or conveyed for any purpose for which other real property may be lawfully used or conveyed, but no freedom park shall be closed permanently without provision for its transfer or relocation to a new site. ●Temporary closure may be made during an actual emergency, fiesta celebrations, public rallies, etc. c. Naming of LGUs, public places, streets and structures 1. Provinces- The sangguniang panlalawigan may change the name of the following within its territorial jurisdiction: i. Component cities and municipalities, upon the recommendation of the sangguniang concerned; ii. Provincial roads, avenues, boulevards, thoroughfares and bridges;

9

iii. Public vocational or technical schools and other post secondary and tertiary schools; iv. Provincial hospitals, health centers, and other health facilities; and v. Any other public place or building owned by the provincial government. 2. Highly Urbanized and Independent Component Cities- The sanggunians of HUCs and ICCs may change the name of the following within its territorial jurisdiction: i. City barangays, upon the recommendation of the sangguniang barangay concerned; ii. City roads, avenues, boulevards, thoroughfares, and bridges; iii. Public elementary, secondary and vocational or technical schools, community colleges and non-chartered colleges; iv. City hospitals, health centers and other health facilities; and v. Any other public place or building owned by the city government. 3. Component Cities and Municipalities- The sanggunians of component cities and municipalities may change the name of the following within its territorial jurisdiction: i. City and municipal barangays, upon recommendation of the sangguniang barangay concerned; ii. City, municipal and barangay roads, avenues, boulevards, thoroughfares, and bridges; iii. City and municipal public elementary, secondary and vocational or technical schools, post-secondary and other tertiary schools; iv. City and municipal hospitals, health centers and other health facilities; and v. Any other public place or building owned by the municipal government. NOTES: ●None of the foregoing local government units, institutions, places, or buildings shall be named after a living person, nor may a change of name be made unless for a justifiable reason and, in any case, not oftener than once every ten years. The name of a local government unit or a public place, street or structure with historical, cultural, or ethnic significance shall not be changed, unless by a unanimous vote of the sanggunian concerned and in consultation with the Philippine Historical Commission. ●A change of name of a public school shall be made only upon the recommendation of the local school board concerned. ●A change of name of public hospitals, health centers, and other health facilities shall be made only upon the recommendation of the local health board concerned. ●The change of name of any local government unit shall be effective only upon ratification in a plebiscite conducted for the purpose in the political unit directly affected. ●In any change of name, the Office of the President, the representative of the legislative district concerned, and the Bureau of Posts shall be notified. (§13, LGC) d. Settlement of boundary disputes (§118 a-d, RA 7160):

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
Boundary disputes between and among local government units shall, as much as possible, be settled amicably. To this end: a. Boundary disputes involving two or more barangays in the same city or municipality shall be referred for settlement to the sangguniang panlungsod or sangguniang bayan concerned. b. Boundary disputes involving two or more municipalities within the same province shall be referred for settlement to the sangguniang panlalawigan concerned. c. Boundary disputes involving municipalities or component cities of different provinces shall be jointly referred for settlement to the sanggunians of the provinces concerned. d. Boundary disputes involving a component city or municipality on the one hand and a highly urbanized city on the other, or two or more highly urbanized cities, shall be jointly referred for settlement to the respective sanggunians of the parties. Procedure: In the event the sanggunian fails to effect an amicable settlement within 60 days from the date the dispute was referred thereto, it shall issue a certification to that effect. Thereafter, the dispute shall be formally tried by the sanggunian concerned which shall decide the issue within 60 days from the date of the certification referred to above. Within the time and manner prescribed by the Rules of Court, any party may elevate the decision of the sanggunian concerned, any party may elevate the decision of the sanggunian concerned to the proper Regional Trial Court having jurisdiction over the area in dispute. The Regional Trial Court shall decide the appeal within one (1) year from the filing thereof. Pending final resolution of the case, the disputed area prior to the dispute shall be maintained and continued for all legal purposes. (§119, LGC) e. Authority over police units (§6, Art. XVI, Philippine Constitution) The State shall establish and maintain one police force, which shall be national in scope and civilian in character, to be administered and controlled by a National Police Commission. The authority of local executives over the police units in their jurisdiction shall be provided by law. 6. LOCAL LEGISLATIVE POWER A. Products of legislative action 1. Ordinance- prescribes a rule of conduct. 2. Resolution- of temporary character, or expresses sentiment. B. Requisites for validity: 1. Must not contravene the Constitution and any statute 2. Must not be unfair or oppressive 3. Must not be partial or discriminatory 4. Must not prohibit, but may regulate trade 5. Must not be unreasonable

