FIRST DIVISION G.R. No. 152845. August 5, 2003] DRIANITA BAGAOISAN, FELY ADRIAGA, S!

IRLY TAGABAN, RI"ARDO SARANDI, S#SAN I $ERIAL, BEN%A IN DE DE , RODOLFO DAGA, EDGARDO BA"LIG, GREGORIO LABAYAN, !ILARIO %ERE&, '() ARIA "ORA&ON "#ANANG, petitioners,vs. NATIONAL TOBA""O AD INISTRATION, *+,*+s+(t+) -. ANTONIO DE G#& AN '() $ERLITA BA#LA, respondents. DE"ISION VIT#G, J./ President Joseph Estrada issued on 30 September 1998 Executive Order No. 29 entit!ed "andatin# the Stream!inin# o$ the Nationa! %obacco &dministration 'N%&( a #overnment a#enc) under the *epartment o$ &#ricu!ture. %he order +as $o!!o+ed b) another issuance on 2, October 1998 b) President Estrada o$ Executive Order No. 3- amendin# Executive Order No. 29 inso$ar as the ne+ sta$$in# pattern +as concerned b) increasin# $rom $our hundred '.00( to not exceedin# seven hundred $i$t) ',/0( the positions a$$ected thereb). 0n comp!iance there+ith the N%& prepared and adopted a ne+ Or#ani1ation Structure and Sta$$in# Pattern 'OSSP( +hich on 29 October 1998 +as submitted to the O$$ice o$ the President. On 11 November 1998 the ran2 and $i!e emp!o)ees o$ N%& 3atac amon# +hom inc!uded herein petitioners $i!ed a !etter4appea! +ith the 5ivi! Service 5ommission and sou#ht its assistance in reca!!in# the OSSP. On 0. *ecember 1998 the OSSP +as approved b) the *epartment o$ 3ud#et and "ana#ement '*3"( sub6ect to certain revisions. On even date the N%& created a p!acement committee to assist the appointin# authorit) in the se!ection and p!acement o$ permanent personne! in the revised OSSP. %he resu!ts o$ the eva!uation b) the committee on the individua! 7ua!i$ications o$ app!icants to the positions in the ne+ OSSP +ere then disseminated and posted at the centra! and provincia! o$$ices o$ the N%&. On 10 June 199- petitioners a!! occup)in# di$$erent positions at the N%& o$$ice in 3atac 0!ocos Norte received individua! notices o$ termination o$ their emp!o)ment +ith the N%& e$$ective thirt) '30( da)s $rom receipt thereo$. 8indin# themse!ves +ithout an) immediate re!ie$ $rom their dismissa! $rom the service petitioners $i!ed a petition $or certiorari prohibition and mandamus, +ith pra)er $or pre!iminar) mandator) in6unction and9or temporar) restrainin# order +ith the :e#iona! %ria! 5ourt ':%5( o$ 3atac 0!ocos Norte and pra)ed 4 1( that a restrainin# order be immediate!) issued en6oinin# the respondents $rom en$orcin# the notice o$ termination addressed individua!!) to the petitioners and9or $rom committin# $urther acts o$ dispossession and9or oustin# the petitioners $rom their respective o$$ices; 2( that a +rit o$ pre!iminar) in6unction be issued a#ainst the respondents commandin# them to maintain the status 7uo to protect the ri#hts o$ the petitioners pendin# the determination o$ the va!idit) o$ the imp!ementation o$ their dismissa! $rom the service; and 3( that a$ter tria! on the merits 6ud#ment be rendered dec!arin# the notice o$ termination o$ the petitioners i!!e#a! and the reor#ani1ation nu!! and void and orderin# their reinstatement +ith bac2+a#es i$ app!icab!e commandin# the respondents to desist $rom $urther terminatin# their services and ma2in# the in6unction permanent.1 %he :%5 on 09 September 2000 ordered the N%& to appoint petitioners in the ne+ OSSP to positions simi!ar or comparab!e to their respective $ormer assi#nments. & motion $or reconsideration $i!ed b) the N%& +as denied b) the tria! court in its order o$ 28 8ebruar) 2001. %hereupon the N%& $i!ed an appea! +ith the 5ourt o$ &ppea!s raisin# the $o!!o+in# issues< 0. =hether or not respondents submitted evidence as proo$ that petitioners individua!!) +ere not the best 7ua!i$ied and most deservin# amon# the incumbent app!icant4emp!o)ees. 00. =hether or not incumbent permanent emp!o)ees inc!udin# herein petitioners automatica!!) en6o) a pre$erentia! ri#ht and the ri#ht o$ $irst re$usa! to appointments9reappointments in the ne+ Or#ani1ation Structure &nd Sta$$in# Pattern 'OSSP( o$ respondent N%&. 000. =hether or not respondent N%& in imp!ementin# the mandated reor#ani1ation pursuant to E.O. No. 29 as amended b) E.O. No. 3- strict!) adhere to the imp!ementin# ru!es on reor#ani1ation particu!ar!) :& --/- and o$ the 5ivi! Service 5ommission :u!es on >overnment :eor#ani1ation. 0?. =hether or not the va!idit) o$ E.O. Nos. 29 and 3- can be put in issue in the instant case9appea!.@2

