consti1 case matrix art. 10, sec. 8-21

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  • 8/11/2019 Consti1 Case Matrix Art. 10, Sec. 8-21

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    CASE FACTS ISSUE HELD KEY TAKE-

    AWAY

    SECTION 8: Term of Office of Local Officials

    The term of office of elective local officials, except barangay officials, which shall be determined by law, shall be 3 years, and no such official shall

    serve for more than 3 consecutive terms. Voluntary renunciation of the office for any length of time shall not be considered as an interruption in the

    continuity of his service for the full term for which he was elected.

    BORJA, JR.VS COMELEC - Respondent Jose Capco, Jr. was electedvice-mayor of Pateros.

    - He then became mayor, by operation of

    law, upon the death of incumbent mayor

    Cesar Borja.

    - He ran and was elected for 2 consecutive

    terms as mayor. On March 1998, Cacpo filed

    his COC for mayoralty again.

    - Petitioner Benjamin Borja, Jr., also a

    candidate for mayor, sought the

    disqualification of Capco and contendedthat Capco already served as mayor for 3

    consecutive terms, including his succession

    to Cesar Borjasmayoralty by operation of

    law; thus, he is ineligible to serve for

    another term.

    W/N Capcossuccession to the office

    of the mayor by

    operation of law and

    service of the

    remaining term is

    already considered as

    one term in applying

    the consecutive 3-term

    limit for local officials,

    hence, making himineligible to serve for

    another term.

    - No, Capco is still eligible to serve foranother term as mayor, because his

    succession to Cesar Borjas mayoralty is not

    considered as one term in applying the

    consecutive 3-term limit to local officials.

    - The fundamental principle of representative

    democracy is that people should be allowed

    to choose those whom they want to govern

    them. To bar the election of a local official

    because he has already served 3 terms,

    although the 1stwas a result of succession byoperation of law and not election, would

    amount to violation of this principle.

    - For disqualification to apply, an individual

    must:

    a) have been elected for 3 consecutive terms

    in an elective local office

    b) have served in the same position for the

    same number of consecutive and full terms

    CONSECUTIVE 3-TERM

    LIMIT OF

    LOCAL

    OFFICIALS

    DAVID VSCOMELEC - Petitioner Liga ng mga Brgy. Quezon CityChapter assailed the constitutionality of RA

    7160 or the Local Autonomy Code,

    specifying the term of barangay officials to 3

    years.

    - Petitioner contended that by excluding

    barangay officials whose term shall be

    determined by law from the general

    provision fixing the term of elective local

    officials at 3 years, the Constitution

    implicitly prohibits the Congress from

    W/N the Constitution,by excluding the term

    of barangay officials

    from the general

    provision of 3-year

    term for elective local

    officials, prohibits the

    Congress from

    legislating a 3-year

    term for barangay

    officials.

    - No, the Constitution did not expresslyprohibit Congress from fixing any term of

    office for barangay officials. Sec. 8, Art. 10 of

    the Constitution provided that the term of all

    elective local officials shall be limited to 3

    yeas, except that of barangay officials, which

    shall be determined by law.

    - It merely left the determination of such

    term of barangay officials to the Congress

    without specific limitations or prohibitions.

    TERM OFBARANGAY

    OFFICIALS

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    legislating a 3-year term for such officers.

    SECTION 9: Sectoral Representation

    Legislative bodies of local governments shall have sectoral representation as may be prescribed by law.

    SUPANGAN,

    JR. VS

    SANTOS

    - Petitioners attacked the authority of the

    Secretary of Local Government to designate

    or appoint members/sectoral

    representatives to the local legislativebodies.

    - Petitioners argued the following:

    a) the designations and appointments made

    by the respondent Secretary was unlawful

    and unconstitutional, in the light of Sec. 9,

    Art. 10 of the Constitution, because there

    was no enabling law yet to implement such

    provision.

    b) only the President has the power to

    appoint and cannot be delegated to theSecretary of Local Government.

    c) assuming the Secretary has the

    appointing power over sectoral

    representatives, the

    designations/appointments were null and

    void because it did not comply with the

    manner prescribed by the same law.

    d) the appointees are not qualified.

    W/N Secretary Santos

    of Local Government

    has the authority to

    designate or appointmembers/sectoral

    representatives to the

    local legislative bodies.

    - Yes, because Sec. 9 of Art. 10 of the

    Constitution commands that all legislative

    bodies of local governments must have

    sectoral representatives among its members,and the appointment or designation of

    individuals thereto must be done in

    accordance with provisions of law, whether

    that law exists or is yet to be passed.

    - In this case, that law already exists in B.P.

    Blg. 337, particularly Sec. 146 & 173, and it is

    neither inconsistent with the Constitution,

    repealed, amended or revoked.

    - Also, the Secretary of Local Government

    may, by authority of the President inform thesectoral representatives of their

    appointments.

    - However, the designations made by

    Secretary Santos were null and void, since

    there was no basis for the

    designations/appointments, because the

    manner prescribed in BP Blg 337 was not

    followed, which is the requirement that the

    Sanggunian should determine first that theIndustrial and Agricultural Labor Sectors in

    their particular city or municipality are of

    sufficient number to warrant representation.

    - VALID APPOINTMENT OF SECTORAL

    REPRESENTATIVES:

    a) appointees must belong to the sector

    which he represents

    b) prior consultation and determination of

    the Sanggunian that the Industrial and

    Agricultural Labor Sectors in their particular

    APPOINTM

    ENT OF

    SECTORAL

    REPRESENT

    ATIVES

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    Lupa in Camarines Norte to be composed of

    several barangays, where a plebiscite would

    also be held.

    - In the plebiscite held throughout the

    Municipality of Labo, only 2,890 votes

    favored its creation while 3,439 votes

    against it.

    - The Plebiscite Board of Canvassers

    declared the rejection of the creation of the

    Municipality of Tulay-Na-Lupa.

    - Petitioner, as the Governor of Camarines

    Norte, seeks to set aside the plebiscite and

    prays that a new plebiscite be held,

    contending that the plebiscite should have

    only included 12 barangays comprising the

    new Municipality of Tulay-Na-Lupa, and

    excluding the remaining areas of the motherunit of Municipality of Labo, Camarines

    Norte.

    resolution, and

    consequently, W/N the

    plebiscite conducted in

    the areas comprising

    the proposed

    Municipality of Tulay-

    Na-Lupa of Camarines

    Norte and the

    remaining areas of the

    mother Municipality of

    Labo is valid.

    Municipality of Tulay-Na-Lupa, is valid.

    - Both the mother Municipality of Labo

    and the inhabitants of the 12 barangays of

    the proposed Municipality of Tulay-Na-

    Lupa should participate in the plebiscite,

    since both of these political units would be

    affected.