10

6. Must be general in application and consistent with public policy. • Approval of ordinances: Ordinances passed by the sangguniang panlalawigan, sangguniang panlungsod or sangguniang bayan shall be approved: If the local chief executive approves the same, affixing his signature on each and every page thereof. If the local chief executive vetoes the same, and the veto is overridden by 2/3 vote of all the members of the sanggunian. ●Where petitioner was charged with falsification of a public document for approving a resolution which purportedly appropriated money to pay for the terminal leave of 2 employees when actually no such resolution was passed, the petitioner argued that his signature on the resolution was merely ministerial. The Supreme Court disagreed, saying that the grant of the veto power accords the Mayor the discretion whether or not to approve the resolution. (De Los Reyes vs. Sandiganbayan, G.R. 121215, Nov. 13, 1997) NOTES: 1. The vice governor, the vice mayor and the punong barangay shall be the presiding officer of the sanggunians but shall vote only in case of tie. 2. In case of inability of the presiding officer, the members shall elect a temporary presiding officer from among themselves. (§49) 3. For disorderly behavior and absence without justifiable cause for 4 consecutive sessions, a member may be censured, reprimanded, excluded from the session, suspended for not more than 60 days, or expelled. Suspension or expulsion shall require concurrence of at least 2/3 of all sanggunian members. A member sentenced by final judgment to imprisonment for at least one year for a crime involving moral turpitude shall be automatically expelled. (§50) 4. Every sanggunian member, upon assumption of office shall make a full disclosure of his business and financial interests. He shall also disclose any business, financial or professional relationship or any relationship within the 4th degree which he may have with anyone affected by any ordinance or resolution of the sanggunian which involves a conflict of interests. ●Such relationship includes: i. Investment in the entity to which the ordinance may apply ii. Contracts with any person to which the ordinance may apply ●Conflict of interests refers to a situation where a sanggunian member may not act in the public interest due to personal consideration that may affect his judgment to the prejudice of the public. (§51) 5. A special session may be called by the local chief executive or a majority of the sanggunian members. Unless concurred in by 2/3 vote of the members present, no matter may be reconsidered at the special session except those stated in the notice. (§52) 6. A majority of all the members of the sanggunian shall constitute a quorum. (§53)

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
7. An ordinance shall be approved by the local chief executive by affixing his signature in each and every page thereof. 8. The governor or mayor may veto any item in the following cases: a. Particular item or items in an appropriations ordinance b. Ordinance adopting a local development plan and public investment program c. Ordinance directing the payment of money or creating liability. (§55) 9. The grounds for veto are: a. The ordinance is ultra vires b. Or that it is prejudicial to public welfare 10. The veto shall be communicated to the sanggunian within 15 days in the case of a province and 10 days in the case of a city or municipality; otherwise, the ordinance shall be deemed approved, as if he signed it. The sanggunian may override the veto by 2/3 of all its members. (§54) 11. Ordinances enacted by the sangguniang barangay shall, upon approval by a majority of all its members, be signed by the Punong Barangay. The latter has no veto power. 12. Review a. The sangguniang panlalawigan shall review ordinances and resolution of cities and municipalities to determine if they are within their power. (§56) Procedure: Within 3 days after approval, the secretary of the sangguniang panlungsod (in component cities) or sangguniang bayan shall forward to the sangguniang panlalawigan for review copies of approved ordinances and resolutions approving the local development plans and public investment programs formulated by the local development councils. The sangguniang panlalawigan shall review the same within 30 days; if it finds that the ordinance or resolution is beyond the power conferred upon the sangguniang panlungsod or sangguniang bayan concerned, it shall declare such ordinance or resolution invalid in whole or in part. If no action is taken within 30 days, the ordinance or resolution is presumed consistent with law, and therefore, valid. b. The sangguniang panlungsod or bayan shall review sangguniang barangay ordinances to determine if they are lawful. (§57)

11

13. Enforcement of disapproved ordinances/resolutions: Any attempt to enforce an ordinance or resolution approving the local development plan and public investment program, after the disapproval thereof, shall be sufficient ground for the suspension or dismissal of the official or employee concerned. 14. Effectivity a. Unless otherwise stated in the ordinance, it shall take effect after 10 days from posting at the provincial capitol or city, municipal or barangay hall and two other conspicuous places. b. The gist of all ordinances with penal sanction shall be published in a newspaper of general circulation in the province. In the absence of such newspaper, the ordinance shall be posted in all municipalities and cities of the province where the sanggunian of origin is situated. c. In highly urbanized and independent component cities, in addition to posting, the main features of the ordinance shall be published in a local newspaper of general circulation. In the absence of such newspaper, it shall be published in any newspaper of general circulation. (§59 C. 1. 2. 3. 4. Corporate Powers (§22, RA 7160) To have continuous succession in its corporate name To sue and be sued To have and use a corporate seal To acquire and convey real or personal property a. The local government unit may acquire real or personal, tangible or intangible property, in any manner allowed by law, e.g., sale, donation, etc. b. The local government unit may alienate only patrimonial property, upon proper authority. c. In the absence of proof that the property was acquired through corporate or private funds, the presumption is that it came from the State upon the creation of the municipality and, thus, is governmental or public property. (Salas vs. Jarencio, 48 SCRA 734; Rebuco vs. Villegas, 55 SCRA 656) d. Town plazas are properties of public dominion; they may be occupied temporarily, but only for the duration of an emergency (Espiritu vs. Municipal Council of Pozorrubio, Pangasinan, 102 Phil. 866). e. A public plaza is beyond the commerce of man, and cannot be the subject of lease or other contractual undertaking. And, even assuming the existence of a valid lease of the public plaza or part thereof, the municipal resolution effectively terminated the agreement, for it is settled that the police power cannot be surrendered or bargained away through the medium of a contract (Villanueva vs. Castaneda, 154 SCRA 142).

●Procedure: Within 10 days from enactment, the sangguniang barangay shall furnish copies of all barangay ordinances to the sangguniang panlungsod or sangguniang bayan for review. If the reviewing sanggunian finds the barangay ordinances inconsistent with law or city or municipal ordinances, the sangguniang concerned shall, within 30 days from receipt thereof, return the same with its comments and recommendations to the sangguniang barangay for adjustment, amendment or modification, in which case the effetivity of the ordinance is suspended until the revision called for is effected. If no action is taken by the sangguniang panlungsod or sangguniang bayan within 30 days, the ordinance is deemed approved.