On 20 8ebruar) 2002 the appe!!ate court rendered a decision reversin# and settin# aside the assai!ed orders o$ the tria! court. Petitioners +ent to this 5ourt to assai! the decision o$ the 5ourt o$ &ppea!s contendin# that 4 0. %he 5ourt o$ &ppea!s erred in ma2in# a $indin# that +ent be)ond the issues o$ the case and +hich are contrar) to those o$ the tria! court and that it over!oo2ed certain re!evant $acts not disputed b) the parties and +hich i$ proper!) considered +ou!d 6usti$) a di$$erent conc!usion; 00. %he 5ourt o$ &ppea!s erred in upho!din# Executive Order Nos. 29 and 3- o$ the O$$ice o$ the President +hich are mere administrative issuances +hich do not have the $orce and e$$ect o$ a !a+ to +arrant abo!ition o$ positions and9or e$$ectin# tota! reor#ani1ation; 000. %he 5ourt o$ &ppea!s erred in ho!din# that petitioners remova! $rom the service is in accordance +ith !a+; 0?. %he 5ourt o$ &ppea!s erred in ho!din# that respondent N%& +as not #ui!t) o$ bad $aith in the termination o$ the services o$ petitioners; 'and( ?. %he 5ourt o$ &ppea!s erred in i#norin# case !a+96urisprudence in the abo!ition o$ an o$$ice.@3 0n its reso!ution o$ 10 Ju!) 2002 the 5ourt re7uired the N%& to $i!e its comment on the petition. On 18 November 2002 a$ter the N%& had $i!ed its comment o$ 23 September 2002 the 5ourt issued its reso!ution den)in# the petition $or $ai!ure o$ petitioners to su$$icient!) sho+ an) reversib!e error on the part o$ the appe!!ate court in its cha!!en#ed decision so as to +arrant the exercise b) this 5ourt o$ its discretionar) appe!!ate 6urisdiction. & motion $or reconsideration $i!ed b) petitioners +as denied in the 5ourts reso!ution o$ 20 Januar) 2002. On 21 8ebruar) 2003 petitioners submitted a "otion to &dmit Petition 8or En Banc :eso!ution o$ the case a!!e#ed!) to address a basic 7uestion i.e. the !e#a! and constitutiona! issue on +hether the N%& ma) be reor#ani1ed b) an executive $iat not b) !e#is!ative action.@. 0n their Petition $or an En Banc :eso!ution petitioners +ou!d have it that 4 1. %he 5ourt o$ &ppea!s decision upho!din# the reor#ani1ation o$ the Nationa! %obacco &dministration sets a dan#erous precedent in that< a( & mere Executive Order issued b) the O$$ice o$ the President and procured b) a #overnment $unctionar) +ou!d have the e$$ect o$ a b!an2et authorit) to reor#ani1e a bureau o$$ice or a#enc) attached to the various executive departments; b( %he President o$ the Phi!ippines +ou!d have the p!enar) po+er to reor#ani1e the entire #overnment 3ureaucrac) throu#h the issuance o$ an Executive Order an administrative issuance +ithout the bene$it o$ due de!iberation debate and discussion o$ members o$ both chambers o$ the 5on#ress o$ the Phi!ippines; c( %he ri#ht to securit) o$ tenure to a career position created b) !a+ or statute +ou!d be de$eated b) the mere adoption o$ an Or#ani1ationa! Structure and Sta$$in# Pattern issued pursuant to an Executive Order +hich is not a !a+ and cou!d thus not abo!ish an o$$ice created b) !a+; 2. %he case !a+ on abo!ition o$ an o$$ice +ou!d be disre#arded i#nored and abandoned i$ the 5ourt o$ &ppea!s decision sub6ect matter o$ this Petition +ou!d remain undisturbed and untouched. 0n other +ords previous doctrines and precedents o$ this Ai#hest 5ourt +ou!d in e$$ect be reversed and9or modi$ied +ith the 5ourt o$ &ppea!s 6ud#ment shou!d it remain uncha!!en#ed. 3. Section . o$ Executive Order No. 2./ dated Ju!) 2. 198, '&nnex * Petition( issued b) the :evo!utionar) #overnment o$ $ormer President 5ora1on &7uino and the !a+ creatin# N%& +hich provides that the #overnin# bod) o$ N%& is the 3oard o$ *irectors +ou!d be rendered meanin#!ess ine$$ective and a dead !etter !a+ because the cha!!en#ed N%& reor#ani1ation +hich +as erroneous!) uphe!d b) the 5ourt o$ &ppea!s +as adopted and imp!emented b) then N%& &dministrator &ntonio de >u1man +ithout the correspondin# authorit) $rom the 3oard o$ *irectors as mandated therein. 0n brie$ the reor#ani1ation is an ultra vires act o$ the N%& &dministrator. .. %he cha!!en#ed Executive Order No. 29 issued b) $ormer President Joseph Estrada but unsi#ned b) then Executive Secretar) :ona!do Bamora +ou!d in e$$ect be erroneous!) uphe!d and #iven !e#a! e$$ect as to supersede amend and9or modi$) Executive Order No. 2./ a !a+ issued durin# the 8reedom 5onstitution o$ President 5ora1on &7uino. 0n brie$ a mere executive order +ou!d amend supersede and9or render ine$$ective a !a+ or statute./

