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A REVIEWER IN LOCAL GOVERNMENT LAW PROF.

GISELLA DIZON-REYES
I. HISTORICAL BACKGROUND OF LOCAL GOVERNMENTS IN THE PHILIPPINES

“History and Evolution of “The Evolution of Local
Philippine Local Government Government in the
and Administration” Philippines”
By Proserpina Tapales By De Guzman, et al.
Pre-Spanish Period Barangays were the socio- Barangays were indigenous
economic and political units. political institutions, roughly
They are class societies. The equivalent to the Greek city-
basis of the barangay was the states. They are generally
family, enlarged into the kinship composed of 30-100
group, the clan. households, based largely on
kinship.
Each barangay is a state, which
has all four elements of a state
(people, government,
sovereignty and territory) and is
akin to city-states in Europe.
Clusters of barangays Barangays established
sometimes grouped together confederations (i.e., sultanates
(ex. Manila, under Rajah in Mindanao) which have
Soliman, Lakandula and Rajah external relations with the
Matanda) neighboring countries in SE
Asia.
There were also
“superbarangay political
institutions” (ex., Islamic
sultanates of Sulu and
Maguindanao)
A barangay was headed by a A barangay was headed by a
datu, sometimes called hari, datu, also referred to as rajah,
(who acted as legislator, judge gat or lakan. The datu exercised
and executioner) with the executive, legislative, judicial,
assistance of the council of military and religious powers.
elders, the babaylan (presides He is assisted by a council of
over religious ceremonies; also elders known as maginoos,
acts as doctor and astrologer), who served as advisers.
and the panday (responsible
over technology).
Datu’s post was not always Datuship was attained through
hereditary. It often passed on to inheritance, physical prowess,
the best, the most courageous wealth, wisdom or virtue, or a
or the brightest male in the combination of two or more of
community. But sometimes, these traits.
women ascended the tribal
throne (ex., Princess Urduja)
Spanish Period The residents of the barangays The Spaniards substituted
were portioned off to whomever barrios for barangays while
encomendero was entrusted a many of the datus became
portion of land. The Spaniards cabezas de barangay, whose
substituted barrios for task was to collect taxes.
barangays while many of the
datus became cabezas de
barangay, whose task was to
collect taxes.
Through the Royal Decree of 1583, the country was later
organized into provincias (provinces), pueblos
(municipalities), cabildos (cities) and barrios (converted

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A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
barangays).

The pueblo was headed by a The pueblo was headed by a
gobernadorcillo, which was gobernadorcillo, who exercised
later changed to Capitan executive and judicial functions,
Municipal in 1893. assisted by an assessor and a
notary.
The cabildo had 2 alcaldes, 8 The cabildos were municipal
regidores, a registrar and a corporations set up in fairly
constable. urban areas and given
legislative authority. The
cabildo had 2 alcaldes, 8
regidores (elder-men), a
registrar and a constable.

The provincias had the Alcalde The provincias were set up for
Mayor, who also presides over the convenience of
the provincial court (composed administration and constituted
of the assessor and the notary) the immediate agencies
through which the central
government can extend its
authority on numerous villages.
The alcaldes mayores
(governors) were appointed by
the Spanish Gov.-Gen.

A system of indirect elections Even the smallest item of local
was initially utilized, where the business required approval from
electoral college (principalias, Manila (the capital). The local
the learned taxpayers) selected inhabitants were not allowed to
the local leaders. The parish choose their officials and these
priest (the colonizer’s chief and officials, were allowed little
often only representative in the discretion.
locality) presides over these
elections with the head of the
local government. Under the Maura Law of 1893,
local citizens were allowed to
The Maura Law of 1893 sought select some of their officers.
to confer upon the towns and Once selected however, these
provinces of Luzon and Visayas officials were subjected to
greater measure of local supervision by insular
autonomy authorities and had no authority
to act on purely local matters.
Revolutionary Period The Malolos Constitution The main features of the local
provided for: government established by the
Malolos Constitution are:
(1) the creation of municipal
assemblies to administer the (1) popular and direct elections;
affairs of towns and provincial
assemblies for the provinces; (2)publicity of sessions;
and
(3) publication of budgets,
(2) autonomous local units, over accounts, and important
which the central government ordinances;
exercises a certain degree of
supervision or intervention (4)intervention of the central
government, in certain cases;
and
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A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES

(5) determination of their
taxation powers.
The town principalias elected a The distinguished inhabitants of
President, and an official for freed towns were asked to elect
police and internal order, one the chief of town, the headman
for justice and civil registry and for each barrio and three
another for collection of taxes officials. (same as Tapales).
and management of real These officials constituted the
property. popular assembly.
At the provincial level, the chief Together, these 4 officials
(president) was elected by the compose the provincial council.
town heads and there were also
three councilors for each of the
3 services, as in the case of a
town. There is also a military
commander, who has no
jurisdiction over civil affairs
except during war.

While the Malolos Constitution
provided for autonomous local
units, such local autonomy was
still curtailed given the
precarious times the
revolutionary government was
in.
American Period Local governments had to be The pueblo was now called a
created for ease of municipality and the cabildo
administration. Under Gen. was now called a city. Both are
Orders No. 43 and Act No. 82, headed by a mayor.
town (pueblo) government was
the first form of local
government established.
Eventually, town government
was composed of an elected
President, a secretary, a
treasurer, and a Chief of Police.

The organization of provinces The province is headed by the
was effected by Act. No. 83, governor.
which provided for the office of
the elected provincial governor,
treasure and supervisor of
schools. These officials served
as supervisors of the
municipalities.
The Americans maintained a While supervision was different
system of hierarchy and in character from that exercised
centralization that was attuned during the Spanish period but
to Philippine experience. This the tradition of centralism was
was because centralization was not radically changed.
so difficult to reduce.
The Executive Bureau (and
The most notable feature of later, the Department of the
Interior) was in direct control of
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to the Finance Dept. reviewed that the local governments ordinances and resolutions. vice. presidential power to define territorial limits and to alter. GISELLA DIZON-REYES local government under the the various LGU’s. (ex. (3) RA 5185 (Decentralization (3) RA 2264 (Local Autonomy Act) – also removed national Act) – pertained to greater approval over a number of local taxing powers to cities and actions and increased the municipalities. in doing so. the transfer of financial supervision from the Interior Dept. Quezon. diminished national control over both provincial budgeting and (2) RA 2370. barrio officials. Congress passed several laws: Exercising its constitutional (1) RA 2370. Under Pres. period. Commonwealth Period The 1935 CONSTI mentioned Among the significant change in local government only in the administration of national connection with the President’s control over the local units was power of general supervision. amended by RA authority to determine the 3590 (The Barrio Charter) – parameters of presidential recognized the barrio as a legal supervision. several laws: (2) RA 2264 (Local Autonomy (1) RA 2259 (Omnibus Law on Act) – also reorganized the Cities) – provided electivity of structure of the provincial the position of mayors. It issued American regime was the fact orders and circulars. central supervision rapidly increased and was personally exercised by him to a degree previously unheard of. Department of the Interior. shares of provinces in the 4 . centralist relationship between The SC moved away from its the national and local liberal interpretation of governments. But some notable presidential supervision and changes happened during this went to a narrower approach. government and. Appointments of some mayors from 1936 to 1940. divide LGU’s. Congress passed entity. and the Executive Bureau until it served as a centre for was transferred to the assistance to local officials. and councilors. nationalization of the police service) Third Republic That the Philippines became The trend from 1946 to 1972 independent did not alter the was towards decentralization. were under the supervision of examined local budgets.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. amended by RA the planning and 3590 (The Barrio Charter) – implementation of public provided for the electivity of improvements. mayors. merge.

Marcos The Sangguniang Bayan of the issued quite a number of provinces is composed of the decrees affecting local members of the provincial government: board. An Integrated Reorganization Plan was accomplished (through The martial law regime also the first martial law presidential renamed some of the LGU’s: decree) resulting into the barangays for barrios and delineation of the Philippines sanggunian for council. Added functions to the DLGCD include the management of cooperatives and the training of local officials. Congress to pass a local including the power to create. including the vice- sectoral representatives and mayor. Barrios were renamed into barangays and councils were renamed into sanggunians. of Local Government and Community Development. As chief legislator. mandating exercise of legislative power. into 11 regions and the establishment of the Dept. abolish and later the boundaries of LGU’s. making several captains and representatives Metro Manila councils too big 5 . To the DLGCD was delegated the President’s power of general supervision over local governments. governor. divide. the vice-governor. Under Martial Law The 1973 CONSTI provided for a The 1973 CONSTI allowed the separate Article on Local President to continue the Government. government code. and the president of region under the governance of the Katipunan ng mga the Metropolitan Manila Kabataang Barangay in the Commission with Imelda as province. The Sangguniang Bayan of the (2) PD 826 – brought about the cities and municipalities is expansion of the membership of composed of the members of local councils (inclusion of the councils. GISELLA DIZON-REYES (4) RA 5185 (Decentralization internal revenue collections Act) – authorized local governments to supplement the national government in agricultural extension and rural health work. merge.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. representatives of each of the (1) PD 824 – the integration of municipalities within the Metro Manila into a political province. and as many barangay youth leaders).

it still considered as a landmark piece of legislation. New Republic The Batasang Pambansa Among the significant enacted the Local Government provisions in the newly-enacted Code codifying several PD’s LGC was the principle of liberal affecting local government interpretation of local (including the old Local Tax government powers and a Code). Aquino Administration The new Local Government (De Guzman’s article ends with Code was enacted in 1991. brought about by this Code was the creation of LGU’s based on income and population. The local chief executives were the presiding officers of the sangguniang bayan. from other sectors as there were presidential appointee- (3) The creation of special members. composed of all residents under 18 years (later increased to 21) of age. administered by a barangay youth chairman and 6 youth leaders (15-17 years old). the classification cites into highly urbanized and component cities. GISELLA DIZON-REYES and unwieldy. composed of the sangguniang panlalawigan members) The Kabataang Barangay was also created. CONSTI) down version of its author’s original proposal. Among the changes system of recall. The barangay youth chairman is an ex-officio member of the barangay council.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. The Code’s most important feature is the decentralization 6 . Several organizations of these sanggunians were also created: Katipunan ng mga Sanggunian (composed of all sangguniang bayan in provinces and cities. the drafting of the 1987 While somewhat a watered. and the Pampook na Katipunan ng mga Sanggunian (at the regional level. regions out of the Muslim areas of Regions IX and XII.

GD-R: They are interchangeable because a Remaining to be an intra sovereign local government is in fact a corporation for subdivision of one sovereign nation. a system of plebiscite. responsibilities and FACTS: HB No. entitled "An Act resources. 8817. not intended. district which is incorporated. or (PIMENTEL. par. agriculture. public works. GISELLA DIZON-REYES of five basic services – health. authority. Other important features include a modified sectoral representation in legislative councils. to be an imperium in imperio. town. is thereby deconcentrated. Municipal Corporation . incorporation of the inhabitants for the Guingona. constituted by law and possessed of substantial control over its own affairs. Guingona government unit is autonomous in the (1996) sense that it is given more powers. PAGCOR) purpose of local government thereof. enabling especially the A. as distinguished from the to regulate and administer the local or different forms of local governments. and environment and natural resources. NATURE AND STATUS highly centralized in Manila. 2). It oversees the local (MARTIN) governments. social welfare. 2.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. but public purpose. Basco vs.is a political Local government interchangeable with subdivision of the State which is municipal corporations. the local Alvarez vs. (Alvarez vs. Power which used to be Converting the Municipality of Santiago into an 7 . National Government – refers to the agency of the state to assist in the civil entire machinery of the central government of the country but chiefly government. however. internal affairs of the city. Sec. Definitions peripheral local government units to develop not only at their own pace and 1. and involvement in the planning and implementation of development programs II. Local Government . 2.A body discretion but also with their own politic and corporate constituted by the resources and assets. It is established by law partly as an 3. recall and referendum. citing the Admin Code.

by constitutional prescription. The right to create and broaden its own source of revenue. Art.all revenues and receipts collected attending the instant controversy. GISELLA DIZON-REYES Independent Component City to be known as The filing in the Senate of a substitute bill the City of Santiago. for as long as Independent Component City to be Known as the Senate does not act thereupon until it the City of Santiago. 450 of the LGC for it to be needed funds. PAGCOR 8 . 2. HB No. Article VI. VI of the 1987 Constitution. 1243. The right to be given its equitable share should. within its territorial boundaries. was the bill are used to finance its operations. constitutional requirement that a bill of Senate Bill No. 8817 3. 8817 was thus precursive not only and National wealth utilization proceeds of the said Act in question but also of SB accrue to the general fund of the LGU and No. it cannot be denied that HB No. however. Sec. such share being in the HELD: NO. was filed in the HOR first before SB No. IRAs HB No. (The petitioners argued that the income of The acquisition of resources necessary to an LGU does not include the IRA. 7720.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 8817. implementing rules and regulations. a counterpart of HB No. 1243. No violation of Section 24. form of Internal Revenue Allotments (IRAs). or received forming the gross accretions of funds of the LGU. (Tolentino vs. It is reduced to only vesting in every LGU of: P13M. Thus." was filed in the HOR. converted into a component city. Basco vs. 1243 was filed in the Senate. in the proceeds of the utilization and originate exclusively in the HOR. just after the House of Representatives had of Finance) conducted its first public hearing on HB No. if case. in anticipation of its receipt of the bill from the House. 8817 any. RA 7720 is constitutional. The These two bills eventually became RA 7720. does not contravene the Meanwhile. The filing of The funds generated from local taxes. The right to be allocated a just share in national taxes. government unit. "An Act local application should originate in the Converting the Municipality of Santiago into an House of Representatives. further action on the part of the local 24. WON RA 7720 is unconstitutional. The unconstitutional since: IRAs regularly and automatically accrue to • The Act did not originate exclusively the local treasury without need of any from in the House as mandated by Sec. of the 1987 Constitution is perceptible under the circumstances Income. • Internal Revenue Allotments form part of the income of Local Government Units. and • A bill of local application like HB No. The discharge its powers and effectively carry average annual income of Santiago was out its functions is effected through the more than P20M. subject that initiated the legislative process that to specified modes of spending the same culminated in the enactment of Republic as provided for in the LGC and its Act No. 8817. In this development of the national wealth. IRAs are items of income because they form part of the gross accretion of the Petitioners contend that RA 7720 is funds of the local government unit. They thus constitute • Santiago has not met the minimum income which the local government can average annual income required under invariably rely upon as the source of much Sec. 8817. if the IRA is excluded from the computation) 1. entitled." was filed in the Senate receives the House bill.

taxing or HELD: NO. are power of local governments to regulate accordingly repealed. it constitutes regulatory powers. Nature and Status of Municipal Municipal corporation has no inherent Corporations right to impose taxes. the regulations. all laws. The City of Manila's power to impose Under its Charter's repealing clause. it is the sole prerogative of local governments. What is settled is that the matter of regulating.D. As to what state powers WON PD 1896 constitutes a waiver of the should be "decentralized" and what may be right of the City of Manila to impose delegated to local government units remains a taxes and legal fees. Moreover. This doctrine emanates from the otherwise dealing with gambling is a State “supremacy” of the National Government over concern and hence. gambling thru the grant of "franchise. 1869. No. It is therefore a political question.D. P.D. In addition to its Section 2 (Educational Values) of Article XIV of corporate powers. 12 original charter. 3. matter of policy. are questioning the validity of P. The City of Manila. a waiver of a right prejudicial to a 3rd person with a right recognized by law. inconsistent therewith. which concerns wisdom. executive orders. thus violating HELD: NO. It exercises delegated powers of government. PAGCOR is a government state policies enunciated in Sections 11 owned or controlled corporation with an (Personal Dignity and Human Rights). rules and been revoked. being a mere B. licenses or permits" was withdrawn by Petitioners. Local governments have no power to of the equal protection clause and local tax instrumentalities of the National autonomy as well as for running counter to the Government. amended or modified. the State to retain it or delegate it to local governments. (Allegedly. 771 and was vested No. The Charter of the City of Manila is charter is granted for the better government of subject to control by Congress. an instrumentality of state administration. GISELLA DIZON-REYES (1991) should be stressed that "municipal corporations are mere creatures of FACTS: PAGCOR was created under P. policy and public order. They allege that the same is "null exclusively on the National and void" for being "contrary to morals. license fees on gambling. public Government. To legislative powers"." monopolistic and tends toward "crony economy". Its 2. As early as 1975.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 1896 Congress" which has the power to to enable the Government to regulate and "create and abolish municipal centralize all games of chance authorized by corporations" due to its "general existing franchise or permitted by law. 9 . The principle of local autonomy local autonomy) under the 1987 Constitution simply means "decentralization". it WON PD 1896 violates local autonomy. and is violative 4. Its "power to tax" therefore must always yield to a MARTIN: legislative act which is superior having It is a subordinate branch of the government been passed upon by the state itself of the State. It the particular areas or districts. All of its shares of (Family) and 13 (Role of Youth) of Article II. waived the Manila City government’s right to impose taxes and license fees. stocks are owned by the National Section 1 (Social Justice) of Article XIII and Government. and municipal administration as which has the "inherent power to tax”. has long decrees. attain these objectives PAGCOR is given territorial jurisdiction all over the Philippines. it also exercises the 1987 Constitution. 1.

an instrumentality of the state. province. attributes. Sec. Municipal Corporation Proper – generally refers to incorporated Partnerships and associations for private cities. 47. GISELLA DIZON-REYES It is a political division of the state and variedly Art. Inhabitants constituting the population. Upon the dissolution of corporations. aim. their organization. created by law. as well as incur state. the laws creating or recognizing them. 1 provinces. an agent of the state. and properties expressly authorized by law or Civil Code incident to its existence (Act 1459. a mere obligations and bring civil or criminal actions. towns.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. constitutionally be granted governmental powers. or end and for public interest or purpose. institutions and entities some private purpose. a miniature possess property of all kinds. (38a) Elements of a municipal corporation: Art. benefit. A territory within which local civil MARTIN: government / corporate functions are A corporation is an artificial being created by exercised. for the accomplishment of its own public works. Art. the same. having the right of C. The following are juridical persons: intangible. separate and Public corporations are those formed or distinct from that of each shareholder. creature of the same. (35a) the State. their property and other assets shall 2. the property and other 3. They are governed by the Corporation (3) Corporations. specified on this point. It is described as “an artificial being. (examples: governments of Art. partner organized for the government of a portion of or member. They are further classified into: Private corporations are regulated by laws of general application on the subject. institutions and other entities for public 1. for private interest or purpose to which the law grants a juridical personality. They and 2 of the preceding article are governed by are created by their charters and other laws. If nothing has been corporate acts are done. city or corporate powers which are executed municipality which during the existence of the through duly constituted officers and institution derived the principal benefits from agents. (39a) 4. in conformity with the laws and regulations of and the like. operation of law. chartered cities. Kinds of Municipal Corporations succession and the powers. Juridical persons mentioned in Nos. or villages invested interest or purpose are governed by the with the power of local legislation provisions of this Code concerning and administration. 44. 1. and existing only in contemplation of law”. Private corporations are those formed for (2) Other corporations. invisible. are organized wholly for the profit and their personality begins as soon as they have advantage of their own members. interest or purpose mentioned in No. (36 and 37a) 10 . 45. (1) The State and its political subdivisions. 46. partnerships. A corporate name by which the artificial be disposed of in pursuance of law or the personality is known and in which all charter creating them. 2 of Article 44. barangays). and cannot been constituted according to law. assets shall be applied to similar purposes for who are invested with the political and the benefit of the region. partnerships and associations Code. 2). Juridical persons may acquire and described as an arm of the state. A legal corporation or incorporation.

Dual Nature 1. for purpose of • Existence or nonexistence of a charter civil administration. sovereign will and delegation (i. • Public / Governmental – The They are called into They are local corporation acts as an agent of the existence either at subdivisions of the State for the government of the direct solicitation or state. (“Public corporation” is a broader category) D. they are created as municipal: agencies of the State for a narrow and limited purpose. are invested • Whether the purpose of the corporation is with few characteristics of corporate solely as a governmental agency or one for existence. They have powers They don’t have Every municipal corporation has a two-fold and liabilities of self. consent or concurrent action of • Private – The corporation acts in a the people who similar category as a business inhabit them. etc. police power. (examples: counties corporation proper and public school districts. it shall exercise powers as a political subdivision of the National It is governed by its It operates directly as Government and as a corporate entity charter. GISELLA DIZON-REYES 2. corporation is municipal or quasi- corporation. 15. created by territory and the people within the by the free consent of sovereign legislative municipal limits. to help in the administration of MARTIN: public functions. of self-government. Every local government unit corporation created or recognized under this Code is a body politic and corporate endowed with Municipal Quasi-municipal powers to be exercised by it in conformity with Corporation corporation law. corporation hospital districts water districts. taxation. fire districts. powers and liabilities character: government. They are • Voluntary or involuntary nature of the sometimes “involuntary” corporation corporations and are only local organizations which..) All municipal corporations are public corporations but not all public corporations are municipal corporations. Sec. an agency of the state representing the inhabitants of its territory.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. doing functions not strictly governmental or political. without particular eminent domain) solicitation. It stands for the community in the administration of 11 .e. Dual nature and functions of municipal corporations Distinction between municipal corporation proper and quasi-municipal LGC. It exercises a part of the persons power of its own the sovereignty of the state by composing them. Criteria to determine whether a another term for a Quasi. Quasi-Municipal Corporation . As such. corporation. They consist of various self-government local government areas established to aid in the administration of public Distinction between municipal functions.

COMELEC principal and agent.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Lanao del Sur.in two entity and in no way liable for the debts of the municipalities in the province of Cotabato — Spanish municipality. creating the new municipality of been reincorporated under Act 183 of the Dianaton. the city. Apprised of WON the city of Manila is still liable for this development. beyond the sphere of the Municipal laws that regulate private and public purposes for which its domestic rights continue in force until government powers are conferred. one subject rule. in every legal sense. Philippine Islands. as agent of the State. no reference to obligations or contracts of the old city. abrogated or changed by the new ruler. The juristic identity of the corporation creditor of the Ayuntamiento of Manila as it has been in no wise affected. where the sovereign gets (1967) changed. As such it is entitled to Paris of December 10. the Office of the President. In bill. to the cession to the US. the one character a municipal corporation is a and declared that the statute "should be governmental subdivision. that their case is analogous to a Lidasan vs. the latter character it stands for the community in the administration of local WON RA 4790 is unconstitutional for affairs wholly beyond the sphere of the public violating the one bill. GISELLA DIZON-REYES local affairs. In the other character the law is unconstitutional for violating the one it is a mere legal entity or juristic person. purpose for which its governmental powers are conferred. 1898. COMELEC adopted a The Philippine SC held that the present resolution which affirms the new municipality. subject its present charter from the Government of the to all of its liabilities. municipalities of Cotabato." Lidasan argues that sovereignty of the state. that the city of Manila has 4790. The action was the property and property rights of the brought upon the theory that the city. Prompted by the coming elections. City of Manila abrogated or changed by the new ruler. and is. under predecessor corporation. The case was appealed are transferred to the province of Lanao del to the US SC. The (1911) property rights relinquished by Spain are limited to those which belong to the public FACTS: The petitioner in this case was a domain. In The COMELEC. and for that implemented unless declared unconstitutional purpose exercises by delegation a part of the by the Supreme Court. in law. municipality is a totally different corporate As the law stood. old city. was the same juristic person. 12 . Municipal corporations exercise correcting legislation. recommended to Comelec that the operation of the statute be suspended until "clarified by HELD: YES. twelve barrios . and liable upon the obligations of the Absent any express legislative declaration." powers which are governmental and powers which are of a private or business character. one subject rule. the Islands to the United States by the Treaty of successor of the old. and. Some of the barrios Philippine Commission and thus not liable for included in the new municipality came from the said obligations. could no longer be held accountable for debts of the FACTS: The President signed into law RA previous sovereign. Only laws of a political character are totally Villas vs. there is no reason to suppose that reincorporation intended to permit an escape The City of Manila argued that its charter has from the obligations of the old city. stood by its own interpretation. the existed before the cession of the Philippine present city is. Sur. the obligations of the city incurred prior through the Assistant Executive Secretary. in law. This brought about a change in the boundaries of the two provinces.

firms and entities are population. in relation to Sec 4 PD 1151. this unduly stretches judicial Not the slightest intimation is there that interpretation of congressional intent beyond communities in the adjacent province of credibility point. not being an agency or instrumentality of proponent thereof. states that the exclusio alterius. conjectured. large aggregate population and 13 . And then the reduced area WON the City of Davao was within the poses a number of questions. It also held that Davao must twelve barrios in the municipalities of undergo the environmental impact assessment Cotabato. And yet. That this is so. their proposed projects which have significant unquestionably. thus it was acting for their own purposes and not a outside the scope of the EIA system. Davao argues an agency of the community in the that its proposed project was neither an administration of local affairs. Environmental Impact Statement instrumentality of the State in carrying out the System. The TC ruled in favor of Davao. which is a barrio in Cotabato. with the mere nullification of the proposed project was w/in an environmentally portion thereof which took away the critical area. several factors come to the fore only agencies and instrumentalities of the in the consideration of whether a group of national government. including government barrios is capable of maintaining itself as an owned or controlled corporations. in the Congress intended to create Dianaton with Province of Lanao del Sur" — projects the only nine—of the original twenty-one—barrios. indeed. subdivision of the State. impression that solely the province of Lanao with a seat of government still left to be del Sur is affected by the creation of Dianaton. is to pass Cotabato are incorporated in this new Lanao the line which circumscribes the judiciary and del Sur town. the Davao City Sports Dome with the Environmental Management Bureau WON RA 4790 may still be salvaged with (EMB) with the required documents. The transfer of a sizeable portion tread on legislative premises of territory from one province to another of necessity involves reduction of area. An LGU is a body politic and basic considerations of progressive corporate endowed with powers to be community. they serve as an PD 1586. Republic vs. It is in the latter environmentally critical project nor within an character that they are a separate entity environmentally critical area. the SC may not now say that Creating the Municipality of Dianaton. may not supply the answers. the title did not reflect for a Certificate of Non-Coverage (CNC) for its this fact. under the principle of expressio unius est thereafter enacted into law. Amongst these are private corporations. Municipal corporations perform construction of its project pursuant to Sec 2 of twin functions. proposed project. they act as Philippine Environment Policy. Firstly. When the mandated to go through the EIA process for foregoing bill was presented in Congress. holding that Consequently.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. is plainly the National Government. This is as important as the creation of a FACTS: The City of Davao filed an application municipality. to which the SC scope of the EIA. the totality of the 21barrios— effect on the quality of the environment. With the known premise that Dianaton was created upon the HELD: YES. Secondly. City of Davao population and income of the first and the (2002) corresponding increase of those of the other. functions of government. EMB reference to the 9 barrios in Lanao del denied the application after finding that the Sur. seat of the government is in Togaig. For. To do so. (EIA) to secure Environmental Compliance Certificate (ECC) before it can proceed with HELD: NO. GISELLA DIZON-REYES HELD: YES. In the CAB. and income. An not 9 barrios—was in the mind of the LGU. the title — "An Act sufficient income. as well as independent municipality. territory. is deemed excluded evident by the fact that the bill itself.

Hence. Section 1. the plebiscite. management. 6-24 of the LGC. Purposes safety. thoroughly discussed later in the syllabus) Section 1 of EIS law intends to implement state policy to achieve a balance between socio-economic development and III. and Municipal corporations are created for a two- • Proprietary – seeks to obtain special fold purpose: corporate benefits or earn pecuniary profit and intended for private • To serve as an agency or instrument of advantage and benefit. municipalities. of the community in the regulation of LGC) and to ensure quality of environment. 1987 CONSTI. General Powers and Attributes juridical. The Whereas clause of the same law stresses that this balance can 1987 CONSTI. GD-R: Ma’am believes that Environmental • NOTE: Only the ARMM (RA 6734) was protection is still not fully devolved therefore successfully created and approved in a Congress still oversees it closely. Art. wharves. City of Davao”.e. LGU’s are juridical persons. It has dual functions: • Governmental – concerns health. was rejected in the plebiscite held in the said region. has same the objectives. It is a ministerial listed in this provision. There are involved. ferries. The state and its subdivisions i. they will be not excluded from EIS law. PIMENTEL: HOWEVER. provided. exemption from the coverage of EIS law which maintenance of water system. LGU has the duty to promote the • To act as an agency of the inhabitants people’s right to a balanced ecology (Sec. and As a body politic endowed with governmental functions.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. of the community – government and private – cities. and barangays. government which the state cannot conveniently exercise. Davao cannot claim promotion. DENR has no subdivision other than those exclusively choice but to issue the CNC. mandamus. It acts as an agency of MARTIN: national government. A constitutional duty that can be compelled by a writ of amendment is required to do so. LGU’s as part of the shall be autonomous regions in Muslim machinery of the government cannot be Mindanao and the Cordilleras as hereinafter deemed outside the scope of the EIS law. LGU’s are (See Secs. Thus. Acts as agent of the state in carrying on the functions of community. GENERAL PRINCIPLES AND POLICIES environmental protection. GISELLA DIZON-REYES exercised inconformity with law. of public good and welfare. X. The Congress shall enact a local government code 14 . 16. 2. Thus. The proposed CAR (RA 6766) title of the case: “Republic vs. Section 3. of local affairs. municipal franchises and public utilities Pursuant to this. etc. The only be achieved through a comprehensive territorial and political subdivisions of the and integrated program where all the sectors Republic of the Philippines are the provinces. X. advancement. Art. since it is clear that the said • Congress cannot simply pass a law to project is not classified as environmentally create another territorial and political critical nor within critical area. Civil Code defines a person as either natural or 3.

• NOTE: The LGC did not impliedly repeal the coordination. and resources. and provide for the qualifications. as determined by created shall be limited to basic services law. installation of a system and administration. The jurisdiction of the 1987 CONSTI.A. implementation. appointment and • NOTE: RA 7924 created the MMDA. comprise another territorial and political and referendum. Section 1 of this Article. GISELLA DIZON-REYES which shall provide for a more responsive and PIMENTEL: accountable local government structure • Special metropolitan political subdivisions instituted through a system of decentralization created under this provision do not with effective mechanisms of recall. zoning. PAGCOR Charter (Magtajas vs. 7924 that grants the MMDA Congress may. Cities metropolitan authority that will thereby be that are highly urbanized. salaries. regulation. and component cities whose charters requiring coordination.) setting of policies. Properties Corp. (MMDA vs. X. operation of the local units. the powers of the MMDA are limited to the following acts: formulation. Section 11. • “Metro-wide services” . responsibilities. The in R. Art. management. let alone legislative metropolitan political subdivisions. Bel-Air retain their basic autonomy and shall be Village Association) entitled to their own local executive and legislative assemblies. salaries and protection and pollution control emoluments of local officials − Public safety − Appointment and discipline of local government officials • HOWEVER. subject to a power. urban − Term of office. There is no syllable 1987 CONSTI.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Section 12. No. Its scope cover the vested in the people following: − Power of independent initiation and − Development planning approval of local legislation vested − Transport and traffic management in the people − Solid waste disposal and − Power of voicing out the people’s management stand on local issues through − Flood control and sewerage referenda management − Qualifications of local elective − Urban renewal.those services which have metro-wide impact and transcend local political boundaries or PIMENTEL: entail huge expenditures such that it would • The following are the notable features of not be viable for said services to be the LGC passed by Congress: provided by the individual local − System of decentralization government units (LGUs) comprising − Power of recall of abusive officers Metropolitan Manila. term. Art. powers and functions agency that administers the metro-wide and duties of local officials. create special police power. initiative. monitoring.Pryce preparation. by law. The in nature and these are actually summed component cities and municipalities shall up in the charter itself. the removal. X. election. and all other basic services affecting the LGU’s of Metro matters relating to the organization and Manila. and land use officials planning. and shelter services − Manner of election of local officials − Health and sanitation. allocate among the different subdivision similar to that created in local government units their powers. prohibit their voters from voting for provincial 15 . All its functions are administrative plebiscite as set forth in Section 10 hereof.

this promotes smoother and harmonious (a) It is hereby declared the policy of the State relationships not only between the that the territorial and political subdivisions of central government and the LGU’s the State shall enjoy genuine and meaningful but also between the government local autonomy to enable them to attain their (local and central) and the people. fullest development as self-reliant 16 . important policies on local autonomy (supra) enshrined in the CONSTI: − Genuine and meaningful local autonomy – even barangays are meant to possess this so that they may develop fully as self-reliant communities (De Leon vs. GISELLA DIZON-REYES elective officials. express their will. economic. 2. and resources. shall not be deprived of their more responsive and accountable local right to vote for elective provincial officials. It would also show (b) It is also the policy of the State to ensure whether the city has sufficient economic or the accountability of local government units industrial activity as to warrant its through the institution of effective independence from the province where it is mechanisms of recall. government structure instituted through a system of decentralization whereby local PIMENTEL: government units shall be given more powers. within a province. which process of decentralization shall proceed from would tend to show WON a city is capable the national government to the local of existence and development as a government units. SEC. − Mandatory annual periodic LGC. income need the continued support of the provincial government thus justifying the (c) It is likewise the policy of the State to continued participation of the voters in the require all national agencies and offices to election of provincial officials in some conduct periodic consultations with instances. COMELEC) appropriate local government units. and political unit. Declaration of Policy. shall be independent of the communities and make them more effective province. (Ceniza vs. responsibilities. non- governmental and people's organizations. – consultation . whose charters contain no Toward this end. initiative and geographically situated. Esguerra) − Accountable local officials – gives rise to people empowerment through the vesting in the LGC. Cities with smaller referendum.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. The the cities’ regular annual income. and cited as the "Local Government Code of referendum and recall to effectively 1991". relatively independent social. The voters of component cities partners in the attainment of national goals. the State shall provide for a such prohibition. and other concerned sectors of the community • The practice of allowing voters in one before any project or program is implemented component city to vote for provincial in their respective jurisdictions. officials and denying the same privilege to voters in another component city is a matter of legislative discretion which PIMENTEL: violates neither the Constitution (equal • This is basically a reiteration of the most protection) nor the voter's right of suffrage. Title.This Act shall be known constituents the powers of initiative. . • This system of classification is based upon authority. SEC 1.

. organizational reforms. PIMENTEL: (f) Local government units may group • These provisions are meant to: themselves. rules and accountability of local government units to regulations. fitness. LGC. (k) The realization of local autonomy shall be facilitated through improved coordination of (d) The vesting of duty.The formulation and opportunities to participate actively in the implementation of policies and measures on implementation of national programs and local autonomy shall be guided by the projects. services. SEC. particularly in the delivery of right to a just share in national taxes and an basic services. local officials and employees paid their respective constituents shall be wholly or mainly from local funds shall be strengthened in order to upgrade continually appointed or removed. operating mechanism that will meet the subject to the provisions of this Code and priority needs and service requirements of its national policies. especially the municipalities and barangays. hence. (i) Local government units shall share with the (b) There shall be established in every local national government the responsibility in the government unit an accountable. and resources for purposes from happening again) commonly beneficial to them. and resources. development. by the appropriate appointing authority. they shall have the power to create and (l) The participation of the private sector in broaden their own sources of revenue and the local governance. shall be encouraged to ensure equitable share in the proceeds of the the viability of local autonomy as an utilization and development of the national alternative strategy for sustainable wealth within their respective areas. according to merit and the quality of local leadership. (g) The capabilities of local government units. consolidate or coordinate their 17 . responsibilities. communities. shall ensure that the acts of their local government units and the quality of component units are within the scope of their community life.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. and (e) Provinces with respect to component cities (m) The national government shall ensure and municipalities. (j) Effective mechanisms for ensuring the (c) Subject to civil service law. and effectively carry out their functions. following operative principles: (h) There shall be a continuing mechanism to (a) There shall be an effective allocation enhance local autonomy not only by legislative among the different local government units of enabling acts but also by administrative and their respective powers. and cities and that decentralization contributes to the municipalities with respect to component continuing improvement of the performance of barangays. responsibility. prescribed powers and functions. functions. and management and maintenance of ecological dynamic organizational structure and balance within their territorial jurisdiction. Operative Principles of shall be enhanced by providing them with Decentralization. GISELLA DIZON-REYES (To prevent the Chico Dam fiasco efforts. 3. and national government policies and programs accountability in local government units shall and extension of adequate technical and be accompanied with provision for reasonably material assistance to less developed and adequate resources to discharge their powers deserving local government units. efficient.

5. the protection of the environment was lodged (b) In case of doubt. demand the DILG. barangays. SEC. In the same provision. Now. component cities whose charters the interpretation of the provisions of this prohibit their voters from voting for Code. DENR – to the extent that its shares implementation of decentralization. and • “Other political subdivisions” – refers to special metropolitan areas and (e) In the resolution of controversies arising autonomous political units. to officials. DOT. the following rules shall apply: provincial elective officials are independent of the province. (NOTE: The under this Code where no legal provision or ARMM is covered by the LGC until they jurisprudence applies. cities are classified into highly of powers and of the lower local government urbanized. and. existence of the power shall be interpreted in favor of the local government unit concerned. strictly against the person claiming it. Rules of Interpretation.This Code shall apply to all provinces. component and independent unit. with the LGU’s functions relating to ecology) • Section 12.In cities. involving a local government unit shall be or agencies of the national government. this duty is shared by revenue measure shall be construed strictly the national government with the LGU’s against the local government unit enacting it. • Before the effectivity of the LGC. 4. offices or agencies policies and measures on local mentioned in this provision refers to those autonomy and decentralization whose personnel and functions are − give leverage to local officials to devolved and discharged to appropriate enable them to monitor and. resort may be had to shall have enacted their own Local the customs and traditions in the place where Government Code) the controversies take place. Any tax exemption. cities. to LGU’s (example: DSWD. any question similar prohibition. DOH. offices. (Abella vs. GISELLA DIZON-REYES − guide the national government in formulating and implementing • The national officials. • Modernization and development of the (c) The general welfare provisions in this Code nation must be tempered with a concern shall be liberally interpreted to give more for sound ecology and wholesome powers to local government units in environment. governed by the original terms and conditions of said contracts or the law in force at the time PIMENTEL: such rights were vested. Scope of Application. to contracts or any other source of prestation the extent herein provided. COMELEC) thereon shall be resolved in favor of devolution Hence. . 18 . and in case of doubt. (example: mandatory consultations) and liberally in favor of the taxpayer. DA. the LGU’s must not supplant or local government unit pursuant to the negate the national government policies on provisions of this Code shall be construed environment. . LGC.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. some extent. (d) Rights and obligations existing on the date municipalities. SEC. incentive or relief granted by any HOWEVER. Any fair and reasonable doubt as to the component. and other political of effectivity of this Code and arising out of subdivisions as may be created by law. Article X of the Constitution is explicit in that aside from highly-urbanized LGC. accelerating economic development and upgrading the quality of life for the people in the community. any tax ordinance or in the DENR. it (a) Any provision on a power of a local provides for other component cities within government unit shall be liberally interpreted a province whose charters do not provide a in its favor.

