You are on page 1of 34

G.R. No. 176951. February 15, 2011.

* _______________
LEAGUE OF CITIES OF THE PHILIPPINES (LCP),
* EN BANC.
represented by LCP National President Jerry P. Treñas; CITY
OF CALBAYOG, represented by Mayor Mel Senen S. 150
Sarmiento; and JERRY P. TREÑAS, in his personal capacity as
150 SUPREME COURT
Taxpayer, petitioners, vs. COMMISSION ON ELECTIONS;
MUNICIPALITY OF BAYBAY, PROVINCE OF LEYTE; REPORTS
MUNICIPALITY OF BOGO, PROVINCE OF CEBU; ANNOTATED
MUNICIPALITY OF CATBALOGAN, PROVINCE OF League of Cities of the
WESTERN SAMAR; MUNICIPALITY OF TANDAG, Philippines (LCP) vs.
PROVINCE OF SURIGAO DEL SUR; MUNICIPALITY OF Commission on Elections
BORONGAN, PROVINCE OF EASTERN SAMAR; AND CALBAYOG, represented by Mayor Mel Senen S. Sarmiento;
MUNICIPALITY OF TAYABAS, PROVINCE OF QUEZON, and JERRY P. TREÑAS, in his personal capacity as Taxpayer,
respondents. petitioners, vs. COMMISSION ON ELECTIONS;
MUNICIPALITY OF CABADBARAN, PROVINCE OF
G.R. No. 177499. February 15, 2011.*
AGUSAN DEL NORTE; MUNICIPALITY OF CARCAR,
LEAGUE OF CITIES OF THE PHILIPPINES (LCP),
PROVINCE OF CEBU; MUNICIPALITY OF EL
represented by LCP National President Jerry P. Treñas; CITY
SALVADOR, PROVINCE OF MISAMIS ORIENTAL;
OF CALBAYOG, represented by Mayor Mel Senen S.
MUNICIPALITY OF NAGA, CEBU; AND DEPARTMENT
Sarmiento; and JERRY P. TREÑAS, in his personal capacity as
OF BUDGET AND MANAGEMENT, respondents.
Taxpayer, petitioners, vs. COMMISSION ON ELECTIONS;
MUNICIPALITY OF LAMITAN, PROVINCE OF BASILAN; Municipal Corporations; Local Government Code (LGC);
MUNICIPALITY OF TABUK, PROVINCE OF KALINGA; Local Government Units; Congress intended that those with pending
MUNICIPALITY OF BAYUGAN, PROVINCE OF AGUSAN cityhood bills during the 11th Congress would not be covered by the
DEL SUR; MUNICIPALITY OF BATAC, PROVINCE OF new and higher income requirement of P100 million imposed by
ILOCOS NORTE; MUNICIPALITY OF MATI, PROVINCE Republic Act No. 9009.—Based on the above exchange, Congress
intended that those with pending cityhood bills during the 11th
OF DAVAO ORIENTAL; AND MUNICIPALITY OF
Congress would not be covered by the new and higher income
GUIHULNGAN, PROVINCE OF NEGROS ORIENTAL, requirement of P100 million imposed by R.A. No. 9009. When the
respondents. LGC was amended by R.A. No. 9009, the amendment carried with it
G.R. No. 178056. February 15, 2011.* both the letter and the intent of the law, and such were incorporated
in the LGC by which the compliance of the Cityhood Laws was
LEAGUE OF CITIES OF THE PHILIPPINES (LCP),
gauged. Notwithstanding that both the 11th and 12th Congress failed
represented by LCP National President Jerry P. Treñas; CITY to act upon the pending cityhood bills, both the letter and intent of
OF Section 450 of the LGC, as amended by R.A. No. 9009, were carried

1|Page
on until the 13th Congress, when the Cityhood Laws were enacted. Cityhood Laws amended Republic Act No. 9009 through the
The exemption clauses found in the individual Cityhood Laws are exemption clauses found therein.—Without doubt, the LGC is a
the express articulation of that intent to exempt respondent creation of Congress through its law-making powers. Congress has
municipalities from the coverage of R.A. No. 9009. the power to alter or modify it as it did when it enacted R.A. No.
Same; Same; Same; Statutes; The enactment of the Cityhood 9009. Such power of amendment of laws was again exercised when
Laws is an exercise by Congress of its legislative power, which Congress enacted the Cityhood Laws. When Congress enacted the
power is the authority, under the Constitution, to make laws, and to LGC in 1991, it provided for quantifiable indicators of economic
alter and repeal them.—The enactment of the Cityhood Laws is an viability for the creation of local government units—income,
exercise by Congress of its legislative power. Legislative power is population, and land area. Congress deemed it fit to modify the
the authority, under the Constitution, to make laws, and to alter and income requirement with respect to the conversion of municipalities
repeal them. The Constitution, as the expression of the will of the into component cities when it enacted R.A. No. 9009, imposing an
people in their original, sovereign, and unlimited capacity, has vested amount of P100 million, computed only from locally-generated
this power in the Congress of the Philippines. The grant of legislative sources. However, Congress deemed it wiser to exempt respondent
power to Congress is broad, general, and comprehensive. The municipalities from such a belatedly imposed modified income
legislative body possesses plenary powers for all purposes of requirement in order to uphold its higher calling of putting flesh and
151 blood to the very intent and thrust of the LGC, which is countryside
development and autonomy, especially accounting for these
VOL. 643, 151 municipalities as engines for economic growth in their respective
FEBRUARY 15, provinces. Undeniably, R.A. No. 9009 amended the LGC. But it is
2011 also true that, in effect, the Cityhood Laws amended R.A. No. 9009
League of Cities of the through the exemption clauses found therein. Since the Cityhood
Laws explicitly exempted the concerned municipalities from the
Philippines (LCP) vs.
amendatory R.A. No. 9009, such Cityhood Laws are, therefore, also
Commission on Elections amendments to the LGC itself. For this reason, we reverse the
civil government. Any power, deemed to be legislative by November 18, 2008 Decision and the August 24, 2010 Resolution on
usage and tradition, is necessarily possessed by Congress, unless the their strained and stringent view that the Cityhood Laws, particularly
Constitution has lodged it elsewhere. In fine, except as limited by the their exemption clauses, are not found in the LGC. 152
Constitution, either expressly or impliedly, legislative power
embraces all subjects, and extends to matters of general concern or 152 SUPREME
common interest. COURT REPORTS
Same; Same; Same; Same; Without doubt, the Local ANNOTATED
Government Code (LGC) is a creation of Congress through its law-
making powers—Congress has the power to alter or modify it as it League of Cities of the
did when it enacted Republic Act No. 9009, and such power of Philippines (LCP) vs.
amendment of laws was again exercised when Congress enacted the Commission on Elections
Cityhood Laws; Undeniably, Republic Act No. 9009 amended the Same; Same; Same; It should be pointed out that the imposition
Local Government Code (LGC), but it is also true that, in effect, the of the P100 million average annual income requirement for the

2|Page
creation of component cities was arbitrarily made—there was no existence of substantial distinction with respect to respondent
evidence or empirical data, such as inflation rates, to support the municipalities covered by the Cityhood Laws is measured by the
choice of this amount; The imposition of a very high income purpose of the law, not by R.A. No. 9009, but by the very purpose of
requirement of P100 million, increased from P20 million, was the LGC, as provided in its Section
simply to make it extremely difficult for municipalities to become 153
component cities.—It should be recalled from the above quoted
portions of the interpellation by Senate President Drilon of Senator VOL. 643, 153
Pimentel that the purpose of the enactment of R.A. No 9009 was FEBRUARY 15,
merely to stop the “mad rush of municipalities wanting to be 2011
converted into cities” and the apprehension that before long the League of Cities of the
country will be a country of cities and without municipalities. It Philippines (LCP) vs.
should be pointed out that the imposition of the P100 million average
annual income requirement for the creation of component cities was Commission on Elections
arbitrarily made. To be sure, there was no evidence or empirical data, 2 (a), thus—SECTION 2. Declaration of Policy.—(a) It is
such as inflation rates, to support the choice of this amount. The hereby declared the policy of the State that the territorial and
imposition of a very high income requirement of P100 million, political subdivisions of the State shall enjoy genuine and
increased from P20 million, was simply to make it extremely meaningful local autonomy to enable them to attain their fullest
difficult for municipalities to become component cities. And to development as self-reliant communities and make them more
highlight such arbitrariness and the absurdity of the situation created effective partners in the attainment of national goals. Toward this
thereby, R.A. No. 9009 has, in effect, placed component cities at a end, the State shall provide for a more responsive and accountable
higher standing than highly urbanized cities under Section 452 of the local government structure instituted through a system of
LGC. decentralization whereby local government units shall be given more
Same; Same; Same; Equal Protection Clause; The existence of powers, authority, responsibilities and resources. The process of
substantial distinction with respect to respondent municipalities decentralization shall proceed from the National Government to the
covered by the Cityhood Laws is measured by the purpose of the law, local government units. Indeed, substantial distinction lies in the
not by Republic Act No. 9009, but by the very purpose of the Local capacity and viability of respondent municipalities to become
Government Code (LGC)—Congress, by enacting the Cityhood component cities of their respective provinces. Congress, by enacting
Laws, recognized the capacity and viability of respondent the Cityhood Laws, recognized this capacity and viability of
municipalities to become the State’s partners in accelerating respondent municipalities to become the State’s partners in
economic growth and development in the provincial regions, which accelerating economic growth and development in the provincial
is the very thrust of the LGC, manifested by the pendency of their regions, which is the very thrust of the LGC, manifested by the
cityhood bills during the 11th Congress and their relentless pursuit pendency of their cityhood bills during the 11th Congress and their
for cityhood up to the present.—The determination of the existence relentless pursuit for cityhood up to the present. Truly, the urgent
of substantial distinction with respect to respondent municipalities need to become a component city arose way back in the 11th
does not simply lie on the mere pendency of their cityhood bills Congress, and such condition continues to exist.
during the 11th Congress. This Court sees the bigger picture. The Same; Same; Same; Same; In the enactment of the Cityhood
Laws, Congress merely took the 16 municipalities covered thereby