0n order to a!!o+ the parties a $u!! opportunit) to venti!ate their vie+s on the matter the 5ourt u!timate!) reso!ved to hear the parties in ora! ar#ument. Essentia!!) the core 7uestion raised b) them is +hether or not the President throu#h the issuance o$ an executive order can va!id!) carr) out the reor#ani1ation o$ the N%&. Not+ithstandin# the apparent procedura! !apse on the part o$ petitioner to imp!ead the O$$ice o$ the President as part) respondent pursuant to Section , :u!e 3 o$ the 199, :evised :u!es o$ 5ivi! Procedure - this 5ourt reso!ved to ru!e on the merits o$ the petition. Buklod ng Kawaning EIIB vs. Zamora, ru!ed that the President based on existin# !a+s had the authorit) to carr) out a reor#ani1ation in an) branch or a#enc) o$ the executive department. 0n said case Buklod ng Kawaning EIIB cha!!en#ed the issuance and sou#ht the nu!!i$ication o$ Executive Order No. 191 '*eactivation o$ the Economic 0nte!!i#ence and 0nvesti#ation 3ureau( and Executive Order No. 223 'Supp!ementar) Executive Order No. 191 on the *eactivation o$ the Economic 0nte!!i#ence and 0nvesti#ation 3ureau and $or Other "atters( on the #round that the) +ere issued b) the President +ith #rave abuse o$ discretion and in vio!ation o$ their constitutiona! ri#ht to securit) o$ tenure. %he 5ourt exp!ained< %he #enera! ru!e has a!+a)s been that the po+er to abo!ish a pub!ic o$$ice is !od#ed +ith the !e#is!ature. %his proceeds $rom the !e#a! precept that the po+er to create inc!udes the po+er to destro). & pub!ic o$$ice is either created b) the 5onstitution b) statute or b) authorit) o$ !a+. %hus except +here the o$$ice +as created b) the 5onstitution itse!$ it ma) be abo!ished b) the same !e#is!ature that brou#ht it into existence. %he exception ho+ever is that as $ar as bureaus a#encies or o$$ices in the executive department are concerned the Presidents po+er o$ contro! ma) 6usti$) him to inactivate the $unctions o$ a particu!ar o$$ice or certain !a+s ma) #rant him the broad authorit) to carr) out reor#ani1ation measures. %he case in point is Larin v. Executive Secretary @280 S5:& ,13C. 0n this case it +as ar#ued that there is no !a+ +hich empo+ers the President to reor#ani1e the 30:. 0n decreein# other+ise this 5ourt sustained the $o!!o+in# !e#a! basis thus< D0nitia!!) it is ar#ued that there is no !a+ )et +hich empo+ers the President to issue E.O. No. 132 or to reor#ani1e the 30:. D=e do not a#ree. Dx x x x x x DSection .8 o$ :.&. ,-./ provides that< DDSec. .8. Scaling Down and P ase !ut o" #ctivities o" #gencies $it in t e Executive Branc . %he heads o$ departments bureaus and o$$ices and a#encies are hereb) directed to identi$) their respective activities +hich are no !on#er essentia! in the de!iver) o$ pub!ic services and +hich ma) be scaled down, % ased out or a&olis ed, sub6ect to civi! service ru!es and re#u!ations. x x x. #ctual scaling down, % asing out or a&olition o$ the activities sha!! be e$$ected pursuant to 5ircu!ars or Orders issued $or the purpose b) the O$$ice o$ the President. DSaid provision c!ear!) mentions the acts o$ Dscaling down, % asing out and a&olition o$ o$$ices on!) and does not cover the creation o$ o$$ices or trans$er o$ $unctions. Neverthe!ess the act o$ creatin# and decentra!i1in# is inc!uded in the subse7uent provision o$ Section -2 +hich provides that< DDSec. -2. 'naut ori(ed organi(ational c anges. En!ess other+ise created b) !a+ or directed b) the President o$ the Phi!ippines no or#ani1ationa! unit or chan#es in 2e) positions in an) department or a#enc) sha!! be authori1ed in their respective or#ani1ation structures and be $unded $rom appropriations b) this &ct. )* e "oregoing %rovision evidently s ows t at t e President is aut ori(ed to e""ect organi(ational c anges including t e creation o" o""ices in t e de%artment or agency concerned. Dx x x x x x D&nother !e#a! basis o$ E.O. No. 132 is Section 20 3oo2 000 o$ E.O. No. 292 +hich states< DDSec. 20. +esidual Powers. En!ess 5on#ress provides other+ise the President sha!! exercise suc ot er %owers and "unctions vested in t e President w ic are %rovided "or under t e laws and +hich are not speci$ica!!) enumerated above or +hich are not de!e#ated b) the President in accordance +ith !a+. D* is %rovision s%eaks o" suc ot er %owers vested in t e President under t e law. $ at law t en gives im t e %ower to reorgani(e, It is Presidential Decree -o. .//0 w ic amended Presidential Decree -o. .1.2.

