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INTRODUCTION
A. Overview, Local Government as part of (d) National agencies and offices including
the Executive Branch government-owned or controlled corporations with
field units or branches in a province, city, or
ARTICLE X municipality shall furnish the local chief executive
LOCAL GOVERNMENT concerned, for his information and guidance, monthly
reports including duly certified budgetary allocations
GENERAL PROVISIONS and expenditures.
Section 2. The territorial and political subdivisions
shall enjoy local autonomy. CASES:
PROVINCE OF BATANGAS v. ROMULO (2004)
Section 4. The President of the Philippines shall FACTS: By virtue of EO 48, the Oversight Committee
exercise general supervision over local governments. (Devolution Committee) has created a Devolution
- Provinces with respect to component cities and Adjustment and Equalization Fund which was later
municipalities, and renamed into Local Government Service Equalization
- cities and municipalities with respect to Fund. Under the GAAs for the years 1999, 2000 and
component barangays, 2001, a portion of the IRA was earmarked for the
- shall ensure that the acts of their component LGSEF. Such amount shall be released only after
units are within the scope of their prescribed compliance with the IRR.
powers and functions.
Petitioners assail the constitutionality of the GAAs
RA 7160 and the OCDs because it violates: (a) Sec 6 of Art X of
ARTICLE I the Constitution, Sec. 18 and 286 of the LGC which
National Government and Local Government mandate that the just share of the LGUs shall be
Units automatically released. (b) improperly amended Sec.
285 by changing the percentage sharing of the LGUs
Section 25. National Supervision over Local on the IRAs
Government Units. -
Respondents: (a) Just share of the LGU is within the
(a) Consistent with the basic policy on local power of the Congress to determine (b) Sec. 285 is
autonomy, the President shall exercise general just a default share
supervision over local government units to ensure
that their acts are within the scope of their prescribed HELD:
powers and functions. Consistent with the principle of local autonomy, the
Constitution confines the President's power over the
- The President shall exercise supervisory LGUs to one of general supervision. This provision
authority directly over provinces, highly has been interpreted to exclude the power of control.
urbanized cities, and independent component An officer in control lays down the rules in the doing
cities; of an act. If they are not followed, he may, in his
- through the province with respect to component discretion, order the act undone or re-done by his
cities and municipalities; and subordinate or he may even decide to do it himself.
- through the city and municipality with respect to Supervision does not cover such authority. The
barangays. supervisor or superintendent merely sees to it that
the rules are followed, but he himself does not lay
(b) National agencies and offices with project down such rules, nor does he have the discretion to
implementation functions shall coordinate with one modify or replace them.
another and with the local government units
concerned in the discharge of these functions.
- They shall ensure the participation of local NATIONAL LIGA NG MGA BARANGAY v. PAREDES
government units both in the planning and (2004)
implementation of said national projects. FACTS:
There was a controversy over the election of officers
(c) The President may, upon request of the local in the Liga ng mga Barangay which led to several
government unit concerned, direct the appropriate disputes. The DILG secretary was appointed as
national agency to provide financial, technical, or interim caretaker of the Liga ng Barangay.
other forms of assistance to the local government
unit. Such assistance shall be extended at no extra ISSUES:
cost to the local government unit concerned.
(1) WON Liga is subject to DILGs supervision (as conferment of control in derogation of the
alterego of the president). YES. Constitution.
(2) Whether the actions of the DILG constituted
supervision or control. YES Like the local government units, the Liga ng mga
Barangay is not subject to control by the Chief
HELD: Executive or his alter ego.
(1) The Ligas are primarily governed by the
provisions of the Local Government Code.
However, they are empowered to make their own B. Brief History of Local Governments in the
constitution and by-laws to govern their Philippines
operations.
CASES
In the early case of Mondano v. Silvosa, et al.,83 MUNICIPALITY OF CATBALOGAN v. DIRECTOR OF
this Court defined supervision as "overseeing, or LANDS (1910)
the power or authority of an officer to see that It is of course to presumed, in accordance with the
subordinate officers perform their duties, and to provisions of the laws aforementioned, that the main
take such action as prescribed by law to compel square of the pueblo of Catbalogan occupies nearly
his subordinates to perform their duties. Control, the central part of its territory, and that the lot on
on the other hand, means the power of an officer which were successively constructed the several
to alter or modify or nullify or set aside what a court-houses which the said pueblo has and, in
subordinate officer had done in the performance situated on one of the sides of the said square and
of his duties and to substitute the judgment of the consequently in a central point and not outside the
former for that of the latter. town. It can not, however, on account of this
circumstances, be concluded that the said lot formed
The rationale for making the Liga subject to DILG a part of the commons, exido, or the pasturage lands
supervision is quite evident, whether from the of the said pueblo, but consisted of land which
perspectives of logic or of practicality. The Liga is belonged to the pueblo and was legally acquired
an aggroupment of barangays which are in turn through the distribution and adjudication of lots
represented therein by their respective punong made at the beginning of its foundation, as proved by
barangays. The representatives of the Liga sit in the laws hereinbefore quoted.
an ex officio capacity at the municipal, city and
provincial sanggunians. As such, they enjoy all MONDANO v. SILVOSA (1955)
the powers and discharge all the functions of FACTS: Mayor was charged with rape and
regular municipal councilors, city councilors or concubinage. Executive Secretary indorsed the
provincial board members, as the case may be. complaint to the governor, who in turn issued an
Thus, the Liga is the vehicle through which the order suspending the mayor from office. Order of
barangay participates in the enactment of suspension is illegal and without legal effect.
ordinances and formulation of policies at all the
legislative local levels higher than the HELD:
sangguniang barangay, at the same time serving Under this constitutional provision the President
as the mechanism for the bottom-to-top has been invested with the power of control of all
approach of development. the executive departments, bureaus, or offices,
but not of all local governments over which he has
(2) When the respondent judge eventually appointed been granted only the power of general
the DILG as interim caretaker to manage and supervision as may be provided by law. The
administer the affairs of the Liga, she effectively Department head as agent of the President has direct
removed the management from the National Liga control and supervision over all bureaus and offices
Board and vested control of the Liga on the DILG. under his jurisdiction as provided for in section 79 (c)
Even a cursory glance at the DILGs prayer for of the Revised Administrative Code, but he does not
appointment as interim caretaker of the Liga "to have the same control of local governments as that
manage and administer the affairs of the Liga, exercised by him over bureaus and offices under his
until such time that the new set of National Liga jurisdiction.
officers shall have been duly elected and assumed
office" reveals that what the DILG wanted was to HEBRON v. REYES (1958)
take control over the Liga. Even if said FACTS: The petitioner was elected Mayor.
"caretakership" was contemplated to last for a Administrative charges were brought against him.
limited time, or only until a new set of officers The President suspended the mayor and appointed
assume office, the fact remains that it was a the vice mayor as acting Mayor.
