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Limbona vs. Mangelin (G.R. No.

80391) – Digest Pampook, their legislative arm, is made to dischage chiefly


administrative services. Thus, the SC assumes jurisdiction.
Facts:
Upon the facts presented, the Court finds two sessions held on
Petitioner, Sultan Alimbusar Limbona, was elected Speaker of the
November to be invalid. Wherefore, the petition is Granted. The
Regional Legislative Assembly or Batasang Pampook of Central
petitioner is reinstated as Member and speaker of the Sanggunian.
Mindanao (Assembly). On October 21, 1987 Congressman Datu
Guimid Matalam, Chairman of the Committee on Muslim Affairs of
the House of Representatives, invited petitioner in his capacity as
Speaker of the Assembly of Region XII in a consultation/dialogue San Juan vs. Civil Service Commisssion
with local government officials. Petitioner accepted the invitation GR No. 92299, 19 April 1991
and informed the Assembly members through the Assembly
Secretary that there shall be no session in November as his Facts: The Provincial Budget Officer of Rizal (PBO) was left
presence was needed in the house committee hearing of Congress. vacant; thereafter Rizal Governor San Juan, peititioner, nominated
However, on November 2, 1987, the Assembly held a session in Dalisay Santos for the position and the latter quickly assumed
defiance of the Limbona's advice, where he was unseated from his position. However, Director Abella of Region IV Department of
position. Petitioner prays that the session's proceedings be Budget and Management (DBM) did not endorse the nominee, and
declared null and void and be it declared that he was still the recommended private respondent Cecilia Almajose as PBO on the
Speaker of the Assembly. Pending further proceedings of the case, ground that she was the most qualified. This appointment was
the SC received a resolution from the Assembly expressly subsequently approved by the DBM. Petitioner protested the
expelling petitioner's membership therefrom. Respondents argue appointment of Almajose before the DBM and the Civil Service
that petitioner had "filed a case before the Supreme Court against Commission who both dismissed his complaints. His arguments
some members of the Assembly on a question which should have rest on his contention that he has the sole right and privilege to
been resolved within the confines of the Assembly," for which the recommend the nominees to the position of PBO and that the
respondents now submit that the petition had become "moot and appointee should come only from his nominees. In support
academic" because of its resolution. thereof, he invokes Section 1 of Executive Order No. 112.