* ese decrees ex%ressly grant t e President o" t e P ili%%ines t e continuing aut ority to reorgani(e t e national government, w ic includes t e %ower to grou%, consolidate &ureaus and agencies, to a&olis o""ices, to trans"er "unctions, to create and classi"y "unctions, services and activities and to standardi(e salaries and materials. %he va!idit) o$ these t+o decrees are un7uestionab!e. %he 198, 5onstitution c!ear!) provides that Da!! !a+s decrees executive orders proc!amations !etter o$ instructions and other executive issuances not inconsistent +ith this 5onstitution sha!! remain operative unti! amended repea!ed or revo2ed. So $ar there is )et no !a+ amendin# or repea!in# said decrees. No+ !et us ta2e a !oo2 at the assai!ed executive order. 0n the w ereas c!ause o$ E.O. No. 191 $ormer President Estrada anchored his authorit) to deactivate E003 on Section ,, o$ :epub!ic &ct 8,./ '34 .555 6eneral #%%ro%riations #ct( a provision simi!ar to Section -2 o$ :.&. ,-./ 7uoted in Larin thus< DSec. ,,. !rgani(ed 7 anges. 'nless other+ise provided b) !a+ or directed &y t e President o" t e P ili%%ines no chan#es in 2e) positions or or#ani1ationa! units in an) department or a#enc) sha!! be authori1ed in their respective or#ani1ationa! structures and $unded $rom appropriations provided b) this &ct. =e adhere to the x x x ru!in# in Larin that this provision reco#ni1es the authorit) o$ the President to e$$ect or#ani1ationa! chan#es in the department or a#enc) under the executive structure. Such a ru!in# $urther $inds support in Section ,8 o$ :epub!ic &ct No. 8,-0. Ender this !a+ the heads o$ departments bureaus o$$ices and a#encies and other entities in the Executive 3ranch are directed 'a( to conduct a comprehensive revie+ o$ this respective mandates missions ob6ectives $unctions pro#rams pro6ects activities and s)stems and procedures; 'b( identi$) activities +hich are no !on#er essentia! in the de!iver) o$ pub!ic services and +hich ma) be sca!ed do+n phased4out or abo!ished; and 'c( adopt measures that +i!! resu!t in the stream!ined or#ani1ation and improved overa!! per$ormance o$ their respective a#encies. Section ,8 ends up +ith the mandate that the actua! stream!inin# and productivit) improvement in a#enc) or#ani1ation and operation sha!! be e$$ected pursuant to 5ircu!ars or Orders issued $or the purpose b) the O$$ice o$ the President. %he !a+ has spo2en c!ear!). =e are !e$t on!) +ith the dut) to sustain. 3ut o$ course the !ist o$ !e#a! basis authori1in# the President to reor#ani1e an) department or a#enc) in the executive branch does not have to end here. =e must not !ose si#ht o$ the ver) source o$ the po+er that +hich constitutes an express #rant o$ po+er. Ender Section 31 3oo2 000 o$ Executive Order No. 292 'other+ise 2no+n as the &dministrative 5ode o$ 198,( the President sub6ect to the po!ic) in the Executive O$$ice and in order to achieve simp!icit) econom) and e$$icienc) sha!! have the continuin# authorit) to reor#ani1e the administrative structure o$ the O$$ice o$ the President. 