5. Power to enter into contracts a. Requisites of a valid municipal contracts i. The local government unit has the express, implied or inherent power to enter into the particular contract. ii. The contract is entered into by the proper department, board, committee, officer or agent. Unless otherwise provided by the Code, no contract may be entered into by the local chief executive on behalf of the local

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
government unit without prior authorization by the sangguniang concerned. iii. The contract must comply with certain substantive requirements, i.e., when expenditure of public fund is to be made, there must be an actual appropriation and a certificate of availability of funds. iv. The contract must comply with the formal requirements of written contracts, e.g., the Statute of Frauds. Ultra vires contracts When a contract is entered into without compliance with the first and the third requisites (above), the same is ultra vires and is null and void. Such contract cannot be ratified or validated. Ratification of defective municipal contracts is possible only when there is non-compliance with the second and/or fourth requirements above. Ratification may be express or implied. Authority to negotiate and secure contracts (§23, RA 7160) The local chief executive may, upon authority of the sanggunian, negotiate and secure financial grants or donations in kind, in support of the basic services and facilities enumerated under §17, from local and foreign assistance agencies without necessity of securing clearance or approval from any department, agency, or office of the national government or from any higher local government unit; Provided, that projects financed by such grants or assistance with national security implications shall be approved by the national agency concerned.

12

group when the stage collapsed, under the principle of respondeat superior. NOTE: ●The municipal council managed the town fiesta. While the municipality was held liable, the councilors themselves are not liable for the negligence of their employees or agents. (Torio vs. Fontanilla, 85 SCRA 599) c. Personal Liability of local officials

3. Liability for violation of law Case: The Municipality of Bunawan, Agusan del Sur, through the Mayor, was held in contempt and fined P1,000.00 with a warning, because of the refusal of the Mayor to abide by a Temporary Restraining Order issued by the Court (Moday vs. CA, 243 SCRA 152). 4. Liability for contracts a. General Rule- A municipal corporation, like an ordinary person, is liable on a contract it enters into, provided that the contract is intra vires. If the contract is ultra vires, the munipal corporation is not liable. NOTES: ●A private individual who deals with a municipal corporation is imputed constructive knowledge of the extent of the power or authority of the municipal corporation to enter into contracts. ●Ordinarily, therefore, the doctrine of estoppel does not lie against municipal corporation. b. Doctrine of Implied Municipal Liability- A municipality may become obligated upon an implied contract to pay the reasonable value of the benefits accepted or appropriated by it as to which it has the general power to contract (Province of Cebu vs. IAC, 147 SCRA 447). The doctrine applies to all cases where money or property of a party is received under such circumstances that the general law, independent of an express contract, implies an obligation to do justice with respect to the same. Thus, in this case, the Province of Cebu cannot set up the plea that the contract was ultra vires and still retain benefits thereunder. Having regarded the contract as valid for purposes of reaping benefits, the Province of Cebu is estopped to question its validity for the purpose of denying answerability.

b.

c.

6. To exercise such other powers as are granted to corporations, subject to limitations provided in the Code and other laws. V. MUNICIPAL LIABILITY A. Specific provisions making LGUs liable: a. §24, RA 7160- Liability for damages- Local government units and their officials are not exempt from liability for death or injury to persons or damage to property. b. Art. 2189, NCC- The local government unit is liable in damages for death or injuries suffered by reason of the defective condition of roads, streets, bridges, public buildings and other public works. c. Art. 2180, (par.6), NCC- The State is responsible when it acts through a special agent. d. Art. 34, NCC- The local government unit is subsidiarily liable for damages suffered by a person by reason of the failure or refusal of a member of the police force to render aid and prosecution in case of danger to life and property. 2. Liability for Tort a. If the local government unit is engaged in governmental functions, it is NOT liable. b. If engaged in proprietary functions, local government unit is liable. ●Holding of town fiesta is a proprietary function. The Municipality of Malasique, Pangasinan, was held liable for the death of a member of the zarzuela

VI. LOCAL OFFICIALS A. Provisions applicable to elective and appointive officials 1. §89, RA 7160: Prohibited business and pecuniary interest- It shall be unlawful for any local government official or employee, directly or indirectly, to: a. Engage in any business transaction with the local government unit in which he is an official or employee or over which he has the power of supervision, or with any of its authorized boards, officials, agents, or attorneys, whereby money is to be paid, or property or any other thing of value is to be transferred, directly or indirectly, out of the resources of the local government unit to such person or firm;

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
b. c. Hold such interests in any cockpit or other games licensed by a local government unit; Purchase any real estate or other property forfeited in favor of such local government unit for unpaid taxes or assessment, or by virtue of a legal process at the instance of the said local government unit; Be a surety for any person contracting or doing business with the local government unit for which a surety is required; and Possess or use any public property of the local government unit for private purposes. The prohibitions and inhibitions prescribed in RA 6713 also apply.

13

d. e. f.