HELD: The petitioners are under the impression that the
In the present case, however, the Provincial Board of Constitution has left the President mere supervisory
Cavite never had a to chance to investigate the powers, which supposedly excludes the power of
charges against petitioner herein. From the very investigation, and denied her control, which allegedly
beginning, the office of the Executive assumed embraces disciplinary authority. It is a mistaken
authority to act on said charges. Worse still, such impression because legally, "supervision" is not
assumption of authority was made under such incompatible with disciplinary authority as this Court
conditions as to give the impression that the has held,
Provincial Governor and the Provincial Board were
banned from exercising said authority. Frankly, we "Control" has been defined as "the power of an officer
are unable to see, how the aforementioned to alter or modify or nullify or set aside what a
assumption of authority may be justified, either under subordinate officer had done in the performance of
the power of "general supervision," or under the duty his duties and to substitute the judgment of the
to "take care that the laws be faithfully executed." As former for test of the latter." "Supervision" on the
held in Mondano vs. Silvosa, in line with settled other hand means "overseeing or the power or
principles in administrative law, "supervision authority of an officer to see that subordinate officers
means overseeing or the power or authority of an perform their duties. As we held, however,
officer to see that subordinate officers perform "investigating" is not inconsistent with
their duties. If the latter fails or neglects to fulfill "overseeing", although it is a lesser power than
them, the former may take such action or step as "altering."
prescribed by law to make them perform their
duties. Control, on the other hand, means the Since local governments remain accountable to the
power of an official to alter or modify or nullify or national authority, the latter may, by law, and in the
set aside what a subordinate officer had done in manner set forth therein, impose disciplinary action
the performance of his duties and to substitute against local officials. "Supervision" and
the judgment of the former for that of the latter." "investigation" are not inconsistent terms;
When the office of the Executive Department acted, in "investigation" does not signify "control" (which the
the case at bar, in lieu, or in substitution, of the President does not have).
Provincial Board of Cavite, the former sought,
therefore, to "control" the latter. What is more,
instead of compelling the same to comply with its C. Nature and Status
duties under sections 2188 to 2191 of the 1. DEFINITION OF MUNICIPAL
Administrative Code, the former, in effect, restrained, CORPORATIONS/LOCAL GOVERNMENT
prevented or prohibited it from performing said Section 6. Authority to Create Local Government
duties. Units. - A local government unit may be created,
divided, merged, abolished, or its boundaries
GANZON v. CA substantially altered either
FACTS: (a) by law enacted by Congress in the case of a
A series of administrative complaints were filed province, city, municipality, or any other political
against the mayor and a member of tge sangguniang subdivision, or
panglungsod. The DILG Secretary preventively (b) by ordinance passed by the sangguniang
suspended the petitioners after a finding of probable panlalawigan or sangguniang panlungsod
cause. concerned in the case of a barangay located
within its territorial jurisdiction, subject to such
HELD: limitations and requirements prescribed in this
Autonomy does not, after all, contemplate making Code
mini-states out of local government units, as in the
federal governments of the United States of America 2. MUNICIPAL CORPORATIONS AS
(or Brazil or Germany), although Jefferson is said to JURIDICAL ENTITIES
have compared municipal corporations NEW CIVIL CODE
euphemistically to "small republics." 26 Autonomy, in Article 44. The following are juridical persons:
the constitutional sense, is subject to the guiding star,
though not control, of the legislature, albeit the (1) The State and its political subdivisions;
legislative responsibility under the Constitution and
as the "supervision clause" itself suggest-is to wean (2) Other corporations, institutions and entities for
local government units from over-dependence on the public interest or purpose, created by law; their
central government. personality begins as soon as they have been
constituted according to law;
inhabitants of ceded territory, and an abrogation of
(3) Corporations, partnerships and associations for laws in conflict with the political character of the
private interest or purpose to which the law grants a substituted sovereign, the great body of municipal
juridical personality, separate and distinct from that law regulating private and domestic rights continues
of each shareholder, partner or member. (35a) in force until abrogated or changed by the new ruler.
Article 45. Juridical persons mentioned in Nos. 1 and The legal entity of the City of Manila survived both its
2 of the preceding article are governed by the laws military occupation by, and its cession to, the United
creating or recognizing them. States, and, as in law, the present city, as the
successor of the former city, is entitled to the
Private corporations are regulated by laws of general property rights of its predecessor, it is also subject to
application on the subject. its liabilities. The cession in the Treaty of 1898 of all
the public property of Spain in the Philippine Islands
Partnerships and associations for private interest or did not include property belonging to municipalities,
purpose are governed by the provisions of this Code and the agreement against impairment of property
concerning partnerships. (36 and 37a) and private property rights in that treaty applied to
the property of municipalities and claims against
Article 46. Juridical persons may acquire and municipalities.
possess property of all kinds, as well as incur
obligations and bring civil or criminal actions, in LIDASAN v. COMELEC (1967)
conformity with the laws and regulations of their FACTS: RA 4790 created the municipality of
organization. (38a) Dianaton. It included barrios which are within the
Municipality of Buldon, Provice of Cotabato.
Article 47. Upon the dissolution of corporations, Respondent argued that although the 12 barrios
institutions and other entities for public interest or should not have been included, insofar as the
purpose mentioned in No. 2 of article 44, their remaining barrios are involved, the municipality
property and other assets shall be disposed of in should still be created.
pursuance of law or the charter creating them. If
nothing has been specified on this point, the property HELD: Municipal corporations perform twin
and other assets shall be applied to similar purposes functions. Firstly. They serve as an instrumentality of
for the benefit of the region, province, city or the State in carrying out the functions of government.
municipality which during the existence of the Secondly. They act as an agency of the community in
institution derived the principal benefits from the the administration of local affairs. It is in the latter
same. (39a) character that they are a separate entity acting for
LGC their own purposes and not a subdivision of the State.
Section 15. Political and Corporate Nature of Local
Government Units. - Every local government unit Consequently, several factors come to the fore in the
created or recognized under this Code is a body consideration of whether a group of barrios is
politic and corporate endowed with powers to be capable of maintaining itself as an independent
exercised by it in conformity with law. As such, it municipality. Amongst these are population, territory,
shall exercise powers as a political subdivision of the and income. It was apparently these same factors
national government and as a corporate entity which induced the writing out of House Bill 1247
representing the inhabitants of its territory. creating the town of Dianaton. When the foregoing
bill was presented in Congress, unquestionably, the
CASES totality of the twenty-one barrios not nine barrios
VILLAS v. CITY OF MANILA (1911) was in the mind of the proponent thereof. That this
FACTS: is so, is plainly evident by the fact that the bill itself,
This case involves the liability of the present City of thereafter enacted into law, states that the seat of the
Manila in the Philippine Islands for claims against the government is in Togaig, which is a barrio in the
City of Manila as it existed prior to the cession under municipality of Buldon in Cotabato.
the Treaty of 1898
REPUBLIC v. CITY OF DAVAO
HELD: FACTS: City of Davao filed a Certification of Non-
While military occupation or territorial cession may Coverage with the EMB for the construction of the
work a suspension of the governmental functions of Davao City Artica Sports Dome. It was denied because
municipal corporations, such occupation or cession the City did not undergo EIA to secure and ACC.
does not result in their dissolution. While there is a Lower Court ruled that LGUs are not required to
total abrogation of the former political relations of comply with this requirement.
composed of cluster of municipalities, or
HELD: Section 15 of Republic Act 7160,[5] otherwise municipalities and component cities, and as a political
known as the Local Government Code, defines a local and corporate unit of government, serves as dynamic
government unit as a body politic and corporate mechanism for developmental processes and
endowed with powers to be exercised by it in effective governance of local government units within
conformity with law. As such, it performs dual its territorial jurisdiction.
functions, governmental and proprietary.