Issues: Issue: Whether or not DBM is empowered to appoint a PBO who


1. Whether or not the expulsion of the petitioner (pending was not expressly nominated by the provincial governor.
litigation) has made the case moot and academic.
2. Are the so-called autonomous governments of Mindanao Held: Under the cited Sec 1 of EO 112, the petitioner's power to
subject to the jurisdiction of the national courts? In other words, recommend is subject to the qualifications prescribed by existing
what is the extent of self-government given to the two laws for the position of PBO. Consequently, in the event that the
autonomous governments of Region 9 and 12? recommendations made by the petitioner fall short of the
required standards, the appointing authority, public respondent
Ruling: DBM is expected to reject the same. In the event that the Governor
1. The Court does not agree that the case is moot and academic recommends an unqualified person, is the Department Head free
simply by reason of the expulsion resolution that was issued. If to appoint anyone he fancies?
the expulsion was done purposely to make the petition moot and
academic, it will not make it academic. On the ground of due Petitioner states that the phrase of said law: "upon
process, the Court hold that the expulsion is without force and recommendation of the local chief executive concerned" must be
effect. First, there is no showing that the Sanggunian had given mandatory application in consonance with the state policy
conducted an investigation. It also does not appear that the of local autonomy as guaranteed by the 1987 Constitution under
petitioner had been made aware that he was charged with graft Art. II, Sec. 25 and Art. X, Sec. 2 thereof. He further argues that his
and corruption before his colleagues. It cannot be said therefore power to recommend cannot validly be defeated by a mere
that he was accorded any opportunity to rebut their accusations. administrative issuance of public respondent DBM reserving to
As it stands, the charges now are leveled amount to mere itself the right to fill-up any existing vacancy in case the
accusations that cannot warrant expulsion. Thus, the Court petitioner's nominees do not meet the qualification requirements
ordered reinstatement of the petitioner. as embodied in public respondent DBM's Local Budget Circular
No. 31 dated February 9, 1988.
2. The autonomous governments of Mindanao were organized in
Regions 9 and 12 by Presidential Decree No. 1618. In relation to This case involves the application of a most important
the central government, the Presidential Decree provides that “the constitutional policy and principle, that of local autonomy. We
President shall have the power of general supervision and control have to obey the clear mandate on local autonomy. Where a law is
over the Autonomous Regions...” Now, autonomy is either capable of two interpretations, one in favor of centralized power
decentralization of administration or decentralization of power. in Malacañ ang and the other beneficial to local autonomy, the
There is decentralization of administration when the central scales must be weighed in favor of autonomy.
government delegates administrative powers to political
subdivisions in order to broaden the base of government power The 1935 Constitution clearly limited the executive power over
and in the process to make local governments “more responsive local governments to "general supervision . . . as may be provided
and accountable,” “and ensure their fullest development as self- by law." The President controls the executive departments. He has
reliant communities and make them more effective partners in no such power over local governments. He has only supervision
the pursuit of national development and social progress.” At the and that supervision is both general and circumscribed by statute.
same time, it relieves the central government of the burden of The exercise of greater local autonomy is even more marked in
managing local affairs and enables it to concentrate on national the present Constitution. Article II, Section 25 provides: "The State
concerns. The president exercises “general supervision” over shall ensure the autonomy of local governments"
them, but only to “ensure that local affairs are administered
according to law.” He has not control over their acts in the sense Thereby, DBM Circular is ultra vires and is, accordingly, set aside.
that he can substitute their judgments with his own. The DBM may appoint only from the list of qualified
Decentralization of power, on the other hand, involves an recommendees nominated by the Governor. If none is qualified,
abdication of political power in the favor of local government he must return the list of nominees to the Governor explaining
units declared to be autonomous. In that case, the autonomous why no one meets the legal requirements and ask for new
government is free to chart its own destiny and shape its future recommendees who have the necessary eligibilities and
with minimum intervention from central authorities. qualifications.