    MUNICIAPLITY

    INVOLVED IN

    A PLEBISCITE

    LEAGUE OF

    CITIES VS

    COMELEC

    - RA 9009 was passed, increasing the

    income requirement from P20M to P100M

    for municipalities to become cities.

    - But the respondent 16 LGUs who had

    pending cityhood bills in Congress, prior to

    the enactment of RA 9009, were exempted

    from this law, as provided for in their

    respective cityhood laws, because they

    already met the criteria prescribed in the

    former law.

    - Petitioners contend that the cityhood laws

    providing for the exemption of the

    respondent LGUs from the income standard

    provided in the amendatory RA 9009 violate

    the Constitution, since the petitioners

    theorizes that the criteria for creating cities

    must be written only in LGC and not in other

    W/N the Cityhood Laws

    is unconstitutional for

    violating:

    a) Sec. 10 of Art. 10,

    that criteria for creating

    cities must be

    contained only in LGC

    b) equal protection

    clause

    a) No, because the only reason why the

    Constitution used the clause in

    accordance with the criteria established in

    the local government code is to

    emphasize that it is the Congress alone

    which can impose the criteria, but it does

    not mean that Congress cannot enact

    statutes containing such criteria. The

    exemption from RA 9009 provided for in

    the cityhood laws of the respondent LGUs

    is valid.

    b) No, there is a valid classification that

    justified the exemption of the respondent

    LGUs.

    CITYHOOD

    LAWS

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    statutes.

    - Petitioners also argue that the cityhood

    laws, by granting respondent LGUs

    exemption from the P100M income

    requirement, is a violation of the equal

    protection clause of the Constitution.

    SECTION 11: Special Metropolitan Political Subdivisions

    The Congress may, by law, create special metropolitan political subdivisions subject to a plebiscite as set forth in Section 10 hereof. The component

    cities and municipalities shall retain their basic autonomy and shall be entitled to their own local executives and legislative assemblies. The

    jurisdiction of the metropolitan authority that will thereby be created shall be limited to basic services requiring coordination.

    MMDA VS

    BEL-AIR

    VILLAGE

    ASSOC.

    - Petitioner MMDA is a government agency

    tasked with the delivery of basic services in

    Metro Manila.

    - Respondent Bel-Air Village Association Inc.,

    who is the registered owner of Neptune

    Street, is a non-stock, non-profit

    corporation whose members arehomeowners in Bel-Air Village.

    - Respondent received from MMDA a notice

    requesting respondent to open Neptune St.

    to public vehicular traffic starting Jan. 2,

    1996 and also informing that the perimeter

    wall separating the subdivision from

    Kalayaan Ave. would be demolished.

    - The Court of Appeals ruled that the

    MMDA has no authority to order the

    opening of the Neptune St. & the

    demolition of the perimeter walls, because

    the authority is lodged to the City Council of

    Makati.

    - MMDA claims that it has authority to open

    Neptune St. because it is an agent of the

    state endowed with police power in the

    delivery of basic services in Metro Manila,

    including traffic management.

    W/N the MMDA has

    the authority to order

    Bel-Air Village Assoc.

    the opening of the

    Neptune St. to public

    pursuant to its

    regulatory and policepowers.

    W/N the passage of an

    ordinance is a

    requirement before the

    MMDA may order the

    opening of the Neptune

    St. to the public.

    a) No, MMDA has no authority, because

    there is nothing in its charter that grants it

    police and legislative (ordinance-making)

    powers.

    - Also, although Metro Manila Commission

    (MMC) is the precedent of MMDA, MMDA

    is different from MMC, because MMC wasthe central government of Metro Manila,

    who had police and legislative powers.

    However, MMDA is not a political unit or a

    special metropolitan political subdivision

    of government. It is only a special

    development authority, tasked to deliver

    basic services in Metro Manila, such as the

    following:

    1) development planning

    2) transport and traffic management

    3) solid waste disposal

    4) flood control and sewerage

    5) urban renewal, zoning and land use

    planning and shelter services

    6) health and sanitation, urban protection

    and pollution control

    7) public safety

    MMDA AS

    SPECIAL DEVT

    AUTHORITY

    SECTION 12: Classification of Cities

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    Cities that are highly urbanized, as determined by law, and component cities whose characters prohibit their voters from voting for provincial elective

    officials, shall be independent of the province. The voters of component cities within a province, whose charters contain no such prohibition, shall not

    be deprived of their right to vote for elective provincial officials.

    ABELLA VS

    COMELEC

    - Since the petitioner failed in her

    contention that Adelina Larrazabal is a

    resident and registered voter of Kananga

    Leyte, the petitioner poses an alternative

    position that her being a registered voter in

    Ormoc City was no impediment to her

    candidacy for the position of governor in

    Leyte.

    - petitioner submits that while a Component

    city whose charter prohibits its voters from

    participating in the elections for provincial

    office, is indeed independent of the

    province, such independence cannot be

    equated with a highly urbanized city; ratherit is limited to the administrative supervision

    aspect, and that said voters are not likewise

    prohibited from running for the provincial

    offices.

    W/N component cities

    whose charters

    prohibits their voters

    from participating in

    the elections for

    provincial office can be

    equated to highly

    urbanized cities.

    W/N the said voters of

    such component cities

    can run for provincial

    offices.

    Yes, the component cities like Ormoc City

    whose charters prohibit their voters from

    voting for provincial elective officials are

    treated like highly urbanized citie,s which

    are outside the supervision of the province

    to which they are geographically attached.

    This independence from the province

    carries with it the prohibition to their

    voters from voting and being voted for the

    provincial elective offices.

    COMPONENT

    CITIES THAT

    PROHIBIT

    THEIR VOTERS

    FROM VOTING

    PROVINCIAL

    ELECTIVE

    OFFICES

    SECTION 13: Local Government Units Grouping

    Local Government units may group themselves, consolidate or coordinate their efforts, services, and resources for purposes commonly beneficial to

    them in accordance with law.

    SECTION 14: Regional Development Councils

    The President shall provide for regional development councils or other similar bodies composed of local government officials, regional heads of

    departments and other government offices, and representatives from non-governmental organizations within the regions for purposes of

    administrative decentralization to strengthen the autonomy of units therein and to accelerate the economic and social growth and development of

    the units in the region.

    CORDILLERA

    BROAD

    COALITION

    VS COA

    SECTION 15: Autonomous Regions

    There shall be created autonomous regions in Muslim Mindanao and in the Cordilleras consisting of provinces, cities, municipalities and geographic

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    areas sharing common and distinctive historical and cultural heritage, economic and social structures, and other relevant characteristics within the

    framework of this Constitution and the national sovereignty as well as territorial integrity of the Republic of the Philippines.