8or this purpose he ma) trans$er the $unctions o$ other *epartments or &#encies to the O$$ice o$ the President. 0n 5anoni1ado vs. &#uirre @323 S5:& 312C +e ru!ed that reor#ani1ation invo!ves the reduction o$ personne! conso!idation o$ o$$ices or abo!ition thereo$ b) reason o$ econom) or redundanc) o$ $unctions. 0t ta2es p!ace +hen there is an a!teration o$ the existin# structure o$ #overnment o$$ices or units therein inc!udin# the !ines o$ contro! authorit) and responsibi!it) bet+een them. %he E003 is a bureau attached to the *epartment o$ 8inance. 0t $a!!s under the O$$ice o$ the President. Aence it is sub6ect to the Presidents continuin# authorit) to reor#ani1e. 0t havin# been du!) estab!ished that the President has the authorit) to carr) out reor#ani1ation in an) branch or a#enc) o$ the executive department +hat is then !e$t $or us to reso!ve is +hether or not the reor#ani1ation is va!id. 0n this 6urisdiction reor#ani1ations have been re#arded as va!id provided the) are pursued in #ood $aith. :eor#ani1ation is carried out in D#ood $aith i$ it is $or the purpose o$ econom) or to ma2e bureaucrac) more e$$icient. Pertinent!) :epub!ic &ct No. --/- provides $or the circumstances +hich ma) be considered as evidence o$ bad $aith in the remova! o$ civi! service emp!o)ees made as a resu!t o$ reor#ani1ation to +it< 8a9 +here there is a si#ni$icant increase in the number o$ positions in the ne+ sta$$in# pattern o$ the department or a#enc) concerned; 8&9 +here an o$$ice is abo!ished and another per$ormin# substantia!!) the same $unctions is created; 8c9 +here incumbents are rep!aced b) those !ess 7ua!i$ied in terms o$ status o$ appointment per$ormance and merit; 8d9+here there is a c!assi$ication o$ o$$ices in the department or a#enc) concerned and the rec!assi$ied o$$ices per$orm substantia!!) the same $unctions as the ori#ina! o$$ices and 8e9 +here the remova! vio!ates the order o$ separation.@8 %he 5ourt o$ &ppea!s in its no+ assai!ed decision has $ound no evidence o$ bad $aith on the part o$ the N%&; thus 4 0n the case at bar +e $ind no evidence that the respondents committed bad $aith in issuin# the notices o$ non4 appointment to the petitioners. 3irstly the number o$ positions in the ne+ sta$$in# pattern did not increase. :ather it decreased $rom 1 12/ positions to ,/0. 0t is thus natura! that ones position ma) be !ost throu#h the remova! or abo!ition o$ an o$$ice. Secondly the petitioners $ai!ed to speci$ica!!) sho+ +hich o$$ices +ere abo!ished and the ne+ ones that +ere created per$ormin# substantia!!) the same $unctions.