According to the Supreme Court, an examination of the very Laguna Lake Development Authority vs CA
Presidential Decree creating the autonomous governments of
Mindanao persuades us to believe that they were never meant to
exercise autonomy through decentralization of power. The FACTS:
Presidential Decree, in the first place, mandates that “the The Laguna Lake Development Authority (LLDA) was created
President shall have the power of general supervision and control through Republic Act No. 4850. It was granted, inter alia, exclusive
over Autonomous Regions.” In the second place, the Sangguniang jurisdiction to issue permits for the use of all surface water for
any project or activity in or affecting the said region including
navigation, construction, and operation of fishpens, fish Local Government Code, local government units are authorized to
enclosures, fish corrals and the like. prevent or suppress, among others, "gambling and other
prohibited games of chance." Obviously, this provision excludes
Then came RA 7160, the Local Government Code of 1991. The games of chance which are not prohibited but are in fact
municipalities in the Laguna Lake region interpreted its permitted by law.
provisions to mean that the newly passed law gave municipal
governments the exclusive jurisdiction to issue fishing privileges The tests of a valid ordinance are well established. A long line of
within their municipal waters. decisions has held that to be valid, an ordinance must conform to
the following substantive requirements:
ISSUE: 1) It must not contravene the constitution or any statute.
Who should exercise jurisdiction over the Laguna Lake and its 2) It must not be unfair or oppressive.
environs insofar as the issuance of permits for fishing privileges is 3) It must not be partial or discriminatory.
concerned, the LLDA or the towns and municipalities comprising 4) It must not prohibit but may regulate trade.
the region? 5) It must be general and consistent with public policy.
6) It must not be unreasonable.
HELD:
LLDA has jurisdiction over such matters because the charter of The rationale of the requirement that the ordinances should not
the LLDA prevails over the Local Government Code of 1991. The contravene a statute is obvious.Casino gambling is authorized by
said charter constitutes a special law, while the latter is a general P.D. 1869. This decree has the status of a statute that cannot be
law. It is basic in statutory construction that the enactment of a amended or nullified by a mere ordinance. Local councils exercise
later legislation which is a general law, cannot be construed to only delegated legislative powers conferred on them by Congress
have repealed a special law. The special law is to be taken as an as the national lawmaking body. The delegate cannot be superior
exception to the general law in the absence of special to the principal or exercise powers higher than those of the latter.
circumstances forcing a contrary conclusion. It is a heresy to suggest that the local government units can undo
the acts of Congress, from which they have derived their power in
In addition, the charter of the LLDA embodies a valid exercise of the first place, and negate by mere ordinance the mandate of the
police power for the purpose of protecting and developing the statute.Hence, it was not competent for the Sangguniang
Laguna Lake region, as opposed to the Local Government Code, Panlungsod of Cagayan de Oro City to enact Ordinance No. 3353
which grants powers to municipalities to issue fishing permits for prohibiting the use of buildings for the operation of a casino and
revenue purposes. Ordinance No. 3375-93 prohibiting the operation of casinos. For
all their praiseworthy motives, these ordinances are contrary to
Thus it has to be concluded that the charter of the LLDA should P.D. 1869 and the public policy announced therein and are
prevail over the Local Government Code of 1991 on matters therefore ultra vires and void.
affecting Laguna de Bay.
Wherefore, the petition is denied.
Magtajas v. Pryce Properties Corp. (G.R. No.
111097) Philippine Petroleum Corporation vs Municipality
of Pililla, Rizal, GR 90776
Facts: FACTS:
PAGCOR decided to expand its operations to Cagayan de Oro City. Philippine Petroleum Corporation (PPC for short) is a business
It leased a portion of a building belonging to Pryce Properties enterprise engaged in the manufacture of a petroleum product,
Corporations, Inc., renovated & equipped the same, and prepared with its refinery plant situated at Malaya, Pililla, Rizal, conducting
to inaugurate its casino during the Christmas season. its business activities within the territorial jurisdiction of the
Municipality of Pililla, Rizal
Civil organizations angrily denounced the project. Petitioners
opposed the casino’s opening and enacted Ordinance No. 3353, Under Section 142 of the National Internal Revenue Code of
prohibiting the issuance of business permit and canceling existing 1939, manufactured oils and other fuels are subject to specific tax.
business permit to the establishment for the operation of the
casino, and Ordinance No. 3375-93, prohibiting the operation of Respondent Municipality of Pililla, Rizal, through Municipal
the casino and providing a penalty for its violation. Council Resolution No. 25, S-1974 enacted Municipal Tax
Ordinance No. 1, S-1974 otherwise known as “The Pililla Tax Code
Respondents assailed the validity of the ordinances on the ground of 1974”. Sections 9 and 10 of the said ordinance imposed a tax on
that they both violated Presidential Decree No. 1869. Petitioners business, except for those for which fixed taxes are provided in
contend that, pursuant to the Local Government Code, they have the Local Tax Code
the police power authority to prohibit the operation of casino for
the general welfare. The respondents then filed a complaint for the collection of
business tax, storage permit fees, mayor’s permit and sanitary
Issue: inspection fees.
Whether the Ordinances are valid.
ISSUE 1:
Ruling: WON PPC whose oil products are subject to specific tax under the
No. Cagayan de Oro City, like other local political subdivisions, is NIRC, is still liable to pay tax on business unto the respondent
empowered to enact ordinances for the purposes indicated in the Municipality of Pililla, Rizal
Local Government Code. It is expressly vested with the police
power under what is known as the General Welfare Clause now HELD 1: YES, a tax on business is distinct from a tax on the article
embodied in Section 16 as follows:Sec. 16. itself.