Governmental functions are those that concern the (e) AUTONOMOUS REGIONS
health, safety and the advancement of the public Section 526. Application of this Code to Local
good or welfare as affecting the public generally.[6] Government Units in the Autonomous Regions. -
Proprietary functions are those that seek to obtain This Code shall apply to all provinces, cities,
special corporate benefits or earn pecuniary profit municipalities and barangays in the autonomous
and intended for private advantage and benefit.[7] regions until such time as the regional government
When exercising governmental powers and concerned shall have enacted its own local
performing governmental duties, an LGU is an agency government code.
of the national government.[8] When engaged in
corporate activities, it acts as an agent of the 1987 CONSTITUTION
community in the administration of local affairs.[9] ARTICLE X
Section 15. There shall be created autonomous
Found in Section 16 of the Local Government Code is regions in Muslim Mindanao and in the Cordilleras
the duty of the LGUs to promote the peoples right to consisting of provinces, cities, municipalities, and
a balanced ecology.[10] Pursuant to this, an LGU, like geographical areas sharing common and distinctive
the City of Davao, can not claim exemption from the historical and cultural heritage, economic and social
coverage of PD 1586. As a body politic endowed with structures, and other relevant characteristics within
governmental functions, an LGU has the duty to the framework of this Constitution and the national
ensure the quality of the environment, which is the sovereignty as well as territorial integrity of the
very same objective of PD 1586. Republic of the Philippines.
3. LOCAL GOVERNMENT UNITS Section 16. The President shall exercise general
(a) BARANGAY supervision over autonomous regions to ensure that
Section 384. Role of the Barangay. - As the basic laws are faithfully executed.
political unit, the barangay serves as the primary
planning and implementing unit of government Section 17. All powers, functions, and
policies, plans, programs, projects, and activities in responsibilities not granted by this Constitution or by
the community, and as a forum wherein the collective law to the autonomous regions shall be vested in the
views of the people may be expressed, crystallized National Government.
and considered, and where disputes may be amicably
settled. Section 18. The Congress shall enact an organic act
for each autonomous region with the assistance and
participation of the regional consultative commission
(b) MUNICIPALITY composed of representatives appointed by the
Section 440. Role of the Municipality. - The President from a list of nominees from multi-sectoral
municipality, consisting of a group of barangays, bodies. The organic act shall define the basic
serves primarily as a general purpose government for structure of government for the region consisting of
the coordination and delivery of basic, regular and the executive department and legislative assembly,
direct services and effective governance of the both of which shall be elective and representative of
inhabitants within its territorial jurisdiction. the constituent political units. The organic acts shall
likewise provide for special courts with personal,
(c) CITY family, and property law jurisdiction consistent with
Section 448. Role of the City. - The city, consisting of the provisions of this Constitution and national laws.
more urbanized and developed barangays. serves as a
general purpose government for the coordination and The creation of the autonomous region shall be
delivery of basic, regular, and direct services and effective when approved by majority of the votes cast
effective governance of the inhabitants within its by the constituent units in a plebiscite called for the
territorial jurisdiction. purpose, provided that only provinces, cities, and
geographic areas voting favorably in such plebiscite
(d) PROVINCE shall be included in the autonomous region.
Section 459. Role of the Province. - The province,
Section 19. The first Congress elected under this responsive and accountable local government
Constitution shall, within eighteen months from the structure instituted through a system of
time of organization of both Houses, pass the organic decentralization with effective mechanisms of recall,
acts for the autonomous regions in Muslim Mindanao initiative, and referendum, allocate among the
and the Cordilleras. different local government units their powers,
responsibilities, and resources, and provide for the
Section 20. Within its territorial jurisdiction and qualifications, election, appointment and removal,
subject to the provisions of this Constitution and term, salaries, powers and functions and duties of
national laws, the organic act of autonomous regions local officials, and all other matters relating to the
shall provide for legislative powers over: organization and operation of the local units.
(1) Administrative organization;
(2) Creation of sources of revenues; Section 4. The President of the Philippines shall
(3) Ancestral domain and natural resources; exercise general supervision over local
(4) Personal, family, and property relations; governments. Provinces with respect to component
(5) Regional urban and rural planning cities and municipalities, and cities and municipalities
development; with respect to component barangays, shall ensure
(6) Economic, social, and tourism development; that the acts of their component units are within the
(7) Educational policies; scope of their prescribed powers and functions.
(8) Preservation and development of the cultural
heritage; and Section 5. Each local government unit shall have the
(9) Such other matters as may be authorized by power to create its own sources of revenues and to
law for the promotion of the general welfare levy taxes, fees and charges subject to such
of the people of the region. guidelines and limitations as the Congress may
provide, consistent with the basic policy of local
Section 21. The preservation of peace and order autonomy. Such taxes, fees, and charges shall accrue
within the regions shall be the responsibility of the exclusively to the local governments.
local police agencies which shall be organized,
maintained, supervised, and utilized in accordance Section 6. Local government units shall have a just
with applicable laws. The defense and security of the share, as determined by law, in the national taxes
regions shall be the responsibility of the National which shall be automatically released to them.
Government.
Section 7. Local governments shall be entitled to an
4. PROVISIONS FOR IMPLEMENTATION equitable share in the proceeds of the utilization
AND TRANSITORY PROVISIONS (Secs. and development of the national wealth within
521-533) their respective areas, in the manner provided by
law, including sharing the same with the inhabitants
II. CONSTITUTIONAL AND LEGAL FRAMEWORK by way of direct benefits.
A. 1987 CONSTITUTION
ARTICLE VII Section 8. The term of office of elective local officials,
Section 1. The executive power shall be vested in the except barangay officials, which shall be
President of the Philippines. determined by law, shall be three years and no such
official shall serve for more than three consecutive
Section 17. The President shall have control of all the terms. Voluntary renunciation of the office for any
executive departments, bureaus, and offices. He shall length of time shall not be considered as an
ensure that the laws be faithfully executed. interruption in the continuity of his service for the full
term for which he was elected.
ARTICLE X
Section 1. The territorial and political subdivisions of Section 9. Legislative bodies of local governments
the Republic of the Philippines are the provinces, shall have sectoral representation as may be
cities, municipalities, and barangays. There shall be prescribed by law.
autonomous regions in Muslim Mindanao and the
Cordilleras as hereinafter provided. Section 10. No province, city, municipality, or
barangay may be created, divided, merged, abolished,
Section 2. The territorial and political subdivisions or its boundary substantially altered, except in
shall enjoy local autonomy. accordance with the criteria established in the
local government code and subject to approval by
Section 3. The Congress shall enact a local a majority of the votes cast in a plebiscite in the
government code which shall provide for a more political units directly affected.
following rules shall apply:
Section 11. The Congress may, by law, create special
metropolitan political subdivisions, subject to a (a) Any provision on a power of a local
plebiscite as set forth in Section 10 hereof. The government unit shall be liberally interpreted in its
component cities and municipalities shall retain their favor, and in case of doubt, any question thereon shall
basic autonomy and shall be entitled to their own be resolved in favor of devolution of powers and of the
local executive and legislative assemblies. The lower local government unit. Any fair and reasonable
jurisdiction of the metropolitan authority that will doubt as to the existence of the power shall be
thereby be created shall be limited to basic interpreted in favor of the local government unit
services requiring coordination. concerned;
Section 12. Cities that are highly urbanized, as (b) In case of doubt, any tax ordinance or revenue
determined by law, and component cities whose measure shall be construed strictly against the local
charters prohibit their voters from voting for government unit enacting it, and liberally in favor of
provincial elective officials, shall be independent of the taxpayer. Any tax exemption, incentive or relief
the province. The voters of component cities within a granted by any local government unit pursuant to the
province, whose charters contain no such prohibition, provisions of this Code shall be construed strictly
shall not be deprived of their right to vote for elective against the person claiming it.
provincial officials.