* irdly the petitioners !i2e+ise $ai!ed to prove that !ess 7ua!i$ied emp!o)ees +ere appointed to the positions to +hich the) app!ied. xxx. 3ourt ly the pre$erence stated in Section . o$ :.&. --/- on!) means that o!d emp!o)ees shou!d be considered $irst but it does not necessari!) $o!!o+ that the) shou!d then automatica!!) be appointed. %his is because the !a+ does not prec!ude the in$usion o$ ne+ b!ood )oun#er d)namism or necessar) ta!ents into the #overnment service provided that the acts o$ the appointin# po+er are bona$ide $or the best interest o$ the pub!ic service and the person chosen has the needed 7ua!i$ications.@9 %hese $indin#s o$ the appe!!ate court are basica!!) $actua! +hich this 5ourt must respect and be he!d bound. It 0s 01,o*t'(t to +1,2's03+ t2't t2+ 4u+st0o(+) E5+6ut07+ O*)+*s No. 28 '() No. 39 2'7+ (ot '-o:0s2+) t2+ N't0o(': To-'66o A)10(0st*'t0o( -ut 1+*+:. 1'()'t+) 0ts *+o*g'(03't0o( t2*oug2 t2+ st*+'1:0(0(g o* *+)u6t0o( o; 0ts ,+*so((+: . &rtic!e ?00 Section 1, 10 o$ the 5onstitution express!) #rants the President contro! o$ a!! executive departments bureaus a#encies and o$$ices +hich ma) 6usti$) an executive action to inactivate the $unctions o$ a particu!ar o$$ice or to carr) out reor#ani1ation measures under a broad authorit) o$ !a+.11 Section ,8 o$ the >enera! Provisions o$ :epub!ic &ct No. 8/22 '>enera! &ppropriations &ct o$ 8F 1998( has decreed that the President ma) direct chan#es in the or#ani1ation and 2e) positions in an) department bureau or a#enc) pursuant to &rtic!e ?0 Section 2/ @12 o$ the 5onstitution +hich #rants to the Executive *epartment the authorit) to recommend the bud#et necessar) $or its operation. Evident!) this #rant o$ po+er inc!udes the authorit) to eva!uate each and ever) #overnment a#enc) inc!udin# the determination o$ the most economica! and e$$icient sta$$in# pattern under the Executive *epartment. 0n the recent case o$ +osa Ligaya 7. Domingo, et al. vs. :on. +onaldo D. Zamora, in is ca%acity as t e Executive Secretary, et al.,13this 5ourt has had occasion to a!so de!ve on the Presidents po+er to reor#ani1e the O$$ice o$ the President under Section 31'2( and '3( o$ Executive Order No. 292 and the po+er to reor#ani1e the O$$ice o$ the President Pro%er. %he 5ourt has there observed< x x x. Ender Section 31'1( o$ EO 292 the President can reor#ani1e the O$$ice o$ the President Pro%er b) abo!ishin# conso!idatin# or mer#in# units or b) trans$errin# $unctions $rom one unit to another. 0n contrast under Section 31'2( and '3( o$ EO 292 the Presidents po+er to reor#ani1e o$$ices outside the O$$ice o$ the President Pro%er but sti!! +ithin the O$$ice o$ the President is !imited to mere!) trans$errin# $unctions or a#encies $rom the O$$ice o$ the President to *epartments or &#encies and vice versa. %he provisions o$ Section 31 3oo2 000 5hapter 10 o$ Executive Order No. 292 '&dministrative 5ode o$ 198,( above4re$erred to reads thus!)< SE5. 31. 5ontinuin# &uthorit) o$ the President to :eor#ani1e his O$$ice. %he President sub6ect to the po!ic) in the Executive O$$ice and in order to achieve simp!icit) econom) and e$$icienc) sha!! have continuin# authorit) to reor#ani1e the administrative structure o$ the O$$ice o$ the President. 8or this purpose he ma) ta2e an) o$ the $o!!o+in# actions< '1( :estructure the interna! or#ani1ation o$ the O$$ice o$ the President Proper inc!udin# the immediate O$$ices the Presidentia! Specia! &ssistants9&dvisers S)stem and the 5ommon Sta$$ Support S)stem b) abo!ishin# conso!idatin# or mer#in# units thereo$ or trans$errin# $unctions $rom one unit to another; '2( %rans$er an) $unction under the O$$ice o$ the President to an) other *epartment or &#enc) as +e!! as trans$er $unctions to the O$$ice o$ the President $rom other *epartments and &#encies; and '3( %rans$er an) a#enc) under the O$$ice o$ the President to an) other department or a#enc) as +e!! as trans$er a#encies to the O$$ice o$ the President $rom other departments and a#encies. %he $irst sentence o$ the !a+ is an express #rant to the President o$ a 6o(t0(u0(g 'ut2o*0t. to *+o*g'(03+ t2+ ')10(0st*'t07+ st*u6tu*+ o; t2+ O;;06+ o; t2+ $*+s0)+(t . %he succeedin# numbered para#raphs are not in the nature o$ %rovisos that undu!) !imit the aim and scope o$ the #rant to the President o$ the po+er to reor#ani1e but are to be vie+ed in consonance there+ith. Section 31'1( o$ Executive Order No. 292 speci$ica!!) re$ers to the Presidents po+er to restructure the interna! or#ani1ation o$ the O$$ice o$ the President Pro%er b) abo!ishin# conso!idatin# or mer#in# units hereo$ or trans$errin# $unctions $rom one unit to another +hi!e Section 31'2( and '3( concern executive o$$ices outside the O$$ice o$ the President Pro%er a!!o+in# the President to trans$er an) $unction under the O$$ice o$ the President to an) other *epartment or &#enc) and vice;versa and the trans$er o$ an) a#enc) under the O$$ice o$ the President to an) other department or a#enc) and vice;versa.1.