●Age- must be possessed on the day of the election. ●The LGC does not specify any particular date when the candidate must possess Filipino citizenzship. Philippine citizenship is required to ensure that no alien shall govern our people. An official begins to govern only upon his proclamation and on the day that his term begins. Since Frivaldo took his oath of allegiance on June 30, 1995, when his application for repatriation was granted by the Special committee on Naturalization created under PD 825, he was therefore qualified to be proclaimed. Besides, §39 of the LGC speaks of qualifications of elective officials, not of candidates (Frivaldo vs. COMELEC, 271 SCRA 767). ●Petitioner was over 21 years of age on the day of the election was ordered disqualified by the Supreme Court when the latter rejected the contention of the petitioner that she was qualified because she was less than 22 years old. The phrase “not more than 21 years old” is not equivalent to “less than 22 years old” (Garvida vs. Sales). 2. Disqualifications (§40, RA 7160)- The following are disqualified from running for any elective local position: a. Those sentenced by final judgment for an offense involving moral turpitude or for an offense punishable by one year or more of imprisonment, within two years after serving sentence; b. Those removed from office as a result of an administrative case; c. Those convicted by final judgment for violating the oath of allegiance to the Republic; d. Those with dual citizenship; e. Fugitives from justice in criminal or nonpolitical cases here or abroad; f. Permanent residents in a foreign country or those who have acquired the right to reside abroad and continue to avail of the same right after the effectivity of the Code; and g. The insane or feeble-minded. 3. Manner of Election a. The governor, vice-governor, city or municipal mayor, city or municipal vice-mayor and punong barangay shall be elected at large in their respective units. The sangguniang kabataan chairman shall be elected by the registered voters of the katipunan ng kabataan. b. The regular members of the sangguniang panlalawigan, panlungsod and bayan shall be elected by district, as may be provided by law. The presidents of the leagues of sanggunian members of component cities and municipalities shall serve as ex officio members of the sangguniang panlalawigan concerned. The presidents of the liga ng mga barangay and the pederasyon ng mga sangguniang kabataan elected by their respective chapters, shall serve as ex officio members of the sangguniang panlalawigan, panlungsod or bayan. c. In addition, there shall be one sectoral representative from the women, one from the workers, and one from any of the following sectors: urban poor, indigenous cultural communities, disabled persons, or any other sector as may be determined by the sanggunian concerned within 90 days prior to the holding of the next local elections as may be provided by law. The Comelec shall

2. Practice of Profession (§90, RA 7160) a. Governors or mayors are prohibited from practicinìstrative proceedings involving the local government unit of which he is an official. iv. Use property and personnel of the government except when the sanggunian member is defending the interest of the government. Case: It was held that by appearing as counsel for dismissed employees, City Councilor Javellana violated the prohibition against engaging in private practice if such practice represents interests adverse to the government. (Javellana vs. DILG, 212 SCRA 475) b. Physicians may practice their profession even during office hours only on emergencies and without monetary compensation. 3. Prohibition against appointment (§94, RA 7160) a. No elective or appointive local official shall be eligible for appointment or designation to any public office during his tenure. b. Unless otherwise allowed by law or by the primary function of his office, no elective or appointive local official shall hold any other office. c. Except for losing candidates in barangay elections, no candidate who lost in any election should be appointed to any office within one year after election. B. ELECTIVE LOCAL OFFICIALS 1. Qualifications: a. Common qualifications: i. Filipino Citizen ii. Registered voter of the local government unit, or of the district where he intends to be elected in the case of the members of the sanggunian. iii. Resident therein for at least one year immediately before the election iv. Ability to read and write Filipino or any other local dialect. b. Age i. Candidates in provinces and highly urbanized cities- at least 23 years old ii. Candidates for mayor and vice mayor of component cities and municipalities- at least 21 years old iii. Candidates for sanggunian members in component cities and municipalities- at least 18 years old iv. Barangay officials- at least 18 years old v. Sangguniang Kabataan- at least 15-21 years NOTES:

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
promulgate the rules and regulations to effectively provide for the election of such sectoral representatives. 4. Date of Election Every three years on the second Monday of May, unless otherwise provided by law. 5. Term of Office Three years, starting from noon of June 30, 1992, or such date as may be provided by law, except that of elective barangay officials. No local elective official shall serve for more than three consecutive terms in the same position. The term of office of barangay officials and members of the sangguniang kabataan shall be for five years, which shall begin after the regular election of barangay officials on the second Monday of May, 1997. (R.A. 8524) ●The three-term limit on a local official is to be understood to refer to terms for which the official concerned was elected. Thus, a person who was elected Vice Mayor in 1988 and who, because of the death of the Mayor, became Mayor in 1989, may still be eligible to run for the position of Mayor in 1998, even if elected as such in 1992 and 1995 (Borja v. Comelec, G.R. No. 133495, Sept. 3, 1998). 6. Rules on Succession (§44-46, RA 7160) A. Permanent vacancies: A permanent vacancy arises when an elective local official fills a higher vacant office, refuses to assume office, fails to qualify, dies, is removed from office, voluntarily resigns, or is permanently incapacitated to discharge the functions of his office. a. Governor and Mayor i. Vice Governor and Vice Mayor ii. Sanggunian members according to ranking b. Punong barangay i. Highest ranking sanggunian member ii. Second highest ranking sangguniang barangay member c. Ranking in the sanggunian shall be determined on the basis of the proportion of the votes obtained to the number of registered votes in each district. d. Ties will be resolved by drawing of lots. (§44) e. Sanggunian: i. Provinces, highly urbanized cities and independent component cities- appointment by the President ii. Component city and municipality- appointment by governor iii. Sangguniang barangay- appointment by mayor iv. Except for the sangguniang barangay, the appointee shall come from the political party of the member who caused the vacancy. NOTE: ● A nomination and a certificate of membership of the appointee from the highest official of the political party concerned are conditions sine qua non, and any appointment without such nomination and certificate shall be null and void and shall be a ground for administrative action against the official concerned. v. If the member does not belong to any party, the appointee shall be recommended by the sanggunian. vi. The appointee for the sangguniang barangay shall be recommended by the sangguniang barangay. vii. Vacancy in the representation of the youth and the barangay in the sanggunian shall be filled by the official next in rank of the organization. (§45)