(c) The general welfare provisions in this Code
Section 13. Local government units may group shall be liberally interpreted to give more powers to
themselves, consolidate or coordinate their efforts, local government units in accelerating economic
services, and resources for purposes commonly development and upgrading the quality of life for the
beneficial to them in accordance with law. people in the community;
Section 14. The President shall provide for regional (d) Rights and obligations existing on the date of
development councils or other similar bodies effectivity of this Code and arising out of contracts or
composed of local government officials, regional any other source of presentation involving a local
heads of departments and other government offices, government unit shall be governed by the original
and representatives from non-governmental terms and conditions of said contracts or the law in
organizations within the regions for purposes of force at the time such rights were vested; and
administrative decentralization to strengthen the
autonomy of the units therein and to accelerate the (e) In the resolution of controversies arising under
economic and social growth and development of the this Code where no legal provision or
units in the region. jurisprudence applies, resort may be had to the
ARTICLE XVIII customs and traditions in the place where the
Section 9. A sub-province shall continue to exist and controversies take place.
operate until it is converted into a regular province or
until its component municipalities are reverted to the
mother province. 3. DECLARATION OF POLICY
Section 2. Declaration of Policy. -
B. RA 7160: LOCAL GOVERNMENT CODE, as (a) It is hereby declared the policy of the State that
amended (effectivity date: January 1, the territorial and political subdivisions of the
1992) State shall enjoy genuine and meaningful local
1. EXTENT OF APPLICATION: provinces, autonomy to enable them to attain their fullest
cities, municipalities, barangays, and development as self-reliant communities and make
other political subdivisions them more effective partners in the attainment of
Section 4. Scope of Application. - This Code shall national goals. Toward this end, the State shall
apply to all provinces, cities, municipalities, provide for a more responsive and accountable
barangays, and other political subdivisions as may be local government structure instituted through a
created by law, and, to the extent herein provided, to system of decentralization whereby local government
officials, offices, or agencies of the national units shall be given more powers, authority,
government. responsibilities, and resources. The process of
decentralization shall proceed from the national
2. RULES OF INTERPRETATION government to the local government units.
Section 5. Rules of Interpretation. - In the
interpretation of the provisions of this Code, the (b) It is also the policy of the State to ensure the
accountability of local government units through recommendees nominated by the Governor. If none is
the institution of effective mechanisms of recall, qualified, he must return the list of nominees to the
initiative and referendum. Governor explaining why no one meets the legal
requirements and ask for new recommendees who
(c) It is likewise the policy of the State to require all have the necessary eligibilities and qualifications
national agencies and offices to conduct periodic
consultations with appropriate local government PIMENTEL v. AGUIRRE (2000)
units, nongovernmental and people's organizations, FACTS: AO 372, an economic measure, sought to
and other concerned sectors of the community before withhold 10% of the LGUs IRA pending evaluation
any project or program is implemented in their and assessment of the DBM.
respective jurisdictions
HELD:
(a) Principle of Devolution Decentralization simply means the devolution of
Section 17. Basic Services and Facilities. national administration, not power, to local
governments. Local officials remain accountable to
(e) National agencies or offices concerned shall the central government as the law may provide.
devolve to local government units the DECENTRALIZATION DECENTRALIZATION
responsibility for the provision of basic services OF ADMINISTRATION OF POWER
and facilities enumerated in this Section within six - central government - involves an abdication
(6) months after the effectivity of this Code. delegates of political power in
administrative powers the favor of local
(i) The devolution contemplated in this Code shall to political government units
include the transfer to local government units of subdivisions in order declared to be
the records, equipment, and other assets and to broaden the base of autonomous.
personnel of national agencies and offices government power and - the autonomous
corresponding to the devolved powers, functions, and in the process to make government is free to
responsibilities. local governments chart its own destiny
'more responsive and and shape its future
(b) Local Autonomy and National Accountability accountable with minimum
CASES - At the same time, it intervention from
SAN JUAN v. CSC (1991) relieves the central central authorities.
FACTS: Due to a vacancy a mayor assigned an acting government of the
PBO. Mayor also indorsed the appointment of the burden of managing
acting PBO asserting its authority to recommend a local affairs and
person to the position. The DBM assigned the enables it to
respondent instead saying that he is the most concentrate on
qualified and that the authority of the mayor to national concerns.
recommend is merely directory.
HELD: The 14 sections in Article X on Local Under existing law, local government units, in
Government not only reiterate earlier doctrines but addition to having administrative autonomy in the
give in greater detail the provisions making local exercise of their functions, enjoy fiscal autonomy as
autonomy more meaningful. well. Local fiscal autonomy does not however rule out
any manner of national government intervention by
When the Civil Service Commission interpreted the way of supervision, in order to ensure that local
recommending power of the Provincial Governor as programs, fiscal and otherwise, are consistent with
purely directory, it went against the letter and spirit national goals. However, under the Constitution, the
of the constitutional provisions on local autonomy. If formulation and the implementation of such policies
the DBM Secretary jealously hoards the entirety of and programs are subject to "consultations with the
budgetary powers and ignores the right of local appropriate public agencies, various private sectors,
governments to develop self-reliance and and local government units." The President cannot do
resoluteness in the handling of their own funds, the so unilaterally.
goal of meaningful local autonomy is frustrated and
set back. Section 4 of AO 372 cannot, however, be upheld. A
basic feature of local fiscal autonomy is the automatic
The right given by Local Budget Circular No. 31 is release of the shares of LGUs in the national internal
ultra vires and is, accordingly, set aside. The DBM revenue. This is mandated by no less than the
may appoint only from the list of qualified Constitution.28 The Local Government Code29
specifies further that the release shall be made when put together, the Court recognizes that Section
directly to the LGU concerned within five (5) days 5(d) of the Cockfighting Law arises from a valid
after every quarter of the year and "shall not be exercise of police power by the national government.
subject to any lien or holdback that may be imposed Of course, local governments are similarly
by the national government for whatever purpose."30 empowered under Section 16 of the Local
As a rule, the term "shall" is a word of command that Government Code. The national government ought to
must be given a compulsory meaning be attuned to the sensitivities of devolution and strive
to be sparing in usurping the prerogatives of local
TAN v. COMELEC (1986) governments to regulate the general welfare of their
FACTS: BP 885 was passed creating Negros Del constituents.
Norte. Petitioners are questioning the validity of the
plebiscite alleging that only including inhabitants of We do not doubt, however, the ability of the national
Negros Del Norte and excluding the rest of the government to implement police power measures
Province of Negros Occidental was improper, that affect the subjects of municipal government,
especially if the subject of regulation is a condition of
HELD: Aside from the simpler factual issue relative to universal character irrespective of territorial
the land area of the new province of Negros del Norte, jurisdictions. Cockfighting is one such condition.
the more significant and pivotal issue in the present
case revolves around in the interpretation and BATANGAS CATV v. CA (2004)
application in the case at bar of Article XI, Section 3 of FACTS: SP Resolution granted to petitioner the
the Constitution. permit to install and operate cable TV. However, one
of the stipulations provided that any increase in the
It can be plainly seen that the aforecited rates shall be subject to the approval of the SP.
constitutional provision makes it imperative that
there be first obtained "the approval of a majority of HELD: The general welfare clause is the delegation in
votes in the plebiscite in the unit or units affected" statutory form of the police power of the State to
whenever a province is created, divided or merged LGUs.28 Through this, LGUs may prescribe
and there is substantial alteration of the boundaries. regulations to protect the lives, health, and property
It is thus inescapable to conclude that the boundaries of their constituents and maintain peace and order
of the existing province of Negros Occidental would within their respective territorial jurisdictions.
necessarily be substantially altered by the division of
its existing boundaries in order that there can be Like any other enterprise, CATV operation maybe
created the proposed new province of Negros del regulated by LGUs under the general welfare clause.