Guingona. Cordillera Bodong governments. Art. Montejo) • Every LGU shall exercise the powers expressly granted. which includes the following provisions: part of the Philippine judicial system which 19 . repetition of acts. in Badua vs. civil law.e. The territorial and political standard or practice or bodies of these. serving as the established guide of an individual or group. • Tradition – an inherited principle. (Alvarez vs. HOWEVER. GISELLA DIZON-REYES consists of the Supreme Court and the PIMENTEL: lower courts which have been established • Interpretation comes into play only when by law. the indigenous and special courts nor the tribal courts for the indigenous FACTS: President Ramos issued AO 372 cultural communities of the Cordillera entitled “Adoption of Economy Measures for FY region. the SC held that since the federalism. Section 2. According to Gorospe. Section 25. appropriate. externally imposed religious Art. local autonomy is and obligatory". a cultural feature PIMENTEL: preserved or evoked from the past of a • NOTE: While local autonomy is meant to tribe or cultural community. the law does not speak in clear and categorical language. creation of the Cordillera Autonomous Region was rejected the Cordillera Pimentel vs. Hence. (2000) Hence.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Sec. (Saculdito vs. A local from the national government to the LGU’s. Basco vs. or incidental for its efficient and effective governance. decentralization.a rule of conduct formed by government. Local Autonomy necessary. (LGC. break up the monopoly of the national government over the affairs of local HOWEVER. 16) “autonomos” (to live under one’s laws). as well as powers A. legally binding • In Philippine context. it does not (Yao Kee vs. those necessarily implied therefrom. the autonomy of local governments. uniformly observed (practiced) as a social rule. subdivisions shall enjoy local autonomy. it is not meant to usher Administration. and PIMENTEL: those which are essential to the promotion • Autonomy – comes from the Greek word of the general welfare. in case of conflict 1987 CONSTI between the adat and any exterior law (i. They are not a 1998”. of governance (albeit limited in character) according to the rules of evidence". The State shall ensure law) the adat prevails. legality and religion. do not legally exist. Aguirre Autonomous Region did not come to be. it is the state of independence and self- • Custom . Filipino customary Batanes) law (adat) synthesizes morality. The law requires that "a the shift of the responsibilities and powers custom must be proved as a fact. II. Sy-Gonzales) make local governments sovereign within the state. custom as a source of right cannot be It means a more responsive and considered by a court of justice unless such accountable local government structure custom is properly established by instituted through a system of competent evidence like any other fact.. X.

or withheld. that no legal sanction may be the only CPA among the contenders. shares of the LGUs in the national revenue. the temporary nature of the retention by the • Section 4 provided that the amount national government does not matter. there are several requisites before the Development Budget Coordinating the President may interfere in local fiscal Committee of the emerging fiscal situation. Almajose without the knowledge of Gov. While the government. matters: (1) an unmanaged public sector deficit of the national government. It is understood. evaluation by DBCC). All concerned could do However. NO for Section 4. policy- general supervision over local setting for the entire country still lies in the governments. Administrative Order No.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. IV Director informed Gov. San Juan. signed the appointment papers of not follow such advice. only administrative powers over expenditures and that the 10% withholding is local affairs are delegated to political only temporary. which means “something held back by at least 25%. The new Reg. with local autonomy. President and Congress. Thus. subdivisions. a mandatory or binding order that interferes asking him to endorse the appointment. DBM imposed upon LGUs and their officials who do Usec. any power of control over LGU’s. and while the requirements of the LGC (1991) (Sec. less than thirty percent (30%) of the collection of national internal revenue taxes of the third The Solicitor General contended that this was fiscal year preceding the current one. the programs and policies effected WON the said sections of the AO are valid locally must be integrated and coordinated exercises of the President's power of towards a common national goal. the directive to implement measures that will FACTS: Gov. wordings of Sec. However. 372. Although what is provided for in Section 4 20 . Furthermore. it is equivalent to a to reduce total expenditures for the year holdback. San Juan appointed Santos as reduce total expenditures by 25% is merely Acting PBO (Provincial Budget Officer) of Rizal advisory in character. Any equivalent to 10% of the internal revenue retention is prohibited. This reduced the amount Senate and the HOR and the presidents of the withheld to 5%. GISELLA DIZON-REYES • Section 1 directed all government is merely temporary (pending assessment & departments and agencies. including LGUs. appointment of Almajose as PBO since she is however.” Hence. A basic feature of local San Juan that Santos was not qualified and fiscal autonomy is the automatic release of the asked that he submit 3 other nominees. CSC tone. that Under the Philippine concept of local the AO merely “directs” LGUs to reduce their autonomy. allotment to LGUs shall be withheld pending the assessment and evaluation by Moreover. the Director recommended the well to heed this advisory. He argues that Interior and Local Government. and Budget the president would in effect exercise the and Management. various local leagues. issued to alleviate economic difficulties. when only adjustment in the allotment shall in no case be supervision is allowed by the CONSTI. often temporarily. San Juan learned of Almajoses’s This is mandated by the Constitution and the appointment by the Usec and filed a letter- LGC. 1 have a rather commanding San Juan vs. To enable the country to develop as a whole. Gov. 284) have not been satisfied. and does not constitute Province and informed DBM Region IV Director. (2) AO 43 was issued by President Estrada when consultations with the presiding officers of the he assumed office. Municipal governments are still agents of the national HELD: YES for Section 1. and (3) the corresponding recommendation of the Pimentel sought to annul Sections 1 & 4 of secretaries of the Department of Finance.

the scales must be weighed in the power of ensuring that laws are favor of autonomy. one in perform their duties. If the DBM Secretary jealously − Supervision is not a meaningless hoards the entirety of budgetary powers and thing. "means the power of an officer to alter or Our national officials should not only comply modify or nullify or set aside what a with the constitutional provisions on local subordinate had done in the autonomy but should also appreciate the performance of their duties and to spirit of liberty upon which these provisions substitute the judgment of the are based. The clear mandate on the authority of an officer to see local autonomy must be obeyed. on the other hand. shall WON the DBM can appoint another ensure that the acts of their component units person if the governor recommend an are within the scope of their prescribed powers unqualified person to the position of and functions. but develop self-reliance and resoluteness in the it at least implies authority to handling of their own funds. The DBM cannot appoint anyone it • NOTE: Supervision. important constitutional policy and principle.” (Pimentel vs. If supervision is to be conscientious The DBM may appoint only from the list of and rational. the goal of inquire into facts and conditions meaningful local autonomy is frustrated and (investigation) in order to render set back. it went against the letter and spirit Secretary) of the constitutional provisions on local autonomy. not control! The wants when the recomendee of the Governor President even has to exercise such power is unqualified. Executive directory. GISELLA DIZON-REYES protest with the DBM Secretary. It is ignores the right of local governments to certainly not without limitation. MFR was President of the Philippines shall exercise denied. Aguirre. Art. Section 4. Service Commission (CSC) which issued a Provinces with respect to component cities and resolution dismissing Gov. The favor of centralized power in Malacañang President's power of general and the other beneficial to local supervision means no more than autonomy. it must be founded upon a Governor. the power real and effective. or that subordinate officers act within the When CSC interpreted the recommending law. (Joson vs. If none is qualified. Thus. The that letter-protest is not meritorious. Where a law that the subordinate officers is capable of two interpretations. Provincial Budget Officer. Gov. and cities and municipalities with respect to component barangays. he must return knowledge of actual facts and the list of nominees to the Governor explaining conditions disclosed after careful why no one meets the legal requirements and study and investigation. San Juan appealed to Civil general supervision over local governments. Supervision is not incompatible power of the Provincial Governor as purely with discipline. CSC) 21 . ask for new recommendees who have the Gil) necessary eligibilities and qualifications. (Planas vs. through the larger LGU’s WRT their component LGU’s. X. This power is part of the The issue involves the application of a most system of checks and balances. former for that of the latter. DBM ruled 1987 CONSTI.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. San Juan vs. − Supervision means overseeing or that of local autonomy. It is an active power. − Control. municipalities. San Juan’s claim. faithfully executed. and not automatic and qualified recommendees nominated by the brutal. PIMENTEL: HELD: NO.

under the the President's alter ego. (with respect to the supervision clause) It is our opinion that the omission (of "as may was meant but to deny legislative be provided by law") signifies nothing more control over local governments. The new Constitution does not or the President of her prerogative as prescribe federalism. involves a mere and/or remove local officials. it did than to underscore local governments' not exempt the latter from legislative autonomy from congress and to break regulations provided regulation is Congress' "control" over local government consistent with the fundamental affairs. culpable violation of the however. It is noteworthy finally. decentralization of administration. which suggest that Congress CA dismissed all the cases. can suspend Constitution. in the to realize autonomy at the local level. sub FACTS: A series of administrative complaints. and as the arguing that he was denied due process and existing Local Government Code has done. may exercise removal powers. but subject to. he ordered Guanzon's second preventive It is noteworthy that under the Charter. in particular. Charter allows Congress to include in the local Undaunted. and insofar as existing legislation Constitution. In resume the Court is laying down the following rules: Whether or not the DILG Secretary. conduct. the issued another order. a local tax law. the objective of the framers to ten in number. Notwithstanding the change in accountable to the central government the constitutional language. not intend to divest the legislature of its right 2. the charter did in the manner the law may provide. in which local officials remain HELD: YES. GISELLA DIZON-REYES deprive the legislature of all authority over Ganzon vs. disgraceful and immoral legislation. a petition for prohibition. CA municipal corporations. Meanwhile. as observed among them. The Constitution did not. "local suspension for another sixty (60) days. the passage of Amidst the two successive suspensions. authorizes the President (through the Secretary of Local Government) to proceed Finding probable grounds and reasons. like the power of local grave misconduct. premise of autonomy. congressional control of its affairs. abuse of authority. the DILG Secretary noteworthy that in spite of autonomy.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Local autonomy. representation law. Ganzon cries foul. that the President has no power to investigate delegate its exercise to the President. conferred by existing legislation to provide 3. Mayor Ganzon commenced before government code provisions for removal of the CA. or suspend local officials because of the deletion of a clause in the present CONSTI. It is also respondent CA. and designating Executive. preventively suspending Constitution places the local government Mayor Ganzon for another sixty days. to 22 . the deletion of "as may be provided by law" was meant to stress. intimidation. however. the third under the general supervision of the time in twenty months. silencio. that the meantime the Vice-Mayor as acting mayor. Mayor a local government code. on various charges. and arbitrary detention. order for a period of sixty days. Presently. and measures designed he instituted an action for prohibition. the against local officials administratively. among other things. autonomy" is not instantly self-executing. oppression. the local officials. not of power. was filed against Mayor Ganzon strengthen local autonomy by severing by various city officials. as 1. by the Court of Appeals. (1991) concerning discipline. Ganzon instituted an action for prohibition income distribution legislation. and a national against the respondent in the RTC. The Constitution did nothing more. However. The change in constitutional language administrative sanctions against local officials. intend. In the other case. the DILG Secretary issued a preventive suspension Constitution contains no prohibition. for the sake of local autonomy.

shall be independent of the new province proclaimed and its officials province. the Mayor is in fact facing the possibility of 600 days of Tan et al. except in accordance suspension. The The Solicitor General argued that BP 885 component cities and municipalities shall enjoys a presumption of legality and that the retain their basic autonomy and shall be question is moot since the province of Negros entitled to their own local executive and del Norte had already been proclaimed after legislative assemblies. abolished. who are residents of the Province of Negros Occidental. X. such prohibition. required by the said law. whose charters contain no accountable to the national authority. misfeasance) but it is certainly another divided. Government Code. Section 11. merged. What bothers conducted 120 days from the approval of the the Court. Since local governments remain within a province. Art. "Supervision" and "investigation" are not inconsistent terms. the prohibit their voters from voting for provincial fact that such plebiscite had been held and a elective officials. subject to a plebiscite as set forth in Section 10 hereof. impose disciplinary action against local Tan v COMELEC officials. GISELLA DIZON-REYES 4. The course tolerating misfeasance in public office Constitution states that no province. X. through the Prohibition for the purpose of stopping DILG Secretary is not precluded from respondents COMELEC from conducting the exercising a legal power. which is effectively. exclusion of the voters from the rest of the province of Negros Occidental (parent province). administrative charges. or barrio may be created. by law. or its boundaries question to make him serve 600 days of substantially altered. and in the right to vote for elective provincial officials. Art. to the requiring coordination. The Court is not of accord with the Local Government Code. metropolitan political subdivisions. and component cities whose charters compliance with constitutional requisites. The voters of component cities 23 . 1987 CONSTI. by law. shall not be deprived of their the latter may.500 square kilometers as its territory. Act and that the President was to appoint the is the fact that since the Mayor is facing ten first officials. Cities HELD: NO. Considering that the legality of the that are highly urbanized. contend that BP 885 is suspension. and what indeed looms very large. (assuming that Ganzon is guilty of municipality. The LGC 1987 CONSTI. WON the province of Negros del Norte was validly created. as determined by plebiscite itself is challenged for non- law. The BP DILG is exercised such power oppressively and provided that the plebiscite was to be with a grave abuse of discretion. filed with the SC a case for HOWEVER: While the President. subject to approval by a majority of votes cast in a plebiscite. The set as a standard that a province must have at Congress may. city. it appears that the plebiscite.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. manner set forth therein. and (1986) 5. "investigation" FACTS: BP 885 was passed (“An Act Creating does not signify "control" (which the the Province of Negros del Norte. to suspend with the criteria established in the Local him out of office. Section 12. create special least 3. The jurisdiction of the the plebiscite which was held (notwithstanding metropolitan authority that will thereby be the case) confined only to the inhabitants of created shall be limited to basic services the territory of Negros del Norte.”) Tan et al. in the event that all ten cases unconstitutional and it is not in complete yield prima facie findings. President does not have)..

R. creating the Cordillera Administrative subtracted from the mother province to Region (CAR) was signed into law. COA majority of votes in the plebiscite in the unit or (1990) units affected" whenever a province is created. The Act recognizes the CAR Executive Secretary. Plain and simple logic will demonstrate create a preparatory body that could perform that two political units would be affected. complex procedure for the creation of an autonomous region in the Cordilleras will take The SC also considered the new province as time. this case involves a province. The substantial autonomous region. which involved the and the offices and agencies created under creation of a new municipality where the E. it prepares the alteration of the boundaries of the parent ground for autonomy. 220. HELD: NO. parent unit was not involved. That case involved a barangay while grounds stated. The other affected entity Cordilleras. XI of the 1973 CONSTI makes it imperative that there be first obtained "the approval of a Cordillera Broad Coalition v. 6766 (Organic Act of CAR) was enacted and The Court noted that the case of Paredes vs.O. could not be Cordillera Broad Coalition assailed E. During the pendency of this case. eloquently Constitution on autonomous regions. the measures in anticipation of the enactment of remaining portion of the parent province is as an organic act and the creation of an much an area affected. The President. saw it fit to provide for 24 .A REVIEWER IN LOCAL GOVERNMENT LAW PROF. The Cordillera People’s altered by the division of its existing Liberation Army (CPLA) heeded this call. EO 220 does not create the Almost half of the sugar plantations would be autonomous region contemplated in the dismembered form the parent province and Constitution. 220 on considered as a precedent. The Court rejected the already moot and academic.O. she advocated a policy of Occidental would necessarily be substantially national reconciliation. After President Aquino was boundaries of the existing province of Negros installed into office. would be composed of those in the area E. It is Balweg. Pursuant to the joint agreement. divided or merged and there is FACTS: After the 1996 EDSA Revolution. Hence. The argue the points raised by the petitioners. signed into law.856 not yet convened. this case cannot truly be viewed as square kilometers. No.O. suggestion of the Solicitor General that even the area of the EEZ should be considered in It can be plainly seen from Section 3 of Article determining the territorial requirement. In short. not to mention the other adverse necessarily conflict with the provisions of the economic effects it might suffer.A. as the first Congress had land mass of the new territory was only 2. 220 was invalid based on the value. boundaries in order that there can be created Aqiuno and Balweg arrived at a joint the proposed new province of Negros del agreement to draft an Executive Order to Norte. It merely provides for transitory some of its most important cities. The reasons in this the primary ground that the President pre- case invoked by respondents herein were empts the enactment of an organic act by formerly considered acceptable because of the Congress and the approval of such act through views then taken that local autonomy would a plebiscite. even this consideration no longer retains persuasive WON E.O. broke off on ideological grounds from thus inescapable to conclude that the the CPP-NPA. This does not province. in 1987 still exercising lacking in the territory requirement since the legislative powers. However. be better promoted. 220 and its transitory nature is reinforced. constitute the proposed province of Negros del Norte. GISELLA DIZON-REYES appointed. The policy-making and administrative functions first would be the parent province of Negros and undertake consultations and studies Occidental because its boundaries would be leading to a draft organic act for the substantially altered. substantial alteration of the boundaries.

220.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. regions. 220 contravene the Datumanong (2004): Constitution by creating a new territorial and political subdivision. autonomy in the Constitution (Art.” and agencies of the National Government but And by regional autonomy.O. the provision in The bodies created by E. what does a concerted effort to spur development in the the CONSTI envision. Commission on corporation or a territorial and political Audit. the Court. autonomy and not just administrative autonomy these regions. which is peculiar to the 1987 are in E. They merely constitute assembly and special courts with personal. the decentralization of government power of the President over autonomous authority. the ethno-linguistic groups or tribes. 220 do not the Constitution for an autonomous regional supplant the existing local governmental government with a basic structure consisting structure. subdivision. granted to local government units. when it refers to Cordilleras.O. albeit under E. and NGOs in GD-R: In relation to the ARMM. the creation of autonomous organic act had not yet been passed and the regions in Muslim Mindanao and the autonomous region created. GISELLA DIZON-REYES some measures to address the urgent needs of the Cordilleras in the meantime that the On the other hand.O. It held that the power to own and dispose of property.O. the framers also the local governments. the decentralization of government authority…. 220. and they do not violate the Constitution contemplates the grant of political Constitution. ethno-linguistic intended it to mean "meaningful and authentic groups and NGOs in bringing about the desired regional autonomy. unlike provinces. It must be growth and development without undue clarified that the constitutional guarantee of interference or dictation from the central local autonomy in the Constitution refers to government. These measures Cordilleras. Constitution. language. contemplates the grant of The operation of the CAR requires the political autonomy and not just administrative participation not only of the line departments autonomy to these regions. the the autonomous regions agencies of the National Government. with the same composition. 220 diminished the local autonomy the power to determine what is best for their of the covered provinces and city. The CAR is not a public In Cordillera Broad Coalition v. autonomy is "the kind of local self-government which allows the people of the region or area Nor is E. 2) etc. the "the constitutional guarantee of local power to create its own sources of revenue. cast in more technical programs and services in the covered areas. Thus. On the other hand. No." As articulated by a objectives and the appropriation of funds Muslim author. the creation of The CAR is in the same genre as the autonomous regions in Muslim Mindanao and administrative regions created under the the Cordilleras. Neither did E. cities autonomous regions contemplates the grant of and municipalities. No. cast in more technical To this end. It does not have a separate ruled without any dissent that the creation of juridical personality. substantial and meaningful solely for that purpose.O. Article X. nor are they autonomous of an executive department and a legislative government agencies. the mechanism for an "umbrella" that brings family and property law jurisdiction in each of together the existing local governments. Neither is it vested with the political autonomy—an autonomy which is powers that are normally granted to public greater than the administrative autonomy corporations (the power to sue and be sued. Sec. which is peculiar to the 1987 Reorganization Plan. Section 16. X. The CAR was created primarily to refers to administrative autonomy of local coordinate the planning and implementation of government units or.” the administrative autonomy of local government units or. limits the language.). the provision also curtails 25 . local autonomy and decentralization? The following are excerpts from Disomangcop vs. In essence.

reached at the administrative and technical Constitutional Commission and ratified by the capabilities. (Disomangcop vs. powers and functions authority in certain areas. the Muslims in Mindanao are to be given connotes political decentralization. or freedom and independence with minimum the transfer of powers. and resources. build. decentralization. interference from the National Government. central government. PIMENTEL: and referendum. the local governments. Consequently. the right to determine deconcentration and devolution. The the ultimate unity of Muslims and Christians in Congress shall enact a local government code this country. and all other 26 . authorizing its responsibilities. the political. from federalism in that the sub-units that have been authorized to act (by The aim of the Constitution is to extend to the delegation) do not possess any claim of autonomous peoples. Decentralization instituted through a system of decentralization with effective mechanisms of recall. and provide for subordinates. it involves the transfer of of the sovereignty and territorial integrity of functions or the delegation of authority the Philippine Republic. to exercise removal. Section 3. on the centrality of Datumanong) decentralization of power as the appropriate vessel of deliverance for Muslim Filipinos and 1987 CONSTI. The devolution of the decentralization since there is an actual powers and functions of the DPWH in the transfer of powers and responsibilities. X. the right to self- determination—a right to choose their own Decentralization comes in two forms— path of development. election. will respect the autonomous peoples' This mode of decentralization is also uniqueness and grant them sufficient room for referred to as administrative self-expression and self-construction. cultural and economic content of Deconcentration is administrative in their development path within the framework nature. on the other hand. This unassailable conclusion is them self-reliant. and to improve their grounded on a clear consensus. It involves and duties of local officials. Self-determination and responsibility from the national refers to the need for a political structure that office to the regional and local offices. ARMM and transfer of the administrative and It aims to grant greater autonomy to fiscal management of public works and funds local government units in cognizance of to the ARG are meant to be true. meaningful their right to self-government.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. to make and unfettered. whether geographically the qualifications. And in case of conflicts. underlying spirit which should guide its resolution is the Constitution's desire for Decentralization differs intrinsically genuine local autonomy. appointment and or functionally defined. entire Filipino electorate. Art. supervise and maintain the government to local government units. allocate among the different • Decentralization is a decision by the local government units their powers. which shall provide for a more responsive and accountable local government structure B. re-examine national laws and make sure that wherein a larger government chooses they reflect the Constitution's adherence to to delegate certain authority to more local autonomy. GISELLA DIZON-REYES the power of Congress over autonomous decision-making by sub-national units. and resources for the performance of This necessarily includes the freedom to certain functions from the central decide on. In treading their chosen path of development. Devolution. the people of Muslim right against the central government. initiative. responsibilities. Mindanao in this case. Congress will have to It is typically a delegated power. regions. salaries. public works and infrastructure projects within This is a more liberal form of the autonomous region. term.

valid recess could not be called. behind his back in an apparent act of mutiny. in Limbona vs. supervision of the national government acting through the president (and the DILG) 27 .D. Pampook on the ground that he authorized the payment of salaries and emoluments to a Upon the facts presented. Mangelin which the central government commits an act (1989) of self-immolation. say. do so. autonomous government is subject alone to regional heads of departments and other the decree of the organic act creating it and government offices. Pending said action. GISELLA DIZON-REYES matters relating to the organization and operation of the local units. or not he could. The jurisdiction. we find equity on his (1) in decentralization of administration – side. that is. For this reason. in − The P. and representatives from accepted principles on the effects and limits of non-governmental organizations within the autonomy. it comes unarguably under the Court’s 1987 CONSTI. the invitation tendered by the Committee on WON the so-called autonomous Muslim Affairs of the House of Representatives governments of Mindanao. Section 14. the SC held that the certain Abdula without authority from the November 2 and 5. Autonomy is either attention to this mistake. it does not appear that the respondents called his HELD: YES. In the second place. their action in the Court. FACTS: The Sangguniang Pampook. is made to discharge Limbona was expelled from the Sangguniang chiefly administrative services. they opened the sessions themselves decentralization of power. legislative arm. X. Under the circumstances. regions for purposes of administrative decentralization to strengthen the autonomy If the Sangguniang Pampook is of the units therein and to accelerate the autonomous in this sense. assuming that a jurisdiction of the national courts. have the power of general supervision and held a session and voted to declare the control over Autonomous Regions position of Speaker vacant.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 1618 creating the local autonomy as a means for autonomous governments of Mindanao shows development. same way that internal acts." it was not a settled matter whether autonomy. Art. relying on their "recess. What appears is that decentralization of administration or instead. its acts are economic and social growth and development beyond the domain of the court in the of the units in the region. the SC upheld the an autonomous government is under the "recess" called on the ground of good faith. 1987 sessions were invalid Assembly. Thirdly. as they are provided a plausible reason for the now constituted. that they were never meant to exercise autonomy in the second sense. PIMENTEL: • This provision is a very clear illustration of An examination of PD No. If the Sangguniang Pampook is autonomous in this sense. President shall provide for regional development councils or other similar bodies (2) in decentralization of power – an composed of local government officials. The Sanggunian members assail the since at the time the petitioner called the jurisdiction of the SC. of the Congress are beyond its jurisdiction. Limbona filed an − The Sangguniang Pampook. mandates that the President shall defiance of their Speaker’s (Limbona) advice. subject to the intermission sought.

Pelaez involved.Oct 29. each of which municipal corporations. of said executive orders and/or any − Such claim is untenable. be delegated by Congress to any inferior and subordinate tribunal or board. corresponding provincial board upon petition 1748. When Republic Act No. 124 and 126 to 129. to legislative power. CORPORATIONS HELD: NO. Soon after V.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. barrios may not be created transfer in consequence of the fixing except upon Act of Congress or of the and definition. CREATION OF MUNICIPAL WON the Executive Orders were valid. not the creation of a new alleges that the EOs are null and void. such as. relying upon the allegedly restrain him from passing in audit any settled case of Municipality of Cardona vs. offset except by a clear manifestation of the intent of Congress to the Pelaez vs. barrios may "not be created Municipal Corporations or their boundaries altered nor their names changed" except by Act of Congress or of the MARTIN: corresponding provincial board "upon petition • It is essentially legislative. upon municipality. of the common boundaries of two of a majority of the voters in the areas municipalities. The Auditor General claims that a new municipality can be created without creating • In the absence of a constitutional new barrios. and no such manifestation. it cannot be determining whether such conditions exist. in order to avoid or 28 . Pelaez instituted does not amount to an undue delegation of an action against the Auditor General. Founded on which they may be created. Congress council of the municipality or municipalities in may create any kind of corporation it which the proposed barrio is situated. − This theory overlooks. logically. creating 33 section 68 of the Revised Administrative Code municipalities. the president cannot create municipalities. issued EO’s 93 to the President to create municipalities under 121. He contends that according existing at the time of and prior to said to the said law. by placing old barrios provision permitting it. too. President of the Philippines. GISELLA DIZON-REYES IV. (1965) subsequent to the passage of Republic Act No.P." deems essential for the more efficient administration of civil government.1964 the attention. Nature of the Power to Create became effective. affected. 547). likewise. purporting to act pursuant to Sec 68 of the Revised The Auditor General alleges that the power of Administrative Code of 1917. that the statutory denial of the presidential HOWEVER: There is no undue delegation of authority to create a new barrio implies legislative power when Congress passes a a negation of the bigger power to general law for the incorporation of create municipalities. expenditure of public funds in implementation Municipality of Binañgonan (36 Phil. that the power to fix such common boundary. giving conditions consists of several barrios. however. such power cannot under the jurisdiction of the new municipality. and upon logic and experience. exclusive of a majority of the voters in the areas and practically unlimited. pursuant to Act No. Hence. for said case disbursement by said municipalities. Auditor General contrary. 2370 A. legislative power. It is obvious. 2370 has been brought to our FACTS: From Sept 4 . In the absence of affected" and the "recommendation of the any constitutional restriction. but a mere transfer of the ground that said Section 68 has been territory — from an already existing impliedly repealed by RA 2370 (Barrio Charter municipality (Cardona) to another Act) and constitutes an undue delegation of municipality (Binañgonan).

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
settle conflicts of jurisdiction between the ground of lack of legal personality of the
adjoining municipalities, may partake of an Municipality of Sto. Tomas.
administrative nature but the authority to
create municipal corporations is essentially WON the Municipality of Sto. Tomas
legislative in nature. legally exists.

Although Congress may delegate to another HELD: NO. Rule 3, Section 1 of the Rules of
branch of the government the power to fill in Court expressly provides that only "entities
the details in the execution, enforcement or authorized by law may be patties in a civil
administration of a law, it is essential, to action." Now then, as ruled in the Pelaez case,
forestall a violation of the principle of the President has no power to create a
separation of powers, that said law: (a) be municipality. Since private respondent has no
complete in itself — it must set forth therein legal personality, it can not be a party to any
the policy to be executed, carried out or civil action, and as such, the case should have
implemented by the delegate — and (b) fix a been dismissed, since further proceedings
standard — the limits of which are sufficiently would be pointless.
determinate or determinable — to which the
delegate must conform in the performance of B. Creation of Municipal Corporations
his functions. Section 68 of the Revised
Administrative Code does not meet these 1. Constitutional provisions
requirements for a valid delegation of the
power to fix the details in the enforcement of a 1987 CONSTI, Art. X
law. Even if it did not entail an undue
Section 1. The territorial and political
delegation of legislative powers, as it certainly
subdivisions of the Republic of the Philippines
does, said Section 68, as part of the Revised
are the provinces, cities, municipalities, and
Administrative Code, approved on March 10,
barangays. There shall be autonomous regions
1917, must be deemed repealed by the
in Muslim Mindanao and the Cordilleras as
subsequent adoption of the Constitution, in
hereinafter provided.
1935, which is utterly incompatible and
inconsistent with said statutory enactment. Section 10. No province, city, municipality, or
barangay may be created, divided, merged,
Municipality of Kapalong vs. Moya abolished, or its boundary substantially
(1988) altered, except in accordance with the criteria
established in the local government code and
FACTS: From portions of the Municipality of subject to approval by a majority of the votes
Kapalong, President Carlos P. Garcia created cast in a plebiscite in the political units directly
respondent Municipality of Sto.Tomas, and the affected.
latter now asserts jurisdiction over eight (8)
barrios of Kapalong. For many years and on
several occasions, this conflict of boundaries Section 11. The Congress may, by law, create
between the two municipalities was brought, special metropolitan political subdivisions,
at the instance of private respondent, to the subject to a plebiscite as set forth in Section
Provincial Board of Davao for it to consider and 10 hereof. The component cities and
decide. However, it appears that no action was municipalities shall retain their basic
taken on the same. The Municipality of Sto. autonomy and shall be entitled to their own
Tomas eventually filed a complaint with the local executive and legislative assemblies. The
then Court of First Instance of Davao, presided jurisdiction of the metropolitan authority that
over by herein public respondent Judge Felix L. will thereby be created shall be limited to
Moya against the Municipality of Kapalong, for basic services requiring coordination.
settlement of the municipal boundary dispute.
The Municipality of Kapalong filed a MTD on 1987 CONSTI, Art. X

29

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES

Section 15. There shall be created
autonomous regions in Muslim Mindanao and Alvarez vs. Guingona
in the Cordilleras consisting of provinces, (supra)
cities, municipalities, and geographical areas
sharing common and distinctive historical and RA 7720 is constitutional.
cultural heritage, economic and social
structures, and other relevant characteristics • It is true that for a municipality to be
within the framework of this Constitution and converted into a component city, it must,
the national sovereignty as well as territorial among others, have an average annual
income of at least Twenty Million Pesos for
integrity of the Republic of the Philippines.
the last two (2) consecutive years based on
1991 constant prices.1 Such income must
Section 18. The Congress shall enact an be duly certified by the Department of
organic act for each autonomous region with Finance.
the assistance and participation of the regional
consultative commission composed of Internal Revenue Allotments form part of
representatives appointed by the President the income of Local Government Units. The
from a list of nominees from multi-sectoral IRAs are items of income because they
bodies. The organic act shall define the basic form part of the gross accretion of the
structure of government for the region funds of the local government unit. The
consisting of the executive department and IRAs regularly and automatically accrue to
legislative assembly, both of which shall be the local treasury without need of any
elective and representative of the constituent further action on the part of the local
political units. The organic acts shall likewise government unit. They thus constitute
provide for special courts with personal, income which the local government can
family, and property law jurisdiction consistent invariably rely upon as the source of much
with the provisions of this Constitution and needed funds.
national laws.
The acquisition of resources necessary to
The creation of the autonomous region shall discharge its powers and effectively carry
be effective when approved by majority of the out its functions is effected through the
votes cast by the constituent units in a vesting in every LGU of:
plebiscite called for the purpose, provided that
only provinces, cities, and geographic areas 1. The right to create and broaden its own
voting favorably in such plebiscite shall be source of revenue;
included in the autonomous region. 2. The right to be allocated a just share in
national taxes, such share being in the
Section 19. The first Congress elected under form of Internal Revenue Allotments
this Constitution shall, within eighteen months (IRAs); and
from the time of organization of both Houses, 3. The right to be given its equitable share
pass the organic acts for the autonomous in the proceeds of the utilization and
regions in Muslim Mindanao and the development of the national wealth, if
Cordilleras. any, within its territorial boundaries.

The funds generated from local taxes, IRAs
and National wealth utilization proceeds
accrue to the general fund of the LGU and
are used to finance its operations, subject
to specified modes of spending the same
as provided for in the LGC and its
implementing rules and regulations.

30

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
2. Statutory provisions verifiable indicators of viability and projected
capacity to provide services, to wit:
LGC, SEC. 6. Authority to Create Local
Government Units. - A local government unit (a) Income. - It must be sufficient, based on
may be created, divided, merged, abolished, acceptable standards, to provide for all
or its boundaries substantially altered either essential government facilities and services
by law enacted by Congress in the case of a and special functions commensurate with the
province, city, municipality, or any other size of its population, as expected of the local
political subdivision, or by ordinance passed by government unit concerned;
the sangguniang panlalawigan or sangguniang
panlungsod concerned in the case of a (b) Population. - It shall be determined as the
barangay located within its territorial total number of inhabitants within the
jurisdiction, subject to such limitations and territorial jurisdiction of the local government
requirements prescribed in this Code. unit concerned; and
PIMENTEL:
• Congress is lodged with the power to (c) Land Area. - It must be contiguous, unless
create LGU’s but it is not authorized to add it comprises two or more islands or is
to the list enumerated in Section 1 of separated by a local government unit
Article X of the CONSTI by mere legislation. independent of the others; properly identified
by metes and bounds with technical
• The Sangguniang Panlalawigan and the descriptions; and sufficient to provide for such
Sangguniang Panlungsod are granted basic services and facilities to meet the
authority to create, divide, merge or requirements of its populace. Compliance with
abolish barangays in their respective the foregoing indicators shall be attested to by
jurisdictions; but not the Sangguiniang the Department of Finance (DOF), the National
Bayan nor the barangay council! Statistics Office (NSO), and the Lands
Management Bureau (LMB) of the Department
of Environment and Natural Resources (DENR).
• The absence of the Local Government
Code at the time of the enactment of an
Act creating a municipality did not curtail PIMENTEL:
nor was it intended to cripple legislative Annual Populati Land
competence to create municipal Income on (this Area (this
requireme requireme
corporations. It contains no requirement
nt is in the nt is in the
that the Local Government Code is a
alternative alternative
condition sine qua non for the creation of a with the with the
municipality, in much the same way that land area population
the creation of a new municipality does not requireme requireme
preclude the enactment of a LGC. nt in nt in
provinces provinces
Hence, before the enactment of such Code, and cities) and cities)
the legislative power remains plenary Province Php 20M 250000 2000
except that the creation of the new local km2
government unit should be approved by City Php 150000 100 km2
the people concerned in a plebiscite called 100M
for the purpose. (Torralba vs. Municipality (RA
of SIbagat) 9009)
Municipa Php 25000 50 km2
lity 2.5M
LGC, SEC. 7. Creation and Conversion. - As
Baranga No 5000 (in No
a general rule, the creation of a local
y require Metro requirem
government unit or its conversion from one
ment (its Manila ent
level to another level shall be based on
viability and other
31

Market site 3. (Tan vs. − The sanggunian of the affected • “Average annual income” includes any LGU’s shall submit to Congress its income accruing to the general fund but is comments and recommendations exclusive of special funds. city  Such other information as or municipality must not so reduce the the petitioners may deem income. COMELEC) needs of the population and the existence of: • GEN RULE: The land area must be 1. population. indicating the areas to be created into a new LGU • ALSO. expenditures of an LGU. and (2) when another LGU is 5. MUNICIPALITIES plans as to sewerage and (LGC IRR) 32 . cities and municipalities. In the case of transferred from one item to another. the usually to the general fund. a LWUA or of essential governmental functions. − The following documents shall be Special funds refer to those that are attached to the petition for creation: created for a special purpose or object and  DOF certification regarding used to meet specified expenditures or income classes of expenditures. special accounts on the petition for the creation of a transfers and nonrecurring income. and furnish a copy creating others) thereof to the sanggunian of the it) affected LGU’s. NSO must also certify as to the number and nature of Nonrecurring items refer to those that existing industrial and cover particular purposes and are not commercial establishments regularly included in the normal in the proposed LGU. Government center contiguous. In case of cities • The word “land area” replaced the word and municipalities. obligation subdivisio to their respective sanggunians of the ns). School site more islands.  NSO certification regarding Fund transfers refer to those that are population. the creation of a new province. the LMB “territory” in the old LGC. or land area of the relevant. or requesting the creation of a new body 2000 (in LGU to Congress. GISELLA DIZON-REYES becomes metropoli − Interested LGU’s shall submit a the tan petition. MWSS certification regarding sources of potable water • PROCEDURE FOR CREATION OF supply and a local engineer’s PROVINCES. to emphasize must also certify as to that the area required of an LGU does not adequacy of disposable and include the sea for purposes of compliance alienable public lands in the with the requirements of the Code for its proposed LGU to meet the creation.  LMB certification regarding land area. Plaza or park EXCEPT: (1) when it comprises of two or 4. in the form of a resolution. 2. original political subdivision as to render  In case of cities and such parent LGU ineffectual in the delivery municipalities. new LGU.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Cemetery site located in between parts of the LGU  Map of the original LGU/s concerned. CITIES.

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
waste disposal are also within 30 days before the proposed
required. plebiscite.
− Upon effectivity of the law creating − The COMELEC shall conduct an
the new LGU, the COMELEC shall intensive information campaign in
conduct an intensive information the LGU’s concerned at least 10
campaign in the LGU’s concerned at days prior to the date of the
least 20 days prior to the date of plebiscite.
the plebiscite, as scheduled by the
COMELEC. • The Sanggunian of the different LGU’s may
− Upon effectivity of the law creating send petitions to Congress to propose the
the new LGU, plebiscite in the LGU/s creation of provinces, cities, or
directly affected within 120 days or municipalities.
within the period specified in the
law. HOWEVER, such petitions are not
requirements, EXCEPT where barangays
• PROCEDURE FOR CREATION OF are sought to be created by the
BARANGAYS (LGC IRR) Sangguniang Panlalawigan.
− A written petition of a majority of
registered voters, or resolutions of • Barangays may be merged or consolidated
the Sanggunian Barangays desiring by an ordinance based on a merger or
to be merged, as the case may be, consolidation plan prepared by the
shall be presented to the governor or mayor as the case may be.
Sanggunian Panlalawigan (upon
recommendation of the Sanggunian • Conversion is the elevation of an LGU
Bayan) or the Sanggunian from one level to another. The requirement
Panlungsod, for appropriate action. for conversion is the same as the
In case of municipalities in MM, such requirements for creation.
petitions or resolutions are to be
submitted to Congress. LGC, SEC. 385. Manner of Creation [of
− The following documents shall be Barangays] - A barangay may be created, divided,
attached to the petition for creation: merged, abolished, or its boundary substantially
altered, by law or by an ordinance of the
 NSO certification regarding
sangguniang panlalawigan or sangguniang
population. panlungsod, subject to approval by a majority of the
 Map of the original LGU/s votes cast in a plebiscite to be conducted by the
indicating the areas to be Comelec in the local government unit or units
created into a new LGU directly affected within such period of time as may
− The Sanggunian Barangay of the be determined by the law or ordinance creating said
barangay. In the case of the creation of barangays
affected barangays shall submit to
by the sangguniang panlalawigan, the
the Sanggunian Bayan its
recommendation of the sangguniang bayan
comments and recommendations concerned shall be necessary.
on the petition for the creation of a
new LGU within 20 days after
LGC
receipt thereof.
− The Sangguniang Panlalawigan or SEC. 441. Manner of Creation [of
Panlungsod shall, within 15 days Municipalities]. - A municipality may be created,
from submission of the petition, divided, merged, abolished, or its boundary
substantially altered only by an Act of Congress and
take action granting (2/3 votes) or subject to the approval by a majority of the votes
denying the petition. The COMELEC cast in a plebiscite to be conducted by the
must be furnished a copy of the COMELEC in the local government unit or units
ordinance creating the barangay directly affected. Except as may otherwise be
provided in the said Act, the plebiscite shall be held

33

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
within one hundred twenty (120) days from the date Act, the plebiscite shall be held within one
of its effectivity. hundred twenty (120) days from the date of its
effectivity.
SEC. 442. Requisites for Creation [of
Municipalities]. –
SEC. 450. Requisites for Creation. –
(a) A municipality may be created if it has an
average annual income, as certified by the (a) A municipality or a cluster of barangays
provincial treasurer, of at least Two million five may be converted into a component city if it
hundred thousand pesos (Php 2,500,000.00) for the
has an average annual income, as certified by
last two (2) consecutive years based on the 1991
constant prices; a population of at least twenty-five the Department of Finance, of at least Twenty
thousand (25,000) inhabitants as certified by the million pesos (P20,000,000.00) for the last two
National Statistics Office; and a contiguous territory (2) consecutive years based on 1991 constant
of at least fifty (50) square kilometers as certified prices, and if it has either of the following
by the Lands Management Bureau: Provided, That requisites:
the creation thereof shall not reduce the land area,
population or income of the original municipality or
(i) a contiguous territory of at least one
municipalities at the time of said creation to less
than the minimum requirements prescribed herein.
hundred (100) square kilometers, as certified
by the Lands Management Bureau; or,
(b) The territorial jurisdiction of a newly-created
municipality shall be properly identified by metes (ii) a population of not less than one hundred
and bounds. The requirement on land area shall not fifty thousand (150,000) inhabitants, as
apply where the municipality proposed to be certified by the National Statistics Office:
created is composed of one (1) or more islands. The
Provided, That, the creation thereof shall not
territory need not be contiguous if it comprises two
(2) or more islands.
reduce the land area, population, and income
of the original unit or units at the time of said
(c) The average annual income shall include the creation to less than the minimum
income accruing to the general fund of the requirements prescribed herein.
municipality concerned, exclusive of special funds,
transfers and non-recurring income. (b) The territorial jurisdiction of a newly-
created city shall be properly identified by
(d) Municipalities existing as of the date of the
effectivity of this Code shall continue to exist and
metes and bounds. The requirement on land
operate as such. Existing municipal districts area shall not apply where the city proposed to
organized pursuant to presidential issuances or be created is composed of one (1) or more
executive orders and which have their respective islands. The territory need not be contiguous if
set of elective municipal officials holding office at it comprises two (2) or more islands.
the time of the effectivity of this Code shall
henceforth be considered as regular municipalities. (c) The average annual income shall include
the income accruing to the general fund,
PIMENTEL: exclusive of special funds, transfers, and non-
• The requisites for the creation of recurring income.
municipalities shall not apply retroactively.
• Section 442 (d) has the effect of declaring PIMENTEL:
as regular and de jure those municipal • RA 9009 increased the income
districts described therein. requirement (from Php 20M to Php
100M) so as to prevent the apparent
LGC ease of converting of all of our
municipalities into cities.
SEC. 449. Manner of Creation. - A city may
be created, divided, merged, abolished, or its • The requirement that the territorial
boundary substantially altered, only by an Act jurisdiction of a newly-created city shall
of Congress, and subject to approval by a be properly identified by metes and
majority of the votes cast in a plebiscite to be bounds is not absolute, particularly in
conducted by the Comelec in the local cases of LGU’s with unsettled boundary
government unit or units directly affected. disputes.
Except as may otherwise be provided in such
34

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
The existence of a boundary dispute exclusive of special funds, trust funds,
does not per se present an transfers, and non-recurring income.
insurmountable difficulty which will
prevent Congress from defining with
reasonable certitude the territorial
jurisdiction of a local government unit.
(Mariano, Jr. vs. COMELEC)

LGC

SEC. 460. Manner of Creation. - A province Cawaling vs. COMELEC
may be created, divided, merged, abolished, (2001)
or its boundary substantially altered, only by
an Act of Congress and subject to approval by FACTS: Pres. Estrada signed into law R.A. No.
a majority of the votes cast in a plebiscite to 8806, an (Act Creating The City Of Sorsogon).
be conducted by the Comelec in the local Pursuant to Section 10, Article X of the
government unit or units directly affected. The Constitution, COMELEC conducted a plebiscite
plebiscite shall be held within one hundred in the Municipalities of Bacon and Sorsogon
twenty (120) days from the date of effectivity and submitted the matter for ratification. The
of said Act, unless otherwise provided therein. Plebiscite City Board of Canvassers (PCBC)
proclaimed the creation of the City of
SEC. 461. Requisites for Creation. – Sorsogon as having been ratified and
approved by the majority of the votes cast in
(a) A province may be created if it has an the plebiscite. Cawaling, filed on 2 petitions
average annual income, as certified by the seeking the annulment of the plebiscite and
Department of Finance, of not less than seeking to enjoin the further implementation
Twenty million pesos (Php 20,000,000.00) of R.A. No. 8806 for being unconstitutional,
based on 1991 constant prices and either of contending that under Section 450(a) of the
the following requisites: Code, a component city may be created only
by converting "a municipality or a cluster of
(i) a contiguous territory of at least two barangays," not by merging two
thousand (2,000) square kilometers, as municipalities, as what R.A. No. 8806 has
certified by the Lands Management Bureau; or, done.

(ii) a population of not less than two hundred During the pendency of these cases (May 2001
fifty thousand (250,000) inhabitants as elections), the newly-created Sorsogon City
certified by the National Statistics Office: had the first election of its officials. Since then,
the City Government of Sorsogon has been
Provided, That, the creation thereof shall not regularly discharging its corporate and political
reduce the land area, population, and income powers pursuant to its charter, R.A. No. 8806.
of the original unit or units at the time of said
creation to less than the minimum WON the creation of the city of Sorsogon was
requirements prescribed herein. valid.