14

B. Temporary vacancy a. When the governor, mayor or punong barangay is temporarily incapacitated to perform his duties, the vice governor, vice mayor, or ranking sangguniang barangay member shall exercise his powers except the power to appoint, suspend or dismiss employees, which can only be exercised after 30 working days. b. When the local chief executive is traveling within the Philippines for not more than 3 consecutive days, he may designate an officer-in-charge. The authorization shall specify the powers of the officerin-charge except the power to appoint, suspend or dismiss employees. c. If the local chief executive does not issue the authorization, the vice governor, vice mayor, or highest ranking sangguniang barangay member shall assume his powers on the fourth day of his absence. (§46) 7. Compensation (§81, R.A. 7160) The compensation of local officials and personnel shall be determined by the sanggunian concerned, subject to the provisions of R.A. 6758 (Compensation and Position Classification Act of 1989). The elective barangay officials shall be entitled to receive honoraria, allowances and other emoluments as may be provided by law or barangay, municipal or city ordinance, but in no case less than P1,000 per month for the punong barangay and P600 for the sangguniang barangay members. ●Elective local officials shall be entitled to the same leave privileges as those enjoyed by appointive local officials, including the cumulation and commutation thereof. 7. Recall- termination of official relationship of an elective official for loss of confidence prior to the expiration of his term through the will of the electorate. a. By whom exercised- by the registered voters of a local government unit to which the local elective official subject to such recall belongs. (§69, R.A. 7160) b. Two modes of initiating recall: i. By a preparatory recall assembly ii. By the registered voters of the local government unit c. Preparatory recall assembly- composed of the following: i. Provincial level: All mayors, vice mayors and sanggunian members of the municipalities and component cities. ii. City level: All punong barangay and sangguniang barangay members in the city. iii. Legislative district level: Where sangguniang panlalalwigan members are elected by district, all elective municipal officials in the district; and in cases where sangguniang panglungsod members are elected by district, all elective barangay officials in the district. iv. Municipal level: All punong barangay and sangguniang barangay members in the municipality. Procedure for initiating recall by preparatory recall assembly A majority of all the preparatory recall assembly members may convene in session in a public place and initiate a recall proceeding against any elective official in the local government unit concerned. Recall of provincial, city or d.

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
municipal officials shall be validly initiated through a resolution adopted by a majority of all the members of the preparatory recall assembly concerned during its session called for that purpose. Case: It was held that notice to all the members of the Preparatory Recall Assembly is imperative; thus, where the resolution was adopted without giving notice to all the members of the PRA, the same is fatally flawed (Garcia vs. Comelec, G.R. No. 111511, October 5, 1993) . However, in Malonzo vs. Comelec, G.R. No. 127066, March 11, 1997, it was held that where the Comelec has already conducted an investigation and found the initiatory recall proceedings to be in accord with law, there is no necessity for the Supreme Court to refer the matter of the veracity of the questioned notices back to the Comelec. e. Initiation of recall by registered voters : Recall of a provincial, city, municipal or barangay official may also be validly initiated upon petition by at least 25% of the total number of registered voters in the local government unit concerned during the election in which the local official sought to be recalled was elected. f. Procedure: i. A written petition for recall duly signed before the election registrar or his representative, and in the presence of a representative of the petitioner and representative of the official sought to be recalled, and in a public place in the province, city, municipality or barangay, as the case may be, shall be filed with the Comelec through its office in the local government unit concerned. ii. The Comelec or its duly authorized representative shall cause the publication of the petition in a public and conspicuous place for a period of not less than 10 days nor more than 20 days, for the purpose of verifying the authenticity and genuineness of the petition and the required percentage of voters. iii. Upon the lapse of the aforesaid period, the Comelec or its duly authorized representative shall announce the acceptance of candidates to the position and thereafter prepare the list of candidates which shall include the name of the official sought to be recalled. b. c. d.

15

The governor, in case of municipal mayors and vice mayors, city mayors and vice mayors of component cities; Sanggunian concerned, in case of sangguniang members; and The city or municipal mayor, in case of barangay officials.

●Effectivity: c. Resignation takes effect upon acceptance. d. It is deemed accepted if not acted upon within 15 working days. e. Irrevocable resignation by sanggunian members takes effect upon presentation before an open session. (§82, R.A. 7160) 10. Grievance Procedure (§83, R.A. 7160)- The local chief executive shall establish a procedure to inquire into, act upon, resolve or settle complaints and grievances presented by local government employees. 11. Discipline (§60-68, R.A. 7160) a. Grounds for disciplinary action: An elective local official may be disciplined, suspended, or removed from office on any of the following grounds: i. Disloyalty to the Republic of the Philippines. ii. Culpable violation of the Constitution iii. Dishonesty, oppression, misconduct in office, gross negligence, or dereliction of duty. iv. Commission of any offense involving moral turpitude or an offense punishable by at least prision mayor. v. Abuse of authority. vi. Unauthorized absence for 15 consecutive working days, except in the case of members of the sangguniang panlalawigan, panlungsod, bayan and barangay. vii. Application for, or acquisition of, foreign citizenship or residence or the statusì Elective barangay officials, shall be filed before the sangguiniang panlungsod or sangguniang bayan concerned, whose decision shall be final and executory. c. Notice of Hearing (§62, R.A. 7160)- (a) Within 7 days after the administrative complaint is filed, the Office of the President or the sanggunian concerned as the case may be, shall require the respondent to submit his verified answer within 15 days from receipt thereof, and commence the investigation of the case within 10 days after the receipt of such answer of the respondent. (b) When the respondent is an elective official of a province or highly urbanized city, such hearing and investigation shall be conducted in the place where he renders or holds office. For all other local elective officials, the venue shall be the place where the sanggunian concerned is located. (c) However, no investigation shall be held within 90 days immediately prior to any local election, and no preventive suspension shall be imposed prior to the 90day period immediately preceding local election, it shall be deemed automatically lifted upon the start of aforesaid period. d. Preventive Suspension 1. Who may impose: a. By the President, if the respondent is an elective official of a province, a highly urbanized or an independent component city;