Norte. Plain and simple logic will demonstrate than This is primarily because the CATV system commits
that two political units would be affected. The first the indiscretion of crossing public properties. But,
would be the parent province of Negros Occidental while we recognize the LGUs power under the
because its boundaries would be substantially general welfare clause, we cannot sustain Resolution
altered. The other affected entity would be composed No. 210. We are convinced that respondents strayed
of those in the area subtracted from the mother from the well recognized limits of its power. The
province to constitute the proposed province of flaws in Resolution No. 210 are: (1) it violates the
Negros del Norte. mandate of existing laws and (2) it violates the States
deregulation policy over the CATV industry.
No amount of rhetorical flourishes can justify
exclusion of the parent province in the plebiscite The apparent defect in Resolution No. 210 is that it
because of an alleged intent on the part of the authors contravenes E.O. No. 205 and E.O. No. 436 insofar as it
and implementors of the challenged statute to carry permits respondent Sangguniang Panlungsod to
out what is claimed to be a mandate to guarantee and usurp a power exclusively vested in the NTC, i.e., the
promote autonomy of local government units. power to fix the subscriber rates charged by CATV
operators. As earlier discussed, the fixing of
TAN v. PERENA (2005) subscriber rates is definitely one of the matters
FACTS: PD 449 provided that there must only be one within the NTCs exclusive domain. Where there is no
cockpit operated within a municipality. After RA 7160 express power in the charter of a municipality
came into effect, the SB of Daanbantayan enacted an authorizing it to adopt ordinances regulating certain
ordinance which allowed the operation of 3 cockpits matters which are specifically covered by a general
within the municipality. statute, a municipal ordinance, insofar as it attempts
to regulate the subject which is completely covered
HELD: Perhaps more essential than the fact that the by a general statute of the legislature, may be
two controverted provisions are not inconsistent rendered invalid.
By and large, however, the national legislature is still planet; and (6) other projects or programs that may
the principal of the local government units, which call for the eviction of a particular group of people
cannot defy its will or modify or violate it residing in the locality where these will be
implemented. Obviously, none of these effects will be
(c) Local Autonomy and Decision-making produced by the introduction of lotto in the province
CASES of Laguna. (emphasis supplied)
PROVINCE OF RIZAL v. EXEC. SEC (2005)
FACTS: Garbage crisis in Metro Manila. There was a Under the Local Government Code, therefore, two
MOA between MMDA and the DENR to withdraw requisites must be met before a national project
certain parts of Marikina Watershed from public use. that affects the environmental and ecological
Instead the said land will be used for open dumpsites. balance of local communities can be
The LGs posted their opposition to the project. implemented: prior consultation with the affected
local communities, and prior approval of the
HELD: The circumstances under which Proclamation project by the appropriate sanggunian. Absent
No. 635 was passed also violates Rep. Act No. 7160, or either of these mandatory requirements, the projects
the Local Government Code. implementation is illegal.
Section 2(c) of the said law declares that it is the VELOSO v. COA (2011)
policy of the state " to require all national agencies FACTS: The SP of Manila enacted an ordinance
and offices to conduct periodic consultations with authorizing the grant of Exemplary Service Award for
appropriate local government units, non- those who have been elected for 3 consecutive terms
governmental and people's organizations, and other for the same position. COA however disallowed these
concerned sectors of the community before any disbursements alleging that they were tantamount to
project or program is implemented in their respective double compensation.
jurisdictions." Likewise, Section 27 requires prior
consultations before a program shall be implemented HELD: The Court had therefore previously upheld the
by government authorities and the prior approval of authority of the COA to disapprove payments which it
the sanggunian is obtained. finds excessive and disadvantageous to the
Government; to determine the meaning of "public
Section 27 of the Code should be read in conjunction bidding" and when there is failure in the bidding; to
with Section 26 thereof. Section 26 reads: disallow expenditures which it finds unnecessary
according to its rules even if disallowance will mean
SECTION 26. Duty of National Government Agencies discontinuance of foreign aid; to disallow a contract
in the Maintenance of Ecological Balance. It shall be even after it has been executed and goods have been
the duty of every national agency or government- delivered. Thus, LGUs, though granted local fiscal
owned or controlled corporation authorizing or autonomy, are still within the audit jurisdiction of the
involved in the planning and implementation of any COA.
project or program that may cause pollution, climatic
change, depletion of non-renewable resources, loss of PROVINCE OF BATANGAS v. ROMULO
crop land, range-land, or forest cover, and extinction Supra
of animal or plant species, to consult with the local
government units, nongovernmental ACCORD v. EXECUTIVE SECRETARY (2005)
organizations, and other sectors concerned and FACTS: The President approved the GAA which
explain the goals and objectives of the project or provided for an unprogrammed fund which shall be
program, its impact upon the people and the used to fund the IRA but which shall only be released
community in terms of environmental or ecological when the original revenue targets submitted by the
balance, and the measures that will be undertaken to President to Congress can be realized. The main
prevent or minimize the adverse effects thereof. argument of the respondents here was that the
constitutional mandate for automatic release of the
Thus, the projects and programs mentioned in IRA prohibits the executive but not the legislative.
Section 27 should be interpreted to mean projects
and programs whose effects are among those HELD: As the Constitution lays upon the executive the
enumerated in Section 26 and 27, to wit, those that: duty to automatically release the just share of local
(1) may cause pollution; (2) may bring about climatic governments in the national taxes, so it enjoins the
change; (3) may cause the depletion of non- legislature not to pass laws that might prevent the
renewable resources; (4) may result in loss of crop executive from performing this duty. To hold that the
land, range-land, or forest cover; (5) may eradicate executive branch may disregard constitutional
certain animal or plant species from the face of the provisions which define its duties, provided it has the
backing of statute, is virtually to make the otherwise be provided in the said Act, the plebiscite
Constitution amendable by statute - a proposition shall be held within one hundred twenty (120) days
which is patently absurd. from the date of its effectivity.
There is no substantial difference between the Section 449. Manner of Creation. - A city may be
withholding of IRA involved in Pimentel and that in created, divided, merged, abolished, or its boundary
the present case, except that here it is the legislature, substantially altered, only by an Act of Congress,
not the executive, which has authorized the and subject to approval by a majority of the votes
withholding of the IRA. The distinction cast in a plebiscite to be conducted by the COMELEC
notwithstanding, the ruling in Pimentel remains in the local government unit or units directly affected.
applicable. As explained above, Article X, Section 6 of Except as may otherwise be provided in such Act. the
the Constitution - the same provision relied upon in plebiscite shall be held within one hundred twenty
Pimentel - enjoins both the legislative and executive (120) days from the date of its effectivity.
branches of government. Hence, as in Pimentel, under
the same constitutional provision, the legislative is Section 460. Manner of Creation. - A province may
barred from withholding the release of the IRA. be created, divided, merged, abolished, or its
boundary substantially altered, only by an Act of
III. CREATION AND ABOLITION OF MUNICIPAL Congress and subject to approval by a majority of
CORPORATIONS the votes cast in a plebiscite to be conducted by the
A. REQUISITES FOR THE CREATION OF LGU COMELEC in the local government unit or units
directly affected. The plebiscite shall be held within
Section 6. Authority to Create Local Government one hundred twenty (120) days from the date of
Units. - A local government unit may be created, effectivity of said Act, unless otherwise provided
divided, merged, abolished, or its boundaries therein.