General Welfare. — Every local government unit shall exercise the RATIO 1: While Section 2 of P.D. 436 prohibits the imposition of
powers expressly granted, those necessarily implied therefrom, as local taxes on petroleum products, said decree did not amend
well as powers necessary, appropriate, or incidental for its Sections 19 and 19 (a) of P.D. 231 as amended by P.D. 426,
efficient and effective governance, and those which are essential wherein the municipality is granted the right to levy taxes on
to the promotion of the general welfare. Within their respective business of manufacturers, importers, producers of any article of
territorial jurisdictions, local government units shall ensure and commerce of whatever kind or nature.
support, among other things, the preservation and enrichment of
culture, promote health and safety, enhance the right of the The exercise by local governments of the power to tax is ordained
people to a balanced ecology, encourage and support the by the present Constitution. To allow the continuous effectivity of
development of appropriate and self-reliant scientific and the prohibition set forth in PC No. 26-73 (1) would be tantamount
technological capabilities, improve public morals, enhance to restricting their power to tax by mere administrative issuances.
economic prosperity and social justice, promote full employment Under Section 5, Article X of the 1987 Constitution, only
among their residents, maintain peace and order, and preserve guidelines and limitations that may be established by Congress
the comfort and convenience of their inhabitants. can define and limit such power of local governments.
he or she finds that the latter has acted contrary to law. This is the
ISSUE 2: WON PPC whose oil products are subject to specific tax scope of the President's supervisory powers over LGUs
under the NIRC, is still liable to pay the storage fee unto the
respondent Municipality of Pililla, Rizal
JOHN HAY PEOPLES ALTERNATIVE COALITION
HELD 2: NO, Provincial Circular No. 6-77 enjoining all city and
municipal treasurers to refrain from collecting the so-called Facts:
storage fee on flammable or combustible materials imposed in the R.A. No. 7227 likewise created and grantedthe Subic SEZ
local tax ordinance of their respective locality frees petitioner PPC incentives ranging from tax and duty-free importations,
from the payment of storage permit fee. exemption of businesses therein from local and national taxes, to
other hallmarks of a liberalized financial and business climate.
RATIO 2: The storage permit fee being imposed by Pililla’s tax
ordinance is a fee for the installation and keeping in storage of any And R.A. No. 7227 expressly gave authority to the President to
flammable, combustible or explosive substances. Inasmuch as said create through executive proclamation, subject to the concurrence
storage makes use of tanks owned not by the municipality of of the local government units directly affected, other Special
Pililla, but by petitioner PPC, same is obviously not a charge for Economic Zones (SEZ) in the areas covered respectively by the
any service rendered by the municipality as what is envisioned in Clark military reservation, the Wallace Air Station in San
Section 37 of the same Code. Fernando, La Union, and Camp John Hay.

ISSUE 3: WON PPC whose oil products are subject to specific tax On July 5, 1994 then President Ramos issued Proclamation No.
under the NIRC, is still liable to pay the permit fees unto the 420 which established a SEZ on a portion of Camp John Hay.
respondent Municipality of Pililla, Rizal
In maintaining the validity of Proclamation No. 420, respondents
HELD 3: YES. contend that by extending to the John Hay SEZ economic
RATIO 3: Section 10 (z) (13) of Pililla’s Municipal Tax Ordinance incentives similar to those enjoyed by the Subic SEZ which was
No. 1 prescribing a permit fee is a permit fee allowed under established under R.A. No. 7227, the proclamation is merely
Section 36 of the amended Code. implementing the legislative intent of said law to turn the US
military bases into hubs of business activity or investment.
ISSUE 4: WON the mayor has authority to waive payment of the
mayor’s permit and sanitary inspection fees Issue:
WON Proclamation No. 420 is constitutional by providing for
HELD 4: NO HE DOES NOT, it is the law-making body, and not an national and local tax exemption within and granting other
executive like the mayor, who can make an exemption. economic incentives to the John Hay SEZ