3|Page
from the disadvantaged position brought about by the abrupt Court instructs: The right and power of judicial tribunals to declare
increase in the income requirement of Republic Act (R.A.) No. 9009, whether enactments of the legislature exceed the constitutional
acknowledging the “privilege” that they have already given to those limitations and are invalid has always been considered a grave
newly-converted component cities, which prior to the enactment of responsibility, as well as a solemn duty. The courts invariably give
R.A. No. 9009, were undeniably in the same footing or “class” as the most careful consideration to questions involving the
the respondent municipalities.—The justness in the act of Congress interpretation and application of the Constitution, and approach
in enacting the Cityhood Laws becomes obvious, especially constitutional questions with great deliberation, exercising their
considering that 33 municipalities were converted into component power in this respect with the greatest possible caution and even
cities almost immediately prior to the enactment of R.A. No. 9009. reluctance; and they should never declare a statute void, unless its
In the enactment of the Cityhood Laws, Congress merely took the 16 invalidity is, in their judgment, beyond reasonable doubt. To justify a
municipalities covered thereby from the disadvantaged position court in pronouncing a legislative act unconstitutional, or a provision
brought about by the abrupt increase in the income requirement of of a state constitution to be in contravention of the Constitution x x x,
R.A. No. 9009, acknowledging the “privilege” that they have already the case must be so clear to be free from doubt, and the conflict of
given to those newly-converted component cities, which prior to the the statute with the constitution must be irreconcilable, because it is
enactment of R.A. No. 9009, were undeniably in the same footing or but a decent respect to the wisdom, the integrity, and the patriotism
“class” as the respondent municipalities. Congress merely recognized of the legislative body by which any law is passed to presume in
the capacity favor of its validity until the contrary is shown beyond reasonable
154 doubt. Therefore, in no doubtful case will the judiciary pronounce a
legislative act to be contrary to the constitution. To doubt the
154 SUPREME constitutionality of a law is to resolve the doubt in favor of its
COURT REPORTS validity.
ANNOTATED ABAD, J., Concurring Opinion:
League of Cities of the Courts; Judgments; Court “Flip-Flopping”; The Court’s
shifting views are understandable because of the nearly even
Philippines (LCP) vs.
soundness of the opposing advocacies of the two groups of cities
Commission on Elections over the validity of the sixteen cityhood laws—a healthy sign of
and readiness of respondent municipalities to become democracy at work, the members of the Court being blind to the need
component cities of their respective provinces. to conform.—The Court has received flak on this case for supposed
Courts; Judgments; While it is true that litigation must end, “flip-flopping.” But its
even at the expense of errors in judgment, it is nobler rather for this 155
Court of last resort, as vanguard of truth, to toil in order to dispel
apprehensions and doubt.—We should not be restricted by technical VOL. 643, 155
rules of procedure at the expense of the transcendental interest of FEBRUARY 15,
justice and equity. While it is true that litigation must end, even at 2011
the expense of errors in judgment, it is nobler rather for this Court of
last resort, as vanguard of truth, to toil in order to dispel
League of Cities of the
apprehensions and doubt, as the following pronouncement of this Philippines (LCP) vs.

4|Page
Commission on Elections amount to deprivation of property since the IRA is not their property
shifting views are understandable because of the nearly even until it has been automatically released. Mere expectancy in the
soundness of the opposing advocacies of the two groups of cities receipt of IRA can not be regarded as the “property” envisioned in
over the validity of the sixteen cityhood laws. It also does not help the Bill of Rights.156
that the membership of the Court has been altered by retirements and
156 SUPREME
replacements at various stages from when it first decided to annul the
laws, to when it reconsidered and upheld their validity, and to when COURT REPORTS
it reverted to the original position and declared the laws involved ANNOTATED
unconstitutional. This to me is a healthy sign of democracy at work, League of Cities of the
the members being blind to the need to conform. Philippines (LCP) vs.
Municipal Corporations; Local Government Units; Equal
Commission on Elections
Protection Clause; Since the majority of the present cities in our
CARPIO, J., Dissenting Opinion:
midst do not meet the P100 million minimum income requirement of
Municipal Corporations; Local Government Units; The
the Local Government Code, it boggles the mind how these deficient
creation of local government units must follow the criteria
cities can complain of denial of equal protection of the law.—
established in the Local Government Code and not in any other law.
Petitioner League of Cities failed to show that the creation of the
—The Constitution is clear. The creation of local government units
sixteen new cities discriminated against other cities. As the
must follow the criteria established in the Local Government
respondent cities point out, the majority of the present cities in our
Code and not in any other law. There is only one Local Government
midst do not meet the P100 million minimum income requirement of
Code. The Constitution requires Congress to stipulate in the Local
the Local Government Code. It boggles the mind how these deficient
Government Code all the criteria necessary for the creation of a city,
cities can complain of denial of equal protection of the law.
including the conversion of a municipality into a city. Congress
Same; Same; Same; Petitioner League of Cities can not invoke
cannot write such criteria in any other law, like the Cityhood Laws.
the equal protection clause since it has failed to show that it will
RA 9009 amended Section 450 of the Local Government Code to
suffer deprivation of life, liberty, or property by reason of such
increase the income requirement from P20 million to P100 million
classification—that their Internal Revenue Allotment (IRA) will be
for the creation of a city. This took effect on 30 June 2001. Hence,
diminished does not amount to deprivation of property since the IRA
from that moment the Local Government Code required that
is not their property until it has been automatically released; Mere
any municipality desiring to become a city must satisfy the P100
expectancy in the receipt of Internal Revenue Allotment (IRA) can
million income requirement. Section 450 of the Local Government
not be regarded as the “property” envisioned in the Bill of Rights.—
Code, as amended by RA 9009, does not contain any exemption
Assuming an improper classification in the case of the sixteen cities,
from this income requirement.
petitioner League of Cities can not invoke the equal protection clause
Same; Same; Equal Protection Clause; The classification
since it has failed to show that it will suffer deprivation of life,
criterion—mere pendency of a cityhood bill in the 11th Congress—is
liberty, or property by reason of such classification. Actually, the
not rationally related to the purpose of the law which is to prevent
existing cities would not cease to exist nor would their liberties
fiscally non-viable municipalities from converting into cities.—As I
suffer by reason of the enactment of the sixteen cityhood laws. That
have previously stressed, there is no substantial distinction between
their Internal Revenue Allotment (IRA) will be diminished does not
municipalities with pending cityhood bills in the 11th Congress and

5|Page
municipalities that did not have pending bills. The mere pendency of   Estelito P. Mendoza for the Cities of Baybay, Bogo
a cityhood bill in the 11th Congress is not a material difference to (Cebu), et al.
distinguish one municipality from another for the purpose of the   Immanuel M. Garde for Himamaylan City.
income requirement. The pendency of a cityhood bill in the   Vincent V. Dangazo for Gingoog City.
11th Congress does not affect or determine the level of income of   Cicero V. Malate for petitioner-intervenor.
a municipality. Municipalities with pending cityhood bills in the
  Marlo C. Bancoro  for the City Government of Pagadian.
11th Congress might even have lower annual income than
municipalities that did not have pending cityhood bills. In short, the   Kara Aimee M. Quevenco for petitioner-intervenor City of
classification criterion—mere pendency of a cityhood bill in the Silay.
11th Congress—is not rationally related to the purpose of the law   Francisco C. Geronilla for respondent Mayor of Mati.
which is to prevent fiscally non-viable municipalities   Francisco V. Mijares, Jr. and Socorro D’Marie T.
from converting into cities. Inting for Municipality of Guihulngan.
  Randy B. Bulwayan for respondent Municipality of Tabuk.
157
  Jose Augusto J. Salvacion for City of Tayabas.158
VOL. 643, 157
FEBRUARY 15, 2011 158 SUPREME COURT
League of Cities of the REPORTS
Philippines (LCP) vs. ANNOTATED
Commission on Elections League of Cities of the
MOTION FOR RECONSIDERATION of the Resolution dated Philippines (LCP) vs.
August 24, 2010; and OPPOSITION to said MOTION FOR Commission on Elections
RECONSIDERATION.   Carlos H. Lozada for Bayugan.
   The facts are stated in the resolution of the Court.   The City Legal Officer for petitioner-intervenor City of
  Joseph J. Marigomen, Reginald A. Tayag and Janella Tagum.
Marie R. Panlilio for petitioners.   Alan M. Asio  for intervenor Association of Cabadbaran
  Ricardo Bering for Cities of Carcar and El Salvador. City Employees.
  Benjamin Paradela Uy for the Municipality of Tandag.   Ramsey L. Ocampo for petitioner-intervenor.
  Lionel A. Titong, Manuel P. Casino, Gilbert A.   Ruby Milagros A. Cortes Damian for Santiago City.
Escoto and Ruel CA. Amboy for respondent City of Borongan.   Lucieden G. Raz for petitioner-intervenor City
  Noel T. Tiampong  for respondents Municipalities of Government of Tagaytay.
Catbalogan, Samar and Lamitan, Basilan.   Raoul C. Creencia and Edwin M. Carillo for the Cities of
  Rodolfo R. Zabella, Jr. for Municipality of Tayabas. Mati, Davao and Carcar, Cebu.
  Jaime V. Agtang for Municipality of Batac.   Norberto B. Patriarca for petitioner-intervenor City
Government of Zamboanga.

6|Page
  Reggie C. Placido for petitioner-intervenor City of Cadiz. on Elections (COMELEC) from conducting plebiscites
  Silicito B. Amahit ex-officio Legal Counsel of Bais City. pursuant to the subject laws.
  Manuel M. Lepardo, Jr. for petitioners in intervention In the Decision dated November 18, 2008, the Court En
Ludivina T. Mas, et al. Banc, by a 6-5 vote,2 granted the petitions and struck down the
  Fernando H. Ebarle for intervenor Association of Cityhood Laws as unconstitutional for violating Sections 10
Bayugan City Employees. and 6, Article X, and the equal protection clause.
In the Resolution dated March 31, 2009, the Court En Banc,
RESOLUTION by a 7-5 vote,3 denied the first motion for reconsideration.
_______________
BERSAMIN, J.:
For consideration of this Court are the following pleadings: 1 Republic Acts 9389 [Baybay City, Leyte], 9390 [Bogo City, Cebu], 9391
[Catbalogan City, Samar], 9392 [Tandag City, Surigao del Sur], 9393 [Lamitan
1. Motion for Reconsideration of the “Resolution” dated City, Basilan], 9394 [Borongan City, Samar], 9398 [Tayabas City, Quezon],
August 24, 2010 dated and filed on September 14, 2010 9404 [Tabuk City, Kalinga], 9405 [Bayugan City, Agusan del Sur], 9407 [Batac
by respondents Municipality of Baybay, et al.; and City, Ilocos Norte], 9408 [Mati City, Davao Oriental], 9409 [Guihulngan City,
2. Opposition [To the “Motion for Reconsideration of the Negros Oriental], 9434 [Cabadbaran City, Agusan del Norte], 9435 [El
Salvador City, Misamis Oriental], 9436 [Carcar City, Cebu], and 9491 [Naga
‘Resolution’ dated August 24, 2010”]. City, Cebu].
2 Penned by J. Carpio, with JJ. Quisumbing, Austria-Martinez, Carpio-
159
Morales, Velasco, Jr., and Brion, concurring; dissenting, J. Reyes, joined
VOL. 643, 159 by JJ. Corona, Azcuna, Chico-Nazario, and Leonardo-De Castro; C.J. Puno,
FEBRUARY 15, 2011 and JJ. Nachura and Tinga took no part; J. Ynares-Santiago was on leave.
3 Justice Velasco, Jr. wrote a Dissenting Opinion, joined by Justices
League of Cities of the Ynares-Santiago, Corona, Chico-Nazario, and Leonardo-De Castro. Chief
Philippines (LCP) vs. Justice Puno and Justice Nachura took no part.
Commission on Elections 160
Meanwhile, respondents also filed on September 20, 2010 a 160 SUPREME COURT
Motion to Set “Motion for Reconsideration of the ‘Resolution’
REPORTS
dated August 24, 2010” for Hearing. This motion was,
however, already denied by the Court En Banc.
ANNOTATED
A brief background— League of Cities of the
These cases were initiated by the consolidated petitions for Philippines (LCP) vs.
prohibition filed by the League of Cities of the Philippines Commission on Elections
(LCP), City of Iloilo, City of Calbayog, and Jerry P. Treñas, On April 28, 2009, the Court En Banc issued a Resolution,
assailing the constitutionality of the sixteen (16) laws,1 each with a vote of 6-6,4 which denied the second motion for
converting the municipality covered thereby into a component reconsideration for being a prohibited pleading.
city (Cityhood Laws), and seeking to enjoin the Commission