substantially altered either
(a) by law enacted by Congress in the case of a B. FACTORS TO CONSIDER: POPULATION
province, city, municipality, or any other (NSO), INCOME (DOF), AND LAND AREA
political subdivision, or (DENR)
(b) by ordinance passed by the sangguniang
panlalawigan or sangguniang panlungsod Section 7. Creation and Conversion. As a general
concerned in the case of a barangay located rule, the creation of a local government unit or its
within its territorial jurisdiction, subject to conversion from one level to another level shall be
such limitations and requirements based on verifiable indicators of viability and
prescribed in this Code. projected capacity to provide services, to wit:
Section 385. Manner of Creation. - A barangay may (a) Income. It must be sufficient, based on
be created, divided, merged, abolished, or its acceptable standards, to provide for all
boundary substantially altered, essential government facilities and services
(1) by law or by an ordinance of the and special functions commensurate with the
sangguniang panlalawigan or panlungsod, size of its population, as expected of the local
(2) subject to approval by a majority of the government unit concerned;
votes cast in a plebiscite to be conducted by
the COMELEC in the local government unit (b) Population. It shall be determined as the
or units directly affected within such total number of inhabitants within the
period of time as may be determined by the territorial jurisdiction of the local
law or ordinance creating said barangay. In government unit concerned; and
the case of the creation of barangays by the
sangguniang panlalawigan, the (c) Land Area. It must be contiguous, unless
recommendation of the sangguniang bayan it comprises two or more islands or is
concerned shall be necessary. separated by a local government unit
independent of the others; properly
Section 441. Manner of Creation. - A municipality identified by metes and bounds with
may be created, divided, merged, abolished, or its technical descriptions; and sufficient to
boundary substantially altered only by an Act of provide for such basic services and facilities
Congress and subject to the approval by a to meet the requirements of its populace.
majority of the votes cast in a plebiscite to be
conducted by the COMELEC in the local government Compliance with the foregoing indicators shall be
unit or units directly affected. Except as may attested to by the Department of Finance (DOF),
the National Statistics Office (NSO), and the Lands requirements prescribed herein.
Management Bureau (LMB) of the Department of
Environment and Natural Resources (DENR). (b) The territorial jurisdiction of a newly-created
municipality shall be properly identified by metes
BARANGAY and bounds. The requirement on land area shall
Section 386. Requisites for Creation. - not apply where the municipality proposed to be
created is composed of one (1) or more islands.
(a) A barangay may be created out of a contiguous The territory need not be contiguous if it comprises
territory which has a population of at least two two (2) or more islands.
thousand (2,000) inhabitants as certified by
the National Statistics Office (c) The average annual income shall include the
EXCEPTIONS: shall have a certified population of income accruing to the general fund of the
at least five thousand (5,000) inhabitants municipality concerned, exclusive of special funds,
(1) in cities and municipalities within Metro transfers and non-recurring income.
Manila and other metropolitan political
subdivisions or (d) Municipalities existing as of the date of the
(2) in highly urbanized cities where such effectivity of this Code shall continue to exist and
territory operate as such. Existing municipal districts
organized pursuant to presidential issuances or
Provided, That the creation thereof shall not executive orders and which have their respective set
reduce the population of the original barangay or of elective municipal officials holding office at the
barangays to less than the minimum requirement time of the effectivity of this Code shall henceforth be
prescribed herein. considered as regular municipalities.
(b) The territorial jurisdiction of the new barangay "Sec. 450. Requisites for Creation. (a) A
shall be properly identified by metes and bounds or municipality or a cluster of barangays may be
by more or less permanent natural boundaries. The converted into a component city if it has a locally
territory need not be contiguous if it comprises two generated average annual income, as certified by
(2) or more islands. the Department of Finance, of at least One hundred
million pesos (P100,000,000.00) for the last two
(c) X X X (2) consecutive years based on 2000 constant prices,
and if it has either of the following requisites:
MUNICIPALITY (1) a contiguous territory of at least one
Section 442. Requisites for Creation. - hundred (100) square kilometers, as
certified by the Land Management Bureau; or
(a) A municipality may be created if (2) a population of not less than one hundred
- it has an average annual income, as fifty thousand (150,000) inhabitants, as
certified by the provincial treasurer, of at certified by the National Statistics Office.
least Two million five hundred thousand
pesos (P2,500,000.00) for the last two (2) The creation thereof shall not reduce the land area,
consecutive years based on the 1991 population and income of the original unit or units at
constant prices; the time of said creation to less than the minimum
- a population of at least twenty-five requirements prescribed herein.
thousand (25,000) inhabitants as certified
by the National Statistics Office; and (b) The territorial jurisdiction of a newly-created
- a contiguous territory of at least fifty (50) city shall be properly identified by metes and bounds.
square kilometers as certified by the Lands The requirement on land area shall not apply
Management Bureau: Provided, That the where the city proposed to be created is
creation thereof shall not reduce the land composed of one (1) or more islands. The territory
area, population or income of the original need not be contiguous if it comprises two (2) or
municipality or municipalities at the time of more islands.
said creation to less than the minimum
(c) The average annual income shall include the thousand (2,000) square kilometers, as
income accruing to the general fund, exclusive of certified by the Lands Management Bureau; or
special funds, transfers, and non-recurring income." (2) a population of not less than two hundred fifty
thousand (250,000) inhabitants as certified by
Section 451. Cities, Classified. - A city may either be the National Statistics Office:
(a) component or
(b) highly urbanized: Provided, That, the creation thereof shall not reduce
(c) Independent cities are component cities whose the land area, population, and income of the original
charters prohibit their voters from voting for unit or units at the time of said creation to less than
provincial elective officials. Independent the minimum requirements prescribed herein.
component cities shall be independent of the
province. (b) The territory need not be contiguous if it
comprise two (2) or more islands or is separated
HIGLY URBANIZED CITIES by a chartered city or cities which do not contribute
Section 452. Highly Urbanized Cities. to the income of the province.
(a) Cities with a minimum population of two (c) The average annual income shall include the
hundred thousand (200,000) inhabitants as income accruing to the general fund, exclusive of
certified by the National Statistics Office, and special funds, trust funds, transfers and non-
- within the latest annual income of at least recurring income.
Fifty Million Pesos (P50,000,000.00) based on
1991 constant prices, as certified by the city
treasurer, shall be classified as highly urbanized 1. POPULATION REQUIREMENT
cities. a. Barangay (Sec. 386)
- GR: 2000
(b) Cities which do not meet above requirements - E: barangays in MM and Highly 5000
shall be considered component cities of the Urbanized Areas
province in which they are geographically located. If a b. Municipalities (Sec. 442) 25, 000
component city is located within the boundaries of c. Cities
two (2) or more provinces, such city shall be
- COMPONENT (RA 9009) 150, 000
considered a component of the province of which it
- HIGHLY URBANIZED (Sec. 452) 200, 000
used to be a municipality.
d. Province (Sec. 461) 250, 000
(c) Qualified voters of highly urbanized cities shall
remain excluded from voting for elective CASES
provincial officials. ALDABA v. COMELEC
- Unless otherwise provided in the Constitution or FACTS: RA created a legislative district for Malolos,
this Code, qualified voters of independent Bulacan. The population of Malolos City on May 1,
component cities shall be governed by their 2009 is a contested fact but there is no dispute that
respective charters, as amended, on the HB 3693 relied on an undated certification issued by
participation of voters in provincial elections. a Regional Director of the National Statistics Office
- Qualified voters of cities who acquired the right (NSO) that the projected population of the
to vote for elective provincial officials prior to the Municipality of Malolos will be 254,030 by the year
classification of said cities as highly-urbanized 2010 using the population growth rate of 3.78
after the ratification of the Constitution and between 1995 to 2000. The petitioners seek that the
before the effectivity of this Code, shall continue law be declared unconstitutional for failing to meet
to exercise such right. the population requirement.