0n the present instance invo!vin# neither an abo!ition nor trans$er o$ o$$ices the assai!ed action is a mere reor#ani1ation under the #enera! provisions o$ the !a+ consistin# main!) o$ st*+'1:0(0(g the N%& in the interest o$ simp!icit) econom) and e$$icienc). 0t is an act +e!! +ithin the authorit) o$ President motivated and carried out accordin# to the $indin#s o$ the appe!!ate court in #ood $aith a $actua! assessment that this 5ourt cou!d on!) but accept.@1/ 0n passin# re!ative to petitioners "otion $or an En Banc :eso!ution o$ the 5ase it ma) be +e!! to remind counse! that the 5ourtEn Banc is not an appe!!ate tribuna! to +hich appea!s $rom a *ivision o$ the 5ourt ma) be ta2en. & *ivision o$ the 5ourt is the Supreme 5ourt as $u!!) and veritab!) as the 5ourt En Banc itse!$ and a decision o$ its *ivision is as authoritative and $ina! as a decision o$ the 5ourt En Banc. :e$erra!s o$ cases $rom a *ivision to the 5ourt En Banc do not ta2e p!ace as 6ust a matter o$ routine but on!) on such speci$ied #rounds as the 5ourt in its discretion ma) a!!o+.@1<!EREFORE the "otion to &dmit Petition $or En Banc reso!ution and the Petition $or an En Banc :eso!ution are *EN0E* $or !ac2 o$ merit. Get entr) o$ 6ud#ment be made in due course. No costs. SO ORDERED. Davide, Jr., C.J., (Chairman), Ynares-Santiago, Carpio, and Azcuna, JJ., concur.