7|Page
In its June 2, 2009 Resolution, the Court En Banc clarified 161
its April 28, 2009 Resolution in this wise— VOL. 643, 161
“As a rule, a second motion for reconsideration is a prohibited FEBRUARY 15, 2011
pleading pursuant to Section 2, Rule 52 of the Rules of Civil League of Cities of the
Procedure which provides that: “No second motion for
Philippines (LCP) vs.
reconsideration of a judgment or final resolution by the same party
shall be entertained.” Thus, a decision becomes final and executory Commission on Elections
after 15 days from receipt of the denial of the first motion for On August 24, 2010, the Court En Banc, through a
reconsideration. Resolution, by a vote of 7-6,7 resolved the Ad Cautelam Motion
However, when a motion for leave to file and admit a second for Reconsideration and Motion to Annul the Decision of
motion for reconsideration is granted by the Court, the Court December 21, 2009, both filed by petitioners, and the Ad
therefore allows the filing of the second motion for reconsideration. Cautelam Motion for Reconsideration filed by petitioners-in-
In such a case, the second motion for reconsideration is no longer a intervention Batangas City, Santiago City, Legazpi City, Iriga
prohibited pleading. City, Cadiz City, and Oroquieta City, reinstating the November
In the present case, the Court voted on the second motion for
18, 2008 Decision. Hence, the aforementioned pleadings.
reconsideration filed by respondent cities. In effect, the Court
allowed the filing of the second motion for reconsideration. Thus, the
Considering these circumstances where the Court En
second motion for reconsideration was no longer a prohibited Banc has twice changed its position on the constitutionality of
pleading. However, for lack of the required number of votes to the 16 Cityhood Laws, and especially taking note of the
overturn the 18 November 2008 Decision and 31 March 2009 novelty of the issues involved in these cases, the Motion for
Resolution, the Court denied the second motion for reconsideration Reconsideration of the “Resolution” dated August 24, 2010
in its 28 April 2009 Resolution.” 5
deserves favorable action by this Court on the basis of the
following cogent points:
Then, in another Decision dated December 21, 2009, the
Court En Banc, by a vote of 6-4,6 declared the Cityhood Laws 1.
as constitutional.
_______________
The 16 Cityhood Bills do not violate Article X, Section 10 of
4 Justice Velasco, Jr. wrote a Dissenting Opinion, joined by Justices the Constitution.
Ynares-Santiago, Corona, Chico-Nazario, Leonardo-De Castro, and Bersamin. Article X, Section 10 provides—
Chief Justice Puno and Justice Nachura took no part. Justice Quisumbing was “Section 10. No province, city, municipality, or barangay may
on leave. be created, divided, merged, abolished, or its boundary substantially
5 Citations omitted. altered, except in accordance with the criteria established in the local
6 Penned by J. Velasco, Jr., with JJ. Corona, Leonardo-De Castro,
Bersamin, Abad, and Villarama concurring; dissenting, J. Carpio, joined
government code and subject to approval by a majority of the votes
by JJ. Carpio-Morales, Brion, and Peralta; C.J. Puno and JJ. Nachura and Del cast in a plebiscite in the political units directly affected.”
Castillo took no part.

8|Page
The tenor of the ponencias of the November 18, 2008 of Finance, of at least P20,000,000.00 for the last two (2)
Decision and the August 24, 2010 Resolution is that the consecutive years, based on 1991 constant prices.
exemption clauses in the 16 Cityhood Laws are Before Senate Bill No. 2157, now R.A. No. 9009, was
unconstitutional because they are not written in the Local introduced by Senator Aquilino Pimentel, there were 57 bills
Government Code of 1991 (LGC), particularly Section 450 filed for conversion of 57 municipalities into component cities.
thereof, as amended by During the 11th Congress (June 1998-June 2001), 33 of these
_______________ bills were enacted into law, while 24 remained as pending bills.
Among these 24 were the 16 municipalities that were converted
7 Penned by J. Carpio, with JJ. Carpio-Morales, Brion, Peralta, Villarama,
Mendoza, and Sereno, concurring; dissenting,, J. Velasco, Jr., joined into component cities through the Cityhood Laws.
by C.J. Corona, and JJ. Leonardo-De Castro, Bersamin, Abad, and The rationale for the enactment of R.A. No. 9009 can be
Perez; JJ. Nachura and Del Castillo took no part. gleaned from the sponsorship speech of Senator Pimentel on
162 Senate Bill No. 2157, to wit—
162 SUPREME COURT “Senator Pimentel. Mr. President, I would have wanted this
bill to be included in the whole set of proposed amendments that we
REPORTS have introduced to precisely amend the Local Government Code.
ANNOTATED However, it is a fact that there is a mad rush of municipalities
League of Cities of the wanting to be converted into cities. Whereas in 1991, when the
Philippines (LCP) vs. Local Government was approved, there were only 60 cities, today the
Commission on Elections number has increased to 85 cities, with 41 more municipalities
applying for conversion to the same status. At the rate we are
Republic Act (R.A.) No. 9009, which took effect on June 30, going,
2001, viz.— 163
“Section 450. Requisites for Creation.—a) A municipality or a
cluster of barangays may be converted into a component city if it has VOL. 643, 163
a locally generated annual income, as certified by the Department of FEBRUARY 15, 2011
Finance, of at least One Hundred Million Pesos (P100,000,000.00) League of Cities of the
for at least two (2) consecutive years based on 2000 constant
prices, and if it has either of the following requisites: Philippines (LCP) vs.
xxxx Commission on Elections
(c) The average annual income shall include the income I am apprehensive that before long this nation will be a nation of
accruing to the general fund, exclusive of special funds, transfers, all cities and no municipalities.
and non-recurring income.” (Emphasis supplied) It is for that reason, Mr. President, that we are proposing among
other things, that the financial requirement, which, under the Local
Prior to the amendment, Section 450 of the LGC required Government Code, is fixed at P20 million, be raised to P100 million
only an average annual income, as certified by the Department to enable a municipality to have the right to be converted into a city,

9|Page
and the P100 million should be sourced from locally generated ANNOTATED
funds. League of Cities of the
What has been happening, Mr. President, is, the municipalities
aspiring to become cities say that they qualify in terms of financial Philippines (LCP) vs.
requirements by incorporating the Internal Revenue share of the Commission on Elections
taxes of the nation on to their regularly generated revenue. Under number of municipalities into cities and which qualify
that requirement, it looks clear to me that practically all under the present standard.
municipalities in this country would qualify to become cities. We would like to know the view of the sponsor: Assuming
It is precisely for that reason, therefore, that we are seeking the that this bill becomes a law, will the Chamber apply the
approval of this Chamber to amend, particularly Section 450 of standard as proposed in this bill to those bills which are
Republic Act No. 7160, the requisite for the average annual income pending for consideration?
of a municipality to be converted into a city or cluster SENATOR PIMENTEL. Mr. President, it might not be fair
of barangays which seek to be converted into a city, raising that to make this bill, on the assumption that it is approved,
revenue requirement from P20 million to P100 million for the last retroact to the bills that are pending in the Senate
two consecutive years based on 2000 constant prices.” 8 conversion from municipalities to cities.
THE PRESIDENT. Will there be an appropriate language
While R.A. No. 9009 was being deliberated upon, Congress crafted to reflect that view? Or does it not become a policy of
was well aware of the pendency of conversion bills of several the Chamber, assuming that this bill becomes a law tomorrow,
municipalities, including those covered by the Cityhood Laws, that it will apply to those bills which are already approved by
desiring to become component cities which qualified under the the House under the old version of the Local Government
P20 million income requirement of the old Section 450 of the Code and are now pending in the Senate? The Chair does not
LGC. The interpellation of Senate President Franklin Drilon of know if we can craft a language which will limit the
Senator Pimentel is revealing, thus— application to those which are not yet in the Senate. Or is that
THE PRESIDENT. The Chair would like to ask for some a policy that the Chamber will adopt?
clarificatory point. SENATOR PIMENTEL. Mr. President, personally, I do not
SENATOR PIMENTEL. Yes, Mr. President. think it is necessary to put that provision because what we
THE PRESIDENT. This is just on the point of the pending are saying here will form part of the interpretation of this
bills in the Senate which propose the conversion of a bill. Besides, if there is no retroactivity clause, I do not
_______________ think that the bill would have any retroactive effect.
THE PRESIDENT. So the understanding is that those
8 II Record, Senate, 13th Congress, p. 164 (October 5, 2000); Rollo (G.R. No. bills which are already pending in the Chamber will not be
176951), Vol. 5, p. 3765. affected.
164
SENATOR PIMENTEL. These will not be affected, Mr.
President.
164 SUPREME COURT THE PRESIDENT. Thank you Mr. Chairman. 9

REPORTS

10 | P a g e
Clearly, based on the above exchange, Congress intended centers of trade and commerce, points of convergence of
that those with pending cityhood bills during the 11th Congress transportation, rich havens of agricultural, mineral, and other
would not be covered by the new and higher income natural resources, and flourishing tourism spots. In this regard,
_______________ it is worthy to mention the distinctive traits of each respondent
municipality, viz.—
9 Id., at pp. 167-168; id., at pp. 3768-3769.
Batac, Ilocos Norte—It is the biggest municipality of the 2nd
165 District of Ilocos Norte, 2nd largest and most progressive
VOL. 643, 165 town in the province of Ilocos Norte and the natural
FEBRUARY 15, 2011 convergence point for the neighboring towns to transact their
commercial ventures and other daily activities. A growing
League of Cities of the metropolis, Batac is equipped with amenities of modern living
Philippines (LCP) vs. like banking institutions, satellite cable systems,
Commission on Elections telecommunications systems. Adequate roads, markets,
requirement of P100 million imposed by R.A. No. 9009. When hospitals, public transport systems, sports, and entertainment
the LGC was amended by R.A. No. 9009, the amendment facilities. [Explanatory Note of House Bill No. 5941,
carried with it both the letter and the intent of the law, and such introduced by Rep. Imee R. Marcos.]166
were incorporated in the LGC by which the compliance of the 166 SUPREME COURT
Cityhood Laws was gauged. REPORTS
Notwithstanding that both the 11th and 12th Congress failed
ANNOTATED
to act upon the pending cityhood bills, both the letter and intent
of Section 450 of the LGC, as amended by R.A. No. 9009, League of Cities of the
were carried on until the 13th Congress, when the Cityhood Philippines (LCP) vs.
Laws were enacted. The exemption clauses found in the Commission on Elections
individual Cityhood Laws are the express articulation of that El Salvador, Misamis Oriental—It is located at the center of
intent to exempt respondent municipalities from the coverage the Cagayan-Iligan Industrial Corridor and home to a number
of R.A. No. 9009. of industrial companies and corporations. Investment and
financial affluence of El Salvador is aptly credited to its
Even if we were to ignore the above quoted exchange
industrious and preserving people. Thus, it has become the
between then Senate President Drilon and Senator Pimentel, it growing investment choice even besting nearby cities and
cannot be denied that Congress saw the wisdom of exempting municipalities. It is home to Asia Brewery as distribution port
respondent municipalities from complying with the higher of their product in Mindanao. The Gokongwei Group of
income requirement imposed by the amendatory R.A. No. Companies is also doing business in the area. So, the
9009. Indeed, these municipalities have proven themselves conversion is primarily envisioned to spur economic and
viable and capable to become component cities of their financial prosperity to this coastal place in North-Western
respective provinces. It is also acknowledged that they were