(b) The territory need not be contiguous if it Held: YES. RA 8806 is constitutional and
comprises two (2) or more islands or is plebiscite valid. Petitioner's constricted
separated by a chartered city or cities which reading of Section 450(a) of the Code is
do not contribute to the income of the erroneous. The phrase "A municipality or a
province. cluster of barangays may be converted into a
component city" is not a criterion but simply
(c) The average annual income shall include one of the modes by which a city may be
the income accruing to the general fund, created. Section 10, Article X of the
35

The effectivity (i. or other political subdivision. or wisdom. natural and inevitable herewith makes necessary a change of the territory consequence of the merger. not from its approval. Moreover. The officers affected and assign such officers to the new rule is sufficiently complied with if the title is districts so formed. still such date must be reckoned from the date of the effectivity of the law." and "may not annul an act any political division other than a province. subprovince. It is clear that "the The (Governor-General) President of the Philippines judiciary does not pass upon questions of may by executive order define the boundary. this Court has invariably manner as may be recommended by the (Insular Auditor) Auditor General and approved by the adopted a liberal rather than technical (Governor-General) President of the Philippines. after publication in at least two Auditor General alleges that the power of the (2) newspapers of general and local President to create municipalities under circulation). shall redistrict the territory of the several contents and the minute details therein. construction of the rule "so as not to cripple or impede legislation." Pelaez vs. government units to create a province city. is a matter which the SC is not competent to rule. the persons in pursuance of the foregoing authority. Such abolition / cessation was General) President of the Philippines in accordance but the logical. comprehensive enough as to include the general object which the statute seeks to Upon the changing of the limits of political divisions effect. name any new subdivision so created. the (Governor-General) require the Congress to employ in the title of President of the Philippines. and may change Contrary to petitioner's assertion. merge any of the SC feels it is unwise or impractical”. While the same provision allows a law or municipality or barangay in accordance with ordinance to fix "another date" for conducting the criteria established by the Code. allows the merger of local the effectivity of the law.e. [township] municipal district. as here. It is well-settled under the jurisdiction of any administrative officer that the "one title-one subject" rule does not or any judicial officer. the creation of the City of Sorsogon.A. GISELLA DIZON-REYES Constitution. with the the enactment language of such precision as recommendation and advice of the head of the Department having executive control of such to mirror." boundaries. Quite plainly. The Revised Administrative Code of upgraded to a component city goes into the 1917 wisdom of R. and increase or diminish the allowed only "to settle actual controversies territory comprised therein.. justice or expediency of legislation. and where. such subdivisions or portions with another. of any province. there is only the seat of government within any subdivision to one subject embraced in the title of the law. require: Provided. No. the SC is municipality. such place therein as the public welfare may that is. scope equitable distribution of the funds and obligations of and consequences of the proposed law and its the divisions thereby affected shall be made in such operation. fully index or catalogue all the officer. into of the political departments simply because such portions as may be required. an interested are informed of the nature. 8806. In the exercise of judicial power. a plebiscite. Auditor General (supra) The 120-day period within which to conduct the plebiscite starts from the date of Act’s HELD: Section 68 of the RAC is VOID.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. the last sentence of section 68 of the Revised Administrative Code Section 10 mandates that the plebiscite shall does not amount to an undue delegation of be conducted within 120 days from the date of 36 . separate and enforceable. may divide any involving rights which are legally demandable province into one or more subprovinces. When action by the (Governor- Sorsogon City. Cawaling’s argument that the Municipality of Sorsogon alone already qualifies to be 3. That the authorization of the The abolition / cessation of the corporate (Philippine Legislature) Congress of the Philippines shall first be obtained whenever the boundary of existence of the Municipalities of Bacon and any province or subprovince is to be defined or any Sorsogon due to their merger is not a subject province is to be divided into one or more separate and distinct from the creation of subprovinces.

however. requirements: 1. The TC ruled for Candijay but this precise to avoid the evil effects above referred was reversed by the CA. 1748. relying upon the allegedly 4. must be deemed repealed by the CA ruled that in cases of equiponderance of subsequent adoption of the Constitution. Even if it did not entail an undue delegation plans submitted by the two municipalities are of legislative powers. so create municipal corporations is essentially long as it has met the following legislative in nature. to forestall a violation of the principle of Municipality of Candijay v CA separation of powers. enforcement or 4. carried out or FACTS: The Municipality of Candijay claimed implemented by the delegate — and (b) fix a that the barrio of Pagahat is within its standard — the limits of which are sufficiently territorial jurisdiction and that it is not a part of determinate or determinable — to which the the Municipality of Alicia. of the common boundaries of two municipalities. as part of the Revised monuments of the boundary line between the Administrative Code. without transfer in consequence of the fixing interruption or objection over a period long and definition. as it certainly does. in evidence. The 1917. 547). Hence. the Municipality of Candijay inconsistent with said statutory enactment. Candijay argued that EO 265 power to fix the details in the enforcement of a issued by Pres. 37 . pursuant to Act No. GISELLA DIZON-REYES legislative power. but a mere transfer of prescription. Assumption of corporate powers. Colorable compliance with the law. may partake of an law as there is a certain defect in some administrative nature but the authority to essential feature of its organization. Although Congress may delegate to another 2. approved on March 10. not the creation of a new • Municipal corporations may exist by municipality. enough to afford title by prescription. Quirino is null and void ab initio law. branch of the government the power to fill in 3. administration of a law. the details in the execution. it is essential. in order to avoid or • A de facto municipal corporation is one settle conflicts of jurisdiction between that exists in fact although not in point of adjoining municipalities. d) involved. 442. 68 of the RAC constituted an undue carried out or implemented by the President. likewise. appeals to the SC. corporate functions. that said law: (a) be (1995) complete in itself — it must set forth therein the policy to be executed. De facto municipal corporations It is obvious. After presentation of delegate must conform in the performance of evidence. prescription Municipality of Binañgonan (36 Phil. Attempt in good faith to organize it. petitioner and the Muncipality of Mabini. that the power to fix MARTIN: such common boundary. The CA found that the to. Valid law authorizing incorporation. said inadequate insofar as identifying the Section 68. Its existence shall be territory — from an already existing presumed where it is presumed that the municipality (Cardona) to another community claimed and exercised municipality (Binañgonan). which is utterly incompatible and defendant. the courts must find for the 1935. It does not enunciate any policy to be since Sec. the Municipality of Candijay asked his functions. delegation of legislative power to the Neither does it give a standard sufficiently President. for said case MARTIN: (See also Sec.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 5. Section 68 of the Revised the TC to bar the respondent from presenting Administrative Code does not meet these evidence on the ground that it had no juridical requirements for a valid delegation of the personality. Municipal corporation by settled case of Municipality of Cardona vs. par. − Such claim is untenable. with knowledge and existing at the time of and prior to said acquiescence of legislature.

For instance. time is fixed therefor by the law or ordinance de jure municipality. or upon the against impairment of vested rights. It may challenged only by the State in a direct proceeding (i. The petitioner commenced its whose rights or interests are affected collateral attack on the juridical personality of thereby. may be indicate the State’s recognition and estopped to deny its corporate existence. quo warranto) 38 . Beginning of Corporate Likewise. GISELLA DIZON-REYES WON a municipality. where the having no juridical personality. “Curative laws. its corporate existence shall Alicia is one of twenty municipalities commence upon the election and qualification comprising the Third District of Bohol. PIMENTEL: municipal districts “organized pursuant to • “Upon election”. corporate existence of de jure or de facto (Mejia vs. the Municipality of Alicia of municipal corporations was covered by the 7th Municipal Circuit Court of Alicia-Mabini for the province of Bohol.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. According to Sec. unless some other the LGC and should be considered a regular. Attack against invalidity of incorporation • The organization of the government of a municipal corporation presupposes the MARTIN: previous existence of the said corporation • The validity of incorporation and the at the time its government was organized. acknowledgement of its existence.. Beginning of corporate existence above-mentioned. 422 (d) of members of its sanggunian. Balolong) municipal corporations may not be attacked collaterally. under the Ordinance appended to Existence. it is subject to collateral attack by any person HELD: NO.” their assumption to office. which in essence are retrospective. 33 7. as if existing laws have been corporation is to be determined by the law complied with. and • A person. in this provision. the effectivity of the Code shall henceforth be • “Upon qualification” refers to the date of considered as regular municipalities. creating it. subject to the usual qualification the law creating it. Various of it corporate functions or entered into a governmental acts through the years all contract with said corporation. 6. . can be considered as HOWEVER. it is admitted that. usually from the effectivity of jurisdiction. under Administrative Order No.When a new local government the 1987 Constitution. or upon the qualification of its officers. and aimed at giving validity to MARTIN: acts done that would have been invalid under • The legal existence of a municipal existing laws. including the citizens of the the respondent on 19 January 1984 (35 yrs territory incorporated UNLESS they are after its creation in 1949).e. Alicia was created by EO 265. created under a void executive order. are validly accepted in this creating it. corporation is an absolute nullity. or ten years ahead of the Municipality of San Andres. SEC. who dealt with a municipal had been in existence for 16 years when corporation and acquiesced in the exercise Pelaez decision was promulgated. refers presidential issuances or executive orders and to the date of the proclamation as the chief which have their respective sets of elective executive or majority of the sanggunian municipal officials holding office at the time of members. The Municipality of estopped by their conduct from doing so. 442 (d) of the LGC. Alicia of its chief executive and a majority of the must benefit from the effects of Sec. 14. the Municipality of unit is created. LGC.” organization of the government.

government unit or its conversion from one level to another level shall be based on • In absence of any constitutional provision. Nature of Power • Hence. the subsoil. B. and 1. however. 8. and connecting the islands of Environment and Natural Resources (DENR). The waters Management Bureau (LMB) of the Department around. the creation of a local power. including its territorial sea. to wit: corporations in any of the following ways: − Fixing. based on boundaries of municipal acceptable standards. or − Repealing its charter. regardless of their breadth and dimensions.It must be contiguous. . . between.Division and waters of the Philippines. . or − Merging or consolidating 2 or more (b) Population. fluvial the foregoing indicators shall be attested to by and aerial domains. to provide for all corporations. with all the islands and waters descriptions. ALTERATION AND DISSOLUTION OF is necessary that its boundaries are fixed. the insular shelves. and the Lands and other submarine areas. it local government unit or units concerned to 39 . alter and charter. and all other territories over basic services and facilities to meet the which the Philippines has sovereignty or requirements of its populace. properly identified The national territory comprises the Philippine by metes and bounds with technical archipelago. form part of the internal SEC. changing the (a) Income. verifiable indicators of viability and projected Congress can alter and dissolve municipal capacity to provide services. Manner or Mode • REMEMBER: Sec. unit concerned. or total number of inhabitants within the − Annexing one municipality to territorial jurisdiction of the local government another. the National the seabed.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 68 of the old LGC Administrative Code is repealed for being SEC. such incorporation is prescribe territorial limits and boundaries void. municipalities. MUNICIPAL CORPORATIONS defined. population. of a municipal corporation is essentially legislative.As a an undue delegation of this legislative general rule. Creation and Conversion. thus enlarging or essential government facilities and services decreasing its territory. of the archipelago. Otherwise. exercise its the income. or and special functions commensurate with the − Dividing a municipal corporation size of its population. it is essential that such boundaries MARTIN: are made part of a municipal corporation’s • The power to fix. Statistics Office (NSO). ascertained and identified for everybody’s knowledge. as expected of the local into 2 or more separate government unit concerned. change. consisting of its terrestrial. A. altering. unless boundaries it comprises two or more islands or is separated by a local government unit 1987 CONSTI. Compliance with jurisdiction.It must be sufficient. That such division shall not reduce without legal authorization. or land area of the powers beyond its own corporate limits. GISELLA DIZON-REYES V. the Department of Finance (DOF). Division and Merger. Necessity for defining territorial (c) Land Area. ARTICLE I independent of the others. • Since municipal corporations cannot. 7. . and sufficient to provide for such embraced therein. .It shall be determined as the municipal corporations into one. merger of existinglocal government units shall comply with the same requirements herein MARTIN: prescribed for their creation: Provided.

population. city. or changes in their financial position resulting substantial alteration of boundaries of local from the increased revenues as provided government units shall take effect unless herein. Section 10. - from the effectivity of this Code to reflect the No creation. X. LGC. divided or merged are said law or ordinance fixes another date. Effects Section 17 hereof to Congress or to the sanggunian concerned. it will be incorporated or merged. municipality. municipality. or barangay may of the LGU’s is necessary to guide the be created.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. classifications are essential. SEC. 1987 CONSTI. • The Court does not have the power to dissolve municipal corporations. 10. merger. dissolves the annexed territory. division. Said plebiscite • The requirements for division and merger shall be conducted by the Commission on of LGU’s are essentially the same as the Elections (Comelec) within one hundred twenty requirements for their creation. Abolition of Local it may declare an Act creating municipal Government Units. abolished.A local government unit corporations as unconstitutional. However. The (120) days from the date of effectivity of the bottomline of these requirements is that law or ordinance effecting such action. abolition. No • The updating of the financial classification province. city. able to deliver the essential services to their constituents. barangay in Metro Manila or government unit or units shall not fall below its in cultural areas or any other political current income classification prior to such subdivision) or by the Sangguniang division. 40 . Art. GISELLA DIZON-REYES less than the minimum requirements • Abolition may be done through an act of prescribed in this Code: Provided. Effects of annexation or consolidation of municipal The law or ordinance abolishing a local corporations government unit shall specify the province. . the income classification of the original local municipality. unless the LGU’s created. except in staffing patterns and salary scales of such accordance with the criteria established in the LGU’s. and it shall fall under the jurisdiction of the annexing PIMENTEL: territory. may be abolished when its income. city. divided. (GD-R: It is not automatic!) for its creation under Book III of this Code. or its government in determining changes in the boundary substantially altered. further. Panlalawigan or Sangguniang Panlungsod (in the case of barangays) The income classification of local government units shall be updated within six (6) months LGC. as the case may be. merged. as certified by the national agencies mentioned in C. 1. SEC. 9. since an LGU’s taxation powers increase as its MARTIN: classification rises. or land area has been irreversibly reduced to • The power to dissolve them still lies in the less than the minimum standards prescribed Legislature. That Congress (in the case of a province. local government code and subject to approval by a majority of the votes cast in a plebiscite NOTE: Upgrading theses financial in the political units directly affected. approved by a majority of the votes cast in a plebiscite called for the purpose in the political PIMENTEL: unit or units directly affected. Plebiscite Requirement. or barangay with which the MARTIN: local government unit sought to be abolished a) Unless otherwise provided by law.

in every legal sense. REMEMBER: It is the annexing territory shall acquire title to inhabitants of the designated locality property of the annexed territory without which are the incorporators. or for its failure to successor of the old. community in the administration of local affairs wholly beyond the sphere of the public purpose for which its governmental powers are D. Municipal corporations corporation exercise powers which are governmental and powers which are of a private or business MARTIN: character. in law. HELD: The city of Manila is still liable for the obligations of the city incurred prior to the 2. such corporation would be suspended for the time but would not be 41 . limited to those which belong to the public domain. the its officers. municipal corporation is not dissolved by the mere failure to elect or appoint d) Unless otherwise provided by law.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Villas vs. the dissolved by non-user of its powers in present city is. in law. GISELLA DIZON-REYES civilly dead. NOT the compensation. and obligations character it is a mere legal entity or juristic falling within its newly defined territorial person. and. Non-user or surrender of charter Municipal laws that regulate private and domestic rights continue in force until MARTIN: abrogated or changed by the new ruler. In the other new municipality acquires title to the properties. each of the sovereignty of the state. 2. Effects of division of a municipal cession to the US. laws or may be revived without action on the part ordinances of annexed corporation is of the sovereignty. Change of sovereignty incurred on account of the property taken. since its dormant functions b) Unless otherwise provided by law. In such a case. The bring about their own dissolution by mere property rights relinquished by Spain are surrender of their charter. for that purpose exercises by delegation a part b) Unless otherwise provided by law. Failure to elect municipal officers c) Unless otherwise provided by the MARTIN: legislature. and is. the property and property rights of the predecessor corporation. rights. if the annexed territory officers! forms part of a municipality from which it is taken. officers or employees of the annexed or consolidated territory shall • Unless otherwise provided by law. When There is No Dissolution conferred. subjected to all laws or ordinances by which annexing corporation is governed. City of Manila e) Debt or obligations of the annexed territory (supra) contracted before its annexation shall be assumed by the annexing territory. As such it is entitled to exercise the functions of a municipality. In the one character a municipal a) The legal existence of original municipal corporation is a governmental subdivision. The juristic identity of the corporation • A municipal corporation is also not has been in no wise affected. But. Congress may provide for payment of compensation for the indebtedness 3. the municipal corporations cannot abrogated or changed by the new ruler. a terminate their official relation with offices. and corporation is extinguished. In the latter character it stands for the limits. 1. the whole or in part. subject to all of its liabilities. Only • Since Congress created them for public laws of a political character are totally good. powers.

arguing that the plebiscite should have been conducted only in the 12 barangays • There is no need for a plebiscite in the case comprising the proposed municipality. or barangays in the Municipality of Labo subject substantial alteration of boundaries of local to the approval by a majority of votes cast government units shall take effect unless pursuant to Sec 10. the rejection and disapproval of the proposed municipality after the turn-out where a PIMENTEL: majority voted against the creation. abolition. municipality. merger. requiring a plebiscite in the merger of local there is no reason to suppose that government units because the requirement reincorporation intended to permit an escape of a plebiscite in a merger expressly from the obligations of the old city. traditionally been lodged with the Section 10 has deleted the words “unit or” in President to facilitate the exercise of the Section 3. Resolution pursuant to RA 7155 approving the creation of the Municipality of Tulay-na-Lupa in LGC. it is a power which has HELD: NO. merged. plebiscite called for the purpose in the political unit or units directly affected. cities. No province. approved by a majority of the votes cast in a and LGC. While the proposed LGU and not those from the the power to merge administrative regions mother LGU. PLEBISCITE REQUIREMENTS administrative regions. Plebiscite Requirement. municipalities or barangays. Commissioner Davide during the 1986 CONCOM debates. abolished. municipalities and barangays. or barangay may be created. Padilla’s contention that Art X. As explained by CONCOM governments. X. COMELEC) 1987 CONSTI. Administrative regions are not territorial WON the term “political units directly and political subdivisions like provinces. is not expressly provided for in the Constitution.890 favored the creation of the of the law or ordinance effecting such action. or its boundary substantially altered. Camarines Norte to be composed of 12 No creation. affected” only comprises those areas in cities. Art X of 1987 Constitution. the deletion of the said There is no conflict between the power of words was done precisely because in the the President to merge administrative plebiscite to be conducted.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. it must involve all regions with the constitutional provision the units affected. GISELLA DIZON-REYES Absent any express legislative declaration. of merging administrative regions. Art. SEC. . When the law states that 42 . plebiscite conducted and to undertake a new one. Only 2. It serves as a check on the power of Congress or of the Governor Padilla files an action to set aside the LGU concerned to carry out such actions. applies only to provinces.439 voted against it. (Abbas vs. division. new municipality while 3. city. Said plebiscite The plebiscite held in the barangays shall be conducted by the Commission on comprising the proposed municipality and the Elections (COMELEC) within one hundred remaining areas of the mother municipality twenty (120) days from the date of effectivity Labo. 10. not to VI. Section 10. COMELEC accordance with the criteria established in the (1992) local government code and subject to approval by a majority of the votes cast in a plebiscite FACTS: The COMELEC promulgated a in the political units directly affected. • This requirement is mandatory. Art XI of the 1973 Constitution is power of general supervision over local untenable. except in Padilla vs. unless said law or ordinance fixes another The Plebiscite Board of Canvassers declared date. divided.

The Court rejected the (supra) suggestion of the Solicitor General that even the area of the EEZ should be considered in HELD: It can be plainly seen from Section 3 of determining the territorial requirement. The Solicitor General argued that the RA Executive Secretary.A. The Court noted that the case of Paredes vs.” it means that considered as a precedent. divided or merged and FACTS: RA 7720 converted the municipality of there is substantial alteration of the Santiago. 8528 other affected entity would be composed of by assailing the standing of petitioners to file those in the area subtracted from the mother the petition at bar. political units directly affected. eloquently argue the points raised by the petitioners. It is thus inescapable to conclude component city. be better promoted. even this consideration no longer retains persuasive It stands to reason that when the law states value. However. The substantial exercise. could not be political units directly affected. changing the Negros Occidental would necessarily be status of Santiago from an independent substantially altered by the division of its component city to a component city. this Court lacks jurisdiction. arguing that it lacked a provision del Norte. affected. Article XI of the 1973 CONSTI makes it imperative that there be first obtained "the Miranda vs.856 Tan vs. Plain and simple logic will submitting the law for ratification by the demonstrate that two political units would be people of Santiago City in a plebiscite. amending RA 7720. Aguirre approval of a majority of votes in the plebiscite (1999) in the unit or units affected" whenever a province is created. The first would be the parent province of Negros Occidental because its Respondent provincial officials of Isabela boundaries would be substantially altered. not to mention the other adverse economic effects it might suffer. RA 8528 was that the boundaries of the existing province of enacted. The phrase “political units some of its most important cities. alteration of the boundaries of the parent province. The reasons in this residents of the political entity who would be case invoked by respondents herein were economically dislocated by the separation of a formerly considered acceptable because of the portion thereof have a right to vote in said views then taken that local autonomy would plebiscite. existing boundaries in order that there can be Petitioners assailed the constitutionality of RA created the proposed new province of Negros 8528. into an independent boundaries. COMELEC square kilometers.” it means that residents of the political entity who would be Almost half of the sugar plantations would be economically dislocated by the separation dismembered form the parent province and have a right to vote. The defended the constitutionality of R. which involved the merely reclassified Santiago City from an creation of a new municipality where the independent component city to a component 43 . Hence.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. That case involved a barangay while that the plebiscite shall be conducted “in the this case involves a province. GISELLA DIZON-REYES the plebiscite shall be conducted “in the parent unit was not involved. The SC also considered the new province as lacking in the territory requirement since the land mass of the new territory was only 2. No. They also contend that the province to constitute the proposed province petition raises a political question over which of Negros del Norte. the directly affected” contemplates the plurality of remaining portion of the parent province is as political units which would participate in the much an area affected. Isabela. Subsequently.

7720 merger. No. 7675. division. merger. component city should be submitted to 8528 downgrades the status of their city. the incumbent the city council of Santiago will have to be congressional representative of this legislative reviewed by the Provincial Board of Isabela. paragraph (f) (1) of abolition or substantial alteration of the Implementing Rules and Regulations of the boundaries of local government units involve a Local Government Code is in accord with the common denominator — material change in Constitution when it provides that: the political and economic rights of the local government units directly affected as well as (f) Plebiscite — (1) no creation. The people of Mandaluyong approved of the conversion of the Municipality 44 . conversion. GISELLA DIZON-REYES city. constitutional provision (Sec. Zamora. they result in a material change in the local government unit directly affected.” municipality to an independent component city.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. This plebiscite requirement is also in accord with the philosophy of the The rules cover all conversions. The city mayor will be placed under the FACTS: The municipalities of Mandaluyong administrative supervision of the provincial and San Juan belonged to only one legislative governor. the consent of the votes cast in a plebiscite called for the purpose people of the local government unit directly in the LGU or LGUs affected.A. independent component city to a component city are many and cannot be characterized as Tobias vs. sponsored the bill which eventually Taxes that will be collected by the city will now became R. Rule II. Article 6. or substantial reason that the Constitution requires the alteration of boundaries of LGUS shall take approval of the people "in the political units effect unless approved by a majority of the directly affected. converting the have to be shared with the province. so long as government units. Cong. No. the independence of the (1994) city as a political unit will be diminished. municipality of Mandaluyong into a highly urbanized city. It is precisely for this division.A. abolishing. The resolutions and ordinances of district. 10 of Art. it required the approval of its people thru WON R. abolition. merging twenty (120) days from the effectivity of the or altering the boundaries of local government law or ordinance prescribing such action. No. It is markworthy that when R. No. district. dividing. that affects them — direct democracy of the people as opposed to democracy thru people's xxx xxx xxx representatives. A close analysis of the their right. or substantial alteration of upgraded the status of Santiago City from a boundaries of local government units. there is more reason to consult the people when a law substantially diminishes HELD: YES. X) will reveal that the creation. its people in a proper plebiscite.A. Indeed. It is one instance where the people in unless said law or ordinance fixes another their sovereign capacity decide on a matter date. units.A. For one. It allegedly did not involve any “creation. whether Constitution granting more autonomy to local upward or downward in character. Moreover. There is its failure to provide that the conversion neither rhyme nor reason why this plebiscite of the city of Santiago from an should not be called to determine the will of independent component city to a the people of Santiago City when R. merger." Thus. the people therein. especially a The changes that will result from the change in the political and economic rights of downgrading of the city of Santiago from an its people. 8528 is unconstitutional for a plebiscite called for the purpose. The plebiscite affected was required to serve as a checking shall be conducted by the Commission on mechanism to any exercise of legislative Elections (COMELEC) within one hundred power creating. Abalos insubstantial. abolition.

" The inescapable import of have the power to exercise just about any the latter clause is that the present act that will benefit their constituencies. as preserve the comfort and convenience of their aforequoted. inhabitants of San Juan were properly excluded from the said plebiscite as they had nothing to Petitioners allege that the law isnembracing do with the change of status of neighboring two principal subjects. Article VI. 16. shows that the present limit of inhabitants. "yes" whereas 7. 250 members is not absolute. Therefore. 7675 as the same implied therefrom. . promote full employment among Constitution. GENERAL POWERS OF LOCAL congressional district of San Juan / GOVERNMENTS Mandaluyong into two separate districts. 7675 is not unconstitutional. as well as powers involved a change in their legislative district.911 voted "no. conversion of Mandaluyong into a highly urbanized city. No. among other things. 18. Pursuant to this rule. encourage and support the development of appropriate and self-reliant scientific and As to the contention that the assailed law technological capabilities.A. or incidental for its efficient and effective governance. SEC. R. Nevertheless. Section 5(1). No.41% of the voting involved in the plebiscite was the conversion population voted. This. and (2) the division of the VII. necessary. has resulted in an increase in the A. enhance the right but is a natural and logical consequence of its of the people to a balanced ecology. if This clause has two branches: Congress itself so mandates through a − General legislative power - legislative enactment. those necessarily the plebiscite on R. conversion into a highly urbanized city.A. local government units congressional district for Mandaluyong is not a shall ensure and support. General Welfare. No. Sec. law. and those WON RA 7657 is unconstitutional. Police Power composition of the House of Representatives beyond that provided in Article VI. improve public violates the present limit on the number of morals.621 voted of Mandaluyong into a highly urbanized city.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 5(1) of General Welfare the Constitution.A. Thus. composition of Congress may be increased. "unless otherwise Welfare Clause. a reading of the applicable their residents. Within their respective HELD: NO. of its conversion into a highly urbanized city promote health and safety. namely: (1) the Mandaluyong. LGC. the increase authorizes the municipal council to in congressional representation mandated by enact ordinances not repugnant to R. enhance economic prosperity and representatives as set forth in the social justice. 7675 was deemed was only ancillary thereto. as may be necessary to carry The contention that the people of San Juan into effect and discharge the should have beein included in the plebiscite is powers and duties conferred upon the municipal council by law. The Constitution clearly provides that the House of PIMENTEL: Representatives shall be composed of not • This provision is known as the General more than 250 members. appropriate. and provision. the ratified and in effect." By virtue of The matter of separate district representation these results. 45 . LGU’s provided by law. The creation of a separate territorial jurisdictions. maintain peace and order. GISELLA DIZON-REYES of Mandaluyong into a highly urbanized city in bereft of merit since the principal subject a plebiscite only 14. which are essential to the promotion of the general welfare. subject separate and distinct from the subject the preservation and enrichment of culture. in effect.Every Petitioners also contend that the people of San local government unit shall exercise the Juan should have been made to participate in powers expressly granted.

authorizes reasonably necessary for the attainment of the municipal council to enact the object sought to be accomplished and ordinances as may be necessary not unduly oppressive. subject to the due process clause of the CONSTI and to the test of reasonableness. under the guise of police power. − Prohibition of all things harmful to peace. Torribio). while property may be regulated in only if it is a nuisance per se. The first and proper for the health and requirement refers to the equal protection safety. regulations to promote the health. be unreasonably 46 . Optical vs. Provincial Board). as arbitrary interference with the business or distinguished from those of a particular calling subject of regulation. in order to effectively accomplish each inhabitant (US vs. is Municipality of Virac). local government units. education. State and the establishment of rules of good manners and prevention of Police power as an inherent attribute of conflict of rights among neighbors sovereignty is the power to prescribe (US vs. Municipality of structures offensive to the sight. just compensation and an opportunity to while it is true that a business may be be heard. and in affecting the immediate safety of persons its pursuit. comfort. (People vs. clause and the second. morals. through the legislature. Fajardo) regulated. (Rural • In sum. as agencies of the safety and the general welfare of State. and its provisions when the following requisites are met: cannot be oppressive amounting to an (1) the interests of the public generally. the State may prohibit and property. Gomez and carry out the declared objects of their Jesus). safety. the regulatory ordinance properly exercised its police powers only must be reasonable. has and public interest (US vs. (Acebedo society (Rubi vs. however. that is. A lawful class. it is equally true that such regulation must be within the bounds of A local government is considered to have reason. • NOTE: The abatement of a nuisance without judicial proceedings is possible Hence. This delegation of police power is − Preservation of public order and embodied in the general welfare clause of prevention of offenses against the the LGC. • The exercise of police power. the State Calasiao) may not. or one the interest of the general welfare. permanently divest owners of the • The operation of theaters. GISELLA DIZON-REYES − Police power proper . creation. to the due process good order.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. require the interference of the State. Makati) LGU’s are as follows: − Promotion of the general welfare • The State. convenience of the municipality and Municipality of Calasiao) its inhabitants. morals. (Parayno vs. morals. peace. and for the protection of their property. CA) and − Abatement of nuisance (Tatel vs. good order or safety and the comfort. prosperity. under the and (2) the means employed are guise of regulation. cinematographs beneficial use of their property and and other places of public exhibition are practically confiscate them solely to subject to regulation by the municipal preserve or assure the aesthetic council in the exercise of delegated police appearance of the community… without power by the local government… However. business or calling may not. (Parayno vs. and clause of the Constitution. delegated the exercise of police power to − Promotion of public health. and welfare of general welfare of the people. Pompeya). the valid use of police power of Bank of Makati vs.

the lease of a public plaza of the said municipality in favor of a private WON a municipal corporation can prohibit person is null and void Even assuming a the operation of night clubs and the valid lease of the property in dispute. resolution could have effectively terminated the agreement for it is settled HELD: NO. The purpose sought to be City of Caloocan is within the legislative achieved could have been attained by power of the respondent city government reasonable restrictions rather than by an to enact. the municipality can order the closure was done by the Municipality of Bocaue. It cannot be said that such a that the police power cannot be sweeping exercise of a lawmaking power by surrendered or bargained away through Bocaue could qualify under the term the medium of a contract. man and so cannot be the subject of lease maintenance and operation of night clubs. " Since there is no dispute as the title court. Paras ESTABLISHMENT. upheld the validity of such limits the power to regulating. Sangguniang Panlungsod original law was not changed (AN ACT of Dumaguete) GRANTING MUNICIPAL OR CITY BOARDS AND COUNCILS THE POWER TO REGULATE THE Dela Cruz vs. when such law was amended clause. The admonition in under such ordinance.. not prohibiting. MAINTENANCE AND (1983) OPERATION OF CERTAIN PLACES OF AMUSEMENT WITHIN THEIR RESPECTIVE FACTS: The petitioners are assailing the TERRITORIAL JURISDICTIONS). when there is not a clear invasion of personal City of Caloocan) or property rights under the guise of police regulation. as power. as amended. reasonable. there was in this instance a • An ordinance prohibiting pinball machines clear invasion of personal or property rights. or any other contractual undertaking. (Negros Oriental II Electric (including the word “prohibit”) the title of the Cooperative vs. City of Manila) desirous of patronizing those night clubs and property in terms of the investments made • The sanggunian of a municipality does not and salaries to be earned by those therein have contempt powers nor the power to employed. the 47 . the employment of hostesses. was also held to be valid under the general personal in the case of those individuals welfare clause (Uy Ha vs. The objective of fostering public Castañeda. on the interment of Salaveria should be heeded: "The Judiciary the respective dead relatives in the La should not lightly set aside legislative action Loma cemetery. The lower thereof. CFI of Agusan argues that under RA 938. arguing that by virtue of police it would result in the statute being invalid if. the establishment." 16 It is clear that in the guise of a police regulation. Rojas) morals. The lower court also police power. “the del Norte) municipal or city board or council of each chartered city shall have the power to regulate • A public plaza is beyond the commerce of and prohibit by ordinance. Certainly the exhumation and/or transfer of corpses from ordinance on its face is characterized by other burial grounds to those located in the overbreadth. a worthy and desirable end can be attained by a measure that does not • While the ordinance which regulates the encompass too wide a field. cabarets. was not justified (Viray vs. (Balacuit vs. (Villanueva vs. ordinances. however.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. the imposition of the transfer fees absolute prohibition. Cavite vs. GISELLA DIZON-REYES interfered with even by the exercise of of such establishments. issue subpoena against non-members of the sanggunian under the General Welfare WRT RA 938.” Hence. The Constitution validity of an ordinance in Bocaue. Bulacan mandates: "Every bill shall embrace only one prohibiting the operation of night clubs and subject which shall be expressed in the title their employment of hostesses.

That was a regulatory measure. Inc. HELD: YES. It did provincial prosecutor submitted the following not prohibit motels.Investigation report of the petitioner order precisely to put an end to practices made by Marivic Guina recommending which could encourage vice and immorality.Letter addressed to Gov. limits of his police power. . other tainted by such grave defect. (TDI) is a community from emissions in the operation of domestic private corporation engaged in the the business. City Mayor of Manila. There It received a letter from acting mayor ordering is a wide gap between the exercise of a full cessation of operation of its Sta. promote the prosperity. What was raw materials used by the factory involved is a measure not embraced within the produced fumes that are hazardous to regulatory power but an exercise of an health so the company must shut down assumed power to prohibit. by this Court.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. v. TDI tried to accordance with the well-settled principle of secure it although it had previously secured constitutional construction that between two before its operation a “Temporary Permit to possible interpretations by one of which it will Operate Air Pollution Installation” issued by be free from constitutional infirmity and by the Environmental Management Bureau (EMB). Necessarily. ordinance is at the most dubious and under the present Local Government Code non. there was no valid objection on TDI instituted an action with RTC. Maria regulatory power "to provide for the health plant and requesting Plant Managaer to bring and safety. manufacture and export of charcoal briquette. and Pollution Administrative Code. such competence of Environment and Natural Resources Anti- extending to all "the great public needs. or enterprise. the former EMB is at a stage trying to determine correct is to be preferred. foundation of invalidity. quote from Holmes. Mayor Ermita-Malate Hotel and Motel Operators ordered padlocking of TDI’s plant premises Association. and to interdict any calling. In As to the Anti-Pollution Permit. It merely regulated the evidence: mode in which it may conduct business in . CA by his police power unless appropriate (1991) measures are taken to control or avoid injury to the health of the residents of the FACTS: Technology Developers. that the manufacturing process and This is an entirely different case.Signatures of residents complaining decision that there must be a factual about the pollution. A construction that would kind of anti-pollution device to be installed for save rather than one that would affix the seal TDI’s renewal of its permit. The CA affirmed. to Pollution Permit). Inc. Pagdanganan clear that there is no need to satisfy such a complaining about the smoke. The due process or equal protection grounds. WON the mayor validly acted within the existent. Mayor’s Permit. GISELLA DIZON-REYES operation of a night club was prohibited. Hotel and Motel Operators Association. requirement if a statute were void on its face. There without previous and reasonable notice upon is a misapprehension as to what was decided TDI. TDI didn’t have a mayor’s permit so it tried to Reference is also made by respondents to secure one but it was not entertained. in the language of the (Building Permit. Moreover. while it until the proper air pollution device is was pointed out in the aforesaid Ermita-Malate installed. it was likewise made . of doom certainly commends itself. Inc. The mayor can deny application for a permit to operate a business or close it Technology Developers vs. 48 . improve to the office of the mayor several permits the morals. occupation. That it certainly is if the power to enact such RTC ruled in favor of mayor.

condition and are therefore condemned. Manila. since it is still subject to the approval of the mayor. or three months after the notices of civil engineer that the buildings are still condemnation were issued. nay the very lives of the ruinous condition. and Paz St. accordance with law.. who is at the same time the Building that concomitant with the need to promote Official. The power to condemn Petitioner takes note of the plea of petitioner buildings and structures in the City of Manila focusing on its huge investment in this dollar. and Bulacan. falls within the exclusive jurisdiction of the City earning industry. and clearly beyond structurally sound and have remaining the seven days prescribed under Section 276 economic life of up to eight years. law. Moreover. It also structural. al. or Mayor was in response to the complaint of the with grave abuse of discretion. Hence. Engineer. pointing to a certification by a private 1983. buildings. Sta. directed to the Provincial Governor adequate remedy in the ordinary course of through channels. the mayor of a town has as much HELD: NO. et al (petitioners). from the deleterious effect of the Compilation of Ordinances of the City of Manila pollution of the environment. board or office exercising judicial function acted It must be noted that his action of the Acting without or in excess of its or his jurisdiction. Inc. plumbing and electrical said that the notice is not a demolition order defects of up to 80%. GISELLA DIZON-REYES While determination whether there is pollution WON Chua Huar et. It is explicitly clear from Section 1 responsibility to protect its inhabitants from of Rule 65 of the Rules of Court that for pollution. sanitary. requested There is no grave abuse of discretion on the Romulo del Rosario (city engineer of Manila) to part of the respondent City Engineer because condemn the dilapidated structures located the orders were made only after thorough Pedro Gil St. Hence. It is also clear from the people. have a valid of the environment that requires control (if not grievance for the remedy of certiorari prohibition) of the operation of a business is under Rule 65 of the Rules of Court to be essentially addressed to the EMB (National available to them. certiorari to be available: (a) a tribunal. Petitioners failed to show the presence of both elements. Chua Huat. that the Mayor has the power to confirm or deny the action taken by the Building Officials. speedy. there is no appeal. The City's Building Inspectors. He has the authority to order the investment and contribute to the growth of the condemnation and demolition of buildings economy is the equally essential imperative of which are found to be in a dangerous or protecting the health. 49 . and (b) that residents of Barangay Guyong. filed a complaint in the court. et al. Chua Huat vs CA with respect to the dangerous or ruinous (1991) buildings. all ocular inspections were conducted by the occupied by Chua Huat. The mayor of the Compilation of Ordinances of the City of eventually ordered the demolition of the said Manila. which they did not do.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. The orders were based on the The respondent Mayor's act of approving the inspection reports made by Evaluation condemnation orders was likewise done in Committee of the Office of the City Engineer. Paco. The results of the city engineer issued notices of condemnation inspections were set forth in a memorandum addressed to the petitioners. It stated that the dated 16 November 1982 where it was shown buildings were found to be in dangerous that all the buildings had architectural. FACTS: Manuel Uy & Sons. Maria. Pollution Control Commission before) of DENR. nor any plain. It must be stressed however. appeal was likewise available to petitioners (fifteen-day period to the Secretary of Public Works). The protest made by Petitioners protested such condemnation petitioners was submitted only on 22 February notices.

or be inferred from the mere fact Sec. but not to Resolution No. 60. morals. tries to redefine the scope of reconsideration. 60 and the alleged public safety exceed. 243. Said resolution for the safety of the people. safety. income does not exceed Php 2000 per month. It is elastic and The Metro Manila Commission (MMC) approved must be responsive to various social Resolution No. disapproved on which our social system rests. 60. there must be a valid delegation of of the people by promoting public convenience such power by the legislature which is the or general prosperity. COA. and general welfare of the HELD: YES. and it has been said to be the very foundation after its preliminary findings. Before broadened to deal with conditions which exists a municipal corporation may exercise such so as to bring out of them the greatest welfare power. GISELLA DIZON-REYES certiorari will not lie for failure to exhaust of the creation of the corporation. but is state but not in municipal corporations.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. good order or safety and are given 500 pesos cash relief. inhabitants of Makati. 128). delegation. the life and health of the citizen. It covers a wide scope Makati is a valid exercise of police power of subjects. health. with private rights. Thereafter. police power by circumscribing its exercise to “public safety. general rule. It extends to all the great public needs. Domingo and purpose of their creation which are (1991) reasonably proper to give effect to the powers expressly granted. It will be general welfare of the people. It only and convenience as consistently as may be seeks to benefit a few individuals. and has been the objective sought to be attained under said to be commensurate with. It is the most funded by the unappropriated available funds essential. and as a administrative remedies. it is not for a public purpose. insistent. Resolution No. while it is especially occupied under the general welfare clause. 000 for the implementation of the Burial comfort of an existence in a thickly populated Assistance Program. and the beneficial use of property. in a broad sense includes all WON Resolution No. municipal corporations may exercise police powers within the fair intent Binay vs. and. its expected allowance in audit. it is not limited thereto. with whatever affects the peace. of the people in their health. Moreover.S. in saying that there is no perceptible thereof. who are Police power is the power to prescribe bereaved families whose gross monthly regulations to promote the health. in the municipal treasury. and to everything repository of the inherent powers of the State. peace. Mayor Binay filed two letters for connection. the enjoyment of private and referred to the Commission on Audit (COA) for social life. morals. On it depends the security of social secretary certified a disbursement fund of order.J. security. the municipal conditions. education. the P400. However. general welfare. Thus. Police power is inherent in the community. and. 60 and disallowed in audit the disbursement of funds for the implementation COA. re-enacted under legislation and almost every function of the Resolution No. provided for a burial assistance program where qualified beneficiaries. of the Municipality of municipal government. and statutes conferring FACTS: The Municipal Council of Makati issued powers on public corporations have been a Resolution confirming and/or ratifying the construed as empowering them to do things ongoing burial assistance program initiated by essential to the enjoyment of life and desirable the Office of the Mayor. etc of the COA denied both letters for reconsideration. In a sense it is the greatest and most powerful attribute of the government. and illimitable of powers. The resolution was then community. worthwhile for the preservation of comfort of A valid delegation may arise from express the inhabitants of the corporation (62 C. the duty to provide for the real needs and general welfare of the people of Makati.” The police power of a COA argues that there is no relation between municipal corporation is broad. it is deemed inadvisable to 50 . comfort.

the Municipal Council of or merchants. persons. Owners of warehouses in any equal protection clause of the Constitution. The clause. hemp. are hereby given advice to remove their said warehouses this WON Ordinance No. Its number of persons. series of 1952. and must be in consonance with certain well established and basic principles of substantive Tatel v Municipality of Virac nature: (1992) 1) must not contravene the Constitution or FACTS: In 1966. support for the poor has long been an accepted exercise of police power in the For an ordinance to be valid. GISELLA DIZON-REYES attempt to frame any definition which shall the exercise of its police power. and the neighborhood with narrow roads and the 6) must not be unreasonable surrounding residential houses so much so that accidental fire from the continued Section 1 and 2 of Ordinance No. oil of turpentine and Code. corporation Based on this report. principle of law that municipal corporations are agencies of the State for the promotion and As regards COA’s additional objection. crude oil. such are endowed with the police powers in Public purpose is not unconstitutional merely order to effectively accomplish and carry out because it incidentally benefits a limited the declared objects of their creation. Municipality of Virac is unconstitutional provided however. losses of properties inclusive lives by fire accident. it shows maintenance of local self-government and as that it is not attuned to the changing of times. petroleum. There is no be within the corporate powers of the violation of the equal protection clause in municipality to enact but must also be passed classifying paupers as subject of legislation. 13 which prohibited the within the distance of 200 meters from construction of warehouses within 200 meters a block of houses either in the from a block of houses either in the poblacion poblacion or barrios to avoid great or barrios. entity. wherein to keep or store passed a Resolution declaring the warehouse a copra. form. Elena against 2) must not be unfair or oppressive disturbance caused by operation of the abaca 3) must not be partial or discriminatory bailing machine inside the warehouse of Tatel. according to the procedure prescribed by law. nuisance within purview of Art 694 of the Civil alcohol. construct warehouses in any form to any person. contrary to due process and Sec. It is a settled absolutely indicate the limits of police power. 2. It also argued that Tatel’s warehouse the like products or materials if not violated Ordinance No. 4) must not prohibit but may regulate A committee was appointed by the municipal trade council of Virac to investigate on the matter. The care for the poor is authority emanates from the general welfare general recognized as a public duty. 13 of the ordinance by the Municipal Council. gasoline. warehouses now in existence should no longer be utilized as such warehouse HELD: NO. for the above-described products in was passed by the Municipal Council of Virac in Section 1 of this ordinance after a lapse 51 . 5) must be general and consistent with The committee noted the crowded nature of public policy. 13 reads: operations of the warehouse and storing of inflammable materials created danger to the Sec. Paupers may be reasonably classified. Tatel counters that the said Ordinance is unconstitutional.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 1. complaints were received any statue from the residents of barrio Sta. that if those and void. Ordinance No. it must not only promotion of common good. It is strictly prohibited to lives and properties of the people. 13.

what and such would result to “irreparable damage. GISELLA DIZON-REYES of the time given for the removal of the bodegas concerned without the municipal said warehouses now in existence. subject to the condition that they should vacate the A casual glance of the ordinance at once place in case it is needed for public purposes. that these warehouses now in existence. occupied and possess purpose is to avoid the loss of life and property by respondent Vicente Medina since 1947 in case of fire which is one of the primordial when he bought the subject parcel from a obligation of the government. the Municipality of elements of the English language commonly Dumingag filed an ejectment case against the used throughout the country in such matters. in the absence of proof HELD: NO. CA section 1 of this ordinance. shall in the future be FACTS: Municipality of Dumingag alleges that converted into non-inflammable it leased an area of 1. is regulated by the ordinance is the injury. defendants. and in particular the persons charged with the Meanwhile. that Proclamation No- say that the mere fact that the municipal 365 issued on March 15. 1968 recognized authorities of Virac have not proceeded "private rights". 13 is no and petitioner municipality as regards the reason to claim that the ordinance is ownership of the subject parcel of land. While the complaint alleges that the other bodegas mentioned by him are factual circumstances of a complaint for operating in violation of the ordinance and that abatement of public nuisance. same warehouses shall be exempted from the spirit of the provision of Judge Tamin vs. A distinction must be made between the law itself and the manner in WON the petitioner municipality is which said law is implemented by the agencies entitled to a writ of possession and a writ in charge with its administration and of demolition even before the trial of the enforcement. authorities doing anything about it. (The lot was bodies in small towns where local authorities eventually declared as a public plaza). that a case is pending against other warehouses in the municipality before the Cadastral court between Medina allegedly violating Ordinance No. the municipality the complaints have been lodged against the municipality had three remedies from which to select its cause of action. reveals a manifest disregard of the elemental Medina and Roselllon paid rentals until 1967. basically. petitioner to complain.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. warehouses are located at a distance of 200 meters from a block of houses and not the The defendants argue that the subject parcel construction per se of a warehouse. It chose to file a civil 52 . and prejudice” to the municipality and construction of warehouses wherein its people who are expected to derive benefit inflammable materials are stored where such from the accomplishment of the project. and. that the warehouses similarly situated as that of the respondents were never lessees of the petitioner were not prosecuted.350 sq meters to the products and materials warehouses. however. It further argued that the funds might revert back to the national government In spite of its fractured syntax. will show but they refused to pay after that period and that this is not uncommon in law making refused to leave the lots. Medina and Rosellon (defendants). The of land has been owned. the national government had drafting and preparation of municipal allotted funds for the construction of a resolutions and ordinances lack sufficient municipal gym but it could not continue due to education and training and are not well the presence of the buildings of the grounded even on the basic and fundamental defendants. that portion of the parcel of land. There is no valid reason for the case starts. discriminatory. Experience. suffice it to petitioner municipality. rules of syntax. provided (1992) further. that the other respondent Fortunata Rosellon leased from Medina a As to the third assignment of error. Subanan native. Hence.