●The elective local official sought to be recalled shall not be allowed to resign while the recall process is in progress. ●Limitations on Recall: 1. Any elective local official may be the subject of a recall election only once during his term of office for loss of confidence. 2. No recall shall take place within one year from the date of the official’s assumption to office or one year immediately preceding a regular local election. ●The official sought to be recalled is automatically a candidate. ●Recall shall be effective upon the election and proclamation of successor receiving the highest number of votes. 9. Resignation of elective local officials shall be deemed effective only upon acceptance by the following authorities: a. The President, in case of governors, vice governors, and mayors and vice mayors of highly urbanized cities and independent component cities;

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
By the governor, if the respondent is an elective local official of a component city or municipality; c. By the mayor, if the respondent is an elective official of the barangay. 2. When may be imposed: Preventive suspension may be imposed at any time: a. After the issues are joined; b. When the evidence of guilt is strong; and c. Given the gravity of the offense, there is great probability that the continuance in office of the respondent could influence the witnesses or pose a threat to the safety and integrity of the records and other evidence. ●Provided that any single preventive suspension shall not extend beyond 60 days, and in the event several administrative cases are filed against the respondent, he cannot be suspended for more than 90 days within a single year on the same ground or grounds existing and known at the time of the first suspension. Case: When the petitioner failed to file his answer despite the many opportunities given to him, he was deemed to have waived his right to answer and to present evidence. At that point, the issues were deemed joined, and it was proper for the Executive Secretary to suspend him, inasmuch as the Secretary found that the evidence of guilt was strong and that continuance in office could influence the witnesses and pose a threat to the safety and integrity of the evidence against him (Joson vs. Torres, 290 SCRA 279). The authority to preventively suspend is exercised concurrently by the Ombudsman, pursuant to R.A. 6770; the same law authorizes a preventive suspension of six months (Hagad vs. Gozo-Dadole, G.R. no. 108072, Dec. 12, 1995). e. Suspended elective official when deemed reinstated Upon expiration of the preventive suspension, the respondent shall be deemed reinstated in office without prejudice to the continuation of the proceedings against him, which shall be terminated within 120 days from the time he was formally notified of the case against him. ●Any abuse of the exercise of the power of preventive suspension shall be penalized as abuse of authority. f. Salary of respondent pending suspension (§64, R.A. 7160) The respondent official preventively suspended from office shall receive no salary or compensation during such suspension; but, upon subsequent exoneration and reinstatement, he shall be paid full salary or compensation including such emoluments accruing during such suspension. g. Rights of respondent (§65, R.A. 7160) The respondent shall be accorded full opportunity to appear and defend himself in person or by counsel, to confront and cross-examine the witnesses against him, and to require the attendance of witnesses and the production of documentary evidence in his favor through compulsory process of subpoena or subpoena duces tecum. h. Form and notice of decision (§66a, R.A. 7160) The investigation of the case shall be terminated within 90 days from the start thereof. Within 30 days after the end of the investigation, the Office of the President or the b.

16

sanggunian concerned shall render a decision in writing stating clearly an distinctly the facts and the reasons for such decision. Copy of said decision shall immediately be furnished the respondent and all interested parties. i. Penalty The penalty of suspension imposed upon the respondent shall not exceed his unexpired term, or a period of 6 months for every administrative offense, nor shall said penalty be a bar to the candidacy of the respondent as long as he meets the qualifications required for the office. But the penalty of removal from office as a result of an administrative investigation shall be a bar to the candidacy of the respondent for any elective position. Case: The Supreme Court upheld the imposition of the administrative penalty of suspension of not more than 6 months for each offense, provided that the successive service of the sentence should not exceed the unexpired portion of the term of the petitioners. The suspension did not amount to removal from office (Salalima vs. Guingona, 257 SCRA 55). j. Administrative appeal- Decisions may, within 30 days from receipt thereof, be appealed to: i. The sangguniang panlalawigan, in the case of decisions of component cities’ sangguniang panlungsod and the sangguiniang bayan; ii. The Office of the President, in the case of decisions of the sangguniang panlalawigan and the sangguniang panlungsod of highly urbanized cities and independent component cities. Decisions of the Office of the President shall be final and executory. Case: The Supreme Court ruled that certiorari will not lie because there is still an adequate remedy available in the ordinary course of law, i.e., appeal of the decision of the Sangguniang Panlalawigan to the Office of the President (Malinao vs. Reyes, 255 SCRA 616). k. Execution pending appeal An appeal shall not prevent a decision from being executed; the respondent shall be considered as having been placed under preventive suspension during the pendency of the appeal. But in Berces vs. Executive Secretary, 241 SCRA 539, the Supreme Court pointed out that Administrative Order No. 18 authorizes the Office of the President to stay the execution of a decision pending appeal. A.O. No. 18 was not repealed by the Local Government Code. l. Presidential power to grant executive clemency m. Effect of re-election The re-election of a local official bars the continuation of the administrative case against him. C. Appointive Local Officials 1. Responsibility for human resources and development- The local chief executive shall be responsible for human resources and development in his unit and shall take all personnel actions in accordance with the Constitution, pertinent laws, including such policies, guidelines and standards as the Civil Service Commission may establish; Provided that the local chief executive may employ emergency or casual employees or laborers paid on a daily wage or piecework basis and hired through job orders for local projects authorized by the sanggunian concerned,