Endnotes:
1

+ollo pp. .94/0. +ollo pp. /04/1. +ollo p. 1.. +ollo pp. /04/1. +ollo pp. 1.041.1. Section , :u!e 3 199, :evised :u!es o$ 5ivi! Procedure provides<

Parties in interest +ithout +hom no $ina! determination can be had o$ an action sha!! be 6oined either as p!ainti$$s or de$endants.
,

>.:. No. 1.28014802 10 Ju!) 2001 3-0 S5:& ,18. &t pp. ,2-4,30. +ollo pp. //4/,.

SE5. 1,. %he President sha!! have contro! o$ a!! the executive departments bureaus and o$$ices. Ae sha!! ensure that the !a+s be $aith$u!!) executed.
10 11

3u2!od n# Ha+anin# E003 vs. Bamora I&id.

Sec. 2/. '1( %he 5on#ress ma) not increase the appropriations recommended b) the President $or the operation o$ the >overnment as speci$ied in the bud#et. %he $orm content and manner o$ preparation o$ the bud#et sha!! be prescribed b) !a+.
12

'2( No provision or enactment sha!! be embraced in the #enera! appropriations bi!! un!ess it re!ates speci$ica!!) to some particu!ar appropriation therein. &n) such provision or enactment sha!! be !imited in its operation to the appropriation to +hich it re!ates.

'3( %he procedure in approvin# appropriations $or the 5on#ress sha!! strict!) $o!!o+ the procedure $or approvin# appropriations $or other departments and a#encies. '.( & specia! appropriations bi!! sha!! speci$) the purpose $or +hich it is intended and sha!! be supported b) $unds actua!!) avai!ab!e as certi$ied b) the Nationa! %reasurer or to be raised b) a correspondin# revenue proposa! therein. '/( No !a+ sha!! be passed authori1in# an) trans$er o$ appropriations; ho+ever the President the President o$ the Senate the Spea2er o$ the Aouse o$ :epresentatives the 5hie$ Justice o$ the Supreme 5ourt and the heads o$ 5onstitutiona! 5ommissions ma) b) !a+ be authori1ed to au#ment an) item in the #enera! appropriations !a+ $or their respective o$$ices $rom savin#s in other items o$ their respective appropriations. '-( *iscretionar) $unds appropriated $or particu!ar o$$icia!s sha!! be disbursed on!) $or pub!ic purposes to be supported b) appropriate vouchers and sub6ect to such #uide!ines as ma) be prescribed b) !a+. ',( 0$ b) the end o$ an) $isca! )ear the 5on#ress sha!! have $ai!ed to pass the #enera! appropriations bi!! $or the ensuin# $isca! )ear the #enera! appropriations !a+ $or the precedin# $isca! )ear sha!! be deemed reenacted and sha!! remain in $orce and e$$ect unti! the #enera! appropriations bi!! is passed b) the 5on#ress.
13

>.:. No. 1.2283 0- 8ebruar) 2003. 5anoni1ado vs. &#uirre >. :. No. 133132 2/ Januar) 2000 323 S5:& 312.

1.

*ario vs. "ison >. :. Nos. 819/. 819-, 82023 83,3, 8/310 8/33/ I 8-2.1 08 &u#ust 1989 1,- S5:& 8..
1/

Orti#as and 5ompan) Gimited Partnership vs. ?e!asco >. :. Nos. 109-./ I 112/-. 0. "arch 199- 2/. S5:& 23..
1-