365 were still pending. the cadastral proceedings several residential structures. The residential building owned by Cribillo and Iglesia ni Kristo chapel are Parenthetically. Patalinghug proceedings by filing a petition in court after continued to construct his funeral parlor which which all owners or claimants are compelled to was soon finished. However. the issuance of the writ of 63. under such circumstances. and other institutional buildings. A writ of demolition would that funeral homes must be established not have been sufficient to eject the private less than 50 meters from any residential respondents. 1. and summarily abate a public nuisance.P. there would Patalinghug v CA have been no need for a writ of possession in (1994) favor of the petitioner municipality since the private respondents' occupation over the FACTS: The Sangguinang Panlungsod of subject parcel of land cannot be recognized by Davao enacted Ordinance No. 337) the the cadastral proceedings. 53 . It provided commerce of man." Hence. structures. Under the cadastral system. fact. What the petitioner should respondents. petitioner municipality have done was to stop the proceedings in the was aware that under the then Local instant case and wait for the final outcome of Government Code (B. GISELLA DIZON-REYES action for the recovery of possession of the petitioner Judge in the ejectment proceedings parcel of land occupied by the private was premature. The trial court requiring that the titles to any lands "be dismissed the complaint saying that: settled and adjudicated. Sangguniang Bayan has to first pass an ordinance before the municipality may Faced with these alternative possibilities. act and present their answers otherwise they lose their right to their own property. then the writ of possession and demolition of their buildings is adjudged to be writ of demolition would have been justified.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. since a public plaza is outside the Zoning Ordinance of Davao City). The Sanggunian intended to settle the ownership over the found out that the nearest residential structure questioned portion of the parcel of land under (owned by Tepoot) was only 8 inches to the Proclamation No. Obviously. not only did the municipality avoid the use of abatement without judicial Upon approval and certification of zoning proceedings. 363 (Expanded any law. if. in the interest of justice.95 meters away. possession and writ of demolition by the respectively from the funeral parlor. building officer issued a building permit in favor of Patalinghug for the construction of the It is to be noted that even before the Metropolitan Funera Parlor at Cabaguio Ave. south. the government Notwithstanding the findings of the through the Director of Lands initiates the Sangguniang Panlungsod. it is a prejudicial question in the present case. the allegations in the complaint be determined by the trial court to answer for are true and that the parcel of land being just compensation to which the private occupied by the private respondents is indeed respondents may be entitled in case the a public plaza. In illegal. Blg. churches. The The residents then filed a case for declaration purpose is to serve the public interests by of nullity of a building permit. the parcel of land was the subject of cadastral proceedings before Residents of Barangay Agdao complained that another branch of the Regional Trial Court of it violated the ordinance since it was within a Zamboanga del Sur. Proclamation.25 meters and 55. but the status of the subject compliance by the zoning administrator. At the time of the filing of 50-meter radius from the INC Chapel and the instant case. the parcel of land has yet to be decided. we rule that the petitioner municipality must put up a bond to However.

the Appellate Court ruled otherwise. this admits of exceptions as when the findings or conclusions of the Greater Balanga Development Court of Appeals and the trial court are Corporation vs. Once a local government has laundry business with machinery reclassified an area as commercial. Municipality of Balanga contrary to each other. The CA reversed the trial court and ruled that The declaration of an area as a commercial Tepoot’s land is a residential lot as reflected in zone thru a municipal ordinance is an exercise the tax declaration. for zoning purposes. Mayor issued a Mayor's Permit the presence of machineries and laundry granting GBDC the privilege of a "real estate equipment. Sanggunian declared the area as commercial Asiaten who actually devotes it to his or C-2. its use as a residence was not fully dealer/privately-owned public market substantiated. While the trial court (1994) ruled that Tepoot's building was commercial. must prevail. Mayor revoked the permit insofar as it discrepancy may thus exist in the authorized the operation of a public market. the as they failed to exhaust the respondents have failed to substantiate their administrative remedies provided by arguments that Cabaguio Avenue was still a Ordinance No. Corollary thereto. certain portions of which has been the trial court. Although the residential building owned determination of a property for zoning by certain purposes. The question of whether Mr. are conclusive on us. determination of the nature of property for 54 . operator" under the registered trade name of Balanga Public Market. determination. Mr. Thus we FACTS: GBDC applied with the Office of the see the necessity of reading and examining Balanga Mayor for a business permit its the pleadings and transcripts submitted before property. Persons may be factual determination which appellate courts subjected to certain kinds of restraints and should not disturb. While the commercial character of the 3. While its entrance fees from the occupants and users of commercial aspect has been established by the area. may interfere HELD: NO. of police power to promote the good order and general welfare of the people in a locality. the findings of the trial by a concrete fence. Private respondent's suit is premature vicinity was declared through ordinance. 363. Tepoot’s buillding was used for a dual while charging market fees and market purpose: dwelling and for business. said residential court are supported by the fact that the building is being rented by a certain Mr. in order to promote the general welfare. A However. "unlawfully usurped and invaded" by Balanga. the state. and is only separated therefrom On the other hand. A tax declaration is not conclusive of the nature of the property for zoning purposes. Although the general rule is burdens to secure the general welfare of the that factual findings of the Court of Appeals state. with personal liberty. the Sangguniang Bayan passed a property may have been declared by its owner Resolution annulling the Mayor's permit issued as residential for real estate taxation purposes to GBDC and advising the Mayor to revoke the but it may well be within a commercial zone. residential zone. and with Tepoot’s building is residential or not is a business and occupations. WON Tepoot’s land is residential.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES real estate taxation purposes vis-a-vis the 2. A permit. that thereon. with property. which had "allowed/tolerated/abetted" the The testimony of City Councilor Vergara shows construction of shanties and market stalls that Mr. Tepoot is adjacent to the funeral parlor.

uncertainty. Entry of judgment was that the resolution and EO were legitimate likewise. made in the same year. alleged that he EO and the resolution in that separate permits are actually required. the Sangguniang Bayan has the violation by the grantee of any of the duty in the exercise of its police powers to conditions for which the permit had been regulate any business subject to municipal granted. GBDC also obtained in was the subject of adverse claims for which a its name TCT No. Greater Balanga WON there has been a valid revocation of appeared to be the true owner of Lot 261-B-6- the permit. After all. restiveness" among the stallholders and profession. Indeed. and as it happened. question were quasi-judicial acts and not mere the application form does not contain any exercises of police power and that the Mayor entry as regards the number of businesses the also failed to observe due process in revoking applicant wishes to engage in. with all the more reason municipal corporations are to be construed in should due process have been observed in 55 . The alleged violation of also not a ground for revocation. The permit should stallholders and traders were doing business not have been issued without the required on property not belonging to the Municipal information given in the application form itself. It further against the municipality. the manner by which the Mayor revoked the permit transgressed petitioner's Applying for two businesses in one permit is right to due process. A-3 when respondents revoked its permit to engaged in business on its own land. It further Mayor's permit was revoked. but only that separate violation until the Rejoinder was filed in the fees be paid for each business. the blank in its application form. HELD: NO. The question of ownership over Lot 261-B had Balanga argues that Mayor may issue. thus there’s no any doubt or ambiguity must be construed reason to revoke the Mayor's permit. When the exercise of local legislative authority. five years had argues that GBDC violated Section 3A-06(b) of already elapsed since the case was decided. however. There must be proof of willful "designed to promote peace and order and misrepresentation and deliberate intent to protect the general welfare of the people of make a false statement.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. and permits for their conduct of two or more neither was petitioner informed of this specific businesses in one place. not make any false statement in the pertinent entry. the Balanga Revenue Code when it failed to GBDC was able to survey the land and have inform the Mayor that the lot in controversy the survey approved. petitioner did excuse to justify respondents' acts. deny or already been settled with finality by the revoke municipal licenses and permits and Supreme Court in 1983. Par 2 Section Section 3A-06(b) of the Balanga Revenue Code 3A-06(b) does not expressly require two was not stated in the order of revocation. Clearly. rendered in any civil case. for all intents and purposes. applicant to state what type of business. GISELLA DIZON-REYES GBDC filed this petition claiming that it had not strictissimi juris (strictly in its legal terms) and violated any law or ordinance. Good faith is always Balanga" is too amorphous and convenient an presumed. the claim that the Leaving an entry blank is not equal to false executive order and resolution were measures statement. Granting. In fact. The authority of the Mayor to revoke a permit he issued is premised on a Of course. license fees and prescribe the conditions under which a municipal license already issued The application for Mayor's permit requires the may be revoked. Petitioner left this entry the permit of petitioner. the permit. government. occupation and/or calling privileges traders cannot be a valid ground for revoking is being applied for. But the "anxiety. 120152 "without any civil case was filed and when it failed to apply memorandum of encumbrance or for two separate permits for the two lines of encumbrances pertaining to any decision business it proposed to engage in. The powers of instant case. Moreover.

Princesa enacted an Ordinance banning the A marginal fisherman is an individual shipment of all live fish and lobster outside engaged in fishing whose margin of return or Puerto Princesa for 5 years.A. agricultural or marine products produced by himself and his immediate family. the ordinances in question are Palawan and the City of Puerto Princesa of meant precisely to protect and conserve our their only means of livelihood and the marine resources to the end that their petitioners Airline Shippers Association of enjoyment may be guaranteed not only for the Palawan and other marine merchants from present generation. allowing inspections of while a subsistence fisherman is one whose cargoes to determine whether the shipper catch yields but the irreducible minimum for possessed the required Mayor's Permit issued his livelihood. as to their status. reward in his harvest of fish as measured by existing price levels is barely sufficient to yield To implement this." It bears Next. however. There is absolutely no showing for the people of the community. association composed of Marine Merchants. Socrates Since the Constitution does not specifically (1997) provide a definition of the terms "subsistence" or "marginal" fishermen. selling and aims primarily not to bestow any right to shipment of live marine coral dwelling aquatic subsistence fishermen. by appropriate ordinances. Section 2 of Article XII gathering." without any Sangguniang Bayan. Section 5(c) of the LGC explicitly mandates that the general welfare WON the resolutions and ordinances provisions of the LGC "shall be liberally issued were valid exercises of police interpreted to give more powers to the local power. What the provision merely recognizes is that the State may allow. 7160) defines a marginal farmer or invoice or clearance issued by the local office fisherman as "an individual engaged in of the Bureau of Fisheries and Aquatic subsistence farming or fishing which shall be Resources and as to compliance with all other limited to the sale. by law. muro-ami. government units in accelerating economic development and upgrading the quality of life HELD: YES. with priority to and the Airline Shippers’ Associatin. Besides." while the rest of the petitioners substances. the Sangguniang Panlalawigan of repeating that nothing in the record supports a Palawan enacted SR No." that any of the petitioners qualifies as a subsistence or marginal fisherman. alleged violators of the ordinaces cooperative fish farming. but to lay stress on the organisms in and coming from Palawan waters duty of the State to protect the nation's for 5 years. petitioner Airline Shippers Association grant fishery privileges in municipal waters of Palawan is self-described as "a private and impose rentals. marine wealth. and other 56 ." to penalize. Section 131(p) of the LGC (R. lakes. Office Order No. buying.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. went to subsistence fishermen and fishworkers in the SC arguing that the respondents rivers. Petitioners. GISELLA DIZON-REYES view of the questioned Resolution of the claim to be "fishermen. In their The LGC vests municipalities with the power to petition. 33 and Ordinance No. noxious or poisonous "merchants. electricity. generations to come. possessing. Tano vs. barter or exchange of existing rules and regulations on the matter. finding that any petitioner falls within these 2 series of 1993 prohibiting the catching. 23. as of explosives. implemented the said ordinances depriving all the fishermen of the whole province of Moreover. the use petitioners Robert Lim and Virginia Lim. Acting City Mayor issued a profit or cover the cost of gathering the fish. bays and lagoons. they should be FACTS: Sangguniang Panlunsod of Puerto construed in their general and ordinary sense. qualification. by this Office and the shipment is covered by No. fees or charges therefor. definitions. but also for the performing their lawful occupation and trade.

and to conveyed for any purpose for which other real prosecute any violation of the provisions of property belonging to the local government applicable fishery laws. Any fair and reasonable doubt as to the an undertaking of public works and highways. any question square may be temporarily closed during an thereon shall be resolved in favor of devolution actual emergency." the duration of which shall be specified by the local chief executive concerned in a written In light then of the principles of order: Provided. General Welfare Clause). Closure and Opening of Roads commodities. that "any provision on a power of a local government unit shall be liberally interpreted (c) Any national or local road. LGC. and waterworks projects. 21 (c). alley. SEC. the validity of the (d) Any city. or shopping areas may be established and where goods. (1) (vi). agricultural or industrial fairs. and when necessary. Indispensable to decentralization without provision for its transfer or relocation is devolution and the LGC expressly provides to a new site. is needed to close such road or street. park. however. or barangay may. permanently or temporarily except if the closure is only temporary and close or open any local road. or articles of commerce may be sold and dispensed to the general public. A property thus permanently the said road. Closure and Opening of Roads. park. favor of the local government unit concerned. in Sec. The LGU’s merely implemented the shopping malls. alley. an adequate the commerce of man as the open space substitute for the public facility that is subject required by law to be devoted for the use to closure is provided. and in case of doubt. of powers and of the lower local government public rallies. pursuant to or a street even if it is for public welfare an ordinance. 447(a) (1) (vi). or civic local government units under Section 16 (the activities not officially sponsored. park. That no national or decentralization and devolution enshrined in local road. alley. or square shall set the LGC and the powers granted therein to temporarily closed for athletic. such ordinance must be approved by at least two-thirds (2/3) of all the members of the • When a subdivision road is withdrawn from sanggunian. without need of paying any provisions for the maintenance of public safety compensation to the owner/developer of therein.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. That no decentralization as expressly mandated by the freedom park shall be closed permanently Constitution. unit concerned may be lawfully used or The centerpiece of LGC is the system of conveyed: Provided. or unit. or fiesta celebrations. which unquestionably involve the exercise of police power. or any other public place where the LGU’s. or only during the circumstances mentioned square falling within its jurisdiction: Provided. – PIMENTEL: • The mayor cannot unilaterally close a road (a) A local government unit may. In other cases. recognized. Its donation by the 57 . and under Sections or approved by the 149. of the general public. road. GISELLA DIZON-REYES deleterious methods of fishing. That in case of permanent closure. foodstuffs. existence of the power shall be interpreted in telecommunications. temporarily close and regulate the use of any local street. its ownership is automatically vested in the municipal/city (b) No such way or place or any part thereof government and/or the Republic of the shall be permanently closed without making Philippines. an ordinance however. municipality. 458 (a) (1) (vi) and 468 (a) local government unit concerned. by questioned Ordinances cannot be doubted. Sunday. merchandise. cultural. flea or night markets. a duly enacted ordinance. 21. or in its favor. GD-R: Not all DENR powers were devolved to thoroughfare. however. although it is still registered withdrawn from public use may be used or in the latter's name. programs of the DENR.

gatherings.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Ayala Corporation Congress’ intent to preserve the sanctity of donated Jupiter and Orbit Streets to freedom parks and their large role as a Bel-Air on the condition that. Orbit and obligations. Distance of Rizal on the condition. Indeed. The Mayor is correct. during that time. 2) The opening of the streets was justified by public necessity and the exercise of However. Also. before it owned by BAVA at Jupiter and Orbit were can turn over the same to the government ordered demolished. to is constitutionally guaranteed. municipality until that city or municipality 4) BAVA cannot hide behind the non- designates a freedom park. Hence. among its mandatory Mercedes. by way of a donation. only a few LGU’s have the police power. (White Plains Association vs. GISELLA DIZON-REYES owner/developer to the government is a Accordingly. The Sc said impairment clause on the ground that that without such alternative forum. For this 2) BAVA has always kept the streets reason. the standard Municipality of Makati in the interest of the practice and requirement is that a general public to open to traffic Amapola. 21(b) is proof of 1) Some time ago. the general public shall Freedom parks are places where public always be open to the general public. develop the road lots in its Pasco de Roxas streets. the SC held in a articles of incorporation recognized case that no permit may be required for Jupiter Street as a mere boundary to the people’s exercise of their right to the southwest – thus it cannot be said peacefully assemble and petition in any to be for the exclusive benefit of Bel-Air public park or plaza of a city or residents. IAC BAVA. Bel-Air was approved by the Court of First. The deny the permit would be in effect to deny reason is that it is not absolute. As a result. particularly in the areas along the property without process of law or public streets adjacent to Bel-Air Village. Mayor Nemesio voluntarily open anyway Yabut of Makati ordered that studies be made 3) The demolition of the gates on ways on how to alleviate the traffic abovementioned was a deprivation of problem. the gates subdivision at its own expense. certain reasonable conditions and restrictions. under mechanism of preserving democracy. connecting to public streets and highways shall be opened to public traffic. the demolition 58 . Jupiter. has streets always been plagued by traffic. available. meetings. never agreed to the opening of the said FACTS: As far back in 1977. as provided by 3) Bel-Air Village Association’s (BAVA) Sec. developer must. Ermita) has to be reconciled with the legitimate exercise of police power. Neptune. Zodiac. 15 of BP 880. especially in cases when the main deed of donation executed between plaza of a city or municipality is not Ayala and Bel-Air. Legaspi) Mayor Yabut justified the opening of the streets on the following grounds: • The last sentence of Sec. that its major thoroughfares police power. Makati. contended: (1989) 1) Rufino Santos. president of BAVA. HELD: YES. designated freedom parks. for the reasons mentioned above. since it the right (Bayan vs. among WON Mayor Yabut validly exercised others. Sangalang vs. on the other hand. The expropriation without just studies revealed that the subdivision plan of compensation. and rallies may be These conditions were evidenced by a held. it was deemed necessary by the mere formality.

who is the without provision for just compensation. 436 of the HELD: YES.” The closure is as plain as day except “When any property is condemned or that the petitioner. after all. gates unjustified. may be carried out by there is no reason for not applying the doctrine the Mayor. In fact. Cabrera is not entitled to damages. from those sustained by nuisance and annulment of resolutions and the public generally.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. this authority is inferable from the issued Resolution No. documents with damages. City of Baguio the that the seizure of the gates is unjustified Court held the closure of a city street as within because police power can be exercised the powers of the city council. Resolution No. 158 for the closure of a grant by the national legislature of the funds road leading to the Capitol Building to the Province of Catanduanes for the construction of provincial roads. announced therein to the provincial board in connection with the closure of provincial roads. of which While it is true that the above cases dealt with summary abatement. Owners of the properties traversed by the new road were given portions of the old road in Also. He alleged that Resolution No. safety or security. The Court has little patience with such puerile the owner thereof shall not be entitled arguments. subsequently laid a new concrete road. unless he can show trifling with the administration of justice and that such condemnation or seizure is can only prejudice the pleader's cause. but he must commerce of man. as decreed under Art. CA The provincial board has. One exchange for their properties. refuses to acknowledge it.. v. unjustified. BAVA has the burden of showing Inc. FACTS: The Provincial Board of Catanduanes Moreover. the gates could even be considered public nuisances. 59 . sustained special damage differing in kind. In this case. the property owner must show that the situation is such that he has Cabrera. The law will not permit him to be cut governmental capacity it is beyond the off from the public thoroughfares. and guarantee to a property owner the public since the land fronting his house was a public maintenance of the most convenient route to road owned by the province in its his door. 701 of the Civil Code.” In the case of Cebu Oxygen and Acetylene Co. 158 is not an order for a closure The Constitution does not undertake to of the road but an authority to barter. that “it is hereby resolved to close the old road. and filed a complaint for the abatement of not merely in degree. The authority competent to determine whether or Court is of the opinion that the Mayor did not not a certain property is still necessary for act unreasonably nor was the opening of the public use. 158 clearly says Civil Code. with the blindness of those seized by competent authority in the who will not see. deem most compatible with the public welfare. Bercilles and Favis vs. the duty of (1991) maintaining such roads for the comfort and convenience of the inhabitants of the province. upon learning about the resolution. Cabrera vs. GISELLA DIZON-REYES of the gates is justified under Art. They border dangerously on a to compensation. interest of health. content himself with such route for outlet as WON the closure of the said road was the regularly constituted public authority may valid. city councils and not the provincial board. Deeds of whose property does not abut on the closed exchange were executed under which the section of the street has no right of province conveyed to several persons the compensation for its closure if he still has portions of the closed road in exchange for reasonable access to the general system of their own respective properties on which was streets. To warrant recovery.

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Petitioner wrote a letter to Asistio asking for the demolition of the FACTS: Municipality of Paranaque passed illegally constructed stalls and invoking the Ordinance No. Diokno prior administration's policy of clearing and (1992) cleaning up the city streets. GISELLA DIZON-REYES His acquisition of city property is a tacit the public street. the city street vendors. Such leases or licenses Dacanay vs. peace. safety. opened up 7 flea are under legal obligation to protect. 86 which authorized the (1) decision in prior civil case. administration changed hands. Ordinance was later approved Commission by the Metro Manila Authority subject to the certain conditions. The FACTS: MMC Ordinance No. the writ of preliminary injunction it had issued as arteries of travel for vehicles and earlier. 86 and enjoined Government for the right to occupy portions of Macasiano from enforcing his letter-order. markets in the city.. good order and markets. However. it may Palanyag and the discontinuation of the not be the subject of lease or other contracts. the respondent city officials pursuant to the Ordinance. recognition of these principles. outside the commerce of respondents bad started to look for feasible man. contrary to law. HELD: NO. designating certain good of the greater number in the community streets. As early as 1989. general welfare. They have had more than ample time to relocate the Shortly after the decision came out. has been leasing portions of the streets to them. 424.e. a service cooperative. The TC upheld As the stallholders pay fees to the City validity of Ordinance No. 60 . Robles authorizing the use of Heroes del '96 Street as a vending area for stallholders who In 1987. ordered the confiscation of stalls put up by Being outside the commerce of man. the public dominion and hence. RTC issued writ prayed vested right of the public to use city streets for for but later dismissed the petition and lifted the purpose they were intended to serve: i. roads and open spaces stallholders by virtue of a city ordinance within Metro Manila as sites for flea markets or or resolution of the Metro Manila vending areas. Civil Code). did not pursue the Macasiano vs. It found that the streets were of public pedestrians. There is no doubt that the disputed areas from which the private Paranaque mayor entered into an agreement respondents' market stalls are sought to be with Palanyag. alternative sites for flea markets. His letters closure of certain streets at Baclaran and (2) however. The Caloocan city mayor Robles. the establishment of a flea market thereon. A public street is establishment and operation of the flea property for public use hence outside the market. roads and open spaces as sites for flea whose health. 420. PNP Superintendent Macasiano commerce of man (Arts. the City Government. He and the city engineer issued licenses for the conduct of vending The Executive Order issued by Acting Mayor activities upon application of some vendors. OIC mayor Martinez caused the were granted licenses by the city government demolition of market stalls on certain streets. Mayor Robles' praying that the court issue a writ of Executive Order may not infringe upon the preliminary injunction. The (1992) right of the public to use the city streets may not be bargained away through contract. contravenes the general law that reserves city Stall-owners filed an action for prohibition streets and roads for public use. for the evicted are public streets. Asistio are null and void for being contrary to law. the new city mayor Asistio Jr. operation of the flea market. 79-02 was interests of a few should not prevail over the enacted by the MMC. were not acted on. Such was passed pursuant to an MMC WON public streets or thoroughfares may Ordinance authorizing and regulating the use be leased or licensed to market of certain city streets.

When the property is already market shall operate is absent. it is of public notice that the streets then lawfully use or convey. GISELLA DIZON-REYES Even assuming that the municipality has the WON an ordinance or resolution issued authority to pass the disputed ordinance. public places. it by a municipal council authorizing the cannot be considered approved by the Metro lease and use of public streets as sites Manila Authority due to non-compliance with for flea markets is valid. the local government has no power to use it Bayanihan.G. authority is vested upon them by Congress. the imposed conditions: HELD: NO. withdrawn from public use. local governments have no 3) That the time during which the vending authority whatsoever to control or regulate the area is to be used shall be clearly use of public properties unless specific designated. Lt. The right of the public to use the city streets The local government should refrain from may not be bargained away through contract. Cruz. Streets are local roads used for public service 2) That the 2-meter middle road to be and are therefore considered public properties. Congress. acting towards that which might prejudice or adversely affect the general welfare. used as flea market/vending area shall Properties of the local government which are be marked distinctly. and that the 2 devoted to public service are deemed public meters on both sides of the road shall and are under the absolute control of be used by pedestrians. streets were not used for vehicular traffic and that the majority of the residents do not Closure should also be done for the sole oppose the establishment of a flea market on purpose of withdrawing the road or other said streets are unsupported by any evidence public property from public use when that will show that this first condition has been circumstances show that such property is no met. The allegations of disposed of or leased by the LGC to private respondent municipality that the closed persons. those along Baclaran area are congested with roads and streets which are available to the people. should be deemed limited by Art 424 CC which provides that properties of The municipality of Paranaque has not shown public dominion devoted to public use and any iota of proof that it has complied with the made available to the public in general are foregoing conditions precedent to the approval outside the commerce of man and cannot be of the ordinance. 4) That the use of the vending areas shall be temporary and shall be closed once Sec 10 Chapter II of the LGC. and that the or thoroughfares as sites for flea market is majority of the residents does not invalid. G. Garcia Extension and Opena for another purpose or to dispose of or lease it streets in Baclaran would not help in solving to private persons. Likewise. of a flea market along J. 61 . However. oppose the establishment of the flea market/vending areas thereon. Hence. the problem of congestion. it becomes patrimonial property of the LGU which it can Further. although the reclaimed areas are developed and authorizing LGUs to close roads and similar donated by the Public Estate Authority. the designation by respondents longer intended or necessary for public use or of a time schedule during which the flea service. Gabriel. To license and allow the establishment property devoted to public use.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. In such case. The ordinance by Paranaque 1) That the aforenamed streets are not authorizing the lease and use of public streets used for vehicular traffic. houses and traffic brought about by public in general and ordinarily used for the proliferation of vendors occupying the vehicular traffic are still considered public streets.

CA unassailable authority to (a) prepare and (1992) adopt a land use map. as further declared map which he prepared upon the instruction of by Engineer Jordan. Spouses maintained. had approved a zoning plan. (b) promulgate a zoning ordinance which may consider. this road right of the existence of the camino vecinal. and the officials of respondent municipality have the corresponding duty arising from HELD: NO. It is thus vecinal. It is also property for public use. is the sole prerogative of the Municipality of Thus. become irrelevant. however. improved or repaired and (c) close Colomida. No private party can interfere with such the Pilapils. through its National Road. on the other hand. Hence. relied on legal effect was neither the authority of the old-timers as witnesses – witnesses such as person who ordered its preparation nor the Florentino Pepito. the general public have a legal right to WON the Municipality of Liloan’s camino demand the demolition of the illegally vecinal should traverse the property of constructed stalls in public roads and streets the Pilapils." Hence. the Municipality of Liloan had the Pilapil v. among other FACTS: Spouses Pilapil own a parcel of land in things. the Colomidas filed a complaint against Liloan. Coordinator of Liloan. Engineer Jordan testified on Liloan's Urban Land Use Plan 19 or zoning And as per the zoning map. GISELLA DIZON-REYES As what the SC have said in the Dacanay case. with or without the order of the practically time immemorial. on the other hand. Mayor or Sangguniang Bayan. The Colomidas claim that they had acquired from Sesenando The SC said that it didn’t matter what opinion Longkit a road right of way which leads the Colomidas or the engineer gave regarding towards the National Road. Bahak. both witnesses since the same have. pointless to concentrate on the testimonies of Among them was Engineer Epifanio Jordan. the municipal roads to be constructed. but its approval by the Sangguniang Bayan. making said improvement. of land located also in Bahak. The Colomidas "tried to improve the road of This plan indicates the relative location of the "camino vecinal". Sangguniang Bayan." The Pilapils also closure or abandonment of the camino vecinal threatened to fence off the camino vecinal. They presented several witnesses. for the convenience of the camino vecinal in sitio Bahak public." but the Pilapils harassed and threatened them with "bodily harm from It is beyond dispute that the establishment. Liloan. way. To the SC. this camino vecinal in sitio then Municipal Mayor Cesar Butai and which Bahak "passes the side of the land of Socrates was approved by the Sangguniang Bayan of Pilapil. otherwise called an Urban Land Use Plan. Pursuant to the powers of a local government unit. This is the proposed road leading to the Liloan. 62 . restore them to their specific public purpose. said road should not sitio Bahak does not traverse. Engineer Jordan.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. the side 20 of the Pilapil property NOTE: What invested the zoning map with The Colomidas. for all Municipal Planning and Development intents and purposes. a right. A camino vecinal is a municipal public office to clear the city streets and road. the camino vecinal in national highway. who attested to the authority of the person who actually prepared existence of the Camino vecinal and its it. Per the said plan. Cebu. but runs along traverse the Pikapil’s property. Poblacion. the decision of the Municipality of Liloan with respect to the said camino The Pilapils denied the existence of the camino vecinal in sitio Bahak must prevail. ends at that portion of the the issue of their credibility has been rendered property of the Pilapils where a camino vecinal moot by the unrebutted evidence which shows (barrio road) exists all the way to the said that the Municipality of Liloan. availability to the general public since Furthermore. bought a parcel any municipal road.

a subdivision road open to public non-governmental organizations and the vehicular traffic. and prepare municipal It bears stressing that police power is lodged comprehensive plans and other development primarily in the National Legislature. implementation. as termed in the charter itself. traffic. BAVA was also apprised that the coordination. monitoring. public objectives and policies for the consideration safety. GISELLA DIZON-REYES as the then Municipal Planning and statutes and ordinances. physical and other development justifying measures for public health. management. reaching and social. the government or a public corporation 63 . while its eastern end private sector for the efficient and expeditious intersects Makati Avenue. setting the adjacent Kalayaan Avenue would be of policies. It runs parallel to Kalayaan Avenue. The National Legislature. perimeter wall separating the subdivision from preparation. either with penalties Development Coordinator. The western end of Neptune Street and coordinating with the various national intersects Nicanor Garcia. may (2000) delegate this power to the President and administrative boards as well as the FACTS: Neptune Street is owned by lawmaking bodies of municipal corporations or respondent Bel-Air Village Associaiton (BAVA). ordain. a Dividing the two (2) streets is a concrete “development authority. the It is a private road inside Bel-Air Village. the charter of power to open such roads. prepare the plan and admit it to the as they shall judge to be for the good and Sangguniang Bayan for approval. Street..A REVIEWER IN LOCAL GOVERNMENT LAW PROF. All its functions are iron gates. installation of a system and demolished. formerly Reposo government agencies. and establish all MMDA was not intended as a political unit of manner of wholesome and reasonable laws. not repugnant to the Constitution. The MMDA is not the same entity as the MMC in Sangalang. BAVA received from MMDA a notice requesting The powers of the MMDA under RA 7924 are it to open Neptune Street to public vehicular limited to the following acts: formulation. deliver of basic services in the vast Both ends of Neptune Street are guarded by metropolitan area. administration. local government units. its scope is vast and pervasive. Police power is an inherent the present MMDA. had the authority to or without. let alone BAVA institued a petition for injunction with legislative power. public morals. MMDA v Bel-Air Village Assn. It has been defined as the power vested by the Constitution in the The legislative debates would show that the legislature to make. the MMC shows that the latter possessed greater powers which were not bestowed on HELD: NO. City. There is nothing in RA NO. people’s organizations. and for the functions under the governing law at the time subjects of the same. Once delegated. a national road open to the general public. a agents can exercise only such legislative private residential subdivision in the heart of powers as are conferred on them by the the financial and commercial district of Makati national lawmaking body. It cannot planning document. Although the MMC is the WON MMDA is endowed with police forerunner of the present MMDA. Inc.” It is an agency perimeter wall approximately fifteen (15) feet created for purpose of laying down policies high. The MMDA is. regulation. and the general welfare. a national road. 7924 that grants MMDA police power. Among his welfare of the commonwealth. be exercised by any group or body of individuals not possessing legislative power. and approval of the sangguniang bayan and the municipal mayor. TRO and preliminary writ of injunction against MMDA. ADMINISTRATIVE in nature. The power is plenary and was to formulate an integrated economic. attribute of sovereignty. however.

strictly speaking. that possess the power to expropriate private property legislative power and police power. 1987 CONSTI. reality not eminent but "inferior" since it upon payment of just compensation. Municipality of Panay) the local government unit may immediately take possession of the property upon the filing • LGU’s do not possess unbridled authority to of the expropriation proceedings and upon exercise their power of eminent domain… making a deposit with the proper court of at There are two legal provisions which limit least fifteen percent (15%) of the fair market the exercise of this power: (1) no person value of the property based on the current tax shall be deprived of life. but GD-R: Property. pursuant must conform to the limits imposed by the to the provisions of the Constitution and delegation and thus partakes only of a pertinent laws: Provided. or welfare eminent domain delegated to an LGU is in for the benefit of the poor and the landless. the president merely public welfare. based on the be taken for public use without just fair market value at the time of the taking of compensation. the power of domain for public use. It is not even a “special metropolitan political subdivision”. That. exercise the power of eminent Thus. .A REVIEWER IN LOCAL GOVERNMENT LAW PROF. executive and acting pursuant to an ordinance. Thus. whether real or personal. may appointed by the president with the be subject of eminent domain! rank and privileges of a cabinet member. Section 9. government units of the power of eminent 64 . Indeed. SEC. property to particular uses to promote whereas in LGUs. Eminent Domain. and (2) private property shall not determined by the proper court. liberty. which is the power of a perform such other duties as may be sovereign state to appropriate private assigned to him by the President. This legislature. In fact. through its chief eminent domain. That vs. the MMC is not the same entity as delegated entities is not absolute. or purpose. MMDA. Private property • no plebiscite was conducted for its shall not be taken for public use without just creation compensation. only when authorized by Congress and subject to its control and restraints B. Unlike the MMC. 19. the exercise by local the property. It is the LGUs. PIMENTEL: • Part of the chairman’s functions is to • Eminent domain. further. LGUs LGC.A local by themselves have no inherent power of government unit may. other public entities and public utilities the exercise of such power by the Clearly. GISELLA DIZON-REYES endowed with legislative power. (Beluso offer was not accepted: Provided. the amount to be paid person be denied the equal protection of for the expropriated property shall be the laws. or property declaration of the property to be expropriated: without due process of law. While such power may be emphasizes the administrative validly delegated to local government units character of the MMDA. acting through authority and such entities may exercise their legislative councils. • the chairman of the MMDA is not an official elected by the people. however. (LGUs). is essentially lodged in the exercises supervisory authority. finally. and such principal’s will or modify the same. nor shall any Provided. the MMDA has no the scope of delegated legislative power is power to enact ordinances for the welfare of narrower than that of the delegating the community. Eminent Domain imposed through the law conferring the power or in other legislations. That the share in eminent domain. The national power of eminent domain may not be legislature is still the principal of the LGUs exercised unless a valid and definite offer has and the latter cannot go against the been previously made to the owner.