11 | P a g e
Misamis Oriental. [Explanatory Note of House Bill No. 6003, Commission on Elections
introduced by Rep. Augusto H. Bacullo.] be the center of commerce catering to the municipalities of
Cabadbaran, Agusan del Norte—It is the largest of the Tuburan, Tipo-Tipo and Sumisip. [Explanatory Note of House
eleven (11) municipalities in the province of Agusan del Bill No. 5786, introduced by Rep. Gerry A. Salapuddin.]
Norte. It plays strategic importance to the administrative and Catbalogan, Samar—It has always been the socio-economic-
socio-economic life and development of Agusan del Norte. It political capital of the Island of Samar even during the
is the foremost in terms of trade, commerce, and industry. Spanish era. It is the seat of government of the two
Hence, the municipality was declared as the new seat and congressional districts of Samar. Ideally located at the
capital of the provincial government of Agusan del Norte crossroad between Northern and Eastern Samar, Catbalogan
pursuant to Republic Act No. 8811 enacted into law on also hosts trade and commerce activates among the more
August 16, 2000. Its conversion will certainly promote, prosperous cities of the Visayas like Tacloban City, Cebu City
invigorate, and reinforce the economic potential of the and the cities of Bicol region. The numerous banks and
province in establishing itself as an agro-industrial center in telecommunication facilities showcases the healthy economic
the Caraga region and accelerate the development of the area. environment of the municipality. The preeminent and
[Explanatory Note of House Bill No. 3094, introduced by sustainable economic situation of Catbalogan has further
Rep. Ma. Angelica Rosedell M. Amante.] boosted the call of residents for a more vigorous involvement
Borongan, Eastern Samar—It is the capital town of Eastern of governance of the municipal government that is inherent in
Samar and the development of Eastern Samar will depend to a a city government. [Explanatory Note of House Bill No. 2088,
certain degree of its urbanization. It will serve as a catalyst for introduced by Rep. Catalino V. Figueroa.]
the modernization and progress of adjacent towns considering Bogo, Cebu—Bogo is very qualified for a city in terms of
the frequent interactions between the populace. [Explanatory income, population and area among others. It has been
Note of House Bill No. 2640, introduced by Rep. Marcelino elevated to the Hall of Fame being a five-time winner
C. Libanan.] nationwide in the clean and green program. [Explanatory Note
Lamitan, Basilan—Before Basilan City was converted into a of House Bill No. 3042, introduced by Rep. Clavel A.
separate province, Lamitan was the most progressive part of Martinez.]
the city. It has been for centuries the center of commerce and Tandag, Surigao del Sur—This over 350 year old capital
the seat of the Sultanate of the Yakan people of Basilan. The town the province has long sought its conversion into a city
source of its income is agro-industrial and others notably that will pave the way not only for its own growth and
copra, rubber, coffee and host of income generating ventures. advancement but also help in the development of its
As the most progressive town in Basilan, Lamitan continues to neighboring municipalities and the province as a whole.
167
Furthermore, it can enhance its role as the province’s trade,
VOL. 643, 167 financial and government center. [Explanatory Note of House
Bill No. 5940, introduced by Rep. Prospero A. Pichay, Jr.]
FEBRUARY 15, 2011 Bayugan, Agusan del Sur—It is a first class municipality and
League of Cities of the the biggest in terms of population in the entire province. It has
Philippines (LCP) vs. the most progressive and thickly populated area among the 14

12 | P a g e
municipalities that comprise the province. Thus, it has become district as its immediate area of influence. Moreover, it has
the center for trade and commerce in Agusan del Sur. It has a beautiful tourist spots that are being availed of by local and
more developed infrastructure and facilities than other foreign tourists. [Explanatory Note of House Bill No. 3628,
municipalities in the province. [Explanatory Note of House introduced by Rep. Jacinto V. Paras.]
Bill No. 1899, introduced by Rep. Rodolfo “Ompong” G. Tayabas, Quezon—It flourished and expanded into an
Plaza.]168 important politico-cultural center in [the] Tagalog region. For
131 years (1179-1910), it served as the cabecera of the
168 SUPREME COURT province which originally carried the cabecera’s own name,
REPORTS Tayabas. The locality is rich in culture, heritage and trade. It
ANNOTATED was at the outset one of the more active centers of
League of Cities of the coordination and delivery of basic, regular and diverse goods
and services within the first district of Quezon Province.
Philippines (LCP) vs. [Explanatory Note of House Bill No. 3348, introduced by
Commission on Elections Rep. Rafael P. Nantes.]
Carcar, Cebu—Through the years, Carcar metamorphosed Tabuk, Kalinga—It not only serves as the main hub of
from rural to urban and now boast of its manufacturing commerce and trade, but also the cultural center of the rich
industry, agricultural farming, fishing and prawn industry and customs and traditions of the different municipalities in the
its thousands of large and small commercial establishments province. For the past several years, the income of Tabuk has
contributing to the bulk of economic activities in the been steadily increasing, which is an indication that its
municipality. Based on consultation with multi-sectoral economy is
groups, political and non-government agencies, residents and 169
common folk in Carcar, they expressed their desire for the
conversion of the municipality into a component city. VOL. 643, 169
[Explanatory Note of House Bill No. 3990, introduced by FEBRUARY 15, 2011
Rep. Eduardo R. Gullas.] League of Cities of the
Guihulngan, Negros Oriental—Its population is second Philippines (LCP) vs.
highest in the province, next only to the provincial capital and
higher than Canlaon City and Bais City. Agriculture Commission on Elections
contributes heavily to its economy. There are very good likewise progressively growing. [Explanatory Note of House
prospects in agricultural production brought about by its Bill No. 3068, introduced by Rep. Laurence P. Wacnang.]
favorable climate. It has also the Tanon Strait that provides a Available information on Baybay, Leyte; Mati, Davao
good fishing ground for its numerous fishermen. Its potential Oriental; and Naga, Cebu shows their economic viability,
to grow commercially is certain. Its strategic location brought thus:
about by its existing linkage networks and the major Covering an area of 46,050 hectares, Baybay [Leyte] is
transportation corridors traversing the municipality has composed of 92 barangays, 23 of which are in the poblacion.
established Guihulngan as the center of commerce and trade The remaining 69 are rural barangays. Baybay City is
in this part of Negros Oriental with the first congressional classified as a first class city. It is situated on the western

13 | P a g e
coast of the province of Leyte. It has a Type 4 climate, which 170 SUPREME COURT
is generally wet. Its topography is generally mountainous in REPORTS
the eastern portion as it slopes down west towards the shore
line. Generally an agricultural city, the common means of
ANNOTATED
livelihood are farming and fishing. Some are engaged in League of Cities of the
hunting and in forestall activities. The most common crops Philippines (LCP) vs.
grown are rice, corn, root crops, fruits, and vegetables. Commission on Elections
Industries operating include the Specialty Products the coconut capital of Mindanao if not the whole country. A
Manufacturing, Inc. and the Visayan Oil Mill. Various cottage large portion of its fertile land is planted to coconuts, and a
industries can also be found in the city such as bamboo and significant number of its population is largely dependent on it.
rattan craft, ceramics, dress-making, fiber craft, food Other agricultural crops such as mango, banana, corn, coffee
preservation, mat weaving, metal craft, fine Philippine and cacao are also being cultivated, as well as the famous
furniture manufacturing and other related activities. Baybay Menzi pomelo and Valencia oranges. Mati has a long stretch
has great potential as a tourist destination, especially for tennis of shoreline and one can find beaches of pure, powder-like
players. It is not only rich in biodiversity and history, but it white sand. A number of resorts have been developed and are
also houses the campus of the Visayas State University now open to serve both local and international tourists. Some
(formerly the Leyte State University/Visayas State College of of these resorts are situated along the coast of Pujada Bay and
Agriculture/Visayas Agricultural College/Baybay National the Pacific Ocean. Along the western coast of the bay lies Mt.
Agricultural School/Baybay Agricultural High School and the Hamiguitan, the home of the pygmy forest, where bonsai
Jungle Valley Park.) Likewise, it has river systems fit for river plants and trees grow, some of which are believed to be a
cruising, numerous caves for spelunking, forests, beaches, and hundred years old or more. On its peak is a lake, called
marine treasures. This richness, coupled with the friendly “Tinagong Dagat,” or hidden sea, so covered by dense
Baybayanos, will be an element of a successful tourism vegetation a climber has to hike trails for hours to reach it.
program. Considering the role of tourism in development, The mountain is also host to rare species of flora and fauna,
Baybay City intends to harness its tourism potential. thus becoming a wildlife sanctuary for these life forms.
(<http://en. (<http://mati.wetpain.com/
wikipedia.org/wiki/Baybay City> visited September 19, 2008) ?t=anon> accessed on September 19, 2008.)
Mati [Davao Oriental] is located on the eastern part of the Mati is abundant with nickel, chromite, and copper. Louie
island of Mindanao. It is one hundred sixty-five (165) Rabat, Chamber President of the Davao Oriental Eastern
kilometers away from Davao City, a one and a half-hour drive Chamber of Commerce and Industry, emphasized the big
from Tagum City. Visitors can travel from Davao City potential of the mining industry in the province of Davao
through the Madaum diversion road, which is shorter than Oriental. As such, he strongly recommends Mati as the mining
taking the Davao-Tagum highway. Travels by air and sea are hub in the Region.
possible, with the existence of an airport and seaport. Mati (<http://www.pia.gov.ph/default.asp?
boasts of being m=12&sec=reader&rp=1&fi=p080115.htm&no.=9&date,
170 accessed on September 19, 2008)

14 | P a g e
Naga [Cebu]: Historical Background—In the early times, the figures&catid=51:naga-facts-and-figures&Itemid=75> visited
place now known as Naga was full of huge trees locally called September 19, 2008)
as “Narra.” The first settlers referred to this place as Narra,
derived from the huge trees, which later simply became Naga. The enactment of the Cityhood Laws is an exercise by
Considered as one of the oldest settlements in the Province of Congress of its legislative power. Legislative power is the
Cebu, Naga became a municipality on June 12, 1829. The authority, under the Constitution, to make laws, and to alter and
municipality has gone through a series of classifications as its repeal them.10 The Constitution, as the expression of the will of
economic development has undergone changes and growth. the people in their original, sovereign, and unlimited capacity,
The tranquil farming and fishing villages of the natives were has vested this power in the Congress of the Philippines. The
agitated as the Spaniards came and discovered coal in the grant of legislative power to Congress is broad, general, and
uplands. Coal was the first export of the municipality, as the comprehensive. The legislative body possesses plenary powers
Spaniards mined and sent it to Spain. The mining industry for all purposes of civil government. Any power, deemed to be
triggered the industrial development of Naga. As the years
171
legislative by usage and tradition, is necessarily possessed by
Congress, unless the Constitution has lodged it elsewhere. In
VOL. 643, 171 fine, except as limited by the Constitution, either expressly or
FEBRUARY 15, 2011 impliedly, legislative power embraces all
League of Cities of the _______________