RATIO 4: The trial court did not err in holding that “since the NO!
power to tax includes the power to exempt thereof which is Nowhere in RA 7227 is there a grant of tax exemption to SEZs yet
essentially a legislative prerogative, it follows that a municipal to be established in base areas, unlike the grant under Section 12
mayor who is an executive officer may not unilaterally withdraw which provides for tax exemption to the established Subic SEZ.
such an expression of a policy thru the enactment of a tax.” The tax exemption grant to John Hay SEZ contravenes Article VI,
Section 28 (4) of the 1987 Constitution which provides that “No
In the absence of a clear and express exemption from the payment law granting any tax exemption shall be passed without the
of said fees, the waiver cannot be recognized. Under Section 36 of concurrence of a majority of all the members of Congress.
the Code, a permit fee like the mayor’s permit, shall be required
before any individual or juridical entity shall engage in any Furthermore, it is the Legislature, unless limited by a provision of
business or occupation under the provisions of the Code. the state constitution, which has the full power to exempt any
person or corporation or class of property from taxation, its
power to exempt being as broad as its power to tax. The grant by
Dadole vs CoA Proclamation No. 420 of tax exemption and other privileges to the
John Hay SEZ is VOID for being violative of the Constitution.
FACTS:
Acting on the DBM's Local Budget Circular No. 55, the Mandaue
City Auditor issued notices of disallowances to RTC and MTC JUDGE TOMAS C. LEYNES, petitioner, vs.
Judges, in excess of the amount (maximum of P1000 and P700 in COMMISSION ON AUDIT (COA)
provinces and cities and municipalities, respectively) authorized
by said circular. The additional monthly allowances of the judges
Facts:
shall be reduced to P1000 each. They were also asked to
Petitioner Judge Tomas C. Leynes, is the presiding judge of the
reimbursed the amount they received in excess of P1000 from the
Regional Trial Court of Calapan City, Oriental Mindoro, Branch 40.
last six months.
His salary and representation and transportation allowance
(RATA) were drawn from the budget of the Supreme Court.
ISSUE:
Besides that, petitioner also received a monthly allowance of P944
Whether or not Local Budget Circular No. 55 void for going
from the local funds of the Municipality of Naujan starting 1984.
beyond the supervisory powers of the President.
On May 7, 1993, the Sangguniang Bayan unanimously approved a
RULING:
resolution increasing petitioner judge’s monthly allowance from
Yes. Although the Constitution guarantees autonomy to local
P944 to P1,600 (an increase of P656) starting May 1993. This
government units, the exercise of local autonomy remains subject
supplemental budget was approved by the municipal government
to the power of control by Congress and the power of supervision
(the Municipal Mayor and the Sangguniang Bayan) and was also
by the President. Sec 4 Art X of 1987 Constitution: "The President
likewise approved by the Sangguniang Panlalawigan and the
of the Philippines shall exercise general supervision over local
Office of Provincial Budget and Management of Oriental Mindoro.
governments. x x x" The said provision has been interpreted to
exclude the power of control.
On February 17, 1994, Provincial Auditor Salvacion M. Dalisay
sent a letter to the Municipal Mayor and the Sangguniang Bayan of
The members of the Cabinet and other executive officials are
Naujan directing them to stop the payment of the P1,600 monthly
merely alter egos of the President. As such, they are subject to the
allowance or RATA to petitioner judge and to require the
power of control of the President; he will see to it that the local
immediate refund of the amounts previously paid to the latter.
governments or their officials were performing their duties as
She reasoned that the Municipality of Naujan could not grant
provided by the Constitution and by statutes, at whose will and
RATA to petitioner judge in addition to the RATA the latter was
behest they can be removed from office; or their actions and
already receiving from the Supreme Court. Petitioner judge
decisions changed, suspended or reversed. They are subject to the
appealed the matter to COA Regional Director Gregoria S. Ong
President's supervision only, not control, so long as their acts are
who, however, upheld the opinion of Provincial Auditor Dalisay.
exercised within the sphere of their legitimate powers. The
President can only interfere in the affairs and activities of a LGU if
Issue/s: Sometime in November 1993, petitioner increased its subscriber
Whether or not the Municipality of Naujan, Oriental Mindoro can rates from P88.00 to P180.00 per month. As a result, respondent
validly provide RATA to its Municipal Judge, in addition to that Mayor wrote petitioner a letter threatening to cancel its permit
provided by the Supreme Court. unless it secures the approval of respondent Sangguniang
Panlungsod, pursuant to Resolution No. 210.
Ruling:
Yes. Section 447(a)(1)(xi) of RA 7160, the Local Government Code Petitioner then filed with the RTC, Branch 7, Batangas City, a
of 1991, provides: petition for injunction alleging that respondent Sangguniang
“(a) The sangguniang bayan, as the legislative body of the Panlungsod has no authority to regulate the subscriber rates
municipality, shall enact ordinances, approve resolutions and charged by CATV operators because under Executive Order No.
appropriate funds for the general welfare of the municipality and 205, the National Telecommunications Commission (NTC) has the
its inhabitants . . ., and shall: sole authority to regulate the CATV operation in the Philippines.