Municipality of welfare”). PEA) rendered for the property taken shall be real.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Section 19 • The burden is on the LGU to prove that the of RA 7160 itself explicitly states that such mandatory requirement of a valid and exercise must comply with the provisions definite offer to the owner of the property of the Constitution and pertinent laws. Estrada) A. 21 of the LGC. • Theoretically. Inc vs. Under Commonwealth Act No. • Republic Act No. Failure to prove compliance authority or body. COMPLAINT FOR EXPROPRIATION 65 . the ordinance authorizing the local chief executive must still be approved A reasonable offer in good faith." Justice Puno emphasized that word "just" is used to intensify the meaning of the word "compensation. RULES OF COURT RULE 67 – EXPROPRIATION "Just compensation. owner will suffice. It is incumbent upon • The power of eminent domain may now be the condemnor to exhaust all reasonable exercised by an LGU without the need of efforts to obtain the land it desires by approval by any national government agreement. research buildings. ample. (Jesus Is Lord Christian for the poor and the landless (“public School Foundation. but the payment of just or an invitation for one of the co-owners. abattoirs. CONDEMNATION) compensation) therefore… means a fair and full equivalent for the loss sustained. The the State.a. GISELLA DIZON-REYES domain is not absolute. to acquire municipalities) the property for a reasonable price must be made to the owner or his privy. not merely by the provincial board (in the case of perfunctory or pro forma offer. to compensation may constitute too big a a conference to discuss the project and the drain in their resources." (reasonable (a. full." compensate is to render something which and that such lands "remained property of is equal to that taken or received. with the mandatory requirement will result in the dismissal of the complaint. cemeteries or crematoriums. lands. 1899 authorized municipalities and chartered cities to • "Compensation" means an equivalent for reclaim foreshore lands. not submerged the value of the land (property) taken. before filing its complaint and the rejection thereof by the latter. substantial." (Chavez vs. and animal dispersal centers. To to be alienated and sold to private parties.k. This may also be justified under Pasig) its “general welfare powers” in Sec. 141. HOWEVER. Anything beyond that is more and anything "foreshore and lands under water were not short of that is less than compensation. 141 has remained convey the idea that the equivalent to be in effect at present. barangays can exercise A mere letter of intent to acquire property eminent domain. A single • NOTE: A mere resolution is not sufficient to bona fide offer that is rejected by the comply with the requirement of the LGC." (City of Manila vs. price that may be mutually acceptable to both parties is not a valid and definite offer • NOTE: Eminent domain may now be used to purchase a specific portion of a property to provide low-cost land for mass housing for a price certain. In fact." to "Commonwealth Act No. considered an expression of public policy. • LGU’s can expropriate agricultural lands without prior authority from the DAR since • Specific examples of public purposes are the determination of the public use of the the construction of artesian wells or water property subject to expropriation is systems.

any part Section 9: Uncertain ownership. upon: appearance and a time stated in the − filing of the expropriation complaint. or occupying. claim or third-party If personal property is involved. B. ENTRY OF PLAINTIFF IN THE PROPERTY Defendant has no Defendant has any objection or objection or defense to the defense to the Section 2: Entry of plaintiff upon action or the taking filing of complaint: depositing value with authorized of his property: government depositary. their separate interest. No of the Republic of the Philippines. subsequent pleading. within the extent of the interest time stated in the claimed. nature and bank subject to the orders of the court. thereof or interest therein. its value shall complaint shall be be provisionally ascertained and the amount to alleged or allowed in be deposited shall be promptly fixed by the the answer or any court. showing. specifically specific designation or − deposit with the authorized government designating or identification of the depositary an amount equivalent to the identifying the property in which he assessed value of the property for property in which he claims to have an purposes of taxation to be held by such claims to be interest. − GEN RULE: A defendant waives all After such deposit is made the court shall defenses and objections not so alleged. But the full “just − describe the real or personal property compensation” is still an issue to be tried in sought to be expropriated the expropriation proceedings. − the title is otherwise obscure or doubtful so that the plaintiff cannot with accuracy or C. unless in summons. − join as defendants all persons owning or claiming to own. proceedings affecting counterclaim. The right of report thereof to the court with service of eminent domain shall be exercised by the copies to the parties. all his NOTE: The deposit shall be in money. to ownership of the property. and effect. so far conflicting claims. THE ANSWER certainty specify who are the real owners. objections and lieu thereof the court authorizes the deposit of he shall be entitled to defenses to the taking a certificate of deposit of a government bank notice of all of his property. The plaintiff shall He shall file and serve He shall serve his have the right to take or enter upon the a notice of answer within the possession of the real property involved. cross- the same. order the sheriff or other proper officer to forthwith place the plaintiff in possession of − EXCEPT: But the court. If there is uncertainty as as practicable.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Thereafter. in the interest the property involved and promptly submit a of justice. GISELLA DIZON-REYES Section 1: The complaint. the owner himself. the court may order any sum or sums awarded as In cases applicable. may permit amendments to the 66 . Sec3: Defenses and objections. with manifestation to that summons containing- − service of notice to the defendant. it must also be averred compensation for the property to be paid to clearly in the complaint if: the court for the benefit of the person − property is owned by the Republic but adjudged in the same proceeding to be occupied by private individuals. interested. or entitled thereto. filing of a verified complaint which shall: − state with certainty the right and purpose GD-R: Assessed value is the value given by of expropriation.

present evidence as to the amount of the compensation to be paid for his property. at the trial of the issue of just service. 1. upon the payment 3. and may render judgment upon such partial report. But in no case aggrieved thereby. Evidence may be introduced by either party to take the property sought to be before the commissioners who are authorized expropriated. he may received copies of the objections. parties. which Section 4: Order of expropriation. the plaintiff shall not be permitted to dismiss or Section 7: Report by commissioners and discontinue the proceeding except on such judgment thereupon. whether or not a defendant has days after all the commissioners shall have previously appeared or answered. 4. for the public use or purpose to administer oaths on hearings before them. 67 . whichever came first) UNLESS the parties consent to the contrary. Upon the rendition of the sought to be expropriated. ORDER OF EXPROPRIATION and subscribe an oath that they will faithfully perform their duties as commissioners. The court may order terms as the court deems just and equitable. however. Objections to the appointment filed with the court within ten (10) days from However. he may share in the distribution of the award. and Section 6: Proceedings by commissioners. COMPENSATION been passed upon by them. not more than three (3) competent and disinterested persons as commissioners to The commissioners shall make a full and ascertain and report to the court the just accurate report to the court of all their compensation for the property sought to be proceedings. Such appeal. The oath shall be filed in court with the other court may issue an order of expropriation: proceedings in the case. the court shall appoint to time so deal with such property. view and examine the property sought to be expropriated and its the date of the taking of the property or the surroundings. Before entering upon the performance of their duties. and may measure the same filing of the complaint. The commissioners shall after due notice to of just compensation to be determined as of the parties to attend. After the rendition of such an order. shall the consequential benefits assessed shall not prevent the court from determining exceed the consequential damages assessed. GISELLA DIZON-REYES answer to be made not later than ten (10) Copies of the order shall be served on the days from the filing thereof. the commissioners to report when any particular portion of the real estate shall have E. and direct the commissioners to proceed with their work Section 5: Ascertainment of as to subsequent portions of the property compensation. and such proceedings shall not taken be effectual until the court shall have accepted their report and rendered judgment in accordance with their recommendations. or damages the consequential benefits to be − when no party appears to defend as derived by the owner from the public use or required by this Rule. described in the complaint. or the owner be deprived of the actual value the just compensation to be paid. and shall be resolved within thirty (30) compensation. of his property so taken. purpose of the property taken. The commissioners shall assess the − if the objections to and the defenses consequential damages to the property not against the right of the plaintiff to taken and deduct from such consequential expropriate the property are overruled. the commissioners shall take D.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. (declaring that the plaintiff has a lawful right 2. the operation of its franchise by the corporation or the A final order sustaining the right to expropriate carrying on of the business of the corporation the property may be appealed by any party or person taking the property. and may from time order of expropriation.

the particular property except those of rival claimants litigating their or interest therein expropriated. unless an nature of the public use or purpose for which it appeal is taken by the owner of the property is expropriated. it may recommit the same to the commissioners for further Section 11: Entry not delayed by appeal. he have taken immediate possession thereof Upon the expiration of the period of ten (10) under the provisions of section 2 hereof. the court may. deeds of the place in which the property is 68 . or property of the defendant and appropriate the − it may accept the report in part and reject same for public use or purpose shall NOT be it in part. Upon payment by the plaintiff to the defendant Upon the filing of such report. or to retain it should report. by an of the costs of the proceedings. or effect of reversal. − it may set aside the report and appoint The right of the plaintiff to enter upon the new commissioners. (7a) enter upon the property expropriated and to appropriate it for the public use or purpose Section 8: Action upon commissioners’ defined in the judgment. and to the defendant to forthwith enforce the restoration to the just compensation for the property so defendant of the possession of the property. The judgment entered in expropriation of the commissioners shall be taxed as a part proceedings shall state definitely. All costs. a certified copy of such the costs of the appeal shall be paid by the judgment shall be recorded in the registry of owner. which time Section 10: Rights of plaintiff after may be extended in the discretion of the court. and the claims. JUDGMENT reason of the possession taken by the plaintiff. in which event expropriated. or decline to objections to the report or their statement of receive the amount tendered. shall be paid by the plaintiff. days referred to in the preceding section. judgment shall property essential to the exercise of his be rendered ordering the Regional Trial Court right of expropriation. When real estate is and the judgment is affirmed. with notice that they are the possession of the property. the same shall agreement therewith. after be ordered to be deposited in court and such hearing: deposit shall have the same effect as actual − accept the report and render judgment in payment thereof to the defendant or the accordance therewith. such report shall be filed within sixty for such public use or purpose. or even before the expiration of such period but If the defendant and his counsel absent after all the interested parties have filed their themselves from the court. adequate description. and its effect shall be to vest in the Except as otherwise expressly ordered by the plaintiff the title to the real estate so described court.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. or after tender allowed ten (10) days within which to file to him of the amount so fixed and payment of objections to the findings of the report. person ultimately adjudged entitled thereto. (60) days from the date the commissioners were notified of their appointment. by whom paid. judgment and payment. the clerk of the of the compensation fixed by the judgment. Section 13: Recording judgment. and its Section 12: Costs. and to determine the damages which the defendant sustained and may recover by F. But − it may make such order or render such if the appellate court determines that plaintiff judgment as shall secure to the plaintiff the has no right of expropriation. The fees effect. or. report of facts. court shall serve copies thereof on all with legal interest thereon from the taking of interested parties. GISELLA DIZON-REYES situated. − for cause shown. if they the costs. and delayed by an appeal from the judgment. taken. the plaintiff shall have the right to so desire.

it follows Mayor Bustillo but subsequently disapproved that Resolution No. Perforce. matter. Governor Villafuerte filed two separate cases for expropriation against HELD: YES. judicially declared to be incompetent could do ordinance. If a provincial board passes these limits. 43-89 for the Municipality of mayor to initiate the petition for expropriation Bunawan clearly has the power to exercise the of a 1-hectare land along the national highway right of eminent domain and its Sangguniang owned by Moday for the site of Bunawan Bayan the capacity to promulgate said Farmers Center and Other Government Sports resolution. with the Section 153 of BP 337. Such has been the consistent course of executive authority. ordinance. The provincial incompetent. passed resolution No. The resolution was approved by Section 9 of B. 337. or thing resolution invalid on the sole ground that it is respecting the expropriation for public use or beyond the power of the Sangguniang Bayan purpose of property belonging to such minor or the Mayor to issue. expropriation proceedings were initiated. pursuant to the earlier-quoted Facilities. The Municipality of Bunawan's Ernesto & Efren San Joaquin. 43-89. 43-89 is valid and binding by the Sangguniang Panlalawigan upon finding and could be used as lawful authority to that expropriation is unnecessary considering petition for the condemnation of petitioners' that there are still other available lots in property. it usurps the Moday vs. the LGC in force at the time their property. competent. FACTS: The Sangguniang Bayan of the Thus. or order is outside the scope of the legal powers conferred by law. grants the Sangguniang approval of the court first had. however. do and perform Panlalawigan the power to declare a municipal on behalf of his ward any act.” litem of a minor or of a person judicially declared to be incompetent may. authorizing the Provincial Governor to purchase or expropriate WON a municipality may expropriate property contiguous to the provincial capital private property by virtue of a municipal site. Blg.P. employees. Province of Camarines Sur vs. The guardian or guardian ad proceedings for public use or purpose. Section 9 of the law (BP 337) states that “a The Province of Camarines Sur claims that it local government unit may. in order to establish a pilot farm and a resolution which was disapproved by the housing project for provincial government Sangguniang Panlalawigan. The San Joaquins power to exercise the right of eminent domain moved to dismiss the complaints on the is not disputed as it is expressly provided for in ground of inadequacy of the price offered for BP 337. CA legislative function of the municipal council or (1997) president. through its head has the authority to initiate the expropriation and acting pursuant to a resolution of its proceedings under Sections 4 and 7 of Local sanggunian. 129. Bunawan for the establishment of the government center. Absolutely no other or person judicially declared to be ground is recognized by the law. The Municipality. CA still filed a petition for eminent domain and its (1993) motion to take or enter upon the possession of subject matter was subsequently granted by FACTS: The Sangguniang Panlalawigan the RTC. authorizing the Resolution No. or order must be premised in such proceedings if he were of age or specifically upon the fact that such resolution.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. exercise the right of eminent 69 . the Sangguniang Panlalawigan was Municipality of Bunawan in Agusan del Sur without the authority to disapprove Municipal passed Resolution No. GISELLA DIZON-REYES Section 14: Power of guardian in such domain and institute condemnation proceedings. which such minor or person (board's) disapproval of any resolution.

which WON the expropriation of agricultural allow private respondents to submit evidence lands by LGUs is subject to the prior on what they consider shall be the just approval of the Secretary of Agrarian compensation for their property. the DAR before a parcel of land can be such authority is limited to the applications for reclassified from an agricultural to a non. particular undertaking has no real or substantial relation to the public use. GISELLA DIZON-REYES Government Code (BP 337) and that the expropriations are for a public purpose. advantage of the people of the province whichever was lower. Reform. the the general public (roads. local government unit that shall determine whether the use of the property sought to be YES. commercial or industrial uses. Hence. Moreover. bridges. The fears of private respondents that they will which tends to contribute to the general be paid on the basis of the valuation declared welfare and the prosperity of the whole in the tax declarations of their property. Series of 1987 cannot be the for the approval by the Office of the President source of the authority of the DAR to of the exercise by the Sangguniang determine the suitability of a parcel of Panlalawigan of the right of eminent domain agricultural land for the purpose to which it but the Province must first secure the approval would be devoted by the expropriating of the DAR of the plan to expropriate the lands authority. convenience or benefit.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Guerrero) unconstitutional the Presidential Decrees fixing the just compensation in expropriation cases The establishment of pilot development center to be the value given to the condemned would inure to the direct benefit and property either by the owners or the assessor.) owners or tenant beneficiaries. Municipality of Meycauayan vs. WON the expropriation is for a public Ordinarily. So. Said rules merely vest on the DAR of petitioners for use as a housing project the exclusive authority to approve or (Section 65 of RA 6657: Comprehensive disapprove conversions of agricultural lands Agrarian Reform Law requires the approval of for residential. IAC 70 . there was no need Order No. Section 9 of BP 337 does not intimate in the least that LGUs must first secure the The TC allowed the Province of Camarines Sur approval of the Department of Land reform for to take possession of private respondents' the conversion of lands before they can lands. the same being condemned property must actually be used by an expression of legislative policy. 129-A. the new concept of public use means public advantage. it is the legislative branch of the purpose or public use. NO. there is no provision in proceedings until after the Province of the CARL which subjects the expropriation of Camarines Sur shall have submitted the agricultural lands by LGUs to the control of the requisite approval of the Department of DAR. public courts must defer to such legislative plazas) before the taking thereof could satisfy determination and will intervene only when a the constitutional requirement of public use. Agrarian The rules on conversion of agricultural lands The Solicitor General is of the opinion that found in Section 4 (k) and 5 (1) of Executive under Section 9 of the LGC. The old concept of public use is that the expropriated shall be public. they appealed. (Sumulong vs. like a resort complex for tourists unfounded. This Court has declared as or housing projects. The CA ordered the institute the necessary expropriation trial court to suspend the expropriation proceedings. as the implementor of the agrarian reform program. reclassification submitted by the land agricultural land. But now. The rules for determining just compensation are those laid down in Rule 67 of the Rules of Court. are community.

unlike the lot sought to filed a petition with the CFI seeking to annul be expropriated which was found by the Section 9 of the Ordinance. CFI declared Committee to be badly needed by the Section 9 null and void. Such resolution was disapproved by the Provincial Board of Quezon City vs. in 1983. The City Engineer there is also another available vacant lot notified Himlayang Pilipino. maintenance and operation passed Resolution No. (1983) However. pre-stressed girders and piles. wharves. a valid same does not appear to be very imperative exercise of police power. So. determine whether there is a genuine 258.e. the same parcel of land. The records reveal that there are requesting the City Engineer to stop any four other connecting links between the further selling of memorial parks in QC where aforementioned roads. this time. 21 for the purpose of of private memorial type cemetery or burial expropriating anew the PPMC's land. Police power 71 . which of the Ordinance provides that at least 6% of would provide a connecting link between the total area of a memorial park cemetery Malhacan Road and Bulac Road in Valenzuela shall be set aside for charity burial of deceased and thereby ease the traffic in the area of persons who are paupers and have been vehicles coming from MacArthur Highway. so Himlayan question and lying Idle. bridge is an existing need at the time of the taking) components. death. passed Resolution No. The petitioner itself the owners have failed to donate the required admits to this fact. Bulacan. the courts have the low cost housing. manifesting the intention to expropriate necessity therefor. and parts for character. now headed by Mayor Daez.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. PPMC filed with the Office of establishment doing legitimate business the Municipal Mayor of Meycauayan. An examination of the Charter does not the Municipality of Meycauayan to build a reveal any provision that would justify the public road to decongest the volume of traffic ordinance in question except the provision can be fully and better attained by acquiring granting police power to the City. the justification to condemn the under the QC Charter and thus. For several years. approved the aforesaid resolution. an application for a permit to fence a parcel of land to enable the storage of their heavy It must be remembered that the foundation of equipment and various finished products such the right to exercise the power of eminent as large diameter steel pipes. The residents of QC for at least 5 yrs prior to their Provincial Board of Bulacan. that the offered for sale situated similarly as the lot in Ordinance would be enforced. and harbors. And as found by the CA. and ground within the jurisdiction of QC. the power to inquire into the legality of the Municipal Council of Meycauayan. there for ports. PPMC reiterated its application. company as a site for its heavy equipment after it is fenced together with the adjoining WON the said Ordinance was authorized vacant lot. therein. Ericta Bulacan. GISELLA DIZON-REYES (1988) the other available roads in the vicinity maybe at lesser costs without causing harm to an FACTS: In 1975. pontoon pipes domain is genuine necessity (GD-R: i. The desire of NO. and that necessity must be of a public large diameter concrete pipes. the establishment. headed by exercise of the right of eminent domain and to then Mayor Legaspi. Consequently. In the same year. the Municipal Council of FACTS: QC passed an Ordinance regulating Meycauayan. and necessary and would only cause unjustified damage to the firm. but seven years after the enactment of the Ordinance.. 6% cemetery space. Inc.. the QC Council passed a resolution HELD: NO. Section 9 convert the same into a public road. the said section of the WON there is a necessity for the Ordinance was not enforced by city authorities expropriation of the land.

Jocson to provide for their burial in a proper place (1992) subject to the provisions of general law regulating burial grounds and cemeteries. and convenience are & firearms). parks. and to owned land or to buy or expropriate private enable it to construct its tower and properties to construct public cemeteries. It does NOT involve the different from laws and regulations requiring taking or confiscation of property with the owners of subdivisions to set aside certain exception of a few cases where there is areas for streets. BP 337 domain cases before the RTC against several provides in Section 177 (q) that a Sangguniang persons for the acquisition of a right-of-way panlungsod may "provide for the burial of the easement over portions of the parcels of land dead in such place and in such manner as described (GD-R: Remember real rights may prescribed by law or ordinance" it simply also be expropriated!) in the complaints for its authorizes the city to provide its own city Negros-Panay Interconnection Project. the city received necessary licenses and permits and passes the burden to private cemeteries. had incorporated. in turn. very clear from said requirements which are intended to insure the development of In this case. the paupers who are charges of the municipal questioned ordinance was passed after corporation. Section 9 of the Ordinance is not a communities with salubrious and wholesome mere police regulation but an outright environments. This transmission line in a manner that is has been the law and practise in the past. FACTS: NAPOCOR filed seven (7) eminent When the Local Government Code. a public cemetery for this purpose. health. or the of their exercise of power.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. The clause has general welfare of the people. The questioned ordinance is general welfare. It compatible with the greatest good while at the continues to the present. in the case of confiscation of opium public safety. GISELLA DIZON-REYES is the most essential of government powers. playgrounds. It deprives a person of his private regulation. the Revised it accepted the permits to commence Charter of Quezon City. and always one of WON it is a valid exercise of the least limitable of the powers of expropriation powers. It is usually exercised in the form of mere regulation or restriction in the use NO. There is no reasonable relation between the As a matter of fact. are made to pay by the property w/o due process…even w/o subdivision developer when individual lots are compensation. good order. The necessities of use] (i. which empowers the operations. Instead of building or maintaining Himlayang Pilipino. morals. commenced operating. at times the most insistent. Moreover. and necessity to confiscate private property in other public facilities from the land they sell to order to destroy it [not to devote it to public buyers of subdivision lots. same time causing the least private injury. sold to home-owners. 72 . not on of deceased paupers and the promotion of any express provision of law as statutory basis health. The beneficiaries of the confiscation. The sequestration of six percent of the cemetery cannot even be The expropriation without compensation of a considered as having been impliedly portion of private cemeteries is not covered by acknowledged by the private respondent when Section 12(t) of Republic Act 537.e. government. the petitioners rely solely setting aside of at 6% of the total area of on the general welfare clause or on implied private cemeteries for charity burial grounds powers of the municipal corporation. safety.. Expropriation requires payment of just of liberty or property for the promotion of the compensation. city council to prohibit the burial of the dead within the center of population of the city and NAPOCOR vs. Inc. The ordinance is always received broad and liberal actually a taking without compensation of a interpretation but we cannot stretch it to cover certain area from a private cemetery to benefit this particular taking.

"no objection to satisfaction of the value of their respective 73 . − The first is concerned with the What is to be deposited is an amount determination of the authority of the equivalent to the assessed value for taxation plaintiff to exercise the power of purpose. it repealed WON the RTC acted in GADALEJ. on the basis of the market value and compensation for the property sought the daily opportunity profit petitioner may to be taken. . if not of dismissal of the action." An order of dismissal. No. − The second phase of the eminent Eventually. NAPOCOR questioned such order. 42 repealed the that the issuance then of the writ of "provisions of Rule 67 of the Rules of Court possession was an unqualified ministerial duty and of any other existing law contrary to or which respondent Judge failed to perform. P. the HELD: YES.D. The RTC had the of the date of the filing of the corresponding duty to order the sheriff or any complaint. NAPOCOR deposited the plaintiff has a lawful right to take the provisional value fixed by the court. It would finally dispose of after the property owners "have duly received the second stage of the suit. arguing that it violates Section 2 of Rule 67 of the ROC and HOWEVER.D. would be a final one." only acquire a right-of-way-easement thereon. of petitioner in such possession. upon the payment of complaints at once. course. the commissioners would the writ of possession be issued in these cases be final. The order pending decision on the merits. are concerned. if this other proper officer to forthwith place the be ordained. . No hearing is required for that eminent domain and the propriety of its purpose. All that is needed is notice to the exercise in the context of the facts owner of the property sought to be involved in the suit." This is done by the Court derive and another order directing the with the assistance of not more than NAPOCOR to deposit the amounts in escrow three (3) commissioners. domain action is concerned with the fixing the provisional values of the subject determination by the Court of the "just areas. would an order of condemnation be four hours whether or not they would accept a final one. the RTC issued several orders. . As a property sought to be condemned. it was entitled to be placed in the public use or purpose described in possession of the property involved in the the complaint. order. 42 effectively removes the discretion of the court in determining the provisional value. 43 So. the RTC ordered that findings of. However. inconsistent" with it. and of possession. defendants to state in writing within twenty- too. There are two (2) stages in every form of payment and the agency with which action of expropriation: the deposit shall be made. "of condemnation declaring that the In any event. for matter of right. GISELLA DIZON-REYES NAPOCOR further alleged that the purpose for the exercise of the right of which the lands are principally devoted will not condemnation (or the propriety thereof) be impaired by the transmission lines as it will shall be filed or heard. in the proceedings petitioner for each of them " as final and full before the Trial Court. too. pursuant to both Section 2 just compensation to be determined as of Rule 67 and P. Accordingly. and leave the amounts. No. 42.A REVIEWER IN LOCAL GOVERNMENT LAW PROF." nothing more to be done by the Court regarding the issue. for thereafter as the Rules and withdraw the amounts deposited by the expressly state. No. NAPOCOR fixing the just compensation on the complied with such order and asked for a writ basis of the evidence before. Section 2 of Rule 67 insofar as the determination of the provisional value. It ends with an condemned.D. since it finally disposes of the action and leaves nothing more to be The RTC Judge's Order (directing the done by the Court on the merits. P.

It is any party fails to present a defense as patterned upon an ideology far removed from required in Section 3. and/or to determine such just compensation. bears submitted neither a compromise agreement as direct relation to the public welfare. and the extent of social and commissioners and to leave the determination economic reform secured by the of just compensation to the court on the basis condemnation.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. If the expropriating homesites within their legislature or the executive department cannot respective territorial jurisdiction and even impose upon the court how just reselling them at cost to residents of compensation should be determined. The bound to set in motion the procedure in expropriation in such cases tends to abolish Section 5 of Rule 67 (the appointment of economic slavery. commissioners) endless conflicts between landlords and tenants. because he made the latter the final authority the Philippine National Bank. He thus subordinated to contract loans from the his own judgment to that of the defendants' Reconstruction Finance Corporation. Arellano College stating at the same time that the writ will be (1950) issued after such manifestation and acceptance and receipt of the amounts) has FACTS: An action to condemn several parcels absolutely no legal basis even as it also of land in Legarda St. Rule 67 of the Rules suffices to say for the purpose of this decision of Court. clothes the expropriation with of certain criteria. be far more objectionable and impermissible for respondent Judge to grant the defendants The CFI ruled that this provision empowers in an eminent domain case such power and cities to purchase but not to expropriate lands authority. the large number of dispense with the appointment of people benefited. of condemnation declaring that the petitioner has a lawful right to take the property sought In Guido and De Borja. considering that the parties town. Section 1 of respondent Judge's determination of the Republic Act No. when public convenience or public use. it would the said cities and municipalities. It must be recalled that three is not can made. GISELLA DIZON-REYES properties affected by the expropriation" and City of Manila vs. in other entity or person at the rate of violation of the principle that the interest not exceeding eight per cent determination of just compensation in eminent annum for the purpose of purchasing or domain cases is a judicial function. No fixed line of demarcation petitioner has deposited the provisional value between what taking is for public use and what of the property. and other evils inimical to community 74 . There is also a complete disregard by WON the condemnation is proper. the SC held that “the to be condemned. and land that embraces a whole Accordingly. expropriation of large estates. respondent Judge was duty public interest and public use. for the purpose of subdivision and resale. It 53 pursuant to Section 3. or large section of a town or city. Section 4 of the same rule provides that the case under consideration is far that the court must rule on them and in the wanting in those elements which make for event that it overrules the motions or. The size of to the just compensation nor a stipulation to the land expropriated. 267 provides: provisional value as the just compensation after the defendants shall have manifested Cities and municipalities are authorized their conformity thereto. feudalistic practices. was initiated in the CFI unjustly. each case has to be judged (3) sets of defendants filed motions to dismiss according to its peculiar circumstances. respondent Judge of the provisions of Rule 67 as to the procedure to be followed after the HELD: NO. trusts in perpetuity. it should enter an order the majority of the citizens of this country. oppressively and capriciously for the purpose of subdividing such lots and compels the petitioner to accept the reselling it to private persons.

“The necessity of the Arellano Law and numerous people and the general public College to acquire a permanent site of its own benefited by the action taken. while a handful of people stand to profit by the some go so far in the direction of a liberal expropriation. public utility. this land was brought by the City of Manila vs. it is necessary for the City of precede or accompany. And again.. benefit. GISELLA DIZON-REYES prosperity and contentment and public peace construction ready and would have completed and order. the development of a university construction as to hold that public use is that has a present enrollment of 9. place. Arellano College. and hence the 75 . and only private property may be expropriated and forgetting for a moment the private character 2) there is no necessity for the improvement of the intended use.” for useful citizenship and for service to the government and the community. not only has invested a considerable Whether expropriation is a legislative amount for its property but had the plans for function exclusively. a public cemetery. only a reasonable or practical necessity. does not mean an absolute but cemetery. FACTS: In 1916. Lastly. certain parcels of land situated in the district of Binondo of said city within Block 83 of said Necessity within the rule that the particular district. condemnation has not been shown. Chinese Community of defendant for a university site to take the Manila place of rented buildings that are unsuitable (1919) for schools of higher learning.000 synonymous with public benefit. and to authorize the would accrue to the public from providing exercise of the power of eminent domain to homes to a few families fades into promote such public benefit. and not follow. The proposed extension of Rizal property to be expropriated must be Avenue however will take a part of the Chinese necessary. Although courts are not in the project a long time ago had it not been agreement as to the tests to applied in stopped by the city authorities." The Mayor of the City of Manila and about two-thirds of that involved in the himself confessed that he believes the plaintiff Borja condemnation proceeding. improvement. the land that is the subject of educational institution. especially insignificance in comparison with the where the interest involved are of considerable preparation of young men and young women magnitude. etc. is imperative not only because denial of the same would hamper the objectives of that In the first place. a task which The SC noted that in all these cases and of the government alone is not in a position to similar nature extensive areas were involved undertake. the Arellano Colleges' land is situated in a highly commercial section of the city and is occupied by persons who are not bona fide tenants. the Manila to acquire ownership in fee simple of taking of the land. such as would combine the greatest benefit to the The Chinese Community of Manila opposed the public with the least inconvenience and petition contending that 1) the City of Manila expense to the condemning party and cannot appropriate the cemetery or a portion property owner consistent with such benefits. namely the extension of Rizal The ascertainment of the necessity must Avenue. In the second is entitled to keep this land. thereof as said cemetery is public property.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. and the purpose of constructing a public that necessity must be of a public character. students would be sacrificed. Manila. But measured even by this standard. the City of Manila presented The very foundation of the right to exercise a petition in the CFI of Manila praying that for eminent domain is a genuine necessity. but it would likewise be the present expropriation is only one-third of taking a property intended already for public the land sought to be taken in the Guido case. necessity for the as a whole in the first place. Any good that or public advantage. determining whether the use is public or not.

The general power to exercise the right of eminent domain must not be confused If the law in question grants expropriation of a with the right to exercise it in a particular particular parcel of land and for a specific case. the City of Manila is and. the exercise of the right of eminent domain. and before it taken for other public uses under a general can exercise the right some law must exist authority. The ascertainment of the necessity granting special purpose and b) laws grating a must precede. the Court may inquire into the necessity of the This contention is partly meritorious. upon an issue and adjacent lands have been offered to the properly presented concerning WON the land city free of charge. even if granting But if the Legislature should grant general that a necessity exists for the opening of the authority to a municipal corporation then to street in question. Where a cemetery is open to the public. the city of Manila cannot condemn In the instant case. conferring the power upon it. the purpose must be public. but (b) also that the right or authority is being YES. since the City of Manila a portion of the cemetery for a public street. GISELLA DIZON-REYES courts cannot intervene except for the the Court has authority to inquire on whether purpose of determining the value of the the exercise of such expropriation by the City land in question. regardless of WON the land property for public use is not justified unless in question is private or public. the land must be private. The records show that adjoining inquiry and to hear proof. was given a general grant of authority to expropriate private lands under its Charter.in other words. There is no question that the court has authority to fix the values of the land question.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Hence. 76 . As mentioned above public property may exercised in accordance with the law. be expropriated provided a special grant of Authority for a particular parcel of land was In the present case there are two conditions passed by the Legislature. WON there is public necessity to As to the authority of determining whether a expropriate in this case. court. property. In the present case. purpose was in fact. and not follow. certainly it cannot be contended that the since the Chinese Cemetery in the city of right is being exercised in accordance with Manila is a public cemetery (GD-R: It is a law. in this imposed upon the authority conceded to the case the City of Manila was not granted such a City of Manila: First. of Manila is indeed public. public purpose. then the courts would be without jurisdiction to inquire into the purpose It is axiomatic that the taking of private of that legislation. second. law granting the expropriation exists. expropriation. the record contain no proof expropriate private lands. However. it is a The right of expropriation is not an inherent public use and no part of the ground can be power in a municipal corporation. community cemetery!) already devoted to a public use. If the not authorized to expropriate public property. there is a genuine public necessity for the taking. a distinction must be made between a) laws NONE. they must WON public property may be subject of only find (a) that a law or authority exists for expropriation. for public purpose. of the necessity of opening the same through the courts would have authority to make the cemetery. special authority. When the courts come to determine the question. upon trial. public. which will answer every in question was private and whether the purpose of the city. the taking of the general authority. finds that neither of these Since the city of Manila is only permitted to conditions exists or that either one of them condemn private property for public use and fails.

Thus. however. which had provided that a effect as an ordinance so as not to mere resolution would enable an LGU to deprive an expropriation case of a valid exercise eminent domain. or welfare. the property upon deposit of an amount 3. This case.A REVIEWER IN LOCAL GOVERNMENT LAW PROF.” Corp. Strictly speaking. the present Local Government Code which was already in force when the Complaint NO. 7160. there was no the requirements of the law since the terms compliance with the first requisite that the “ordinance” and “resolution” are synonymous mayor be authorized through an ordinance. and thus partakes only of a share resolution. 19 of the LGC. A valid and definite offer has been VM Realty filed a motion to dismiss. (1998) Under Sec. V. The power is exercised for public use. is not in point because the applicable law at that WON a resolution duly approved by the time was BP 337. for the “purpose of bestowing authority on the Petitioner cites Camarines Sur vs. RA cause of action. the power of eminent for expropriation was filed. Realty conferring the power or in other legislations. 9 Art. explicitly required domain delegated to an LGU is in reality not an ordinance for this purpose. The chief executive to exercise the power of purpose was to alleviate the living conditions eminent domain or pursue of the poor by providing homes through expropriation proceedings. In the case at bar. which cannot defy its will or It is a law It is merely a 77 . An ordinance enacted by the local for expropriation against VM Realty legislative council authorizing the local Corporation over 2 parcels of land. In contrast.” domain by an LGU. There is payment of just compensation. Constitution and other pertinent laws. 93-95. since it must conform to the limits imposed by the A municipal ordinance is different from a delegation. resolution and not to an ordinance as required by RA 7160. "the national legislature is still the principal of the local Ordinance Resolution government units. GISELLA DIZON-REYES modify or violate it The power of eminent domain is lodged in Congress. eminent but "inferior" domain. or for the benefit authorized the petitioner to take possession of of the poor and the landless. imposed “through the law Municipality of Parañaque vs. Indeed. can exercise the power of eminent domain: the Municipality of Parañaque filed a complaint 1. on the previously made to the owner of the ground that the complaint failed to state a property sought to be expropriated but cause of action since it was filed pursuant to a that it was rejected. It purpose.M. An LGU may exercise the power to expropriate private property only when authorized by Congress and subject to the latter’s control and restraints. The RTC of Makati 2. 4. equivalent to 15% of its fair market value as required under Sec. socialized housing projects. the previous Local municipal council has the same force and Government Code. in eminent domain. issued an order giving it due course. III of the based on its current tax declaration. Court of LGU through its chief executive to initiate the Appeals 28 to show that a resolution may expropriation proceedings in court in the suffice to support the exercise of eminent exercise of the power of eminent domain. the local chief executive sought to exercise the power of eminent The then municipality of Parañaque argues domain pursuant to a resolution of the that a resolution substantially complies with municipal council. the following essential requisites must concur before an LGU FACTS: Pursuant to SB Resolution No.

our ruling that petitioner greater public purposes." WON the principle of res judicata is City of Cebu vs. The trial 78 . "No species of raising the same issue. Notwithstanding the grant of a lawmaking body to individuals. the plain eminent domain through a mere resolution will meaning of the law should not be enlarged by not bar it from reinstituting similar doubtful interpretation proceedings. or in the and permanent nature aggregate body of the people in their character sovereign capacity. is no public purpose. for the same token. a final judgment dismissing an legislative language — from "resolution" under expropriation suit on the ground that there BP 337 to "ordinance" under RA 7160 — was no prior offer precludes another suit demands a strict construction. Spouses Apolonio applicable to the present case. dictates that the that they have no other land in Cebu. that the price offered was too low and inherent power of the State. the on a specific matter highest and most exact idea of property. ordinance to be decided otherwise by the State or its authorized agent cannot be passed. The principle of res judicata. principle of "law of the case. GISELLA DIZON-REYES declaration of the government under this tacit agreement or sentiment or opinion implied reservation. right to exercise the power be absolute and unfettered even by a prior judgment or res The parties then submitted to the court an judicata. it cannot. can "reach have partially settled the case (to cut the every form of property which the State might proceedings short." "All separate interests of determination of WON the City has authority individuals in property are held of the nor of WON there is public necessity). appropriates the land cannot exercise its delegated power of of an individual without his consent. Article 36. all others are properly Also. and is guarded by the Constitution complying with this requirement. bar property is held by individuals with greater the State or its agent from thereafter tenacity. like police power. issues decided in a previous case. which finds FACTS: The City of Cebu filed a complaint for application in generally all cases and eminent domain against the Dedamo spouses. It possesses a general It is temporary in remains in the government. a majority of all the forever barred from exercising said right by Sanggunian members. and subsequently exercising its power the freehold of inhabitants. as an their lot. When the of eminent domain over the same property. for that matter. as prescribed and laws more sedulously. (2002) NO. proceedings. Parenthetically and by parity of requires only a resolution could not prevail reasoning. The scope of eminent domain is agreement wherein they declared that they plenary and." Thus. however. that the City can just buy The very nature of eminent domain. there was no more need for public use. By legislature interferes with that right and. Rule VI of the IRR which complied with. than the right to by law.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. reason alone of previous non-compliance with any legal requirement. cannot bar the right of the State The Dedamos filed a MTD. it does apply to specific fundamental or private right of the people. Moreover. For Accordingly. the eminent domain. If Congress intended to allow LGUs to exercise the power through a resolution. alleging that there or its agent to expropriate private property. the same is also true of the over the law. once the said legal requirement and. and they have the right to A third reading is A third reading is not resume the possession of the property necessary for an required. the manifest change in the example. the power of eminent denigrate the right of the State to exercise domain necessarily involves a derogation of a eminent domain. it would have While the principle of res judicata does not said so. unless whenever the public interest requires it.

19. retained by the PIA. It has the force of law the just compensation of the lots. In Napocor vs. Bulacan. RTC issued a writ of execution in 1984. expropriated property. operations thereat.664. The between them and should be complied with in commissioners submitted their report on the good faith. and despite the 1984 court order. While Sec. Petitioner made a deposit of P517. Appeals (2002) WON just compensation in eminent domain cases by an LGU should be FACTS: The Republic instituted expropriation determined as of the date of the filing of proceedings covering a parcel of land situated the complaint along MacArthur Highway. to be utilized for the continued broadcast NO.558. property at the commencement of the Republic of the Philippines vs. Furthermore. The agreement is a contract P4. agreed to be bound by filed its manifestation and motion to permit the report of the commission and approved by the deposit in court of the amount of the trial court. it would appear that the of the date of the filing of the complaint. the sum provisionally fixed as The City of Cebu has misread the ruling in being the reasonable value of the property. the City of The City of Cebu interposed objections to the Cebu did not interpose a serious objection. CA. by heirs remained unpaid. respondents filed a manifestation commencement of the expropriation with a motion seeking payment for the proceedings. transferring 20 hectares such law cannot prevail over the LGC. It the trial court issued this order condemning was there stated that although the general the property and ordering the plaintiff to pay rule in determining just compensation in the defendants the just compensation for the eminent domain is the value of the property as property. PIA compensation is Sec. Court of expropriation proceedings. This fact notwithstanding.000. 4. which expressly took over the premises after the previous provides that just compensation shall be lessee.” had ceased its determined as of the time of actual taking. and no action was a solemn document freely and voluntarily taken on their case until 1999 when petitioner agreed upon by them. is therefore too late for the city to question the arguing that the just compensation should be valuation now without violating the principle of based on the prevailing market price of the equitable estoppel. 22. It was not categorically ruled 1979. during the hearing. which is of the expropriated property to the Bulacan a substantive law. GISELLA DIZON-REYES court appointed 3 commissioners to determine between the parties. the national government failed to pay to herein rule admits of an exception: where the SC respondents the compensation pursuant to the fixed the value of the property as of the date it foregoing decision. Rule 67 provides that just compensation shall be determined at the time In the meantime. Proclamation No. the “Voice of America.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. President Estrada issued of the filing of the complaint for expropriation.80. Malolos. determined as of the filing of the complaint. or more than nine years after the in that case that just compensation should be institution of the expropriation proceedings. The applicable law as to the point of operation and use of radio transmitter facilities reckoning for the determination of just for the “Voice of the Philippines” project. However. More than anything else. The remaining portion was commissioners. State University for the expansion of its facilities and another 5 hectares to be used WON the city is bound by the exclusively for the propagation of the compensation fixed by the Philippine carabao. the Santos YES. basis of which the TC rendered its decision. the parties. LGC. such that a little over five was taken and not at the date of the years later.00 by way of just compensation for 79 . It assessment made by the commissioners.

The case cited involved the municipal fair value of the property as between one who government of Sorsogon. Surely. reglementary period). Thus. GISELLA DIZON-REYES the expropriated property of the late Luis strictly speaking. provides not only for the payment of just petitioner. For local governments the time the property is taken to the time to be able to wield the power. it is. plaintiffs are not entitled to WON there is still public purpose despite recover possession of their expropriated lots - the fact that the expropriated property’s which are still devoted to the public use for present use differs from the purpose which they were expropriated . In fine. legal interests accrue in order to place the 80 . as well as the annotations upon their title certificates. de broadly described to be the price fixed by the Villaroya applies in this case. and ordered sold to the government.” expropriation proceedings. The judgment rendered by the Bulacan RTC in YES. it must. the final compensation must include encompassing power vested in the legislative interests on its just value to be computed from branch of government. it fixed of eminent domain is not inherent. By final and RTC ruled in favor of respondents and issued executory judgment in said proceedings. as the real authority would want it to be. be delegated to it by the deposited with the court.000. between the national legislature. This time. as part of an and declaring it to be unenforceable on the airport. but merely at the time of the actual taking by the delegated and of limited application. (GD-R: Shouldn’t it be “actual” necessity?) The constitutional limitation of “just compensation” is considered to be the sum WON the decision in Provincial equivalent to the market value of the property. amount. the Santos heirs. to cause the payment can still be made and.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. x ground of prescription. as well limitation being that it be for public use. are bound. is well within its rights to alter likewise adjudges the property condemned in and decide the use of that property. if so. what applies in the case at bar is the manifestation and motion. but only Santos subject to such final computation as of inferior. Government of Sorsogon vs.00 per square “The points in dispute are whether such meter or. long final.but only to originally contemplated in the 1969 demand the fair market value of the same. Vda. Said lots have been the subject of expropriation proceedings. The CA denied the x x It follows that both by virtue of the appeal (for failure to file during the judgment. opposing the Thus. in the alternative. a power of eminent. this Court ruled - valuation pegged at P5. if property is taken for grant of the power of eminent domain to local public use before compensation is deposited governments under RA 7160 cannot be with the court having jurisdiction over the understood as being the pervasive and all. in the expropriation suit. where the counter-motion to adjust the compensation private landowners had remained unpaid ten from P6. as their privies. case. the only favor of petitioner over which parties. in what return to them of the expropriated property. to which the power receives. delegated power of eminent domain is not. which. decidedly. domain or only as broad or confined might be approved by the court. Republic. this taking of the property and the actual payment. and one who desires to sell. The government. submitted a decision in Valdehueza vs. vacating its decision 1979 were condemned for public use. but even then. as the condemnor and as the owner compensation to herein respondents but of the property. they the assailed order. seller in open market in the usual and ordinary course of legal action and competition or the NO. by when compensation is actually paid or enabling law. The property has assumed a public 1979 on the expropriation proceedings character upon its expropriation.00 per square meter previously fixed years after the termination of the in the 1979 decision to its current zonal expropriation proceedings.