    SECTION 16: Presidents General Supervision over Autonomous Regions

    The President shall exercise general supervision over autonomous regions to ensure that laws are faithfully executed.

    SECTION 17: Powers not Granted to Autonomous Regions

    All powers, functions and responsibilities not granted by this Constitution or by law to the autonomous regions shall be vested in the national

    government.

    SECTION 18: Organic Act

    The Congress shall enact an organic act for each autonomous region with the assistance and participation of the regional consultative commission

    composed of representatives appointed by the President from a list of nominees from multi-sectoral bodies. The organic Act shall define the basic

    structure of government for the region consisting of the executive department and legislative assembly, both of which shall be elective and

    representative of the constituent political units. The organic act shall likewise provide for special courts with personal, family, and property law

    jurisdiction consistent with the provisions of this constition and national law.

    The creation of the autonomous region shall be effective when approved by a majority of the votes cast by the constituent units in a plebiscite calledfor the purpose, provided that only provinces, cities and geographic areas voting favorably in such plebiscite shall be included in the autonomous

    region.

    ABBAS VS

    COMELEC

    - A plebiscite in thirteen (13) provinces and

    nine (9) cities in Mindanao and Palawan,

    was scheduled for November 19, 1989, in

    implementation of RA 6734, entitled "An

    Act Providing for an Organic Act for the

    Autonomous Region in Muslim Mindanao"

    (Organic Act).

    - These consolidated petitions pray that the

    Court:

    (1) enjoin the COMELEC from conducting

    the plebiscite

    (2) declare RA 6734, or parts thereof,

    unconstitutional.

    - The arguments against R.A. 6734 raised by

    petitioners may generally be categorized

    into either of the following:

    (a) that R.A. 6734, or parts thereof, violates

    W/N RA 6734 is

    unconstitutional and if

    it violates the Tripoli

    Agreement.

    The petition has no merit and the law is

    constitutional.

    1. Petitioner contends that the tenor of a

    provision in the Organic Act makes the

    creation of an autonomous region

    absolute, such that even if only two

    provinces vote in favor of autonomy, an

    autonomous region would still be created

    composed of the two provinces where the

    favorable votes were obtained. there is a

    specific provision in the Transitory

    Provisions (Article XIX) of the Organic Act,

    which incorporates substantially the same

    requirements embodied in the

    Constitution and fills in the details, thus:

    SEC. 13. The creation of the Autonomous

    Region in Muslim Mindanao shall take

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    the Constitution

    (b) that certain provisions of R.A. No. 6734

    conflict with the Tripoli Agreement.

    effect when approved by a majority of the

    votes cast by the constituent units

    provided in paragraph (2) of Sec. 1 of

    Article II of this Act in a plebiscite which

    shall be held not earlier than ninety (90)

    days or later than one hundred twenty

    (120) days after the approval of this Act:

    Provided, That only the provinces and

    cities voting favorably in such plebiscite

    shall be included in the Autonomous

    Region in Muslim Mindanao. The

    provinces and cities which in the plebiscite

    do not vote for inclusion in the

    Autonomous Region shall remain the

    existing administrative determination,

    merge the existing regions.

    Thus, under the Constitution and R.A. No6734, the creation of the autonomous

    region shall take effect only when

    approved by a majority of the votes cast

    by the constituent units in a plebiscite, and

    only those provinces and cities where a

    majority vote in favor of the Organic Act

    shall be included in the autonomous

    region. The provinces and cities wherein

    such a majority is not attained shall not be

    included in the autonomous region. It may

    be that even if an autonomous region is

    created, not all of the thirteen (13)

    provinces and nine (9) cities mentioned in

    Article II, section 1 (2) of R.A. No. 6734

    shall be included therein. The single

    plebiscite contemplated by the

    Constitution and R.A. No. 6734 will

    therefore be determinative of (1) whether

    there shall be an autonomous region in

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    Muslim Mindanao and (2) which provinces

    and cities, among those enumerated in

    R.A. No. 6734, shall compromise it.

    2. The question has been raised as to what

    this majority means. Does it refer to a

    majority of the total votes cast in the

    plebiscite in all the constituent units, or a

    majority in each of the constituent units,

    or both?

    The 1987 Constitution provides: The

    creation of the autonomous region shall

    be effective when approved by majority of

    the votes cast by the constituent units in a

    plebiscite called for the purpose, provided

    that only provinces, cities and geographic

    areas voting favorably in such plebisciteshall be included in the autonomous

    region. [Art. X, sec, 18, para, 2]. It will

    readily be seen that the creation of the

    autonomous region is made to depend,

    not on the total majority vote in the

    plebiscite, but on the will of the majority

    in each of the constituent units and the

    proviso underscores this.

    3. Petitioner avers that not all of the

    thirteen (13) provinces and nine (9) cities

    included in the Organic Act, possess such

    concurrence in historical and cultural

    heritage and other relevant

    characteristics. By including areas, which

    do not strictly share the same

    characteristic as the others, petitioner

    claims that Congress has expanded the

    scope of the autonomous region which the

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    constitution itself has prescribed to be

    limited.

    Petitioner's argument is not tenable. The

    Constitution lays down the standards by

    which Congress shall determine which

    areas should constitute the autonomous

    region. Guided by these constitutional

    criteria, the ascertainment by Congress of

    the areas that share common attributes is

    within the exclusive realm of the

    legislature's discretion. Any review of this

    ascertainment would have to go into the

    wisdom of the law.

    4. Both petitions also question the validity

    of R.A. No. 6734 on the ground that it

    violates the constitutional guarantee onfree exercise of religion [Art. III, sec. 5].

    The objection centers on a provision in the

    Organic Act which mandates that should

    there be any conflict between the Muslim

    Code and the Tribal Code on the one had,

    and the national law on the other hand,

    the Shari'ah courts created under the

    same Act should apply national law.

    Petitioners maintain that the islamic law

    (Shari'ah) is derived from the Koran, which

    makes it part of divine law. Thus it may

    not be subjected to any "man-made"

    national law. Petitioner Abbas supports

    this objection by enumerating possible

    instances of conflict between provisions of

    the Muslim Code and national law,

    wherein an application of national law

    might be offensive to a Muslim's religious

    convictions.

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    In the present case, no actual controversy

    between real litigants exists. There are no

    conflicting claims involving the application

    of national law resulting in an alleged

    violation of religious freedom. This being

    so, the Court in this case may not be called

    upon to resolve what is merely a perceived

    potential conflict between the provisions

    the Muslim Code and national law.

    5. According to petitioners, said provision

    grants the President the power to merge

    regions, a power which is not conferred by

    the Constitution upon the President.