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
without need of approval or attestation by the CSC as long as the said employment shall not exceed 6 months. Case: But the Provincial Governor is without authority to designate the petitioner as Assistant Provincial Treasurer for Administration, because under §471 of the Local Government Code, it is the Secretary of Finance who has the power to appoint Assistant Provincial Treasurers from a list of recommendees of the Provincial Governor (Dimaandal vs. Commission on Audit, 291 SCRA 322). 2. Officials common to all Municipalities, Cities and Provinces (§469-490, R.A. 7160) a. Secretary to the Sanggunian b. Treasurer c. Assessor d. Accountant e. Budget Officer f. Planning and Development Coordinator g. Engineer h. Health Officer i. Civil Registrar j. Administrator k. Legal Officer l. Agriculturist m. Social Welfare and Development Officer n. Environment and Natural Resources Officer o. Architect p. Information Officer q. Cooperatives Officer r. Population Officer s. Veterinarian t. General Services Officer NOTE: ●In the barangay, the mandated appointive officials are the Barangay Secretary and the Barangay Treasurer, although other officials of the barangay may be appointed by the punong barangay. c. 3. Administrative discipline Investigation and adjudication of administrative complaints against appointive local officials and employees as well as their suspension and removal shall be in accordance with the civil service law and rules and other pertinent laws. a. Preventive suspension- The local chief executive may preventively suspend for a period not exceeding 60 days any subordinate official or employee under his authority pending investigation if the charge against such official or employee involves dishonesty, oppression or grave misconduct or neglect in the performance of duty, or if there is reason to believe that the respondent is guilty of the charges which would warrant his removal from the service. Disciplinary Action- Except as otherwise provided by law, the local chief executive may impose the penalty of removal from service, demotion in rank, suspension for not more than 1 year without pay, fine in an amount not exceeding 6 months’ salary or reprimand. If the penalty imposed is suspension without pay for d.

17

not more than 30 days, his decision shall be final; if the penalty imposed is heavier, the decision shall be appealable to the Civil Service Commission which shall decide the appeal within 30 days from receipt thereof. VII. LOCAL INITIATIVE AND REFERENDUM A. Local Initiative 1. Defined- It is the legal process whereby the registered voters of a local government unit may directly propose, enact or amend any ordinance. It may be exercised by all registered voters of the provinces, cities, municipalities and barangays 2. Procedure: a. Not less than 2,000 registered voters in the region; 1,000 registered voters in case of provinces and cities; 100 voters in case of municipalities, and 50 in case of barangays, may file a petition with the sanggunian concerned proposing the adoption, enactment, repeal or amendment of an ordinance. If no favorable action is taken by the sanggunian concerned within 30 days from presentation, the proponents, through their duly authorized and registered representatives, may invoke their power of initiative, giving notice thereof to the sanggunian concerned. The proposition shall be numbered serially, starting from Roman numeral I. Two or more propositions may be submitted in an initiative. The Comelec or its designated representative shall extend assistance in the formulation of the proposition. Proponents shall have 90 days (in case of provinces and cities), 60 days (in case of municipalities) and 30 days (in case of barangays) from notice mentioned in (b) to collect the required number of signatures. The petition shall be signed before the election registrar or his designated representatives, and in the presence of a representative of the proponent and a representative of the sanggunian concerned in a public place in the local government unit. Upon the lapse of the period, the Comelec shall certify as to whether or not the required number of signatures has been obtained. Failure to obtain the

b.

e.

b.

f.

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
required number of signatures defeats the proposition. If the required number is obtained, the Comelec shall set a date for the initiative during which the proposition is submitted to the registered voters in the local government unit for their approval within 60 days (in case of provinces), 45 days (in case of municipalities), and 30 days (in case of barangays) from the date of certification by the Comelec. The initiative shall be held on the date set after which the results thereof shall be certified and proclaimed by the Comelec. If the proposition is approved by a majority of the votes cast, it shall take effect 15 days after the certification by the Comelec as if affirmative action had been taken thereon by the sanggunian and the local chief executive concerned.

18

g.

days (in case of barangays). The Comelec shall certify and proclaim the results of the said referendum. C. Authority of Courts- Nothing in the foregoing shall preclude the proper courts from declaring null and void any proposition approved pursuant hereto for violation of the Constitution or want of capacity of the sanggunian concerned to enact said measure. VIII. LOCAL GOVERNMENT UNITS A. The Barangay 1. Chief Officials and Offices a. There shall be in each barangay a punong baranagy, seven (7) sangguniang barangay members, the sangguniang kabataan chairman, a barangay secretary and a barangay treasurer. There shall also be in every barangay a lupong tagapamayapa. The sangguniang barangay may form community brigades and create such other positions or offices as may be deemed necessary to carry out the purposes of the barangay government. b. For purposes of the Revised Penal Code, the punong barangay, sangguniang barangay members, and the members of the lupong tagapamayapa in each barangay shall be deemed as persons in authority in their jurisdiction, while other barangay officials and members who may be designated by law or ordinance and charged with the maintenance of public order, protection and security of life and property, or the maintenance of a desirable and balanced environment, and any barangay member who comes to the aid of persons in authority, shall be deemed as agents of persons in authority. c. §389 (b)5), R.A. 7160, provides that the punong barangay shall, upon approval by a majority of all the members of the Sangguniang Barangay, appoint or replace the barangay treasurer, the barangay secretary, and other appointive local officials. 2. The Barangay Assembly There shall be a barangay assembly composed of all persons who are actual residents of the barangay for at least 6 months, 15 years of age or over, citizens of the Philippines, and duly registered in the list of barangay assembly members. It shall meet at least twice a year to hear and discuss the semestral report of the sangguniang barangay concerning its activities and finances, as well as problems affecting the barangay. a. Powers of the Barangay Assembly: i. Initiate legislative processes by recommending to the sangguniang barangay the adoption of measures for the welfare of the barangay and the city or municipality concerned; ii. Decide on the adoption of initiative as a legal process whereby the registered voters of the barangay may directly

h.