Philippines (LCP) vs. 10 Review Center Association of the Philippines v. Ermita, G.R. No.
Commission on Elections 180046, April 2, 2009, 583 SCRA 428, 450, citing Kilusang Mayo Uno v.
progressed, manufacturing and other industries followed, Director-General, National Economic Development Authority, G.R. No.
167798, April 19, 2006, 487 SCRA 623.
making Naga one of the industrialized municipalities in the
Province of Cebu. 172
Class of Municipality             1st class 172 SUPREME COURT
Province                               Cebu
REPORTS
Distance from Cebu City        22 kms.
Number of Barangays            28 ANNOTATED
No. of Registered Voters         44,643 as of May 14, 2007 League of Cities of the
Total No. of Precincts             237 (as of May 14, 2007) Philippines (LCP) vs.
Ann. Income (as of Dec. 31, 2006) Commission on Elections
                                            Php112,219,718.35 subjects, and extends to matters of general concern or common
                                             Agricultural, Industrial,
interest.11
                                             Agro-Industrial, Mining
                                             Product Without doubt, the LGC is a creation of Congress through
(<http://www.nagacebu.com/index.php? its law-making powers. Congress has the power to alter or
option=com.content&view=article id=53:naga-facts-and- modify it as it did when it enacted R.A. No. 9009. Such power

15 | P a g e
of amendment of laws was again exercised when Congress Commission on Elections
enacted the Cityhood Laws. When Congress enacted the LGC 2.
in 1991, it provided for quantifiable indicators of economic The Cityhood Laws do not violate Section 6, Article X and
viability for the creation of local government units—income, the equal protection clause of the Constitution.
population, and land area. Congress deemed it fit to modify the Both the November 18, 2008 Decision and the August 24,
income requirement with respect to the conversion of 2010 Resolution impress that the Cityhood Laws violate the
municipalities into component cities when it enacted R.A. No. equal protection clause enshrined in the Constitution. Further,
9009, imposing an amount of P100 million, computed only it was also ruled that Section 6, Article X was violated because
from locally-generated sources. However, Congress deemed it the Cityhood Laws infringed on the “just share” that petitioner
wiser to exempt respondent municipalities from such a and petitioners-in-intervention shall receive from the national
belatedly imposed modified income requirement in order to taxes (IRA) to be automatically released to them.
uphold its higher calling of putting flesh and blood to the very Upon more profound reflection and deliberation, we declare
intent and thrust of the LGC, which is countryside development that there was valid classification, and the Cityhood Laws do
and autonomy, especially accounting for these municipalities not violate the equal protection clause.
as engines for economic growth in their respective provinces.  As this Court has ruled, the equal protection clause of the
Undeniably, R.A. No. 9009 amended the LGC. But it is also 1987 Constitution permits a valid classification, provided that
true that, in effect, the Cityhood Laws amended R.A. No. 9009 it: (1) rests on substantial distinctions; (2) is germane to the
through the exemption clauses found therein. Since the purpose of the law; (3) is not limited to existing conditions
Cityhood Laws explicitly exempted the concerned only; and (4) applies equally to all members of the same class.12
municipalities from the amendatory R.A. No. 9009, such The petitioners argue that there is no substantial distinction
Cityhood Laws are, therefore, also amendments to the LGC between municipalities with pending cityhood bills in the 11th
itself. For this reason, we reverse the November 18, 2008 Congress and municipalities that did not have pending bills,
Decision and the August 24, 2010 Resolution on their strained such that the mere pendency of a cityhood bill in the 11th
and stringent view that the Cityhood Laws, particularly their Congress is not a material difference to distinguish one
exemption clauses, are not found in the LGC. municipality from another for the purpose of the income
_______________
requirement. This contention misses the point.
11 Id., citing Ople v. Torres, 354 Phil. 948; 293 SCRA 141 (1998). It should be recalled from the above quoted portions of the
interpellation by Senate President Drilon of Senator Pimentel
173 that the purpose of the enactment of R.A. No 9009 was merely
VOL. 643, 173 to stop the “mad rush of municipalities wanting to be converted
FEBRUARY 15, 2011 into cities” and the apprehension that before long the
League of Cities of the _______________
Philippines (LCP) vs.

16 | P a g e
12 De Guzman, Jr. v. Commission on Elections, 391 Phil. 70, 79; 336 The P100 million income requirement imposed by R.A. No.
SCRA 188, 196 (2000); Tiu v. Court of Tax Appeals, 361 Phil. 229, 242; 301
SCRA 278, 289 (1999).
9009, being an arbitrary amount, cannot be conclusively said to
be the only amount “sufficient, based on acceptable standards,
174 to provide for all essential government facilities and services
174 SUPREME COURT and special functions commensurate with the size of its
REPORTS population,” per Section 713 of the LGC. It was imposed
ANNOTATED _______________
League of Cities of the 13 SECTION 7. Creation and Conversion.—As a general rule, the
Philippines (LCP) vs. creation of a local government unit or its conversion from one level to another
Commission on Elections level shall be based on verifiable indicators of viability and projected capacity
to provide services, to wit:
country will be a country of cities and without municipalities. It (a) Income.—It must be sufficient, based on acceptable
should be pointed out that the imposition of the P100 million standards, to provide for all essen-
average annual income requirement for the creation of
175
component cities was arbitrarily made. To be sure, there was
VOL. 643, 175
no evidence or empirical data, such as inflation rates, to
support the choice of this amount. The imposition of a very FEBRUARY 15, 2011
high income requirement of P100 million, increased from P20 League of Cities of the
million, was simply to make it extremely difficult for Philippines (LCP) vs.
municipalities to become component cities. And to highlight Commission on Elections
such arbitrariness and the absurdity of the situation created merely because it is difficult to comply with. While it could be
thereby, R.A. No. 9009 has, in effect, placed component cities argued that P100 million, being more than P20 million, could,
at a higher standing than highly urbanized cities under Section of course, provide the essential government facilities, services,
452 of the LGC, to wit— and special functions vis-à-vis the population of a municipality
“Section 452. Highly Urbanized Cities.—(a) Cities with a wanting to become a component city, it cannot be said that the
minimum population of two hundred thousand (200,000) inhabitants, minimum amount of P20 million would be insufficient. This is
as certified by the National Statistics Office, and with the latest evident from the existing cities whose income, up to now, do
annual income of at least Fifty Million Pesos (P50,000,000.00) not comply with the P100 million income requirement, some of
based on 1991 constant prices, as certified by the city treasurer, which have lower than the P20 million average annual income.
shall be classified as highly urbanized cities.
Consider the list14 below—
(b) Cities which do not meet above requirements shall be _______________
considered component cities of the province in which they are
geographically located.” (Emphasis supplied)     tial government facilities and services and special
functions commensurate with the size of its population, as
expected of the local government unit concerned;

17 | P a g e
(b) Population.—It shall be determined as the total City
number of inhabitants within the territorial jurisdiction of the
local government unit concerned; and  5. 15,808,530.00
(c) Land Area.—It must be contiguous, unless it Himamaylan
comprises two (2) or more islands or is separated by a local City
government unit independent of the others; properly identified
by metes and bound with technical descriptions; and sufficient
 6. Isabela 16,811,246.79
to provide for such basic services and facilities to meet the City
requirements of its populace.  7. Munoz 19,693,358.61
Compliance with the foregoing indicators shall be attested to by the
Department of Finance (DOF), the National Statistics Office (NSO), and the
City
Lands Management Bureau (LMB) of the Department of Environment and  8. Dapitan 20,529,181.08
Natural Resources (DENR). (Emphasis supplied.) City
14 The figures reflect the actual income of the cities for 2006. If R.A. No.  9. Tangub 20,943,810.04
9009 is to be applied such that the figures are expressed in 2000 constant prices,
the income of the cities will even be lower. (Certification from the Bureau of City
Local Government Finance dated December 5, 2008; Rollo [G.R. No. 176951], 10. 22,943,810.04
Vol. 5, pp. 3731-3734.) Bayawan
176 City
176 SUPREME 11.Island 23,034,731.83
COURT Garden City
REPORTS of Samal
ANNOTATED 12. Tanjay 23,723,612.44
League of Cities of the City
Philippines (LCP) vs. 13. Tabaco 24,152,853.71
Commission on Elections City
14. 24,279,966.51
CITY AVERAGE
Oroquieta
ANNUAL
City
INCOME
15. Ligao 28,326,745.86
 1. Marawi   5,291,522.10
City
City
16. 30,403,324.59
 2. Palayan   6,714,651.77
Sorsogon
City
City
 3. Sipalay   9,713,120.00
17. Maasin 30,572,113.65
City
City
 4. Canlaon 13,552,493.79

18 | P a g e
18. 32,113,970.00 City
Escalante  
City 177
19. Iriga 32,757,871.44 VOL. 643, 177
City FEBRUARY
20. Gapan 34,254,986.47 15, 2011
City League of Cities of the
21. Candon 36,327,705.86 Philippines (LCP) vs.
City Commission on Elections
22. Gingoog 37,327,705.86 33. Tacurong 49,026,281.56
City City
23. Masbate 39,454,508.28 34. Talisay 52,609,790.00
City City (Negros
24. Passi 40,314,620.00 Occidental)
City 35. 53,560,580.00
25. 40,943,128.73 Kabankalan
Calbayog City
City 36. 54,423,408.55
26. Calapan 41,870,239.21 Malaybalay
City City
27. Cadiz 43,827,060.00 37. La 54,760,290.00
City Carlota City
28. 44,352,501.00 38. Vigan 56,831,797.19
Alaminos City
City 39. Balanga 61,556,700.49
29. Bais 44, 646,826.48 City
City 40. Sagay 64,266,350.00
30. San 46,306,129.13 City
Carlos City 41. Cavite 64,566,079.05
31. Silay 47,351,730.00 City
City 42. 66,231,717.19
32. Bislig 47,360,716.24 Koronadal

19 | P a g e
City 59. Digos 92,647,699.13
43. Cotabato 66,302,114.52 City
City The undeniable fact that these cities remain viable as
44. Toledo 70,157,331.12 component cities of their respective provinces emphasizes the
City arbitrariness of the amount of P100 million as the new income
45. San Jose 70,309,233.43 requirement for the conversion of municipalities into
City component cities. This arbitrariness can also be clearly gleaned
46. Danao 72,621,955.30 from the respective distinctive traits and level of economic
City devel-
178
47. Bago City 74,305,000.00
178 SUPREME COURT
48. Valencia 74,557,298.92
City
REPORTS
49. Victorias 75,757,298.92 ANNOTATED
City League of Cities of the
50. Cauayan 82,949,135.46 Philippines (LCP) vs.
City Commission on Elections
51. Santiago 83,816,025.89 opment of the individual respondent municipalities as above
City submitted.
52. Roxas 85,397,830.00 Verily, the determination of the existence of substantial
City distinction with respect to respondent municipalities does not
53. Dipolog 85,503,262.85 simply lie on the mere pendency of their cityhood bills during
City the 11th Congress. This Court sees the bigger picture. The
existence of substantial distinction with respect to respondent
54. Trece 87,413,786.64
municipalities covered by the Cityhood Laws is measured by
Martires City
the purpose of the law, not by R.A. No. 9009, but by the very
55. Talisay 87,964,972.97
purpose of the LGC, as provided in its Section 2 (a), thus—
City (Cebu) “SECTION 2. Declaration of Policy.—(a) It is hereby
56. Ozamis 89,054,056.12 declared the policy of the State that the territorial and political
city subdivisions of the State shall enjoy genuine and meaningful local
57. Surigao 89,960,971.33 autonomy to enable them to attain their fullest development as self-
City reliant communities and make them more effective partners in the
58. Panabo 91,425,301.39 attainment of national goals. Toward this end, the State shall provide
for a more responsive and accountable local government structure
City
instituted through a system of decentralization whereby local