    While the power to merge administrative

    regions is not expressly provided for in the

    Constitution, it is a power which hastraditionally been lodged with the

    President to facilitate the exercise of the

    power of general supervision over local

    governments. There is no conflict between

    the power of the President to merge

    administrative regions with the

    constitutional provision requiring a

    plebiscite in the merger of local

    government units because the

    requirement of a plebiscite in a merger

    expressly applies only to provinces, cities,

    municipalities or barangays, not to

    administrative regions.

    6. Every law has in its favor the

    presumption of constitutionality. Based on

    the grounds raised by petitioners to

    challenge the constitutionality of R.A. No.

    6734, the Court finds that petitioners have

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    failed to overcome the presumption. The

    dismissal of these two petitions is,

    therefore, inevitable.

    CORDILLERA

    REGIONAL

    ASSEMBLY

    VS COMELEC

    - Petitioners prayed that the Court declare

    the COMELEC resolution, memorandum of

    Sec. of Justice, Exe. Sec., RA 6861 null and

    void and prohibit and restrain the

    respondents from implementing the same.

    - Petitioners maintain that there can be no

    Cordillera Autonomous Region in only 1

    province as the Constitution and RA 6766

    require that said Region be composed of

    more than 1 constituent unit.

    W/N the province of

    Ifugao, being the only

    province which voted

    favorably for the

    creation of the

    Cordillera Autonomous

    Region can, alone,

    legally and validly

    constitute such Region.

    - No, the sole province of Ifugao cannot

    validly constitute the Cordillera

    Autonomous Region, because the term

    region, used in its ordinary sense means

    2 or more provinces.

    1 PROVINCE

    CANNOT

    CONSTITUTE

    AUTONOMOU

    S REGION

    LEONOR VS

    CORDILLERABODONG

    ADMINISTR

    ATION

    - The plebiscite for the purpose of creating the Cordillera Autonomous Region was rejected by all the provinces and

    cities of the Cordillera region, except the province of Ifugao, hence, the CAR did not push through.- So, the Cordillera Bodong Administration created under EO 220, the indigenous and special courts for the

    indigenous cultural communities of the Cordillera region and the Cordillera Peoples Liberation Army, as a regional

    police force or a regional command of the AFP.

    - Since the CAR did not come into existence, the Maeng Tribal Court was not constituted into an indigenous or

    special court.

    - So the Maeng Tribal Court existed under the customs of the indigenous cultural community, but they do not form

    part of the judicial system of the Philippines, thus, have no judicial power.

    - Like thepangkatsor conciliation panels in barangays, they are advisory and conciliatory bodies whose principal

    objective is to bring together the parties to a dispute and persuade them to settle and compromise.

    INDIGENOUS

    COURTS OFCORDILLERA

    REGION NOT

    PART OF

    JUDICIAL

    SYSTEM

    SECTION 19: Congress shall Pass the Organic Act

    The 1st

    Congress elected under this Constitution shall, within 18 months from the time of organization of both houses, pass the organic acts for the

    autonomous regions in Muslim Mindanao and the Cordilleras.

    SECTION 20: Legislative Powers of Autonomous Regions

    Within its territorial jurisdiction and subject to the provisions of this Constitution and national laws, the organic act of autonomous regions shall

    provide for legislative powers over:

    1) administrative organization

    2) creation of sources of revenue

    3)

    ancestral domains and natural resources

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    4) personal, family and property relations

    5) regional, urban and rural planning development

    6) economic, social and tourism development

    7) educational policies

    8) preservation and development of the cultural heritage

    9) such other matters as may be authorized by law for the promotion of the general welfare of the people of the region

    PANDI VS

    COURT OF

    APPEALS

    - An ordinary statute, whether general or special, cannot amend an organic act that provides for an autonomus

    region which udner the Constitution may only be created, and therefore changed, through a plebiscite called for the

    purpose.

    - Since the RA 9054 (Organic Act of 2001) took effect on August 14, 2001, which incorporates the Peace Agreement

    entered into between the National Government and the MNLF, the Organic Act of 2201 is a completely new

    autonomy act for Muslim Mindanao since it totally replaced the Organic Act of 1989. It is not an ordinary

    amendment but a total substitution since the Organic Act of 2001 is as comprehensive as the Organic Act of 1989.

    ORDINARY

    STATUES

    CANNOT

    AMEND

    ORGANIC

    ACTS

    SECTION 21: Peace & Order; Defense & Security

    The preservation of peace and order within the regions shall be the responsibility of the local police agencies which shall be organized, maintained,

    supervised, and utilized in accordance with applicable laws. The defense and security of the regions shall be the responsibility of the national

    government.

    ARTICLE 11: ACCOUNTABILITY OF PUBLIC OFFICERSSECTION 2: IMPEACHMENT OF PRESIDENT, VICE-PRESIDENT, SUPREME COURT JUSTICES, CONCOM MEMBERS & OMBUDSMAN

    FRANCISCO,

    ET. AL VS

    HOUSE

    SPEAKER,

    ET. AL

    - 12th

    Congress of House of Representatives

    (HOR) approved & adopted Rules of Procedure

    in Impeachment Proceedings in 2001, replacing

    the previous House Impeachment Rules of 11th

    Congress.

    - HOR issued a Resolution directing Committeeon Justice to conduct an investigation in aid of

    legislation regarding the disbursements and

    expenditures of the Judiciary Development Fund

    (JDF) by SC Chief Justice Hilario Davide Jr.

    - June 2, 2003: Pres. Estrada filed an

    impeachment complaint against CJ Davide and 7

    Associate Justices for culpable violation of the

    Constitution, betrayal of public trust and other

    high crimesand submitted it to HouseCommittee on Justice (HCJ).

    1) W/N the power of

    judicial review

    extends to

    impeachment

    proceedings.

    2) W/N the 2nd

    impeachment

    complaint was filed in

    accordance to Sec.

    3(4), Art. 11 of the

    Constitution,

    regarding the 1/3 vote

    of all HOR members in

    filing an impeachmentcomplaint.

    1) YES, because this Court has the

    power and duty of judicial review over

    justiciable issues in impeachment

    proceedings.

    2) NO, because the resolution ofimpeachment contemplated by the

    Constitution is not the endorsement of

    1/3 of all HOR members; it must be the

    signature and verification as

    complainants of at least 1/3 of all HOR

    members. However, the Court still

    proceeded to the case and considered

    the more substantive issues.

    3) not discussed in casebook

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    - Oct. 13, 2003: HCJ ruled that the 1st

    impeachment complaint was sufficient in form

    but dismissed it on Oct. 22, 2003 for being

    insufficient in substance.

    - 4 mos. & 3 weeks after the filing of the 1st

    impeachment complaint or on Oct. 23, 2003, the

    day after the 1st

    complaint was dismissed, the

    2ndimpeachment complaint against Davide was

    filed by Representatives Teodoro Jr. &

    Fuentebella, with a Resolution of

    Endorsement/Impeachment signed by at least

    1/3 of all the members of HOR.