(1) Approve ordinances and pass resolutions necessary for an ISSUE :


efficient and effective municipal government, and in this may a local government unit (LGU) regulate the subscriber rates
connection shall: charged by CATV operators within its territorial jurisdiction?
xxx
HELD: No.
(xi) When the finances of the municipal government allow,
provide for additional allowances and other benefits to judges, The logical conclusion, therefore, is that in light of the above laws
prosecutors, public elementary and high school teachers, and and E.O. No. 436, the NTC exercises regulatory power over CATV
other national government officials stationed in or assigned to the operators to the exclusion of other bodies.
municipality; (emphasis supplied)”
Like any other enterprise, CATV operation maybe regulated by
Respondent COA, however, contends that the above section has LGUs under the general welfare clause. This is primarily because
been repealed, modified or amended by NCC No. 67, RA 7645 (the the CATV system commits the indiscretion of crossing public
General Appropriations Act of 1993) and LBC No. 53. A review of properties. (It uses public properties in order to reach
the two laws, however, shows that this was not so. Section 36 of subscribers.) The physical realities of constructing CATV system –
RA 7645 merely provided for the different rates of RATA payable the use of public streets, rights of ways, the founding of structures,
to national government officials or employees, depending on their and the parceling of large regions – allow an LGU a certain degree
position, and stated that these amounts were payable from the of regulation over CATV operators.
programmed appropriations of the parent agencies to which the
concerned national officials or employees belonged. Furthermore, But, while we recognize the LGUs’ power under the general
there was no other provision in RA 7645 from which a repeal of welfare clause, we cannot sustain Resolution No. 210. We are
Section 447(a) (l)(xi) of RA 7160 could be implied. In the absence, convinced that respondents strayed from the well recognized
therefore, of any clear repeal of Section 447(a)(l)(xi) of RA 7160, limits of its power. The flaws in Resolution No. 210 are: (1) it
it cannot be presume to be such intention on the part of the violates the mandate of existing laws and (2) it violates the State’s
legislature. deregulation policy over the CATV industry.