20 | P a g e
government units shall be given more powers, authority, CITY CY 2006 IRA CY 2008 IRA
responsibilities and resources. The process of decentralization shall (Before (Actual Release
proceed from the National Government to the local government
Implemen- After
units.”
tation of Implementation
Indeed, substantial distinction lies in the capacity and Sixteen [16] of
viability of respondent municipalities to become component Cityhood Sixteen [16]
cities of their respective provinces. Congress, by enacting the Laws) Cityhood Laws)
Cityhood Laws, recognized this capacity and viability of Bais 219,338,056.0  
respondent municipalities to become the State’s partners in 0 242,193,156.00
accelerating economic growth and development in the Batangas 334,371,984.0  
provincial regions, which is the very thrust of the LGC, 0 388,871,770.00
manifested by the pendency of their cityhood bills during the Bayawan 353,150,158.0  
11th Congress and their relentless pursuit for cityhood up to the 0 388,840,062.00
present. Truly, the urgent need to become a component city Cadiz 329,491,285.0  
arose way back in the 11th Congress, and such condition
0 361,019,211.00
continues to exist.
Calapan 227,772,199.0  
Petitioners in these cases complain about the purported
0 252,587,779.00
reduction of their “just share” in the IRA. To be sure,
petitioners are entitled to a “just share,” not a specific amount. Calbayog 438,603,378.0  
But the 0 485,653,769.00
179 Cauayan 250,477,157.0  
VOL. 643, 179 0 277,120,828.00
FEBRUARY 15, 2011 Gen. Santos 518,388,557.0  
League of Cities of the 0 631,864,977.00
Philippines (LCP) vs. Gingoog 314,425,637.0  
Commission on Elections 0 347,207,725.00
feared reduction proved to be false when, after the Himamayla 248,154,381.0  
implementation of the Cityhood Laws, their respective shares n 0 277,532,458.00
increased, not decreased. Consider the table15 below— Iloilo 358,394,268.0  
0 412,506,278.00
Iriga 183,132,036.0  
0 203,072,932.00
Legaspi 235,314,016.0  

21 | P a g e
CITY CY 2006 IRA CY 2008 IRA 180 SUPREME
(Before (Actual Release COURT
Implemen- After REPORTS
tation of Implementation ANNOTATED
Sixteen [16] of League of Cities of the
Cityhood Sixteen [16] Philippines (LCP) vs.
Laws) Cityhood Laws) Commission on
0 266,537,785.00
Elections
Ligao 215,608,112.0  
Tagay 130,159,  
0 239,696,441.00
tay 136.00 152,445,2
Oroquieta 191,803,213.0  
95.00
0 211,449,720.00
Tarlac 348,186,  
Pagadian 292,788,255.0  
756.00 405,611,5
0 327,401,672.00
81.00
San Carlos 239,524,249.0  
Tangu 162,248,  
0 260,515,711.00
b 610.00 180,640,6
San 182,320,356.0  
21.00
Fernando 0 204,140,940.00
Urdan 187,721,  
Santiago 508,326,072.0  
eta 031.00 207,129,3
0 563,679,572.00
86.00
Silay 216,372,314.0  
Victor 176,367,  
0 241,363,845.00
ias 959.00 194,162,6
Surigao 233,968,119.0  
87.00
0 260,708,071.00
Zamb 918,013, 1,009,972
Tacurong 179,795,271.0  
oanga 016.00 ,704.00
0 197,880,665.00
What these petitioner cities were stating as a reduction of
 
their respective IRA shares was based on a computation of
_______________ what they would receive if respondent municipalities were not
to become component cities at all. Of course, that would mean
15 Based on the letter dated December 9, 2008 of the Department of Budget
and Management; Rollo (G.R. No. 176951), Vol. 5, pp. 3978-3986.
a bigger amount to which they have staked their claim. After
considering these, it all boils down to money and how much
180 more they would receive if respondent municipalities remain as

22 | P a g e
municipalities and not share in the 23% fixed IRA from the internal revenue share that comes from the government.
national government for cities. Unfortunately, I think what happened in past conversions
Moreover, the debates in the Senate on R.A. No. 9009, of municipalities into cities was, the Department of Budget
should prove enlightening: and Management, along with the Department of Finance,
SENATOR SOTTO. Mr. President, we just want to be had included the internal revenue share as a part of the
enlightened again on the previous qualification and the present municipality, demonstration that they are now financially
one being proposed. Before there were three… capable and can measure up to the requirement of the
SENATOR PIMENTEL. There are three requisites for a Local Government Code of having a revenue of at least
municipality to become a city. Let us start with the finance. P20 million.
SENATOR SOTTO. Will the distinguished sponsor please SENATOR SOTTO. I am glad that the sponsor, Mr.
refresh us? I used to be the chairman of the Committee on President, has spread that into the Record because otherwise,
Local Government, but the new job that was given to me by if he did not mention the Department of Finance and the
the Senate has erased completely my memory as far as the Department of Budget and Management, then I would have
Local Government Code is concerned. been blamed for the misinterpretation. But anyway, the
SENATOR PIMENTEL. Yes, Mr. President, with pleasure. gentleman is correct. That was the interpretation given to us
There are three requirements. One is financial. during the hearings.
SENATOR SOTTO. All right. It used to be P20 million. So now, from P20 million, we make it P100 million from
SENATOR PIMENTEL. It is P20 million. Now we are locally generated income as far as population is concerned.
raising it to P100 million of locally generated funds. SENATOR PIMENTEL. As far as population is concerned,
SENATOR SOTTO. In other words, the P20 million there will be no change, Mr. President. Still 150,000.
before includes the IRA.181 SENATOR SOTTO. Still 150,000?
SENATOR PIMENTEL. Yes.
VOL. 643, 181 SENATOR SOTTO. And then the land area?
FEBRUARY 15, 2011 SENATOR PIMENTEL. As to the land area, there is no
change; it is still 100 square kilometers.
League of Cities of the SENATOR SOTTO. But before it was “either/or”?
Philippines (LCP) vs. SENATOR PIMENTEL. That is correct. As long as it has
Commission on Elections one of the three requirements, basically, as long as it meets the
SENATOR PIMENTEL. No, Mr. President. fi-
SENATOR SOTTO. It should not have been included? 182
SENATOR PIMENTEL. The internal revenue share
should never have been included. That was not the 182 SUPREME COURT
intention when we first crafted the Local Government REPORTS
Code. The financial capacity was supposed to be ANNOTATED
demonstrated by the municipality wishing to become a city League of Cities of the
by its own effort, meaning to say, it should not rely on the Philippines (LCP) vs.

23 | P a g e
Commission on Elections 183
nancial requirement, then it may meet the territorial VOL. 643, 183
requirement or the population requirement. FEBRUARY 15, 2011
SENATOR SOTTO. So, it remains “or”? League of Cities of the
SENATOR PIMENTEL. We are now changing it into AND. Philippines (LCP) vs.
SENATOR SOTTO. AND?
SENATOR PIMENTEL. Yes.
Commission on Elections
SENATOR SOTTO. I see. From the foregoing, the justness in the act of Congress in
SENATOR PIMENTEL. That is the proposal, Mr. enacting the Cityhood Laws becomes obvious, especially
President. In other words… considering that 33 municipalities were converted into
SENATOR SOTTO. Does the gentleman not think there component cities almost immediately prior to the enactment of
will no longer be any municipality that will qualify, Mr. R.A. No. 9009. In the enactment of the Cityhood Laws,
President? Congress merely took the 16 municipalities covered thereby
SENATOR PIMENTEL. There may still be municipalities from the disadvantaged position brought about by the abrupt
which can qualify, but it will take a little time. They will increase in the income requirement of R.A. No. 9009,
have to produce more babies. I do not know—expand their
acknowledging the “privilege” that they have already given to
territories, whatever, by reclamation or otherwise. But the
whole proposal is geared towards making it difficult for
those newly-converted component cities, which prior to the
municipalities to convert into cities. enactment of R.A. No. 9009, were undeniably in the same
On the other hand, I would like to advert to the fact that in footing or “class” as the respondent municipalities. Congress
the amendments that we are proposing for the entire Local merely recognized the capacity and readiness of respondent
Government Code, we are also raising the internal municipalities to become component cities of their respective
revenue share of the municipalities. provinces.
SENATOR SOTTO. I see. Petitioners complain of the projects that they would not be
SENATOR PIMENTEL. So that, more or less, hindi able to pursue and the expenditures that they would not be able
naman sila dehado in this particular instance. to meet, but totally ignored the respondent municipalities’
SENATOR SOTTO. Well, then, because of that obligations arising from the contracts they have already entered
information, Mr. President, I throw my full support
into, the employees that they have already hired, and the
behind the measure.
Thank you, Mr. President.
projects that they have already initiated and completed as
SENATOR PIMENTEL. Thank you very much, Mr. component cities. Petitioners have completely overlooked the
President. (Emphasis supplied) 16 need of respondent municipalities to become effective vehicles
intending to accelerate economic growth in the countryside. It
_______________ is like the elder siblings wanting to kill the newly-borns so that
16 Committee Amendments re S. No. 2157, Records of the Senate, Vol. II, their inheritance would not be diminished.
No. 24, October 5, 2000, pp. 165-166; id., at pp. 3766-3767. Apropos is the following parable:

24 | P a g e
There was a landowner who went out at dawn to hire Congress, who holds the power of the purse, in enacting the
workmen for his vineyard. After reaching an agreement with Cityhood Laws, only sought the well-being of respondent
them for the usual daily wage, he sent them out to his vineyard. municipalities, having seen their respective capacities to
He came out about midmorning and saw other men standing become component cities of their provinces, temporarily
around the marketplace without work, so he said to them, “You stunted by the enactment of R.A. No. 9009. By allowing
too go along to my vineyard and I will pay you whatever is respondent municipalities to convert into component cities,
fair.” They went. He came out again around noon and mid- Congress desired only to uphold the very purpose of the
afternoon and did the same. Finally, going out in late afternoon LGC, i.e., to make the local government units “enjoy genuine
he found still others standing around. To these he said, “Why and meaningful local autonomy to enable them to attain their
have you been standing here idle all day?” “No one fullest development as self-reliant communities and make them
184 more effective partners in the attainment of national goals,”
184 SUPREME COURT which is the very mandate of the Constitution.
REPORTS Finally, we should not be restricted by technical rules of
ANNOTATED procedure at the expense of the transcendental interest of
League of Cities of the justice and equity. While it is true that litigation must end, even
Philippines (LCP) vs. at the expense of errors in judgment, it is nobler rather for this
Commission on Elections Court of last resort, as vanguard of truth, to toil in order to
dispel apprehensions and doubt, as the following
has hired us,” they told him. He said, “You go to the vineyard
pronouncement of this Court instructs:
too.” When evening came, the owner of the vineyard said to his _______________
foreman, “Call the workmen and give them their pay, but begin
with the last group and end with the first.” When those hired 17 Mat. 20: 1-15.
late in the afternoon came up they received a full day’s pay,
185
and when the first group appeared they thought they would get
VOL. 643, 185
more, yet they received the same daily wage. Thereupon they
complained to the owner, “This last group did only an hour’s FEBRUARY 15, 2011
work, but you have paid them on the same basis as us who League of Cities of the
have worked a full day in the scorching heat.” “My friend,” he Philippines (LCP) vs.
said to one in reply, “I do you no injustice. You agreed on the Commission on Elections
usual wage, did you not? Take your pay and go home. I intend “The right and power of judicial tribunals to declare whether
to give this man who was hired last the same pay as you. I am enactments of the legislature exceed the constitutional limitations
free to do as I please with my money, am I not? Or are you and are invalid has always been considered a grave responsibility, as
envious because I am generous?”17 well as a solemn duty. The courts invariably give the most careful
consideration to questions involving the interpretation and
application of the Constitution, and approach constitutional questions