    - Petitionersfiled a case in Court, contending

    that the filing of 2nd

    impeachment complaint is

    unconstitutional as it violates Sec. 5 of Art. 11

    that no impeachment proceedings shall beinitiated against the same official more than

    once in 1 year.

    - RespondentHOR argues that:

    a) while at least 81 members of HOR signed a

    resolution of Endorsement/Impeachment, the

    same did not satisfy the requisites for the

    application of Sec. 3(4), because the verified

    complaint/resolution of impeachment was not

    filed by at least 1/3 of all HOR members; and

    that the verified complaint must be filed and not

    merely endorsed by 1/3 of all HOR members.

    b) the 1-year prohibition on the initiation of

    impeachment proceedings against the same

    officials was not violated as the impeachment

    complaint against CJ Davide & 7 Associate

    Justices were not initiated, and the HOR, as a

    collective body, has yet to act on it.

    3) W/N the legislative

    inquiry by HCJ into the

    Judicial Devt Fund is

    unconstitutional for

    infringing the fiscal

    autonomy of the

    judiciary.

    4) W/N Sec. 16 & 17

    of the 12th

    Congress

    Rules on

    Impeachment are

    unconstitutional for

    violating Sec. 3, Art.

    11 of Constitution,

    regarding wheninitiation of

    impeachment

    proceedings occur.

    5) W/N the 2nd

    impeachment

    complaint is barred

    under Sec. 3(5), Art. 9

    of Constitution.

    4) YES, because under the Rules on

    Impeachment of the Congress,

    impeachment proceedings are deemed

    initiated if:

    a) HCJ finds that the verified complaint

    and/or resolution is sufficient in

    substance; or

    b) once the House itself affirms or

    overturns the finding of HCJ that the

    verified complaint and/or resolution is

    insufficient in substance; or

    c) by the filing/endorsement before the

    Sec. Gen of HOR of a verified

    complaint/resolution of impeachment

    by at least 1/3 of all HOR members.

    However, under the Constitution,

    initiation of impeachment proceedings

    takes place by the act of filing a verified

    complaint and referral to the HCJ for

    action. Therefore, Sec. 16 & 17 of Rules

    on Impeachment are unconstitutional.

    Impeachment case is the legal

    controversy that must be decided by

    the Senate.

    Impeachment proceeding takes place

    in several steps:

    1) filing of a verified complaint

    (initiation of impeachment proceeding)

    2) processing of the complaint by HCJ

    3) resolution must be forwarded to the

    House for further processing

    4) HOR either affirms or overrides the

    resolution of the HCJ by a vote of 1/3 of

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    c) only HOR has the power to make and

    interpret its rules governing impeachment.

    all members

    If at least 1/3 of HOR members upholds

    the complaint, Articles of Impeachment

    are prepared and transmitted to the

    Senate, and it is at this point that an

    impeachment caseis initiated (as

    opposed to initiation of impeachment

    proceeding).

    Also, as regards the argument of

    respondent HOR that only HOR has the

    power to make its rules on

    impeachment, its rules must still not

    contravene the Constitution.

    5) YES. Since the 1st

    impeachmentcomplaint by the former Pres. Estrada

    against the CJ Davide and 7 Associate

    Justices was filed on June 2, 2003,

    referred to HCJ on Aug. 5, 2003, and

    that the 2nd

    impeachment complaint of

    Representatives Teodoro Jr. &

    Fuenteballa was filed on Oct. 23, 2003,

    then the 2nd

    impeachment complaint

    violated the constitutional prohibition

    against the initiation of impeachment

    proceedings against same officer within

    1 year.

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    Case Facts Issue Held Key take away

    Section 1: The territorial and political subdivisions of the Republic of the Philippines are the provinces, cities, municipalities and barangays. There shall be

    autonomous regions in Muslim Mindanao and the Cordillera as hereinafter provided.

    Section 2: The territorial and political subdivisions shall enjoy local autonomy.

    San Juan v. CivilService

    Commission

    By executive order 112, theauthority to appoint a provincial

    budget officer (PBO) had been

    given to the secretary of DBM

    upon recommendation of thelocal executive concerned

    The person recommended by the

    provincial governor of Rizal did

    not possess the necessary

    qualifications

    Budget secretary then appointed

    somebody else of his own choice

    W/N the appointmentdone by the DBM

    secretary without the

    recommendation of the

    governor is valid

    NO, if the recommendee of thelocal executive is not qualified,

    the secretary must ask for new

    recommendees with the

    necessary eligibility.

    There are factors about life in a

    local community about which

    central government is NOT the

    best judge (provincial budgets

    are prepared at a local level)

    When the CSC interpreted the

    recommending power of the

    provincial governor as purely

    directory, it went against the

    letter and spirit of the

    constitutional provisions on

    local autonomy

    Recommendation of local executiveconcernedlynot purely directory

    but mandatory.

    NOTE: autonomy and

    decentralization are NOT the same.

    Autonomyeither

    decentralization of administration

    or decentralization of power

    1) decentralization of

    administration centralgovernment delegates

    administrative powers to political

    subdivisions

    2) decentralization of power-

    abdication of political power in

    favor of LGUs declared to be

    autonomous

    Laguna Lake

    Development

    Authority v. Court

    of Appeals

    Tons of garbage are dumped

    everyday in Taal Estate, Caloocan

    city

    Laguna Lake Development

    Authority (LLDA) filed a case

    against the Caloocan city for

    appropriate dispositionCA

    rules LLDA has no authority to

    issue a cease and desist order

    enjoining the dumping of

    garbage in Caloocan

    City govt of Caloocan: as a localgovernment, it is within theirpower to determine the effects of

    the operation of the dumpsite

    (territorial jurisdiction)

    W/N the LLDA has

    jurisdiction over a city

    govt authorizeddumpsite in Camarin,

    Caloocan

    YES

    General rule: adjudication of

    pollution cases pertains to the

    Pollution Adjufication Board,

    except when special law

    provides for another forum.

    LLDA is a specialized

    administrative agency

    authorized by special laws to

    protect Rizal Laguna, San Pablo,

    Manila, Pasay, QC and Caloocan

    with regard to provisions for

    environmental control.

    LLDA, by virtue of its specialcharacter, is mandated to pass

    upon and approve or

    Specific power of LLDA prevails

    over general power of Local

    governments

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    1

    LLDA is required to institute the necessary legal proceeding against any person who shall commence to implement or continueimplementation of any project, plan or program within the Laguna de bay region without previous clearance from the authority.

    LLDA: as an administrative

    agency which was granted

    regulatory and adjudicatory

    powers by RA 48501, PD 813,

    and EO 297, it is invested with

    the power to issue a cease and

    desist order.

    disapprove all plans/projects

    proposed by the local

    governments.