NOTE: I don’t think that the nitty-gritty of local (2) be levied and collected only for Public taxation will come out in the exam. or in the restraint of trade. charges 1987 CONSTI. Such of the LGC. SEC. COMMON LIMITATIONS ON THE TAXING POWERS OF LOCAL GOVERNMENT UNITS FUNDAMENTAL PRINCIPLES – The following (SEC 133. Documentary stamp tax. as far as practicable. 55 with the basic policy of local autonomy. the territorial jurisdiction of an LGU. the local chief executive of revenue and to levy taxes. . and barangays of their taxing LOCAL TAXING AUTHORITY – it shall be and other revenue-raising powers. 129. LGC) fundamental principles shall govern the Unless otherwise provided. excessive.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Local Taxation (c) The collection of local taxes. fee. and barangays shall NOT EXTEND to the levy of the following: (a) Taxation shall be Uniform in each local government unit. LGC) Revenue. and charges the local government unit levying the tax. Income tax. Taxation and Fiscal Administration practicable on the taxpayer's ability to pay. public policy. ng provisions! (3) not be unjust. fees and charges subject to such (d) The revenue collected pursuant to the guidelines and limitations as the Congress may provisions of this Code shall inure solely to the provide. 130. except when levied on banks and other financial institutions. and LGC (e) Each local government unit shall. LGC) shall govern the exercise by provinces. GISELLA DIZON-REYES owner in a position as good as (but not better than) the position he was in before the taking (b) Taxes. Scope. I just included the following excerpts from the (4) not be contrary to law. taxing powers of provinces. oppressive. municipalities. shall accrue exclusively to the local charge or other imposition unless otherwise governments. cities. the exercise of the exercise of the taxing and other revenue. and charges the LGUs (except the punong barangay) subject to the provisions herein. . BAROPS Reviewer. NOTE: the uniformity required is only within 2. 1. Art. consistent with the basic policy of benefit of. create its own sources of revenues and to levy taxes. evolve a progressive system of SEC. Such taxes. fees. specifically provided herein. consistent possesses veto powers. Taxes on Estates. or confiscatory. just in case. raising powers of local government units: municipalities. taxes. Power to Create Sources of (SEC. local autonomy. Each local and other impositions shall not be let to any government unit shall have the power to private person. national economic policy. charges and other impositions occurred. shall: (1) be equitable and based as far as C. legacies and other acquisitions mortis 81 . 128. 132. (IRR) 3. Section 5.Each local government unit shall exercise its power to create its own sources of NOTE: HOWEVER. fees. fees. and charges shall accrue exclusively to the local government units. (SEC. Ang haba purposes. gifts.The provisions herein taxation. and be subject to the disposition by. as laid out in Sec. inheritance. exercised by the SANGGUNIAN of the LGU concerned through an appropriate ordinance. fees. cities. fees. X. 1.

respectively books.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. under the NIRC. Taxes. 4. pamphlets. Percentage or VAT on sales. common carriers by air. Taxes. goods or services except as otherwise Franchise Tax provided herein. (Sec. GISELLA DIZON-REYES causa. 139) - 15. or charges. from the date of registration. 136) - 6. or other charges on Tax on Sand. as amended. registration fees of Tax on vessel and wharfage on wharves. Gravel and except as otherwise provided herein. Excise taxes on articles enumerated handbills. practice of his profession 82 . its agencies engaged in the and instrumentalities. Customs duties. fees or charges for the special law. except TAX PRO MU CIT BRG tricycles. 138) cooperatives duly registered under the "Cooperative Code of the Philippines". posters. and charges and other donation or on impositions upon goods carried into or any other mode out of.tax x x maintained by the LGU concerned. tolls for bridges Business of or otherwise. Professional x x and Tax (Sec. notwithstanding x x except as provided in this Code. 8. 137) - 10. 13. and local exercise or government units. or Printing and charges in any form whatsoever upon Publication such goods or merchandise. government units in the guise of Tax on charges for wharfage. Taxes on Premiums paid by way or granted by any reinsurance or retrocession. except as otherwise provided TAX PRO MU CIT BRG herein. the of transferring territorial jurisdictions of local ownership. cards. 135) . any exemption 11. fees or charges of any kind on on each person the National Government. Transfer of tonnage dues. persons 7. and certificates. Y Y. fees. Taxes on business enterprises certified engaged in the to by the Board of Investments as printing and/or x x Pioneer or non-pioneer for a period of publication of six (6) and four (4) years. Taxes on the Gross receipts of imposed on transportation contractors and persons businesses engaged in the transportation of enjoying a passengers or freight by hire and franchise. fees or charges on Agricultural imposed on and aquatic products when sold by business of marginal farmers or fishermen. on countryside Resources and barangay business enterprises and (Sec. N. Taxes. or passing through. Taxes. Philippine products actually Exported. (Sec. leaflets. N. barters or others of similar exchanges or similar transactions on nature. Y Y. Other Quarry x x 14. or other taxes. charges and dues except Ownership wharfage on wharves constructed and (Sec. and all other kinds of Real Property customs fees. Taxes. products. V. fees. fees. V. law or other 12. registration of motor vehicles and for the issuance of all kinds of licenses or permits for the driving thereof. fees. land or water. 5. Taxes. and 9. taxes. on sale. fees or charges on petroleum receipts.

(See. with the cost of Wholesalers regulation.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. N. Y Y. exam within the conducted by province PRC) Professionals EXCLUSIVELY employed in the TAX PRO MU CIT BRG government V. calling.for every business or truck. panlalawigan. Sec. government whether directly examination or indirectly. Fees for x x wholesalers. Business (Sec. 149) and cigarettes. 143 lessees. x x Manufacturers commensurate or Producers. Dealers. 147) – amusement except as Annual Fixed reserved to the Tax For Every province in Delivery Truck Section 139 of or Van of this Code. distribution of 148) distilled spirits. cigars (Sec. engage in such 141) . nsing of circuses. and occupation other places of (Sec. or Service Fees x 83 . of. van or occupation. soft x x and Charges drinks. or after table) operators of Fees and theaters. (i. Fishery fermented Rentals. GISELLA DIZON-REYES requiring consumers. Fees liquors. on business x x collected from enterprises. shall be Tax on EXEMPT. regulation/lice concert halls.e. Amusement 143) – imposed Tax (Sec. producers. 140) . or any vehicle practice such used by profession or manufacturers. Tax on Gross and other Sales or products as may Receipts of be determined Small-Scale x by the Stores / sanggunian Retailers (Sec. x x Charges on cinemas. Sealing and dealers or Licensing of retailers in the x x Weights and delivery or Measures (Sec. boxing business & stadia. the proprietors. or inspection and Retailers in. to 152(a) sales outlets. licensing before Certain any person may Products (Sec.

taxes imposed on operated and maintained by the following businesses: them within • On manufacturers. outside engaged in ads (Sec. 143) . distilled Toll Fees or x x x x spirits.000. or who is V. and wines or manufacturers of any Charges – article of commerce of whatever kind or imposed for the nature. 84 . Y Y. their processors. and on manufacturers. 152(b)) every inhabitant Barangay of the Clearance Philippines x (Sec. 154 ) and compounders of liquors. or . Community owned Tax (Sec. waterway. brewers. jurisdiction.00) or TAX PRO MU CIT BRG more. dealers or retailers of essential funded and commodities: constructed by the local (1) Rice and corn. (Sec. distributors. required by law Public Utility to file an Charges – income tax imposed for the return operation of Real Property (MM x x public utilities Tax (Sec. government (2) Wheat or cassava flour. wholesalers. or dealers in public road. consecutive x places of working days recreation during any x x which charge calendar year. N. 152(c)) eighteen (18) years of age or Other Fees over who has and Charges been regularly on commercial employed on a breeding of wage or salary fighting cocks. pier any article of commerce of whatever kind or wharf. x x x x BUSINESS TAX (Sec. dairy unit concerned products. 156) – properties imposed on (Sec. repackers. basis for at least cockfights. producers. 232 ) owned. ion system distributors. or Service Fees who owns real and Charges property with an (Sec. 155) Barangay. rectifiers. ferry or • On exporters. 153) aggregate x x x x assessed value of One thousand pesos (Php 1. thirty (30) cockpits. bridge. meat. distillers. business or 152(d) ) occupation. telecommunicat millers. GISELLA DIZON-REYES on the use of (Sec. assemblers. locally manufactured. use of any • On wholesalers.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. admission or who is fees.

unpaid taxes.Such taxes. or changes in the and fresh water products. shall accrue on the first (1st) in their original state or not. (Sec. Such examination Accrual of Tax -. harvest facilities. and shall be made during the regular business charges shall accrue on the first (1st) day hours. AND interest at the rate • On peddlers engaged in the sale of any NOT exceeding 2% per month of the merchandise or article of commerce. for payment of such taxes. or association in order to ascertain. 165. and new levies or rates. for a period not exceeding six (6) months. fees or charges property. extend the time • On retailers. fees treasurer or his deputy duly authorised in and charges may be paid in quarterly writing. insecticides. and charges shall be paid within the first herbicides and other farm inputs. However. or their duly authorized fees and charges shall be the calendar deputies. of January of each year. sugar. feeds. Apr 20. from interest. 170. new salt and other agricultural. justifiable reason or cause. fees or charges. marine. taxes. not otherwise specified in the preceding paragraphs. commissions and discounts from lending activities. GISELLA DIZON-REYES processed or preserved food. LGC) COLLECTION OF TAXES Collecting Authority – All local taxes. partnership. rentals on property and profit from exchange or sale of • 25% surcharge on taxes. may examine the books. (Sec. (Sec. assess and collect the correct amount of tax. and Oct 20). but only contractors. (Jan 20. 167. day of the quarter next following the (3) Cooking oil and cooking gas. or barangay this Code. LGC) Examination of Books – The local Manner of Payment -. municipal.A REVIEWER IN LOCAL GOVERNMENT LAW PROF.All local taxes. LGC) institutions. fees. twenty days of January or of each (6) Poultry feeds and other animal subsequent quarter. accounts installments. income from financial leasing. fees. pesticides. (Sec. the tax period of all local taxes. effectivity of the ordinance imposing such (4) Laundry soap. insurance premium. exceed 36 months. Time of Payment -. until the amount is fully paid. (Sec. LGC) and other pertinent records of any person. • On banks and other financial (Sec. fees or charges INCLUDING and surcharges. July 20. and sanggunian concerned may. LGC) year. fertilizers. (5) Agricultural implements.All local taxes. ONLY ONCE for every tax period. Surcharges and Penalties dividends. LGC) medicine. city. which the sanggunian concerned may NOTE: in no case shall the total interest deem proper to tax. 85 . corporation. 168.unless otherwise provided in provincial. as the case may be. NOT paid on time. detergents. or charges • On contractors and other independent without surcharges or penalties. whether rates thereof. 165. equipment and post. • On any business. The (7) School supplies. fees and charges shall be collected by the Tax Period -. 166. for a (8) Cement. fees. treasurer.

194. of a value not exceeding P10. or from the date the 86 . carabao. such as the delinquent periods of prescription above shall be taxpayer may select and necessarily suspended for the time during which: used by him in his ordinary occupation • the treasurer is legally prevented from • his necessary clothing. such as he may select. or charge use of which a fisherman earns his erroneously or illegally collected until a livelihood WRITTEN CLAIM for refund or credit has been filed with the local treasurer. and collection shall be made within 5 years from the date of assessment by administrative or judicial action. not exceeding maintained in any court for the the total value of P10.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. the same may be assessed within 10 years from discovery of fraud or intent to evade payment. LGC) • tools and implements necessarily used by the delinquent taxpayer in his trade or employment When Running of Prescription of Above • one horse. LGC) provided for individual or family use sufficient for 4 months • the professional libraries of doctors. CLAIM FOR REFUND OR TAX CREDIT engineers. (Sec. Personal Property Exempt from Distraint or Levy – the following property shall be EXEMPT from distraint or levy for delinquency in the payment of any LOCAL EXCEPTION: In case of FRAUD. including crops.000 by the lawful recovery of any tax. or INTENT tax.000 • the taxpayer is out of the country or otherwise cannot be located (Sec. 171. 194 • provisions. • any material or article forming part of a house or improvement of any real • No case or proceeding shall be property (Sec. GISELLA DIZON-REYES and shall be certified to by the examining PERIODS OF ASSESSMENT AND official. actually (d). LGC) entertained in any court AFTER the expiration of 2 years from the date of payment of such tax. (ehem) lawyers and judges • No case or proceeding shall be • one fishing boat and net. and that of all making the assessment or collection his family • the taxpayer requests for a • household furniture and utensils reinvestigation and executes a waiver necessary for housekeeping and used in writing before expiration of the for that purpose by the delinquent period within which to assess or collect taxpayer. cow. LGC) COLLECTION OF LOCAL TAXES CIVIL REMEDIES (BOTH LGU AND GEN RULE: Assessment shall be made TAXPAYER) within 5 years from the date they become due. 185. fee. fee or charge: TO EVADE PAYMENT OF TAX. (Sec. or other beast Periods is Suspended – The running of the of burden.

through ordinances. fees or charges on ANY BASE shall take effect upon approval. 192. (Sec. In the last week of November 1997. 196. and payment of the tax levied therein. this appeal shall not prescribed in LGC NOT oftener than once have the effect of suspending the every 5 years. 188) STEP 2: The Sec of Justice shall decide Authority to Adjust Rates – LGU shall within 60 days from the date of receipt of have the authority to adjust the tax rates the appeal. The contrary to declared national policy. of Justice. but in no case shall such effectivity of the ordinance and the accrual adjustment exceed 10% of the rates fixed. The said OR SUBJECT not otherwise specifically ordinance was also duly posted. or if no such newspaper. (Sec. LGC) competent jurisdiction. 191. (Sec 187. incentives or reliefs under appeal. LGC) Ordinance 1. 187) UNCONSTITUTIONAL TAX ORDINANCE 2. within 10 days after the approval of the STEP 1: Any question on the ordinance. It also provided that it levy taxes. association filed an appeal with the Sec. oppressive. the aggrieved party may file such terms and conditions as they may appropriate proceedings with a court of deem necessary. enumerated in LGC or NIRC. Municipality of Hagonoy MISCELLANEOUS PROVISIONS (2002) FACTS: In 1996. However. grant tax without the Sec of Justice acting upon the exemptions. Fees or Charges of Hagonoy. LGC) ordinance 87 . the ordinance shall only be enacted if there is a prior public hearing conducted REMEDY FOR ILLEGAL OR for the purpose (Sec. the approved ordinance and were informed excessive. (Sec. it must be published in full for 3 constitutionality or legality of tax consecutive days in a newspaper of local ordinances or revenue measures may be circulation. Requirements for a Valid Tax (Sec. the Market Association’s members were given copies of EXCEPTION: It must NOT be unjust. GISELLA DIZON-REYES taxpayer is entitled to a refund or credit. and publicly accessible places. which increased the stall rentals of the market GEN RULE: LGU may exercise the power to vendors in Hagonoy. confiscatory or that it will be enforced in January 1998. assailing the constitutionality of the (Sec. LGC) Hagonoy Market Vendor Association vs. LGC) STEP 3: Within 30 days after receipt of the Authority to Grant Exemption – LGU decision or the lapse of the 60-day period may. 186. Bulacan.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. the Sangguniang Bayan (SB) Power to Levy Taxes. it raised on appeal within 30 days from the must be posted in at least 2 conspicuous effectivity thereof to the Sec of Justice. enacted an ordinance.

paramount importance. to the then Minister of Finance by registered collection of revenues by the government is of mail. 28 is a revenue measure adopted by the Sangguniang Panglungsod of Zamboanga City. 28 to and admitted by petitioner. more than a year Estanislao vs. presented evidence which Section 187 (Procedure for Approval and clearly shows that the procedure for the Effectivity of Tax Ordinances and Revenue enactment of the assailed ordinance was Measures. The date of Also.D. the effectivity of the assailed made in lieu of publication as there was no ordinance shall not be suspended. The funds for the operation of its agencies and provision of basic The Minister of Finance upon his review pursuant to P. These show the time the ordinance took effect in 1996 but beyond doubt that petitioner was aware of the from the time its members were personally proposed increase and in fact participated in given copies of the approved ordinance in the public hearings therefor. FACTS: An Ordinance. No.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. The respondent November 1997. copies of the LGC requires that an appeal of a tax ordinance Ordinance were given to the Municipal or revenue measure should be made to the Treasurer on the same day.25. In petitioner’s two (2) been complied with. passage of Kautusan Blg. GISELLA DIZON-REYES The DOJ Sec. 231 (Local Tax Code) sent 88 . The record is also bereft of any evidence to prove petitioner’s negative allegation that the WON the action has already prescribed. i. 1987. The Ordinance Secretary of Justice within 30 days from was posted during the period from November effectivity of the ordinance and even during its 4 . manufactured. Ordinance of the City of Zamboanga was passed by the No. petitioner’s bold assertion that there was effectivity of the subject ordinance retroacted no public hearing conducted prior to the to the date of its approval in October 1996. the Secretary of Justice correctly dismissed it for being time-barred. passage of the ordinance and. the approved ordinance was not posted. 1996 in three (3) public places. pursuant to Section 3 of communications with the Secretary of Justice. Petitioner filed its appeal only in Dec. In contrast. imposing a P0. 30 days from the effectivity of the ordinance. no by the Sangguniang Bayan’s Committee on public hearing was conducted prior to the Appropriations and Market. After its approval.e. dismissed the appeal on the services to its inhabitants are largely derived ground that it was filed out of time. said ordinance. subject ordinance was not posted as required by law. municipality of Hagonoy to fix and collect The Sanggunian sent a copy of the Ordinance public market stall rentals. (1991) Clearly. 28 is belied by its after the required publication or posting has own evidence. second. This fact was known In the case at bar. Municipal Ordinance No. it enumerated the various objections raised by its members before the passage of the The Market Association contends that its ordinance in several meetings called by the period to appeal should be counted not from Sanggunian for the purpose. The appeal of the petitioner with Sangguniang Bayan of the Municipality of the Secretary of Justice is already time-barred. took effect in Oct. Being its lifeblood.01 tax per liter of softdrinks produced. 1996. newspaper of local circulation in the municipality of Hagonoy. Mandatory Public Hearings) of the complied with. Bulacan. It insists that it was unaware municipality likewise submitted the Minutes of the approval and effectivity of the subject and Report of the public hearings conducted ordinance in 1996 on two (2) grounds: first. Hagonoy. The periods stated in Section 187 of the Local and/or bottled within the territorial jurisdiction Government Code are mandatory. beyond from its revenues and collections. validly pendency. as prescribed under the LGC. Costales after the effectivity of the ordiance in 1996. the respondent HELD: YES.

Moreover. as well as mayor's vs. those that the Sanggunian may impose under All that is provided therein is that if the the Local Tax Code. being non-essential.01 per liter of provided he acts within a reasonable time. sanitary inspection fee and storage anymore since the law in that case has already permit fee for flammable. Tax Code. manufactured. respondent Zamboanga City may impose. except for preceding calendar year. The tax being those for which fixed taxes are provided in the imposed under said Ordinance is based on the Local Tax Code on manufacturers. GISELLA DIZON-REYES the letter addressed to the Sanggunian. like public validated." matter within the prescribed period of 120 days after receipt of a copy thereof. directory and the Secretary of Finance may still review the ordinance and act accordingly Ordinance No. explosive substances. No doubt this Ordinance is Municipality of Pililia ultra vires as it is not within the authority of (1991) the City to impose said tax. and/or bottled within the territorial jurisdiction of the Philippine Petroleum Corporation vs. distilled spirits and/or wines in accordance with the schedule found Also. Even if the Secretary of Finance failed to review or act on the Ordinance within the WON the tax subject of the ordinance prescribed period of 120 days it does not was valid. Pililia. within 120 days from receipt of a copy thereof. repackers. a the Secretary of Finance can no longer act by percentage tax on the gross sales for the suspending and/or revoking an invalid preceding calendar year of non-essential ordinance even after the lapse of the 120-day commodities at the rate of not exceeding two period. Municipality of Tanauan is not applicable permit. but nonetheless. including brewers. in lieu of the graduated fixed tax prescribed Much less can it be interpreted to mean that under Section 19 of the Local Tax Code. All that the law says is that after said per cent and on the gross sales of essential period the tax ordinance shall remain in force. and anymore in the LGC) compounders of liquors. imposing a tax on business. (THE Husband: Not the case distillers. It is clear that a city. commodities at the rate of not exceeding one The prescribed period for review is only per cent. softdrinks produced. importers.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 44 Minister of Finance failed to act or otherwise on the ground that it contravenes Section suspend the effectivity of the tax ordinance 19(a) of the Local Tax Code. combustible or been superseded by the Local Tax Code. the conclusion that since the suspending the effectivity of Ordinance No. The shall be at the rate of not exceeding 2% of the said Municipality enacted the Tax Code of gross sales or receipts of the softdrinks for the Pililia. rectifiers. said Ordinance is valid and remains in force is The RTC rendered a decision finding that the mistaken. Rizal. the ruling in Pepsi-Cola Bottling Company in the Local Tax Code. while Section 139 of the 89 . The authority of the City is limited to the imposition of a FACTS: PPC manufactured lubricated oil percentage tax on the gross sales or receipts basestock which is a petroleum product with of said product which. the tax ordinance Finance did not take appropriate action on the shall remain in force. There is no authority under Section tax levied under said Ordinance is not among 44 of the Local Tax Code for this conclusion. output or production and not on the gross or producers of any article of commerce of sales or receipts as authorized under the Local whatever kind or nature. follow as a legal consequence thereof that an otherwise invalid ordinance is thereby HELD: NO. 44 of the respondent even after the lapse of the said period Zamboanga City imposes P0. it upheld Secretary of Finance "takes no action as its validity on the ground that the Minister of authorized in this section. City of Zamboanga. its refinery plant in Malaya.

while Section 2 of P. issuances. regulations must be in harmony with the 10.D. 90 . fees or charges. 1 an obligation created by law prescribes within imposing the assailed taxes. wherein the years. mayor's permit 436.875. The exemptions were given to manufacturers. said decree did not Agriculture and Natural Resources granted us amend Sections 19 and 19 (a) of P. 5. No. Gorospe But P. in petroleum products complaint against PPC for the collection of the contravenes a declared national policy.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. PPC argues that. 426. However. and sanitary inspection fees from 1975 to 1984.00 plus 25% surcharge. No.30 Sept 1975 amounting products. fees and charges ten (10) years from the time the right of action is valid especially Section 9 (A) which accrues. 26-73 and 26 A-73 issued by the FACTS: The Municipality of Lugait (Misamis Secretary of Finance when Sections 19 and 19 Oriental) filed a complaint for collection of (a). or dealers in petroleum taxes for 1 Jan 1974.D. whatever kind or nature.D. 231 as a certificate of tax exemption for a period of 5 amended by P. and Ordinance No. No. 426 and no taxes against Floro Cement Corporation.D. arguing that it is not liable since the plaintiff’s powers to levy fees on “Mines. products as they are already subject to 26-73 (1) would be tantamount to restricting specific tax under the NIRC and that it also their power to tax by mere administrative covers all ordinances. pursuant to the the The exercise by local governments of the Provincial Circular issued by the DOF. There is no question that applies. municipality is granted the right to levy taxes on business of manufacturers. to P161. 52 of PD 463. Well-settled is the rule that administrative passed pursuant to PD 231. A tax on business is distinct from a tax on the article itself. and NOT the tax that had accrued prior amended by P. the imposition of tax on business of mentioned ordinance. taxes are “manufacturers” and “exporter’s” wholesalers. Article 1143 of the Civil Code 1976 to 1986. since the Local Tax Code does not provide the prescriptive period for collection of HELD: PPC is liable to pay those from local taxes. Said law provides that an action upon Pililla's Municipal Tax Ordinance No. the former prevails. 436 Mining Corporations and Mineral Products” was prohibits the imposition of local taxes on limited by Sec. it business tax from 1979 to 1986. 426 amending the Local Tax Code (1991) is deemed to have repealed Provincial Circular Nos. Secretary of petroleum products.D. importers. 133(h)] of the Local Tax Code as 1986.D. retailers. were carried over into P. Thus. it is power to tax is ordained by the present contrary to national economic policy to impose Constitution. 426. etc. Floro Cement Corporation v. the Municipality filed a manufacturers. GISELLA DIZON-REYES disputed ordinance imposed surcharges and producers of any article of commerce of interests on unpaid taxes. To allow the continuous local taxes on the manufacture of petroleum effectivity of the prohibition set forth in PC No.D. provisions of the law. WON PPC is liable to pay the said impositions. the mandate of said law. tax. No. if Enforcing the provisions of the above. They based it on Municipal Ordinance No." It conforms with to 1976. permit fees from 1975 to 1986. In case of discrepancy between the basic law and an implementing Floro Cement opposed the imposition of the rule or regulation. The Municipality of Pililla can according to the trial court "was lifted in toto therefore enforce the collection of the tax on and/or is a literal reproduction of Section 19 business of petitioner PPC due from 1976 to (a) [Now Sec. storage should have been expressly stated in P. Furthermore.

. mere implication or inference. a special civil action for mandamus presumed.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. This goes against the nature to thresh within its jurisdiction will be solicited of a donation. It is the result of a definite process—crushing of minerals. The exemptions mentioned in Sec. equipment. He also a petition for a declaratory judgment who claims an exemption must be able to against the resolution and implementing point out some provision of law creating the agreement for being illegal either as a right. The manufacture and The Court did not concern itself with the export of cement do not fall under it since it is validity of the Resolution since the issue not a mineral product. GISELLA DIZON-REYES WON Ordinance Nos. 5 and 10 apply to that thresher-owner-operator petitioner Floro Corporation voluntarily agree to donate 1% of all notwithstanding the limitation provided palay threshed within jurisdiction of for in Sec. was not raised in the petition as an assigned error of the CA. for production. amount because of failure to comply with Resolution No. The power of taxation is a high prerogative of sovereignty. tools. Mapago returned reaches its saleable form. as provided in Sec. mayor’s permit first. 19 of PD 231: office to pay license fee of Php 285 for Municipality may impose a tax on business thresher operators but Mapagu refused to except those for which fixed taxes are accept payment and required him to secure a provided for in this Code. Cagayan unanimously adopted to make the donation obligatory and a Resolution No.9. Nutrition Center. The general rule is that any claim with damages to compel issuance of mayor’s for exemption from the tax statute should be permit and license was filed with the CFI and strictly construed against the taxpayer. 52 of municipality… and agree to report PD 463. which is an act of liberality and to help finance construction of Sports and is never obligatory. etc. of the LGU’s taxing power.9 where 1% donation from condition precedent to the issuance of the thresher operators who will apply for a permit mayor's permit. the implementing agreement seems Camalaniugan. Sec. While it would Tuzon and Mapagu vs. The municipal treasurer Mapagu prepared a If. CA appear from the wording of the resolution that (1992) the municipal government merely intends to "solicit" the 1% contribution from the FACTS: The Sangguniang Bayan of threshers. weekly the total number of palay threshed… HELD: YES. 53 of the same decree. The Municipality’s power to levy taxes on manufacturers and importers is Jurado sent his agent to municipal treasurer’s provided in Art. 2. Its relinquishment is never Hence. Jurado ignored requirement and sent the Php grinding. it is to be considered a document for signature of all thresher applying tax ordinance. These would include the holding of a 91 . etc. 52 of PD WON the “donation” was a valid exercise 463 only refers to machineries. on the other hand. mixing. Mayor Tuzon said that he should first comply with Resolution9 and sign Cement is not a mineral product but rather a the agreement before permit could be issued. 5(m) of PD 231 and Sec. it cannot be allowed to exist upon a donation or as a tax measure. then it must be shown in view for a mayor’s permit to implement the of the challenge raised by the private resolution: respondents to have been enacted in accordance with the requirements of the Local Tax Code. Its minerals had already 285 license fee by postal money order to the undergone a chemical change before cement office of municipal treasurer. manufactured product.

Government Code has indeed not been observed. null and void for non- of a public official to perform his official compliance with the prescribed procedure in duty is attributable to malice or the enactment of tax ordinances and for inexcusable negligence (Phil. No evidence has been offered to show that WON Sec. Neither does it appear that they stood to gain HELD: YES. executive and the legislative departments and determined by them to be in accordance with On the contrary. delays or refuses the Secretary of Justice had. where public official. Section 187 of the LGC as unconstitutional since it vests in the Justice Secretary the In the CAB. The Civil Code provision (Art. The presumption of constitutionality can be overcome only by the Petitioners acted within scope of their clearest showing that there was indeed an authority and in consonance with their honest infraction of the Constitution. the Manila loss or damage complainant has RTC sustained the ordinance. and only when 92 .To presuppose that the refusal or omission Manila Revenue Code. Lim been remarked: (1994) . Every court. Sangguniang Bayan or annulled by the courts. They were not hesitation before declaring a law his business competitors nor has it been unconstitutional. 187 of the LGC is they singled out Jurado for persecution. be presumed.To have a purpose to end the bribery system. Match Co. constitutional. It also declared sustained. As executive officials of the municipality. 7794. . declared kind of pabagsak” (Paras on Civil Code) Ordinance No. they had the duty to enforce it as WON the Mayor and Treasurer are liable long as it had not been repealed by for damages. In the absence subsequent approval by the Secretary of of a judicial decision declaring it invalid.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES public hearing on the measure and its interpretation of the resolution. to obtain approval of his application. it has not been alleged that power of control over LGUs in violation of the Mayor’s refusal to act on his application was policy of local autonomy mandated in the an attempt to compel him to resort to bribery Constitution. record discloses that the fundamental law before it was finally resolution was uniformly applied to all approved. including the SC. the flimsy excuse. NO. the Finance.In any event. is personally from refusing to issue to Jurado the charged with the duty of a purposeful permit and license he needed. otherwise known as the . containing certain provisions contrary to law City of Cebu) and public policy. the erring public functionary is justly punishable under it for whatever In Manila’s petition for certiorari. for some FACTS: Pursuant to Sec 187 of the LGC. in addition to the usual requisites for legality of challenged measures would have to publication of ordinances in general. threshers in the municipality without discrimination or preference. 27) has Drilon vs. on appeal to him of performance of his duty until he gets some four oil companies and a taxpayer. To doubt is to sustain. on the theory that the established that they intended to favor his measure was first carefully studied by the competitors. The Secretary argues that the annulled Section It cannot be said also that mayor and treasurer 187 is constitutional and that the procedural were motivated by personal spite or were requirements for the enactment of tax grossly negligent in refusing to issue permit ordinances as specified in the Local and license to Jurado. vs.

in the Mactan Cebu International Airport discharge of the duty it cannot escape. Marcos (1996) the challenged act must be struck down. 93 . An officer in control lays down the rules in the except when the beneficial use thereof has doing of an act. Supervision does not or presently enjoyed by natural or judicial cover such authority. GISELLA DIZON-REYES such a conclusion is reached by the requipped majority may the Court pronounce. for consideration or otherwise. that is. non-stock and done but only to conform to the prescribed non-profit hospitals and educational rules. cities and municipalities powers to the city government under the Local in the Metropolitan Manila Area may impose Government Code. What he found only was that it was illegal. 232). If the rules are not granted to local water districts. When he its charter which exempts it from payment of alters or modifies or sets aside a tax realty taxes. In the opinion of the Court. its agencies and their functions is accordance with law. he may order the work done or re. 133) with the prescribed procedure for the enactment of tax ordinances and the grant of However. 133. 234) re-done by his subordinate or he may even As to tax exemptions or incentives granted to decide to do it himself. Revenue Code. instrumentalities. Section 187 International Airport and other airports in authorizes the Secretary of Justice to review Cebu. WON the MCIAA is exempt from payment Secretary Drilon did set aside the Manila of realty taxes. He has no judgment the LGC. and so performed an properties exempt from real property tax. including GOCC’s: superintendent merely sees to it that the rules are followed. FACTS: The MCIAA is mandated to control. Reading together Secs. and LGUs. he is not also permitted to instrumentality of the government performing substitute his own judgment for the judgment governmental functions. nor does he have the discretion to upon the effectivity of the LGC. duly registered under RA 6938. in his discretion. citing Sec. As we see it. on this matter except to see to it that the rules are followed. that was an the real property tax except on “real property act not of control but of mere supervision. but he himself does not lay down The general rule is that they are withdrawn such rules. He may not prescribe his own manner institutions. 133 of of the local government that enacted the LGC. cooperatives observed. and no refer to Sec. provinces. 232 He did not pronounce the ordinance unwise or and 234 of the LGC. fees and All he did in reviewing the said measure was charges of any kind on the National determine if the petitioners were performing Government.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. “Unless otherwise provided in the LGC” could Secretary Drilon did precisely this. The supervisor or persons. order the act undone or to a taxable person. owned by the Republic of the Philippines or any of its political subdivisions (Sec. 234. It they are not followed. HELD: NO.” (Sec. he been granted. if warranted. the SC concluded that: unreasonable as a basis for its annulment. except those modify or replace them. In CAB. may. He did not say that in his judgment it was a bad As a general rule. ordinance and. but he did not replace it with his own version of what the Code should be. and unless otherwise provided in for the doing of the act. It also claimed that it is an ordinance. to revoke it on Petitioner claimed in its favor the provision in either or both of these grounds. which enumerates the more nor less than this. cannot extend to the levy of “taxes. that Authority vs.” (Sec. the taxing powers of LGUs law. the RTC was rather hasty in manage and supervise the Mactan invalidating the provision. City Treasurer demanded payment for only the constitutionality or legality of the tax realty taxes on lands belonging to MCIAA. act not of control but of mere supervision. measure.

it fails to consider the fact that the legislature used the phrase "National Government. the petitioner is now the owner of the land and the exception in Sec. or otherwise. Legislature in amending the law has specifically deleted GOCCS from the It is clear that Congress did not wish to expand enumeration in Sec 234(a). the parcels of land in this case do not nor a non-stock corporation as defined in belong to the Republic whose beneficial use the Administrative Code. the scope of the exemption in Section 234(a) to include real property owned by other instrumentalities or agencies of the government including GOCCs. “Republic of the Philippines” is a broader term. Marcos (September 11. It necessarily follows that its exemption from real property tax granted it in Sec 234(a). limiting the retention only to those CA (July 20. Pres. 2. LGC: Unless otherwise covered by item (a) of the first paragraph of provided herein. Although not has been granted to MCIAA. Both cases involves the following provisions: But even as to real property owned by the Republic or any of its political subdivisions Sec 133(o). PPT (a) real properties owned by the Republic or any of its political As to MCIAA’s contention that it is an subdivisions… instrumentality of the gov’t. NOTE: The MIAA Case may be argued to have superseded the previous case. the LGUs are not allowed Section 234. the exemption is withdrawn if the to levy… (o) taxes. its agencies." Hence. but only Mactan Airport Authority is a GOCC and the phrase "Republic of the Philippines or any GOCCs are not among those enumerated of its political subdivisions" in Section 234(a). LGC: Properties exempt from its Charter has been withdrawn. as exempt. its agencies and MACTAN Case: The SC held that since instrumentalities" in Section 133(o). Real Property Taxation 94 . This "transfer" is covered by the enumeration in Sec 234. being (See the following notes on this case) a more recent ruling decided by SC en banc. 2006) enumerated herein. 234 further CONFLICTING CASES: Mactan Airport qualifies the retention of the exemption insofar Authority vs. actually an absolute conveyance of the MIAA is a public utility which falls under the ownership thereof because the petitioner's term “instrumentality” outside the scope of authorized capital stock consists of "the value LGS’s local taxing powers under Sec of such real estate owned and/or administered 133(o).A REVIEWER IN LOCAL GOVERNMENT LAW PROF. granted to a taxable person for consideration instrumentalities and LGUs. 234(c) of the LGC is inapplicable. as real property taxes are concerned by 1996) and Manila Int’l Airport Authority vs. fees or charges of any beneficial use of such property has been kind on the national gov’t. by the airports. MIAA Case: SC held that MIAA is not a GOCC since it is neither a stock corporation Also. GISELLA DIZON-REYES But the last paragraph of Sec. it is not exempted from RPT. MCIAA is a GOCC. all others not included in the enumeration lost the privilege upon the effectivity of the LGC.

current and fair market value. 2. Local Government Code] NOTE: Real property tax is a fixed Real properties subject to tax proportion of the assessed value of the property being taxed and requires. appliances or realty tax apparatus. Ang haba ng provisions! I just included the following excerpts from the BAROPS Reviewer. those real which are mobile. It includes the physical real property taxation is a delegated facilities for production. Definition: Real property tax has been defined as “a direct tax on the ownership 4.e. however. buildings. mechanical Nature and scope of power to impose contrivances. permanently or temporarily. lands. and is payable regardless of whether the property is used or not. which may or may not be attached. to The taxing power of local governments in the real property. The appraisal. assessment. § Improvement: It is a valuable addition → It is an ad valorem tax. Real property shall be assessed on the basis of a Uniform classification within each local government unit. [Section with such factor. The appraisal and assessment of real although the value may vary in accordance property shall be Equitable. Local Government Code] → It attaches on the property (i. machineries and other improvements. GISELLA DIZON-REYES NOTE: I don’t think that the nitty-gritty of real 1. or percentage of the value assessed.” 197. 5. Value is the tax made to a property or an amelioration in base. Real property shall be classified for just in case. a lien) and is enforceable against it. self-powered or self- propelled. BASIC CONCEPTS 3. levy and of lands and buildings or other collection of real property tax shall not improvements thereon not specially be let to any private person. utility or to adopt it for new or further → It creates a single. Real Property Tax is imposed on therefore. Generally. Fundamental principles governing and appurtenant service facilities. assessment purposes on the basis of its actual use. purposes.. the intervention of assessors. and those not permanently property taxation 95 . [Section 199(m). the following terms Characteristics of real property tax are defined: → It is a direct tax on the ownership or use of real property. The Local Government Code contains no definition of “real property”. the installations power. its condition amounting to more than a repair or replacement of parts involving → It is proportionate because the tax is capital expenditures and labor which is calculated on the basis of a certain intended to enhance its value. equipment. Real property shall be appraised at its property taxation will come out in the exam. § Machinery: Machinery embraces machines. beauty. indivisible obligation. exempted. instruments.A REVIEWER IN LOCAL GOVERNMENT LAW PROF.

[National business then this can be treated as real Development Company v. PURPOSES ONLY. directly and property) is an exclusive list as to what exclusively used for religious. or necessary to its manufacturing. The tax exemption of “property owned as machinery which is REAL property. This rule states that if it used in line properties owned in a private. then it is NOT to be distinction between property held in treated as real property. buildings. The law makes no but only indirectly. logging. [Section 199(o). BUT FOR TAX educational purposes. Properties EXEMPT from real property business or activity and which by their very taxes nature and purpose are designed for. Real property owned by the Republic of agricultural purposes. and exclusively used to meet the needs of the particular industry. churches. Charitable institutions. [Board a firm that manufactures cars is NOT real of Assessment Appeals of Laguna v. or constitutes real property. LESSON: the NIRC and local water utilities and government-owned the LGC code prevail in classifying property or controlled corporations engaged in the for tax purposes. Cebu City] property Q: What is the scope of the exemption? § This was solved by the LGC IRR on sec 290 (o) that now limits and qualifies this: The exemption from tax of property owned this is known as the GENERAL PURPOSE by the government obtains even as to RULE. by the Republic of the Philippines” refers to which in turn means that it is subject to properties owned by the government and RPT. parsonages. they would only be classified as actually. non-profit or religious Generally the SC has held that Art 415 CC cemeteries. it is common that certain properties be classified as real property even if according to the general principles 3. example would be a SCREWDRIVER by its agencies which do not have separate being used in an office – since this is used and distinct personalities. directly and exclusively used by personal property. 2. or convents appurtenant thereto. commercial. all-encompassing and broad in that Q: Are GOCCs covered by the exemption? everything that is used even indirectly for the needs of the industry can be classifies No. as distinguished by the office and indirectly contributes the from GOCCs which have separate and to smooth functioning of the general distinct personalities. industrial or 1. and (which enumerates the kinds of real improvements actually. and all lands. directly.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. CTA] property as the typewriter is NOT used to actually make the car which is the main purpose of the company. charitable. proprietary or for the general purpose of the business or patrimonial character. GISELLA DIZON-REYES attached to the real property which are actually. supply and distribution of water and/or 96 . mining. mosques. All machineries and equipment that are of the CC. This means that a governmental capacity and those typewriter being used in the main office of possessed in a proprietary capacity. the Philippines or any of its political Local Government Code] subdivisions except when the beneficial use thereof has been granted for consideration or otherwise to a taxable § NOTE: this definition of machinery is too person.

1-85 and Local the local assessor within thirty (30) days Treasury Regulations No. 2-85 of the then Ministry (now legislature. otherwise. (Sec. 4(c) of Joint Assessment doctrine in political law that the power of Regulations No. implementing rules cannot add to or detract 97 . otherwise known as the Assuming argumenti that E. authorized the petitioner to issue the objected Regulations. The subject Regulations must be under Republic Act No. retired from annum shall be continuously imposed on the his post. or twenty-four percent (24%) per to the executive branch.D. Pollution control and environmental protection. four percent (24%) in contravention of Section 66 of P. which provides that that time. the penalty Finance in Iloilo City failed to pay the land imposed under the assailed Regulations has no taxes on his parcels of land for the years 1986 limit inasmuch as the 24% penalty per to 1992. tax.. Yes. NOTE: A taxpayer claiming exemption must Section 4(c) of the challenged Joint submit sufficient documentary evidence to Assessment Regulations No. 1-85 and Local Treasury taxation is generally vested with the Regulations No.’s for being repugnant to the well-encrusted protest citing Sec. No. Ilarde case may be. was exercising both executive and the penalty of two percent (2%) per month of legislative powers. GISELLA DIZON-REYES generation and transmission of electric power. in this case the annum. shall continue to be imposed (2005) on the unpaid tax from the time the delinquency was incurred up to the time that FACTS: Cabaluna. now questions the validity of the said issuances. he filed a formal letter of protest with unpaid tax until it is paid for in full unlike that the City Treasurer of Iloilo City wherein he imposed under Section 66 of the Real Property contends that the City Treasurer’s Tax Code where the total penalty is limited computation of penalties was erroneous since only to twenty-four percent of the delinquent the rate of penalty applied exceeded twenty. 6938. WON the said issuances are valid. as the case may be. shall continue to Ministry of Finance. Jr. VI of the Department of observed by the trial court. at Department) of Finance. 2-85 issued by from the date of the declaration of real respondent Secretary (formerly Minister) of property. 464 or the Real Property Tax Code.O. Jr. be germane to the the delinquency was incurred up to the time general law it seeks to apply. to lay down implementing be imposed on the unpaid tax from the time rules must. Soon after Cabaluna. Upon the other hand. President Corazon Aquino. 4. All real property owned by duly registered Cooperatives as provided for HELD: NO. it shall be listed as Finance provides that “the penalty of two taxable in the Assessment Roll. But. the Code] maximum penalty for delinquency in the payment of real property tax shall in no case exceed twenty-four per centum of the delinquent tax.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. which is the law prevailing at the time material 5. No. 464. Cabaluna.D. the power delegated delinquency. such conferment of powers is void The City Treasurer turned down Cabaluna Jr. Jr. Local Government Under Section 66 of P. [Section 234. No. 206. struck down for being repugnant to Section 66 of P. as amended. No. percent (2%) per month of delinquency or LGC) twenty-four percent (24%) per annum as the Secretary of Finance vs.” As adeptly Regional Office No. 464. 73 has Real Property Tax Code. the Regional Director of the delinquency is paid for in full. nevertheless. The that it is paid for in full. Machinery and equipment used for to this case.D.