25 | P a g e
with great deliberation, exercising their power in this respect with the COURT REPORTS
greatest possible caution and even reluctance; and they should never ANNOTATED
declare a statute void, unless its invalidity is, in their judgment,
beyond reasonable doubt. To justify a court in pronouncing a League of Cities of the
legislative act unconstitutional, or a provision of a state constitution Philippines (LCP) vs.
to be in contravention of the Constitution x x x, the case must be so Commission on Elections
clear to be free from doubt, and the conflict of the statute with the Nachura, J., No Part.
constitution must be irreconcilable, because it is but a decent respect Leonardo-De Castro, J., I certify that J. De Castro left her
to the wisdom, the integrity, and the patriotism of the legislative vote concurring with J. Bersamin.
body by which any law is passed to presume in favor of its validity Brion and Sereno, JJ., We join the dissent of J. Carpio.
until the contrary is shown beyond reasonable doubt. Therefore, in
Peralta and Villarama, JJ., We join the Dissenting
no doubtful case will the judiciary pronounce a legislative act to be
contrary to the constitution. To doubt the constitutionality of a law is
Opinion of J. Carpio.
to resolve the doubt in favor of its validity.” 18 Del Castillo, J., No Part.
Abad, J., See Concurring Opinion.
WHEREFORE, the Motion for Reconsideration of the
“Resolution” dated August 24, 2010, dated and filed on CONCURRING OPINION
September 14, 2010 by respondents Municipality of Baybay, et ABAD, J.:
al. is GRANTED. The Resolution dated August 24, 2010 is The Court has received flak on this case for supposed “flip-
REVERSED and SET ASIDE. The Cityhood Laws—Republic flopping.” But its shifting views are understandable because of
Acts Nos. 9389, 9390, 9391, 9392, 9393, 9394, 9398, 9404, the nearly even soundness of the opposing advocacies of the
9405, 9407, 9408, 9409, 9434, 9435, 9436, and 9491—are two groups of cities over the validity of the sixteen cityhood
declared CONSTITUTIONAL. laws.1 It also does not help that the membership of the Court
SO ORDERED. has been altered by retirements and replacements at various
Corona (C.J.), Velasco, Jr., Perez and Mendoza, JJ., stages from when it first decided to annul the laws, to when it
concur. reconsidered and upheld their validity, and to when it reverted
Carpio, J., See Dissenting Opinion. to the original position and declared the laws involved
Carpio-Morales, J., I maintain my vote in the original unconstitutional. This to me is a healthy sign of democracy at
ponencia. Hence, I concur with the dissent of J. Carpio. work, the members being blind to the need to conform.
_______________ In its Resolution of August 24, 2010, the Court reversed its
December 21, 2009 Decision and denied the quest for cityhood
18 Churchill v. Rafferty, 32 Phil. 580, 584 (1915). of sixteen municipalities on the ground that the laws creating
186 them violated Section 10, Article X of the 1987 Constitution2
_______________
186 SUPREME

26 | P a g e
1 Republic Acts 9389, 9390, 9391, 9392, 9394, 9398, 9393, 9404, 9405, criterion prescribed in Section 450 of the Local Government
9407, 9408, 9409, 9434, 9436, 9435 and 9491.
2 Section 10: No province, city, municipality, or barangay may be created,
Code.4 Since those laws, which were passed after the enactment
divided, merged, abolished, or its boundary substantially altered, except in of Republic Act (R.A.) 9009,5 covered municipalities that did
accordance with the criteria established in the not
_______________
187
VOL. 643, 187  local government code and subject to approval by a majority of the votes cast
FEBRUARY 15, 2011 in a plebiscite in the political units directly affected.

League of Cities of the 3 Section 1, Article III: No person shall be deprived of life, liberty and
Philippines (LCP) vs. property without due process of law nor shall any person be denied the equal
Commission on Elections protection of the laws. (Emphasis Supplied)
4 Republic Act 7160, as amended.
and the equal protection clause. 3 By that resolution, the 5 An Act Amending Section 450 of Republic Act No. 7160, Otherwise
majority also held that the Court erred in setting aside its Known as The Local Government Code of 1991, by Increasing the Average
November 18, 2008 decision since this latter had attained Annual Income Requirement for a Municipality or Cluster of Barangay to be
Converted into a Component City.
finality after the Court’s denial of the second motion for
reconsideration of the respondent cities, albeit the 6-6 deadlock 188
vote and the corresponding entry of judgment. 188 SUPREME COURT
REPORTS
The Issues Presented ANNOTATED
The motion for reconsideration of respondent cities presents League of Cities of the
the following issues: Philippines (LCP) vs.
1. Whether or not the sixteen cityhood laws violate Commission on Elections
Section 10, Article X of the 1987 Constitution; comply with the amended income requirement set by the Local
2. Whether or not such laws violate the equal protection Government Code, their conversion into cities were
clause; and constitutionally infirm. The majority held that R.A. 9009 did
3. Whether or not the Court could still modify its decision not provide exemptions from its application. Although the
dated November 18, 2008. provisions in the sixteen cityhood laws established exemptions
from such requirement for the subject municipalities, the same
Discussions can not be considered without violating Section 10, Article X,
taking into account the legislature’s primary intent in passing
One. In ruling that the sixteen cityhood laws violated R.A. 9009.6
Section 10 of Article X, the majority in the Court held that the I take exception on how the majority of the Court
creation of local government units must conform to the selectively chose to focus on the sponsorship speech of Senator

27 | P a g e
Aquilino Pimentel to come up with a “primary intent” theory are already approved by the House under the old version
for R.A. 9009. Surely, the intent of R.A. 9009 can not be based of the [LGC] and are now pending in the Senate? The
solely on that speech. The Court should not ignore the Chair does not know if we can craft a language which will
legislative history of R.A. 9009, including the pertinent limit the application to those which are not yet in the
Senate. Or is that a policy that the Chamber will adopt?
exchanges during the interpellation of Senator Pimentel and
SENATOR PIMENTEL. Mr. President, personally, I
Senate President Franklin Drilon, thus: do not think it is necessary to put that provision because
THE PRESIDENT. The Chair would like to ask for
what we are saying here will form part of the
some clarificatory point. x x x
interpretation of this bill. Besides, if there is no
THE PRESIDENT. This is just on the point of the
retroactivity clause, I do not think that the bill would have
pending bills in the Senate which propose the conversion
any retroactive effect.
of a number of municipalities into cities and which qualify
THE PRESIDENT. So the understanding is that
under the present standard.
those bills which are already pending in the Chamber will
We would like to know the view of the sponsor:
not be affected.
Assuming that this bill becomes a law, will the Chamber
SENATOR PIMENTEL. These will not be affected
apply the standard as proposed in this bill to those bills
Mr. President.  (Emphasis supplied)
7

which are pending for consideration?


SENATOR PIMENTEL. Mr. President, it might not Two things are clear from the above exchanges. First, the
be fair to make this bill x x x [if] approved, retroact to the legislature intended to exempt from the amended income
bills that are pending in the Senate for conversion from requirement of R.A. 9009 the municipalities that had pending
municipalities to cities.
_______________
cityhood bills during the 11th Congress. As a matter of fact,
such legislative intent was carried over to the 12th and the 13th
6 To restrain “the mad rush of municipalities wanting to be converted into Congress when the House of Representatives adopted Joint
cities”. Sponsorship speech of Senator Aquilino Pimintel, October 5, 2000. Resolutions8 that sought the exemption of twenty-four
189 municipalities, including the sixteen, from the application of
R.A. 9009. The continuing intent of Congress culminated in the
VOL. 643, 189 _______________
FEBRUARY 15, 2011
7 See Justice Ruben T. Reyes’ Dissent promulgated on November 18, 2008;
League of Cities of the citing II Record, Senate, 13th Congress, pp. 167-168.
Philippines (LCP) vs. 8 Joint Resolution No. 29 entitled: “Joint Resolution to Exempt Certain
Commission on Elections Municipalities Embodied in Bills Filed in Congress before June 30, 2001 from
the coverage of Republic Act No. 9009” and Joint Resolution No. 1, readopting
THE PRESIDENT. Will there be an appropriate Joint Resolution No. 29.
language crafted to reflect that view? Or does it not
become a policy of the Chamber, assuming that this bill 190
becomes a law x x x that it will apply to those bills which 190 SUPREME COURT

28 | P a g e
REPORTS should have adopted an attitude of becoming humility,
ANNOTATED upholding the constitutionality of the acts of a co-equal branch
League of Cities of the of government regarding a matter that properly fell within its
Philippines (LCP) vs. powers.
Two. The equal protection clause of the Constitution seeks
Commission on Elections
to protect persons from being deprived of life, liberty, or
inclusion of the exemption clause in the cityhood bills and their
property by the uneven application of statutes. In invoking
subsequent passage. 191
Second, it is also clear from the above exchanges between VOL. 643, 191
Senators Pimentel and Drilon that Congress did not anymore
FEBRUARY 15, 2011
insert an exemption clause from the income requirement of
R.A. 9009 since such exchanges, when read by the Court, League of Cities of the
would already reveal the lawmakers’ intent regarding such Philippines (LCP) vs.
matter. Commission on Elections
Besides, the exemption clause found in each of the cityhood this protection, it is incumbent on petitioner League of Cities to
laws serves as an affirmation of Congress’ intent to exempt show, not only that the exemption granted to the sixteen cities
them from the increased income requirement of R.A. 9009. amounted to arbitrary classification but, that the League or
These new cities have not altogether been exempted from the their members have been deprived of life, liberty or property,
operation of the Local Government Code covering income by reason of the exemption. The League of Cities has failed to
requirement. They have been expressly made subject to the discharge this burden.
lower income requirement of the old code. There remains, The Court explained in Ichong v. Hernandez9 the limits of
therefore, substantial compliance with the provision of Section the equal protection clause, thus:
10, Article X of the Constitution which provides that no city “The equal protection of the law clause is against undue favor
may be created “except in accordance with the criteria and individual or class privilege, as well as hostile discrimination
or the oppression of inequality. It is not intended to prohibit
established in the local government code.”
legislation, which is limited either in the object to which it is
The above interpretation accommodates the “primary” directed or by territory within which is to operate. It does not
intention of Congress in preventing the mad rush of demand absolute equality among residents; it merely requires
municipalities wanting to be converted into cities and the other that all persons shall be treated alike, under like circumstances
intention of Congress to exempt the municipalities which have and conditions both as to privileges conferred and liabilities
pending cityhood bills before the enactment of R.A. 9009. enforced. The equal protection clause is not infringed by
This is not to say that the views of the majority in the Court legislation which applies only to those persons falling within a
are absolutely illogical or wrong. They are admittedly specified class, if it applies alike to all persons within such class,
plausible. But, given the unstable footing of such views as and reasonable grounds exists (sic) for making a distinction
evidenced by its shifting positions on the issue, the Court