HELD: The Court was unanimous in holding that the HELD: EO 220 does not create the autonomous
Constitution mandates the synchronization of region contemplated in the Constitution. It merely
national and local elections. While the Constitution provides for transitory measures in anticipation of
does not expressly instruct Congress to synchronize the enactment of an organic act and the creation of an
the national and local elections, the intention can be autonomous region. In short, it prepares the ground
inferred from the following provisions of for autonomy. As the creation of an autonomous
the Transitory Provisions (Article XVIII) of the region will take time, the President has deemed it fit
Constitution[1] to to provide for some measures to address the
urgent needs of the Cordilleras in the meantime that
Neither RA No. 9333 nor RA No. 10153 amends RA the organic act had not yet been passed and the
No. 9054. RA No. 9054 only provides for the schedule autonomous region created.
of the first ARMM elections and does not fix the date
of the regular elections. A need therefore existed for CAR is not a public corporation or a territorial and
the Congress to fix the date of the subsequent ARMM political subdivision. It does not have a separate
regular elections, which it did by enacting RA No. juridical personality, unlike provinces, cities and
9333 and thereafter, RA No. 10153. Obviously, these municipalities. Neither is it vested with the powers
subsequent laws cannot be considered amendments that are normally granted to public corporations, e.g.
to RA No. 9054 as they did not change or revise any the power to sue and be sued, the power to own and
provision in the latter law; they merely filled in a gap dispose of property, the power to create its own
in RA No. 9054 or supplemented the law by providing sources of revenue, etc. CAR was created primarily to
the date of the subsequent regular elections. coordinate the planning and implementation of
programs and services in the covered areas.
(c) CAR (RA 6766)
(d) CARAGA (RA 7901)
CASES
ORDILLO v. COMELEC (1990) E. DIVISION AND MERGER
FACTS: Pursuant to RA 6766, An Act Providing for Section 8. Division and Merger. - Division and
an Organic Act for the Cordillera Autonomous merger of existing local government units shall
Region, the people of the provinces of Benguet, comply with the same requirements herein
Mountain Province, Ifugao, Abra, and Kalinga-Apayao prescribed for their creation: Provided, however,
That such division shall not reduce the income, BAGABUYO v. COMELEC (2008)
population, or land area of the local government unit FACTS: Petitioner seeks to have RA 9371 declared
or units concerned to less than the minimum unconstitutional. RA 9371 created a new legislative
requirements prescribed in this Code: Provided, district for CDO. Petitioner alleges that RA 9371 does
further, That the income classification of the original not merely involve reapportionment but involves
local government unit or units shall not fall below its division or merger which requires a plebiscite.
current classification prior to such division.
HELD: Legislative apportionment is defined by
The income classification of local government units Black's Law Dictionary as the determination of the
shall be updated within six (6) months from the number of representatives which a State, county or
effectivity of this Code to reflect the changes in their other subdivision may send to a legislative body. It is
financial position resulting from the increased the allocation of seats in a legislative body in
revenues as provided herein. proportion to the population; the drawing of voting
PRINCIPLE: district lines so as to equalize population and voting
- To be valid division and merger shall comply power among the districts. Reapportionment, on the
with the requirements of the creation of LGU. other hand, is the realignment or change in legislative
- The income, population and land area shall districts brought about by changes in population and
not be reduced to the minimum mandated by the constitutional requirement of
requirements and the income classification of equality of representation.
the original unit shall not fall below its
current income classification from such A legislative unit is a political unit but NOT a local
division. government unit. It is more appropriately called a
representative unit. It merely delineates areas
F. ABOLITION occupied by people who will choose a representative.
Thus, for a legislative reapportionment, an operation
Section 9. Abolition of Local Government Units. - A directly affecting legislative units, there is no need for
local government unit may be abolished when a plebiscite as no creation, division, merging, or
- its income, population, or land area has been abolishing of a LGU happens. No conversion or
irreversibly reduced to less than the division of CDO as a political and corporate entity
minimum standards prescribed for its creation takes place. CDO remains a single unit. What is
under Book III of this Code, as certified by the changed is the number of representatives to
national agencies mentioned in Section 7 hereof Congress.
to Congress or to the sangguniang concerned, as
the case may be. SAMSON v. AGUIRRE
- The law or ordinance abolishing a local FACTS: RA 8535 created the City of Novaliches from
government unit shall specify the province, city, 15 Barangays. Petitioner seeks to prevent the holding
municipality, or barangay with which the of the plebiscite alleging the failure to meet the
local government unit sought to be abolished requirements under the LGC and the failure to
will be incorporated or merged. indicate the seat of government.
PRINCIPLE:
- LGU may be abolished if its creation is HELD: Quezon City Mayor Ismael Mathay, Jr., was
judicially declared invalid or due to present during the deliberations of the Senate
infirmities relating to its creation Committee on Local Government, and made no
mention of any adverse effects. Mayor Mathay would
G. PLEBISCITE REQUIREMENT be the first person to protest any development that
Section 10. Plebiscite Requirement. - No creation, might prove detrimental to Quezon City. The fact that
division, merger, abolition, or substantial alteration of he did not raise any adverse issue during the public
boundaries of local government units shall take effect hearings on R.A. No. 8535, stressing instead his
unless approved by a majority of the votes cast in concern on the matter of inclusion of all Quezon City
a plebiscite called for the purpose in the political voters in the plebiscite that would decide the fate of
unit or units directly affected. Said plebiscite shall be the City of Novaliches, is indicative of the non-
conducted by the Commission on Elections existence of such negative issues. Moreover, in the
(COMELEC) within one hundred twenty (120) days plebiscite as contemplated on R.A. 8535, all
from the date of effectivity of the law or ordinance persons concerned will obviously have the
effecting such action, unless said law or ordinance opportunity to raise those issues even before they
fixes another date. vote on the principal question of the cityhood of
Novaliches.
CASES:
R.A. No. 8535 does not provide for a seat of 442), which in essence are retrospective, and
government. But such is not fatal. Under Section 12 aimed at giving "validity to acts done that would
of the Local Government Code, which applies to the have been invalid under existing laws, as if
proposed City of Novaliches by virtue of Section 54 of existing laws have been complied with," are
R.A. No. 8535, the City of Novaliches can still establish validly accepted in this jurisdiction, subject to the
a seat of government after its creation. usual qualification against impairment of vested
rights.
TOBIAS v. ABALOS
FACTS: Mandaluyong and San Juan belonged to the Certain governmental acts all pointed to the State's
same legislative district. After RA 7675 was enacted, a recognition of the continued existence of the
plebiscite was held asking the people of Mandaluyong Municipality of San Andres. Thus, after more than 5
on WON they approve of converting Mandaluyong to years as a municipal district, EO No. 174 classified the
a highly urbanized city. Petitioners are assailing the Municipality of San Andres as a fifth class
RA which gave Mandaluyong a new legislative municipality after having surpassed the income
district. The petitioner argued that the people of San requirement laid out in R.A. No. 1515.