When the law does not Realty taxes are national taxes collected by distinguish. Consequently. It is thus clear that it Assessment Appeals is the national government. Ubi lex non distinguit nec nos distinguere debemus. The Solicitor Local Assessment/Treasury Regulations No. FACTS: The Benguet Provincial Assessor assessed real property tax on the bunkhouses It is the national government that levies real of petitioner Benguet Corporation occupied for property tax. The provisions of Sec. 464 makes no distinction as to whether it Sec.O. Central Board of Real Property Tax Code. 52 of the Mineral Such rationalization lacks legal traction. Further. LGUs. period. estopped from raising the question of lack of No. is not contrary to Section 66 of P. that levies the real property tax. 464 covers all real property titled to rate of real property taxes. Regulations. of failure to promptly pay the real property They cannot affect the imposition of the real taxes due and demandable for a particular property tax by the national government. appealed the decision to implement Administrative regulations adopted the LBAA of Benguet. tax. Property Tax values inasmuch as this is the raison d’être of E. under legislative authority by a particular affirmed the taxability of the bunkhouses. YES. is 86. or the so-called implementing rules of E.D. 8471 constituted as agents of the national (1985) and 10454 (1986). we must not distinguish. The tax exemptions government in the enforcement of the Real of bunkhouses under Sec. now argues that LGUs don’t have any authority to levy realty taxes on In a last-ditch effort to salvage the impugned mines pursuant to Sec. however. No.O. P. The department must be in harmony with the CBAA held the exemption was withdrawn so provisions of the law they are intended to petitioner should have applied for restoration carry into effect. While LGU’s are charged with fixing the P. petitioner pushes on that Joint 5 (m) of the Local Tax Code. it does not individuals who become delinquents in paying necessarily follow from that authority the real estate tax. Resources Dev’t Decree of 1974 (PD 463) and No. No. The delegation of taxing withdrawn by PD 1955. Benguet Corp. No.D. The LBAA. P. authority as it was never raised before. limitations on the taxing power of LGUs. they are merely employees under Tax Declaration Nos. 52 of PD 463 and Sec. when LGU’s are residential purposes by its rank and file required to fix the rates. they The Real Property Tax Code covers the wide ilk are not pertinent to the issue before the SC. 2. 3 of PD 745 was Property Tax Code. 464 inasmuch as the latter applies merely to simple delinquency in the payment of real WON provincial assessors may validly property taxes while the former covers cases assess real property tax on the wherein there was failure to promptly pay the properties of petitioner considering the real property tax due. 38 of the Benguet Corporation vs.D.. In fact.D. expressing itself (1992) through the legislative branch.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. General counters that Benguet Corp. GISELLA DIZON-REYES from the provisions of the law it is designed to The Benguet Corp. 73. 464 is a law of determination of whether or not to impose the general application. including the increase in proscription in the Local Tax Code and tax due and demandable for the tax year as a the Mineral Resources Development result of the application of the 1984 New or Decree of 1974 against imposition of Revised Assessment of the value of the subject taxes on mines by local governments property. No. which in this case is merely of the exemption with the Fiscal Incentives to antedate the effectivity of the 1984 Real Review Board. 5 (m) of the Local Tax Code are mere is simple delinquency or other forms thereof. LGU’s have no alternative but to collect taxes as mandated in Sec. power is not even involved here because the national government has already imposed 98 . 73.

a warehouse with a floor area disposition). as amended” instead of stating clearly realty tax exemption laws. for warehousing purposes under the As reserved land (public land that has been administration of NWC. relying on the case of to the Republic. a Province of Tarlac vs. it remains absolute property of of 1.” Also. 4. what appears to have been commercial. 38 leaving only the the law applies to all government properties enforcement to be done LGU’s. vs. because the government does not part with its title by reserving them. the reserved land is covered by the tax exemption provision. the real tax exemption granted under PD 745 was withdrawn by PD 1955. recipient of the land reserved by the President. whether for proprietary or (1992) sovereign purposes. The SC has public lands made by preemptioners. Cebu City assessed and collected but simply gives notice to all that it desires from NDC real estate taxes on the land and them for a certain purpose. If the SC were WON the NDC is exempt from paying the to sanction the interpretation of Benguet.940 square meters was constructed on it. necessarily all real properties exempt by any law would be covered. NDC. FACTS: The NDC is authorized to engage in However in CAB. as real estate taxes on the warehouse. Judge Alcantara GOCC.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. are exempt from real estate tax since (1992) 99 . As its title remains the warehouse. the government. 4. Tax Code. and these are taxable by the estate taxability. then imposed taxes. CTA & NWSA. the nature of the use National Development Corp. 430 which reserved Block for warehousing purposes under the No. whether held in a proprietary or governmental capacity. mining. Consequently. the President issued ownership of what has been declared reserved Proclamation No. agricultural ceded to NDC is merely the administration of and other enterprises needed for economic the property while the government retains development. consisting of 4. unincorporated agency. They A different rule applies because “the have ceased to be exempt under the exemption of public property from taxation Assessment Law when the government does not extend to improvements on the disposed of them in favor of NDC. becomes immaterial. state…(CJS)”. of Cebu City. Reclamation Area No. In 1939. Board of Assessment Appeals v. The To come within the ambit of the exemption. and there would be no NDC is exempt from the payment of real need for congress to specify “Real Property estate taxes on the land. Once government ownership is determined. Cebu City argues that the land and warehouse are taxable since no law grants NDC NDC is NOT EXEMPT from the payment of exemption from real estate taxes. In 1940. proclamation. NDC paid under protest. also used the standard of “use” of property homesteaders and other claimants at their rather than “ownership” as basis for real own expense. NWC was succeeded withheld and kept back from sale or by NDC. the warehouse constructed on the reserved land by NDC The NDC argues that the Assessment Law should properly be assessed real estate tax as exempts properties owned by the Republic such improvement does not appear to belong from real estate tax. where it was held that “properties of NWSA. Cebu City of the property.599 square meters. In 1948. GISELLA DIZON-REYES realty tax in Sec. industrial. is liable for payment of ordinary taxes. with the Republic. it intention is to limit the application of the is important to establish that the property is “exception clause” only to those given by the owned by the government or by its Real Property Tax Code.

The assessments of whatever nature” in the lower court issued an order granting said second paragraph of Sec. are necessary for the 100 . it was exempt from paying said tax.55 state: SECTION 1. distribute If the intention of the law is to exempt electric and sell electric current for light. The legislative private respondent to enable the consumers to authority would have simply stopped after the enjoy cheaper rates. bldg is constructed. machinery shed and other (Lowering the Cost to Consumers of Electricity machinery.A REVIEWER IN LOCAL GOVERNMENT LAW PROF.D. . the contention that the real properties being Real Property Tax Code. No. be two (2%) of their gross receipts received But the lower court denied the motion.The distribution of electric power. provides: SEC. Inc. real properties subject real property taxes demanded.435. 1 of PD 551 motion to prevent mootness of the case expressly exempts private respondent from considering that the properties to be sold were paying real property taxes. 40(g) of P. distribute and sell pay the said sum as well as damages. petitioner set the auction sale of transactions incident to the generation. 40. the Therefore. electric current for light.D. modified and delimited by the phrase “on earnings. Its pertinent provisions until 1992 in the amount of P532. On the contrary. it went on to WON Tarlac Enterprises. ordinance to the contrary notwithstanding. 551. 40 (g) of P. No. distribution and sale” which that under Section 40(g) of PD 46 in relation to specifies the kinds of taxes and assessments PD 551. the Provincial Treasurer Jose Meru franchise tax payable by all grantees of filed a complaint praying that the company franchises to generate. No. receipts. The Provincial Treasurer Fuel Oils for the Generation of Electric Power found that real estate taxes for the years 1974 by Public Utilities). subjects of the complaint. 551. income and privilege of Tarlac Enterprises then filed an answer saying generation. it being a to tax. taxed. It ruled that PD 551 expressly enumerated items have no relation to. No. which shall not be collected in view of the The court rendered the decision dismissing the imposition of the franchise tax. is exempt enumerate what should not be subject to tax from the payment of real property tax thereby delimiting the extent of the under Sec. This prompted the private respondent to file a motion praying The SC did not agree with the lower court that that petitioner be directed to desist from the phrase “in lieu of all taxes and proceeding with the public auction sale. 464. grantee of a franchise to generate. GISELLA DIZON-REYES FACTS: Tarlac Enterprises Inc is the owner of Private respondent contends that the "other a parcel of land in Mabini. the machinery for the generation and Exemptions from Real Property Tax. as amended. the bldg housing exemption shall be as follows: (g) Real said machinery. private tax and to make the 2% franchise tax the only respondent had been required to pay 2% imposable tax. These properties were declared for by Reducing the Franchise Tax Payable by purposes of Taxation in the Provincial Electric Franchise Holders and the Tariff on Assessor’s Office. Any provision of law or local including penalties were not yet paid. and are exempts private respondent from paying the entirely different from. 464 in exemption. and the land on which said property exempt under other laws. heat and power shall Tarlac Enterprises filed a motion to dismiss.D. There is also no merit in the respondent’s HELD: NO. Sec.D. No. Tarlac. The court franchise grantees from paying real property held that in lieu of said taxes. an ice drop laws" referred to in this Section is P. relation to P. 551 factory in said land. from the sale of electric current and from Thereafter. phrase "national or local authority" by putting therein a period. Said complaint. the private respondent's properties to satisfy distribution the real estate taxes due.D. then said enumerated items franchise tax in line with the intent of the law would not have been added when PD 852 was to give assistance to operators such as the enacted to amend P. Said proviso is the.

Aguirre franchises but not from establishments whose (supra) franchise contains the in lieu of all taxes' proviso. Hence. the letter 13 of the then Bureau autonomy means that local governments have of Internal Revenue Acting Commissioner the power to create their own sources of addressed to the Matic Law Office granting revenue in addition to their equitable share in exemption to the latter's client from paying the national taxes released by the national the "privilege (fixed) tax which is an excise tax government. consultations with the presiding officers of the Senate and the House of Representatives and 101 . There are therefore several requisites before No. 3-75 National Taxes 12 issued by then Secretary of Finance Cesar Virata and addressed to all Provincial and City 1987 CONSTI. It has always been the rule that "exemptions distribution and sale of electric current and from taxation are construed in strictissimi juris should be exempt from taxation. 551 is not as all-encompassing as said the President may interfere in local fiscal provision of the Local Autonomy Act for it matters: (1) an unmanaged public sector enumerates the items which are not taxable deficit of the national government. Fiscal Code. Private respondent has utterly failed to Department Order No. tax exemption are not of much help to it. In that are relevant to local needs and resources or case. Section 6. as well as the power to allocate on the privilege of engaging in business" their resources in accordance with their own clearly excludes realty tax from such priorities. it is the taxpayer's duty to justify the comment on the petition to prove by exemption "by words too plain to be mistaken contemporaneous interpretation its claimed and too categorical to be misinterpreted. on person paying franchise tax.. local government proviso exempts taxpayers like private units. Inc. collected by the provinces under the Local Tax enjoy fiscal autonomy as well.A REVIEWER IN LOCAL GOVERNMENT LAW PROF.D. Local Treasurers enjoins strict compliance with the government units shall have a just share. who in of Butuan is categorically prohibited therein by any case are partners in the attainment of Sec. X. their budgets.D. (2) by virtue of the payment of franchise tax. Section 19 of the Local Tax Code. whether they Butuan Sawmill. 35-74 dated September discharge this duty. 2(j) of the Local Autonomy Act from national goals. the necessity of a balancing of sales or receipts of said sawmill while the tax viewpoints and the harmonization of proposals involved herein is a real property tax. 551 merely reiterates the "in lieu of all 3. No." thereby clearly indicating that said HELD: Under existing law. in the national taxes which under Local Tax Ordinances pursuant to shall be automatically released to them. Lastly. to be exempted from payment of The annexes attached to private respondent's taxes." On the other hand. as amended. The City from both local and national officials. It extends to the preparation of exemption. They are The SC also find misplaced the lower court's not formulated at the national level and and the private respondent's reliance on imposed on local governments. imposing "taxes of any kind . 1974 11 regulating the implementation of P." Thus. . P. the questioned tax is a tax on the gross not. v. prompt and certain availability is an imperious need. . as directive that "the franchise tax imposed determined by law. GISELLA DIZON-REYES operation of its business of generation. in addition to having administrative respondent from paying the franchise tax autonomy in the exercise of their functions. and local officials in turn have to work within the constraints thereof. City of Butuan. 16. shall be collected from business holding Pimentel vs. Art. Local Tax Regulations No. Shares of LGU’s in the Proceeds of taxes" proviso. The lower against the taxpayer and liberally in favor of court erred in exempting the private the taxing authority" primarily because "taxes respondents from paying real property tax on are the lifeblood of government and their its properties enumerated in the complaint.

which means thirty percent (30%) internal revenue "something held back or withheld. thirty percent (30%). be entitled to receive the amount does not matter. 285. meaning. 1998." As a rule. and Budget based on the collection of the third fiscal year and Management. however. any preceding the current fiscal year as follows: adjustment in the allotment shall in no case be less than thirty percent (30%) of the collection (a) On the first year of the effectivity of this of national internal revenue taxes of the third Code.Twenty-three percent (23%). That in the event that the national concerned within five (5) days after every government incurs an unmanageable public quarter of the year and "shall not be subject to sector deficit. and (d) barangays . Art. therefore. .Twenty-three percent (23%). upon the the national government for whatever recommendation of Secretary of Finance. of 10 of local government units but in no case shall percent of the LGUs' IRA "pending the the allotment be less than thirty percent (30%) assessment and evaluation by the of the collection of national internal revenue Development Budget Coordinating Committee taxes of the third fiscal year preceding the of the emerging fiscal situation" in the country. . GISELLA DIZON-REYES the presidents of the various local leagues. inhabitants by way of direct benefits. ALSO REMEMBER: In Alvarez. (b) On the second year. further That in Such withholding clearly contravenes the the first year of the effectivity of this Code. The provision is. Any retention is prohibited.Thirty-four percent (34%).Twenty percent (20%) LGC 102 . often allotment which shall include the cost of temporarily”. the Constitution and the law. the President of the Philippines any lien or holdback that may be imposed by is hereby authorized. the "temporary" nature devolved functions for essential public of the retention by the national government services. officers of both Houses of Congress and the presidents of the liga. Local the internal revenue allotment shall be governments shall be entitled to an equitable allocated in the following manner: share in the proceeds of the utilization and development of the national wealth within (a) Provinces .A REVIEWER IN LOCAL GOVERNMENT LAW PROF. forty no less than the Constitution. Section 7. the SC held that IRA is part of an LGU’s income. Furthermore. Allotment of Internal Revenue and (3) the corresponding recommendation of Taxes. in the manner provided (b) Cities . fiscal year preceding the current one. This is mandated by (c) On the third year and thereafter. the term "shall" is a word Secretary of Interior and Local Government of command that must be given a compulsory and Secretary of Budget and Management. and automatic release of the shares of LGUs in the national internal revenue. Although temporary. local government units shall. by law. 284. SEC. share in the national internal revenue taxes Interior and Local Government. effective January 1. SEC. X. purpose. to make the necessary Section 4 of AO 372. The Local percent (40%).Local government units shall have a the secretaries of the Department of Finance. in addition to the it is equivalent to a holdback. thirty-five percent A basic feature of local fiscal autonomy is the (35%). current fiscal year: Provided. their respective areas. equivalent to the cost of devolved personal services. Government Code specifies further that the release shall be made directly to the LGU Provided. and subject to consultation with the presiding imperative. orders the adjustments in the internal revenue allotment withholding. including sharing the same with the (c) Municipalities .The share of local government units in 1987 CONSTI. Hence. Allocation to Local Government Units.

and the balance to be promulgate the necessary rules and allocated on the basis of the following formula: regulations for a simplified disbursement scheme designed for the speedy and effective (a) On the first year of the effectivity of this enforcement of the provisions of this Chapter.Fifty percent (50%) complied with any guideline. days after the end of each quarter.Local government government unit concerned. vs. Hence.Sixty percent (60%).Twenty-five percent (25%). PIMENTEL: municipal or barangay treasurer.Fifty percent (50%). waters. government for whatever purpose. units shall have an equitable share in the proceeds derived from the utilization and development of the national wealth within their respective areas. Code: (1) Population . – same with the inhabitants by way of direct (a) The share of each local government unit benefits. (Batangas vs. and before it releases the LGU’s shares in the (2) Equal Sharing . 287.000. the minerals. further. That the share of each (b) Nothing in this Chapter shall be province. the fishes. Share in the Proceeds government units after the effectivity of this from the Development and Utilization of Code shall be the responsibility of the local the National Wealth. in consultation with the (20%) share of the barangay from the internal Secretary of Budget and Management. Automatic Release of Shares. as the case • “National wealth” means the natural may be. Inc. Rules and Regulations. Zamora) Provided. directly to the provincial. land. however. That the share of each units shall be furnished the Department of barangay with a population of not less than Interior and Local Government. SEC. and (ex.Twenty-five percent (25%) allotment for development projects.Fifty percent (50%). Romulo. Local Development Projects.Forty percent (40%). Congress (b) On the second year: may not impose any undertaking or event (1) Population . GISELLA DIZON-REYES Provided.e. without need of any further action. . etc. Each local government unit shall appropriate (b) Land Area . in its annual budget no less than twenty and percent (20%) of its annual internal revenue (c) Equal sharing . Copies of the development plans of local government Provided. - (a) Population . shall revenue allotment. and municipality shall be understood to diminish the share of local determined on the basis of the following government units under existing laws.The annum chargeable against the twenty percent Secretary of Finance. 103 . one hundred (100) inhabitants shall not be less than Eighty thousand pesos (P=80.Sixty percent (60%) • The automatic release of these funds is not subject to any condition. and PIMENTEL: (2) Equal Sharing . . city. 289.) shall not be subject to any lien or holdback which are being utilized and developed that may be imposed by the national anywhere in the country. national taxes. and which forests. formula: SEC. Upon finding that the LGU has (2) Equal Sharing .Forty percent (40%).. city.00) per SEC. on a quarterly basis within five (5) resources of the nation (i. or upon the realization of the original revenue targets (c) On the third year and thereafter: submitted by the President to Congress) (1) Population . including sharing the SEC. 286. ACORD. That the financial requirements of barangays created by local LGC.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 288. finally. shall be released.

of any government agency or government- royalties. GISELLA DIZON-REYES (2) Component city/municipality . . and other sources of energy shall be applied 104 .A REVIEWER IN LOCAL GOVERNMENT LAW PROF. and LGC SEC.Twenty percent (20%). 291.Seventy percent (70%). fees or charges. including related surcharges. wealth based on the following formula whichever will produce a higher share for the SEC. Amount of Share of Local (3) barangay . Development and Livelihood in the preceding Section shall be distributed in Projects. or remitted in accordance with Section 286 of this Code: Provided. or fines. have a share of forty percent (40%) provinces. and such other taxes. forestry and computed on the basis of: fishery charges.Thirty-five percent (35%) Government Units. and from its share in any co-production. That where the natural shall. however. . however. 290. the proceeds derived from the development and utilization of hydrothermal. a highly urbanized or independent component city: SEC. and interests. in addition to the internal revenue resources are located in two (2) or more allotment. the allocation of shares shall be based -controlled corporation engaged in the on the formula on population and land area as utilization and development of the national specified in paragraph (a) of this Section.The share SEC. . sharing agreement in the utilization and development of the national wealth within (b) Where the natural resources are located in their territorial jurisdiction. forestry and fishery charges and owned or -controlled corporation engaged in such other taxes. or fines the wealth. however.Thirty percent (30%).Sixty-five percent (65%). That where the natural year from the proceeds derived by any resources are located in such two (2) or more government agency or government-owned or cities. Allocation of Shares. geothermal. That in the case (b) Forty percent (40%) of the mining taxes. including the utilization and development of the national related surcharges.The proceeds from the share of the following manner: local government units pursuant to this chapter shall be appropriated by their (a) Where the natural resources are located in respective sanggunian to finance local the province development and livelihood projects: Provided. such share shall be directly remitted to government agency or government -owned or the provincial. (1) Population . the end of each quarter. joint venture or production (2) Land area . their respective shares shall be from mining taxes. interests. .Local government units Provided. municipal or barangay -controlled corporation would have paid if it treasurer concerned within five (5) days after were not otherwise exempt.Thirty-five percent (35%) have a share based on the preceding fiscal Provided. That at least eighty percent (80%) of (1) province . and Agency or -Owned and -Controlled Corporation. royalties. 293 Remittance of the Share of local government unit: Local Government Units. 294.The share of local government units from the utilization and (a) One percent (1%) of the gross sales or development of national wealth shall be receipts of the preceding calendar year. 292.Forty-five percent (45%). or in two (2) or more component of the gross collection derived by the national cities or municipalities or in two (2) or more government from the preceding fiscal year barangays. fees. or charges. Share of the Local Governments from any Government (1) city .Local government units shall (2) barangay . however. SEC. city. .

PIMENTEL: SEC. The proceeds sources subject to the approval of the from such transactions shall accrue directly to proper central government agency. and Other govern the power of local government units to Forms of Indebted ness of Local create indebtedness and to enter into credit Government Units. like floating bonds construction. social housing for the Term Securities. such necessary accessories under a supplier's credit. units for purposes specified above. or maintenance of public financing institutions or domestic private facilities. LGU’s have the power and other lending institutions to finance the to create indebtedness. housing banks. city and bridges. the livelihood projects of farmers. (b) A local government unit may likewise secure from any government bank and lending LGC. fisher folks or the urban poor) 4.This Title shall SEC. – and other financial transactions. and other forms of indebtedness with any government or domestic private bank • Under this provision. Scope. General Policy. or other • “Other socioeconomic development financial scheme. build educational facilities for the local government unit where such a source of handicapped. operation. to fund local infrastructure or other projects. Financial Schemes. Credits. infrastructure facilities. ports.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. (c) Government financial and other lending (b) A local government unit may avail of credit institutions are hereby authorized to grant lines from government or private banks and loans. (a) A local government unit may contract PIMENTEL: loans. SEC. or borrowing money from government expansion. and socioeconomic development projects and the implementation of other capital to stabilize local finances. SEC. improvement.(a) It shall institution short. and other development plan and public investment economic enterprises. and other socio-economic development industrial. the local government unit concerned. Credit Financing LGC LGC. credits. installation. medium and long-term loans be the basic policy that any local government and advances against security of real estate or unit may create indebtedness. . and provide seed capital for energy is located. investment projects. and the locality. 296. 298. canals. dikes. program. and other forms of indebtedness lending institutions for the purpose of out of their loanable funds to local government stabilizing local finances. projects” is borad enough to cover just about any activity which LGU’s can LGC. the acquisition of real property.Provincial. plant. airports. . subject to such terms and conditions as may be agreed upon by the local • LGU’s may also secure funds from foreign government unit and the lender. SEC. 299. credit facilities to finance local infrastructure development. equipment. 295. and municipal governments may likewise acquire other public facilities mainly for the use of property. Deferred-Payment and other • “Local infrastructure” means roads. house financing projects in accordance with the approved local projects. livelihood projects. . and avail of other acceptable assets for the establishment. deferred payment plan. buy medical equipment for their 105 . Loans. 297.Subject to the rules and homeless. or expansion of agricultural. GISELLA DIZON-REYES solely to lower the cost of electricity in the hospitals. machinery. . credits. Bonds and Other Long- propose (ex. commercial.

utilities and facilities. the acquisition of real • “Collaterals” are impersonal securities property. cities. cities producing development or livelihood projects and municipalities may. except representative. extend loans. subject to the provisions of existing laws and the applicable grant agreements. GISELLA DIZON-REYES regulations of the Central Bank and the Securities and Exchange Commission. These may carry interest expansion. party. The sanggunian surplus funds. upon approval of the pursuant to the priorities established in the majority of all members of the sanggunian approved local development plan or the public concerned and in amounts not exceeding their investment program. terms and conditions as may be agreed upon guaranty) by the President and the local government unit. or maintenance of public and may be redeemable or irredeemable. debentures. 300. income. stock exchange. (c) Repayment or amortization of loans including accrued interest thereon. or concerned shall. municipality. through any government that they usually cover short periods of financial or other lending institution. installation. Grants. and Subsidies. (b) The President may likewise authorize the • GD-R: Remember that the vote required in relending to local government units the this is a majority of ALL members of the proceeds of grants secured from foreign sanggunian! sources.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 301. city. and municipalities are hereby authorized to issue bonds. upon approval of their proposed indebtedness is to be incurred. through an ordinance subsidies to other local government units approved by a majority of all its members. Local the bonds and the purpose for which the government units may. and the implementation of other such as stocks and shares which are capital investment projects. – (a) The President. credits. the nature of promissory notes. or housing projects. jointly or severally contract loans. relend to time and are not usually secured by a any province. LGC securities. Loans from Funds Secured by by a mortgage on the property of the the National Government from Foreign issuer. Inter-Local Government Loans. as accrue directly to the local government evidences of indebtedness to another concerned. or barangay. . subject to such different from personal security (ex. mortgage. notes and other SEC. The proceeds from such loans shall • “Notes” may include promissory notes. and other forms of PIMENTEL: indebtedness for purposes mutually beneficial • “Bonds” are evidences of indebtedness in to them. the proceeds of loans contracted with foreign financial institutions or other international • “Securities” are income-yielding funding agencies for the purpose of financing documents that can be traded. under such terms and conditions as may be declare and state the terms and conditions of agreed upon by the contracting parties. obligations to finance self-liquidating. respective sanggunian. collaterals. improvement. infrastructure facilities. may. operation. provinces. usually covering long periods of time and secured SEC. may be financed partly from the income of the projects 106 . or his duly authorized • “Debentures” are similar to bonds. Sources.provinces. grants. as on a the construction.

SEC. Construction. government unit concerned to disclose to the and charges in accordance with subsection (c- public all projects eligible for financing under 4) hereof. (2) Upon approval by the sanggunian of the LGU’s. fees. local government unit. It shall be the duty of the local including the collection of tolls. 302. as the case may be. agreement. rentals. rules and regulations. constructed. city or municipality in Management of Infrastructure Projects which the project is to be implemented. the winning public investment programs priority projects contractor shall be automatically granted by that may be financed. GISELLA DIZON-REYES or services and from the regular income of the (1) The provincial. upon formal request in for and appropriated regularly in its annual writing by the local chief executive. shall budget until the loan and the interest thereon prepare the plans and specifications for the shall have been fully paid. and specifications. the lowest complying bidder whose offer is construction. plans. for the financing. (c) Projects implemented under this Section plans. province. and their respective local development plans and specifications. city. operate-and-transfer agreement. and charges thereunder and such terms and conditions over a fixed term for the facility to be provided in this Section. – notice inviting all duly qualified contractors to participate in a public bidding for the projects (a) Local government units may enter into so approved. constructed according to the prescribed minimum design and performance standards. including official notification of duly registered contractors and publication in In the case of a build-operate-and-transfer newspapers of general or local circulation and agreement. operated the local government unit concerned the and maintained by the private sector under franchise to operate and maintain the facility.A. 6957) authorizing the financing. and maintenance of any financially accordance with this Code and other viable infrastructure facilities. or municipal engineer shall. city. operation and maintenance of deemed most advantageous to the local infrastructure projects by the private sector government and based on the present value of and the rules and regulations issued its proposed tolls. the lowest complying bidder based on the Local projects under the build-operate-and- present value of its proposed schedule of transfer agreement shall be confirmed by the amortization payments for the facility to be local development councils. this Section. a by the Private Sector. projects under this Section shall be in operation. proposed project. subject to the applicable provisions of Republic Act In the case of a build-operate-and-transfer Numbered Sixty-nine hundred fifty-seven (R. constructed. this Section. through the central government. operated. Financing. Operation. For this purpose. the provincial. PIMENTEL: • Under the immediately preceding section. rentals. which must be provided as the case may be. construction. the contract shall be awarded to in conspicuous and accessible public places.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. one (1) local newspaper which is circulated in Maintenance. shall be subject to the following terms and conditions: 107 . are authorized to procure foreign loans. project plans and specifications. and maintained according to the prescribed minimum design (b) Local government units shall include in and performance standards. cause to be published once every week for two (2) consecutive weeks in at least LGC. The conduct of public bidding contracts with any duly prequalified individual and award of contracts for local government contractor. which shall be submitted to the sanggunian for approval. the contract shall be awarded to No. under the build- applicable laws. fees. or municipal engineer. and the region.

rentals. SEC. (d) The provincial. city.Local government units shall appropriate in their (4) The contractor shall be entitled to a respective annual budgets such amounts as reasonable return of its investment in are sufficient to pay the loans and other accordance with its bid proposal as accepted indebtedness incurred or redeem or retire by the local government unit concerned. finally. That the local government unit concerned shall. In the bonds. enforceability unless such contractor presents proof or and correctness of form. 305. as the case officer shall. fees. fees. and collection thereof shall at constructed. rentals and charges shall be for a fixed period as proposed in the bid and incorporated in the contract which shall in no • No money shall be paid out of the local case exceed fifty (50) years: Provided. fees. Local Fiscal Administration incorporated in the contract: Provided. That the imposition and collection of tolls. all times be acknowledged properly. SEC. 303. In the • Local government funds and monies case of a build-operate-and-transfer shall be spent solely for agreement. the tolls. and costs interest of the province. securities. specifications. Remedies and Sanctions. Fundamental principles based on reasonableness and equity. the repayment shall be made by That failure to provide the appropriations authorizing the contractor to charge and herein required shall render their annual collect reasonable tolls. city. the repayment shall be made through amortization payments in accordance • public purposes. debentures. review the may be. approve governing the financial affairs. as the case may be. or municipality. operated. allow any contractor to initiate the contracts executed pursuant to this Section to prosecution of projects under this Section determine their legality. agreement. standards. with the schedule proposed in the bid and incorporated in the contract. the appropriations ordinance or law. GISELLA DIZON-REYES (3) Any contractor who shall undertake the under the technical supervision of the local prosecution of any project under this Section government unit and in accordance with the shall post the required bonds to protect the plans. treasury except in pursuance of an That during the lifetime of the contract. rentals and charges: Provided. contractor shall undertake the necessary maintenance and repair of the facility in accordance with standards prescribed in the bidding documents and in the contract. In case of land reclamation or construction of industrial estates. city or municipal legal or municipal engineer shall not. approved by it.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. in such amounts as may be fixed by the sanggunian concerned and the provincial. charges for the use of the project facility not exceeding those proposed in the bid and 5. . evidence that he has posted the required bond. notes and other case of a build-operate-and-transfer obligations issued under this Title: Provided. (5) Every infrastructure project undertaken under this Section shall be constructed. transactions and operations of LGUs : further. the repayment plan may consist of • Local revenue is generated only from the grant of a portion or percentage of the sources expressly authorized by law or reclaimed land or the industrial estate ordinance. and budgets inoperative. LGC. validity. and maintained by the contractor 108 .

respective local development plans are 109 . considered in the budget preparation process. transactions. . The responsibility for the execution of the annual and supplemental budgets and the accountability therefor shall be vested primarily in the local chief executive • LGUs shall ensure that their respective concerned. any occasion shall be accounted for as local funds. • Fiscal responsibility shall be shared by all those exercising authority over the financial affairs. After the local chief executive concerned shall have submitted the executive budget to the sanggunian. however. permit or require the possession or custody of local funds shall be properly bonded. and • Trust funds in the local treasury shall operations of the local government units. GISELLA DIZON-REYES • All monies officially received by a local considered in the formulation of budgets of government officer in any capacity or on national line agencies or offices. Budget. not be paid out except in fulfillment of the and purpose for which the trust was created or the funds received. and the local estimates of income and expenditures budgets shall be based on functions. equitable allocation of resources among . • The LGU shall endeavor to have a balanced budget in each fiscal year of • Every officer of the LGU whose duties operation. unless otherwise provided by law. activities. Legislative Authorization of the provisions of law. . • Annual Budget and such officer shall be accountable and responsible for said funds and for the LGC safekeeping thereof in conformity with the SEC. shall take approved local development plans. 321. Changes in the Annual Budget. Effectivity of Budgets. effect upon its approval or on the date fixed therein.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. 319. the sanggunian concerned shall enact. through an ordinance. except local planning to ensure that the needs and when supported by funds actually available as aspirations of the people as articulated by certified by the local treasurer or by new the local government units in their revenue sources. in terms of expected results. submitted by the local chief executive.On or before the end of the current fiscal year. the annual budget of the local government unit for the • Local governments shall formulate ensuing fiscal year on the basis of the sound financial plans. 320. no ordinance providing for a • National planning shall be based on supplemental budget shall be enacted. and projects.The ordinance enacting the annual budget shall take effect at the beginning of the ensuing calendar year. budgets incorporate the requirements of their component units and provide for SEC. SEC.All budgetary proposals shall be included and these component units. An ordinance enacting a • Local budgets shall operationalize supplemental budget.

authorized in the annual and supplemental That such appropriation shall be used only in budgets for the preceding year shall be the area. may be taken up during such sessions. . whether annual adjustments. implementation of such reenacted ordinance. within which are exceptionally urgent or absolutely ten (10) days from the receipt of such advice. . 323. and the requirements: various items of appropriations affected and the reasons for the change. General Limitations. the local appropriations for the purchase of supplies treasurer concerned shall accordingly advise and materials or the payment of services the sanggunian concerned which shall. prior year (a) The total appropriations. the local treasurer concerned shall exclude SEC. and essential operating expenses occurrence of calamities: Provided. In case the in times of public calamity by way of revised income estimates be less than the budgetary realignment to set aside aggregate reenacted appropriations. In the the President in a state of calamity. Such ordinance shall clearly indicate the sources of funds available for SEC. Budgetary Requirements. indispensable to prevent imminent danger to.In case the sanggunian (b) Full provision shall be made for all concerned fails to pass the ordinance statutory and contractual obligations of the authorizing the annual appropriations at the local government unit concerned: Provided.The appropriations. and other analogous sources of or supplemental. in the jurisdiction of reductions. of the local deemed reenacted and disbursement of funds government unit or other areas declared by shall be in accordance therewith. 324.The use of from the estimates of income for the the provincial. however. and after ninety (90) days from the beginning of municipalities. for personal services of a income. statutory and contractual unforeseen expenditures arising from the obligations. like national aids.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. city. . make the necessary adjustments or or loss of. as certified under oath by the budgets of local government units for any local treasurer and local accountant and fiscal year shall comply with the following attested by the local chief executive. life or property. proceeds from loans. cities. aid to component barangays the fiscal year. and and effect until the ordinance authorizing the proposed appropriations is passed by the (d) Five percent (5%) of the estimated sanggunian concerned.00) per deemed reenacted and shall remain in force barangay. If the sanggunian still fails to enact such ordinance (c) In the case of provinces. Failure to Enact the Annual Appropriations. it shall however. SEC. calamity. until such percent (20%) of the regular income of the ordinance is approved. GISELLA DIZON-REYES supplemental appropriations shall be passed in A supplemental budget may also be enacted place of the annual appropriations. beginning of the ensuing fiscal year. (a) The aggregate amount appropriated shall not exceed the estimates of income. and no other business local government unit concerned. 325. and municipal funds shall preceding fiscal year those realized from be subject to the following limitations: nonrecurring sources. the ordinance authorizing the shall be provided in amounts of not less than appropriations of the preceding year shall be One thousand pesos (Php 1. No ordinance authorizing local government unit for one (1) fiscal year 110 . without additional for debt servicing shall not exceed twenty remuneration for its members. That the amount of appropriations continue to hold sessions. sale of assets. or a portion thereof.000. However. The revised appropriations the local government unit or in other areas authorized by the sanggunian concerned shall declared by the President in a state of then be the basis for disbursements. only the revenue from regular sources shall be set annual appropriations for salaries and wages aside as an annual lump sum appropriation for of existing positions.

the power to issue compulsory process and the power to punish for contempt. Metro Manila Authority) demotion in rank or increase or decrease in compensation shall be allowed. • Local political subdivisions are able to legislate only by virtue of a valid (d) In cases of abolition of positions and the delegation of legislative power from the creation of new ones resulting from the national legislature (except WRT the abolition of existing positions in the career creation of their own sources of revenue service. the sangguniang panlungsod for the regulations issued thereunder. PIMENTEL: except as may be expressly authorized by law. LGU’s do the position is actually vacant. The purpose except as authorized under this appropriations for the personal services of Section. rules and regulations. Local Legislative Power. such abolition or creation shall be and the levying of taxes. case be made retroactive. D. which are vested made in accordance with pertinent provisions by the CONSTI itself). and the filling not have the inherent power to cite anyone of such positions shall be strictly made in for contempt. SEC. and fifty-five percent (55%) in the case of fourth class or lower. increase or adjust salaries or wages of officials and employees of the national government. wages. No budget or in the computation of the maximum amount shall be appropriated for the same amount for personal services. of positions resulting in a promotion or vs. holding permanent appointments shall be covered by adequate appropriations. except when • Unlike the Senate and the HOR. of this code and the civil service law. GISELLA DIZON-REYES shall not exceed forty-five percent (45%) in and salary increases or adjustments shall in no the case of first to third class provinces.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. and the sangguniang barangay (c) No local fund shall be appropriated to for the barangay. Hence. operated. rules and the Local Government Code explicitly regulations. and and municipalities. • NOTE: They are mere agents vested with (e) Positions in the official plantilla for career what is called the power of subordinate positions which are occupied by incumbents legislation. the sangguniang bayan for the municipality. such economic enterprises shall be charged to their respective budgets. (Sol. of the total (h) The annual appropriations for annual income from regular sources realized in discretionary purposes of the local chief the next preceding fiscal year. Gen. (g) The creation of new positions granting local legislative bodies. only for public purposes to be supported by and maintained by the local government unit appropriate vouchers and subject to such concerned shall not be included in the annual guidelines as may be prescribed by law. city. cities. 48. the LGU cannot contravene but must obey at all (f) No changes in designation or nomenclature times the will of their principal. as delegates of Congress. the actual receipts derived from basic real representation and transportation allowances property tax in the next preceding calendar of officials and employees of the public utilities year. the Sanggunian 111 . - a salary rate higher than the maximum fixed Local legislative power shall be exercised by for his position or other positions of equivalent the sangguniang panlalawigan for the rank by applicable laws or rules and province. There being no provision in accordance with the civil service law. The executive shall not exceed two percent (2%) of appropriations for salaries. Local Legislation (b) No official or employee shall be entitled to LGC. Discretionary funds shall be disbursed and economic enterprises owned.

Such act by the sanggunian is in the session over which he temporarily ultra vires. These procedure. and LGC. (4) The parliamentary procedures which include the conduct of members during (b) In the event of the inability of the sessions. the sanggunian concerned with certain well-established basic shall adopt or update its existing rules of principles of a substantive nature. of the sangguniang barangay. so that the constitutionality. include. may properly presumption. Cooperative vs. (Tano vs. – only be within the corporate powers of the city or municipality to enact but must also (a) On the first regular session following the be passed according to the procedure election of its members and within ninety (90) prescribed by law. of the sangguniang (2) The order and calendar of business for panlungsod. It must be in accordance days thereafter. (3) The legislative process. In short. and (6) creation of standing committees which shall must not be unreasonable. and the punong barangay. but shall not be limited to. human rights. SEC. regular Presiding officer to preside at a sanggunian session. officer of the sangguniang panlalawigan. To overthrow this legislative (the sanggunian). women and family. principles require that an ordinance (1) must not contravene the Constitution or (b) The rules of procedure shall provide for any statute (2) must not be unfair or the following: oppressive (3) must not be partial or discriminatory (4) must not prohibit but (1) The organization of the sanggunian and may regulate trade (5) must be general the election of its officers as well as the and consistent with public policy. not exercise their respective functions without merely a doubtful or argumentative undue interference from one by the other. the conflict with the Constitution must be shown beyond reasonable doubt. youth and sports development. – cooperatives. for officer. the municipal vice-mayor.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Socrates) LGC. He shall certify within ten (10) days 112 . Sangguniang Panlungsod Of Dumaguete) PIMENTEL: • The idea behind the said scheme of • Ordinances enacted by local government presiding officers is to distribute powers units enjoy the presumption of among the elective officials. contradiction. (Lagcao vs. environmental protection. there must be a clear and check the executive and vice versa and unequivocal breach of the Constitution. the sangguniang bayan. Presiding Officer. The presiding officer shall vote only to break a tie. the Labra) committees on appropriations. and the election of the chairman (a) The vice-governor shall be the presiding and members of each committee. 50. 49. the city vice-mayor. SEC. of each session. GISELLA DIZON-REYES Panlungsod of Dumaguete is devoid of from the passage of ordinances enacted power to punish the petitioners… for and resolutions adopted by the sanggunian contempt. the general jurisdiction of each committee. the members present (5) The discipline of members for disorderly and constituting a quorum shall elect from behavior and absences without justifiable among themselves a temporary presiding cause for four (4) consecutive sessions. (Negros Oriental II Electric presided. it must not Procedure. Internal Rules of • For an ordinance to be valid.

form part of the • While the sanggunian is allowd to create its record of the proceedings and shall be made in standing committees. 51. and (6) Such other rules as the sanggunian may (2) Contracts or agreements with any person or adopt. The disclosure shall. and The inclusion of the last two committees manifest the commitment of Congress to (2) Disclosure shall be made when a member enhance the quality of life of the people takes a position or makes a privilege speech on a and to upgrade their economic well-being. That he is a member. or disclose any business. In the absence of a PIMENTEL: specific constitutional or statutory provision • The LGC does not require the completion of applicable to this situation. further. financial. It simply requires that the considerations that may tend to affect his matter of adopting or updating the internal judgment to the prejudice of the service or the rules of procedure be taken up during the public. make a full disclosure of his • “Fourth Civil Degree of Relationship” business and financial interests. SEC. reprimanded. or expulsion shall require the concurrence of at entity affected by any ordinance or resolution least two-thirds (2/3) vote of all the under consideration by the sanggunian of which sanggunian members: Provided. financial connection. and Business Interests of Sanggunian Members. matter that may affect the business interest. GISELLA DIZON-REYES which they may be censured. That the penalty of suspension or which he may have with any person. committees mandatory: o Appropriations (1) Disclosure shall be made before the member o Women and Family participates in the deliberations on the ordinance or resolution under consideration: Provided. first day of session. in the entity or firm to which the ordinance or and resolution may apply. He shall also extends up to one’s (a) great. upon PIMENTEL: assumption to office. That. pecuniary.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Provided. Full Disclosure of Financial described herein. firm. 113 . or investment. the committee of which he is a member. or expelled: consanguinity within the fourth civil degree. Such relationship shall a member convicted by final judgment to include: imprisonment of at least one (1) year for any crime involving moral turpitude shall be (1) Ownership of stock or capital. entity which the ordinance or resolution under consideration may affect. Zamora) (b) The disclosure required under this Act shall • There is nothing in the law that prohibits be made in writing and submitted to the the 3 readings of a proposed ordinance be secretary of the sanggunian or the secretary of held in just one session day. "conflict of interest" the updating or adoption of the internal refers in general to one where it may be rules before the sanggunian could act on reasonably deduced that a member of a any other matter like the enactment of an sanggunian may not act in the public interest due to some private. (Malonzo vs. the LGC makes the the following manner: ff. the disclosure shall be made o Cooperatives before voting on the ordinance or resolution on second and third readings. suspended for not relationship or any relation by affinity or more than sixty (60) days. or other personal ordinance. or professional relationship LGC. which relationship may result in conflict of interest. in all cases. or professional excluded from the session. automatically expelled from the sanggunian. o Youth and Sports Development if the member did not participate during the o Environmental Protection deliberations. – (a) Every sanggunian member shall. great.