    Dumpsite project was

    undertaken without clearance

    from LLDA

    Magtajas v. Pryce

    Properties

    PAGCOR decided to expand its

    operations to Cagayan de Oro

    city and leased and leased a

    portion of the building of Pryce

    Properties.

    The government of CDO

    contended that under its

    authority to prohibit gambling,

    the city could prevent PAGCOR

    form operating a casino in the

    city. It enacted ordinancesnumber 3353 (prohibiting the

    issuance of business permit for

    the operation of casino) and

    3375-93 (prohibiting the

    operation of casino)

    PAGCOR however, had authority

    under PD1869 to centralize and

    regulate ALL games of chance

    under the territorial jurisdiction

    of the Philippines.

    W/N the city government

    of Cagayan de oro could

    curtail PAGCORsauthority to operate a

    Casino in the city

    NO

    The ordinance prohibiting the

    issuance of a business permit to,

    and cancelling any business

    permit of any establishment

    allowing its premises to be used

    as a casino, and the ordinance

    prohibiting the operation of a

    casino, were declared invalid for

    being contrary to PD 1869(Charter of PAGCOR) which has

    the character and force of a

    statute. Ordinances should not

    contravene a statute.

    Municipal governments are only

    agents of the national

    government and local councils

    exercise delegated legislative

    powers conferred on them by

    Congress. The delegate cannotbe superior than the principal.

    Local governments have certain

    powers given by the Constitution

    which may not be curtailed by the

    national government, but local

    governments may not pass

    ordinances contrary to statute.

    Phil. Petroleum

    Corp v. Mun. of

    Pililla

    PC 26-3 suspended the effectivity

    of local tax ordinances imposing

    tax on business under the local

    tax code with regard to

    retailers/wholesalers of

    petroleum products subject to

    the specific tax imposed by the

    W/N petitioner PPC

    whose oil products are

    subject to specific tax

    under NIRC, is still liable

    to pay (a) tax on business

    and (b) storage fees

    pursuant to Provincial

    YES

    PD 426 amended the local tax

    code and is deemed to have

    repealed provincial circular 26-

    73 when no exemptions were

    given to retailers/wholesalers

    Administrative regulations must be

    in harmony with the provisions of

    the law

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    National Internal Revenue Code.

    PD 426 further amended the

    local tax code.

    Circular 6-77; and

    mayors permit andsanitary inspection fee

    unto respondent

    municipality of Pililla,

    Rizal based on municipal

    order 1.

    of petroleum products.

    Administrative regulations must

    be in harmony with provisions

    of the law. In case of

    discrepancy between the basic

    law and an IRR, the law prevails.

    The exercise by local

    governments of the power to tax

    is ordained by the present

    constitution and to allow the

    continuous effectivity of the

    prohibition in PC 26-73 will

    restrict their power to tax by

    administrative issuances.

    Dadole et.al v.

    COA

    In 1986, the RTC and MTC judges

    of Mandaue city started receiving

    monthly allowances of P1,260each through the yearly

    appropriation ordinances

    enacted by the Sangguniang

    Panglunsod. In 1991, Mandaue

    City increased to P1500.

    In 1994, DBM release Local

    Budge Circular 55 stating that

    allowances should not exceed

    1,000 in provinces and 700 in

    municipalities.COA issued a notice of

    disallowance on the ground of

    LBC 55

    W/N local budget

    circular 55 can render

    inoperative the power ofthe legislative body of a

    city by setting a limit to

    the allowance for judges

    No

    DBM LBC 55 is null and void 1991 Local Government Code

    does not prescribe a limit to the

    allowance. By virtue of his/ her

    power of supervision, the

    President can only interfere in

    the affairs and activities of a

    local government unit if it has

    acted contrary to law.

    Commission on Audit may not

    reduce the allowance given tojudges by local governments.

    The local government code

    authorizes local governments to

    give allowance to judges and

    decide how much this should be.

    COA failed to prove that

    Mandaue city use the IRA

    budget for the additional

    allowances of the judges

    President exercise not power of

    control but power of supervision

    over local government units

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    John Hay Peoples

    Alternative

    Coalition v. Victor

    Lim

    Petitioner assails the

    constitutionality of Presidential

    Proclamation No. 420, Series of

    1994, Creating and Designatinga Portion of the Area Covered by

    the Former Camp John Hay as the

    John Hay Special Economic Zone

    Pursuant to Republic Act No.

    7227

    RA 7227: granted Subic SEZ

    incentives such tax and duty-free

    importations, exemption of

    businesses from local and

    national taxes

    And gave authority to the

    President to create through

    executive proclamation, subject

    to the concurrence of the localgovernment units directly

    affected, other Special Economic

    Zones (SEZ) in Clark

    (Pampanga), Wallace Air Station

    (La Union), and Camp John Hay

    (Baguio)

    Petitioners argue that the

    president has no authority to

    subject the John Hay SEZ to the

    governance of Bases Conversionand Development Authority

    (BCDA) and it diminishes the city

    governments power over itsjurisdiction. Hence, it gives the

    president power of control

    instead of power of supervision.

    W/N proclamation 420 is

    constitutional by

    providing for national

    and local tax exemption

    within and granting other

    economic incentives to

    the John Hay Special

    Economic Zone.

    W/N proclamation is

    constitutional for limiting

    or interfering with the

    local autonomy of Baguio

    City

    NO

    Under section 12 of RA 7227, it

    is only the Subic SEZ which was

    granted by congress with tax

    exemption. There is no express

    extension of he exemption to

    other SEZs.

    NO

    The rights of ownership and

    administration vested in BCDA

    over Camp John Hay is subject

    to certain limitations provided

    by law. The designation of BCBA

    merely emphasizes the role it

    has been granted.

    The delineation and declarationof a portion of the area covered

    by Camp John hay as a SEZ was

    well within the powers of the

    president to do my means of a

    proclamation. The requisite of a

    prior concurrence of the city

    government has been given by a

    resolution of the sanggunian.

    A law granting tax exemption must

    have the concurrence of a majority

    of all members of Congress

    BCDA- merely holding and

    administration

    Leynes v. COA Petitioner judge Tomas Leynes

    was formerly assigned to the

    Municipality of Naujan, Oriental

    Mindoro as presiding judge of

    W/N the municipality of

    Naujan, Oriental Mindoro

    can validly provide RATA

    to its municipal judge, in

    YES

    Under section 447 of the Local

    government code, provincial,

    Circular must conform to the law it

    seeks to implement and should not

    modify or amend it.