29 | P a g e
between those who fall within such class and those who do the exemption on the basis of justice and fairness.
not.” (Emphasis supplied) x x x”  (Emphasis supplied)
10

Far from baselessly favoring the sixteen municipalities, What makes the injustice quite bitter is the fact that the
Congress gave them exemptions from the application of R.A. sixteen cities did not merely have pending cityhood bills during
9009 based on its sense of justice and fairness. Senator Alfredo the 11th Congress. They also met at that time the income
Lim explained this in his sponsorship speech on House Joint criteria set under Section 450 of the then Local Government
Resolution No. 1, thus: Code. The Court owes to these cities the considerations that
“x x x The imposition of a much higher income requirement justice and fair play demands. It can not be denied that
for the creation of a city virtually delivered a lethal blow to the substantial distinction sets them apart from the other cities.
aspirations of the 24 municipalities to attain economic growth Further, petitioner League of Cities failed to show that the
and progress. To them, it was unfair; like any sport—changing creation of the sixteen new cities discriminated against other
the rules in the middle of the game.
_______________
cities. As the respondent cities point out, the majority of the
present cities in our midst do not meet the P100 million
9 G.R. No. L-7995, 101 Phil. 1155 (1952), citing 2 Cooley, Constitutional minimum income requirement of the Local Government
Limitations, 824-825. Code.11 It boggles the mind how these deficient cities can
192 complain of denial of equal protection of the law.
Besides, assuming an improper classification in the case of
192 SUPREME COURT the sixteen cities, petitioner League of Cities can not invoke the
REPORTS equal protection clause since it has failed to show that it
ANNOTATED _______________
League of Cities of the 10 Journal, Senate 13th Congress, 59th Session, 1238 -1240 cited in Justice
Philippines (LCP) vs. Ruben T. Reyes’ Dissent promulgated on November 18, 2008.
Commission on Elections 11 Motion for Reconsideration of respondent cities, p. 49.
xxxx 193
I, for one, share their view that fairness dictates that they
VOL. 643, 193
should be given a legal remedy by which they could be allowed to
prove that they have all the necessary qualifications for city FEBRUARY 15, 2011
status using the criteria set forth under the Local Government League of Cities of the
Code prior to its amendment by R.A. 9009. Philippines (LCP) vs.
xxxx Commission on Elections
In essence, the Cityhood bills now under consideration will will suffer deprivation of life, liberty, or property by reason of
have the same effect as that of House Joint Resolution No. 1
such classification.
because each of the 12 bills seeks exemption from the higher
income requirement of R.A. 9009. The proponents are invoking

30 | P a g e
Actually, the existing cities would not cease to exist nor 194
would their liberties suffer by reason of the enactment of the 194 SUPREME COURT
sixteen cityhood laws. That their Internal Revenue Allotment REPORTS
(IRA) will be diminished does not amount to deprivation of ANNOTATED
property since the IRA is not their property until it has been League of Cities of the
automatically released.12 Mere expectancy in the receipt of IRA Philippines (LCP) vs.
can not be regarded as the “property” envisioned in the Bill of Commission on Elections
Rights.
I vote to GRANT the motion for reconsideration of the
Three. The majority maintain that the Court did not
respondent cities, REVERSE AND SET ASIDE the
properly set aside its original decision dated November 18,
Resolution of the Court dated August 24,
2008, which earlier invalidated the Cityhood laws since,
2010, REINSTATE the Decision of the Court dated December
procedurally, the Court had previously declared such decision
21, 2009, and DISMISS the Consolidated petitions of the
already final.13 But a question had been raised regarding the
League of Cities.
propriety of such declaration of finality, given a pending
question respecting the consequence of a 6-6 vote on the DISSENTING OPINION
constitutionality of the cityhood laws. At any rate, the Court
has under extraordinary circumstances14 reconsidered its ruling CARPIO, J.:
despite an entry of judgment. It will not allow the technical I dissent.
rules to hinder it from rendering just and equitable relief.15 In their motion for reconsideration, respondents argue that:
The issues presented in this case do not only involve rights (1) the petitions on their face do not call for the exercise of
and obligations of some parties but the constitutionality of the judicial power considering that the share of local government
exercise by Congress of its power to make laws. There is no units in the Internal Revenue Allotments does not constitute
reason to uphold the November 18, 2008 decision since the rights which are legally demandable and enforceable; (2) the 16
petitioner League of Cities has failed to overcome the strong Cityhood Laws are not unconstitutional; and (3) there was no
presumption in favor of the cityhood laws’ constitutionality. violation of the equal protection clause.
_______________
The crux of the controversy is whether the 16 Cityhood
12 Pimentel, Jr. v. Aguirre, G.R. No. 132988, July 19, 2000, 336 SCRA Laws are constitutional.1
201. As I have consistently opined, which opinion is concurred
13 The Entry of Judgment of the Decision dated November 18, 2008 was in by the majority members of this Court in the reinstated
made on May 21, 2009 as per Resolution of the Court dated June 2, 2009. Decision of 18 November 2008 and in the assailed Resolution
14 See Manotok IV v. Heirs of Barque, G.R. Nos. 162335 & 162605,
December 18, 2008, 574 SCRA 468. of 24 August 2010, the 16 Cityhood Laws are
15 Javier v. Commission on Elections, G.R. Nos. L-68379-81, September unconstitutional.
22, 1986.

31 | P a g e
First, the 16 Cityhood Laws violate Section 10, Article X of to become a city must satisfy the P100 million income
the 1987 Constitution. This provision reads: requirement. Section 450 of the Local Government Code, as
_______________ amended by RA 9009, does not contain any exemption from
this income requirement.
1 In paragraph 93 of the motion for reconsideration, respondents state:
93.  Thus, in this motion for reconsideration of the “Resolution” of In enacting RA 9009, Congress did not grant any exemption
August 24, 2010, what is in issue is the correctness of the ruling of the to respondent municipalities, even though their cityhood bills
Majority on [the] merits of the case, particularly the constitutionality of were pending in Congress when Congress passed RA 9009.
the Cityhood Laws. The Cityhood Laws, all enacted after the effectivity of RA
195 9009, explicitly exempt respondent municipalities from the
VOL. 643, 195 increased income requirement in Section 450 of the Local
FEBRUARY 15, 2011 Government Code, as amended by RA 9009. Such exemption
League of Cities of the clearly violates Section 10, Article X of the Constitution and
Philippines (LCP) vs. is thus patently unconstitutional. To be valid, such
exemption must be written in the Local
Commission on Elections _______________
“No province, city, municipality, or barangay shall be created,
divided, merged, abolished or its boundary substantially 2 Republic Act No. 7160, as amended.
altered, except in accordance with the criteria established in the
local government code and subject to approval by a majority of the 196
votes cast in a plebiscite in the political units directly affected.” 196 SUPREME COURT
(Emphasis supplied) REPORTS
ANNOTATED
The Constitution is clear. The creation of local government
units must follow the criteria established in the Local League of Cities of the
Government Code and not in any other law. There is only one Philippines (LCP) vs.
Local Government Code.2 The Constitution requires Congress Commission on Elections
to stipulate in the Local Government Code all the criteria Government Code and not in any other law, including the
necessary for the creation of a city, including the conversion of Cityhood Laws.
a municipality into a city. Congress cannot write such criteria Second, the 16 Cityhood Laws violate the equal protection
in any other law, like the Cityhood Laws. clause of the Constitution.
RA 9009 amended Section 450 of the Local Government “The equal protection clause of the 1987 Constitution
Code to increase the income requirement from P20 million to permits a valid classification under the following conditions:
P100 million for the creation of a city. This took effect on 30 1. The classification must rest on substantial distinctions;
June 2001. Hence, from that moment the Local 2. The classification must be germane to the purpose of
Government Code required that any municipality desiring the law;

32 | P a g e
3. The classification must not be limited to existing at the time of passage of RA 9009. That specific condition
conditions only; and will never happen again. This violates the requirement that
4. The classification must apply equally to all members of a valid classification must not be limited to existing
the same class.”3 conditions only.
Further, the exemption provision in the Cityhood Laws
As I have previously stressed, there is no substantial gives the 16 municipalities a unique advantage based on an
distinction between municipalities with pending cityhood bills arbitrary date—the filing of their cityhood bills before the end
in the 11th Congress and municipalities that did not have of the 11th Congress—as against all other municipalities that
pending bills. The mere pendency of a cityhood bill in the 11th want to convert into cities after the effectivity of RA 9009.
Congress is not a material difference to distinguish one In addition, limiting the exemption only to the 16
municipality from another for the purpose of the income municipalities violates the requirement that the classification
requirement. The pendency of a cityhood bill in the must apply to all similarly situated. Municipalities with the
11th Congress does not affect or determine the level of same income as the 16 respondent municipalities cannot
income of a municipality. Municipalities with pending convert into cities, while the 16 respondent municipalities can.
cityhood bills in the 11th Congress might even have lower Clearly, as worded, the exemption provision found in the
annual income than municipalities that did not have pending Cityhood Laws, even if it were written in Section 450 of the
cityhood bills. In short, the classification criterion—mere Local Government Code, would still be unconstitutional for
pendency of a cityhood bill in the 11th Congress—is not violation of the equal protection clause.
rationally related to the purpose of the law which is to I repeat, Section 10, Article X of the Constitution expressly
prevent fiscally non-viable municipalities from converting provides that “no x x x city shall be created x x x except in
into cities. accordance with the criteria established in the local
_______________
government code.” This provision can only be interpreted in
3 De Guzman, Jr. v. Commission on Elections, 391 Phil. 70, 79; 336 SCRA one way, that is, all the criteria for the creation of cities must be
188, 196 (2000); Tiu v. Court of Tax Appeals, 361 Phil. 229, 242; 301 SCRA embodied exclusively in the Local Government Code. In this
278, 289 (1999). case, the Cityhood Laws, which are unmistakably laws other
197 than the Local Government Code, provided an exemption from
VOL. 643, 197 the increased income requirement for the creation of cities
FEBRUARY 15, 2011 under Section 450 of the Local Government Code, as amended
League of Cities of the by RA 9009. Clearly, the Cityhood Laws contravene the letter
Philippines (LCP) vs. and intent of Section 10, Article X of the Constitution.
Accordingly, I vote to DENY the motion for
Commission on Elections
reconsideration of the Resolution dated 24 August 2010.198
Moreover, the fact of pendency of a cityhood bill in the 11th
198 SUPREME COURT
Congress limits the exemption to a specific condition existing

33 | P a g e
REPORTS
ANNOTATED
League of Cities of the
Philippines (LCP) vs.
Commission on Elections
Motion for Reconsideration granted, resolution reversed
and set aside.
Notes.—As may be gleaned from the Local Government
Code, the creation or conversion of a local government unit is
done mainly to help assure its economic viability. (Latasa vs.
Commission on Elections, 417 SCRA 601 [2003])
Court is not precluded from re-examining its own ruling and
rectifying errors of judgment if blind and stubborn adherence
to res judicata would involve the sacrifice of justice to
technicality. (De Leon vs. Court of Appeals, 371 SCRA 413
[2001])

——o0o—— 
© Copyright 2021 Central Book Supply, Inc. All rights
reserved.

34 | P a g e

You might also like