3. Limitations: a. On local initiative: i. The power of local initiative shall not be exercised more than once a year. ii. Initiative shall extend only to subjects or matters which are within the legal powers of the sanggunian to enact. iii. If at any time before the initiative is held, the sanggunian concerned adopts in toto the proposition presented and the local chief executive approves the same, the initiative shall be cancelled. However, those against such action may, if they so desire, apply for initiative in the manner herein provided. b. On the sanggunian: Any proposition or ordinance approved through an initiative and referendum shall not be repealed, modified or amended by the sanggunian within 6 months from the date of approval thereof, and may be amended, modified or repealed within 3 years thereafter by a vote of ¾ of all its members. In case of barangays, the period shall be 18 months after the approval thereof. B. Local referendum: 3. Defined- It is the legal process whereby the registered voters of the local government units may approve, amend or reject any ordinance enacted by the sanggunian. 4. The local referendum shall be held under the control and direction of the Comelec within 60 days (in case of provinces), 45 days (in case of municipalities) and 30

ZPG & ASSOCIATES(Zambales.Pablo.Gonzales)
propose, enact or amend any ordinance; and iii. Hear and pass upon the semestral report of the sangguniang barangay concerning its activities and finances. 3. Katarungang Pambarangay a. Lupong Tagapamayapa There is hereby created in each barangay a lupong tagapamayapa, composed of the punong barangay as chairman and 10 to 20 members. The Lupon shall be constituted every 3 years. b. Powers of the Lupon: i. Exercise administrative supervision over the conciliation panels; ii. Meet regularly once a month to provide a forum for exchange of ideas among its members and the public of matters relevant to the amicable settlement of disputes, and to enable various conciliation panel members to share with one another their observations and experiences in effecting speedy resolution of disputes; and iii. Exercise such other powers and perform such other duties and functions as may be prescribed by law or ordinance. c. Pangkat ng Tagapagkasundo There shall be constituted for each dispute brought before the lupon a conciliation panel to be known as the pangkat ng tagapagkasundo, consisting of 3 members who shall be chosen by the parties to the dispute from the list of members of the lupon. Should the parties fail to agree on the pangkat membership, the same shall be determined by lots drawn by the lupon chairman. d. Subject matter of amicable settlement: The Lupon of each barangay shall have authority to bring together the parties actually residing in the same city or municipality for amicable settlement of all disputes except; i. Where one party is the government or any subdivision or instrumentality thereof; ii. Where one party is a public officer or employee, and the dispute relates to the performance of his official functions; iii. Offenses punishable by imprisonment exceeding one (1) year or a fine of P5,000.00. iv. Offenses where there is no private offended party; v. Where the dispute involves real properties located in different cities or municipalities unless the parties thereto agree to submit their differences to amicable settlement by an appropriate lupon; vi. Disputes involving parties who actually reside in barangays of different cities or municipalities, except where such barangay units adjoin each other and the parties thereto agree to submit their differences to amicable settlement by an appropriate lupon; vii. Such other classes of disputes which the President may determine in the interest of justice or upon the

19

recommendation of the Secretary of Justice. 4. Sangguniang Kabataan: a. Creation; composition: There shall be in every barangay a sangguniang kabataan to be composed of a chairman, seven members, a secretary and a treasurer. An official who, during his term of office, shall have passed the age of 21 shall be allowed to serve the remaining portion of the term for which he was elected. b. Katipunan ng Kabataan: Shall be compsed of all citizens of the Philippines actually residing in the barangay for at least 6 months, who are 15 but not more than 21 years of age, who are duly registered in the list of the sangguniang kabataan or in the official list in the custody of the barangay secretary. It shall meet once every 3 months, or at the call of the sanggunian kabataan chairman, or upon written petition of at least 1/20 of its members. c. Pederasyon ng mga sangguniang kabataan: There shall be an organization of all the pederasyon ng mga sangguniang kabataan: i. In municipalities, the pambayang pederasyon; ii. In cities, panlungsod na pederasyon; iii. In provinces, panlalawigang pederasyon; iv. In special metropolitan political subdivisions, pangmetropolitang pederasyon; v. On the national level, pambansang pederasyon. B. C. D. E. The Municipality The City The Province Leagues of Local Government Units/Officials: 1. Liga ng mga Barangay- Organization of all barangays for the primary purpose of determining the representation of the Liga in the sanggunians, and for ventilating, articulating and crystallizing issues affecting barangay government administration and securing, through proper and legal means, solutions thereto. Case: Where the Supreme Court held that Sec. 493, R.A. 7160, which empowers the Liga to “create such other positions as may be deemed necessary”, is valid, and does not constitute an irregular delegation of power (Viola vs. Alunan, G.R. No. 115844, August 15, 1997) 2. League of Municipalities- Organized for the primary purpose of ventilating, articulating and crystallizing issues affecting municipal governments administration, and securing, through proper and legal means, solutions thereto.