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    the MTC. His salary and

    representation and

    transportation allowance (RATA)

    were drawn from the budget of

    the SC and in addition, he

    received a monthly allowance of

    P944 from the municipality of

    Naujan

    COA opposed the grant of the

    municipal allowance on the

    ground that under section 3 of

    DBMs Local Budget Circular 53,LGUs are prohibited from

    granting allowances to judges

    whenever such allowances are

    (1) also granted by the national

    government or (2) similar to the

    allowances granted by thenational government

    addition to that provided

    by the Supreme Court

    city and municipal governments

    may grant allowances to judges

    as long as their finances allow.

    Though LBC 53 is considered as

    a valid exercise of the

    presidents power of general

    supervision, section 3 is invalid.

    DBM shall not provide a limit

    when the law does not provide.

    A circular must conform to the

    law it seeks to implement and

    should not modify or amend it.

    If the local government code does

    not provide a limit, the DBM should

    not.

    Batangas CATV v.

    Batangas City

    Marcos issued PD 1512

    terminating all franchises,permits or certificates for the

    operation of CATV system

    previously granted by local

    governments

    Today, pursuant to section 3 of

    EO 436, only persons,

    associations, partnerships,corporations or cooperatives

    granted a provisional authority

    or certificate of authority by the

    NTC may install, operate and

    maintain a cable television

    system service within an area

    W/N municipalities have

    the power to grant CATV

    franchise

    NO

    In the absence of constitutional

    or legislative authorization,

    municipalities have no power to

    grant franchise.

    Protection of constitutional

    provisions does not extend to

    franchises granted by amunicipality in excess of its

    powers.

    In the absence of constitutional or

    legislative authorization,

    municipalities have no power to

    grant franchise.

    NOTE: LGUs merely form part of

    whole. When the drafters of the

    1987 constitution enunciated the

    policy of ensuring autonomy of

    local governments, it was never itsintention to create intra-sovereign

    political subdivisions independent

    of a single sovereign state,

    Section 3:The Congress shall enact a local government code which shall provide for a more responsive and accountable local government structure

    instituted through a system of decentralization with effective mechanism of recall, initiative, and referendum, allocate among the different local

    government units their powers, responsibilities and resources, and provide for the qualifications, election, appointment and removal, term, salaries,

    powers and functions and duties of local officials, and all other matters relating o the organization and operation of the local government units.

    Sanchez v. BP 337 was the local government W/N Sec 3, art X of the NO, nothing in sec 3 article X of BP 337 remained in effect until the

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    COMELEC code existing prior to the

    adoption of the 1987

    constitution and the enactment

    of the 1991 Local Government

    Code.

    Section 59, BP 337 states that:

    the COMELEC shall conduct andsupervise the process of and

    election on recall

    constitution which calls

    for an effective system of

    recall repealed Sec 59 of

    BP 337.

    the constitution repealed BP

    337. The constitution merely

    provides that the local

    government code to be enacted

    by congress shall be more

    responsive than BP 337. Until

    the new local government code

    is enacted, BP 337 shall take

    effect.

    enactment of LGC of 1991.

    Garcia v.

    COMELEC

    Section 70 of the LCG authorizes

    provinces, cities, legislative

    districts and municipalities to

    have a preparatory recall

    assembly authorized to initiatethe recall of an elective official.

    Petitioners sought to annul the

    resolution of the PreparatoryRecall Assembly of Bataan

    initiating recall proceedings

    against their governor, Enrique

    T. Garcia.

    The first time the local

    government officials constituted

    themselves into a PRA, they

    issued Resolution No. 1 as formal

    initiation of the recall

    proceedings. Enrique held thatthe right to recall does not

    extend merely to the prerogative

    of the electorate to confirm or

    withdraw their confidence in the

    official sought to be recalled

    through special election. Such

    prerogative necessarily includes

    the sole and exclusive right to

    decide on whether to initiate a

    recall proceeding or not.

    W/N the people have the

    sole and exclusive right

    to initiate recall

    proceedings

    NO

    There is nothing in the

    Constitution that suggests that

    the power to initiate recall

    proceedings is the sole and

    exclusive prerogative of the

    people. Congress was given the

    power to choose the mechanismof recallwithout limit as to

    the number of modes and with

    the requisite only that the same

    be effectiveand it has in itswisdom provided for one that

    can be initiated by either a

    preparatory recall assembly or

    the people themselves. Indeed,

    there is no great difference

    between the two, as recall

    proceedings initiated by therecall assembly is also initiation

    by the people, albeit done

    indirectly through their

    representatives.

    The constitution did not provide for

    any mode of initiating recall

    elections. Neither did it prohibit the

    adoption of multiple modes of

    initiating recall elections.

    What the constitution simply

    required is that the mechanisms of

    recall, whether one or many, to bechosen by congress, should be

    effective.

    Section 4: The president of the Philippines shall exercise general supervision over local governments. Provinces with respect to component cities and

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    municipalities, and cities and municipalities with respect to component barangays shall ensure that the acts of their component units are within the scope

    of their prescribed powers and functions.

    Drilon vs Mayor

    Lim

    Lim assails the constitutionality

    of Section 187 of the Local

    Government Code which

    authorizes the Secretary of

    Justice to review the

    constitutionality of legality of a

    tax ordinanceand if warranted,

    to revoke it on either or both

    grounds.

    The Secretary of Justice on

    appeal to him of four oil

    companies and a taxpayer

    declared Ordinance No.

    7794(Manila Revenue Code) null

    and void for non-compliance

    with the procedure in theenactment of tax ordinances and

    for containing certain provisions

    contrary to law and public policy.

    The RTC revoked the Secretarysresolution and sustained the

    ordinance. It declared Sec 187 of

    the LGC as unconstitutional

    because it vests on the Secretary

    the power of control over LGUs

    in violation of the policy of localautonomy mandated in the

    Constitution.

    W/N Section 187 of the

    Local Government Code

    which authorizes the

    Secretary of Justice to

    pass judgment on the

    constitutionality or

    legality of tax ordinances

    or revenue measures is

    an exercise of power of

    control and therefore,

    invalid.

    NO

    Section 187 is VALID for it

    authorizes the petitioner to

    review only the

    constitutionality or legality of

    tax ordinance. What he found

    only was that it was illegal. That

    act is not control but

    supervision. Even if he can set

    aside a tax ordinance, he cannot

    substitute his own judgment for

    that of the local government

    unit.

    Control lays down the rules in

    the doing of act and if notfollowed order the act undone

    or re-done. Supervision sees to

    it that the rules are followed.

    Two grounds of declaring

    Manila Revenue Code null and

    void (1) inclusion of certain

    ultra vires provisions (2) non-

    compliance with prescribed

    procedure in its enactment but

    were followed.

    Sec 187 is valid for the sec. of

    justice does not dictate what the

    law should be but merely ensures

    that the ordinance is in accordance

    with law.

    Even if he can set aside a tax

    ordinance, he cannot substitute his

    own judgment for that of the local

    government unit.