PIMENTEL: • Disclosure of the sanggunian member’s • “Public interest” is a phrase so broad own business or financial interests is an that special sessions can theoretically be absolute requirement WON the sanggunian called at any reasonable time. attendance of any member absent without in the public interest or for reasons of security. enforcement of the immediately preceding Unless otherwise concurred in by two-thirds subsection. 52(d) is LGC. the sanggunian shall. – served at a different place where the sanggunian member is found. be raised during a session. and twice a month for the official business. there being a quorum. and qualified shall constitute a quorum to transact sangguniang bayan. the presiding officer shall immediately proceed to call the (b) When public interest so demands. 52. quorum. (c) first cousins. no business shall be transacted. GISELLA DIZON-REYES grandparents in the ascending direct line. great. Should a question of quorum sangguniang barangay. (e) Each sanggunian shall keep a journal and (b) great. no other approved by the members present. or members of the police force assigned in the territorial jurisdiction of the local government (d) In the case of special sessions of the unit concerned. (b) Where there is no quorum. No two (2) sessions. member does anything at all during his entire term. The minimum number of regular sessions shall be (a) A majority of all the members of the once a week for the sangguniang sanggunian who have been elected and panlalawigan. the presiding officer may declare a recess until such time as (c) All sanggunian sessions shall be open to a quorum is constituted. shall be served personally at the member's usual place of residence at least twenty. upon proper motion duly present. SEC. executive or by a majority of the members of the sanggunian. Sessions. – time. 53. following the election of its members. and published upon resolution of the sanggunian (d) great grand uncles and aunts in the concerned. (2/3) vote of the sanggunian members The presiding officer. PIMENTEL: • “Quorum” is the fixed number of members present at a session which is 114 . a written notice to the members and present him at the session. or a majority of the the public unless a closed-door session is members present may adjourn from day to ordered by an affirmative vote of a majority of day and may compel the immediate the members present. may be held in a single day.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. by resolution. and such (a) On the first day of the session immediately notice is received by such member. Quorum. shall then matters may be considered at a special declare the session adjourned for lack of session except those stated in the notice. grandchildren in the record of its proceedings which may be descending direct line. collateral line. the sanggunian. • The law is sufficiently complied with if the written notices required in Sec. there being a quorum. fix the day.four (c) If there is still no quorum despite the (24) hours before the special session is held. and place of its regular sessions. justifiable cause by designating a member of decency. SEC. or morality. sangguniang panlungsod. to be assisted by a member regular or special. to arrest the absent member sanggunian. special roll of the members and thereafter announce sessions may be called by the local chief the results. LGC.

he shall affix his signature on each and every page thereof. • However. The sanggunian concerned may override the veto of the local chief executive • The approval of a Sanggunian resolution by by two-thirds (2/3) vote of all its members. which may proceed to had signed it. Approval of Ordinances. functions and private concerns shall be acted upon by resolutions. or sangguniang bayan shall be executive. of the sentiment or (This session requires a quorum of opinion of a not less than 2/3 of all members of lawmaking body on a the sanggunian) specific matter o When there is a majority of all possesses a general temporary in nature members “elected and qualified” and permanent present. – • While the first 2 sentences of this section does not refer to resolutions as among the (a) Every ordinance enacted by the acts of the sanggunian that must be sangguniang panlalawigan. otherwise. character (ex. resolutions. SEC. a quorum is determined by barangay shall.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. When some of its members are a third reading is not for a resolution. same. and ten (10) days in the case of ordinance in the first instance or to veto it a city or a municipality. he shall veto it Hence. there may be a quorum. as the case may be. the 3rd sentence thereof refer to presented to the provincial governor or city or resolutions as among those that may be municipal mayor. reconsider the same. The thereby making the ordinance or resolution grant of the veto power confers authority effective for all legal intents and purposes. beyond the simple mechanical act of signing an ordinance or resolution. may override the 115 . otherwise. be signed by the punong and adding one to the quotient. however. The Sanggunian concerned. upon approval by the majority dividing the number of members into two of all its members. Such power local chief executive concerned to the accords the local chief executive the sanggunian within fifteen (15) days in the case discretion to sustain a resolution or of a province. in practice are and return the same with his objections to the submitted to the local chief executive for sanggunian. the same. (c) Ordinances enacted by the sangguniang • Normally. as a (b) The veto shall be communicated by the requisite to its enforceability. matters relating to the proprietary initio. GISELLA DIZON-REYES considered legally sufficient to transact the business of the sanggunian. sangguniang approved and signed by the local chief panlungsod. there are instances when a PIMENTEL: special quorum is required: ordinance resolution o A session intending to override a a law merely a declaration veto of the local chief executive. 54. LGC. barangay. which may proceed to reconsider his signature. the and return it with his objections to the ordinance shall be deemed approved as if he Sanggunian. a mayor is NOT a ministerial duty. facing electoral protests and necessary for an unless decided therefore not yet “elected and ordinance otherwise by a qualified”) majority of all the Sanggunian members • Any business or transaction conducted during a session with no quorum is void ab • Also. If the vetoed and such veto be overridden by the local chief executive concerned approves the sanggunian concerned.

(De Los Reyes vs. the the veto in the manner herein provided. after meticulous analysis and intelligence as well. (c) The local chief executive may veto an within a period of ten (10) days from receipt of ordinance or resolution only once. • “ultra vires” means that the ordinance or 3rd Division) parts thereof are beyond the power of the sanggunian to enact. the item or items in the appropriations documents or transmit them to the provincial ordinance of the previous year corresponding to attorney. This means that ordinances or (b) particular items of certain the enactment of an ordinance and its ordinances and resolutions: provisions are supposed to be known by o An appropriations ordinance. LGC. (Gallego vs. or sangguniang bayan LGC. Review of Component City on the ground that it is ultra vires or prejudicial and Municipal Ordinances or Resolutions by to the public welfare. the trial courts of the area where the o An ordinance or resolution adopting municipality concerned may be located a local development plan and public and therefore. The provincial attorney or provincial prosecutor shall. SEC. In such a case. The vetoed item or items shall (b) Within thirty (30) days after receipt of copies not take effect unless the sanggunian overrides of such ordinances and resolutions. – in writing. inform the sangguniang sanggunian may override the veto of the local panlalawigan in writing of his comments or chief executive concerned by two-thirds (2/3) recommendations. that the concurrence of a local chief executive in PIMENTEL: the enactment of an ordinance or • The Punong Barangay has no veto power resolution requires. 56. Veto Power of the Local Chief • Once overridden. if any. SEC. sangguniang panlungsod. therefore. resolution effective for all legal intents and purposes. shall have the power to veto any sangguniang bayan shall forward to the particular item or items of an appropriations sangguniang panlalawigan for review. stating his reasons therefor the Sangguniang Panlalawigan. to the provincial those vetoed.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. ordinance of the sangguniang panlalawigan. veto shall not affect the item or items which are not objected to. but the application of judgment Sangguniang Barangay. it need not be proven at the investment program. or if there be none. It is clear. the (b) The local chief executive. the veto may not be Executive. – reimposed on the same ordinance or (a) The local chief executive may veto any subject matter. the local development councils. prosecutor for prompt examination. or proceedings in such courts. which may be considered by vote of all its members. copies of ordinance. an ordinance or resolution adopting a approved ordinances and the resolutions local development plan and public investment approving the local development plans and program. o An ordinance directing the payment People of the Philippines) of money or creating liability. Sandiganbayan. shall be deemed reenacted. sangguniang panlalawigan shall examine the otherwise. thereby making the 116 . not only a flourish of over the ordinances enacted by the the pen. or an ordinance directing the payment public investment programs formulated by the of money or creating liability. GISELLA DIZON-REYES veto by a two-thirds (2/3) vote of all its ordinance effective even without the approval of members thereby making the ordinance or the local chief executive concerned. The the documents. (a) Within three (3) days after approval. • Trial courts should take judicial notice of municipal ordinances within their • The veto may apply to: (a) entire respective jurisdictions. 55. except the punong secretary to the sanggunian panlungsod or barangay.

municipal. within thirty (30) days from receipt thereof. after approval thereof. panlalawigan shall enter its action in the minutes and shall advise the corresponding city or municipal authorities of the action it has taken. fails disseminated and posted in Filipino or English to take action on barangay ordinances within and in the language or dialect understood by thirty (30) days from receipt thereof. 58. as the case may be. and the secretary to the sanggunian shall record such fact in a (c) If the sangguniang panlungsod or book kept for the purpose. panlungsod or sangguniang bayan. (a) Unless otherwise stated in the ordinance or • The law grants the Sangguniang the resolution approving the local Panlalawigan the power to declare a development plan and public investment municipal resolution invalid on the sole program. shall be sufficient ground consistent with law and therefore valid. for the suspension or dismissal of the official or employee concerned. PIMENTEL: • It is the Sangguniang Panlalawigan. LGC. as the case may be. the same the majority of the people in the local shall be deemed approved. Effectivity of Ordinances or power to review the certain ordinances of Resolutions. 59. not the provincial governor. as the case may be. the same shall be presumed disapproval thereof. (b) If the sangguniang panlungsod or The text of the ordinance or resolution shall be sangguniang bayan. return the same (c) If the sangguniang panlalawigan finds that with its comments and recommendations to such an ordinance or resolution is beyond the the sangguniang barangay concerned for power conferred upon the sangguniang adjustment. posted in a bulletin board at the entrance of the provincial capitol or city. stating the dates of sangguniang bayan. Enforcement of Disapproved ordinances or Resolutions. which has the LGC. its component cities and municipalities. or barangay hall. SEC. government unit concerned. it which case. the effectivity of the barangay shall declare such ordinance or resolution invalid ordinance is suspended until such time as the in whole or in part. concerned shall cause the posting of an the sangguniang barangay shall furnish copies ordinance or resolution in the bulletin board at of all barangay ordinances to the sangguniang the entrance of the provincial capitol and the panlungsod or sangguniang bayan concerned city. - (d) If no action has been taken by the Any attempt to enforce any ordinance or any sangguniang panlalawigan within thirty (30) days resolution approving the local development after submission of such an ordinance or plan and public investment program. municipal. the barangay ordinances inconsistent with law 117 . 57. in panlungsod or sangguniang bayan concerned. or barangay hall in at least two for review as to whether the ordinance is (2) conspicuous places in the local government consistent with law and city or municipal unit concerned not later than five (5) days ordinances. or modification. SEC. finds approval and posting. Review of Barangay least two (2) other conspicuous places in the Ordinances by the sangguniang local government unit concerned. and in at LGC. SEC. the same shall take effect after ten ground that it is beyond the power of the (10) days from the date a copy thereof is Sangguniang Bayan or the Mayor to issue. sanggunian concerned shall.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES the sangguniang panlalawigan in making its or city or municipal ordinances. after the resolution. – (b) The secretary to the sanggunian (a) Within ten (10) days after its enactment. the decision. amendment. The sangguniang revision called for is effected.

complying with the categorical requirement of a three-fourths vote incorporated in the very • RATIO: So that. 378. In the session passing this resolution. 49. 49. o one (1) from the women. is invalid LGC provides that there shall be three (3) for failing to obtain the ¾ votes required by sectoral representatives in the sanggunian: the zoning ordinance to be amended. o one (1) from the agricultural or HELD: NONE. the area was ordinance or resolution shall be published in reclassified as within the recreational zone. (1991) In the absence of any newspaper of general circulation within the province. Section 9. (a) takes effect on the 11th day from presiding officer. Although the charter of the City industrial workers. Court of Appeals the local legislative body concerned belongs. newspaper of general circulation within the city: Provided. on the PIMENTEL: ground that Resolution No. any newspaper of general circulation. That in the absence thereof the In 1985 Resolution No. Resolution No. the sanggunian of origin is situated. The classification led to the duly enacted or adopted shall. which was 1987 CONSTI. posting of such FACTS: Casiño was a licensee of a cockpit ordinances shall be made in all municipalities under Sections 2285 to 2286 of the Revised and cities of the province where the Administrative Code. Sometime in 1984. 9 SP members PIMENTEL: participated: 4 voting for the amendment. succeeding city mayor issued to Casiño the permit to operate a cockpit in 1986. ordinance. be published once in a local the cockpit. sanctions shall be published in a newspaper of general circulation within the province where Casiño vs. The community can participate in the system of pertinent provisions in the aforesaid city 118 . including main features of the ordinance or resolution the cockpit. The vice-mayor. Legislative renewed by another permit issued in 1987. require only a majority for the enactment of an including the urban poor. 378. in addition to cancellation of petitioner's license to operate being posted. bodies of local governments shall have sectoral representation as may be prescribed An action for prohibition and mandamus with by law.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. and of Gingoog and the Local Government Code o one (1) from the other sectors. all sectors of the same ordinance sought to be amended. as shall be determined by the sanggunian concerned within ninety WON there was a valid amendment of the (90) days prior to the holding of zoning ordinance by Resolution No. purportedly • Section 446 (b) and Section 457 (b) of the amending zoning Ordinance No. • Par. against petitioner. Sangguniang Panlungsod (SP) of Gingoog City issued Resolution No. the areas of the city as residential zones. as Par. while 1 abstained. 4 voted against • The ordinance or resolution mentioned in it. 378. (d) Only the main features are By virtue of said Resolution No. X. the required to be published. for the amendment. broke the deadlock by voting the date of posting. GISELLA DIZON-REYES governance and not just a few wealthy (c) The gist of all ordinances with penal hands. allegedly amending Resolution No. local elections. and. 49 classifying certain (d) In the case of highly urbanized cities. or amended by the resolution in question without disabled persons. 49 cannot be validly indigenous cultural communities. 378. preliminary injunction was filed by Gallera before the RTC. Art.

Aguirre except in the Barangay. To decision and declared petitioner as repeat. and the general means. four voted a full-time occupant to discharge them. the Vice-Governor the ground of his designation as the Acting cannot continue to simultaneously exercise Governor and asked him to vacate the Chair. he thereto is a specific and particular provision for shall automatically exercise the powers and said ordinance and explicitly provides for a perform the duties and functions of the different number of votes. session. In the presiding officer of the SP.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. The TC rendered a offices has already been abandoned. This enactment must be operative. In addition to the enactment of ordinances in general. Sections 49(a) and 466(a)(1) of RA obviously are of general application and 7160 provide that the Vice Governor shall be embrace a wider scope or subject matter. sessions. al questioned the authority of Gamboa to preside in the said session on Being the Acting Governor. since the nature Seven members of the SP voted to allow the of the duties of the provincial Governor call for petitioner to continue presiding. that for the purposes of exercising his statement must be taken to affect only such legislative prerogatives and powers. Governor." of the Vice-Governor whenever the latter acts as Governor by virtue of such temporary WON an incumbent Vice-Governor. he is cases within its language as are not within the deemed as a non-member of the SP for the provisions of the particular enactment. Being the Acting Governor. The Governor is no (1999) longer a member of the SP. the union of the executive-legislative powers in the provincial. however. the new Code delineated that it enacted. city and municipal levels Gamboa vs. Undeniably. Such is against it and one abstained. which thus calls for the operation of the remedy set in Article 49(b) of the Local 119 . the Vice Negros Occidental designated Vice-Governor Governor cannot continue to simultaneously Gamboa as Acting Governor for the duration of exercise the duties of the latter office since the the former’s trip abroad. the that. may on the part of the regular presiding officer continue to preside over the sessions of (Vice Governor) to preside during the SP the Sangguniang Panlalawigan. GISELLA DIZON-REYES charter and the Local Government Code HELD: NO. the creation of a temporary vacancy in "temporarily legally incapacitated to preside the office of the Governor creates a over the sessions of the SP during the period corresponding temporary vacancy in the office that he is the Acting Governor. the Governor of excluded. In case of a temporary vacancy. in case of “permanent vacancy” 6. time being. Unlike the old Code where the Governor is not only the provincial Chief Moreover. It is true that in this case. he becomes the Governor and assumes application of the aforementioned laws cannot the higher office for the unexpired term of his be disputed. the duties of the latter office. the particular Governor is actually a quasi-Governor. When the nature of the duties of the provincial Governor Sangguniang Panlalawigan held its regular call for a full-time occupant to discharge them. Section predecessor. enactment and also a general one which in its most comprehensive sense would include what A Vice-Governor who is concurrently an Acting is embraced in the former. Not being included in the enumeration. not only consistent with but also appears to be the clear rationale of the new Code wherein Respondents filed a petition for declaratory the policy of performing dual functions in both relief and prohibition. Aguirre et. the Vice Governor only “acts” and does not “become” Where there is in the same statute a particular the governor. the Governor is deemed FACTS: In August 1995. while vacancy. the Sanggunian is in a better Executive but also the presiding officer of the position to know how to best amend the law local executive body. This event constitutes an "inability" concurrently the Acting Governor.44 of said ordinance regarding amendments therein..

process. Local Initiative and Referendum or an ordinance is submitted by a required number of voters for the national LGC. (It does not therefrom. initiative. members present and constituting a quorum shall elect from among themselves a • RA 6735 also provides for a system of temporary presiding officer. It is also a good device to check sanggunian The COMELEC denied the petition for local indifference or apathy towards measures initiative on the ground that the subject was which the people may wish enacted for the merely a resolution and not an ordinance. Local initiative is the legal process whereby The voters course their action through their the registered voters of a local government elected representatives. the said resolution. the latter resorted to their power of sanggunian is required before the initiative initiative under the LGC and started soliciting process is commenced by the voters. or repeal a law 1.” in popular. counter productive and futility. The continuity • All matters which are within the of the Acting Governor's (Vice Governor) competence of the sanggunian to legislate powers as presiding officer of the SP is on are proper subjects of the initiative suspended so long as he is in such capacity. The procedure to be followed for the enactment of the indirect initiative PIMENTEL: measure is the same as the enactment of • Section 32 of Article VI of the CONSTI any legislative measure before the HOR provides that “Congress shall.wrote the COMELEC requesting a denial of the petition for local • A direct initiative is a good means of initiative as the exercise “will just promote arousing civic consciousness and training divisiveness. 120 . "(i)n the event of the inability of the regular presiding officer to • NOTE: These provisions on initiative and preside at the sanggunian session. direct and democratic action. the referendum do not apply to the ARMM. COMELEC (1994) • This section fleshes out the constitutional mandate which is in Section 3 of Art. amend. advancement of their welfare. whereby the people can directly mean that the proponents of the measure propose and enact laws or approve or are allowed to participate in the debates) reject any act or law or part thereof passed by the Congress or local legislative body…” Garcia vs.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Hence. unit may directly propose. . and referendum” When the municipality did not take action on • A direct initiative is envisioned in this the petition of Garcia and others to annul the section. Garcia. X FACTS: The Sangguniang Bayan (SB) of which provides that “the LGC shall provide Morong. 120. the process by which a proposal to enact. Bataan in its Resolution 10 agreed to for a more responsive and accountable the inclusion of the municipality as part of the local government structure instituted Subic Special Economic Zone. Under Section 49(b). Local Initiative Defined. or amend any ordinance. provide for a system of initiative precedence over the pending legislative and referendum. et al through a system of decentralization with filed a petition before the SB. as early as except that the said initiative bill shall have possible. SEC. enact. The Vice Mayor and Presiding Officer of the SB." indirect initiative. the signatures. no positive act of the resolution. seeking to annul effective mechanisms of recall. GISELLA DIZON-REYES Government Code — concerning the election of a temporary presiding officer. and the exceptions measures on the committee. legislature or the local council to act upon.

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
WON Resolution 10 is the proper subject provinces, cities, municipalities, and
of an initiative. barangays.

HELD: YES. The Constitution clearly includes
not only ordinances but resolutions as
appropriate subjects of a local initiative. An
act includes a resolution (Black’s Law
Dictionary). In enacting RA 6735, Congress
implemented the constitutional command to SEC. 122. Procedure in Local Initiative. –
include acts (resolutions) as appropriate
subjects of initiative. (Sec. 32, Art. VI of the (a) Not less than one thousand (1,000)
1987 CONSTI) registered voters in case of provinces and
cities, one hundred (100) in case of
The 1991 LGC did not change the scope of municipalities, and fifty (50) in case of
coverage of local initiative as limiting the barangays, may file a petition with the
coverage to ordinances alone. Sec. 120 sanggunian concerned proposing the adoption,
merely defines the concept of local initiative enactment, repeal, or amendment of an
as the legal process whereby registered voters ordinance.
of a LGU may directly propose, enact or
amend any ordinance. It does not deal with (b) If no favorable action thereon is taken by
subjects or matters that can be taken up in a the sanggunian concerned within thirty (30)
local initiative. days from its presentation, the proponents,
through their duly authorized and registered
Sec. 124 (which deals with local initiative representatives, may invoke their power of
subjects or matters) clearly does not limit its initiative, giving notice thereof to the
application to ordinances, but to all “subjects sanggunian concerned.
or matters which are within the legal powers of
the Sanggunians to enact” which undoubtedly (c) The proposition shall be numbered serially
includes resolutions. starting from Roman numeral I. The COMELEC
or its designated representative shall extend
Sec. 125 providing for limitations upon assistance in the formulation of the
Sanggunians supports the interpretation, proposition.
where inclusion of the word proposition is
inconsistent with respondents’ thesis that only (d) Two (2) or more propositions may be
ordinances can be the subject of local submitted in an initiative.
initiatives.
(e) Proponents shall have ninety (90) days in
Moreover, the subject matter of the resolution case of provinces and cities, sixty (60) days in
in CAB does not merely temporarily affect the case of municipalities, and thirty (30) days in
people of Morong for it directs a permanent case of barangays, from notice mentioned in
rule of conduct or government. Its inclusion as subsection (b) hereof to collect the required
part of SSEZ has far reaching implications in number of signatures.
the governance of its people. It is not material
that the decision of the municipality came in (f) The petition shall be signed before the
the form of a resolution for what matters is its election registrar, or his designated
enduring effect on the welfare of the people of representatives, in the presence of a
Morong. representative of the proponent, and a
representative of the sanggunian concerned in
LGC, SEC. 121. Who May Exercise. - The a public place in the local government unit, as
power of local initiative and referendum may the case may be. Stations for collecting
be exercised by all registered voters of the

121

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
signatures may be established in as many
places as may be warranted. LGC, SEC. 123. Effectivity of Local
Propositions. - If the proposition is approved
(g) Upon the lapse of the period herein by a majority of the votes cast, it shall take
provided, the COMELEC, through its office in effect fifteen (15) days after certification by
the local government unit concerned, shall the COMELEC as if affirmative action thereon
certify as to whether or not the required had been made by the sanggunian and local
number of signatures has been obtained. chief executive concerned. If it fails to obtain
Failure to obtain the required number defeats said number of votes, the proposition is
the proposition. considered defeated.

(h) If the required number of signatures is SEC. 124. Limitations on Local Initiatives.
obtained, the COMELEC shall then set a date –
for the initiative during which the proposition
shall be submitted to the registered voters in (a) The power of local initiative shall not be
the local government unit concerned for their exercised more than once a year.
approval within sixty (60) days from the date
of certification by the COMELEC, as provided in (b) Initiative shall extend only to subjects or
subsection (g) hereof, in case of provinces and matters which are within the legal powers of
cities, forty-five (45) days in case of the sanggunians to enact.
municipalities, and thirty (30) days in case of
barangays. The initiative shall then be held on (c) If at any time before the initiative is held,
the date set, after which the results thereof the sanggunian concerned adopts in toto the
shall be certified and proclaimed by the proposition presented and the local chief
COMELEC. executive approves the same, the initiative
PIMENTEL: shall be canceled. However, those against
• The original expenses to formulate the such action may, if they so desire, apply for
proposal and gather the required number initiative in the manner herein provided.
of votes are necessarily charged to the
proponents while the official costs are
borne by the government.

• The petition shall state the following:
− contents or text of the proposed law
sought to be enacted, approved or
rejected, amended or repealed, as
the case may be; SEC. 125. Limitations upon Sanggunians.
− the proposition; - Any proposition or ordinance approved
− reason or reasons therefor; through the system of initiative and
− that it is not one of the exceptions referendum as herein provided shall not be
provided under Sec. 124 of the LGC repealed, modified or amended by the
or Art. 149 of its IRR; sanggunian concerned within six (6) months
from the date of the approval thereof, and
− signatures of the petitioners or
may be amended, modified or repealed by the
registered voters;
sanggunian within three (3) years thereafter
− a formal designation of the duly
by a vote of three-fourths (3/4) of all its
authorized representatives of the
members: Provided, That in case of barangays,
petitioners; and
the period shall be eighteen (18) months after
− an abstract or summary in not more
the approval thereof.
than 100 words which shall be
legibly written or printed at the top PIMENTEL:
of every page of the petition.
122

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES
Comelec labeled the exercise as a
Period Status Vote Required "Referendum"; the counting of votes was
(To repeal, amend entrusted to a "Referendum Committee"; the
or modify) documents were called "referendum returns";
From Day 1 up to 6 Absolute protection; the canvassers, "Referendum Board of
mos. of adoption no changes allowed Canvassers" and the ballots themselves bore
From the end of 6 Qualified protection; the description "referendum". To repeat, not
mos. plus 3 years ¾ vote of all once was the word "initiative" used in said
(municipalities, cities, sanggunian members body of Resolution No. 2848. And yet, this
provinces) or plus 1 exercise is unquestionably an INITIATIVE.
year (barangays)
After 3 years (or 1 No more protection; In enacting the "Initiative and Referendum Act,
year) and 6 mos. from simple majority Congress differentiated one term from the
the adoption of the other, thus:
initiative.
(a) "Initiative" is the power of the people to
• RATIO: To ensure that due respect is propose amendments to the Constitution or to
accorded to the will of the electorate of a propose and enact legislations through an
locality so that it is not easily substituted election called for the purpose.
by the will of only a few members of the
Sanggunian. There are three (3) systems of initiative,
namely:
• REMEMBER: The initiative proposal passed
by the direct vote of the people is not 1. Initiative on the Constitution which
subject to the veto of the local chief refers to a petition proposing
executive. amendments to the Constitution;

SBMA vs. COMELEC 2. Initiative on statutes which refers to
(1996) a petition proposing to enact a
national legislation; and
FACTS: This is the continuation of the Garcia
vs. COMELEC case. During the pendency of the 3. Initiative on local legislation which
said case in the SC, the COMELEC issued refers to a petition proposing to
Resolution No. 2848 providing for "the rules enact a regional, provincial, city,
and guidelines to govern the conduct of the municipal, or barangay law,
referendum proposing to annul or repeal resolution or ordinance.
Resolution No. 10.
(b) "Indirect initiative" is exercise of initiative
SBMA instituted the present petition for by the people through a proposition sent to
certiorari and prohibition contesting the Congress or the local legislative body for
validity of Resolution No. 2848 and alleging, action.
inter alia, that public respondent "is intent on
proceeding with a local initiative that proposes (c) "Referendum" is the power of the
an amendment of a national law. . .” electorate to approve or reject a legislation
through an election called for the purpose. It
WON the COMELEC erred in scheduling a may be of two classes, namely:
“referendum” which seeks the
amendment of a national law. 1. Referendum on statutes which
refers to a petition to approve or
HELD: YES. The process started by Garcia et. reject an act or law, or part thereof,
al was an initiative but COMELEC made passed by Congress; and
preparations for a referendum only. The
123

127.process and voting . the differences between an initiative and referendum are as follows: Initiative Referendum . the law-making body submits to although the COMELEC may set aside the registered voters of its territorial funds for this purpose. Referendum on local law which • This system originated in Switzerland.” because they want to amend or modify one already existing. GISELLA DIZON-REYES 2. resolution or ordinance enacted by body fails or refuses to enact the law. LGC. 126. for approval or rejection. referendum on a local law that initiative is resorted to (or initiated) by the refers to “a petition to approve or reject a people directly either because the law-making law. it process whereby the registered voters of the concerned. regional assemblies and local legislative ordinance.drawn up or enacted preclude the proper courts from declaring null making by the people by a legislative body.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. . amend recognizes the or reject any ordinance enacted by the right of any sanggunian. On the other hand. forty-five (45) days in organization. and void any proposition approved pursuant to themselves without this Chapter for violation of the Constitution or the participation and want of capacity of the sanggunian concerned against the wishes of to enact the said measure. resolution or act that they desire or bodies. Authority of Courts. acceptance or rejection. begun and LGC. . refers to a petition to approve or Bouvier’s Law Dictionary adds that a reject a law.entirely the work of . In sum. resolution or ordinance referendum is “the referring of legislative enacted by regional assemblies and acts to the electorate for their final local legislative bodies. The local referendum shall be duly held under the control and direction of the accredited COMELEC within sixty (60) days in case of people’s provinces and cities.Local referendum is the legal LGU’s however. also local government units may approve. we gather • In RA 6735. . in a local • The expenses are borne by the LGU referendum. SEC. any ordinance or resolution which is duly enacted • GD-R: The petitioners asking for a or approved by such law-making authority.voters simply write Compare LGC with RA 6735 (wrt more complex either “yes” or “no” in Initiative) the ballot LGC RA 6735 Who may all registered Same. The COMELEC shall certify petition for and proclaim the results of the said indirect referendum.process of law. . SEC. initiative with the PIMENTEL: appropriate 124 . referendum are usually oppositors of the ordinance. case of municipalities and thirty (30) days in to file a case of barangays. jurisdiction. their elected reps. Defined. Local Referendum exercise voters of the However. - the electorate consented to by the Nothing in this Chapter shall prevent or law-making body.” Prescinding from these definitions.

are not propositions it shall take effect fifteen (15) prohibited. initiative is held. those against power presentation such action may. present. with three members absent.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Acts of Sanggunian Gather sanggunian: a. or more of the sanggunians to Two or more propositions enact. set a date for bodies the initiative from the date Number of • Not less than 1. ordinance.000 of the certification Voters registered voters (provinces abovementioned: 60 days required and cities) (provinces and cities) 45 • Not less than 100 days (municipalities) and 30 (municipalities) days (barangays) • Not less than 50 • Submit the initiative to the (barangays) people for approval Subject Ordinance (in Ordinance and • Proclaim and certify the matter of the letter of resolutions (in results initiative the law) but the letter of Effectivity of If the proposition is approved resolutions the law) local by a majority of the votes cast. including the president. voted in the required number of favor of Ordinance No. exercise Period to From the date of notice to the 2. Albay. Formalities cities) i. serially serially initiatives. Ordinance and Resolution signatures • 90 days (provinces and b. of petition shall be shall be Limitations • shall not be exercised more numbered numbered on local than once a year. 25. • If the required number of 125 . Vote • 60 days (municipalities) • 30 days (barangays) Ortiz vs. propositions are allowed in • if at any time before the are allowed in one petition. sanggunian concerned Assisting COMELEC DILG adopts in toto the agency Secretary proposition presented and Condition If no favorable action on the the local chief executive precedent petition is taken by the approves the same. apply for initiative in sanggunian YES the manner herein before provided. and six members voted against the obtained. regarding • Establish stations for the FACTS: Seven of the thirteen members local collection of signatures. exercise of thirty (30) days from its However. of the initiative • Certify as to whether or not municipal council of Tabaco. • shall extend only to starting from starting from subjects or matters which Roman one (1). if they so Notice to the desire. the before sanggunian concerned within initiative shall be canceled. Posadas COMELEC • In a public place. concerning signatures has been cockpits. GISELLA DIZON-REYES legislative votes is met. days after certification by the Numbering The petition The petition COMELEC. the one petition. Two are within the legal powers numeral I. witness (1931) duties the signing of the petition.

Essential Requisites of plaintiff's property rights. Other measures prevail upon the similar establishments." The contention that Presidential Decree (P.D. The ayes and noes are taken prohibited establishments. interests sought to be protected. the City of 126 . is devoid of merit. MTDC HELD: NO. (b) the City Council a Valid Ordinance has no power to find as a fact that a particular thing is a nuisance per se nor does it have the City of Manila vs. (1) The City Council has no power to prohibit upon the request of any member. Section 2224 of the Administrative prayed that the Ordinance. It built and opened motels and inns. It needs only application. inns. "Creating indebtedness" refers to "proposition" (2) The Ordinance is void as it is violative of and not to "ordinance. 499 which only ordinances creating indebtedness require specifically declared portions of the Ermita- the approval of a majority of all the members Malate area as a commercial zone with certain of the municipal council. the power to regulate the establishment. majority vote of the members present. motels. be declared invalid upon (1) the passage of all ordinances. insofar as it Code is clear. a Writ of Preliminary Injunction and/or Temporary Restraining Order with the lower WON the ordinance is valid court impleading as defendants. The basic idea of the legislative body to make impossible the approval of ordinances or of (3) The Ordinance does not constitute a proper propositions creating indebtedness by minority exercise of police power as the compulsory votes of municipal councils. but not pension houses. and for prohibiting said Department of Tourism as a hotel.) No. operation affirmative vote of a majority of all the and maintenance of hotels. Hon. (4) The Ordinance constitutes an ex post facto requiring in mandatory language the law by punishing the operation of Victoria affirmative vote of a majority of all the Court which was a legitimate business prior to members of the municipal council for the its enactment. Legislative intention reasonable relation to the legitimate municipal should be effectuated. and (3) any other proposition. Laguio power to extrajudicially destroy it. and (2005) (6) The Ordinance constitutes a denial of equal FACTS: MTDC is a corporation engaged in the protection under the law as no reasonable business of operating hotels. hostels basis exists for prohibiting the operation of and lodging houses. members of the municipal council shall be pension houses. lodging houses or other similar a motel although duly accredited with the establishments. restrictions. lodging houses and other necessary. an ordinance (5) The Ordinance violates MTDC's passed by less than that majority is invalid.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. Victoria Court in Malate which was licensed as hotels. motels. The same the operation of motels as Section 458 (a) 4 idea is carried into the succeeding sentence. constitutional rights in that: (a) it is confiscatory and constitutes an invasion of ii. not includes motels and inns as among its interpretation. at meetings closure of the motel business has no hastily called is wise. (2) all and unconstitutional on the following gorunds: propositions to create any liability against the municipality. passage of any ordinance. MTDC filed business in the Ermita-Malate area but not a Petition for Declaratory Relief with Prayer for outside of this area. Section 2224 of the Administrative Code. and the members of the City Council of Manila (City Council). GISELLA DIZON-REYES WON Ordinance is valid Manila. whether or not an ordinance creating indebtedness. (iv) of the Local Government Code of 1991 (the For the passage of (1) any ordinance or (2) any Code) grants to the City Council only the proposition creating indebtedness. Mayor Lim.

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. The to suppress and prohibit altogether the delegate cannot be superior to the principal or establishment. — In any action involving the fails to address the core issues of morality. restaurants. Try validity of a local ordinance. (5) must be government units to regulate. (2) must not be unfair or oppressive. it must not licenses or permits. 4. Sec. A long line of decisions has held for any violation of the conditions of their that for an ordinance to be valid. (4a) establishments. If the City Court is called upon to shelter these rights of Manila so desires to put an end to from attempts at rendering them worthless. it can instead impose reasonable regulations The tests of a valid ordinance are well such as daily inspections of the establishments established. If such a thing. Perez vs." councilors in the matter of selecting the "innocent" establishments. fornication and other social ills. The City Council instead should Solicitor General shall be notified and entitled regulate human conduct that occurs inside the to be heard. Clearly. The prohibitions and sanctions patronizing those motels and property in terms therein transgress the cardinal rights of of the investments made and the salaries to persons enshrined by the Constitution. Rule 64. There are no "pure" places where there are iii. (1969) While petitioners' earnestness at curbing clearly objectionable social ills is FACTS: Vice Mayor Perez (Naga City). the only power of the that local government units are able to City Council to legislate relative thereto is to legislate only by virtue of their derivative regulate them to promote the general welfare. GISELLA DIZON-REYES HELD: NO. the hearts of men. In the instant case. motels. and it may even impose passed according to the procedure prescribed increased license fees. (4) must not as the latter merely empowers local prohibit but may regulate trade. Judicial Intervention impure men. operation and maintenance of exercise powers higher than those of the latter such establishments. who commendable. (3) must not The Ordinance is in contravention of the Code be partial or discriminatory. In other words. it must also conform to the following are other means to reasonably accomplish the substantive requirements: (1) must not desired end. inns. and the establishments enumerated in Section 1 (6) must not be unreasonable. The requirement that the enactment must not pension houses. a building or establishment. secretary of the municipal board and the 127 . contravene the Constitution or any statute. it may exercise its only be within the corporate powers of the authority to suspend or revoke their licenses local government unit to enact and must be for these violations. it is in the ordinance is alleged to be unconstitutional. hotels. The be paid to those therein employed. the corresponding as the Ordinance may to shape morality. but not to the detriment of liberty and privacy which are covenants. The Ordinance is so replete with there is a clear invasion of personal or constitutional infirmities that almost every property rights. legislative power. personal in the case of those sentence thereof violates a constitutional individuals desirous of owning. operating and provision. there by law. prostitution. ROC. it prosecutor or attorney of the local should not foster the illusion that it can make a governmental unit involved shall be similarly moral man out of it because immorality is not notified and entitled to be heard. they unwittingly punish even was presiding a private conference with 7 city the proprietors and operators of "wholesome. lodging houses. Local government The Ordinance seeks to legislate morality but ordinances. Dela Cruz premiums and blessings of democracy. with respect to cafes. thereof. a delegation of legislative The Code still withholds from cities the power power from the national legislature. and not prohibit. and other violate existing law gives stress to the precept similar establishments. general and consistent with public policy. beerhouses.

In the absence of any statutory authority constituting In reply to petitioner’s assertion that the acts the vice-mayor as a member of the municipal sought to be restrained are mere “probable board. The case is irrelevant to the issue in CAB in addition to the actuality that Meanwhile. courts are given authority to determine the validity of WON the vice mayor. The mere fact that the vice-mayor was made Petitioner’s threat of voting twice was not an the “presiding officer” of the board did not empty or meaningless gesture for record ipso jure make him a member thereof. the presiding officer of a municipal board. is petitioner. vote on these matters – to create a tie vote and thereafter to exercise her power as The Vice-Mayor is allowed to vote only in case presiding officer to break the deadlock after it of a tie. be a member of the same board. He is not allowed to vote twice (to was made known that 4 Nacionalista Party create a tie and break the deadlock). acted without jurisdiction and power to do so.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. for one of them. Differences in law prohibition is essentially a preventive remedy beget differences in legal effects. he cannot vote except in balances which is not applicable to local case of a tie. governments. Inc. Doctrine in Vera vs. The Vice Mayor of Naga City as may be validly prevented and restrained by a presiding officer of the Municipal Board cannot writ of prohibition. the Liberal Party councilors passed executives at the local or municipal level are an amendment to the Rules of Procedure of vested with both legislative and sometimes the Naga municipal board granting the judicial functions. GISELLA DIZON-REYES chairman of various standing committees of not even designated as “Acting Mayor” in case the board. By explicit statutory command. and HELD: NO. He was FACTS: Homeowner’s Association brought action for declaratory relief to nullify Manila 128 . a tie is not possible. Municipal Board of Manila There is nothing in the Charter of Naga City (1968) which provides that the vice-mayor of said city is a member of the municipal board. suffice it to state that something that is not there. Avelino that prohibition The four Nacionalistas sought to prevent the refers only to proceedings of any tribunal. Vice Mayor by filing with CFI of Camarines Sur corporation. And in CAB. that as such. person as secretary of the board and to hold The Vice Mayor’s vote in case of a tie is no the chairmanship of the committee on markets longer necessary. Since councilors desire to vote for a particular there are 7 councilors. in insisting to exercise the right to also a member thereof. besides being a municipal proceedings. expressed her intention to join the of temporary incapacity of the Mayor. vote twice in the municipal board. and as presiding officer the right to vote again in case of a tie. on him” either the status of a regular member of its municipal board or the powers and Homeowner’s Association of the attributes of a municipal councilor. it cannot be read into the law prohibitory writ. member. in addition to being the presiding officer individual actuations” beyond the reach of a thereof. board or person not exercising contending that the vice mayor is not a legislative functions is based on the principle member of the board but only its presiding of separation of powers and checks and officer. Philippines. in addition to their purely chairman thereof the right to vote as a executive duties. vs. and shows that she voted twice for the approval of even if he “is an integral part of the Municipal the alleged amendment to the rules of board” such fact does not necessarily confer procedure. and is not intended to provide for remedy for acts already accomplished.

Hence. emergency existed) as provided in Sec. a chance to participate in the deliberation to determine the validity of a When the demands of public interest are questioned municipal ordinance before the brought about by a state of emergency. but the ordinance also illegally limits the use of discretionary. ultra vires.A REVIEWER IN LOCAL GOVERNMENT LAW PROF. although petitioners herein had assailed prevailing scarcity of land and buildings for Municipal Ordinance No. the ordinance in question is patently illegal. that which was intended to meet a temporary emergency may become a permanent law. however. in view of that. arguing that the any treaty. Rule 64 of ROC. ordinance is illegal and unconstitutional (Note: The requirement regarding notification to the Court did not decide if the city has power to Provincial Fiscal of the pendency of an action declare a state of emergency and if such involving the validity of a municipal ordinance. so should the grant be. jurisdiction of the trial court nor the validity of the proceedings therein. should limit the period of its court. in connection with NO. GISELLA DIZON-REYES Municipal Ordinance 4841 declaring that a Appellant assails the validity of the state of emergency existed in the matter of proceedings in the lower court upon the round housing accommodations in Manila. the competent court. and assuming the existence of the emergency. Inasmuch as justifies the regulation of house rentals. We believe the purpose of the above- exercise of police power only to the extent quoted rule is simply to give the Provincial that may be fairly required by the legitimate Fiscal. as terminus with the existence of the state of in the present case. The statute passed to meet a already been passed upon by a competent given emergency. and failure on the part of The police power of municipal corporations is petitioner to notify the Provincial Fiscal will not subject to constitutional limitations. not merely as residential purposes there. 4841. the requirements of Sec. 4 of Rule 64 of effectivity. and buildings primarily devoted to residential purposes cannot increase their rentals beyond The determination of the question whether or certain conditions. that interference upon individual rights must be co. when the cause for the grant of power was temporary. Assuming that the City had such powers the present case. also. not the Solicitor General should be required to appear "in any action involving the validity of The CFI declared it void. 129 . power to declare a state of emergency rules or regulation" is a matter left to the exclusively pertains to Congress. ordinance or executive order. as unconstitutional. in violation of provides that lessors and sublessors of land Section 4 of Rule 64 of the Rules of Court. and the matter had emergency. Individual be a sufficient ground to throw the case out of rights may be adversely affected by the court. is not jurisdictional. If it appears. 4. the Revised Rules of Court may be dispensed with. And said requirement is not mandatory. Otherwise. the Solicitor General had been neither heard nor Sections 1 and 2 of the assailed ordinance notified in connection therewith. but. law. pursuant to Section there is no longer a state of emergency which 23 of Rule 3 of the Rules of Court. who is the legal officer of the local demands of public interest or public welfare. governments. for the effect cannot remain in existence upon the removal of its cause. with Section 4 of Rule 64 — the interpretation of which should be harmonized with said WON the ordinance is valid and may be Section 23 of Rule 3 — affected neither the made effective permanently. non-compliance therewith and private properties. Moreover. "discretion" of the Court.

A REVIEWER IN LOCAL GOVERNMENT LAW PROF. GISELLA DIZON-REYES 130 .