Juan should have been included in the plebiscite as it
involved a change in their legislative district. IV. ESTABLISHING THE STATUS OF A LOCAL
GOVERNMENT
HELD: The creation of the district is part of the A. ESTABLISHING THE SEAT OF
conversion. The conversion into a highly urbanized GOVERNMENT
city with a population of not less than 250,000 must Section 11. Selection and Transfer of Local
be related to the "one city-one representative" Government Site, Offices and Facilities. -
proviso in the Constitution (Article VI, Sec. 5(3)). The
creation of a separate district is mandated by this (a) The law or ordinance creating or merging local
Constitutional requirement of setting up a district for government units shall specify the seat of
a city with at least 250,000 residents. The district was government from where governmental and corporate
actually required. services shall be delivered. In selecting said site,
factors relating to geographical centrality,
The district representation was only ancillary to accessibility, availability of transportation and
the principal subject of the plebiscite. Thus, the communication facilities, drainage and sanitation,
inhabitants of San Juan were properly excluded from development and economic progress, and other
the said plebiscite as they had nothing to do with the relevant considerations shall be taken into account.
change to cityhood of Mandaluyong. There is also no
"gerrymandering" here. As noted by the OSG, the (b) When conditions and developments in the local
author of the law consistently won in San government unit concerned have significantly
Juan/Mandaluyong, so he would in fact be changed subsequent to the establishment of the seat
diminishing his constituency. of government, its sanggunian may, after public
hearing and by a vote of two-thirds (2/3) of all its
H. CLASSIFICATION OF PROVICES, CITIES members, transfer the same to a site better suited
AND MUNICIPALITIES to its needs. Provided, however, That no such transfer
STATUS OF DE FACTO MUNICIPAL shall be made outside the territorial boundaries of the
CORPORATIONS local government unit concerned.
CASES
MUNICIPALITY OF SAN NARCISO v. MENDEZ The old site, together with the improvements
FACTS: San Andres was created by segregating from thereon, may be disposed of by the sale or lease or
San Narciso certain barrios, upon the latters request. converted to such other use as the sangguniang
However, the SB of San Narciso filed a quo warranto concerned may deem beneficial to the local
against the officials of San Andres. The petitioner government unit concerned and its inhabitants.
alleged that since it was created by an EO of the
president, such is null and void since it constituted (c) Local government offices and facilities shall not be
the usurpation of legislative powers and therefore transferred, relocated, or converted to other uses
unconstitutional. unless public hearings are first conducted for the
purpose and the concurrence of the majority of all
HELD: EO 353 was issued on 20 August 1959 but it the members of the sanggunian concerned is
was only after almost thirty (30) years, or on 05 June obtained.
1989, that the municipality of San Narciso finally
decided to challenge the legality of the executive
order. Curative laws (referring Loc Gov Code Sec.
1. HOW DONE: shall specify the seat of
government from where governmental (b) The sanggunian of highly urbanized cities and
and corporate services shall be delivered of component cities whose charters prohibit their
(a) By law: if created by act of Congress voters from voting for provincial elective officials,
(b) By ordinance: if created by LGU hereinafter referred to in this Code as independent
component cities, may, in consultation with the
2. WHAT FACTORS TO CONSIDER: Philippine Historical Commission, change the name
- geographical centrality, of the following within its territorial jurisdiction:
- accessibility, (1) City barangays, upon the recommendation of
- availability of transportation and the sangguniang barangay concerned;
communication facilities, (2) City roads, avenues, boulevards,
- drainage and sanitation, thoroughfares, and bridges;
- development and economic (3) Public elementary, secondary and vocational
progress, and or technical schools, community colleges and
- other relevant considerations shall non-chartered colleges;
be taken into account (4) City hospitals, health centers and other health
facilities; and
3. PROCEDURAL REQUIREMENTS: (5) Any other public place or building owned by
(a) SELECTION OF THE SEAT OF LGU: the city government.
- Law or ordinance shall specify the seat of
the government (c) The sanggunians of component cities and
municipalities may, in consultation with the
(b) TRANSFER OF THE SEAT: When conditions Philippine Historical Commission, change the name
and developments in the local government of the following within its territorial jurisdiction:
unit concerned have significantly changed (1) City and municipal barangays, upon
subsequent to the establishment of the seat recommendation of the sangguniang barangay
(1) Public hearing concerned;
(2) 2/3 vote of all its members (2) City, municipal and barangay roads, avenues,
(3) Old site may be sold, leased or converted boulevards, thoroughfares, and bridges;
to such other use (3) City and municipal public elementary,
- Must not be outside the territorial secondary and vocational or technical schools,
jurisdiction of the LGU post- secondary and other tertiary schools;
(4) City and municipal hospitals, health centers
(c) TRANSFER OF LOCAL GOVERNMENT OFFICE and other health facilities; and
AND FACILITIES (5) Any other public place or building owned by
(1) Public hearing the municipal government.
(2) Majority vote of all the members of the
Sanggunian (d) None of the foregoing local government units,
institutions, places, or buildings shall be named after
B. NAMING LGUs a living person, nor may a change of name be made
Section 13. Naming of Local Government Units - unless for a justifiable reason and,
and Public Places, Streets and Structures. - - in any case, not oftener than once every
ten (10) years.
(a) The sangguniang panlalawigan may, in - The name of a local government unit or a
consultation with the Philippine Historical public place, street or structure with
Commission (PHC), change the name of the following historical, cultural, or ethnic significance
within its territorial jurisdiction: shall not be changed,
(1) Component cities and municipalities, upon unless by a unanimous vote of the
the recommendation of the sanggunian sanggunian concerned and in
concerned; consultation with the PHC.
(2) Provincial roads, avenues, boulevards,
thoroughfares, and bridges; (e) A change of name of a public school shall be made
(3) Public vocational or technical schools and only upon the recommendation of the local school
other post-secondary and tertiary schools; board concerned.
(4) Provincial hospitals, health centers, and other
health facilities; and (f) A change of name of public hospitals, health
(5) Any other public place or building owned by centers, and other health facilities shall be made
the provincial government. only upon the recommendation of the local health
board concerned. continued for all legal purposes.
ARTICLE 19. Official Custodian. The DILG MUNICIPALITY OF KANANGA v. MADRONA (2003)
FACTS: A boundary dispute arose between the support the development of appropriate and self-
Municipality of Kananga and the City of Ormoc. By reliant scientific and technological capabilities,
agreement, the parties submitted the issue to improve public morals, enhance economic prosperity
amicable settlement by a joint session of the and social justice, promote full employment among
Sangguniang Panlungsod of Ormoc City and the SB of their residents, maintain peace and order, and
Kananga. No amicable settlement was reached. To preserve the comfort and convenience of their
settle the boundary dispute, the City of Ormoc filed inhabitants.
before the RTC of Ormoc City. Petitioner filed an MTD.
b. Power to open and Close Roads;
HELD: There is no question that Kananga is a Factors to consider
municipality constituted under Republic Act No.
542.12. However, Ormoc is not a highly urbanized, 2. POWER OF EMINENT DOMAIN
but an independent component, city created under
Republic Act No. 179. Section 118 of the LGC applies
to a situation in which a component city or a
municipality seeks to settle a boundary dispute with a
highly urbanized city, not with an independent
component city. While Kananga is a municipality,
Ormoc is an independent component city. Clearly
then, the procedure referred to in Section 118 does
not apply to them.
B. KINDS OF POWER
1. POLICE POWER
a. General Welfare Clause and
Limitations on the exercise
thereof