    Section 5: Each local government unit shall have the power to create its own sources of revenues and to levy taxes, fees and charges subject to such

    guidelines and limitation as the congress may provide, consistent with the basic policy of local autonomy. Such taxes, fees, and charges shall accrue

    exclusively to the local governments.

    Manila

    Electric vs

    Province of

    Laguna

    MERALCO was granted a franchise by

    several municipal councils and the

    National Electrification

    Administration to operate an electric

    light and power service in the Laguna.

    Whether or not the

    imposition of franchise

    tax under the provincial

    ordinance is violative of

    the non-impairment

    No. There is no violation of the

    non-impairment clause for the

    same must yield to the inherent

    power of the state (taxation).

    The provincial ordinance is

    Tax power of local governments

    must be deemed to exist although

    Congress may provide statutory

    limitations and guidelines.

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    Upon enactment of Local Government

    Code, the provincial government

    issued ordinance imposing franchise

    tax. MERALCO paid under protest and

    later claims for refund because of the

    duplicity with Section 1 of P.D. No.

    551. This was denied by governor

    Joey Lina relying on a more recentlaw (the local government code).

    MERALCO filed with the RTC a

    complaint for refund, but was

    dismissed.

    clause of the Constitution

    and of P.D. 551.

    valid and constitutional.

    The Local Government Code of

    1991 has incorporated and

    adopted, by and large, the

    provisions of the now repealed

    Local Tax Code. The 1991 Code

    explicitly authorizes provincial

    governments, notwithstandingany exemption granted by anylaw or other special law, . . . (to)

    impose a tax on businesses

    enjoying a franchise.

    The tax power must be deemed

    to exist although congress may

    provide statutory limits and

    guidelines. This is to safeguard

    the viability and self sufficiency

    of local governments by directly

    granting them general and

    broad tax powers.

    NPC vs

    Cabanatuan

    City

    City of Cabanatuan filed a collection

    suit against NAPOCOR, a government-

    owned and controlled corporation

    demanding that the latter pay the

    assessed franchise tax due, plus

    surcharge and interest. It alleged that

    NAPOCORs exemption from local

    taxes has already been withdrawn bythe Local Government Code.

    NAPOCOR submitted that it is not

    liable to pay an annual franchise

    because the citys taxing power islimited to private entities that are

    engaged in trade or occupation for

    profit, and that the NAPOCOR Charter,

    being a valid exercise of police power,

    should prevail over the LGC.

    Whether NAPOCOR is

    liable to pay annual

    franchise tax to the City

    of Cabanatuan.

    YES

    The power to tax is no longer

    vested exclusively on Congress;

    local legislative bodies are now

    given direct authority to levy

    taxes, fees and other charges.

    Although as a general rule, LGUscannot impose taxes, fees or

    charges of any kind on the

    National Government, its

    agencies and instrumentalities,

    this rule now admits of an

    exception, i.e., when specific

    provisions of the LGC authorize

    the LGUs to impose taxes, fees

    or charges on the

    aforementioned entities.

    Nothing prevents Congress from

    Local legislative bodies are now

    given direct authority to levy taxes,

    fees and other charges.

    LGUs can now impose taxes, fees or

    charges of any kind on the National

    Government, its agencies and

    instrumentalities, when specificprovisions of the LGC authorize the

    LGUs to impose taxes, fees or

    charges on the aforementioned

    entities.

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    decreeing that even

    instrumentalities or agencies of

    the government performing

    governmental functions may be

    subject to tax.

    NAPOCOR is covered by the

    franchise tax because it

    exercises a franchise in thesecond sense and it is exercising

    its rights or privileges under

    this franchise within the

    territory of the City.

    Petron

    Corporation

    vs Mayor

    Tiango

    Petron maintains a depot or bulk

    plant in Navotas Fishport Complex.

    Through the said depot, it sells diesel

    fuels to the vessels used in

    commercial fishing in and around

    Manila Bay.

    Later, Petron received a letter from

    the office of Mayor Tiangco assessing

    it for business taxes in the amount of

    6.2M covering 1997-2001 pursuant to

    the Navotas Revenue Code.

    A protest was filed by Petron arguing

    that under the IRR of the NIRC, it is

    exempt from local business tax. Also,

    an opinion was rendered by theBureau of Local Government Finance

    providing for that sales of petroleum

    fuels are NOT subject to local

    taxation. Letter protest was denied

    and a final demand to pay was sent to

    Petron.

    Petron filed a complaint for

    cancellation of assessment with TRO

    before the RTC. RTC dismissed the

    complaint.

    W/N the municipality of

    Navotas may impose a

    business tax on Petron

    NO

    The language of Section 133(h)

    of the LGC makes plain that the

    prohibition with respect to

    petroleum products extends notonly to excise taxes thereon, but

    all "taxes, feesand charges."

    While local government units

    are authorized to burden all

    such other class of goods with

    "taxes, fees and charges,"

    excepting excise taxes, a specific

    prohibition is imposed barring

    the levying of any other type of

    taxes with respect to petroleum

    products.

    Congress has the constitutional

    authority to impose limitations on

    power to tax of LGUs

    Example: business tax for

    petroleum products

    Section 6: Local government units shall have a just share, as determined by law, in the national taxes, which shall be automatically released to them.

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    Pimintel vs

    Aguirre

    Then President Ramos issued AO 372

    Adoption of Economy Measures in

    Government for FY 1998 which

    requires LGUs to reduce their

    expenditures by 25% for their

    authorized regular appropriations of

    non-personal services. Subsequently,

    succeeding President Estrada issued

    AO 43, amending Section 4 of AO 372reducing to 5% the amount of the

    internal revenues allotment (IRA) to

    be withheld from the LGUs.

    Contentions arises the directive to

    withhold 10% of this IRA is in

    contravention of Section 286 of the

    Local Government Code and of

    Section 6, Article X of the

    Constitution, providing the automatic

    release of its share in the national

    income revenue.

    Whether or not, the

    Presidents power toexercise general

    supervision over local

    governments are valid

    under Section 1 and 4 of

    AO 372, directing LGUs to

    reduce their

    expenditures andwithholds 10% of their

    IRA, respectively.

    Yes, the Presidents power toexercise general supervision

    over LGUs is valid because

    Section 1 of AO 372 is merely

    directive and has been issued by

    the President in consistent with

    his power to supervise LGUs;

    Section 4 is unconstitutional forit is mandated by the

    Constitution and the Local

    Government Code, that it is a

    basic feature of local fiscal

    autonomy to automatically

    release the shares of the LGUs in

    the national internal revenue,

    and the withholding of 10% of

    the LGUs IRAcontravenes with

    the law.

    Local fiscal autonomy requires

    automatic release of the LGUsshare in national taxes