The NCC No. 67 on the other hand, seeks to prevent the dual LGUs must recognize that technical matters concerning CATV
collection of RATA by a national official from the budgets of more operation are within the exclusive regulatory power of the NTC.
than one national agency. It is in fact an administrative tool of the
DBM to prevent the much-abused practice of multiple allowances, Garcia et al. vs COMELEC
thus standardizing the grant of RATA by national agencies. It was
issued primarily to make the grant of RATA to national officials FACTS:
under the national budget uniform. In other words, it applies only Enrique T. Garcia was elected governor of Bataan in the 1992
to the national funds administered by the DBM, not the local funds elections. Some mayors, vice-mayors and members of the
of LGUs. Sangguniang Bayan of the twelve (12) municipalities of the
province constituted themselves into a Preparatory Recall
Now, though LBC No. 53 of the DBM may be considered within the Assembly to initiate the recall election of petitioner Garcia. They
ambit of the President's power of general supervision over LGUs, issued Resolution No. 1 as formal initiation of the recall
the SC ruled that Section 3, paragraph (e) thereof is invalid. RA proceedings. COMELEC scheduled the recall election for the
7160, the Local Government Code of 1991, clearly provides that gubernatorial position of Bataan.
provincial, city and municipal governments may grant allowances
to judges as long as their finances allow. Section 3, paragraph (e) Petitioners then filed a petition for certiorari and prohibition
of LBC No. 53, by outrightly prohibiting LGUs from granting with writ of preliminary injunction to annul the Resolution of the
allowances to judges whenever such allowances are (1) also COMELEC because the PRAC failed to comply with the
granted by the national government or (2) similar to the "substantive and procedural requirement" laid down in Section
allowances granted by the national government, violates Section 70 of R.A. 7160 (Local Government Code 1991). They pointed out
447(a)(l)(xi) of the Local Government Code of 1991. As already the most fatal defect of the proceeding followed by the PRAC in
stated, a circular must conform to the law it seeks to implement passing the Resolution: the deliberate failure to send notices of
and should not modify or amend it. Moreover, by prohibiting the meeting to 65 members of the assembly.
LGUs from granting allowances similar to the allowances granted
by the national government, Section 3 (e) of LBC No. 53 practically ISSUES:
prohibits LGUs from granting allowances to judges and, in effect, 1) Whether or not the people have the sole and exclusive right to
totally nullifies their statutory power to do so. Being unduly initiate recall proceedings.
restrictive therefore of the statutory power of LGUs to grant
allowances to judges and being violative of their autonomy 2) Whether or not the procedure for recall violated the right of
guaranteed by the Constitution, Section 3, paragraph (e) of LBC elected local public officials belonging to the political minority to
No. 53 is hereby declared null and void. equal protection of the law.

RULING:
BATANGAS CATV, INC. vs. THE COURT OF APPEALS 1) No. There is nothing in the Constitution that will remotely
FACTS: suggest that the people have the "sole and exclusive right to
On July 28, 1986, respondent Sangguniang Panlungsod enacted decide on whether to initiate a recall proceeding." The
Resolution No. 210 granting petitioner a permit to construct, Constitution did not provide for any mode, let alone a single
install, and operate a CATV system in Batangas City. Section 8 of mode, of initiating recall elections.
the Resolution provides that petitioner is authorized to charge its
subscribers the maximum rates specified therein, “provided, The mandate given by section 3 of Article X of the Constitution is
however, that any increase of rates shall be subject to the for Congress to "enact a local government code which shall
approval of the Sangguniang Panlungsod. provide for a more responsive and accountable local government
structure through a system of decentralization with effective
mechanisms of recall, initiative, and referendum . . ." By this the said measure was determine if the petitioners were
constitutional mandate, Congress was clearly given the power to performing their functions in accordance with law, that is, with
choose the effective mechanisms of recall as its discernment the prescribed procedure for the enactment of tax ordinances and
dictates. the grant of powers to the city government under the Local
Government Code. As we see it, that was an act not of control but
What the Constitution simply required is that the mechanisms of of mere supervision.
recall, whether one or many, to be chosen by Congress should be
effective. Using its constitutionally granted discretion, Congress An officer in control lays down the rules in the doing of an act. If
deemed it wise to enact an alternative mode of initiating recall they are not followed, he may, in his discretion, order the act
elections to supplement the former mode of initiation by direct undone or re-done by his subordinate or he may even decide to do
action of the people. The legislative records reveal there were two it himself. Supervision does not cover such authority. The
(2) principal reasons why this alternative mode of initiating the supervisor or superintendent merely sees to it that the rules are
recall process thru an assembly was adopted, viz: (a) to diminish followed, but he himself does not lay down such rules, nor does he
the difficulty of initiating recall thru the direct action of the have the discretion to modify or replace them. If the rules are not
people; and (b) to cut down on its expenses. observed, he may order the work done or re-done but only to
conform to the prescribed rules. He may not prescribe his own
2) No. Under the Sec. 70 of the LGC, all mayors, vice-mayors and manner for the doing of the act. He has no judgment on this
sangguniang members of the municipalities and component cities matter except to see to it that the rules are followed. In the
are made members of the preparatory recall assembly at the opinion of the Court, Secretary Drilon did precisely this, and no
provincial level. Its membership is not apportioned to political more nor less than this, and so performed an act not of control but
parties. No significance is given to the political affiliation of its of mere supervision.
members. Secondly, the preparatory recall assembly, at the
provincial level includes all the elected officials in the province Ganzon v. Court of Appeals
concerned. Considering their number, the greater probability is
that no one political party can control its majority. Thirdly, sec. 69 FACTS:
of the Code provides that the only ground to recall a locally A series of administrative complaints, ten in number, were filed
elected public official is loss of confidence of the people. The before the Department of Local Government against petitioner
members of the PRAC are in the PRAC not in representation of Mayor Rodolfo T. Ganzon by various city officials sometime in
their political parties but as representatives of the people. By 1988 on various charges, among them, abuse of authority,
necessary implication, loss of confidence cannot be premised on oppression, grave misconduct, etc. Finding probable grounds, the
mere differences in political party affiliation. Indeed, our respondent Secretary of the Department of Local Government
Constitution encourages multi-party system for the existence of Luis T. Santos issued successive suspensions. The petitioner then
opposition parties is indispensable to the growth and nurture of instituted an action for prohibition against the secretary in the
democratic system. Clearly then, the law as crafted cannot be RTC of Iloilo City where he succeeded in obtaining a writ of
faulted for discriminating against local officials belonging to the preliminary injunction. He also instituted actions for prohibition
minority. before the Court of Appeals but were both dismissed. Thus, this
Moreover, the law instituted safeguards to assure that the petition for review with the argument that the respondent
initiation of the recall process by a preparatory recall assembly Secretary is devoid, in any event, of any authority to suspend and
will not be corrupted by extraneous influences. We held that remove local officials as the 1987 Constitution no longer allows
notice to all the members of the recall assembly is a condition sine the President to exercise said power.
qua non to the validity of its proceedings. The law also requires a
qualified majority of all the preparatory recall assembly members ISSUE:
to convene in session and in a public place. Needless to state, Whether or not the President, acting thru the Secretary of Local
compliance with these requirements is necessary, otherwise, Government, has the power to suspend, remove, or both, local
there will be no valid resolution of recall which can be given due officials.
course by the COMELEC.
HELD:
Drilon vs. Lim, G.R. No. 112497, Case Digest Yes. It is the considered opinion of the Court that notwithstanding
Judge Rodolfo C. Palattao declared Section 187 of the Local the change in the Constitutional language, the charter did not
Government Code unconstitutional insofar as it empowered the intend to divest the legislature of its right-or the President of her
Secretary of Justice to review tax ordinances and, inferentially, to prerogative as conferred by existing legislation to provide
annul them. He cited the familiar distinction between control and administrative sanction against local officials. The Constitution
supervision, the first being "the power of an officer to alter or did not…intend
modify or set aside what a subordinate officer had done in the
performance of his duties and to substitute the judgment of the
former for the latter," while the second is "the power of a superior
officer to see to it that lower officers perform their functions in
accordance with law." His conclusion was that the challenged
section gave to the Secretary the power of control and not of
supervision only as vested by the Constitution in the President of
the Philippines. This was, in his view, a violation not only of
Article X, specifically Section 4 thereof, and of Section 5 on the
taxing powers of local governments, and the policy of local
autonomy in general.

Secretary Drilon set aside the Manila Revenue Code only on two
grounds, to with, the inclusion therein of certain ultra vires
provisions and non-compliance with the prescribed procedure in
its enactment. These grounds affected the legality, not the wisdom
or reasonableness, of the tax measure.

Section 187 authorizes the Secretary of Justice to review only the


constitutionality or legality of the tax ordinance and, if warranted,
to revoke it on either or both of these grounds. When he alters or
modifies or sets aside a tax ordinance, he is not also permitted to
substitute his own judgment for the judgment of the local
government that enacted the measure. Secretary Drilon did set
aside the Manila Revenue Code, but he did not replace it with his
own version of what the Code should be. He did not pronounce
the ordinance unwise or unreasonable as a basis for its
annulment. He did not say that in his judgment it was a bad law.
What he found only was that it was illegal. All he did in reviewing

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